IFC has released its 2013 Annual Report detailing its global activities, with the organization showing strong geothermal support.
IFC Releases Annual Report; Organization Aims to Support More Geothermal
The International Finance Corporation has released its 2013 Annual Report, with a focus on “The Power of Partnerships” (Ifc.org). On its Web site IFC says it “aims to support more geothermal projects as part of a corporate effort to mainstream project finance in this sector. Opportunities exist in countries within the Pacific Rim, in Africa’s Rift Valley and along the backbone of the Andes Mountains in Central and South America” (Ifc.org). IFC has been involved in GEA initiatives, including the May 2012 “Agency Day” wherein GEA-member U.S. geothermal companies interested in initiating or expanding their export business met with representatives of U.S. government agencies to learn more about the types of assistance that are offered (Geo-energy.org (PDF)). Also, Shinji Yamamoto, Chief Investment Officer, IFC spoke at GEA’s January 2012 Geothermal Energy Finance Forum in San Francisco, CA (Geo-energy.org (PDF))
IFC has gone further to release a report on the success of geothermal drilling comprising the largest data compilation of its kind. In May of this year, the report “Success of Geothermal Wells: A global study” represented data from a total 2,613 public and private wells, or 71% of the world’s installed geothermal electricity generating capacity. Results showed: “[F]or those wells for which status could be verified, 78% of wells drilled were successful. In two thirds of the fields in the database, more than 60% of wells were successful” (Geo-energy.org (PDF))
Many of the GEA’s member companies are involved in international development, with East Africa being a region of interest. In August 2012 IFC announced a $50 million loan to Kenya Power to finance power projects in and around Nairobi (Geo-energy.org (PDF). And just this month, IFC Advisory Services took expression of interests in an intent to commission a World Bank assignment to support the Ministry of Water and Energy, Government of Ethiopia in the design and rollout of a long term strategy particular to the development of Ethiopia’s geothermal sector (Geoenergist.wordpress.com)
GEA news has noted IFC involvement in other geothermal projects worldwide. This week the organization announced between $500 million and $1 billion in Indonesia’s private sector in the current fiscal year, with geothermal as one of the focus industries. In March 2013 IFC said it will support Munich Re to identify and prepare four pilot geothermal projects in Turkey (Geo-energy.org (PDF)). And in 2012, Dominica signed a memorandum of understanding with IFC for $250,000 of initial funding for geothermal development (Geo-energy.org (PDF)).