NASSAU, BAHAMAS — St. George’s Cay Power Company (SGCPC), the sole licensed electricity provider for Spanish Wells and Russell Island, is set to overhaul its diesel-dependent grid with a phased renewable energy strategy, targeting 30 percent solar generation by 2027 while laying the groundwork for up to 90 percent — a move aimed at lowering costs and aligning with national energy policy goals.
Under its Utilities Regulation and Competition Authority (URCA) license and the Electricity Act 2024, SGCPC is mandated to introduce renewable energy into its supply mix in a least-cost, sustainable manner. St. Georges Cay Power Company customers on St. George’s Cay (Spanish Wells), Russell Island, West End Cay, Charles Cay, and Royal Island.
“Until now, all of our electricity has come from diesel-fuelled generators,” SGCPC said in its Renewable Energy Plan (REP) executive summary. “Our plan is designed to safely and sustainably reduce reliance on fossil fuels, while lowering costs for customers.”
The plan outlines a three-phase rollout of photovoltaic (PV) systems totalling up to 2 MW of solar capacity, along with battery energy storage systems (ESS) to maintain grid stability. While the company estimates that achieving 90 percent renewable penetration could deliver the lowest-cost electricity, it would require 8 MW of PV capacity and a 35 MWh battery — a scale constrained by land availability.
In addition to company-owned solar generation, SGCPC’s plan allows customers to install their own PV systems if they meet connection standards and safety requirements. Those who export power to the grid will be compensated at rates based on SGCPC’s avoided cost of generation, currently around $0.05 per kWh.
“The REP anticipates the community will reach and exceed 30 percent by 2027 provided the projects move forward,” the company noted.
However, the plan highlights risks associated with unauthorised customer-owned solar. An aerial and ground survey in June 2025 found 46 PV systems already installed across the two islands — equivalent to roughly 5.5–7.5 percent of SGCPC’s energy sales — none of which had received proper permits or approvals.
“One of our technicians recently received an electrical shock when working on a meter connected to a home with improperly installed PV equipment,” the company warned. “Without adequate oversight, privately owned systems put our crews, the grid, and neighboring properties at risk, particularly in hurricanes.”
To prevent grid instability, SGCPC will cap customer-owned PV systems at sizes appropriate for its network — about 1/100 the scale permitted on New Providence.
SGCPC also positions its company-owned solar farms and storage investments as the most cost-effective path forward. “PV represents the lowest possible capital investment and the best rate reduction proposition for customers,” the REP stated.
The company serves a service area with peak demand of 3.2 MW and annual consumption of about 12,000 MWh, growing at roughly 1 percent annually. With 5 MW of installed diesel capacity, SGCPC maintains near-zero loss of load expectations (LOLE), but warns that uncontrolled renewable penetration could compromise reliability.
Looking ahead, the company emphasised that all future solar installations — whether utility-scale or residential — must secure approvals from Town Council, permits from the Ministry of Works, and final authorisation from SGCPC itself.
“We want our customers to participate in the renewable energy future, but it has to be done safely, sustainably, and in a way that keeps costs down for everyone,” the company said. “This plan ensures we can achieve national energy targets without sacrificing reliability or affordability.”
