ST. GEORGE’S, GRENADA,Friday, September 27, 2013 - GIS: Government has formally advised Grenada Private Power of its intention to purchase the majority stake in GRENLEC.This notification follows a notice to Government by Grenada Private Power (GPP) on September 19, 2013 giving the Government of Grenada the first option to purchase GPP's 50 percent shareholding in Grenlec.
Minister of Public Utilities Gregory Bowen said “this is an important opportunity to bring down the high price of electricity and it cannot be missed”.
Government currently owns 10% of GRENLEC shares while the National Security Scheme owns 11%.
Speaking on the planned purchase, Minister of Finance and Energy and Prime Minister Dr Keith Mitchell stressed that “the high cost of electricity is now a binding constraint to Grenada’s growth and competitiveness and must be addressed”.
At present, only 1% of electricity generated is from a renewable source which is solar PV.
Prime Minister Mitchell added, “Government has no intention of directly managing the utility but a change of both law and policy are essential to lower prices and also to encourage households and businesses to invest in renewable energy without hindrance.GRENLEC’s current policy is too restrictive”.
The price of electricity in Grenada is 40US cents per kilowatt hour, one of the highest rates in the world.
