Demandbase Connect

December 1, 2008

Top Plants: San Cristobal Wind Project, Galapagos Islands, Ecuador

Pages: 12345

A Darwinian feat: Surviving the permitting process

Due to its location in the Galapagos Islands, which are a UN-designated World Heritage Site, the San Cristobal Wind Project had to undergo an extensive permitting and approval process with the Ecuadorian government. First, the conceptual project had to be approved by the National Institute for the Galapagos (INGALA), a council that approves regional development projects. Then, joint approval was required by the Ministry of Environment and the National Electricity Council (CONELEC) in order to secure the environmental license for the wind project. The project team also had to perform a detailed environmental impact assessment (EIA), with stakeholder input from local communities, other government agencies, and several environmentally focused nongovernmental organizations.

The wind project was the first power project in Ecuador to undergo a new process of public participation in preparing the terms of reference for the EIA and its eventual approval. Due to the high-quality EIA performed and strong public support for renewable energy projects on the Galapagos Islands, the environmental permit was approved and issued by the Ministry of Environment. Next, the Municipality of San Cristobal approved the construction permit.

The regulations from different government agencies on environmental matters were in some cases contradictory or demanded duplicate work (CONELEC vs. Ministry of Environment). In some cases, the wind project required approval under new regulations, such as the tariff or the allocation of rural electrification funds for renewable energy projects. At other times, guidelines for a specific approval process were vague. By taking a rigorous approach in the permitting process and ensuring full transparency, the San Cristobal project helped establish a path for other renewable energy projects in Ecuador to follow.

The main political hurdle encountered by the San Cristobal Wind Project was related to the very frequent rotation of high- and mid-level authorities in the federal agencies that handled environmental and energy issues during the project’s development phase. There was high turnover of government officials during a period of low government stability in Ecuador when several presidential administrations did not complete their respective elected terms in office. Turnover in key positions even went as far as the level of the wind project’s main partner, the local electricity utility, Elecgalapagos. The project team had to meet with the frequently changing governmental officials to brief them on the wind project, its objective, and current status. Fortunately, it should be emphasized, that in spite of the frequent change of officials, all written agreements previously obtained by the project were respected by later governmental authorities. In general, all agencies of the Ecuadorian government were supportive of a well-planned renewable energy project in the Galapagos.

Pages: 12345

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