Summer is officially here and our children are now on the long summer break. Plans are underway by many parents to enroll our children in summer camps and make arrangement for our vacation or staycation. Some of us are bracing ourselves for the expected increase in grocery and other bills as our bundles of joy spend a little more time around the house. These are exciting times indeed.
Over the past week, the country has been bombarded with news on several issues. One such issue which has dominated social media and discourse within our homes has been the curious case of Bahamas Power and Light (BPL) which is a subsidiary of the Bahamas Electricity Corporation (BEC). As we witnessed one power supply interruption after another, the Bahamian people looked forward to the summer of 2016 with much anxiety and concern.
The annual discussion
We seem to have mastered the art of having the same debate on power supply during the summer every year. It has become the norm for the minister responsible, the management of BEC and/or the leaders of the respective labor unions to speak about the challenges that BEC faces and their plans (or lack thereof) to ensure that we are not inconvenienced during the long and hot summer months. This has been the modus operandi for both PLP and FNM administrations albeit we seemed content with adopting a bandage approach to the fundamental issues over the years.
The discussion about BEC in 2016 has been consistent with the notable addition of BPL and PowerSecure into the equation. As the new private company charged with the management of BPL, PowerSecure has come under significant scrutiny. This is not unexpected, as reliable power supply is important to our quality of life, commerce and the overall performance of the Bahamian economy. It can be argued that PowerSecure walked into a perfect storm with a struggling government corporation weighed down by debt, a low growth economy, a customer base challenged with high unemployment and a politically charged environment plagued by a level of distrust in the government of the day.
Confronting the issues
Over the years we have discussed the need for greater effectiveness and efficiency within BEC. A number of Bahamians have argued that the corporation ought to be fully or partially privatized to improve its state of affairs. The impact of the high cost of electricity on the success and failures of businesses throughout our archipelago of islands has been well documented. One thing has been certain in the midst of our travails with BEC; change is needed urgently.
The call for change appeared to have yielded some results when the government announced that PowerSecure had been selected to manage BPL, a newly created operating subsidiary of BEC. It was subsequently reported that PowerSecure had signed a five-year management services agreement with the government to run BPL. In the weeks that followed, there was much discourse on BPL as PowerSecure was acquired by Southern Company and BPL's first CEO resigned suddenly. BPL couldn't have had a more interesting start as these events raised a number of questions among stakeholders.
In spite of the myriad challenges to date, the government should be commended for at least making an effort to address this important issue. Has the process and implementation been perfect? The obvious answer is no, but this is expected to be a work in progress and as is often said, Rome was not built in a day.
Transparency and accountability
The populace has been clamoring for more transparency in the governance of our nation and we have been demanding more accountability from those who lead us. In relation to BPL, there have been several requests for a copy of the business plan or strategic plan for the energy sector in general and BEC/BPL in particular. These requests have originated from the private sector and other members of society who appreciate that such a plan or plans will provide us with a road map for the future of this important entity.
It is imperative that the future plans for ensuring sustainable and reliable electricity in The Bahamas are made available to the Bahamian people. Perhaps the provision of such a document will give us a better appreciation of the challenges that we face and may help us understand the rationale for the increase that was allegedly proposed by the new management of BPL. The government should embrace greater transparency as a tool to inform, educate and obtain buy-in from the populace. Keeping the people in the dark both literally and figuratively is simply not helpful as we embark on energy reform in The Bahamas.
Political interference and efficiency
Governments the world over are challenged in the effective and efficient running or administration of organizations and enterprises. It is a well-established fact that governments have serious problems with ensuring that proper governance structures are established and the management of their agencies is carried out without political considerations. Decisions are therefore often prone to interference based on favoritism, political expediency and party affiliation.
The reality is that politicians will be politicians and will often be motivated by the need to attract votes to remain in power. While there are some who profess their commitment to nation building and the betterment of the lives of Bahamians, the truth is that their actions suggest that this is nothing more than demagoguery and posturing. We have the bad fortune of being led by politicians and very few statesmen and stateswomen.
The power cuts
As we continue to grapple with the interruption to our power supply from time to time, it is becoming obvious that our people are becoming frustrated with the current state of affairs. However, there is also another dimension to the power cuts; this is the cutting off of power over the affairs of BPL from the political directorate. According to newspaper reports, the new CEO of BPL, Pam Hill, has committed to a no sacred cow policy in the management of the company and ensuring that customers do not receive special treatment in the payment of their bills based on their political affiliation or connections.
This is a welcomed development as many customers of the power company have lamented the preferential treatment afforded to a perceived "privileged" group in times past. While some of these stories cannot be verified, the underlying message is one that promotes an environment that is not quick to cut off the power supply of the commoners for hundreds of dollars owed, while some business establishments or elite group continue to enjoy uninterrupted power supply albeit they owe thousands of dollars. After all, what is good for the goose ought to be good for the gander; this is, of course, provided that we are not proponents of double standards and living in "The Animal Farm".
A panacea for our woes?
It is amusing but unfortunate that successive administrations have allowed the financial affairs and infrastructure of BEC to deteriorate to its current condition. The truth is that BEC did not get to this state overnight and it will not be fixed overnight; there is simply no magic wand available to address all of BPL's woes instantaneously. This is not a fairy tale and it is time for past and present leaders to be honest with the Bahamian people. We cannot continue to play political games while our people's lives are impacted on a daily basis. BEC has a lot of debt and hundreds of millions of dollars are required to address the structural and institutional challenges faced by this government corporation.
These are still early days and the refurbishment of BEC as we knew it is expected to be a journey which requires fortitude and commitment from the government (regardless of which party is in power). PowerSecure is not the panacea but rather a part of the solution to this vexing problem we face. The solution also includes us as a people making better energy choices and being more responsible in our consumption of electricity as well as the management of our financial affairs going forward.
For many Bahamians, the changes we desire at BPL cannot come fast enough and this is understandable. We must continue to hold the management team accountable and ensure that it delivers on its contractual obligations to the Bahamian people. In the same token, we must keep the politicians away from meddling in the daily operations of BPL if the entity is to be fixed.
In the final analysis, there will be growing pains but we must be give the new board and management team a chance to prove themselves. Based on the history of BEC and our experiences in the past, we have nothing to lose by hoping that long overdue changes will come. In the meantime, we are appealing to BPL to do all within its power to address our energy woes and, more importantly, be mindful of business enterprises during these economically challenging times, as well as private residents by keeping our lights on during these hot long summer months.
o Arinthia S. Komolafe is an attorney-at-law. Comments on this article can be directed to a.s.komolafe510@gmail.com.
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