Electricity sector in the Dominican Republic
The power sector in the Dominican Republic has traditionally been, and still is, a bottleneck to the country's economic growth. A prolonged electricity crisis and ineffective remedial measures have led to a vicious cycle of regular blackouts, high operating costs of the distribution companies, large losses including electricity theft through illegal connections, high retail tariffs to cover these inefficiencies, low bill collection rates, a significant fiscal burden for the government through direct and indirect subsidies, and very high costs for consumers as many of them have to rely on expensive alternative self-generated electricity. According to the World Bank, the revitalization of the Dominican economy depends greatly on a sound reform of the sector.
Data | |
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Electricity coverage (2006) | 88% (total), 40% (rural); (LAC total average in 2007: 92%) |
Installed capacity (2006) | 3,394MW |
Share of fossil energy | 86% |
Share of renewable energy | 14% (hydro) |
GHG emissions from electricity generation (2003) | 7.63 Mt CO2 |
Average electricity use (2003) | 1,349 kWh per capita |
Distribution losses (2005) | 42.5%; (LAC average in 2005: 13.6%) |
Transmission losses (2006) | 4.7% |
Consumption by sector (% of total) | |
Residential | 44% (2001) |
Industrial | 30% (2001) |
Commercial | 10% (2001) |
Tariffs and financing | |
Average residential tariff (US$/kW·h, 2005) | 0.140; (LAC average in 2005: 0.115) |
Average industrial tariff (US$/kW·h, 2005) | 0.146; (LAC average in 2005: 0.107) |
Average commercial tariff (US$/kW·h, June 2005) | 0.231 |
Services | |
Sector unbundling | Yes |
Share of private sector in generation | 86% |
Competitive supply to large users | Yes |
Competitive supply to residential users | No |
Institutions | |
No. of service providers | 10 main (generation), 1 (transmission), 3 (distribution) |
Responsibility for regulation | SIE-Electricity Superintendence |
Responsibility for policy-setting | CNE-National Energy Commission |
Responsibility for the environment | Ministry of the Environment and Natural Resources |
Electricity sector law | Yes (2001, amended 2007) |
Renewable energy law | Yes (2007) |
CDM transactions related to the electricity sector | 1 registered CDM project; 123,916 tCO2e annual emissions reductions |