By FAY SIMMONS

Tribune Business Reporter

jsimmons@tribunemedia.net

Minister of Energy and Transport JoBeth Coleby Davis said yesterday that 62 percent of residential consumers received bills under $125 in January.

During her contribution to the mid-year budget debate, Mrs Coleby-Davis said the tariff adjustment under the Equity Rate Adjustment (ERA) has led to residential consumers seeing a reduction in their electricity bills early this year.

She said reducing the base rate tariff to zero for the first 0 to 200 kWh created a more “equitable balance” in the tariff structure and households no longer subsidise large commercial consumers.

“BPL has approximately 94,500 residential customers. According to the latest analysis provided by BPL, approximately 9,636 households received electricity bills between $5.00 to $19.99 in January 2025,” said Mrs Coleby-Davis.

“Going further, approximately, 41,014 households received bills between $20.00 to $99.99. Approximately, 8,283 households received 15 bills between $100.00 to $124.99. This means that approximately, 58,933 households or 62 percent of residential customers received bills under $125.00 during the month of January.”

She added that although energy consumption is usually lower during the winter the ERA still had an impact on electricity bills.

“Now we know that energy consumption is traditionally less during the winter months and there are other variables to consider such as the fuel charge, however, we cannot deny or ignore the impact of the ERA. It is also worth mentioning that lower electricity bills also mean less funds paid in VAT – more money in the wallets of Bahamians,” said Mrs Coleby-Davis.

The Minister of Energy said BPL’s partnership with Island Grid is “progressing” as they iron out the governing and operational framework of the agreement and the transitional committee has made recommendations for consideration.

“I can also confirm that the partnership between Island Grid and BPL is progressing and that work on advancing the governing and operating frameworks are continuing. The Transitional Committee – which is comprised of HR representatives from BPL and both unions have made several recommendations that are being considered. I will be able to provide more details in short order,” said Mrs Coleby-Davis.

She also advised that the power purchase agreements (PPAs) between BPL and Independent power producers (IPPs) are in the “final stages of completion” and negotations for LNG generation are “near completion”.

“With respect to the utility scale renewable energy projects for New Providence and the Family Islands, I can advise that Power Purchase Agreements, better known as PPAs between BPL and Independent Power Producers (IPPs) are in the final stages of completion. I am advised that the first PPA is expected to be signed by the end of the month,” said Mrs Coleby-Davis.

“With respect to utility-scale LNG generation, I can advise that we are closer than ever before and the negotiations on the PPA are also near completion, with the agreement expected to be signed at the end of March, with first gas in August 2025.”

Giving an update on transport; Mrs Coleby- Davis said the Road Traffic Department has collected over $24m between July 2024 and January 2025 and announced that a local company was selected to upgrade the Marsh Harbour Port.

“Between July 2024 and January 2025, the Department has collected over $24m, which is higher than last year’s figure,” said Mrs Coleby-Davis.

“We understand the significance of the Marsh Harbour Port to the island – residents and businesses. I can advise that a Bahamian company was selected by our US counterparts to restore the transshipment port.

“The upgrades to the Port will include more lighting, provision of stormwater drainage, placement of an administrative and security building, CCTV, connections to backup generators, power connection to new buildings, paving, and a suitable perimeter fence. I expect to be able to provide a more concrete update before the end of April.”