OBA Senator Fahy On Solar Plant Proposal

September 20, 2012

Senator Michael Fahy said the OBA are studying the plans to locate a solar panel plant at the Airport Finger “with great interest” saying “it seems on the surface a wonderful idea – a plan with great potential to significantly lower reliance on fossil fuel in Bermuda, reduce the energy monopoly, and lower greenhouse emissions.”

Senator Fahy said it is standard procedure in governments like ours that the sitting government does not sign off on significant capital projects when an election is looming.  He said they allow the new government to make the decision, and asked “that that convention be honoured.”

Senator Fahy also said it is important to allow as many local companies as possible to give proposals for the site, and also suggested altering planning regulations to require new buildings to have a certain energy efficiency level incorporated.

Earlier this week Sol Invictus Holdings founder Tim Madeiros unveiled proposed plans for a 27 megawatt ground-mount solar panel system to be installed at the Airport Finger, with the estimated annual energy production of the system to be 44.7 gigawatt hours.

Bermuda Engineering Company Ltd. noted that they submitted a proposal in 2008, and said the entire solar industry in Bermuda, some half dozen companies, have waited for an opportunity to submit their proposals for the airport peninsula.

The 2008 proposal was actually made by RES America, however Bermuda Engineering said they been involved with RES since 1997, and were involved in the original solar proposal from the very beginning.

Senator Fahy said: “We are studying with great interest plans to locate a solar panel plant at the point of land on the LF Wade International Airport known as the Finger.

“It seems on the surface a wonderful idea – a plan with great potential to significantly lower reliance on fossil fuel in Bermuda, reduce the energy monopoly, and lower greenhouse emissions.

“We have two concerns about it, and a suggestion. Our first concern is that although access to the Finger is severely restricted, it is a rare 56-acre chunk of the Island – are we absolutely certain that the benefits of shutting it down to future development outweigh the drawbacks?

“Second, it is standard operating procedure in governments like ours that the sitting government, if I can put it like that, does not sign off on significant capital projects like this one when an election is looming. They allow the new government to make the decision. We would ask that that convention be honoured. In addition it is important to allow as many local companies as possible to give proposals for the site in question.

“Meantime, the OBA will be reaching out to all those who have made proposals for solar initiatives on this site. We are concerned about the high cost of electricity for Bermudians due to the volatility of oil prices – if such a project will lower or at least help stabilize prices, then we are disposed to give such initiatives support.

“We also believe that competition is important in our energy industry and will be prepared to work with the private sector to see lower prices and competition in the energy sector, whilst lowering greenhouse gases,” continued Senator Fahy.

“Our suggestion is this: As we understand it, solar and wind technology are sufficiently advanced these days that high winds are no longer the detracting factor they once were. In addition, there are a variety of clever new methods and products on the market which lower energy use.

“We believe it is time to alter Planning regulations so as to require new buildings to have a certain energy efficiency level incorporated through the use of this new technology. Over time, that simple change could significantly lower our energy consumption. It is certainly a change we would make when we take the reins of Government,” concluded Senator Fahy.

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Comments (20)

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  1. stuk says:

    “Bermuda Engineering Company Ltd. noted that they submitted a proposal in 2008″…”The 2008 proposal was actually made by RES America”.

    My notes from the presentation show the company structure for Burlands’ submission where the Sir Robert McAlpine Group would own the Project via wholly owned subsidiary Renewable Energy Systems and BCM would be partial owners. This clearly shows foreign ownership and no involvement from Bermuda Engineering.

    Also it shows foreign Project Development and foreign Construction Management was proposed via RES America Developments and RES Construction respectively. They offer 10MW where the Sol Invictus solution is 27MW. They also offer no energy storage solution.

  2. GoodIdea BadIdea says:

    2008 to 2012 – 4 years is a LONG time with regard to the improvements and innovations in solar technology. The price per watt of solar energy has dropped and efficiency of solar panels have improved slightly. It would follow that BEC would have to come forward with a whole new solution.

    Any proposal put forth should include a case study to prove the ultimate value to the people of Bermuda. It’s all fine to put in a green initiative and generate some clean energy to offset the diesel powered society we live in. But will it make a difference to my electricity bill at the end of the month? Or are we just going to be paying a subsidy to help pay for the capital costs of the solar array? I’ll be able to sleep a whole lot better knowing that we’re doing our part for the environment AND I’m not going to end up in the poorhouse as a result.

  3. Hmmmmm says:

    Fahy, or should I say Mr. Romney? A private company makes an announcement of their plan; no RFP has been issued. This was an unsolicited announcement and probably an attempt to jump-start the process. The Airport’s GM said that no RFP has been issued and isn’t planned to be issued for some…..why are then treated to this lecture from Fahy about what Government’s do and don’t do at this stage? Typical right wing BS: create some straw men and then hack them to pieces. One thing I will give you Fahy, you are truly transparent; and that’s not a compliment.

  4. George says:

    @stuk I agree with your last sentence but not much more than that! Unfortunate that you contradict yourself however in arguing that you would oppose BCM/BE not being awarded the contract due to the perceived level of foreign ownership of it but then suggest that the best company with the best solution should be awarded the contract?!

    Having sat through one presentation you know exactly why the BCM McAlpine/BE proposal didn’t move forward? Really?

    Perhaps their proposal didn’t need a storage solution due to the size and technology proposed??

    I would suggest the best response from bloggers/the general public on this issue is no response at this time until you know all the facts and Government, as owners of the land, has clearly stated what they intend to do with the land!

  5. @Work says:

    Senator Fahy, you sound old school to me. And this makes me wonder if you or your party could be any different from the old party you replaced or the current government you hope to replace.

    “Our first concern is that although access to the Finger is severely restricted, it is a rare 56-acre chunk of the Island – are we absolutely certain that the benefits of shutting it down to future development outweigh the drawbacks?”

    Governments of the past said the same thing about prime plots of land and where are the hotels that the land was saved for? The future can’t always be the future.

    “Second, it is standard operating procedure in governments like ours that the sitting government, if I can put it like that, does not sign off on significant capital projects like this one when an election is looming.”

    One of the Government’s job is to create opportunity for success/employment. I’m not sure if any proposal put forward so far include government money, if not, then the government should stay out of it and just provide one or more leases for the land. Also it would be a good idea if the land was shared between all local solar power providers. This would allow each provider to put their best and lowest bid in to BELCO for the power they supply.

    Last point: You should be asking about the amount of sun hours Bermuda gets per day on average. Education is key when talking about solar power, Batteries are not needed for grid tied systems, like some believe. You may also want to read a few of the comments that have been posted on this subject, they contain good ideas on solar power use in Bermuda.

    Just my opinion.

    I think your statements might be why your party is referred to has OBA/UBP.

    Tomorrow always comes, and the future always becomes someones present.

    No offense intended.

  6. stuk says:

    @Gerorge. you are incorrect that i have contradicted myself. the best company with the best solution should be awarded the contract….the best solution in my view is a solution that is technologically advanced and that includes Bermudian ownership and jobs for Bermudians.

    In the follow up to the presentation made by RES the CEO of Belco made remarks that they would have to look into technology to counter the intermittency of the solar source for a system of 10MW and they were not sure if this was available, so yes having sat through one presentation I do know why the RES/BCM proposal didn’t move forward.

    The Governments Energy White Paper identifies the Airport Peninsula as a potential site for large scale energy so i believe that it is highly appropriate for private companies and the general public to comment and respond on proposals put forward. its about making a difference, its about making progress.

    • George says:

      @suk – Good response! Clearly you have more knoweldge of the RES/BCM project than you first let on – you didn’t tell us that you sat through the follow up questions too! ; )

      Joking aside – I agree with you that every effort should be made to ensure Bermudians get jobs out of RE utility scale projects but it shouldn’t be a deal breaker! As Hindsight highlighted below RSM/BCM (as well as others) could bring valuable experience/knowledge to the Industry where it still may not exist.

      I also agree we should discuss the merits of proposals to enable progress in the RE industry but at this stage with this particular site – its premature in my opinion because the land in question is allocated for other uses – possibly outwith the control of Government at this stage. This is why I questioned the certainty of your opinion that the RS/BCM proposal didnt move forward because of technical reasons.

      So in my opinion we may be spending way too much time discussing the potential of this site when there may be none – at least at this time! We should be focusing our ‘energies’ on real utility scale RE opportunities i.e. other renewables like ocean wave, current etc. that don’t necessarily have the same immediate roadblocks to them due to them not being located on land (a limited resource in Bermuda obviously).

  7. Hindsight says:

    Agree with George and it is also worth noting that the unemployment rate in 2008 was very low compared to today; some foreign workers were no doubt necessary to help complete the project.

    It was early days for discussing large scale renewable energy projects in Bermuda back then and the proposal was one of many that were submitted in response to an SOI that BELCO issued. Most of the other responses involved foreign partners who presumably brought valuable experience/knowledge to what was then a very new industry in Bermuda.

    I would assume any companies that submit/resubmit proposals for this project will try to create as many jobs for Bermudians as possible, as any company would be crazy not to factor this in with the current economic situation.

    It is also worth considering that large solar arrays are often built very quickly and may not create many long-term jobs. The real value of this project for Bermuda is that solar electricity is less than half the cost of electricity generated from oil and produces next to no GHG emissions.

  8. lightson says:

    For me experience matters and from comparing the 4 (that i can find) Bermuda solar companies it looks like Tim from AES is, far and away, the most experienced. He’s been in business since 2008 has about 600kW installed. His closest competitor has about 30kW.

    AES is the only company who have done commercial projects which are at at Lindo’s and Gorham’s and it look likes they are doing something on Gosling’s as well.

    I expect that Tim is using sunpower panels for his proposal which is why his submission is for 27MW as opposed to 10MW. From their site they seem to have the best technology around and have supplied panels to many large scale projects. As was quoted in the article in the gazette the panels have a 25year warranty on workmanship, this seems to be the only company to offer this that i can find and is a big deal when putting stuff that close to the water in Bermuda.

    The other companies should use sunpower too and that would level the playing field for the bidding process. it would then come down to experience, price and other benefits combined. Alternatively, why not have all Bermuda companies involved in a collaborative effort. just as long as my lights stay on!

    • George says:

      @ Lightson – you may want to take out an ad for AES – it might cost a bit more but at least there wouldn’t be any doubt about the objectivity of your message and you would be able to preserve your integrity as a poster on this site at the same time! ; )

    • NABCEP says:

      @lightson
      For me experience matters and from comparing the 4 (that i can find) Bermuda solar companies it looks like Tim from AES is, far and away, the most experienced. He’s been in business since 2008 has about 600kW installed. His closest competitor has about 30kW.

      **Each local solar company has their own niche in the market. You mentioned Solar Bermuda Ltd. so I will elebaorate on that specifically. Solar Bermuda Ltd. has also been incorporated since 2008 and has over 30 residential clients interconnected to BELCO. They have over 100 kw of installed PV systems, and numerous solar hot water installations. Along with Solar Bermuda Ltd. and Bermuda Engineering there are other great companies out there but they dont choose to call a press conference every time they sell a system.

  9. Jim Bean says:

    How is this old school? More PLP paid blogger BS from Hmmmmmmmm

    “We are concerned about the high cost of electricity for Bermudians due to the volatility of oil prices – if such a project will lower or at least help stabilize prices, then we are disposed to give such initiatives support.

    “We also believe that competition is important in our energy industry and will be prepared to work with the private sector to see lower prices and competition in the energy sector, whilst lowering greenhouse gases,” continued Senator Fahy.

    “Our suggestion is this: As we understand it, solar and wind technology are sufficiently advanced these days that high winds are no longer the detracting factor they once were. In addition, there are a variety of clever new methods and products on the market which lower energy use.

    “We believe it is time to alter Planning regulations so as to require new buildings to have a certain energy efficiency level incorporated through the use of this new technology. Over time, that simple change could significantly lower our energy consumption. It is certainly a change we would make when we take the reins of Government,” concluded Senator Fahy.

  10. lightson says:

    @George. it doesn’t take much time to look around the internet and find out whats going on, maybe you should try.

    @Nabcep, good for Solar Bermuda Ltd, glad to hear they are making progress. i firmly believe that competition is needed for the protection of the consumer. anyone that offers a choice to belco is ok with me. And since they are doing so well they should publicize it, only then will people know what they do, It seems to work for AES, they have a lot of customers and a lot of people saying good things, thats a free market system at work.

    • George says:

      @lightson – I will challenge anyone who masquarades as a member of the public proportedly providing a sincere testimonial of a company and its products – when in fact its clear from their statement they are dishing out a strong endorsement of one company (AES) and its technology (Sunpower) over others without acknowledging the true statistics of the industry – Nabcep set you straight on that one! You obviously have a vested interest in AES and Sunpower – so start the discussion on a sincere footing and state that from the begininning.

      I genuinely have no vested interests – but what I hope for is a little more level playing field in this new industry than there has been in others in Bermuda in the past.

      @ NABCEP thank you for setting the record straight!

  11. lightson says:

    @Nabcep, my bad for not looking at SB’s second page of their projects, just looked at the first one that popped up. they do indeed have 64kW, well done!! publicize it dude, this stuff is important to get out there so more people jump on the idea. if i didn’t rent id be all over it.

  12. lightson says:

    @George – set me str8 because i stated 30 instead of 64 because the rest of their projects were listed on a separate page??? get a life.

    and i can endorse anyone i want if i do my research and present facts. AES has much more experience than anyone else out there in bermuda – fact, and sunpower does produce the best panels – fact. i challenge you to prove otherwise. i have no vested interest other than blogging about a story that you took very personally. i came clean to Nabcep and stated my error, don’t be so nasty.

    • George says:

      @lightson – Apologies if you’re offended by my’nastiness’. I call it brutal honesty and calling someone out for who they are or what they represent – its not personal! Simply trying to get you to come clean, state your interests – and bring a bit of honesty to the discussion!

      Again for someone who is masquerading as an independent commentator you have way too much of an interest in one company and one technology to be considered credible!

      Stating something is fact – doesn’t make it so. Provide the data, stats etc. that back up your assertions and I’ll consider what you have to say about both AES and Sunpower. Selectively pulling information (not data) from a website doesn’t count as research!

      Again bring some honesty and objectivity to the discussion and you may have more people actually listen to your opinion and believe you as an independent interested party. Continue to make biased, unfounded endorsements of one company and its technology over others and you will continue to be dismissed as a representitive of that company with an obvious vested interest in doing so!

  13. Yagayo says:

    AES has installed 1000kw….aka 1meg…..say anymore?….

  14. Setup says:

    Wow. Nothing like doing business by trying to bad mouth your competitors and set up people to sing your praises online – that is classic Tim and AES style. Everyone knows that he only got those big jobs through nepotism, they were not tendered. And more kilowatts installed does not mean more experience. I would say that a firm that installs 50kw over 10 systems has more experience than a firm that installs 50kw in one system. Extra panels on the same roof does not make for more experience, sorry. The commenters supporting him here for the most part know far too much inside info to be genuinely random interested parties. It is all a big setup and a PR push. He can bad mouth his competitors all he and his cronies want but people are starting to figure him out and his aggressive ways and constant misrepresentation of facts are turning a lot of people off. Just because he tells you he is the best and that his product is the best doesn’t mean it’s true. Other companies are well established, have current and relevant renewable energy qualifications, and are well respected in the industry. And the reason it seems like there is red tape in the way of this big proposal is that this is NOT a new idea, and there are many, many considerations here and the people in the know are not pleased at the attempt to railroad them. So keep it up and see how far you get – and to his competitors, stand tall knowing that you ARE doing a good job – and managing to do so ethically and the right way.