Cabinet has agreed to a mechanism that allows for competitive procurement for battery storage.
Minister of Energy and Business, Senator Lisa Cummins, made the disclosure as she spoke about the current electricity grid being close to capacity at 89 megawatts, and the need to take urgent measures to correct the issue, and to include battery storage into the energy mix.
“On the basis of advice from a range of international and development community partners, as well as storage and battery specialists, we have identified a range of solutions and the Cabinet is agreeing now to come forward with a mechanism that allows for competitive procurement for battery storage, up to 200 megawatts, to allow Barbadians to get on to the grid.
“This is a solution that allows us to go to market and ensure that there is the most competitive pricing (available) that allows Barbadians to access the grid. Secondly, we’re building in a mechanism that allows Barbadians, in the same way that they have bought into renewable energy capacity on the generation side, to also be able to do so on the storage side; so we are making these changes,” Senator Cummins stated.
She disclosed that the necessary legislative processes would be under way in the coming weeks and months, to allow for the competitive procurement to go forward.
She explained that Barbados has been working with international partners, including the Rockefeller Foundation and the Global Energy Alliance for People and Planet, to find the most suitable solution.
“Competitive procurement guarantees that you get the best price solution, but by working with partners like the Rockefeller Foundation, it also helps us to ensure that we’re working on the supply side with partners…to make sure that we’re getting the best technology, the best solution and at the best price, thereby ensuring affordability for Barbadian consumers at all times, with a renewable energy mix that ensures we meet our climate goals but also meet our affordability goals for the price of electricity….
“We will go to Parliament with an amendment which allows for changes to be made to the Utilities Regulation Act that paves the way for competitive auctions to take place. The competitive auction framework is something that has been agreed to globally…, and so all the best international advice says that the next phase for countries like Barbados, is the auction framework, and we have taken that step…,” Senator Cummins stated.
She stressed that Barbados will have a dedicated transaction advisor to guide it through the competitive procurement process.
“It will be an independent process with an independent expert who is an arbiter and who has done this in countries like ours around the world, and they’re working in other countries in the region, very similar to Barbados, with similar circumstances. So they have large country experience and small country (like Barbados) experience,” she pointed out.
The Minister said many Barbadians are trying to get on the grid and Government is committed to ensuring their wish becomes a reality.