The Congress of Costa Rica has finally approved a $500 million loan for the state electricity company to carry out electric generation and transmission works, including three geothermal plants.
Of the total amount of the loan with the Inter-American Development Bank (IDB) approved by the Legislative Assembly, close to $200 million will be used to finance the Pailas II, 50 MW, and Borinquen I, 55 MW geothermal projects, both in Liberia, Guanacaste.
One of the three companies that carried out geophysical studies to determine the possible existence of oil and natural gas in Panamanian soil, has announced that it has completed its data collection process.
The company GX Technology has completed data collection on the content of the coast and sea of the Panamanian Caribbean.From now on, the National Energy Secretariat can start to put out to tender the blocks for exploration of gas or oil fields.
Using an IADB loan electrical substations will be built and a technical feasibility study made for exploitation of the geothermal potential in the field of Cosigüina.
From a statement issued by the Inter-American Development Bank:
Nicaragua will be expanding its levels of renewable energy generation and improving the electricity transmission system through a US $103.4 million financing project from the Inter-American Development Bank (IDB).
According to the CNEE the current available power will be able to supply the market for more than 15 years, even in a scenario with increasing demand, therefore it is not recommending new tenders in the short term.
The 'Conclusions' section of the document "Indicative Plans for Generation and Transmission 2016" by the National Electric Energy Commission (CNEE by its initials in Spanish) :
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.
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.
Employers claim that the country has the potential to exploit this energy, but the processes for obtaining environmental permits is being held up, in some cases by up to three years.
At the moment, geothermal energy makes up 25% of the country's energy mix, but experts in the field say the exploitation potential is even greater. However, the cumbersome and lengthy procedures to be followed to obtain operating permits is discouraging private investment.
The loan approved by the World Bank will add to the $50 million already authorized by the entity for 2015 and will be used to finance geothermal exploration projects.
The Minister of Finance, Ivan Acosta announced that this additional loan was approved because of the the satisfactory manner in which the country has implemented the funds granted by the bank.
In 2013 63% of the electrical energy fed into the transmission networks in the region was generated from renewable sources.
From a report entitled "Central America: production statistics for the electricity subsector, 2013", prepared by the Economic Commission for Latin America and the Caribbean (ECLAC):
"... The production of electricity in the six countries amounted to 45,735 GWh, 3.3% higher than in 2012.
The Executive is proposing a reform of the law on exploitation of geothermal resources to extend the period of the concessions granted to foreign companies from 25 to 30 years.
In order to encourage investment in the energy sector, the reform of the "Law on Exploration and Exploitation of Geothermal Resources" , sent by President Daniel Ortega to Parliament also proposes increasing the extendable term requested from the State by companies with exploitation rights, from 10 to 30 years.
The government of Nicaragua is exploring funding options for the development of a plan for taking advantage of the country's geothermal potential.
The plan is to conduct studies on the potential of this kind of generation and offer the project to private investors. "We are in talks with financial institutions to see if we can get funding for such studies, to encourage and develop geothermal energy," said Lorena Lanza, Deputy Minister of Energy and Mines.
After an initial phase of exploration in Chinameca, San Miguel, LaGeo is to start feasibility studies for a 50 MW plant.
"The whole project takes four years from drilling up until it is exploited, depending on the soil type you have. We believe that it will be functioning by 2016 or 2017," said the president of the geothermal power generation company (LaGeo), Julio Valdivieso.
With an investment of $1.5 billion El Salvador could add 440 MW to the 204 MW already produced with geothermal energy sources.
The projections were made by Julio Valdivieso, president of the company LaGeo . Furthermore, Toshitaka Takeuchi, energy specialist at the Banco Interamericano de Desarrollo (BID), said El Salvador could generate up to 644 megawatts (440 megawatts more than it already has as installed capacity).
From 10 to 11 October the fifth International Symposium on Energy will be held, organized by the Union of Industrialists of Panama (SIP in Spanish) and the National Energy Secretariat.
The International Symposium on Energy is being held in order to find viable solutions with low environmental impact to energy problems and encourage the exchange of ideas and experiences in a national and international forum for discussion and negotiation.
Congress has approved a contract for the use of waters by a geothermal plant in Platanares which will produce 35 KW.
The approved contract gives the operator the same time period for exploiting the resource as projects generating electricity from renewable resources and makes them responsible for any damages incurred by their work.
"Article one of the a decree approves 'each and every one of the parties a contract, for the use of domestic water for geothermal power generation, between the Ministry of Natural Resources and Environment via the Platanares Geothermal Project', in the municipality of La Union department of Copán," published Laprensa.hn.