Dominica Electricity Services Limited, DOMLEC, says it will begin purchasing electricity from the geothermal power plant at the full commercial rate once the facility officially enters commercial operations.
The announcement follows the agreement signed between the Government of Dominica, DOMLEC and Ormat Technologies Incorporated for the development and operation of the 10-megawatt geothermal plant in Laudat. The agreement was finalised in December 2023 during COP28 in Dubai.
Under the arrangement, Ormat financed the construction of the geothermal facility and will operate and maintain the plant and geothermal wells for a 25-year period. Government will retain ownership of the wells, lands and several key assets connected to the project.
During the commissioning and testing phase, DOMLEC has been purchasing electricity from the plant at a discounted rate. Public Relations Officer at DOMLEC, Ayeola George, said, “Geothermal power contributed 26 percent of electricity generation in April 2026,” George added that renewable energy overall accounted for 51 percent of electricity supplied to the national grid during the same period.
George explained that, “If the cost of geothermal was calculated at the commercial rate for the current period, it would still be lower than if there were no contribution from geothermal”.
DOMLEC says the expansion of geothermal generation is expected to reduce the country’s dependence on imported fossil fuels, improve long-term energy stability, and reduce exposure to fluctuating global oil prices.
The geothermal development project forms a major part of Dominica’s stated objective of achieving full renewable energy generation by 2030.
Commercial opening of the geothermal plant is expected to further increase the percentage of renewable energy entering the national grid as testing and commissioning activities move toward completion.
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