OREANDA-NEWS. Fitch Ratings expects Colombian gas transportation and distribution companies to remain stable in 2016, supported by the strength and predictability of cash flows, low volume risk exposure, and favorable tariffs as installed capacity increases. Fitch expects leverage increases, offset by adequate liquidity positions, long-term maturity profiles and proved access to funding.

Natural gas demand is expected to remain strong in 2016, driven by thermal electrical generation needs due low hydrology expectations, which is demanding in terms of capacity and flexibility to meet peak consumption.

Fitch expects gas utilities to continue aggressive investment plans in pursuit of growth opportunities in Colombia and abroad, funded mainly by companies' strong internal cash flow generation.