Thursday, August 21, 2025
By SIMON
Bahamians have often watched news stories and demonstrations around the world after the prices of basic commodities and services rose sharply and became unaffordable.
This was often the case following structural adjustment programmes instituted as part of bailouts by the International Monetary Fund and other financial institutions which demanded the removal of various government subsidies.
When the cost of gas and energy bills increased dramatically, there were often large, sometimes violent protests by citizens who were shocked by the prices they had to pay for the necessities of daily life such as cooking oil and fuel for vehicles.
Bahamians do not tend to go to the streets. But when they get fed up, they punish and oust governments. While Prime Minister Philip Davis is more likeable at this juncture than was former Prime Ministers Perry Christie and Dr Hubert Minnis, anger over electricity bills continues to burn like wildfire.
The unpopularity of the government is growing. If the PLP does not reduce electricity bills in a meaningful and consistent manner in the lead-up to the next election, the party’s risk of losing will continue to grow like a political contagion.
The state energy sector has been riddled with monopolistic practices, incompetence, gross political interference cum manipulation of prices, maintenance problems, and inadequate investments over several decades.
While there have been some periodic upgrades and improvements, BEC and now BPL have long been in desperate need of reform and innovation.
The high cost of electricity has burdened homes and businesses for decades, diminishing economic growth and draining consumers of funds that could have been otherwise used.
Into this combustible mix, the incumbent Progressive Liberal Party (PLP) solemnly pledged energy reform. Bahamians of all and no political stripes cheered the possibility, desperate for relief from power cuts and high bills.
In its election Blueprint for Change, the PLP promised: “Within the first 100 days, we will cause a review of BPL operations to reduce cost of electricity, maintain a reliable supply, and enter into contractual arrangements which would put BPL on a solid financial footing, and most importantly, reduce the costs of living and doing business in The Bahamas.”
Most of these promises remain unfulfilled. Correspondingly, a funny thing happened in the opening days of energy reform that is an object lesson in poor governance and the need for attention to detail and competence.
The previous FNM government left in place a hedge to help keep the cost of fuel at a lower price. For some inexplicable reason that the government has refused to address with candor, the Davis administration dropped the ball cum hedge, with senior cabinet ministers desperately avoiding responsibility and blaming each other.
The Minnis administration had its early OBAN moment, which was in the open, harming the government, leaving it reeling and appearing incompetent.
Though the abandonment of the fuel hedge was done in private and became more obvious in time, this failure has harmed the PLP considerably more than the OBAN mistakes damaged the FNM.
The majority of Bahamians may not understand the technical details of a hedge. Nevertheless, they are convinced that the government screwed up royally on a program that could have kept electricity bills lower.
No amount of gaslighting or overexplaining can erase the deeply imbedded perception that it is the current administration that is mostly responsible for staggeringly higher light bills.
In a June 26 editorial, The Nassau Guardian dissected the sad reality at BPL after the grand promise of reform: “Summer is here, and with it a sweltering heatwave that has caused demand to soar and to meet that demand, BPL has had to activate more expensive diesel generators, many of which are rentals.
“The result is a sharp rise in the fuel surcharge, a rise that has taken place before and after the rate adjustment.
“This is the same fuel surcharge government officials pretend is somehow under their control when politically convenient, and completely out of their hands when it is not.
“Even with the government’s just-announced ‘Summer Energy Rebate,’ the adjusted fuel charge for next month is still significantly higher than what the PLP found in place when it took office in 2021.”
Public relations is not a substitute for governing. No amount of talk, deflection, or attempts at cleverness can appease a business or homeowner who remains shocked by their monthly electricity bill.
When governments try to govern through high blown public relations, ribbon cuttings, evasion, and rhetorical gobbledygook absent substantive policies and competent execution, they typically get hoisted on their own PR petard.
This is what is now happening to the Davis administration on energy reform. Something the PLP thought would be a winner has turned into a grave political problem. Many now view talk of reform as bluster and rhetoric without substance.
Consumers desperately want consistency of supply and pricing. As bills continue to go up and down, BPL customers have overall spent an inordinate amount of money over the last nearly four years on electricity.
Most voters will not forget the collective sting of these bills and the thousands and often tens of thousands they are spending to keep their lights on. They know the amount of money they have had to redirect from savings, food, healthcare, vacations, school fees, and other bills to pay BPL.
Instead of consistent relief, as promised by the government, BPL’s clients are suffering another wave of high bills. The bill roller-coaster and volatility means that consumers cannot adequately plan or budget. The anxiety and anger over bills is worsening. Bahamians are seething.
In previous editorials, The Guardian welcomed energy reform. Since then, like the majority of Bahamians, the journal has soured on the lack of progress made and the stunning lack of transparency. In its June 26 piece, the paper expressed its outrage and disgust: “The Progressive Liberal Party (PLP) is once again hard at work trying to convince Bahamians that their exploding Bahamas Power and Light (BPL) bills are not really the government’s fault.
“Of course, when the bills are lower, the Davis administration claims it’s all because of its incredible foresight. It is, all at once, laughable and insulting.
“Anyone with even a basic grasp of how electricity is generated and priced in The Bahamas can see the farce for what it is. Social media is flooded with Bahamians showing month-to-month increases of hundreds of dollars.”
Bahamians have long suspected that that billing system at BPL is irrational, rigged, nonsensical, and that there is constant gaslighting of customers.
Many suspect that they have been lumped into certain categories and are paying mostly and unfairly based on what BPL needs to remain afloat instead of a more rational economic basis.
Bahamians are angry at the incessantly high bills, the lack of transparency by the government, the blaming of consumers for high prices, the bill estimates that are incorrect, and for being treated like idiots by the political directorate.
It is not only the high electricity bills that is proving a grave political problem for the government. The lights continue to go off in many Family Islands. It is likely that the PLP will lose seats in Abaco and Eleuthera as a result.
The government has a narrow and closing window to address high light bills and blackouts. If it cannot get a grip on both fronts, it may be lights out for the incumbent administration.
Comments
birdiestrachan says...
If the hedge fun is the cost for Nassau increase . Power bills then. Why is grand bahama bills high
Has the cost of oil gone down keep trying
Posted 21 August 2025, 4:55 p.m. Suggest removal
Porcupine says...
When does a thinking person realize that no politician knows much about anything except bullshitting The People into voting for them?
Not one of these MPs have any expertise in the area they supposedly manage.
What could an MP, a relative of the PM, who sits in the office of the Prime Minister, know about Water & Sewerage? Nothing.
But, we allow these chumps to ride roughshod over these state owned enterprises like they have some minimal qualifications. They don't.
What is more absurd, is how our major media and news outlets, such as The Tribune and the Guardian, with their familial political connections fail to see, or to speak out about the ongoing lack of seriousness, dishonesty and lack of professionalism that exists through the entire ranks of our "leadership" club.
We have failed to hold to account those who are supposedly leading the Bahamian people, while each year the editors and journalists see the numbers and continued decline in our standard of living and the huge amounts of theft, waste, fraud and inefficiency that accompany our Bahamian way of life.
Further, there seems to be a lack of awareness by our editors of the very real consequences of allowing our politicians to continue to take out loans, nearly certainly dooming our kids to a life of economic slavery. The debt servicing is already out of control and the finance experts of our country remain silent to merely keep their jobs, with no pushback from the press.
We wait until things get to a boiling point and then, and only then, ring the alarm.
Where is the shortfall in nipping these issues in the bud, before they become critical flash points?
We love to play the blame game. As if, our own publications and media outlets have not played a major role in giving a pass to our own people who have helped screw this country over for their own political and monetary gain.
Not just BPL, but everything will go up in relation to The People's salaries.
We lack the education and decency, it seems, to lead our nation on an upward course.
I would prefer a proven expert in electrical generation to address The People, rather than a group of power hungry and money loving jokers, such as our home grown politicians.
Why don't we look outside the country for our politicians and technical advisors, instead of for teachers, nurses and doctors?
And, it seems like those in media are a bit too close to the movers and shakers here to present us with the unblemished truth.
Posted 22 August 2025, 8:10 a.m. Suggest removal
Log in to comment