WSHPDR_2013_Final_Report-updated_version

2.1.3 Dominican Republic
Lara Esser, International Center on Small Hydro Power
Key facts
Population 10,088,598 1
Area 48,670 km 2
Climate Tropical maritime; little seasonal
temperature variation 1
Topography
Rain pattern
Rugged highlands and mountains with
fertile valleys interspersed (highest
point: Pico Duarte, 3,175 m)
December to April: 43-76 mm. May to
November: 112-178 mm (maximum
and minimum monthly rainfall
averages) 2
Electricity sector overview
As of 2009, the installed electricity generation capacity
of the Dominican Republic was 2,993 MW. 3 The
electrification rate of the country is 95.9 per cent. The
installed generation capacity by fuel type can be seen
in the figure below.
Hydropower
Coal
Natural gas
Petroleum derivatives
13%
14%
28%
46%
0% 10% 20% 30% 40% 50%
Figure 1 Electricity generation in the Dominican
Republic
Source: Comisión Nacional de Energía 3
Small hydropower sector overview and potential
In 2010, there were 26 small hydropower plants (< 5
MW) in the Dominican Republic, with a total capacity
of 15.4 MW (figure 2). 4 No information on small
hydropower potential in Dominican Republic is
available so far.
SHP installed capacity
SHP potential
unknown
15.4 MW
0 5 10 15 20
Figure 2 Small hydropower capacities in the
Dominican Republic
Source: Comisión Nacional de Energía 4
Renewable energy policy
In 2009, the Government started a four-year rural
electrification programme with financial support from
UNDP. The goals of this programme are:
To promote nationwide access and use of
renewable energy sources in marginal rural
communities.
To support community enterprise development
based on sustainable use of renewable energy.
To strengthen links between communities, local
governments and government bodies in charge of
the management of electricity.
This initiative is active in 55 rural communities located
in mountainous areas, whose inhabitants live below
the poverty line. It plans to install a total of 31 microhydro
plants (5-150 kW) and one wind turbine that
will generate an average availability of 200 Wh per
household (in 10 per cent of the communities the
average will be 600 Wh) with an estimated generation
costs of between €0.02 and €0.035 per kWh. The
programme also works on the integrated use of
renewable sources (biofuels and solar energy). With
regard to the micro-hydro systems, it will not be
necessary to build dams. Pelton turbines are used in
90 per cent of cases, requiring a head of 90 metres.
The remaining 10 per cent will be equipped with
Francis or cross-flow turbines, due to limited head and
water availability. More than nine micro-hydro plants
have been built within the past two years, benefiting
more than 4,000 families and 10 schools. In the end,
more than 15,300 people will benefit and 665 kW
micro-hydro plants will have been installed.
In 2007 a low-carbon policy was implemented by the
Government, with the goal of establishing a 10-per
cent renewable energy requirement by 2015 and a 25
per cent requirement by 2020. 5
Legislation on small hydropower
Law No. 57-07 on Incentives for Development of
Renewable Sources of Energy and its Special Regimes
(Ley No. 57-07 sobre Incentivo al Desarrollo de
Fuentes Renovables de Energía y de sus Regímenes
Especiales) includes small (mini and micro)
hydropower up to 5 MW, as well wind, photovoltaic,
concentrated solar power (up to 120 MW per core);
biomass, bio-fuels (bio-refineries and distilleries),
ocean energy utilization (waves, currents, temperature
differences in ocean water etc.). An exemption from
all import taxes is granted on imports of equipment,
machinery and necessary accessories for the
production of energy from renewable sources
(Paragraph II). Exemption from income tax for a period
of 10 years from the beginning of its operations, and
with maximum force until 2020, is also granted.
According to Article 11, a reduction to a fixed 5 per
cent on the tax over foreign financed interest
payments is also foreseen (modifying Art. 306 of the
Dominican Tax Code, for the beneficiaries of this new
law). 6
The General Law on Environment and Natural
Resources (Law 64-00) regulates the environmental
control of hydropower projects. 7
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