Net metering introduced in Cayman Islands

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Richard Hew,
President & CEO,
CUC
 
George Town, Grand Cayman — (METERING.COM) — January 15, 2009 – Caribbean Utilities Company, Ltd. (CUC) and the Cayman Islands Electricity Regulatory Authority (ERA) have announced that a net metering program has been approved for customers on Grand Cayman.

The Consumer Owned Renewable Energy (CORE) program will allow energy to be generated from a technology such as small scale solar or wind turbines with capacities up to 10 kW or the peak load of the customer’s premises if less than 10 kW .

CORE participants will receive a credit for energy generated through renewable means. The CORE credit equates to the costs that CUC avoids by purchasing CORE generation, such as fuel and lubricants plus an allowance towards other avoided variable costs. CORE customers will be billed monthly at the normal retail rate for their total energy consumption and credited at the CORE rate for the output of their generation. This billing arrangement will ensure that the infrastructure costs required to operate the transmission and distribution system for CORE participants will not be subsidized by non-CORE consumers.

If the net energy for the month is negative, then the surplus energy will be banked for that consumer to use against net positive consumption in the future.

Kendal Ryan, chairman of the ERA, commented that, “The ERA is pleased to approve the CORE program … to encourage clean renewable sources of power. We encourage consumers in a position to install renewables to assess their options for doing so.”

Richard Hew, president and CEO of CUC, said: “We are pleased to facilitate this important step in establishing renewable energy in Grand Cayman. Customer-generated renewable energy will have a positive impact on the environment.”

The CORE program will be in place for a trial period ending December 2010 after which time a review of its operations will be undertaken.

CUC provides electricity to Grand Cayman, the largest of the Cayman Islands.