Launch of innovative Geothermal Development Facility
The Nordic Development Fund was one of the 14 development financiers who jointly launched the Geothermal Development Facility (GDF) for Latin America yesterday at COP 20.
EU Commissioner for Climate Action Miguel Arias Cañete, German Federal Minister for Economic Cooperation and Development Gerd Müller and Vice-Minister for Energy Edwin Quintanilla of Peru led the launch of the new Geothermal Development Facility (GDF) for Latin America.
The GDF seeks to catalyse the development of geothermal energy as an affordable, low-carbon and base-load technology that could help limit the growth of the region’s greenhouse gas emissions. The GDF constitutes the first multi-donor initiative to promote geothermal energy on a continental scale. It will provide at least USD 75 million in grant-based risk mitigation instruments and USD 1 billion in tailored financing to geothermal projects in a range of Latin American countries. The GDF seeks to incentivise at least 350 MW of geothermal generation capacity, help to save 50 million tonnes of CO2 in total and provide clean electricity to 2 million people.
The existing regional training program for geothermal energy financed by NDF and Inter-American Development Bank will now become part of the technical assistance component of the new Geothermal Development Facility. The regional training program is based in El Salvador and so far more than 50 students have completed the course. “Training and capacity-building is fundamental for achieving the critical mass of engineers and scientists needed to better manage geothermal exploration risks in Latin America,” said Aage Jørgensen, NDF Country Program Manager, at the launch event.
More information:
Video of the GDF launch
