The government signed three power purchase agreements (PPAs) aimed at boosting energy generation in New Providence, Abaco, the Exumas, and Eleuthera. These agreements, made with Eco Energy, EA Energy, and Exuma Renewable Energy Co., represent a significant step forward in the nation’s energy reforms.
At the signing with Eco Energy, Prime Minister Philip Davis emphasized the critical role of solar energy in the Bahamas’ future. “Our partnership with Eco Energy Bahamas Ltd. demonstrates our unwavering commitment to solar energy as a crucial component of our national energy strategy. This project will deliver the first significant solar installation in New Providence,” he stated. Eco Energy will construct a 20-megawatt solar facility at Coral Harbour, supported by a 5-megawatt-hour Battery Energy Storage System. This installation will inject 20 megawatts of clean, renewable power into the grid, setting the standard for future solar projects in the country. “This is just the beginning of a solar revolution,” Davis added, highlighting plans to expand utility-scale solar across the islands.
At the second signing, which included EA Energy and Exuma Renewable Energy Co., Prime Minister Davis underscored the importance of both LNG and solar power in the nation’s energy mix. “Now, we have gathered to deliver LNG and solar power on the islands of Abaco, Eleuthera, and Exuma. Obviously, both LNG and solar power have huge roles to play in our plans,” he said. “Using the sun to generate energy in the islands of Sun, Sand, and Sea simply makes sense. It is past time for us to fulfill our potential for more sustainable, renewable energy in our nation.”
Erold Farquharson, CEO of EA Energy, spoke about the impact of the project on the Family Islands, particularly Abaco and Eleuthera. “Through this bold initiative by the government, EA Energy will revolutionize electricity generation on Abaco and Eleuthera, stabilizing power supply for the hundreds of thousands of people who live and visit these islands every year. This project will not just improve electricity supply in Abaco and Eleuthera, it will contribute significantly to their continued economic growth, because we all know to do business you need a reliable and stable source of electricity,” Farquharson said. “It will sustain the tourism industry, spur business development, and improve the lives of thousands of Bahamians.”
Farquharson also detailed the technology behind the project: “Our comprehensive proposal for the islands of Eleuthera and Abaco involves the construction of a hybrid solution that integrates solar panels, battery storage systems, and natural gas engines. This blend of technologies is designed to align with the Bahamas government’s commitment to clean energy and provide a reliable and sustainable energy supply.” He added that construction would begin in the third quarter of 2025, with completion slated for the third quarter of 2026. The project will be a joint partnership with FONSIS and Bahamian investors, with Bahamians owning 62.5 percent of the company.
Philip Whitehead, Director of the Exuma Renewable Energy, discussed the company’s role in the project. “We are very excited to be a part of the project. We build a lot of things throughout the country, and to be a part of reducing carbon emissions is really something that makes me excited and proud to be Bahamian,” he said. Exuma Renewable Energy Corporation will install an 8.5 megawatt LNG production facility in Georgetown, Exuma, supported by a 3-megawatt solar installation and 6 megawatt-hour battery storage.
Anthony Christie, COO of Bahamas Power and Light, highlighted the broader impact of these agreements. “With the signing of these two power purchase agreements between Bahamas Power & Light and the Exumas Renewable Energy Corporation, and between BPL and EA Energy Limited, we are taking bold, meaningful action to modernize our energy infrastructure and reduce our dependence on imported fossil fuels,” Christie said. He outlined the specific projects: In Abaco, a 30-megawatt LNG facility with 13.3 megawatts of solar capacity and a 15MWh battery storage system will be constructed. Eleuthera will see the development of a 14.7-megawatt LNG generation facility, supported by 10 megawatts of solar and 5 megawatt-hours of battery storage. The Exumas will benefit from an 8.5-megawatt LNG plant, 3 megawatts of solar, and 6 megawatt-hours of battery storage.
Energy and Transport Minister JoBet Coleby-Davis further explained the government’s long-term vision. “These projects will regulate resource management, install energy storage capacity, facilitate new generation capabilities, and enhance sustainability efforts. The requirement for battery energy storage systems to be incorporated in each project is crucial to ensure seamless backup power in the event of a loss of the primary generation system,” Coleby-Davis said. She also noted that microgrid controllers would be employed across the Family Islands to improve efficiency, maximize savings, and alert BPL to any system changes or outages.
In his concluding remarks, Prime Minister Davis reflected on the progress since his administration took office in 2021. “When we inherited a broken energy system, a power company deeply in debt, and high electricity costs, we knew the solution would not be easy. But today, with these partnerships, we are modernizing our energy infrastructure and taking a bold step forward to ensure affordable and reliable energy for all Bahamians,” Davis said. “This new energy era will power the new Bahamian economy, lower the cost of living, and create opportunities for all.”
