- Dominica Gov’t goes to parliament for funding of geothermal plant
On Friday, the Dominica government will seek parliamentary permission to for Finance Minister Dr Irving McIntyre to secure a bank guarantee from the National Bank of Dominica in the amount of EC$13.5 million (one ECC dollar equals US$0.37 cents) for the development of a geothermal energy plant.
The plant will be built in Laudat, a small village in the island’s interior, and the Roosevelt Skerrit administration stated that the funds will be used to secure the commitments made in the project financing agreement signed with the Geothermal Power Company of Dominica, which is owned by Ormat Technologies Inc of Nevada, for the construction of the geothermal power plant.
The deal, agreed on the sidelines of the United Nations Climate Change Conference (COP 28) earlier this month in Dubai, aims to stabilise power pricing, reduce reliance on fossil fuels, and appropriately use the island’s abundant geothermal resources.
Ormat Technologies Inc. will finance, build, operate, and maintain the power plant and geothermal wells for a period of 25 years, according to the deal.
Dominica, on the other hand, will maintain ownership of invested assets such as wells, lands, and so on.
The power plant and acquired assets will be delivered to the Dominican government at the end of the contract.
According to the government, it has been successful in confirming the potential of the Roseau Valley geothermal resource and has started moves towards commercial operations.
It said seven geothermal wells were sunk near Laudat, Wotton Waven, and Trafalgar, north east of the capital, providing a geothermal resource capable of supporting 10 megawatts of electrical generation.
The government also stated that it has designed and tendered for the construction of a new efficient and resilient electricity transmission network from Roseau Valley to Fondcole, on the outskirts of the capital, connecting the geothermal power plant to the hydroelectric power plants and the national grid.
