The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

Royal Caribbean yesterday broke its silence on the controversy surrounding its $100m Paradise Island project by asserting the “first-in-kind” proposal will “ensure the economic benefit stays in The Bahamas for generations to come”.

The cruise giant, in a three-paragraph statement that provided few specifics on its Royal Beach Club ambitions, largely echoed the Davis administration by pointing to the benefits of a revised deal that both have now described as providing greater ownership, entrepreneurial opportunities and jobs for Bahamians. It did, though, promise to provide details on the project’s projected economic and environmental impact “in the coming weeks”.

Responding to Atlantis and Bahamian environmental activists, who have voiced a mixture of concerns and criticisms of its plans, Royal Caribbean said: “For more than 50 years, Royal Caribbean International has partnered with The Bahamas to bring millions of visitors to see and experience the beloved culture and beauty of the islands. We’ve since continued to collaborate and grow with one another to increase tourism and do so responsibly.

“In the coming weeks, we will share details about the economic benefit and environmental impact of the Royal Beach Club at Paradise Island. This first-in-kind public-private partnership (PPP) is designed to ensure that the economic benefit stays in The Bahamas for generations to come though equity opportunities, new business development, jobs, tourism growth and a new tourism levy to improve other products around The Bahamas.

“We are progressing through the Government’s stringent environmental processes, and in the upcoming review Bahamians will have the opportunity to see our innovative, industry-leading plans.” However, Royal Caribbean’s opponents, critics and competitors were not convinced and made their views clear yesterday.

Toby Smith, the Bahamian entrepreneur seeking to restore Paradise Island’s lighthouse to former glories, and who has been competing with Royal Caribbean to lease the same two-acre Crown Land parcel that the former Minnis administration sought to grant both parties, said the cruise line was “just regurgitating the same narrative” it has used previously.

Referring to Royal Caribbean’s chief executive, he said: “Michael Bayley, we’ve heard it all before. They’re just using the same words, bragging about the millions coming as tourists, but they won’t publish to the Bahamian people what Royal Caribbean exports out of the country in revenue so Bahamians can quantify the crumbs left to circulate in our economy.

“Bahamians are fed up. My personal belief is that Royal Caribbean thought this would be a walk in the park simply by cosying up to the Minnis administration, and it’s backfired in a big way.” Royal Caribbean has also this week started advertising for a “president” who will head the Royal Beach Club, described as “the first public-private hospitality partnership in The Bahamas”, even though all environmental approvals remain outstanding.

The cruise line, in its advertisement, says the Royal Beach Club’s creation will enable them to increase the number of passengers they bring to Nassau by 150 percent or 1.5m compared to pre-pandemic levels - going from one million in 2019 to 2.5m in 2027. However, the revised Environmental Impact Assessment (EIA) and Environmental Management Plan (EMP) have yet to be presented to the regulatory agencies or undergo public consultation.

The Royal Beach Club’s initial EIA, prepared by Islands by Design, suggested that the western Paradise Island project would be designed to cater to a maximum of 3,500 passengers and 250 staff daily. This would give it a maximum occupancy of 3,750 persons, even though the site in the Colonial Beach area could accommodate up to 8,719 persons.

Chester Cooper, deputy prime minister, and minister of tourism, investments and aviation, in unveiling the revised Royal Beach Club deal with the Davis administration indicated that the plans had been scaled down from 3,500 passengers as the property will receive less than 5 percent of the cruise line’s visitors.

It remains to be seen, though, how this squares with the increased 2.5m annual visitors that Royal Caribbean plans to bring to Nassau by 2027. And, with the cruise line taking a reduced stake in the project compared to previous 100 percent full ownership, it will still need to ensure the Royal Beach Club remains economically viable and produces a profit.

Meanwhile Joe Darville, head of Save the Bays and Waterkeepers Bahamas, told Tribune Business it seemed “ridiculous” and “premature” for Royal Caribbean to be advertising for a project “president” when it had yet to obtain all the necessary environmental approvals from the Government.

“I am absolutely surprised that that step has been made,” he said. “It seems to be totally premature in light of the fact there are environmental matters that should be approved and taken care of, and assessed publicly before any appointment is made. It’s ridiculous. I can’t believe it.

“It’s a very surprising item to be digested when we are still not assured that the project is a go.... How does it benefit the Bahamian people? By the supply of labour at a minimum wage? There are many concerns we have with that whole situation. As far as I can tell it has not been reviewed at the environmental level and executive level of government. It’s really, really disturbing and surprising.”

And Casuarina McKinney-Lambert, executive director of the Bahamas Reef Environmental Educational Foundation (BREEF), told Tribune Business: “I am particularly concerned about the waste production and disposal. I do not feel that this has been adequately addressed for this proposed project. Cruise ships generate massive amounts of waste, both visible in the form of plastic pollution etc, and less visible but equally damaging water pollution.”