The Instituto Costarricense de Electricidad within the framework of the Pailas II geothermal project is putting out to tender design of the plant, with a capacity of 55MW and supply of the main materials and electro-generating equipment.
International tender
Government Purchase Costa Rica 2015LI-000001-PROV:
"DESIGN OF PLANT AREA FOR PAILAS II WITH A CAPACITY OF 55 MW AND SUPPLY OF KEY MATERIALS AND ELECTRO GENERATOR UNITS."
Preparations are being made for the end of January for the tender documents for the supply of building materials and equipment for generators at the Pailas II geothermal project.
The tender, which the Instituto Costarricense de Electricidad (ICE) was going to hold last year, includes a contract for the supply of generating equipment and materials to build the powerhouse.
President Solis has rejected the possibility of harnessing geothermal energy in national parks describing their exploitation as "unnecessary".
While discussions continue at the national roundtable on energy which will supposedly inform the government and the public of its findings in the month of March, President Solis has already ruled out the use of geothermal energy in protected areas.
The Italian company Enel Green Power will be selling its stake in the geothermal electricity station LaGeo, which could end to the dispute between the company and the Salvadoran government.
As outlined in an article on Laprensagrafica.com, a transfer of the 36.2% stake belonging to Enel has been valued at $280 million, payable via a trust based on the future flows from LaGeo, an instrument which must be operational before December 15th, 2014.
The Attorney General Prosecutor's Office has announced that the government and the Italian company Enel Green Power have reached an agreement to end the conflict over the ownership structure of LaGeo.
From a statement issued by the Attorney General of the Republic of El Salvador (FGR):
Washington, DC The State of El Salvador and the Italian company ENEL Green Power have reached a framework agreement with a comprehensive solution to the existing dispute over the ownership structure of the company LAGEO SA de CV.
At the request of the parties, arbitration and dialogue has been suspended for 30 days in order to reach an agreement over the shareholding structure of the company LaGeo.
From a statement issued by the Government of El Salvador:
Talks to find solutions to disputes between the State of El Salvador and the Italian company ENEL Green Power, over the ownership structure of the company LAGEO SA, de CV, started today in Washington, DC, with a meeting taking place on the premises of the International Centre for Settlement of Investment Disputes (ICSID), which is the forum for arbitration and conciliation of the World Bank Group.
Representatives from the two governments signed an agreement for exploration of investments in Nicaraguan geothermal energy.
The agreement was signed by Minister of Industry and Innovation in Iceland Elin Ragnheidur Arnadottir and the Minister of Energy and Mines, Emilio Rappaccioli from Nicaragua.
Elnuevodiario.com.ni reports that "... The Icelandic delegation also included an expert in geothermal parks, Albert Albertson, who visited volcanic areas and power generation projects being developed by Nicaragua in the geothermal sector."
As part of the Geothermal Energy Master Plan a delegation of experts will be arriving from the volcanic country where 100% of the energy matrix is renewable.
Nicaragua's Geothermal Master Plan has identified 10 potential sites for geothermal generation of about 1,700 MW, located along the Pacific volcanic range.
Currently there are two geothermal fields in operation, Momotombo and San Jacinto Tizate, while El Hoyo-Monte Galan and Managua-Chiltepe and Casita-San Cristóbal Volcano have been given in concession to private companies for studies of geo-scientific exploration.
A third of the generation contracts signed before the date of efficacy of the General Electricity Law, which expire in 2019, will be renovated under tender PEG-4 which is being prepared by the state run power company for 2015.
To renew these contracts is important that Empresa Electrica de Guatemala SA (EEGs) "... Suggests and asks for the terms of reference from the entity it is responsible for ...
On November 4th, Guatemala City will host a regional summit on energy investments in Central America.
From A statement issued by the Government of Guatemala:
The minister Erick Archila has announced that Guatemala will host a summit on energy investment in the countries of the Mesoamerican region which will take place on November 4, convened by the Ministry of Energy and Mines (MEM).
The deputy leader of the ruling bloc has presented a bill that authorizes the state power company to exploit geothermal energy in protected areas: national parks, biological and forest reserves and wildlife refuges.
"It is nonsense, from an economic, social and environmental standpoint, that the country is rejects the use of existing stocks of geothermal resources in protected areas, like those for example in national parks or forest reserves."
The Assembly has approved the amendment to the law that gives the state a 10% share of all concessions for exploration and exploitation of geothermal resources.
Unlike the hydrocarbons reform law, this amendment was adopted unanimously, giving the Nicaraguan Electricity Company authorization to represent the State in the exploration and exploitation activities of geothermal resources that are carried out in the country.
In the Legislature a bill is being introduced that gives the state a minimum holding of 10% in energy projects of over 100 MW.
With the reform of the law of Exploration and Exploitation of Geothermal Resources compulsory state participation in these projects is authorized. Companies in the sector believe that "... giving the state minimum participation will not jeopardize investments."
Although the installed capacity is currently small, strong growth is projected in the region as a result of tenders with prices that favor large-scale projects.
A report by IHS Technology predicts rapid growth of photovoltaic capacity in Central America, which will supposedly reach 22 megawatts in 2018.
In reading this report, it should be noted that the country experiencing the largest part of that growth is Honduras, where multiple large-scale projects have been announced in which we have not yet seen the required economic viability, which casts serious doubts on their actual realization.
The law reform which is being prepared by the government establishes that future exploration and exploitation of geothermal power will have to be carried out in partnership with the state.
The head of the Sandinista parliamentary group, Edwin Castro, said that the reform draft states that "... the Nicaraguan Electricity Company (ENEL by its initials in Spanish), will represent the state for private companies that operating thermal energy generated from volcanoes ... (allowing) for 'greater income' ... from geothermal projects. "