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Sander In the ideal scenario both technical and financial cooperation projects are complimentary and are aware of the support schemes of the other actors. Sometimes, projects are approved by different donors for the same area. But generally, project stakeholders then define their areas of work and target group once project operation started. Regional banks provide additional support in their regions, are partially funded by their regional member countries and thus often have a closer surveillance over activities on the ground. Regional approaches are advisable, particularly in the Latin American context where the language sometimes proves to be a limiting factor in capacity building efforts overseas. Training courses in Spanish are therefore advisable. 4. CONCLUSION AND RECOMMENDATIONS Global experience shows that there are a number of ways to overcome the barriers to geothermal development within the context of power sector structure and business environment. What seems clear is that there is a need for mechanisms to overcome the upfront risks associated with resource exploration and confirmation, such as through upfront studies, geological prospecting, and test- drilling. In practice, such activities have been supported by the government or through public-private risk-sharing mechanisms. Interestingly, there are no proven record, to date, of an entirely private sector concession-based system for geothermal development as is common with other energy and natural resources At the regional level, regional power planning and regional risk sharing mechanisms are recommended. Given the relatively small size of the countries involved, i.e. in Central America, there is an advantage to consider a regional risk mitigation scheme. This can serve as incentive mechanism for public/ private investors. A more realistic assessment of geothermal costs and development prospects at the regional level would also help to prioritize geothermal versus other thermal and renewable technologies. From experience in other countries it is evident that the State plays a large role in the initiation and continued support of geothermal development. Development partners can thus only stimulate first geothermal projects and thereby demonstrate the viability of geothermal energy. In the long run the State together with the private sector and academic institutions has to take the leading role. REFERENCES BMZ (German Ministry for Economic Cooperation and Development) 2008. Entwicklungszusammenarbeit im Überblick. Bonn Brophy, P. and Poux, B. 2013. Status of Geothermal Development in the Islands of the Caribbean. GRC Annual Meeting 2013. http://www.geothermal.org/Annual_Meeting/PDFs/Caribbean_Update.pdf; 14 May 2014 Cardoso, R.R., Hamza, V.M., and Alfaro, C. 2010. Geothermal resource base for South America: A continental perspective. Proceedings World Geothermal Congress 2010, Bali, Indonesia, 25-29 April 2010 Chandrasekharam, D., and Bundschuh, J. 2008. Low-enthalpy geothermal resources for power generation. CRC Press 2008 ESMAP 2014. Global Geothermal Development Plan. Website: http://www.esmap.org/sites/esmap.org/files/DocumentLibrary/ESMAP_GGDP_Apr%202014.pdf; 8 May 2014 GIZ 2013a. Erneuerbare Energien und Energieeffizienz in Zentralamerika. http://www.giz.de/de/weltweit/13518.html; 12 May 2014 GIZ 2013b. Country fact sheets Central America. GeoT Expo, Essen, Germany Geothermal Risk Mitigation Fund 2014. Status update on GRMF. Website: http://www.grmf- eastafrica.org/news/116/Status+update+on+GRMF; 8 May 2014 Grunwald, R. 2012. Preconditions for Raising Capital for Independent Power Production Projects (IPPs). Presentation at the West African Clean Energy and Environment Conference 2012 Accra, 7th November 2012. Website: http://wacee.net/Home/Documents/Panel---Rolf-Grunwald---DEG.aspx; 9 May 2014 Guzman, R. 2013. Financing Risk Mitigation Instruments in LAC. GGDP Roundtable presentation, The Hague, 20 Nov. 2013; Website: https://www.esmap.org/sites/esmap.org/files/5-8%20GGDP%20Day2_IDB_Financing-Risk.pdf; 9 May 2014 Haraldsson, I.G. 2011. Geothermal activity and development in South America: Short overview of the status in Bolivia, Chile, Ecuador and Peru. Presented at “Short Course on Geothermal Drilling, Resource Development and Power Plants”, Santa Tecla, El Salvador, January 16-22, 2011 ICEIDA 2013. Final Project Document. Website: http://www.iceida.is/media/verkefnagagnabanki/Islandia---Nicaragua- Geothermal-Capacity-Building-Project---Project-Document.pdf; 19 May 2014 International Finance Corporation 2012. IFC in Latin America and the Caribbean - Creating Opportunity. http://www.ifc.org/wps/wcm/connect/45c632804d76a91ea96dbd48b49f4568/LAC+Brochure+ENGLISH+FOR+WEB+P DF.pdf?MOD=AJPERES; 9 May 2014 International Geothermal Association and International Geothermal Centre of Bochum 2011. Geothermal Power Plants in Central America. http://www.geothermal-energy.org/publications_and_services/news/article/regional-geothermal-power-plant- maps-produced.html; 25 April 2014 IRENA 2013. IRENA-Latin America Energy Organization (OLADE) Workshop: Geothermal Energy Development in the Andean Region. https://www.irena.org/menu/index.aspx?mnu=Subcat&PriMenuID=30&CatID=79&SubcatID=300; 12.05.2014 ISOR Iceland Geosurvey 2013. Geothermal Capacity Building Project (GCBP). http://www.geothermal.is/geothermal-capacity- building-project-gcbp; 12 May 2014 10PDF Image | Geothermal Energy Development in Latin America and the Caribbean and the Role of International Development Partners
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