By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

The waste-to-energy company at the centre of the Renward Wells ‘Letter of Intent’ controversy yesterday said the saga had cost it “over $1 million”, one executive adding: “I wish we had never got it”.

Stellar Energy’s chief operating officer, J.P Michelson, reiterated that the company had never specifically asked the Government for such a document, but only something to prove to potential investors and partners that its plans were legitimate and making progress.

  “It didn’t help us, this entire LOI thing,” he said. “As a matter of fact, I wish we had never got it. Public perception does count,” Mr Michelson said.

“It would have been a real shame to lose $600 million committed in investor money over one piece of paper without the right signature.”

He added: “It has cost us over $1 million, and frankly it is still costing us today because the process is so long, and was prolonged by this entire black spot that has cost us a lot more.

“We have expenses, too, and when you are talking to investors for such a long time about something and these people commit, they aren’t going to give the money to someone else, they are not making any interest and they are coming back to you.”

Mr Michelson yesterday said the company now wanted to move past the issue, having had its image tainted by public perception as well as financial losses incurred after its plans to study the New Providence landfill - and ultimately build a multi-million  75 megawatt waste-to-energy plant - were stalled amid the controversy.

   He confirmed that Stellar had participated in the Bahamas Electricity Corporation (BEC) request for proposal (RFP) process, though its proposal was specifically directed to the alternative energy supply component.

   Mr Michelson said the Bahamas cannot afford to get its energy reform process wrong, as this could set the country back 20 years.

“Energy reform is something the country can’t make any mistake on,” he added. “It needs to be right the first time.

“It’s also a very complex and convoluted process. It’s not that you are dealing with just one ministry; you are dealing with a number of ministries and a number of partners.

“Energy reform doesn’t happen overnight. It will happen in this country, but it will not happen overnight. We as a country cannot afford to get it wrong. It would set us back another 20 years.”

Controversy erupted over the signing of Stellar’s now-expired LOI by former Ministry of Works parliamentary secretary, Renward Wells, last year.

The saga ultimately led to his dismissal from Government earlier this year. During a contribution in Parliament, Mr Wells, an engineer by profession, admitted that he had signed the LOI with Stellar Energy in order to allow the company “to carry out studies” free of charge to present to Cabinet.