Wednesday, Oct 16, 2019
HomeBusinessGovt looking at retail sale of biodiesel

Govt looking at retail sale of biodiesel

The official opening of Bahamas Waste’s biodiesel plant, which produces the fuel for wholesale distribution, is sparking other developments in the industry, with government officials indicating plans to offer a retail option to consumers.

That retail offering is still being worked out, said State Minister for Finance Phenton Neymour.

“This[present]license is for wholesale production,”he said.”We have not gotten into the retail use of biodiesel and there is one major hurdle and that hurdle will be pricing.”

According to him, the price of gasoline and diesel is currently based on the imported price. Given that biodiesel is now being produced locally, it adds a challenge in terms of how to price it. He said the government was currently trying to decide the best way to approach the issue.

“We’re in the process of working out a mechanism so we can properly price this biodiesel, so it can be a benefit to the consumer,”said Neymour.”There are plans to introduce biodiesel on a retail scale.”

His comments came during yesterday’s official grand opening of Bahamas Waste’s plant, where 500,000 gallons of biodiesel are now being produced per week. The Gladstone Road plant took delivery of its biodiesel equipment last summer. The plant is expected to take the hundreds of thousands of gallons of cooking oil and turn it into clean fuel for its 50-plus vehicles.

Bahamas Waste Chairman Peter Andrews said the company had done much since its opening, adding that its recycling plant for cardboard was also up and running, and was shipping to countries like India and China.

Environment Minister Earl Deveaux said the laws governing the energy industry were being revamped to achieve better results for the public.

“We will do the law probably this year,”he said.”The research demonstrates that we need to do three principle things.

“We need to redraft the BEC Act to permit independent power suppliers to tie into the grid… We need to create a clearly defined set of incentives for home owners and business to invest in energy… We need to have a dedicated private and public sector partnership pushing these things when people are engaged in any activity that burns fuel.”

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State Minister for Finance Phenton Neymour

(NEYMOUR)

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