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Conclusion According to Victor Bolano, Vice President for Latin America for ABB Energy Ventures, Latin America will add 283.4 GWe of installed capacity by 2020, up from the region’s current capacity of 168.1 GWe , and bringing total installed capacity to 451.5 GWe (see table on the following page).7 With over 50 GWe of estimated power potential, geothermal energy can and should supply a portion of the additionalcapacityrequired. Todate,however,geothermal development by U.S. companies is recent across the region and primarily in Central America where geothermal power generation has a comparative advantage. Hurricane Mitch; the U.S. and multilateral assistance effort which has followed based on the premise to “Build back better;” and SIEPAC, the proposed regional electric grid, may provide additional impetus to development of the region’s substantial geothermal resources. 7 Caribbean Central America South America Total 16,390 19,720 14,660 50,770 Region Geothermal Potential (MWe) Power in Latin America, December 1998, pp. 7-8. Geothermal Resources in Latin America & the Caribbean 187 Geothermal power, in addition to easing Central America’s debtproblems,willalsooffsetglobalgasemissions. A Carbon Dioxide (CO2) Market could make geothermal power competitive with thermal power, reducing its price from 6-7¢/kWh to 4.5-5.0¢/kWh. ElsewhereinLatinAmerica,thenewsislessoptimistic. In the Caribbean, there are unconfirmed reports that the St. Vincent project has been put on hold due to financing difficulties. And,furthersouthinSouthAmerica,low electricity prices make geothermal power generally uncompetitiveinfreemarket-basedpowersectors. The sole geothermal plant located in Argentina has been shut down.PDF Image | Geothermal Resources in the Caribbean and Latin America
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