Business Barbados 2022

Energy is among the top strategic issues shaping the global agenda for leaders worldwide, given the uncertainty and impact of energy price volatility. As commerce thrives best when the costs of doing business can be anticipated, unexpected swings in oil prices continue to destabilize the Caribbean’s business environment. Though lower energy prices can provide temporary relief to consumers, the economy does not do well ‘when the rug is pulled from under its feet’ by inconsistencies in the cost of energy. It is no surprise therefore that the region continues to recognize the economic value of alternative energy options, especially from cost-effective, indigenous renewable energy sources that are predictable in pricing and supply. It is no surprise also that the region is exercising a leadership role and demanding cleaner energy, precipitated by better and cheaper technologies. The region’s aspirations are among the highest, evidenced by Barbados’ target of 100% carbon neutrality by the year 2030. Despite a variety of opinions and analyses of the target, the island is firmly committed to an energy transition that is perhaps the most ambitious within the Caribbean. Recent upgrades in the regulatory framework for the country are ‘limbs within the anatomy’ of an enabling environment that is causing Barbados’ ambitions to be taken seriously. But what might corporate Barbados stand to gain from the development and implementation of sustainable energy projects? There are new, profitable business opportunities for Barbadian companies that opt to participate in the sustainable energy sector. Within the Caribbean, many companies are already increasing the profitability and improving the environmental, social and governance consciousness of their businesses by developing innovative products, offering new services, and creating more jobs. There is, however, cognizance that many businesses do not possess the A CENTURY OF OIL - A FUTURE OF OPTIONS internal expertise nor the financial resources to undertake the gamut of actions that are necessary to conceive, develop and implement, successfully, a sustainable energy project. This is part of the raison d’être for the Caribbean Centre for Renewable Energy and Energy Efficiency (CCREEE), which is a Barbados-based institution of CARICOM, established by the Conference of Heads of Government in 2017. The Centre, in November 2020, established a Project Preparation Facility (PPF) to provide project preparation assistance to the regional private sector. The PPF deliberately targets the ‘most significant barrier’ impeding Caribbean businesses by supporting them in developing ideas and concepts into bankable outcomes that can secure investment and financing. Through a combination of standard and bespoke services, the PPF is already delivering assistance to projects in Antigua and Barbuda, Barbados, Belize, Guyana, St. Kitts and Nevis, and Suriname. Through its web portal, the CCREEE offers an efficient and effective way for interested parties to apply for a variety of PPF services. Barbadian companies are encouraged to visit ccreee.org/ppf for more information and to access its services. Above: A 420kW solar installation at the Bowmanston Pumping Station in St. John, Barbados. The CCREEE worked with the BWA to more than double the capacity of the installation, improving the operational resilience of BWA and lowering greenhouse gas emissions. Photo credit: Gerald Lindo. BUSINESS BARBADOS 2022 108 A C E N T U R Y O F O I L - A F U T U R E O F O P T I O N S