By Tynia Brown
Journal Staff Writer

On Thursday, the government signed a landmark $90 million agreement with the Inter-American
Development Bank (IDB), paving the way for a major overhaul of Bahamas Power and Light’s
(BPL) operations and the introduction of modern digital infrastructure across the country’s
power grid.
The signing marks the first time BPL has been designated as a direct borrower for an
international loan, development officials say, reflecting strengthened governance and growing
confidence in the utility’s direction.
Prime Minister Philip Davis described the $90 million IDB loan as a defining moment in the
country’s long-term energy reform agenda, saying it represents a deliberate choice to “move
forward with clear eyes and steady hands.” He said Bahamians deserve an energy system they
can rely on, one with fewer outages, lower costs, and modern infrastructure that supports
national growth.
Davis acknowledged that the public has grown frustrated with years of failed promises and
temporary fixes. He stressed that true modernization requires rebuilding the system’s foundation,
not patching old problems. The IDB partnership, he said, shows confidence in the country’s
direction and in BPL’s ability to manage major reforms.
The Prime Minister outlined the loan’s core components: $81.9 million for digitalization and grid
modernization, $3.7 million for improving BPL’s institutional capacity, and $4.4 million for
oversight and compliance. These upgrades, including advanced meters, expanded SCADA
systems, outage management tools, and modern control rooms, will improve reliability,
strengthen customer service, and prepare the grid for renewable energy.
Davis said the investment will give families better control over their energy costs, reduce
dependence on imported fuel, and improve national competitiveness. He emphasized that
reliable, affordable electricity is essential for tourism, manufacturing, digital services, and local
entrepreneurship.

The modernization effort, he added, positions BPL to operate with greater transparency and
professionalism, and lays the groundwork for future utility-scale solar, LNG integration, hybrid
microgrids, and climate-resilient infrastructure.
Calling energy reform one of this generation’s most important responsibilities, Davis said the
decisions made today will shape the country’s economic strength, environmental impact, and
stability for decades. He thanked the IDB and BPL for their partnership and urged all involved to
maintain discipline and focus as implementation begins.
BPL Executive Chair Christina Alston described the signing as a transformative milestone for
the 68-year-old utility company.
“For the first time, the government has given BPL the opportunity to be the direct borrowing
agency for an IDB loan,” she said. “This is extremely significant, and we understand the
responsibility that comes with it.”
Alston said the centerpiece of the modernization is the introduction of Advanced Metering
Infrastructure (AMI). The new smart meters will allow customers to track their usage in real
time, anticipate their bills, and access new options such as prepaid service.
She added that the system will allow BPL to detect outages instantly, including in remote island
communities, and respond more quickly.
“There are 400,000 people in this country relying on us to get it right,” Alston said. “This project
is our commitment to them.”
IDB Country Representative Shirley Gayle said the initiative is much more than a loan,
describing it as a “turning point” for the country’s energy future.
“At the IDB, we believe in projects that don’t just make headlines, they change lives,” Gayle
said.

She highlighted three key benefits: improved resilience in the Family Islands, greater financial
control for customers through smart metering, and a strengthened national grid that can support
solar and other renewable energy investments.
“This is the foundation for a sustainable energy industry that creates jobs, attracts investment,
and expands opportunity,” Gayle said, noting the meters will be installed at no cost to
consumers.
Minister of Energy and Transport Jobeth Coleby-Davis praised BPL’s leadership and staff,
noting the modernization effort aligns with the Davis administration’s wider reform plan.

“Energy is more than a utility; it is a lifeline of our economy,” the minister said. She explained
that the bulk of the funding will support BPL’s digitization program, grid modernization, and the
purchase of critical equipment for the Family Islands.
Coleby-Davis said the plan aims to create more reliable, affordable, and cleaner energy delivery
for households and businesses. “Today represents the next step toward an energy system that
supports, rather than limits, the aspirations of the Bahamian people,” she said.