There is, without question, an energy crisis in this country, and whilst this is a multi-faceted issue with many contributing factors, I believe that it can be broken down into very simple parts and solutions that I shall discuss in this article.
Electricity is the backbone of life, tourism, and the economy in the Bahamas, yet our current energy system faces critical challenges. Most electricity comes from imported diesel and heavy fuel oil, with aging generators, limited renewable energy integration, and fragmented grids. This results in high costs, frequent outages, and vulnerability to global fuel price swings. However, by implementing modern solutions and eliminating man-made hurdles, The Bahamas can develop a reliable, efficient, and resilient power system across all islands.
System Challenges
Our Current Energy System
- Aging generators are prone to breakdowns
- Full dependence on imported fuel
- Fragmented grids across islands
- Limited renewable energy use
The Bahamas relies almost completely on imported fossil fuels: diesel and heavy fuel oil, and we have a total installed capacity of around 735 MW (New Providence consumes 438 MW, and the Family Islands 297 MW). The Generators include older diesel reciprocating engines and a few newer dual-fuel turbines (Clifton Pier: ~31 MW each). The efficiency of older diesel plants is around 30–35% whilst modern combined-cycle engines are around 45–55%.
Residential electricity costs in The Bahamas are very high (~$0.30–$0.40 per kWh). And we import about $400 million worth of fuel, mainly from the U.S.
Nico’s Proposed Improvements
Power Plants
We should replace aging diesel engines with dual-fuel turbines and build combined-cycle liquid natural gas plants on New Providence and Grand Bahama to leverage the efficiency of LNG.
With that, we must also build an LNG import terminal.
Solar
We are effectively completely reliant on fossil fuels to fuel our power systems. The issue with this is that it is a resource that we do not produce. Not a single drop, yet it is, for all realistic purposes, the only thing that powers our country.
This places us at the mercy of our trading partners who we import oil from. This does not have to be the case however, we are the land of the Sun, Sand, and Sea. Sun, Sun, Sun, we have lots of sunshine all year round. In a way, we are a “producer of sunshine” in the same regard as some countries are oil producers, which is why I think we should prioritize solar power on homes and solar farms, especially on family islands with lots of empty space.
Solar panels obviously do not work effectively at night and when it is cloudy, and it is very expensive to store solar energy, therefore the solar power would primarily be to make our grid more efficient. Not to replace traditional energy generation completely.
Chinese solar panels have gotten so cheap that importing them on a large scale makes a lot of sense for our country, and also for the government to make a trade deal with the Chinese government.
It must also be mentioned, the self-imposed regulations that keep us from fully embracing solar. There are limits on how many solar panels one can have on their home. This must be removed. I believe that any tax on solar panels should be removed to make it as cheap as possible for a person to obtain, and to encourage adoption.
It’s worth noting that my focus is on energy production in and of itself rather than “being green.” We are a small country, and the amount of harmful emissions we could ever produce would still be a drop in the bucket compared to our neighbours; therefore, we should first and foremost focus on producing adequate energy for our needs.
Microgrids
A microgrid is a local electricity system that can operate independently or in conjunction with the main grid.
Advantages for the Bahamas
- Resilience: Maintains power during hurricanes or grid failures
- Integration of renewables: Solar/wind energy can feed directly into local grids
- Reduced fuel use: Solar + batteries can cut diesel consumption 20–50%
- Scalable and adaptable: Each island can have a tailored system
- Smart grid software for load management and predictive maintenance.
Components
- Diesel or LNG generators
- Solar panels and wind turbines
- Battery storage
- Smart control systems
The Bahamas can implement a microgrid system by partnering with experienced international energy companies to design and install hybrid grids on each island. These microgrids would integrate dual-fuel generators, solar panels, wind turbines, and battery storage, managed by smart control systems to balance supply and demand. Local utility staff would be trained to operate and maintain the system, ensuring reliability, efficiency, and resilience, while gradually reducing dependence on imported diesel.
Learning from Other Islands
Aruba’s Example
- Uses diesel and heavy fuel oil, but with modern dual-fuel engines, combined-cycle turbines, and integrated wind/solar systems.
- Installed capacity: ~268 MW on a single grid; efficiency: 45–55%.
- Renewable share: ~17%, supported by energy storage.
- Electricity costs: $0.20–$0.25/kWh, lower than the Bahamas.
Key Takeaway: Our system’s fragmentation and aging diesel fleet make it more expensive, less efficient, and less resilient.
I’m Nico Miller. I am a Bahamian Engineering student and this article is the first in a series, I’m writing where I investigate the infrastrucure (and other) changes that will make the country better. Thank you for reading, subscribe to my website and follow me on social media for more.
