PRESIDENT of the Barbados Renewable Energy Association (BREA), Aidan Rogers, says there are three critical documents awaiting approval by the Cabinet of Barbados which would make a huge difference in the local energy sector.
According to Rogers, this includes the formalisation of the National Sustainable Energy Policy.
“A task force was established in October 2015 and that draft report has been finally formalised. BREA has had input, the document is a workable document. I don’t think you ever score 100 per cent on a document that involves several stakeholders, particularly from the private and public sector, but I think that document being finalised and approved by Cabinet for implementation stage is a necessary step.”
The next document which Rogers believes is critical to creating the real push in the sector from the investment perspective, is the Tariff Study that was recently commissioned by the Energy Division. “That study really recommended the implementation of the appropriate regulatory market mechanisms and structures for creating a pricing and investment regime necessary for the sector. That’s another document to be approved by Cabinet.”
He explained that the final thrust would be the extension of the licensing period for contracts to sell power to the utility. Rogers stated that this would be also critical from the financial investment perspective in terms of the credit unions, the banking industry or even small investors.
“As it currently stands under the Renewable Energy Rider programme, only ten-year licenses are being provided and that has created significant limitations in terms of persons securing the necessary financing for extending investment towards the larger-sized systems to 500 Kwt.
“So those three issues – the extension of the license, approval of the Tariff Study and the FTC’s eventual formalisation of some tariff mechanisms, as well as the formalisation and acceptance of the National Sustainable Energy Policy. Those are three critical steps and documents we think would give some life to the current stagnance that we have right now in terms of moving forward.”
Rogers says Barbados is on the cusp of getting it right, noting that it has been a seven-year journey. “It is for the next government, whoever forms it, to move with dispatch to address this issue. This is something we would like to hear more of the politicians and aspirants of political office, really speaking and engaging with sectoral players on what is necessary for this all-important sector,” he said. (JH)