The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

A Grand Bahama Port Authority (GBPA) co-owner yesterday said it was proposing to make the Grand Bahama Power Company’s (GBPC) performance and efficiency reports available publicly to enhance transparency.

And Sarah St George told the Grand Bahama Business Outlook conference that the monopoly power provider was awaiting permission from the US government to ship compressed natural gas (CNG) from Florida, a move that offers the potential for lower fuel and power costs.

Ms St George said electricity costs on Grand Bahama were a “priority” for the GBPA, the Power Company’s regulator, noting that it had become an “emotive” issue.

“Unlike many other Caribbean countries we have a reliable utility, reliable power and, with the Power Company’s brand new generators, the possibility to convert to compressed natural gas,” Ms St George said.

“They just need the permits from the US. We’re ahead of the game. We could not have done that with the old generators. That will make us best in class. We could see stable rates, lower rates, other benefits to the industrial sector and residents.

“As demand grows the electricity price will fall, too. Cost is a very emotive issue, and I can assure you it is being addressed as a priority for us as regulator. As part of the regulatory transparency we propose to make GBPC performance and efficiency reports available to the Grand Bahamian public.”

At the 2013 Grand Bahama Business Outlook, GBPC chief executive Sarah McDonald had pledged that the company would start “burning compressed natural gas by this year”, having already executed a Letter of Intent (LOI) with Floating Pipeline Company to bring in the gas from West Palm Beach.

Ms St.George yesterday also defended Hutchison Whampoa’s level of investment and commitment to the Grand Bahama economy.

“If you just look at Hutchison’s commitment to the Harbour and the Port, they’ve put an enormous amount of capital, their capital, into developing the kind of hub that we have at the moment,” she said.

“And you have heard that they’re actually willing to commit another $250-300 million into making that a state-of-the-art terminal for the entire region. Is that an illustration to the depth of their commitment? I think it is.”

Ms St George said Hutchison had further demonstrated its commitment in its support of the Grand Lucayan Hotel during periods when it was losing a considerable amount of money.

“Others, like Royal Oasis, had closed its doors but that hasn’t happened here, and for them to have the operation going through the lean times in order to put another $25 or $26 million to bring in the Sunwing group. This is evidence that they are very much committed to Freeport,” the GBPA co-owner said.

She further noted that the $250 million Phase V expansion of the Freeport Container Port was not just a “pie in the sky,” and that Grand Bahama has the tools to become the largest container port hub in the region.

“Shipping business is shaping up to be something we have never seen before. Freeport is already there. Freeport has it all. Freeport’s time is now. We have the location, the infrastructure in place, the world’s largest port operator,” said Ms St George.