Executive Director for the Caribbean Electric Utility Service Corporation (CARILEC) Allison A. Jean believes that the establishment of new forms of energy generation and reductions in electricity bills “don’t co-relate directly.”
According to her, costs associated with installing the renewable energy sources and services could in turn affect the final price of electricity.
Speaking to media on Wednesday, Jean said there should be no “high expectation” for significant declines in electricity bills just because a new source of energy surfaces, “because if you’re gonna be putting in high capital injection then the amortisation period and the cost of these resources [and] these equipment and so on will determine how the cost of electricity will play out in the market. So they may be [reduced] but it depends on several things.”
While admitting not to know the specific cost of installing these alternative renewable production plants, Jean said they can be very expensive.
Questioned as to when she believes such a company will set up shop in Saint Lucia, Jean said she cannot say, but was adamant that it will all fall in place once the country can enact legislation to regulate the utilities sector.
“I believe the independent producers will come when legislation is in place,” she said.
In April, Dr. James Fletcher, Minister for the Public Service, Sustainable Development, Energy, Science and Technology, will spoke to the business community on the plans and efforts of the government to cause the introduction of alternative energy sources to the island, an earlier press release states.
From wind energy to geothermal energy, there have been hints of initiatives being pursued by government which could lead to a decline in fossil fuel dependency in St. Lucia, it added.
Dr. Fletcher has also indicated to the media, his support for the right framework and legislation to be enacted to support that sector.
Renewable energy is generally defined as energy that comes from resources which are naturally replenished on a human timescale such as sunlight, wind, rain, tides, waves and geothermal heat.
Some scientists believe that renewable energy and energy efficiency will result in significant energy security, climate change mitigation, along with economic benefits.