DOMINICAN Prime Minister Roosevelt Skerrit Tuesday told an international donors conference that his Administration has provided nearly 50 per cent of the EC$150 million (One EC dollar=US0.37 cents) spent to date on Dominica seeking to develop its geothermal energy sector.

The conference is an initiative of the Government and the International Renewable Energy Agency (IRENA), together with the United States Department of State and partners in the United Nations.

“Dominica is indeed grateful for your support and cooperation over the years in this particular endeavour, and we look forward to forging new links and building on the gains we have enjoyed thus far,” Skerrit told the conference, adding “This is an opportunity to review our successes and decide together, how we march on to the completion of Dominica’s geothermal energy project.”

He said the Dominica Government took the leap into renewable energy development over a decade ago and that with no fear of contradiction, “I can safely say that geothermal energy exploration is a gruelling, arduous process.

“But we have stuck with it because we are convinced the long-term benefits far outweigh the downsides,” he said, noting that one of the takeaways is that combining renewable energy exploration with the need to build resilience, and the realities of small-island infrastructure and topography are not for the faint-hearted, and it is not cheap.

“In fact the costs associated with geothermal exploration are astronomical, and often over the past years we have had to consider the wisdom of continuing with this ambitious project.

“Consider the roadblocks to our progress which have come in the form of a pandemic, successive storms and hurricanes, geopolitical upheavals, and procurement challenges. It is also not easy being the first…a pioneer of sorts in our region.

“We have the scars to show for this but we have kept our eyes on the prize of reduced electricity costs for all citizens, the ability to generate 100 per cent of our electricity from renewable sources, and the prospect of a new source of revenue for the State from the sale of excess energy to our neighbour.”

Skerrit told the conference that when the geothermal plant in the Roseau Valley comes online it will result in reduced costs of doing business and will increase foreign direct investment, he said, acknowledging that “we are the first to admit it has been a long journey marred by bumps along the road”.

“But we have had successes. This year we completed drilling on two additional geothermal wells. In the coming months we anticipate construction will commence on the 10MW power plant in Laudat [a small village in the interior of the island], as well as the building of a new high-capacity transmission network.”

Skerrit said these latest developments and the island’s incremental successes over the past decade are due, in large measure, to the generosity of international partners whom he described as “an indispensable part of the process”.

He said more than US$55 million has been invested so far in the geothermal project, with 45 per cent of the cost being shouldered by the Government, “but significantly, 55 per cent of this funding has come in the form of infrastructure grants and technical assistance from our partners”.

“Infrastructure grants have been the key to our progress. We have observed that it is easier to secure technical assistance than these infrastructure grants but without them we probably would not be where we are today, so I extend particular thanks to the European Union and the Government of France for the early grants which helped us to drill our first three wells.”

Skerrit said that the United Kingdom,”a valued partner”, has contributed US$10 million used to fund the drilling activities completed earlier this year.

“In fact, the team has considered painting a UK flag on one of the recently drilled wells! We also want to recognise the SIDS DOCK organisation and Clean Technology Fund for their monetary contributions allocated to additional infrastructure development.”

Skerrit said the conference today is about extending “our cooperation to take us over the finish line and to demonstrate to the region and small island developing states across the globe that, regardless of our size and limited capacity, we can take the lead in renewable energy development. Despite our vulnerabilities, we can make major moves to transform our world, secure our economic futures, and reverse the worrying trends associated with climate change and energy security.

“In our particular case, we are confident that exploration of this readily available, reliable, clean and safe energy option will further position Dominica to confront the effects of disaster and other economic shocks which plague our development.”

Skerrit said the Government would continue to look to those who have already contributed to continue their support of this venture, “and we invite new partners to be part of this success story — because we are fully confident it will be a success story. Certainly, you will agree that we have come too far! The only way forward is to ensure that Dominica has the means and backing to forge ahead to the full commissioning of a geothermal energy plant in the Roseau Valley”.

Earlier, Energy Minister Dr Vince Henderson said while he would not want to put a financial tag on the outcome of the conference, Dominica is already undertaking two separate activities to ensure the success of its geothermal project.

“We are constructing a geothermal power plant in Laudat, and thank God we have done all the preliminary works! It is now really to construct the power plant — we have drilled the wells, we have tested the resources, we have designed and developed the plant, so it is just…a significant investment of EC$60 million (One EC dollar=US$0.37 cents).

“We have a development partner ready to develop this project, ready to finance this project, but what we are doing is seeking to mobilise our partners at the Caribbean Development Bank, who will be here as well, and other partners to assist us.”

Henderson said Dominica is also looking towards the Caribbean Community (Caricom) Development Fund “so that they can assist us with concessional funding to ensure that the rate payers in Dominica can get the lowest possible tariff.

“So, we have brought these partners in to hear about our plans but we have also brought the partners in to hear about the second part of the project, which is the construction of transmission lines, moving from Laudat to Fond Cole on the outskirts of the capital.

“Fortunately, we have already secured the funds for that…so that is not what we will be asking them to commit to but [instead] the second part of the transmission system — which is from Fond Cole to Sugar Loaf in Portsmouth, north of here — with a heavy price tag to ensure that we build a resilience line [with] as much undergounding as possible, sturdier towers than can withstand high winds….”

He said Dominica is looking at mobilising almost US$50 million for this aspect of the project.