Bermuda House approves Electricity Amendment Act, Lightbourne says reforms will protect consumers

Bermuda's House of Assembly has approved amendments to the Electricity Act, with Home Affairs Minister Alexa Lightbourne saying the reforms are designed to ensure the island's energy future is guided by affordability, reliability and the public interest.

In a statement issued Tuesday following the bill's passage, Lightbourne said every household and business in Bermuda depends on reliable and affordable electricity, making decisions about the country's energy future critical to families, businesses and the wider economy.

"Every household and business in Bermuda depends on reliable and affordable electricity. Decisions about our energy future affect the monthly bills paid by families, the operating costs faced by businesses, and the overall competitiveness of our economy," she said.

According to the minister, the amendments do not weaken the independent role of the Regulatory Authority. She said the Integrated Resource Plan (IRP) will remain in place and that technical and engineering decisions will continue to be made by experts.

"What has changed is the recognition that decisions about Bermuda's energy future do not exist in a vacuum. They have real consequences for the people who pay the bills," Lightbourne said. "When decisions affect every electricity customer, it is reasonable, and necessary, that the elected Government ensures that the broader public interest is considered."

She added that the amendments are intended to ensure Bermuda's energy future is shaped not only by technical considerations but also by affordability, reliability and national impact.

Lightbourne said the legislation also strengthens the long-term planning framework for the electricity sector by placing the Integrated Resource Plan firmly in the public domain, reinforcing the independence of the regulator and opening the planning process to businesses, households and other stakeholders that depend on reliable power.

The minister argued that the previous structure allowed one entity to play multiple roles in shaping the plan while also bringing forward projects for approval, creating what she described as an imbalance.

"When the body that helps define the plan also brings forward projects for approval, the plan risks losing its purpose as a guiding framework," she said. "These reforms address that imbalance and restore transparency and accountability."

Lightbourne noted that Bermuda set a target in 2019 of generating approximately 85 percent of its electricity from renewable sources by 2035, but said progress has fallen short of that goal, with projections showing continued reliance on fossil fuels in the years ahead.

She pointed to other jurisdictions with isolated electricity grids and high energy costs that have expanded renewable energy, increased competition and reduced costs for consumers, saying Bermuda can learn from those examples while developing solutions suited to its own circumstances.

Acknowledging criticism of the legislation, Lightbourne rejected claims that the amendments amount to government interference.

"Some will describe these changes as interference. In reality, they introduce transparency where it has been lacking and ensure that decision-making reflects the interests of the public," she said.

The minister stressed that the amendments are narrowly focused, applying only in defined circumstances and in the public interest. She said they do not grant ministers unlimited authority or undermine the regulator's independence.

"Reliability is essential. Affordable electricity is essential. A successful transition to cleaner energy is essential," Lightbourne said. "One island. One energy system. Built for everyone."

She concluded by saying the reforms create an opportunity for Bermuda to build an energy system that protects affordability, strengthens reliability and delivers the long-promised transition to cleaner energy.