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Island must reduce its dependence on fossil fuels

Bermuda is facing an energy supply crisis and must play its part in reducing global reliance on fossil fuels.

That was the message shared with around 50 people during the first of a series of workshops on the topic, featuring a string of worrying statistics.

William Francis, Acting Permanent Secretary of the Ministry of Energy, Telecommunications and eCommerce explained that the Government is committed to reducing reliance on fossil fuels.

The meeting at St. Andrew's Church Hall in Hamilton is part of a process that will result in the production of a consultation document on energy strategy.

The Ministry-sponsored event, on Thursday, featured a presentation from Michael Daniel, vice president of energy supply at Belco, Bermuda's sole energy supplier.

At the moment, the Island relies on the import of 100 million-plus barrels of heavy fuel oil from the Gulf of Mexico and light fuel oil from Trinidad and Tobago, he explained.

There are two generating stations — Belco headquarters in Serpentine Road, Pembroke, plus the Tynes Bay Incinerator in Devonshire.

However, according to Chandan Singh, senior manager of energy supply at Belco, increasing demand coupled with ageing production facilities mean that by 2011, demand is likely to outstrip supply.

Among the statistics Mr. Chandan shared were the fact that Belco had a peak power capacity of 50 megawatts in 1975.

The figure currently stands at 120 megawatts, and a projected growth in demand of 1.53 percent per annum means that 170 megawatts could be needed by the year 2030.

Around two dozen developments slated for the Island will place additional strain on the supply system in future, he warned.

Mr. Daniel then ran through energy sources that Bermuda may rely upon in future — small scale renewable energy sources, small generators at the home level, the development of new production sites at either end of the Island, and large scale renewable energy sources such as wave, wind and solar power.

Figures shared by Dr. Anthony Knap, president and director of the Bermuda Institute of Ocean Sciences, showed the rocketing scale and price of oil imports in Bermuda over the last half century.

In 1954, the Island imported 90,000 barrels of oil per year at an average price of $2.82 per barrel, he said. By 1970 this was 420,000 barrels at $3.35.

By 1985 the Island was relying on 775,000 barrels of oil each year costing on average $27 each. In 2004, one million barrels were needed costing $40 each.

By the end of this year, he estimated, the Island will have worked its way through 1.1 million barrels at $135 per barrel.

"This is only going to go one way. The price of oil, I doubt, is going to go down," he said.

Dr. Knap went on to point out that global carbon dioxide emissions are rising every year. They currently stand at seven billion tonnes per year — 25 times the weight of all the people in the world.

The effects on Bermuda are already being felt in terms of the oceans getting more acidic, which stunts coral growth. A projected rise in global temperatures, sea levels and extreme weather events will also have an impact, he warned.

Dr. Knap favours nuclear power as a possible answer, at least on a global scale, but acknowledged that this could raise regulatory and political issues on the Island.

However, he pointed out that Bermuda's natural resources of the ocean, of sun and wind present a "unique" opportunity for it to lead the way in developing alternative energy resources.

Additional meetings are set to take place over the course of summer.