Ecuadorian industries to curtail power use to protect water supply
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One hundred and fifty Ecuadorian industries and companies will begin disconnecting from the electrical grid for one full day each week starting September 22, 2026.
The government and large-voltage (AV1) consumers agreed to the measure as a strategy to conserve water in the Mazar reservoir, which is vital to the nation’s electrical system.
Minister of Environment and Energy Juan Carlos Blum announced the plan amid an early dry season and falling reservoir levels, which reached 2,138.8 meters above sea level, 14.2 meters below its maximum capacity. The initiative targets consumers in the AV1 segment, representing around 90% of industrial energy users concentrated in Guayaquil and Durán. While some describe it as a “voluntary shutdown,” the measure applies specifically to regulated AV1 customers, including large industrial and mining operations.
By reducing demand one day per week, officials aim to better manage water resources and avoid rapidly depleting reserves during critical months. Although the industries hope to maintain production, experts caution that the energy savings may be less than anticipated. Marco Acuña, president of the Consultative Council of Engineering and Economy, estimates the disconnection will likely reduce consumption by around 240 megawatts, less than the initially discussed 600 to 1,000 megawatts.
Certain industries, like steel mills, will need to carefully plan shutdowns and restarts to avoid damaging equipment or disrupting production. The government is also renewing contracts for power barges to add 200 additional megawatts to the system.
