The Executive Branch is authorized, through the Ministry of Environment and Energy (Ministerio de Ambiente y Energía, MINAE)(*), to grant or deny, by administrative act, concessions for the use of hydraulic forces for hydroelectric generation, as indicated below.
(*)(Its name thus amended by Article 11 of Law "Transfer of the Telecommunications sector from the Ministry of Environment, Energy and Telecommunications to the Ministry of Science and Technology," No. 9046 of June 25, 2012) For Chapter I of Law No. 7200, hydraulic force concessions shall be granted within the limit indicated in its Article 5, that is, up to twenty thousand kilowatts (20,000 Kw) and up to fifteen percent (15%) of the capacity of the group of power plants that make up the National Electric System.
For Chapter II of Law No. 7200, hydraulic force concessions shall be granted within the limit indicated in its Article 20, that is, up to fifty thousand kilowatts (50,000 Kw) and up to fifteen percent (15%) of the capacity of the group of power plants that make up the National Electric System, in addition to that of the preceding paragraph.
Beyond these limits, it is the responsibility of the Legislative Assembly to grant the concession. Concessions requested for self-consumption are excepted from these limits.
The use of hydraulic force for hydroelectric generation must be carried out in accordance with the National Water Plan (Plan nacional hídrico), respecting the priority of water for human consumption.