In a post-pandemic context, where economic recovery and job creation are top priorities, long-term decarbonization presents an opportunity to drive not only climate mitigation but also economic growth and employment generation. The Dominican Republic (DR) is making significant efforts to advance toward a sustainable and decarbonized energy transition, aligned with its international commitments. In 2020, the country submitted its Nationally Determined Contribution (NDC), committing to reduce its greenhouse gas (GHG) emissions by 27% by 2030 compared to a business-as-usual (BAU) scenario. Achieving this requires strengthening the institutional and regulatory framework of the energy sector, promoting investments in renewable energy, and building capacities to implement low-carbon alternatives.

Despite progress, such as Law 57-07, which sets targets to increase the share of renewables in the electricity matrix, the country still faces significant challenges. Dependence on fossil fuels, particularly coal, remains high, with coal-fired plants accounting for 31% of electricity generation in 2022. The government has expressed the need to plan a transition to a renewable, resilient, and financially sustainable electricity system, which involves studying options to reduce and eventually phase out coal-based generation. However, this process is complex due to technical, social, economic, and political challenges.

In this context, the Energy Transition Project and the Triangular Cooperation of Chile, Germany, and the Dominican Republic “Planning Toward Carbon Neutrality,” implemented by GIZ, has contracted Climate Lead Group S.A. to analyze alternatives for replacing coal-based generation. This study complements a previous techno-economic analysis conducted with the Inter-American Development Bank, which identified options to reduce emissions in the electricity sector. The goal is to assess the feasibility of implementing substitution or conversion technologies for coal plants, as well as identify necessary regulatory modifications to facilitate this transition in the short, medium, and long term.

This analysis aims to provide key inputs for planning a just and sustainable energy transition in the Dominican Republic, contributing to the country’s decarbonization and climate resilience goals while promoting economic development and job creation.