Moving towards a solution The first step was engaging the many entrepreneurs who came forward with their ideas for meeting Bermuda’s future energy needs. They offered solutions that were widely variant; one such extreme was bringing two barges each week from the U.S. filled with coal and building a coal burning power plant. The next solution offered was to use a pipeline to bring the electric power across the ocean. We appreciate that this has been successfully done in Europe but usually in less than 50ft of water and over no more than 100 miles in distance. Bermuda is some 700 miles from the U.S. and the ocean can go to depths of 5,000 feet, so this does not seem like a solution. Another idea was to build a nuclear power plant, but apart from the fact that there had not been one nuclear plant built in the U.S. in over 10 years, the promoter of this idea needed some 35 acres of land in Bermuda, a difficult move considering the island consists of only 21 square miles. After hearing these ideas the department was anxious to move to the practical.


In the spring and summer of 2008 there was a series of nine public meetings designed to exchange information. The topics ranged from biofuels to solar energy, wave energy, wind energy and a new green agenda. The speakers, both local and international, were a mixture of entrepreneurs and experts who shared their knowledge and experience with the audience. Each meeting was very well attended and there was much feedback which has helped the Department of Energy in determining the way forward. As the government was leading the public discussion, BELCO issued a statement of interest which was distributed in both North America and Europe to enable them to determine which companies were truly


interested in providing new energy sources for Bermuda. Having an October deadline for responses, BELCO concluded that viable parties existed who aimed to bring large-scale solutions via solar, wave, wind and ocean current generation. The government intends to move forward with BELCO ensuring that the legislative framework exists to allow access to new energy sources that Bermuda needs.


A Green Paper


During the winter months of 2008 the Department of Energy, working with consultants and advisors, drafted the energy Green Paper, A National Policy Consultation on Energy. This document can be found on the government portal at


www.gov.bm. The Green Paper will be debated in Parliament in March 2009 and then subject to public scrutiny through a further series of public meetings. The Paper sets out the present state of energy supply for Bermuda and then outlines the many alternative approaches to solve the country’s energy issue. The next three months will see debate of the Green Paper that will result in the


development of the legislative framework. The conclusion of this process will be a White Paper which will be tabled in Parliament in July 2009. The White Paper will outline the process and timeline for establishing an Energy Authority which will be an independent body regulating the energy industry. It will set out the policies, legislation and incentives necessary to encourage investment in alternative energy solutions. While government is


following the above described process, BELCO will work with those entities that have made submissions under the statement of intent to determine


what is necessary for success in terms of physical plant, locale, staffing, tax concessions and government regulations. Government must understand the performance of these new alternative/renewable


technologies and the availability of their resources in order to take advantage of them. This will be a very busy period that will see all three parties,


Government, BELCO and the new energy providers, working closely together to achieve a common goal of reducing Bermuda’s reliance on fossil fuels while supplying alternative energy at a reasonable cost. These are the plans but the question still remains: what must be done (1) now (2) in medium term and (3) in the long term? How can each person in Bermuda play a part in solving our energy challenge?


A possible solution? Immediately the country should adopt energy efficiency and energy conservation measures. These include using compact fluorescent light bulbs (CFL) in place of conventional light bulbs and (light emitting diodes (LED) in place of halogen spotlights and insulating hot water tanks and pipes to save energy on heating water. Energy conservation measures will include turning off appliances when not in use, using natural light and natural ventilation and ensuring thermostats are set at ambient temperatures. These measures will create significant savings and will form an important part of Bermuda’s future energy strategy. In the medium term (6-18 months), solar heating and solar panels will provide energy through alternative means. The use of solar water heating will have a significant impact as 12 per cent of the energy use in Bermudian homes is for heating water. By encouraging solar


panels, we will see individual households able to supply their own power for much of the time. Small scale wind turbines will also aid in the move away from oil dependency. While solar and wind systems can be expensive their use will be facilitated by a combination of elimination of import duties along with a refund programme which will reimburse some of the cost of installing systems. The use of smart meters will also be vital as they will allow the household to monitor energy usage. Net metering will allow for the households to sell excess power back into the grid and draw from the grid when their own energy source/supply is low. In addition BELCO will change based on time of use to allow more efficient generation and to manage peak loads.


As we move to the longer term (two-three years) large scale solar and possibly offshore wind farms will provide even more opportunity for the shift away from fossil fuels. Changes to the Bermuda Building code will see LEED-certified buildings and smart buildings becoming the norm for larger projects.


The government’s role For all of this to happen, the government must create both a legal and regulatory framework to ensure there is fairness in the energy industry to all parties, but especially to the consumer. Among the policies needed are national energy targets, open grid policy, mandatory smart metering and time of use electricity tariffs. As we look to the future we anticipate great change. Armed with local ingenuity, good and thoughtful governance and models of good practice in other parts of the world, we will succeed in being not only more self-reliant, but also in becoming better global citizens and stewards of Bermuda.


The Parliamentarian | 2009: Issue One - Bermuda | 19


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