NASSAU, BAHAMAS — Works Minister Alfred Sears said yesterday that Bahamas Power and Light’s (BPL) $600 million rate reduction bond (RRB) is under “active consideration and review”, while also noting that he plans to meet soon with Shell regarding its deal with the company.
Apart from paying off BPL’s $321 million legacy debt, the RRB also aims to provide new financing to enable BPL to invest in its generation and transmission and distribution network.
Sears said: “This is a matter that is under active consideration and review but as a new administration coming in, before you can authorize the borrowing of over $600 million, you have to review it to make sure that it aligns with the Speech from the Throne and the energy policy of the government.”
Sears also noted that he has a meeting planned with Shell North America shortly, having spoken to their representatives.
In November 2018, the government signed an MoU with Shell North America (Shell NA) for the development of a gas-to-power project. The project would include the development of a gas-fire 220-plus megawatt power plant; marine infrastructure to receive liquefied natural gas (LNG); a gas pipeline to bring gas to shore; and an onshore LNG re-gasification terminal.
BPL had undertaken to cover the costs to construct the entire 220-plus megawatt power plant at the Clifton Pier site and transfer the assets to Shell NA for its gas-to-power facility.
Sears noted that he has received a number of communications from various people in the renewables sector.
“I have started to meet with some of those persons and will continue to inform myself so that we can move as expeditiously as possible in the area of renewable power generation,” said Sears.
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