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Chapter 3. Country Experience in Geothermal Development in Central America Costa Rica 49. The Costa Rican Institute of Electricity (ICE—Instituto Costarricense de Electricidad) is in charge of the development and management of electric power generation in Costa Rica. Towards the end of the 1980s, after the development of the Miravalles Geothermal field, where there are currently 5 plants with a total combined capacity of 165 MW, ICE carried out a nationwide reconnaissance study of geothermal potential in terms of resource and reserves. Based on this study, it was determined that the country could be divided into three broad geothermal zones (considering estimated temperatures at 2500m depth): a high-temperature resources (greater than 180°C), a moderate-temperature zone (temperatures range from120°C to 180°C), and a low temperature zone ( 120°C). Once the definition of the zones was completed, ICE estimated the power generation capacity considering two schemes of energy conversion; single flash and double flash. Without Miravalles, ICE estimates that there is approximately a potential to generate 700 MW using single flash and 797 MW using double flash technologies. More recent estimates are available in Annex 2. 50. The Costa Rican approach is similar to the Mexican one, with a national power company, ICE as the only developer of geothermal resources in the country. ICE has been very successful in developing the resource and operates the largest geothermal field in Central America (Miravalles with 163 MW). 51. With government support and good management, ICE has built up considerable expertise in geothermal development and has a dedicated department of the company for this purpose, together with its own drilling facilities. Developing new geothermal resources is constrained due to the location of the resources which are in national parks. Although there is a law under consideration for allowing drilling in these areas, the authorities are not hopeful that it may pass in the near future. 52. Even though geothermal is a lower cost alternative to the other generation types in Costa Rica, due to its high capacity factor (for example, Miravalles has a capacity factor of 81.2 percent in 2008), it is under-utilized because all of the highest potential sites are located in National Parks and Protected Areas (See Fig 10 above). Nonetheless, ICE continues to examine innovative solutions, such as directional drillings which do not impinge on national parks, and if legislation is modified, it is fully prepared to make the most of developing geothermal resources. Private participation in EPC has been successful (as in the Las Pailas project), but risks continue to be backstopped by the Government. El Salvador 53. The power sector in El Salvador was reorganized in the late 90s and CEL, the national power company, was broken into different organizations, including a geothermal corporation, La Geo. Today, La Geo is a successful public private partnership (PPP) enterprise that has developed two geothermal fields and is exploring others. La Geo’s partners are CEL (formerly 29PDF Image | Drilling Down on Geothermal Potential Central America
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