Energy and Sustainable Development in Barbados

Ministry of Finance, Investment, Telecommunications & Energy 27 April, 2009

Background
Barbados is the most easterly island in the Caribbean archipelago as shown in Figure 1. With a population of approximately 272,000 people residing in an area of 435 km2 (166 miles2). Barbados has limited on-shore mineral and hydrocarbon resources, which have been efficiently exploited over the last few decades. Offshore resources have considerable potential, with an offshore license area of several thousand square kilometres The country has transitioned from an agrarian to a service-based economy. Tourism has become the single largest foreign exchange earner and the sugar cane industry is undergoing fundamental restructuring to survive in a post preferential markets’ environment.

Figure 1: Map Showing Barbados, the Caribbean and Central America

Background cont’d
85.00 80.00
Energy Intensity (TOE/GDP)

Mitigation of the impact of high oil prices will be enhanced by the following measures: Increased exploration for and equitable exploitation of onshore and offshore oil and gas resources. Diversification of the fuel mix with a possible transition to natural gas as the primary fossil fuel. A comprehensive energy conservation and energy awareness programme. Reduced dependence on fossil fuels by the promotion of renewable energy. The following renewable energy targets have been set: 10% of national energy usage will be from renewable sources by 2012 20% of national energy usage will be from renewable sources by 2026

75.00 70.00 65.00 60.00 55.00 50.00 1993 1994 1995 1996 1997 1998 Year 1999 2000 2001 2002 2003 2004*

Figure 2: Energy Intensity Data for Barbados (1993 – 2004)
1600 1400
Toe/Population ('000 persons)

1200 1000 800 600 400 200 0 1983 1985 1987 1989 1991 1993
Year

Figure 3: Per capita Energy Consumption in Barbados (1983-2005)

1995

1997

1999

2001

2003

2005

Energy and Sustainable Development in Barbados
Barbados has made headway in solar water heating and we will assist our manufacturers of solar water heaters to improve that their product are used in our hotels, restaurants and luxury houses. Government will take the lead using its properties in generation of electricity from solar, wind and waste for its own facilities and for sale into the national electricity grid. This initiative will also be accompanied by any necessary fiscal incentives to encourage the efficient generation of energy from these alternative sources. Additionally, Government will also lead the way in retrofitting its buildings and facilities, and in revamping its fleet of vehicles in as feasible and economical a manner as possible in order to conserve its own use of energy, particularly of fossil fuel energy.

Energy and Sustainable Development in Barbados
Currently, there exists in the Income Tax Act provision for the cost of energy audits up to $2,000.00 to be deducted as part of the general Income Tax Allowance for Home Improvement of $10,000 in any one year. A separate allowance called the Energy Conservation and Renewable Energy Deduction of a maximum of $5,000.00 per year over each of five (5) years to cover the costs of an energy audit and fifty per cent of the cost of retrofitting a residence or installing a system to reduce electricity from a source other than fossil fuels.

Figure 4: Handel Callender of Native Sun NRG

Energy and Sustainable Development in Barbados
With respect to the Public Sector Energy Conservation Programme (PSECP), this programme consists of the following elements: General Ministry Programme. Ministries should identify, with advice from the Renewable Energy & Energy Efficiency Unit (REEU), a programme of activities that is specific to their Ministry. Vehicles Energy Conservation Programme. This programme includes, inter alia, the purchase of energy efficient vehicles and vehicles with specific engine capacity. Air-conditioner, Freezer and Refrigerator Programmes. These programmes entail, inter alia, the purchase of energy efficient units and effective maintenance. Electrical Appliances Programme. Ministries and Departments would be mandated to purchase the most energy efficient appliances.

Energy and Sustainable Development in Barbados
Buildings Conservation Programme. This programme entails making Government buildings energy efficient, the auditing and subsequent retrofitting of these buildings and the use of solar power in emergency shelters. Lighting Programme. This programme primarily mandates all Government buildings to have fluorescent lights. In order to ensure the effective implementation of the programme, it was proposed to implement a system of penalties against Departments which fail to meet their conservation obligations. At the same time, incentives would be provided for those agencies which demonstrate practical energy conservation efforts.

Conclusion
The Government of Barbados is committed to seeking holistic ways to manage its energy resources. In addition to the fact that oil prices are extremely variable, the current global recession underscores the urgency of finding timely, sustainable solutions that are relevant to all segments of the population. Ultimately, it becomes clear that our solutions will be achieved through a combination of energy saving measures ranging from energy conservation to the increased use of various renewable sources particularly solar, wind and biomass.

Energy and Sustainable Development in Barbados

Thank you
Ministry of Finance, Investment, Telecommunications & Energy
energydiv@sunbeach.net

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