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Dominica

Dominica, known as the “Nature Isle of the Caribbean,” has been actively pursuing sustainable energy solutions to enhance its energy security and reduce reliance on imported fossil fuels. As of 2022, Dominica’s Gross Domestic Product (GDP) was approximately over USD500 million.[1 ] The economy is primarily driven by the services sector, which contributed about 58.02 per cent to the GDP. Agriculture accounted for 15.82 per cent, while industry contributed 12.04 per cent. [ 2 ]    

The country has been heavily reliant on imported fossil fuels for electricity generation. However, recognising the potential of its abundant natural resources, Dominica has embarked on a journey to become a leader in renewable energy production in the region. The total installed renewable capacity is approximately 7 MW[3 ] . Historically, the electricity mix has included a significant share of hydropower, with three operational hydroelectric plants contributing to the electricity supply. [ 4 ] Dominica is actively pursuing renewable energy sources beyond hydropower, such as geothermal and solar power. The island's location on the boundary of the Caribbean and North American tectonic plates creates a geothermal hotspot with significant potential for electricity generation. 

General Information

Dominica does not yet have a fully established hydrogen sector but holds potential for developing a green hydrogen industry due to its abundant renewable energy resources, particularly geothermal energy. 

As of November 2024, Dominica has not formalized a dedicated national hydrogen policy or strategy. However, the country has demonstrated a strong commitment to integrating green hydrogen into its energy landscape through several key initiatives: 

  • In April 2023, the Government of Dominica signed a Framework Agreement with the Dominica Geothermal Development Company Limited (DGDC) and Kenesjay Green Dominica Limited (KGDL) of Trinidad and Tobago. This agreement aims to initiate the Caribbean’s first large-scale green hydrogen geothermal development. The project focuses on harnessing Dominica’s substantial geothermal resources and Kenesjay’s experience in drilling for oil & gas to produce green hydrogen and electricity for both local consumption and export.[ 5 ]  

As of November 2024, Dominica has not established a dedicated regulatory framework specifically for hydrogen production, storage, or distribution.  

  • Solar: Dominica has a GHI ranging from 3.95 – 5.80 kWh/m2 and a DNI ranging from 2.05-5.28 kWh/m2 [1] . The archipelagic geography hinders the construction of large-scale solar power plants in the country. 

  • The installed solar capacity is also minuscule, at 0.3 MW installed base against an overall installed base of 26 MW as of 2022 [2] . 

  • Wind: Dominica has a good wind potential in the form of average wind power density, which is about 764 W/m2 for the top 10 per cent windiest areas in the nation. The average wind speeds in such a region can be as high as 9.72 m/s[3] . Despite the potential, wind power installations in the country are minuscule, totalling to about 0.2 MW as of 2022[4] . 

  • Hydropower: The existing hydropower infrastructure, which contributes to approximately 22 per cent of Dominica’s electricity mix, could also play a role in supporting hydrogen production[5] . 

Geothermal : Dominica’s significant geothermal energy potential is key to producing green hydrogen. Current geothermal projects could support electrolyser operations by providing stable, renewable electricity for hydrogen production. Estimates suggest that the country’s geothermal capacity could exceed 100 MW, far surpassing local electricity demand, allowing for surplus energy to be directed towards green hydrogen production. [ 7 ] . The country is building resilient network for geothermal energy transmission, which is critical for the commissioning of a 10MW geothermal power plant by Ormat Technologies Inc, with support from World Bank and Canadian Government. [ 8 ]   
 

As of now, there is lack of visibility on manufacturing projects in Dominica catering to the green hydrogen value chain. 

Dominica is actively pursuing green hydrogen initiatives to leverage its abundant renewable energy resources, particularly geothermal energy. Key projects and developments include: 

  1. Framework Agreement for Green Hydrogen Geothermal Development - In April 2023, the Government of Dominica signed a Framework Agreement with the Dominica Geothermal Development Company Limited (DGDC) and Kenesjay Green Dominica Limited (KGDL). This agreement aims to initiate the Caribbean’s first large-scale green hydrogen geothermal development. The project focuses on harnessing Dominica’s substantial geothermal resources to produce green hydrogen and electricity for both local consumption and export. As part of the Framework Agreement, plans are underway to construct a hydrogen production facility capable of producing 27,000 to 30,000 tons of hydrogen per year and 240,000 to 250,000 tons of oxygen per year. This facility will utilize geothermal energy, positioning Dominica as a potential leader in green hydrogen production within the Caribbean. 

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