Deputies approved credit to finance geothermal projects in Guanacaste

Agreement with the International Cooperation Agency of Japan and the European Investment Bank for $ 714 million

July 02nd,2014

Members approved the first debate last night in funding for the development of geothermal projects Pailas II, Borinquen Borinquen I and II located in the foothills of the Rincon de la Vieja Volcano in Guanacaste.

The record 19,040 was endorsed unanimously with the support of 49 legislators in its first argument. Now the project will be given by the second debate.

The credits would extend the International Cooperation Agency of Japan and the European Investment Bank, both with the guarantee, and the Costa Rican Electricity Institute (ICE), informed Congress through a press release.

The funding will allow the installation of the three projects, each with a generating capacity of 55 megawatts, at a cost of $ 958 million.

Of the total project cost, $ 644 million would come from the Japanese agency, $ 70 million from the European Bank, and $ 244 of the ICE.

With Pailas II, Borinquen Borinquen I and II is to meet the energy demand in the country next year.

Otton Solis, government deputy, said the loan is an excellent negotiation of the previous government.

"Excellent negotiation in terms of the destination of the funds, in terms of financial conditions," Solis said.

The deputy of the Broad Front, Ronald Vargas Araya, also emphasized that the terms were negotiated financings.

"It's one of the best ways to produce energy," he said Vargas, who added that credit conditions are unbeatable.

Source: La Nación