Authors: Philana Johnson & Thersea Goodwin

Despite its small size, Antigua and Barbuda has taken a proactive stance on climate change, focusing heavily on renewable energy. 

This effort is especially vital for Small Island Developing States (SIDS) like Antigua and Barbuda, which are highly vulnerable to environmental threats.

Authorities have largely focused on harnessing solar and wind energy, which are abundant due to the country’s geographical location and climate.

However, that goal requires millions in investment for infrastructure installation and maintenance.

In addition, these programs are typically managed by different government bodies or agencies, which has led to some fragmentation.

Recognising this, the government is now working on a unified approach bringing all the relevant stakeholders together to work as one cohesive unit.

Debt Manager, Economist and Climate Finance Expert Peter Abraham Jnr plays a very crucial role in this process.

“There is some honest consultation that we probably need to do, and what we are doing now is doing that research and putting it together. We have brought the Department of the Environment, Ministries of Energy and Finance, all working together as one team.”

He emphasizes that this unified approach aims to start all parties on the same page, unlike past efforts. 

Remarkably, the government has already secured up to $100 million in funding. The Caribbean Centre for Renewable Energy and Energy Efficiency (CCREEE)’s 2023 Energy Report Card highlights the many stakeholders involved in the energy transition.

“ So it’s no longer that you get the funding, you come back, and then you are trying to figure it out.” Abrahams Jnr says, “What we are trying to do is when we go for the funding, we have all the steps aligned already.”

Imported oil continues to be the backbone of Antigua and Barbuda’s energy consumption, covering gasoline, diesel, heavy fuel oil, jet fuel, LPG, and other petroleum products. 

Such reliance exposes the country to global market instability and price fluctuations. 

The recent US-Iran conflict, which disrupted oil flow through the Strait of Hormuz, is a prime example.

“The prices of diesel fuel jumped by as much as 96%.” Energy Minister, Hon. Melford Nicholas says “ It did dig a significant financial hole in the coffers of APUA [Antigua and Barbuda Public Utilities Authority]. And of course…it did have an effect on the consumers as well because we had no choice but to increase the fuel variation and the utility bills.”

In June, electricity customers faced an increase of 80 cents per kilowatt-hour as APUA’s fuel variation rate surged due to rising international fuel costs.

The following month, APUA held a press conference addressing the public’s concerns about this rise in prices. APUA’s Chief Operating Officer, Roger Tonge points out the authority’s monthly fuel orders nearly doubled  from 11 million in January to 21.8 million in July. 

It has made the push for a transition from fossil fuels to renewable energy, which is expected to lead to cleaner air, lower emissions and more climate resilience, crucial.

The 2021 Antigua and Barbuda Renewable Energy Roadmap set ambitious targets: 100% renewable energy use in the power sector by 2030 and in transportation by 2040. 

Despite setbacks such as the Covid-19 pandemic, officials say the country remains committed.

“ The Prime Minister has already committed to 30 by 30 with the OECS, we are still pushing for that. We are down in a stage where we are trying to cost different projects,” Abraham Jnr says

He says they are looking to bring in a consultant who will determine other avenues and areas the country can get renewable energy and financing. Previously in 2021, the International Renewable Energy Agency offered a few recommendations and its associated cost:

Meanwhile, APUA, which provides telecommunications, water, and electricity services, has established a new position to address energy concerns: Director of Energy. 

Energy Minister the Hon Melford Nicholas says the appointment of Girvan Piggot, with 20 years of experience, is a strategic move to accelerate the nation’s renewable energy agenda and meet power sector targets on time.

Minister Nicholas says Piggot will be addressing three main projects:

1. Expanding the Hybrid Energy facility  in Barbuda – The energy demand in Barbuda is expected to double with a rise in housing developments.
2. Reviving the Wind Turbine Project- The initiative  occurred through the Department of Environment in partnership with IRENA and the Abu Dhabi Fund for Development . However the energy unit is now responsible for project management, control and ownership of the project as the project enters phase 2.
3. Reviving the Photovoltaic Energy (PV) Project

Additionally, APUA’s liquefied natural gas (LNG) plant in Crabbs offers a cheaper alternative to diesel and can generate 40 megawatts. Its progress was delayed by dredging work in Parham for LNG ship access, which has now been completed.

The Department of Environment is also advancing efforts to promote electric vehicles (EVs), supporting charging infrastructure and climate-smart transport systems through the Sustainable Low-Emissions Island Mobility (SLIM) project. The 2023 Energy Report lists numerous projects currently underway.

Abraham Jnr highlights the importance of blended funding, combining government resources and donor aid, to ensure these projects’ success in a small island context.

And it’s not just the government driving this push toward renewable energy.

Schools and households — increasingly becoming what are known as “prosumers” — are also integrating renewable energy systems into their homes and facilities.

The Antigua Public Utilities Authority, APUA, has been facilitating this transition through its interconnection policy.

In 2015, APUA moved away from net metering and introduced net billing. Under this system, customers with renewable energy installations can reduce their electricity bills by sending excess energy generated back to the national grid.

The policy accommodates different sizes of renewable energy systems, with customers falling into two main interconnection categories.

Sale of Excess: For systems producing 5 kW or less.

Buy-All, Sell-All: For systems producing over 5 kW. In July 2023, APUA began an island-wide survey to ensure that all renewable energy systems align with its interconnection policy. The assessments indicated that the total capacity of renewable energy systems in Antigua and Barbuda had reached 10.23 Megawatts, entirely of solar power.

Minister Nicholas cautions that as more consumers switch to solar, careful management is needed.

“There is an opportunity at a future point in time for that to happen on a much larger scale. What must happen first, though, is that APUA… must be able to get into the renewable energy space first to save itself the cost…We cannot really open… for everyone to go to solar rooftops… if we ever were to do that,  it would mean that APUA would automatically become insolvent. ”

Producing renewable energy is only one part of the equation. Transmission presents another challenge, particularly maintaining grid stability.

Minister Nicholas explains, “There will be days with less sunlight, and energy plants won’t produce enough power. For that reason, we’ll still need diesel and heavy fuel oil engines as backup.”

The growing number of prosumers can also disrupt grid frequency and voltage.

APUA has noted many unregistered renewable energy systems in 2024, complicating the stability of the power grid.