Govt moving to address grid storage challenges

GOVERNMENT IS RAMPING UP efforts to address grid challenges related to energy storage, a crucial step in achieving its 2030 renewable energy goals.

Speaking at the Barbados Chamber of Commerce and Industry’s (BCCI) Energy Expo at the Lloyd Erskine Sandiford Centre

yesterday, Minister of Energy Senator Lisa Cummins outlined a comprehensive strategy to expand battery storage capacity, enhance grid resilience and ensure a sustainable energy transition.

She said the ministry’s work was driven by extensive multistakeholder collaboration, involving regulators, financial institutions and international partners, to develop policies and procurement mechanisms that align with the nation’s ambitious energy targets.

Cummins credited Barbados’ progress in renewable energy to sustained engagement with key stakeholders over the past two years. She acknowledged the Barbados Renewable Energy Association (BREA), the Green Council of the BCCI and Barbados Light & Power Co Ltd (BL&P) as vital partners in shaping the energy transition.

Key role

Other institutions, including the Barbados Bankers Association and the Fair Trading Commission (FTC), have also played a key role in regulatory and investment frameworks.

A major policy shift has been the passage of the Electricity Supply Act, which introduces a new regulatory structure allowing for competitive procurement of both power generation and storage solutions. Cummins noted that this legislative update ensures better alignment between renewable energy production and storage capacity, an issue that had previously hindered the effectiveness of solar investments.

Barbados’ rapid expansion of solar energy has led to an oversupply of generation, but a lack of corresponding storage capacity has placed strain on the grid. According to Cummins, the Integrated Resource and Resilience Plan (IRRP) originally projected a need for 150 megawatts (MW) of battery energy storage systems (BESS), yet the country has only implemented 5 MW to date.

In response, the Government has committed to an incremental procurement strategy to secure the required 150 MW of storage. The first tranche of BESS procurement is set to be released through a Request for Proposals (RFP) process following last year’s Request for Information (RFI), which closed in November.

To support better decision-making, Government has completed a grid characterisation study, the first of its kind in Barbados. It maps the electricity transmission and distribution network, identifying ideal locations for energy storage integration.

Full picture

“We now have a full picture of the grid from St Lucy to Christ Church and St Philip, including solar project clustering and feeder system capacities,” Cummins explained. This data-driven approach will guide the placement of battery storage systems to optimise efficiency and minimise costs to consumers. The findings also enable more strategic development of new renewable projects while ensuring grid stability.

In an effort to encourage private investment in energy storage and renewables, a liquidity support facility has also been introduced. This mechanism, developed in partnership with the Central Bank of Barbados and the Inter-American Development Bank (IDB), ensures that independent power producers (IPPs) remain financially secure in the event of payment disruptions.

Under this system, IPPs experiencing delayed payments from the utility due to force majeure events can access funds from a rolling liquidity facility. The utility is then responsible for replenishing the fund once payments resume. This arrangement provides greater financial security for investors while maintaining the overall stability of the energy market. (CLM) Please see also Page 14.