Bahamas and renewable energy
The Bahamas, an archipelago located in the Caribbean, has historically relied on fossil fuels to meet its energy needs, with nearly 100% of its electricity generated from oil and natural gas as of 2024. The government aims to shift towards sustainability, setting a target to generate 30% of its energy from renewable sources by 2033. This transition is motivated by the need to mitigate the economic and environmental impacts of fossil fuel dependency, particularly in light of climate change and rising sea levels that threaten the low-lying islands.
Recent initiatives include the opening of solar plants in Grand Bahama, projected to significantly reduce carbon emissions, and public education campaigns focused on energy conservation. The Bahamas Power and Light Company (BPL) dominates the energy landscape, supplying about 85% of the nation's electricity while exploring renewable energy projects that include residential solar panel installations. Additionally, the government is working with local and international partners to enhance renewable energy development, participating in various international agreements aimed at addressing climate issues. Overall, the Bahamas is taking steps toward a more diversified and sustainable energy future.
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Bahamas and renewable energy
Official Name: Commonwealth of the Bahamas.
Summary: The Bahamas and its government-owned public utility are dependent on oil to supply the majority of the nation’s energy needs. As of 2024, nearly 100 percent of its electricity was generated from fossil fuels. However, the government was taking steps to become sustainable, and in 2013, it set a goal of generating 30 percent of the country's energy from renewable sources by 2033.
The Commonwealth of the Bahamas comprises a series of Caribbean islands located southeast of Florida and north of Cuba. According to the US Department of Energy's National Renewable Energy Laboratory, fossil fuels are the nation’s main source of power production, accounting for 99.8 percent in 2024. Petroleum accounted for 73.5 percent of generation and natural gas accounted for 26.5 percent as of 2015. The government-owned public Bahamas Electricity Corporation (BEC) has owned the oil-fueled power plants that have supplied the majority of the nation’s electricity demands since its authorization under the Electricity Act of 1956. The national government, private businesses, and the public have begun adopting renewable energy resources and technologies to lessen the economic and environmental impacts of dependence on fossil fuel.
The Electric Light Act brought electricity to the Bahamas in 1907. The Bahamas Power and Light Company (BPL; formerly Bahamas Electricity Corporation, BEC) supplies approximately 85 percent of the nation’s electricity needs and operates on all the nation’s major islands except Grand Bahama. This government-owned public corporation was authorized under the Electricity Act of 1956 and has expanded its operations throughout the nation since. The Grand Bahama Power Company supplies the electricity needs of that island.
Both the BEC and Grand Bahama Power rely entirely on fossil fuels to power their operations. Because of the instability of the global oil supply and the environmental damage associated with fossil fuels, the Bahamas began actively pursuing alternative energy sources in the twenty-first century. Climate change and rising sea levels are a particular concern to low-lying island nations such as the Bahamas. The need to protect the tourism industry is an added incentive. In 2023, the Bahamas opened the first of two solar plants in Grand Bahama. The two solar plants are expected to cut more than 5,000 tons of CO2 emissions per year.
The government pledged to generate 30 percent of the country's energy from renewable sources by 2033. Possible changes on the way to this goal include eliminating a ban on private power generation, the introduction of net metering, and incorporating green building designs into public housing projects and building codes. The government has also launched public education campaigns on energy conservation, such as the replacement of incandescent lightbulbs and the installation of solar water heaters. The government is working with the private sector through joint efforts such as the National Energy Policy Committee.
Initially, one of the Bahamas’ top renewable energy projects involved converting solid waste (biomass) to energy at the landfill on New Providence, the Bahamas' most populous island. The plan was to utilize excess heat generated by the waste-to-energy process to fuel water desalination; however, the project fell through and the government reverted to plans to cap the landfill. The BPL is also reviewing a number of renewable energy project proposals, and in 2017 it implemented its Small Scale Renewable Generation initiative, under which residential customers can apply to have grid-connected solar panels installed on their roofs.
The Bahamas is a member of the International Renewable Energy Agency (IRENA) and the Caribbean Renewable Energy Forum (CREF). The nation is also party to a number of international energy and environmental agreements on climate change, desertification, hazardous wastes, ozone layer protection, and ship pollution, among other issues, and was a signatory of the Kyoto Protocol on climate change. International involvement in the development of renewable energy has come from the Caribbean Renewable Energy Development Programme, the European Union Energy Initiative, and the Inter-American Development Bank.
Bibliography
Bahamas Energy Policy, Laws, and Regulation Handbook. Washington, DC: International Business Publications, 2008.
"Landmark Renewable Energy Project in the Bahamas Runs with IDB Investment Support." Green Finance for Latin America and the Caribbean, 30 Apr. 2024, greenfinancelac.org/resources/news/landmark-renewable-energy-project-in-bahamas-runs-with-idb-invest-support/. Accessed 12 Aug. 2024.
National Renewable Energy Laboratory. "Energy Snapshot: Bahamas." Energy Transition Initiative: Islands, US Dept. of Energy, Feb. 2015, www.nrel.gov/docs/fy15osti/62691.pdf. Accessed 12 Aug. 2024.