Honduras is the only country in Central America that supplies all its own electricity needs. In 2000, net electricity generation was3.5 billion kWh, of which 36.9% came from fossil fuels and 63.1% from hydropower. In the same year, consumption of electricity totaled 3.6 billion kWh. Total installed capacity at the beginning of 2001 was 912 MW, of which about 62% consisted of hydropower. The 200 MW El Cajon dam and the 290 MW Lindo/Yojoa station were the country's major hydroelectric plants. About 60% of the country's power supply was knocked out by a fire at the El Cajon dam in early 1999, resulting in power rationing that was still in effect at midyear. Increased domestic hydroelectricity production has reduced the consumption of petroleum (all of which must be imported). However, as of 2002 it was estimated that only 50% of Hondurans had access to electricity.
Petroleum exploration has been carried on by US companies since 1955. A Texaco refinery at Puerto Cortés began production in 1968, and petroleum derivatives are exported to the United States and Belize.