Barbados’ power generation relies mainly on imported oil. Although Barbados produces some oil, domestic demand greatly exceeds local supply. This dependency impacts the Barbadian economy at the macroeconomic level and at the consumer level. In 2012, Barbados committed to increasing the share of renewables in its energy mix. Barbados has started to move in the direction of a sustainable power matrix.
Barbados’ electricity market is managed by the Barbados Light & Power Company (BLPC), a private vertically-integrated utility. The BLPC is responsible for the generation, transmission and distribution of electricity. The Fair Trading Commission regulates electricity rates and service standards. The Energy and Telecommunications Division in the Prime Minister’s Office is responsible for developing and implementing energy policies.
In 2014, Barbados’ matrix totaled 239MW of installed capacity, powered entirely by oil and diesel fuel. While electricity demand was expected to grow by an average of 1.2% per year, the existing plant is aging and 104MW of installed capacity is scheduled for retirement over the next four years. A fuel clause adjustment (FCA) is included in the retail electricity prices, which calculates and reflects the amount of fuel used to generate electricity consumed by customers. It allows both reductions and increases in fuel costs to be passed along to consumers.
In 2012, the Barbados Declaration on Achieving Sustainable Energy for All in Small Island Developing States included a commitment to increase the share of renewable energy in Barbados’ energy mix, with an indicative target of about 29 percent of all electricity consumption to be generated from renewable sources by 2029. In addition the government also committed to efficiency savings in the country’s consumption of electricity, with an indicative target of 22 percent savings by 2029 compared to a ‘business as usual’ scenario. To help plot a more detailed course toward these goals, the government has commissioned further studies.
In February 2015, the Barbados Wind and Solar Integration Study was published by BLPC. It analyzed the technical and economic impacts of the introduction of solar and wind sources in the utility system. It concluded that under current operating conditions, the existing grid can accommodate up to 20MW of distributed PV, 15MW of wind and 20MW of centralized PV. The study also suggests mitigation measures to maintain grid reliability and security.
Net metering has been allowed in Barbados since 2010, and consumers with wind and/or solar self-generation facilities may supply energy to the national grid via the Renewable Energy Rider program. As of August 2014, over 500 customers had installed renewable energy systems to the grid and were benefiting. In February 2015, the program limit was raised from 5MW to 20MW. Currently more than 2MW of solar distributed generation has been installed on rooftops of Barbadian residences and businesses.
In 2014, BLPC announced a bid process for contractors to design and build an 8MW PV plant in St. Lucy district, which will be owned and operated by BLPC and is expected to be commissioned by March 2016. Additionally, the government is preparing a Nationally Appropriate Mitigation Actions (NAMA) document that consolidates the island’s efforts to reduce CO2 emissions by 2020.
Score Summary
Barbados moved three places lower to 44th place overall in Climatescope 2015, with an overall score of 0.64. Barbados’s 2014 score was 0.79. The country’s overall 2015 finish was influenced most strongly by negative progress on two Parameter II indicators: Loans, Grants, Grant Programs and Clean Energy Investments.
On Enabling Framework Parameter I, Barbados lost two levels, arriving at 46th place with a score of 0.74. Its 2014 score was 0.76.
Barbados in 2015 tumbled from 13th to 36th place on Clean Energy Investment and Climate Financing Parameter II. Its 2015 score of 0.36 contrasted with a 2014 rating of 0.88.
On Low-Carbon Business & Clean Energy Value Chains Parameter III, Barbados in 2015 scored 1.02, ranking 41st. Its 2014 metrics were a 0.88 score and a rank of 45th.
On Greenhouse Gas Management Activities Parameter IV, Barbados in 2015 repeated its 46th-place ranking and its 0.56 score of the previous year.