T HE NAT I ONAL E NE R GY P OL I C Y OF GR E NADA
Message FromHon.V. (Nazim)Burke M.P.Minister ofFinance,Planning,Economy, Energyand Cooperatives
MINISTER FORFINANCE, PLANNING,ECONOMY, ENERGY& COOPERATIVES
AT THE TIME OF THE ADOPTION OF THIS VITAL ENERGY POLICY, GRENADA
imports almost 100% of the fuel used for transport (diesel and gasoline), electricitygeneration (diesel) and cooking (liquefied petroleum gas – LPG). In the summer of 2008,the global price of oil peaked at US$147/bbl. The variable fuel charge on consumers’electricity bill soared, pushing the cost of electricity to domestic and commercialconsumers to over US$0.35/kWh and the retail price of gasoline to over US$1.50/litre.Prices dipped after the summer of 2008 but three years later the price of oil hasreturned to and seems destined to stay above US$100/bbl.Our future economic growth and development are constrained by the high costsof energy inputs. Manufacturers, hoteliers, taxi drivers, fisher folk, farmers and theordinary consumer are all impacted by high energy costs. As Grenadians seek toimprove their quality of life, our demand for electricity and modern energy servicesis increasing at a rate of 3-4% per annum. However, continued reliance on importedsources of primary energy (fossil fuels) that are finite and when combusted aresignificant contributors to climate change is no longer defensible.InAugust 2008, there was a change in the administration of the Government of Grenada. The drafting of a sustainable energy policy, owned by all Grenadians, becamean immediate priority. Over the next two years, our Ministry held extensive consultationswith many stakeholders, both local and external, and expert advice was obtained throughthe kind assistance of the Organisation of theAmerican States (OAS).Our tri-island state although small, in terms of landmass, is blessed with abundant sourcesof renewable energy – solar, wind and potentially geothermal. Our maritime area maycontain significant quantities of hydrocarbons. By 2030, we have the potential to bealmost 100% “green” in meeting our domestic demand for energy whilst investing therevenue gained from exploiting our potential offshore petroleum reserves.This policy document has a 20-year vision and is accompanied by an ambitious butachievable 10-year action plan with identified projects, some of which have alreadystarted (e.g. the public sector energy conservation programme, the “Energy for the Poor”programme, the wind energy project in Carriacou and the Mt. St. Catherine geothermalproject). Our Ministry is committed to providing the required institutional capacity,legislative and fiscal framework to facilitate the implementation of this policy andaction plan.The energy policy presented in this document is country-driven and reflects the specialchallenges faced by and opportunities available to a small island state that is striving totransition to a secure and sustainable low carbon development path. I commend it toall Grenadians.
Hon. V. (Nazim) Burke.Minister of Finance, Planning, Economy, Energy and Cooperatives