The crucial role of CDB in the geothermal ambitions of St. Vincent
Under the GeoSmart initiative of CDB, the geothermal project in St. Vincent and the Grenadines received a total of $27 million in funding plus technical expertise from world-renowned geothermal firms
The start of the drilling of the St. Vincent and Grenadine’s geothermal project in La Soufrier was a historical event that ushers the nation’s shift towards a more sustainable and secure energy source. This project would not have been possible without the efforts of the Caribbean Development Bank (CDB) which secured a total $27 million funding from various contributors from the international community.
The partners that the CDB tapped to provide funding and technical expertise were the Inter-American Development Bank (IDB), the European Union’s Caribbean Investment Facility (EU-CIF), the United Kingdom’s Department for International Development (DFID), and the Government of New Zealand.
The SVG geothermal project was funded under the CDB’S GeoSmart initiative that aims to mobilize funding and technical expertise for geothermal development projects in the Eastern Caribbean countries. “The cost of energy in the region is among the highest globally and this impacts our competitiveness and growth prospects,” said CDB Vice President of Operations Monica La Bennett. “Thus, CDB has been supporting the use of our natural resources to produce clean and low cost energy.”
SVG Prime Minister Dr. Ralph Gonsalves also credited the CDB for helping the Government increase its ownership of the geothermal project from the initial 25% stake. Through a higher equity contribution, the Government will be in better position to impose low electricity prices to consumers.
Source: Caribbean Development Bank