Mario Ares

TBY talks to Mario Ares, Vice President of Empresas Ares, about current operations, sustainability, and challenges facing the firm.

Can you elaborate on Empresas Ares’ current operations?

Empresas Ares traces its roots back to the 1930s, founded by my great-grandfather, Ing. José Delio Guzmán. Over four generations, our family has built a reputation for excellence in infrastructure development. One of our earliest milestones was the construction of the Autopista de Constanza in the 1950s, a project that became a cornerstone of our legacy in road building for the government. Today, Empresas Ares is at the forefront of a transformative project: the development of the Sistema Ferroviario Nacional, the National Railway System of the Dominican Republic. This ambitious initiative aims to connect key regions of the country, specifically linking Santo Domingo, Punta Cana, and Santiago via an interurban train network. Key highlights of the project include Punta Cana, a major hub for tourism, which will serve as a vital node in this network. With over half of the country’s tourists arriving there, the interurban train will provide seamless access from the eastern wonders to the historic marvels of Santo Domingo, including the renowned Colonial Zone, the first city of the Americas. In terms of freight and commercial transport, in Santiago, the focus shifts towards commercial freight rather than passenger transport. Given Santiago’s proximity to major ports like Manzanillo and Puerto Plata, the railway system will facilitate efficient movement of goods, linking these ports with Haina and Caucedo. This is crucial for the region’s economic integration and for bolstering trade routes.

How will this railway project impact the Dominican economy?

Our analysis indicates that the railway project has the potential to boost the Dominican Republic’s GDP by 3.8%. If we begin immediately, we can establish the connection between Santo Domingo and Punta Cana within four years.

What sustainability considerations did you have to take into account for this project?

In 2022, solar power accounted for just 3.3% of the Dominican Republic’s energy generation. Today, that figure has increased to 5.3%, reflecting significant growth in solar energy. However, with fossil fuels still comprising 30% of our energy mix, we must remain realistic about our energy strategy. Our trains are designed to be dual-powered, capable of operating on both electricity and diesel. This decision takes into account local challenges such as hurricanes, tornados, and other potential disruptions. In the event of a grid failure, we can quickly switch to diesel, ensuring uninterrupted train operations. However, it’s important to note that this is purely an emergency measure. Our primary goal is to maximize the use of green energy whenever possible. Our energy base will be centered around natural gas, a cleaner and more reliable option. Additionally, we are actively exploring waste-to-energy solutions as part of our commitment to sustainability. It’s crucial to diversify our energy sources because, while wind and solar power are valuable, they are not entirely reliable on their own. By considering multiple energy options, we ensure the resilience and sustainability of our railway system in the face of various challenges.

What challenges do you expect to face along the way, and how does Empresas Ares plan to tackle them?

One of our key concerns is the pressing need for expanded infrastructure to support our workforce. With 100,000 to 120,000 people working simultaneously across 11 provinces, the impact on each city will be significant—both positive and challenging. These workers will require accommodations, food, and recreational facilities, which presents a critical issue we must address. Companies establishing operations in these areas must prioritize the provision of social benefits for their employees. Beyond that, it’s essential to ensure access to healthcare services, including doctors, to maintain the health and safety of our workforce in these emerging centers. Looking ahead, we must also consider the medium-term challenge of housing for the families of these workers. Our goal is to mobilize resources to create living environments where entire families can thrive, ensuring that the benefits of this project extend beyond the individual workers to their loved ones as well.