Government Purchases Majority Shares in GB Power Company

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GRAND BAHAMA, BAHAMAS – Government has officially acquired the Grand Bahama Power Company on Tuesday after purchasing outstanding shares from majority shareholder, Erma Inc. at $280M.

Philip Davis KC – Prime Minister

“Today, we are taking another major step forward, towards that better future. The government of the Bahamas, through a special purpose vehicle called the Grand Bahama Electricity Company, is acquiring all outstanding shares of Grand Bahama Power Company.”

Nikita Mullings – COO, Grand Bahama Power Company

“Today’s announcement is a big one for us at Grand Bahama Power.”

Karen Hutt – EVP Coperate Development, Emera INC

“This transition of ownership from Emera to the government provides an historic opportunity for Grand Bahama power and the island of Grand Bahama to play a pivotal role in the nations energy future under The Bahamas comprehensive and progressive national energy policy.”

This action is a first of a kind since the 1955 Hawksbill Creek Agreement, where the Bahamian government will exercise control over the island’s primary power company.

Negations began earlier this year, which in the words of the Davis administration, was triggered by the unusually high cost of energy compared to other islands.

Minister for Grand Bahama Ginger Moxey describes it as relief for a legacy issue.

Ginger Moxey – Minister for Grand Bahama

“The acquisition of the Grand Bahama Power Company by the government of The Bahamas represents more than a policy decision. It delivers tangible relief to an issue that has plague our island for decades. For too long families and businesses have carried the weight of extremely high electricity cost.”

Minister of Energy and Transport, Jobeth Colbey-Davis, talked about the advantages for Grand Bahamians.

Jobeth Colbey-Davis – Minister, Energy and Transport

“As examples, a household in Long Island that consume 492 kilowatt hours paid $121.38 to BPL, while a household in Pineridge paid $200.09. A difference of over $78.71.”

With the GBPC adopting the same tariff schedule as BPL, Prime Minister Davis added that businesses in Grand Bahama will now be able to compete on a ground level, while also promising no job losses.

Philip Davis KC – Prime Minister

“Today, workers are protected. Today, Bahamian management stays in place. Today, the technical skill of Grand Bahama is being brought into the national energy reform agenda. Today, this island moves closer to the centre of the country’s economic future.”