Bahamas Eco-Forum

About Residential Wind Power

by Mary Jones

The advantages of wind energy are that it is virtually free (after you purchase the equipment) and produces no pollution. The main disadvantage is that wind speed is variable.

The US Department of Energy has divided wind energy into classes from 1 to 7. The average wind speed for class 1 is less than 9.8 mph, while the average for class 7 is 21 mph or more. For effective power production, class 2 winds (11.5 mph on average) are required.

Energy Security Inseparable from Transition to a Low-Carbon Economy

by Larry Smith

Thirty years ago a mechanical failure at a nuclear power plant in Pennsylvania released radioactive gases into the atmosphere, forcing the evacuation of 140,000 people from the surrounding area. It was a significant turning point in the development of nuclear power.

As Canadian commentator Jeff Rubin recently pointed out, “The real legacy of Three Mile Island wasn’t what happened back in 1979, but rather what happened - or more precisely didn’t happen - over the course of the next 30 years in the US."

He was referring to the fact that the near-meltdown of the Three Mile Island reactor changed public acceptance of nuclear power plants, and none has been built in the US since. Could the catastrophic explosion at the BP drilling rig in the Gulf of Mexico have the same effect on the oil industry today? 

Status of Bahamas Energy Sector Reform

by Larry Smith

The Bahamian energy sector is ripe for far-reaching reform to lower costs, improve efficiency and promote green energy. Although fuel imports fell last year to about $668 million as oil prices and domestic demand eased, gasoline and diesel prices have been rising this year. And when oil prices spike again - as most experts say they will - we will regret not having used the intervening period to make necessary changes to our lifestyle and economy.

The record of the last three years on this issue is not particularly hopeful. Although the FNM initially embarked on some major policy initiatives - including a national energy policy, a call for production of renewable energy by the private sector, an energy efficiency programme and a regulatory review, these efforts seem to be floundering today.

BEC recently cancelled its two-year renewable energy tendering process with nothing to show for it. IDB-financed studies are still underway to determine changes to the legal and regulatory system, and to promote energy efficiency and conservation. But meanwhile, the government is making enormous investments in conventional generating plant that will be in use for the next 20 years.

According to Glen Laville, project manager at the Ministry of Environment for the IDB-sponsored initiatives, "Sector reform is a process. We are presently completing the necessary studies to ensure the outcome is positive. This takes time. The fact is there's a helluva lot happening and a lot will eventually come out of this, but we are just not there yet."

The government seems to be betting the future of energy reform on a possible investment by the Canadian power company, Emera, which has lately been conducting a review of BEC's operations to develop a turnaround plan for the corporation. Emera is also a major shareholder in the Grand Bahama Power Company and has other assets in the Caribbean.

"We picked Emera as a strategic partner to look at what the IDB consultants were doing doing from a practical, operational view," BEC Chairman Michael Moss told me recently. "In addition to wind turbines, we are looking at circulating fluidised bed furnaces to burn a variety of fuels, and also considering wave energy, but conservation is the only real green energy at the moment and we will be pushing that angle strongly. We are some distance away from any utility-scale RE projects."

The slowdown - if not collapse - of the government's energy initiatives is most unfortunate. I fully agree with the view of New York Times columnist and author Tom Friedman, "In this kind of world, leadership at every level of government and business matters more than ever. We have no margin of error anymore, no time for politics as usual or suboptimal legislation.

it is clear that energy is a key issue for both the public and private sectors over the medium term, and it does not appear that urgent steps are being taken to (in the words of the National Energy Policy) "become a world leader in the development of sustainable energy opportunities, by aggressively re-engineering our legislative, regulatory, and institutional frameworks; re-tooling our human resources; and implementing a diverse range of well researched and regulated environmentally sensitive and sustainable energy programmes."

Wilson City Plant to Use Diesel Rather than HFO

by Larry Smith

Environment Minister Earl Deveaux recently confirmed that heavy fuel oil would not be used at the $105 million Wilson City power plant being built on Abaco. However, Bahamas Electricity Corporation Chairman Michael Moss said a final determination on possible higher rates for Abaco consumers as a result had not  been made.

MAN Diesel Canada are building the 48-megawatt plant some 14 miles south of Marsh Harbour and about two miles from the coastal ruins of Wilson City, the fabulous lumber town that operated for about 10 years in the early 1900s. It is expected to be operational by June.

The site consists of a 25-acre fenced clearing, with another 75 acres of forested land assigned for future expansion. And the southeastern corner of the cleared site is less than 2100 feet from unspoiled tidal mangroves. A terminal will be built for tankers to offload fuel via a submarine pipeline. Fuel will then be pumped through an underground pipeline some two miles to the power plant.

The prospect that the new plant would burn heavy fuel oil (also known as bunker C) - the most polluting of all fossil fuels - aroused much opposition from concerned residents and environmentalists on Abaco. The power plant is sited in an ecologically sensitive area of tidal creeks and mangroves connected by dozens of blue holes.

BEC Narrows RE Field

by Larry Smith

Six companies are waiting for the Bahamas Electricity Corporation to make a determination on proposals submitted in Phase II of the Corporation's renewable energy RFP. Four of the proposals are for waste-to-energy plants in Nassau, and the remaining two have proposed solar and wind projects on several islands.

The tendering process began in May 2008. Thirteen companies were shortlisted in September 2008 from a field of 30 initial proposals using four technologies - solar, wind, hydrokinetic and biomass.

Currently, all of the Bahamas' electricity needs are provided by imported fossil fuels. BEC wants to generate at least 10% of its power from alternative fuel sources.

BEC Invests $105 Million in Oil-Fired Power Plant on Abaco

by Larry Smith

Despite efforts to move towards a renewable energy future, the government's energy chiefs are investing $105 million of scarce public funds in an oil-fired power plant that will be able to meet demand on the island of Abaco for decades.

The plant is being built on a 25-acre site in the pine forest about 14 miles south of Marsh Harbour by MAN Diesel Canada. It will feature four state-of-the-art heavy fuel oil generators that will produce 48 megawatts of electricity.

German Firm to Help BEC with Renewable Energy Plans

The German engineering firm, Fichtner, has been awarded a half-million-dollar contract to advise the government on the energy sector, which will include an audit of the Bahamas Electricity Corporation and advice on the implementation of renewable energy.

In June, the government guaranteed a $211 million rescue loan for BEC. As of May, the utility had nearly $99 million in receivables and $130 million in payables. Earlier, the government had signed two technical cooperation agreements with the Inter-American Development bank aimed at strengthening the energy sector and integrating renewable energy projects into the electricity grid.

Fichtner will conduct a technical, financial, managerial, and operational review of BEC, including the establishment of key performance indicators. It will also develop a strategic expansion and financing plan emphasizing the inclusion of alternative energy technologies. The regulatory framework will also be reviewed with a view to opening the sector to independent power producers.

These projects are expected to take 10 to 12 months to complete with interim reports being generated to allow action where required. Fichtner has a worldwide network of branches, project offices and associated companies in over 50 countries.

In addition to development banks, commercial banks, private investors and industrial enterprises, Fichtner's clients principally include public institutions such as ministries, local government agencies and research institutes.

Energy Efficiency Workshop Identifies Savings for Small and Medium Sized Enterprises

by Larry Smith

About 50 small businesspeople and consultants took part in a free one-day workshop on energy efficiency in Nassau on March 16 staged by the private sector arm of the Inter-American Development Bank.

The workshop was part of the GREENPYME programme launched last year by the Inter-American Investment Corporation, which provides financing and advisory services to businesses throughout the region.

GREENPYME was set up to provide know-how, tools, and technical and financial support for implementing energy efficiency measures and clean technologies to help small and medium sized enterprises become more competitive.

BECs Shortlist for Renewable Energy Projects

by Larry Smith

Of the 13 companies that have submitted renewable energy bids to the Bahamas Electricity Corporation, two are proposing solar pv projects, two are proposing a combination of wind and solar generation, one is proposing wind generation only and one is proposing ocean thermal energy conversion. The remaining seven bids are for waste-to-energy projects.

Bahamas Renewable Energy Corp - wind/solar
Bahamas Renewable Energy Resources - waste-to-energy
Cambridge Development Inc - waste-to-energy
Enfinity - solar
Exuma Waste Management - waste-to-energy
GA Solar -solar
Globally Green Energy Consortium - waste-to-energy
GPEC Global Inc/Energy Solutions Bahamas - waste-to-energy
Norwin America - wind
OCEES International - OTEC
Plasco Energy - waste-to-energy
Protocol Energy International - wind./solar
Smart Power - waste-to-energy

The 13 bids will be evaluated by a consultant funded by a grant from the Inter-American Development Bank. Environment Minister Earl Deveaux has said he wants a waste-to-energy provider approved by March at the latest.

Bahamas Green Energy Initiatives

by Larry Smith

State Environment Minister Phenton Neymour told a group of engineers recently that the Bahamas was "highly vulnerable" to rising oil prices because our economy relies totally on fossil fuel imports - at a cost of a billion dollars last year alone.

"In the long term one can expect that supply and demand pressures that have temporarily eased will return as global economic activity returns," he said. "This vulnerability directly impacts our ability to secure the goods and services required to drive our economy."

There is widespread agreement on this point. In fact, representatives from 100 countries are meeting in Germany this week to set up the International Renewable Energy Agency - an intergovernmental body formed to address the "urgent need to transform the energy sector to one that uses renewable energies and energy-efficient technologies."

IRENA was formed to tackle the obstacles to this goal - such as counterproductive regulatory frameworks, technical barriers, insecure financing of renewable energy projects, and lack of awareness of renewable energy opportunities. It aims to speed up the global transition to a sustainable energy sector.

And after years of muddling, we in the Bahamas now seem to be well on the way to embracing this goal. A preliminary national energy policy has been drafted, and other initiatives are in the works that could significantly reshape our fossilised energy sector, which is growing at 8 per cent a year.