The Bahamas Anticipates Modern, Reliable, and Affordable Electricity Supply By Next Year
NASSAU, Bahamas – The Bahamas government says it hopes by this time next year, Bahamians across 14 islands will experience the benefits of modern, reliable, affordable electricity.
Prime Minister Phillip DavisIn addition, the Phillip Davis administration is hoping that by 2030, at least 32 per cent of the country's electricity needs will be met by solar power, surpassing the global target of 30 per cent.
Speaking at the signing of power purchase agreements (PPA) with two Bahamian partners who the government says will help transform power generation across the Family Islands, Prime Minister Davis said that his coming to office in 2021, his administration has encountered a power grid and power generation system on life support.
He said the Bahamas Power and Light Company Ltd (BPL) ”was “drowning” in over half a billion US dollars of debt, plus another US$100 million in unfunded pension obligations.
“ At the same time, our energy infrastructure required US$500 million in critical upgrades to prevent catastrophic failure,” Prime Minister Davos said, noting that in New Providence, 60 per cent of power generation equipment needed replacement, while the Family Islands were in even worse shape, with 80 per cent of equipment requiring replacement within five years.
“For Bahamian families, our energy failures caused unnecessary hardship for a population that was still staggering from the effects of Hurricane Dorian, COVID-19, a deflated economy, and crippling inflation,” Prime Minister Davis said, adding that his government is committed to taking on these challenges head-on, with energy reform near the top of its list of priorities.
“And our vision extended to every island, not just New Providence, not just the major economic and population centers, but to every island where Bahamians live, work, and raise their families.”
Prime Minister Davis acknowledged that this is an ambitious undertaking requiring the government to take on multiple Bahamian partners to deliver on our promise of widespread change.
He said the power purchase agreements being signed now “represent our unwavering commitment to keeping that promise.
“These partnerships will bring modern, reliable, affordable electricity to islands that have, for too long, endured aging infrastructure, frequent outages, and exorbitant costs. Through these agreements, we will establish solar microgrids combined with advanced LNG (liquified natural gas) and multi-gas systems across nine different areas in our Family Islands.”
Prime Minister Davis said that this hybrid approach represents the perfect balance for this archipelago chain of islands, adding “we are harnessing our abundant sunshine while introducing cleaner fuels to ensure that our power needs are met, regardless of what the weather looks like.
“All of our partners are Bahamian-owned enterprises with the resources to expedite development to ensure that our people will benefit from these changes as soon as possible.
In fact, each one of the PPAs we’ve signed this year will be initiated before year’s end and will be completed in 2026.”
He said one of the agreements being signed is with Family Island Microgrid Co., which will develop and operate new energy systems on five islands, namely Harbour Island, Bimini, Moore’s Island, Farmer’s Cay, Black Point and Staniel Cay in the Exumas.
The second partnership is with RenugenPro Co. Ltd. RenugenPro that is intended to bring our energy revolution to San Salvador, Long Island, and Cat Island, with solar, battery energy storage and LNG facilities.
“These islands, each with their own unique energy challenges, will soon enjoy reliable, affordable electricity that should be the right of every Bahamian citizen. The impact of these changes will be felt within months, not years.”
Prime Minister Davis said that as large-scale solar and hybrid facilities spring up throughout the archipelago, Bahamians will benefit immediately from these comprehensive energy reforms.
“These are not pilot projects. Nor are we talking about vague promises of improvements in the distant future. These projects are large-scale, fully-funded, carefully designed systems that will be operational within 18 months.
“As we reap the immediate benefits of integrating large-scale solar and cleaner fuels, we are simultaneously repairing and modernizing our transmission and distribution systems to be even more efficient. ”
Davis said that the government is “comprehensively and holistically taking on every aspect of energy reform all at once, with over one billion US dollars in targeted investments, representing the single greatest investment in energy reform in our nation’s history.
“By this time next year, Bahamians across fourteen islands will experience the benefits of modern, reliable, affordable electricity. And by 2030, 32 per cent of our electricity needs will be met by solar power – surpassing the global target of 30per cent,” he said, noting that after years of falling behind in the adoption of renewable energy, “we will lead the way using the power of the sun in this new energy era:
“No more sky-high electricity bills at the end of each month. No more sweating in the dark at night because of power failures and load shedding. No more appliances shorting out and food going bad because the power went off for far too long.
That is the energy future we are striving for. That is the future Bahamians deserve,” Prime Minister Davis told the signing ceremony.
