By EARYEL BOWLEG

Tribune Staff Reporter

ebowleg@tribunemedia.net

AMID concerns of soaring inflation and rising fuel prices, Works and Utilities Minister Alfred Sears said “there is always the possibility” of an increase in Bahamas Power and Light bills due to external factors.

However, Mr Sears said the Davis administration intends to maintain BPL’s fuel hedge strategy, which he said seeks to “minimise” the unpredictable international market.

 Asked if he would be able to say if it’s possible that consumers can expect an increase in their BPL bills considering inflation and rising fuel prices, Mr Sears told reporters yesterday: “I think there’s always the possibility.”

He also said the government is focused on bringing renewable sources of energy to the market, adding that a “major project” for solar power in New Providence as well as initiatives in the Family Islands will be announced soon.

He added: “The government, as a matter of public policy, intends to maintain the hedge strategy and as you know the hedge strategy is intended to minimise, not eliminate, but to minimise the volatility of the fuel (price) in the global market.

“The support for the hedge remains, but I think that what is important is that as we deal with the short-term challenges that we begin to lay the foundation for a more sustainable future and that sustainable future means that we have to fulfil our commitment to go green in terms of more solar power generation and you will hear very shortly (of) a major project in New Providence for the generation of solar energy and also projects in many of our Family Islands as well as the commissioning of the solar micro-grid in Ragged Island.”

In early March, BPL announced in a press statement that electricity prices were set to increase due to rising fuel costs. About an hour later the press release was recalled.

The next day, Mr Sears said the government had not approved any rate increase for power, nor was it considering doing so.

Meanwhile, in recent weeks there have been complaints about frequent power cuts throughout New Providence.

When asked why these issues have been occurring, Mr Sears said the question would be best directed to BPL. However, he repeated the goal for renewable energy.

“All of us live in the Commonwealth of The Bahamas. All of us have been experiencing load shedding, so it isn’t a recent phenomenon,” he said yesterday. “What we have committed to is to incorporate more into the power generation so that this big $1 billion bill that we spend every year importing fuel, primarily crude fuel, would be eventually something of the past and the sun, which is abundant in The Bahamas, through solar and other forms of renewable energy would be part of the power generation.

“Currently, The Bahamas compared to its regional counterparts does not have a significant integration of renewable (energy) in its power generation infrastructure and in the Speech from the Throne, in the Blueprint for Change, we made a commitment that by 2030 there will be 30 percent of the power generated will be from renewable sources. That’s a very ambitious objective and therefore we have asked that BPL very aggressively pursue this energy policy objective and that process I know that they’re working, they’re reviewing. We also have Ragged Island which we will bring on within a matter of a month or so, a micro-grid based on solar generation power.”

Last month, the government signed a $9m non-reimbursable financing agreement with the European Union and Inter- Development Bank to assist with renewable energy reform in the country.

The signing ceremony was held at the Ministry of Finance and attended by Economic Affairs Minister Michael Halkitis along with IDB and EU representatives, Daniela Carrera-Marquis and Marianne Van Steen.

Speaking at the event, Ms Carrera-Marquis from the Inter-Development Bank (IDB) said the grant will allow for the construction of several solar energy projects throughout The Bahamas.