Skip to main content

Ormat Secures USD 50M to Power Dominica’s First Geothermal Plant

Dominica’s Clean Energy Leap: Ormat Secures USD 50M for First Geothermal Plant

Posted on August 19, 2025

By Robert Buluma

In a groundbreaking stride for renewable energy in the Caribbean, Ormat Technologies Inc. clinched USD 50 million in project financing for Dominica’s first-ever geothermal power plant, marking an unprecedented milestone for the region’s clean energy ambitions.

Financing & Strategic Backing

The funds come courtesy of the Caribbean Development Bank (CDB) and the CARICOM Development Fund (CDF), with legal advisory provided by Arnold & Porter. This transaction represents the first project financing of a geothermal facility in the Caribbean a landmark for the region’s renewable energy sector.

Project Overview

  • Capacity & Cost: The initiative entails building a 10 megawatt (MW) geothermal plant in Dominica’s scenic Roseau Valley, with total projected costs nearing USD 62 million.
  • Development Structure: Structured under a concession agreement with the Commonwealth of Dominica and supported by a long-term Power Purchase Agreement (PPA) with the local utility DOMLEC.

What This Means for Dominica

Once operational anticipated by January 2026 the plant is expected to produce over 63% of the country’s electricity from clean, renewable sources. That’s a quantum leap toward energy security, slashing reliance on imported diesel, lowering costs, and driving down carbon emissions.

The Bigger Picture: A Wake-Up Call for Clean Energy in the Caribbean

Historically, Dominica has depended heavily on imported diesel over 90% of its energy needsresulting in significant economic and environmental costs. The island sits atop substantial geothermal potential: studies estimate this could surpass current peak demand (roughly 18 MW) by up to 50 times.

This new financing builds on earlier moves, including a USD 34.8 million loan approved in December 2024 under the CDB’s GeoSmart Initiative aimed at bringing this vision closer to fruition.

Why This Matters

  • Replicable Model: Dominica’s project sets a promising example for other Caribbean nations and beyon on how tailored public finance, concession-based structures, and solid PPAs can de-risk and attract private investment into geothermal energy.
  • Climate Strategy in Action: The shift underscores the region’s commitment to reducing fossil fuel dependency, combating climate change, and enhancing resilience.

Ormat’s USD 50 million financing deal for Dominica’s geothermal project is not just an investment it's a beacon of sustainable hope. Poised to deliver clean, reliable energy while shrinking carbon footprints and stabilizing electricity costs, this is a pivotal moment for clean energy in the Caribbean and a compelling model for green transitions globally.

Source; Renewables

Connect with us: X, LinkedIn

Comments

Post a Comment

Hot Topics

Exceed Geo Energy Partners with PMDD on Historic 110-MW Geothermal Project

PMDD and Exceed Geo Energy Sign Historic 110-Megawatt Geothermal Agreement in Presidio By:  Robert Buluma Presidio, Texas is on the verge of an energy and economic revolution. On May 22, the Presidio Municipal Development District (PMDD) and Exceed Geo Energy signed a transformative 110-megawatt geothermal power purchase agreement (PPA) term sheet—an ambitious commitment that promises to redefine the region’s future. This groundbreaking framework, unveiled during the inaugural “Presidio Vision 2035” student competition, will provide Presidio with reliable, clean, and constant power, far surpassing current local demand. More importantly, it lays the foundation for attracting industries like data centers, manufacturing plants, refrigerated logistics, and agricultural processing facilities to this vital U.S.–Mexico trade corridor. A New Era of Clean Energy and Economic Growth John T. Kennedy, Executive Director of PMDD, emphasized the transformative scale of this agreement: “T...
Post a Comment
Read more

Pentagon Expands Geothermal Push to Strengthen Military Energy Security

Pentagon’s Power Play:  DoD Expands Geothermal Push to Fortify U.S. Military Energy Security By:  Robert Buluma In a move that blends cutting-edge clean energy technology with the uncompromising demands of national security, the U.S. Department of Defense (DoD) is ramping up its geothermal initiatives to ensure mission assurance and round-the-clock power for military installations. The stakes are high — with threats from wildfires, extreme weather, cyberattacks, and power shortages looming larger than ever, the Pentagon is betting on geothermal’s resilience to keep bases operational no matter the conditions. A United Front for Energy Resilience Through the Defense Innovation Unit (DIU) , the DoD is partnering with the Air Force, Army, Navy, and Marines to de-risk geothermal development and pave the way for full-scale power plant construction on military bases. Six geothermal innovators have been tapped for the mission: Eavor  – Pioneers in closed-loop geotherma...
Post a Comment
Read more

Mercury, Contact Lead NZ's Supercritical Geothermal Energy Revolution

🌋 From the Ground Up: New Zealand’s Bold Leap into a Supercharged Geothermal Future By:  Robert Buluma In the heart of New Zealand, beneath the rugged volcanic landscapes and steaming geysers, lies an energy revolution waiting to erupt. On July 30th, 2025, a powerful message echoed from the geothermal capital of the Southern Hemisphere — New Zealand is not just embracing its geothermal potential; it is preparing to unleash it. With the unveiling of the draft strategy titled From the Ground Up , the government, led by Minister Shane Jones for Resources and Regional Development, signaled a transformative shift in how the nation will harness the heat beneath its feet — and it's as ambitious as it is inspiring. 🔥 A Legacy Forged in Steam New Zealand’s geothermal story is deeply rooted in its identity. Long before turbines spun and power grids buzzed, Māori ancestors were using geothermal waters for warmth, healing, and cooking. Geothermal, or waiwhatu , is more than a resource — ...
Post a Comment
Read more

Germany Maps 150+ Deep Geothermal Projects, 2000MW Planned

🌍 Germany’s Geothermal Boom: 2,000 MW in the Pipeline as New Map Reveals Over 150 Deep Geothermal Projects By: Robert Buluma Germany is turning up the heat—literally—on its clean energy future. A newly released map from the German Geothermal Energy Association (BVG) shows a dramatic surge in deep geothermal energy projects across the country. Titled "Deep Geothermal Projects in Germany," the map offers a comprehensive snapshot of over 150 geothermal projects currently in planning, with a staggering potential to generate up to 2,000 MW of thermal energy , and in some cases, electricity. 🔍 Current Geothermal Landscape in Germany According to the BVG, there are now: 42 operational deep geothermal plants 31 provide only heat 9 produce both heat and electricity 2 generate electricity exclusively 16 plants currently under construction 155 new plants in the planning phase 8 research facilities 170 thermal baths powered by geothermal sources The currently installed capacity stan...
Post a Comment
Read more

Cornwall’s Geothermal Gamble: Council Delays Decision on Slaughterbridge Power Plant

Cornwall’s Geothermal Gamble: Delay Sparks Debate in Slaughterbridge Published: 22 August 2025 By:  Robert Buluma Cornwall at a Crossroads: Energy Opportunity or Environmental Risk? Slaughterbridge, Cornwall – A decision that could have marked a major leap toward renewable energy in Cornwall has been put on pause. Cornwall Council has deferred its judgment on a proposal by Geothermal Engineering Ltd to drill into the hot rocks beneath Slaughterbridge, near Camelford. While the initiative promises clean energy and economic growth, concerns over environmental risks have left the project on hold—for now. What’s on the Table? The heart of the plan, known as Tregath Geothermal , is ambitious: tapping into underground thermal heat to supply about 4.9 MW of renewable baseload electricity to the National Grid. Supporters say it would reduce Cornwall’s reliance on fossil fuels, create jobs, and inject roughly £2 million into the local economy. Sound appealing, right? Fear Benea...
Post a Comment
Read more

GeoTHERM 2026: Call for Papers and Tickets Now Open

Join the Movement: GeoTHERM 2026 – Call for Papers & Tickets Now Open By : Robert Buluma The world’s leading gathering for geothermal energy innovation is taking shape once again! GeoTHERM 2026 – Expo & Congress invites geothermal experts, researchers, and industry leaders to be part of shaping the future of geothermie . What’s Happening & When? Mark your calendars— GeoTHERM 2026 will take place on 26 and 27 February 2026 in Offenburg, Germany —a thriving hub dubbed the “centre for future energy in Europe.” As Europe’s most significant geothermal trade fair and congress, this event serves as a springboard for professional exchange, technological showcase, and strategic networking. Ticket Shop Now Open Secure your spot now— the GeoTHERM 2026 ticket shop is officially open ! This is your chance to join the geothermal community in person, access cutting-edge insights, and engage with industry peers. Join the Scientific Programme: Call for Papers Now Live Calling all ...
Post a Comment
Read more

UK Launches Geothermal Platform to Power the Net Zero Future

Unlocking the UK’s Geothermal Future: A New Platform for Decarbonisation By:  Robert Buluma The UK has just taken a bold step toward a cleaner energy future with the launch of the UK Geothermal Platform , an innovative government-funded initiative designed to highlight geothermal potential across the nation. Developed by the British Geological Survey (BGS) and funded by the Department for Energy Security and Net Zero (DESNZ), this platform is set to become a game-changer in the race to net zero. What is the UK Geothermal Platform? At its core, the platform is an interactive map and data hub that brings together a wealth of geoscientific information—spanning national to local scales—about the geothermal resources lying beneath Britain’s surface. From shallow ground-source heat pumps to deep geothermal systems in granites, the tool allows decision makers, developers, and researchers to evaluate the geothermal potential of any area with ease. Dr. Alison Monaghan, head of geotherm...
Post a Comment
Read more

Innargi Deep: Seismic Surveys Spark Geothermal Heating RevolutionHeading: Łódź DiINNARGI Digs Deep: Seismic Surveys Spark Geothermal Heating Revolutiong Revolution

🌍 Seismic Surveys Kick Off Geothermal Exploration in Łódź Why Łódź is Going Underground for Clean Heat By:  Robert Buluma In an exciting development for climate-focused energy innovation, the Danish company Innargi has teamed up with Veolia Energia Łódź to explore the geothermal potential beneath the city of Łódź, Poland. A letter of intent signed in late 2024 formalized their long-term partnership to decarbonize the city's district heating system by tapping into renewable geothermal resources. Mapping the Earth: What’s Happening & When Starting around August 11, 2025 , seismic surveys are scheduled to begin across four routes covering approximately 160–186 km throughout the city. Specialized vibro‑trucks will send controlled vibrations—lasting roughly 20 seconds—into the ground. These signals are captured by geophones placed in advance along the planned routes. The data will be used to build a detailed subsurface map in just 4 weeks . Survey operations are prima...
Post a Comment
Read more

🔥Geothermal Gold Rush: BLM New Mexico Opens Land Nominations for 2026 Lease Sale🔥

Santa Fe, New Mexico – In an exciting move for the geothermal industry, the  Bureau of land Management (BLM) New Mexico State Office is officially welcoming nominations for geothermal leasing ahead of its upcoming lease sale, expected to take place in March 2026 . By : Robert Buluma If you’ve been eyeing geothermal development opportunities, the clock is ticking— all nominations must be submitted by September 25, 2025 . ⚡ Why This Matters Geothermal energy is a game-changer. It's clean, renewable, and offers reliable baseload power—something wind and solar can’t always guarantee. As climate action intensifies and demand for sustainable power surges, tapping into the Earth’s heat is becoming one of the most promising frontiers in the American West. The BLM plays a pivotal role in this transformation, managing 245 million acres of public lands and 700 million acres of subsurface mineral estates across the country, making them a key player in the geothermal energy boom. Geothermal...
Post a Comment
Read more