In the next five years the government expects to attract new private investment to add to the 1300 MW of renewable energy projects in the energy matrix.
Currently, 80% of power generation plants operating in the country are privately owned, and the Ortega administration has announced that it will continue to offer attractive terms to encourage the arrival of new private investment into the energy sector.The 2017-2030 plan envisages the incorporation of 1300 MW into the energy matrix,"... '(projects) that are open to all national and foreign investors who are participating.'"
The private sector disapproves the action taken by the Ministry of Energy to reduce the amount of energy generated from wind and bagasse which is injected to the national grid.
This measure which seeks to reduce the energy input of these sectors comes at a time when wind and bagasse plants are operating at full capacity, therefore there is a direct impact on their finances.
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.
On August 20th and 21st energy companies in the sector in Latin America will meet in Managua to discuss issues related to energy management in the countries of the continent.
The Latin American Energy Organization and the Ministry of Energy and Mines of Nicaragua are organizing the event, to be held on 20th and 21st August in Managua.
Given the perennial delay over Tumarín, Nicaragua is considering reactivating and concessioning the Copalar hydroelectric power project which has a capacity of 150 MW and a cost of $213 million.
This is one of the projects in the the Nicaraguan Government's contingency plan which will be undertaken instead of Tumarín, in the case that it does not come to fruition.
Nicaraguan millers are preparing investment projects that will increase their sugar production and the generation of energy from sugarcane bagasse.
However, "this industry requires the state to favor them with better incentives and other conditions that were raised in the proposed amendments to the Law on the Promotion of Renewable Electricity Generation, submitted to the Ministry of Energy and Mines (MEM ) ", reported Laprensa.com.ni.
With an investment of $12 million financed by Japan, a plant is being built in LaTrinidad, Diriamba, which will have 534 solar panels that produce 900 Kw.
"A part of the energy will go to the community of La Trinidad, which does not have this service, and another part will be sold. The project is being coordinated by a delegation from Japan, the Ministry of Energy and Mines and the city of Diriamba," reported Laprensa.com.ni.
The volcanic mountain range of los Maribios could potentially generate more than 1,500 megawatts for the country.
Studies by the Ministry of Energy and Mines (MEM) estimate that the volcanoes of the Los Maribios range, along the Pacific area, could give the country a generation potential of more than the 1,500 megawatts in 12 areas or geothermal fields, a capability that could liberate Nicaragua from dependence on oil as a source of electricity.
Nicaragua managed to cover 48% of the population’s domestic demand with renewable energy, producing 219.8 MW.
A press release by ProNicaragua reads:
Nicaragua managed to cover 48 percent of the national demand from the population with renewable energy, producing 219.8 megawatts of power from wind farms, hydroelectric, biomass and geothermal stations, according to data provided by the Ministry of Energy and the National Center for Cargo Dispatch.
With Japan's help, Nicaragua is to build its first photovoltaic project capable of producing more than 900 kilowatts of solar electricity.
A donation from the Japanese government will enable the Nicaraguan Ministry of Energy and Mines to develop a joint project with the town of Diriamba to produce solar power, the first of its kind in Central America and the first in Nicaragua on such a large scale, according to Bismarck Pérez, the local Mayor.
The government granted licenses to two companies for operation and maintenance of two hydroelectric power plants.
The permits were granted to Hidroeléctrica Piedra Puntuda S.A. and to Energía Tropical Sostenible Cerro Frío S.A.
"The first permit is for project Piedra Puntuda, which will build a hydropower plant with an installed capacity of 15 megawatts at Mico River, in the municipality of Muelle de los Bueyes, in the Southern Caribbean ...
In a period of no more than four years the Government has set to have the hydroelectric dam on Rio San Juan built.
With a $ 600 million investment, the Brito Project will become the largest source of electricity generation in the country by the year 2015, with a capacity of 250 megawatts.
Elnuevodiario.com.ni reports, "The Ministry of Environment of Nicaragua has renewed the license to a Brazilian business group for feasibility studies.
The Inter-American Development Bank has given $70 million to the National Program for Sustainable Electrification and Renewable Energies.
This program requires a global investment of $350 million and aims to enable electrical power in 84% of the country by 2014, and to take the percentage of energy generated through renewable sources from 30% to 80%.