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CASE STUDY NO. 3 ORMAT's 25 MW GEOTHERMAL POWER PLANT ZUNIL I, IN GUATEMALA The 25 MW Zunil I Binary Geothermal Power Plant, the first commercial geothermal power plant in Guatemala, utilizes two-phase geothermal fluid consisting of steam and separated geothermal brine for power generation by using ORMAT Combined Cycle Units (OCCU) and ORMAT Topping Units (OTU). The original contract between ORMAT and INDE (Guatemalan Electricity Utility) was signed in December 1993. The plant was built in the framework of a Build-Own-Operate (BOO) agreement. The lengthy contract and financing negotiations was caused by statutory difficulties, credit risk barriers, institutional difficulties and many other hurdles ORMAT and its partners had to address. The plant, which is owned and operated by ORZUNIL as a joint investment of ORMAT, the International Finance Corporation (IFC), Scudder Latin America Power Fund, the Commonwealth Development Corporation began its successful commercial operation in September 1999. Had it been developed on a fast-track manner, overcoming the institutional and project finance hurdles, INDE could have enjoyed electricity provision based on this geothermal power plant at least four years before its actual inauguration (assuming 98% of availability, some 850,000,000 kWh). In addition to project development fees and long financing costs and time consuming process, ORMAT has also lost income equaling these lost 850,000,000 kWh.PDF Image | Organisations in Different Renewables
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