Resumen en español

This paper is based on the study and analysis done (with data as of December 2008) in order to determine the actual dispersion that exists between Colombian power generation companies and the industry in terms of the optimal capital structure. It is based on the financial statements and supplementary data for eight companies that account for almost 79% of the power generation capacity of Colombia’s interconnected system. The Industry’s financial statements used to calculate optimal capital structure are the result of the aggregated financial reports from the eight companies. Some of the companies include: thermoelectric, hydroelectric, public companies, private companies and companies with different debt levels. The results from this study are really important for the country, since it allows the entrepreneurs and business managers to have a useful tool in the financing decision making process for the Colombian power generation industry, that along with their own developed financial models will help them lo identify different options to get an optimal capital structure that will result in a higher market value for the company. This work arises from a lack of research and public studies for the power generation sector in Colombia from the financial point of view and more specifically from the point of view of debt and optimal capital structure.