By LEANDRA ROLLE

Tribune Chief Reporter

lrolle@tribunemedia.net

MORE than 70,000 Bahamas Power and Light (BPL) customers saw reductions of five to 50 percent in their monthly power bills between July and September due to the company’s new equity rate structure, according to Energy Minister JoBeth Coleby-Davis.

She revealed the reduced rates during yesterday’s press briefing at the Office of the Prime Minister.

She noted that in July, more than 79,000 residential customers experienced monthly bill reductions of five to 50 percent under the new rate structure compared to the previous tariff.

Meanwhile, over 78,000 customers saw similar reductions in August; in September, more than 81,000 residential customers benefited from these decreased rates.

Mrs Coleby-Davis said the equity rate structure also included a base tariff reduction for temporary supply customers to support economic growth, home ownership, and construction.

She said in July, more than 2,100 temporary supply customers experienced a reduction of between five and 50 percent in their monthly bills under the new tariff system, compared to the previous rates. In August, this number rose to over 2,140 customers; by September, more than 2,180 customers saw similar bill reductions.

The new BPL rate structure, implemented on July 1, is part of the government’s initiative to reduce electricity costs.

Under the plan, residents no longer pay for the first 200 kWh of electricity each month, eliminating the previous 10.95 cents per kWh charge. This change saves $21.90 per month, while the fuel charge has been reduced by 2.5 cents per kWh for the first 800 kWh.

Mrs Coleby-Davis acknowledged that large commercial customers experienced higher bills due to an adjustment in their base tariff.

However, she predicted that energy costs should decrease over time with efficiency upgrades at BPL, including a new HFO boiler at Clifton Pier, expected to save over $35m annually in fuel costs, and two new LNG units, projected to save over $29m per year.

She also highlighted plans to incorporate solar energy as another cost-saving measure.

She further discussed the government’s partnership with Bahamas Grid Corporation (BGC), a special-purpose vehicle that is 60 percent majority-owned by undisclosed private investors, to enhance the country’s energy grid.

She said a framework agreement has been signed between the government and BGC, with an operational framework currently in development and expected to be finalised soon.

When asked for details on the framework agreement, she said it would be tabled in Parliament soon.

“The partnership with BGC will fortify our transmission network with advanced conductors with an initial investment of 130 million,” she said. “This investment isn’t just about dollars. It is about building a grid that can withstand the storms that challenge us each season, ensuring that our communities are better prepared and more resilient.”

She said BGC will provide training opportunities for BPL staff, giving them access to the latest grid technology while enabling them to grow in their careers.