Government House and the V.I. Water and Power Authority recently announced a venture designed to lower energy costs. The plan revolves around the creation of six solar parks, coupled with battery storage systems across the territory.
Details of the plan were announced at a Jan. 22 press conference on St. Thomas. Energy Office Director and WAPA Governing Board Chairman Kyle Fleming introduced two alternative power executives who will partner with the utility to meet their goals.
It’s the latest attempt by the V.I. government to lower energy costs since then-Gov. John de Jongh reached a deal with Vitol America in 2013. The Vitol agreement was promoted as part of a tri-fuel energy plan that would reduce WAPA’s dependence on fossil fuel.
“We’re looking at a significant shift in the way the territory uses energy,” said WAPA Chief Executive Officer Andrew Smith. He added that 70 percent of the utility’s operational costs are currently spent on buying either fossil fuel or propane gas.
The collaboration between V.I. Electron, Honeywell Industrial Automation and WAPA has already resulted in the creation of power purchase agreements expanding the use of solar energy, Smith said. Officials speaking at the Monday announcement also credited the Economic Development Authority for supporting the two entities.
“We have long talked about renewables in the territory and I think what we are talking about — on the horizon — in 2024 is the actual realization and implementation of widespread deployment,” Fleming said.
Under the terms of the agreement, WAPA will buy electricity generated through V.I. Electron’s solar farms. Honeywell will provide storage systems that will allow the sun-powered energy to last past its peak production hours.
“This visionary partnership is set to transform the energy landscape of the US Virgin Islands through the deployment of cutting-edge Battery Energy Storage Solutions (BESS) across six strategically positioned solar parks,” according to a Jan. 25 statement from Government House.
WAPA opened its first solar farm on St. Croix in 2013, followed by a second one on St. Thomas a few months later. Utility officials pledged to restore and expand those facilities after they were damaged in 2017 by Hurricanes Irma and Maria.
