As early as in 1993, during the government of Rafael Leonardo Callejas (1990–1994), ENEE signed its first PPA with an IPP for the provision of thermal energy. The contract was signed with Electricidad de Cortés (Elcosa) for a period of 17 years. One year later, Carlos Roberto Reina (1994–1998) approved two giant 10-year contracts for Empresa de Mantenimiento, Construcción y Electricidad (EMCE), which itself belongs to the Honduran Terra group, and the Honduran energy company Luz y Fuerza de San Lorenzo (Lufussa). EMCE and Lufussa managed to sign new contracts with the government of Carlos Flores (1998–2002), which included tax exemptions for up to five years and the payment of fixed and variable charges, the former independently of whether energy was actually being produced, as it is typically the case in PPAs.