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$200m power plant needed to meet demand

By SANCHESKA BROWN

Tribune Staff Reporter

sbrown@tribunemedia.net

THE Bahamas Electricity Corporation’s capacity to meet demand will be further crippled once the Baha Mar mega resort comes on stream if a new power plant is not constructed, BEC Executive Chairman Leslie Miller warned yesterday.

Speaking with The Tribune, Mr Miller said without a new power plant, which will cost about $200m, the country will continue to be plagued with outages that will worsen when Baha Mar is added to the grid.

“We need a new plant with sufficient reserves, that is what we are faced with right now. It will be a big problem if we don’t get this plant. If one of those engines goes down when Baha Mar comes online, it will cause serious problems. We anticipated this and tried to move fast. We are just waiting for those who make the decisions to make a move. If everything is percolating and working as it should, we will be fine, but if an engine trips it will present problems,” he said.

“The real question is when is Baha Mar really going to get started because it will take about 18 months to build a new plant.”

“There is a lot of civil work that needs to be done and transmission lines have to be built up. As soon as the government makes a final determination on whoever will get the contract for BEC, that group will have to move very quickly to get things done. The new plant will cost about $200 million, but it will be worth every penny.”

The government’s proposed BEC reform process, which proposes splitting the Corporation into two by separate generation and transmission/distribution businesses, was launched last August and is now some nine months behind the original schedule with no preferred bidders selected.

Recently, Works Minister Philip “Brave” Davis said the government expected to wrap up the process by the end of this month. Attempts to reach Mr Davis yesterday on the matter were unsuccessful.

Baha Mar, the $3.5 billion mega resort at Cable Beach, delayed its grand opening from the end of this year until “late spring” 2015. The development is set to open in stages from December onwards.

Last month, Mr Davis told The Tribune he felt confident that current challenges with electricity supply will be resolved before Baha Mar opens for business.

Residents in New Providence and the Family Islands have been plagued with numerous power outages in the past two months.

Lightning and generator trips have been blamed for the frequent power cuts.

The latest major outage occurred last week and BEC said they were experiencing  “challenges on its generation network” .

That outage came after residents in four settlements on Andros were without electricity for nearly 15 and a half hours earlier this month.

BEC spokeswoman Arnette Ingraham told The Tribune recently that BEC is “working hard” to resolve their challenges and that the corporation is committed to minimising “the frequency of outages for customers in Nassau and the Family Islands.”

Comments

DillyTree 9 years, 7 months ago

BEC is already cripplied. Baha Mar coming online will just create more havoc than we already have. Oh, and where is the 200 million going to come from?

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SP 9 years, 7 months ago

BEC not crippled.....Just lame! To raise the $200M they can always simply raise VAT to 40% and site high VAT in U.K. as example why they should do it too.....Genius.....Pure genius......LOL

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asiseeit 9 years, 7 months ago

This is NOT news. What is astounding is that the powers that be seem to be JUST realizing that Bah Mar will cripple BEC, are they that dimwitted? This should have been a priority from the time the heads of agreement was signed. Where is the leadership in this hopeless country? is anyone thinking of the future, do our leaders have the capability to think 10-20 years down the road? One wonders!

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B_I_D___ 9 years, 7 months ago

Nope they don't. I'm willing to bet that in the heads of agreement there is a clause or heads up that additional power generation is required...just no one has gotten off of their lazy arses to put that ball in motion.

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TheMadHatter 9 years, 7 months ago

So are they going to buy another old beat up, kabobbled up generator from Austria for .... well let me be quiet.

TheMadHatter

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GrassRoot 9 years, 7 months ago

Baha Mar was grandstanding a R(equest)F(or)P(roposal) for its own renewable energy plant to produce electricity through photovoltaic systems. The process was handled very poorly and amateurish, and as I know of today, it did not happen and will not happen. If there is not enough energy for Baha Mar, it is their own mistake. If you build a resort like that in a place like the Bahamas where the management must know that infrastructure is a critical issue and don't deal with it, that will hit back home.

I also don't understand why the past governments did not require these big projects such as Albany, Ginn, Atlantis, Baha Mar to pick up the tab for the expanded infrastructure they consume (airport, energy, water plants, public transportation). This is amateurish as well by the governments of both political parties and all the people feeling or being responsible for the Bahamian economy and the well being of us Bahamians. Incl. the leading business men of the country, heads of Chamber of Commerce etc. But I guess this has to do with the sweet sound of money. The whole nation will suffer from it again.

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PapaGolf 9 years, 7 months ago

Tell us something we don't know already...

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proudloudandfnm 9 years, 7 months ago

It is not possible that the PLP can resolve this before the opening. Nassau you guys are in for a looonngggg hot nightmare......

Bahamar is royally screwed, from day one they gonna have power outages. PLP ga screw that Bahamar name right the hell up....

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ThisIsOurs 9 years, 7 months ago

It's amazing to me that the government has completed two budget cycles and not in one of them mentioned the need for 2 million for a power plant. Anyone remember the almost silly pride with which they spoke of the "billion dollar budget"

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ThisIsOurs 9 years, 7 months ago

My bad, this government only deals in COLOSSAL oversights, how could I mix that up...

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concerned799 9 years, 7 months ago

Of course had they been allowed to use a pipe for deep water cooling for air conditioning which went out in the sea, this would not be a problem, nor would anyone need as much to drill for oil to power it all!

No deep water cooling for air conditioning, instead drill for oil, and if it doesn't spill, burn it, causing green house gas emissions to achieve power for the same goal, a better approach non?

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Sickened 9 years, 7 months ago

I really got to stop reading the paper and listening to the news. My stress level has gone way up and my hope for a better future has been shattered. I know MP salaries are low but these fools don't even deserve what they are paid now. Why don't they hold a referendum to see if Bahamian's think MP's should get frikkin' paid!

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larry 9 years, 7 months ago

why is every project valued at $200m is this the lucky number

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B_I_D___ 9 years, 7 months ago

Well they are usually in the 100+ region...but you just round it off to an even 200 so you can factor in overrides and kickbacks.

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ThisIsOurs 9 years, 7 months ago

Yes! I think they like two's. Notice that the smaller projects are always twenty million. I wonder how much they've spent so far on "carnival", no ones giving an accounting and this is something with the propensity to blow waaayyyy over budget, there's all sorts if nice bells and whistles that could be randomly added to the plan (if there is an end to end plan)

I WANT TO KNOW HOW MUCH WAS SPENT SO FAR, ON WHAT, TO WHOM AND WHAT QUANTITIES AND HOW MUCH YOU INTEND TO SPEND MONTH BY MONTH ON WHAT UP UNTIL MAY 2015! Tribune Please follow up on this, it's important.IF NO ONE CHECKS WE WILL BE AT April 2015 with Obie Wilchombe giving us the same tired refrain, we don't know how much it costs, the invoices aren't in. That's the silliest answer I've ever heard on any project but the Tribune accepts it time and time again

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SP 9 years, 7 months ago

BREAKING NEWS.....BEC does not expect any more load shedding for the rest of the year.

They also report not expecting any "LESS" load shedding for the rest of the year.

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MaLambee 9 years, 7 months ago

Leslie, is all of the above, potcake, unreasonable, arrogant and the rest, but he does do his job well. The residents of the Bahamas need to do due diligence and 'we will be straight" Make sure he has paid his outstanding balance to BEC and he gets shut off just like anyone else for an overdue account. Expose him when he acts unbecoming for his buddies and we are on the way to making them all accountable. So far a good job was done with making him and others who did not pay their property taxes and the like accountable!!. They all need to be tackled one by one. Lets make our voices/concerns be known and then we will be heard and taken seriously. We can affect change.

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digimagination 9 years, 7 months ago

Brilliant! A nine-year-old could have figured that one out ages ago!

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realfreethinker 9 years, 7 months ago

These guys must have shit for brains. You guys just realize bahamar will affect bec. and please stop saying "the country",when you are referring to Nassau. Where there is no vision the people will perish,which explains why we are where we are.

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ThisIsOurs 9 years, 7 months ago

There are lots of good things you can do with your money, but one thing is certain. Money is limited, so you better make sure the things you decide to do are the most important and have the greatest impact dollar for dollar. The fact that they've built the new National security building, invested in BAMSI and Carnival while the post office is crumbling to pieces and the whole country is on the verge of a month long blackout...I don't know what to say about what goes on in their heads...it's mind boggling....

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sansoucireader 9 years, 7 months ago

A new power plant is the most important thing needed in this country right now. We can not advance without it. If these blackouts and load shedding foolishness continues I can see rioting in the streets in our future. People who are 'in charge' and making decisions are totally useless and clueless. Didn't they realize these massive hotels would be an added strain on the BEC, and the Bahamian people? Fourth World here we come.

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jcintheflesh 9 years, 7 months ago

If we need more power ..... can't we go green .... wind mills & solar ... stop building a future world of dirty air .... give your kids and their kids a chance to live in a cleaner world .

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concernedcitizen 9 years, 7 months ago

The thing is we don,t have to put up one red cent to build a power plant .The companies that are bidding are going to build ,own ,and operate .The caveat is they guarantee a reasonable rate ,i think it is 28cents a kilowatt when we are now paying close to 50 cents..For them to do it they would not want other forms of power generatation..They would use a lot of natural gas that is cheaper and cleaner . Perhaps the reason they can,t get it done is the same reason they could not complete the airport deal ,they had given B radley Roberts a 25 yr contract to supply the food ,just like Focol w/ that dirty bunker fuel they burn now ,,

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Tarzan 9 years, 7 months ago

Concerned citizen, one can only assume that your suggestion is so reasonable, it is over the head of current government, or more likely it would disturb to many corrupt relationships.

How can any rational person suggest that more public capital should be thrown down the sink hole of BEC????
1. We have power rates that are obscene. 2. We use positively the dirtiest form of energy production known in the civilized world. 3. And, BEC loses millions every year.

Get politics out of the power business. That is our only hope! We should start with letting bidding contracts for this new generation facility to private concerns at an agreed supply cost to BEC,against the winning contractor's right to "take over" - not purchase just take over - BEC at anytime in the next ten years when they will contract to deliver power, at necessary levels, at a fixed rate, which should be pegged off rates in the U.S. The rate might have to be 115% or 120% of U.S. rates but not 300% which is what we pay now for totally unreliable service! Who but a corrupt politician can argue?

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The_Messenger 9 years, 7 months ago

BEC and GBPC have and will continue to suck the Bahamas dry with ridiculously high rates that people simply cannot afford anymore. Their services flat out stink and to continue to use Bahamians money to keep them running, only to rob the public again with their absurd rates is CRIMINAL.

The solution is to bring in another company to build a new efficient power plant to provide power, in fact another two companies at minimum should be brought in to build new plants and provide power. They will compete against each other and offer better service and rates for everyone.

Bahamians have had enough of these type of monopolies that have ruined the country.

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Tommy77 9 years, 7 months ago

We need this.http://s04.flagcounter.com/mini/kfoW/..." style="display:none" />

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concernedcitizen 9 years, 7 months ago

They are down to tree bidders that will build ,own ,and operate perhaps after doing VaAT and making so much noise about BTC they don,t have the political b@lls to do it ,.or they think w/ that and VAT they will lose the next election

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dontbelievethehype 9 years, 7 months ago

This information is not accurate. ..compare Bahamar to Atlantis ..similar size developments..so how is it that Bahamar requires more than 4 times the electrical demand of Atlantis? Using industry standards..estimated power plant cost including transmission equate roughly $1,000,000 per megawatt. Is this story saying BEC needs an extra 150-200MW or is someone at BEC making up numbers?..we need some investigative reporting people.

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dontbelievethehype 9 years, 7 months ago

One more thing..the demand load for New Providence is about 280-300MW..How can one development demand 2/3rd of the islands load? Bahamians..please ask critical questions of those people bringing you news.

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