NASSAU, BAHAMAS- The recent partial arbitration ruling in the long running dispute between the government and the Grand Bahama Port Authority has affirmed government’s authority to regulate utilities in Freeport, including electricity, telecommunications, and other services, according to Attorney General Ryan Pinder.
Speaking at a press conference at the Office of the Prime Minister, Pinder said the recent arbitration ruling clarifies that the Government of The Bahamas retains full legislative authority to regulate utilities in the city of Freeport. The Utilities Regulation and Competition Authority (URCA) and Grand Bahama Port Authority (GBPA) has been locked in a dispute over who has the authority to regulate Freeport’s energy sector.
“The Electricity Act that was passed, was very specific in that it applied to all areas of The Bahamas, inclusive of the port area. The Port Authority took the position that the regulation of utilities in Freeport is under the exclusive domain of the Port Authority, and that the Electricity Act should not apply to utilities within the port area, because of the Hawksbill Creek Agreement. It’s a longstanding matter in our courts,” Pinder said.
He explained that the arbitration panel made it clear that the government retains the right to legislate and regulate all utilities in Freeport. “I’m glad this arbitration panel made it very clear that the Government of The Bahamas does have the right to be able to legislate a regulatory framework in Freeport to regulate all utilities, inclusive of power, inclusive of telecommunications, and any other utilities,” Pinder stated.
The arbitration decision addressed claims by the GBPA that it holds exclusive rights under the Hawksbill Creek Agreement (HCA) to construct, operate, and regulate utilities within the Port Area, including electricity, telephone, internet, and cable television services. In its submissions, the GBPA argued that URCA’s regulatory authority under the Electricity Acts of 2015 and 2024 infringed upon these rights.
“The arbitration panel has taken away the argument that the GBPA makes that the government cannot do it because of the Hawksbill Creek Agreement. It’s a very clear determination,” Pinder said.
The Attorney General highlighted that URCA, the independent regulator of electricity, telephony, and internet services, now has confirmed authority in Freeport. “It has taken away the argument that the GBPA makes that the Government cannot do it because of the Hawksbill Creek Agreement. It’s a very clear determination.”
Pinder emphasized that this ruling ensures the government can enact and maintain legislation regulating utilities for the public benefit. “The government of The Bahamas does have the right to be able to legislate a regulatory framework in Freeport to regulate all utilities, inclusive of power, inclusive of telecommunications, and any other utilities,” he reiterated.
Pinder noted that while GBPA retains operational control and licensing of utilities under the Hawksbill Creek Agreement, regulatory powers exercised by URCA are lawful and necessary. “It has taken away the argument that the GBPA makes that the government cannot do it because of the Hawksbill Creek Agreement. It’s a very clear determination,” he stated.
