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Dominican Republic

( Last update: July, 2006 )

Electricity Market
Sector structure
Upstream The sector is partially privatised.

Production relies on hydroelectric (18%) and conventional thermal schemes (82%) in 2004.

Approx. the 50% of the Dominican’s installed capacity in 2004 is controlled by the 50% state-owned companies: Empresa Generadora de Electricidad Itabo, S.A. (ITABO), Empresa Generadora de Electricidad de Haina, S.A. (HAINA) and Empresa Generadora Hidroeléctrica Dominicana.

The rest of generation facilities are owned and operated by several independent private players some of them do transaction through the association Corportation Dominicana de Empresas Electricos Estatales (CDEEE). AES Andrés is the main generators accounting approx. 10% of i.c. in 2004).

Wholesale market relies on bilateral negotiations. Residual spot transactions take place at marginal cost of production.

The Organismo Coordinator (OC), a public company established by generators, auto-producers, distributors and suppliers of Dominica Rep is the Market Operator (MO).
Networks Transmission is publicly-owned while distribution is partially privatised.

The Empresa de Transmisiòn Eléctrica Dominicana (ETED) a member of the CDEEE owns and operates the transmission grid under a RTPA regime.

Two 100% state-owned distributors Empresa Distribuidora de Electricidad del Northe SA (EDENORTE), Empresa Distribuidora de Electricidad del Sur SA (EDESUR) and a 49% state-owned Empresa Distribuidora de Electricidad del Este SA (EDEESTE) own and operate the distribution grids under RTPA regime.

Distribution and transmission tariffs are regulated by the Superintendency for Electricity (SIE), the energy market regulator (so called “Superintendencia de Electricidad de la Repùblica Dominiciana”).

Corporate unbundling between generation and distribution-commercialisation activities is required when the distributor produces over 15% of the total electricity demand.
Downstream The sector is partially privatised.

The four regional distributors have the responsibility of supplying non-eligible customers at regulated price in their respective licensed area.

Eligibility level sets at 2MW by the 2001.

No-eligible consumers tariffs are regulated by the SIE.
Gas Market
Sector structure No developed gas sector, only approx. 181 TJ of imports in 2003 used for electricity production.
Current issues Actract private capital investment in the electricity sector.

Reduce energy losses and increase the quality of service.

Reduce cost of service expecially generation one.

A licencee ground has been lauched by the CDEEE to enstablish and operate two thermoelectrical power stations fed with thermal mineral coal of 600 to 700 MW of installed capacity each one.
National Legislation Ley General de Electricidad n. 125/01
Reglamento Aplicación Ley General Electricidad
Ley de Hidrocarburos No. 112-00 and Reglamento Aplicación Ley No. 112-00
Sources IERN staff on publicly available information.