The Tribune

By Fay Simmons

jsimmons@tribunemedia.net

Tribune Business Reporter

Grand Bahama Power Company yesterday signed a deal with a FOCOL Holdings subsidiary that will expand renewable energy to 10 percent of its generation mix once initiated.

The 25-year power purchase agreement (PPA) with Bahamas Solar and Renewables will see GB Power buy electricity at an average rate of nine cents per kilowatt hour (kWH) from the former's 5 Mega Watt (MW) solar facility.

Nikita Mullings, GB Power's chief operating officer, said the deal represented the latest step in efforts to stabilise electricity costs for its estimated 19,000 consumers and help The Bahamas reach its goal of generating 30 percent of its energy needs from renewable sources by 2030.

"When completed, the Bahamas Solar and Renewables 5 MW plant will further progress us towards a shared 30/30 vision with an agreement to purchase all of the energy produced by Bahamas Solar and Renewables at a rate of nine cents per kilowatt hour," she said.

"This agreement creates a physical hedge against the volatility of the oil market, which further strengthens our ability to stabilise costs for all of our customers. We are doing our part to support the Government of The Bahamas in their 30/30 goals.

"With this third, independent power producer PPA, Grand Bahama Power Company will have nearly 10 percent of its generation from renewable energy once this is completed. So for our customers what it does is it stabilises the rates, whereby customers are protected from the volatility of the fuel market.”

Dexter Adderely, FOCOL Holdings president and chief executive, said the agreement will increase educational and employment opportunities for Bahamians. He added that 20 FOCOL employees are currently being trained in the maintenance of renewable energy apparatus.

“We are thrilled to be working with Grand Bahama Power Company as we expand opportunities for Bahamians to access training and develop new skills in the renewable energy sector," Mr Adderley said. "This rapidly growing industry requires a workforce with the necessary skills and knowledge to meet the demands of this sector.

"Already at FOCOL, 20 staff members are enrolled in international training programmes so that they are equipped with the necessary skills and certifications to ensure our operations are conducted safely and efficiently. Again, this reflects our commitment to creating a more sustainable, cleaner future for The Bahamas. Bahamas Solar and Renewables is fully committed to delivering jobs, and clean renewable energy, for the people of Grand Bahama

"We recognise that our actions have a direct impact on the environment. And we are devoted to harnessing the power of the sun and other renewable sources to minimise our carbon footprint. This ambitious project will not only serve as a symbol of our commitment to renewable energy, but also as an opportunity to stimulate economic growth and create much needed jobs for the community," he continued.

"By investing in clean, sustainable energy, we are actively working to preserve the environment for generations to come while empowering our community with new employment opportunities."

Ian Rolle, the Grand Bahama Port Authority's president, said the agreement between GB Power and FOCOL Holdings further positioned the island as a local leader in renewable energy development.

He added: “This project is an exciting step towards cleaner and greener energy sources that reduce our carbon footprint. Not only that, but it is the second project of its kind announced within the past 30 days positioning Grand Bahama as the leader in renewable energy development for The Bahamas.

"The significance of this project extends beyond Grand Bahama as it contributes to The Bahamas’ efforts to combat climate change. Apart from that, investing in renewable energy is a critical step towards building a more resilient future for the country.

"The new solar farm project on Grand Bahama will significantly impact the island's energy landscape. It will generate clean, renewable energy, reduce carbon emissions and improve the island's energy security. It will also create jobs, boost economic growth and promote sustainable development across the length and breadth of our island.”

Mr Rolle added that the stabilisation of energy prices will drive growth on Grand Bahama.

He said: “The stabilisation of the cost of fuel actually lands well for the potential growth of new business, but also it gives the existing businesses a chance to plan better. So when we have major fluctuations in fuel prices, and fluctuation in electricity costs - we've seen that elsewhere in the region - it destabilises growth, and it brings about uncertainty. So today is a very significant day to help us with future growth and also to sustain what we have.”

Dave McGregor, Grand Bahama Power Company's president, said Bahamas Solar and Renewables 5 MW plant will be located separately from those being constructed by other independent power producer (IPP), Lucayas Solar Power

He said: “It's a 5 MW plant; a fairly standard solar plant. It will be located in the industrial area, which is actually distinct and separate from the other two solar projects we announced with Lucayas earlier this year, and that's important for us. It's important the solar plants are distributed across the island evenly.

"So that, you know, if we have the odd cloudy day or the cloud passing over, all the solar plants are not impacted at the same time. The plant will be connected directly to our grid, to our transmission system, and the solar renewable energy will be distributed to all our customers.”