Published On:Wednesday, April 21, 2010

By NEIL HARTNELL

Tribune Business Editor

ATTORNEYS for opponents of the Bahamas Electricity Corporation's (BEC) $105 million Wilson City power plant have written to their government counterparts outlining the terms for a proposed settlement, which include developing a consultation process and allowing their clients to identify "the matters which they most urgently wish to be consulted on".

Fred Smith QC, the Callenders & Co attorney and partner who is acting for Responsible Development for Abaco (RDA), said in an April 15, 2010, letter to attorneys for BEC and the Government that his clients wanted to develop terms for a Consent Order which, if agreed and then approved by the Supreme Court, "would provide a framework for settlement of this action".

The Supreme Court hearing on RDA's Judicial Review application, which sought to overturn the decision to construct BEC's new Abaco power plan at Wilson City, was adjourned on April 7, 2010, by Justice Hartman Longley to give both sides an opportunity to settle the matter without further court action.

A key element of the terms outlined by Mr Smith was the creation of a formalised consultation process for all issues relating to the Wilson City project, with BEC and the Government providing RDA with all necessary information. If anything "remains undone or incomplete" in relation to the power plan permits, RDA's views had to be considered.

"I refer, as an example, to the swathe of forest that has been cut from the plant to the Sea of Abaco for the [fuel] pipeline from the intended marine facility to the plant," Mr Smith wrote.

"RDA has views on what urgently needs to be done to stop the run-off from killing the mangroves and silting the Spencers Bight area which abuts the Pelican Cays National Park."

RDA, their attorney said, wanted to be consulted on whether the pipeline that will transport fuel from the coast to BEC's power plant was above or below ground.

And, pointing out that there was "real value" in reconsidering decisions already taken, Mr Smith said: "The Spencers Bight area is pristine and frequented by thousands of Abaconians and tourists, and is one of the areas at the heart of the eco-tourism industry, which is so valuable to residents of the area."

The consultation process RDA wanted to develop would be open-ended, Mr Smith added, explaining: "It is to be accepted that the construction and operation of the plant is an ongoing process.

"It has, and may require, different applications to be made by BEC or its agents to different authorities. It has, and may require, decisions to be made periodically by BEC that impact on health, safety and environmental matters, both for employees, the public and the air, marine and terrestrial environment."

The April 15 letter, sent to Robert Adams, attorney and partner at Graham, Thompson & Co, and Leif Farquharson at the Attorney General's Office, said RDA proposed to create "a transparent and orderly process that will facilitate the timely resolution of matters", patterning it after models employed by developers and regulators elsewhere.

Mr Smith said the model selected involved the developer, in this case BEC, consulting with all interested parties prior to submitting an application to the regulatory authorities.

If this proposal was followed, interested parties would be educated on the project, and the developer would potentially benefit from improved community relations, avoiding "adversarial public scrutiny or tumult", thereby simplifying the application process and reducing costs and time spent.

Such a process, Mr Smith said, would also lead to less opposition to development proposals when they were submitted to regulators. "It militates against the applicant or authority being blindsided or ambushed," he added.

"In this vein, RDA proposes that it should be agreed that a good faith pre-approval process working relationship be developed between RDA and BEC. If it works as hoped for it will translate into fluid and uneventful regulatory permitting processes, and also foster good relations with the community who are, after all, BEC's customers, [and who] BEC, it is to be assumed, would wish to have good relations with and keep happy."

RDA's proposed consultation process, according to Mr Smith, involved BEC making "full disclosure" of all information relating to every permit application for Wilson City. These details would be made public, and then the Corporation would hold an 'Introduction Meeting' to present its proposal and take questions.

A Working Period would then take place to allow BEC and the community to reach a consensus on the project, and even if one was not reached, Mr Smith said: "BEC loses nothing by the process; it only gains and society gains."

It could then apply to the regulators for its permits, and Mr Smith suggested that public opinion would have been satisfied by the consultation.