NASSAU, BAHAMAS — Opposition Leader Michael Pintard is warning that the government’s newly released energy reform agreements could lead to significantly higher electricity costs while locking the country into long-term arrangements that primarily benefit private investors.
In a statement issued as the Free National Movement began reviewing more than 3,000 pages of contracts made public by the Office of the Prime Minister, Pintard said the opposition’s early assessment indicates the deals were structured with private interests in mind. “What we can already tell the Bahamian people is this: these are bad deals. And when you see who benefits and who pays, it will be clear that these agreements were structured with private interests in mind, not yours,” he said.
Pintard argued that the contracted rates for electricity generation could reach as high as 30.4 cents per kilowatt-hour on some islands before fuel surcharges, potentially pushing total consumer costs to between 50 and 55 cents per kilowatt-hour. “That is not modernisation, that is a generational tax on every household, every business, every school, and every hospital in this country,” he said.
The agreements underpin the government’s sweeping overhaul of the electricity sector, including the creation of the Bahamas Grid Company to manage transmission infrastructure as part of efforts to modernize the grid and improve reliability at Bahamas Power and Light.
The opposition leader also raised concerns about accountability provisions, saying performance requirements for private operators appear weak despite long-term payment guarantees. “These private companies have been handed guaranteed payments with no effective mechanism to hold them accountable,” Pintard said, adding that the public would have little recourse if service targets are not met.
He further pointed to potential hidden costs tied to the policy providing the first 200 kilowatt-hours of electricity free to residential customers, arguing that the new structure could still require payments to grid operators for that power. “Our estimates place the monthly cost of this arrangement at approximately $1 million, a recurring charge that Bahamian consumers will carry, month after month, because the Government signed agreements without ever asking who would pay,” he said.
The government has defended the reform as essential to strengthening the country’s aging electricity system, reducing outages, and enabling renewable energy integration through partnerships with firms including Pike Corporation and its Bahamian affiliate Island Grid Solutions.
Pintard said the opposition will continue reviewing the documents and release additional findings, emphasizing that the full implications of the agreements will unfold over time. “The Bahamian people deserve to know what was done in their name. We will make sure they do,” he said.
