The Caribbean is set to make history with its first industrial-scale green hydrogen geothermal project. The Commonwealth of Dominica's government signed a framework agreement with the Dominica Geothermal Development Company (DGDC) and Kenesjay Green Dominica Limited (KGDL) to harness the country's geothermal resources for green hydrogen production. The project aims to produce green hydrogen and green electricity that can be used for both export and local consumption.
According to the agreement, the joint venture company will be established to raise investments and deliver the large-scale geothermal production for a green hydrogen complex. The project is earmarked to serve as the cornerstone of a Green Eco Industrial Park in Dominica. The country has less than 300 square miles of land, yet it has the potential to develop over 1 GW of geothermal capacity. The government has been exploring a green hydrogen industrial development plan.
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Initially, the DGDC-KGDL joint venture will execute activities to de-risk the project, including the sharing of technical resources and capabilities, progressing bankability, engineering, marketability, and other feasibility studies, as well as Environmental and Social Impact Assessment (ESIA). Subsequently, the companies will develop an investment framework to guide the joint venture in delivering the project.
Commenting on the project, the Prime Minister of Dominica, Roosevelt Skerrit, said, “Dominica's geothermal resource is one of the finest and most valuable in the world. The production of green hydrogen is a new frontier that the government is keen to explore. Our partnership with the DGDC and KGDL is another step towards realizing our vision for a green, climate-resilient, and prosperous Dominica.”
This green hydrogen geothermal project is a significant step towards the Caribbean's decarbonization efforts. In September last year (2022), the World Bank Group member IFC and IDB Invest partnered with Hydrogène de France (HDF) and Rubis to support the development of Barbados' first green hydrogen power plant. The Renewstable Barbados project plans to integrate a 50MW solar generation facility with green hydrogen and lithium-ion battery storage to provide electricity to the Barbadian grid, powering up to 16,000 homes.
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The Caribbean region is known for its dependence on fossil fuels and high energy costs. However, this new green hydrogen geothermal project and the Renewstable Barbados project show that the region is taking the necessary steps towards a sustainable energy future. The projects will not only reduce the region's carbon footprint but also provide access to clean and affordable energy.
