The Tribune

By SANCHESKA BROWN

Tribune Staff Reporter

sbrown@tribunemedia.net

PRIME Minister Perry Christie said yesterday that legislation is now being drafted to facilitate the restructuring of the Bahamas Electricity Corporation by Power Secure International.

Speaking to reporters, Mr Christie said he hopes to have the legislation tabled and passed through Parliament “very soon” so Bahamians can begin to feel relief from high electricity bills.

In May, Deputy Prime Minister Philip “Brave” Davis announced that the government selected PowerSecure as the new management company for BEC, giving it a five-year contract to oversee generation and transmission/distribution.

The process is expected to lower electricity costs, increase energy security and reliability, and increase competitiveness as a country.

Mr Christie said the government reviewed the proposed transitional agreement on Tuesday and the next step is to table it in Parliament.

“We reviewed what was drafted by the Attorney General’s Office. The government has had a good review of it. We believe we are going to begin to address specifics in the application shortly,” Mr Christie said.

“The deputy prime minister has made a presentation of that agreement and it remains a priority of the government and so we are proceeding towards being able to have that agreement agreed and for the process to ensue for the new company to assume the management.

“Legislation is being drafted that will facilitate that,” he added.

Last month, Mr Davis said that the government was in the process of establishing a transition committee under the agreement with PowerSecure. That committee, he said, will consist of “well-versed business and technical persons.”

He also said the Financial Action Task Force is in the process of considering and recommending on “several robust proposals” submitted by “world class banks” to raise money by way of Rate Reduction Bonds (RRB). He said the government hopes to enter into a RRB mandate with a preferred bank(s) for the “refinancing of the legacy liabilities, without a government guarantee as well as providing monies for the working capital and other needs of the new BEC”.

“At the satisfaction of these requirements, government will table legislation to establish the new BEC, transferring the operating assets and certain liabilities from the existing BEC to this new company,” Mr Davis said. “That legislation will establish a completely new and non-partisan board to oversee the management contract and operation of new BEC.”

PowerSecure, an American company, specialises in utility scale solar power through its subsidiary PowerSecure Solar and has provided both solar and storm hardening services to multiple utility customers.