Alternative Energy

Renewable EnergyAlternative energy refers to energy sources that have no undesired consequences such for example fossil fuels or nuclear energy. 

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Aim: To deliver a 10-15 MW geothermal power plant to St. Vincent & the Grenadines (SVG).
Partners: Reykjavik Geothermal, Light and Power Holdings Ltd, Government of St. Vincent and the Grenadines, Clinton Climate Initiative, VINLEC
Duration: 4 years
Cost: US $82M
Funding: Reykjavik Geothermal, Emera Caribbean Incorporated, GoSVG

Activities: Since the signing of the first Letter of Intent with the partners in January 2013:

  • A Kick-Off meeting was held on May 21st, 2013. This meeting involved all stakeholders of the Geothermal Development Project.
  • A desktop study was produced which was a summary and validated all previous studies and explorations.
  • Consultations were held in Sandy Bay on the 3rd and in Chateaubelair on the 4th of November. These consultations informed the surrounding communities on the geothermal surface explorations which were to take place.
  • Surface explorations were conducted on both the Leeward and Windward side of the island. A total of 34 of 50 intended points were tested.
  • A baseline ESIA was produced which outlined possible issues that may arise from specific activities and the methods of mitigation.
  • A report on the surface explorations was produced in March 2014 from which it was learned that there was some missing data from the testing due to the inaccessibility of the land.
  • Additional surface exploration has been completed which included LiDAR and multisensory mapping in the La Soufriere area.
  • Results have led to the identification of two preferred drilling sites in the Orange Hill area.
  • A community meeting was held in Orange Hill to engage the people and explain the processes what is to be expected.
  • The consortium has presented its Business Case to the GoSVG.

Status:

  • The Business Plan was presented to the Cabinet. The Clinton Climate Initiative (CCI) has engaged Delphos and the firm Holland and Knights from the US on behalf of the Government of SVG to conduct negotiations with the investors. Currently, documents such as the Stakeholders Agreement, Power Purchase Agreements and other legal documents are under negotiations in collaboration with the Ministry of Legal Affairs.
  • The CCI has also engaged the Carbon War Room and the Rocky Mountain Institute to conduct an assessment of VINLEC’s electricity grid, with support from the Global Environment Facility (GEF) amounting to $ 150,000 USD, to determine any challenges that may arise due to interconnection with the geothermal plant. Consultants visited SVG during the week of November 2, 2015 to collect data and conducted site visits of VINLEC’s generating stations.
  • Plans are being put in place to develop the infrastructure for the proposed drilling sites.

 

  • JICA has pledged its support for conducting the ESIA. They have hired international consultants Nippon Koei to conduct surveys and assessments of the proposed drilling sites. Two consultants have recently visited St. Vincent to conduct surveys with various stakeholders in preparation to assist with the development with their Scope of Works. During their visit, they identified some critical areas that need to be considered for compliance with the IF standards. These are; (i) the need for a biodiversity study, (ii) water availability assessment and (iii) a relocation plan for inhabitants at one of the proposed sites. The Geothermal Development partners have agreed to finance the biodiversity study if necessary.

 

  • The $15M US concessionary loan agreement from IRENA, through the Abu Dhabi Fund for Development will be signed soon. They have recently advised however, that it cannot be used for the drilling phase of the project, which is considered the most risky phase. It should therefore be used at a later stage when the resource has been confirmed.

 

  • The SVG Geothermal Resources Development Bill 2015 was passed in August 2015, which seeks to provide for the development and use of geothermal resources and other related matters.