New generator to cut costs, firm-up supply

| 23/06/2016 | 23 Comments
Cayman News Service

CUC’s new generator

(CNS): A new generator at Caribbean Utilities Company (CUC) will help the local power supplier meet the growing demand for electricity at a reduced cost and, despite being diesel-powered, in a more environmentally friendly way. The 40-megawatt generator was described by officials as the most efficient diesel power plant in the Caribbean when it was formally fired up by the firm at a ceremony at the North Sound plant on Tuesday, 18 months after the project started.

President and CEO of CUC, Richard Hew, said the new units and steam turbine would make a significant difference as the power provider has been working at the very limits of its capabilities over the last year. He said some recent power outages were down to teething troubles with the new system but the engineers have worked through those kinks and there would now be far less interruptions to customers’ supply.

As well as cutting down on the amount of diesel that the generator will burn, Hew said the new power unit would allow CUC to get rid of the smaller temporary mobile units it had been forced to use to maintain electrical supply across Grand Cayman.

“This is the most efficient plant of its kind in the region and possibly in the world,” he said. “We are taking the waste heat that goes up the exhaust pipe and we are recovering that heat and making steam and then using that to drive a steam turbine that will make more electricity. So for each gallon of fuel we put in we are getting more electricity.”

He said the units would give CUC the security it needed to ensure supply, but it was not the end of the road for the firm in developing new power generation. Alongside the solar farm, which is expected to be underway soon in Bodden Town, the firm is still examining ways of generating green energy. Hew said he believed that wind turbines will need to play a part in the future.

The CEO added that the country may decide it doesn’t want wind turbines but he warned that to meet any aggressive targets for renewable energy, wind power remained an important component.

Although CUC remains a target for public criticism, Hew defended his firm, and said that its winning bid for the new generator, which was managed by the Electricity Regulatory Authority (ERA), demonstrated that the company remained very competitive, coming in at some 22% cheaper than the nearest bid on the $85 million project. This competitive tender allowed CUC to prove it offered value for money, Hew said.

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Category: Local News, Utilities

Comments (23)

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  1. Sharkey says:

    Is this CUC buying new equipment and saying that your electric bill would not go up . How would this new equipment be paid for ? BS CUC. Buying cheap equipment and charging a fortune for it , that how CUC and shareholders make more money.

  2. Anonymous says:

    On top of everything, CUC is using the water from north sound to cool the engines…..then putting it back at a higher temperature…..and they say it is global warming causing the problems in north sound!

    • anonymous says:

      Finally someone is addressing this issue. Thank you 6.34pm. CNS, please look into this deeper. Another oversight from the Dept.of environment protection?

  3. Anonymous says:

    CUC had these steam turbines before with the MAK units 1&2.
    They were a nightmare to maintain. They were scrapped.
    Not to mention the boilers requiring frequent soot blowing which was conveniently done at night.
    But hey, let’s not let the truth get in the way of a good press release.

  4. Truthsayer says:

    “CUC remains a target for public criticism”. You got that part right! Does anyone really believe their electric bill will be lower? It may be lowered for a while, then the price will go up at every opportunity!

  5. Anonymous says:

    The one thing Hew omitted to mention is that CUC don’t actually need to run this plant on diesel because it’s multi-fuel and can use LPG, which is cleaner and cheaper. This BS has been going on for 10 years now and it’s time to say ‘enough is enough’. Bottom line – CUC do not need to use diesel to generate electricity and they know it.

  6. Anonymous says:

    Yeah

  7. Anonymous says:

    Hopefully CUC can keep the lights on now! In the last two weeks, residents in BT lost power at least five times! Quite frustrating! Especially when you pay your CUC bills on time and expect good service! There was a piece in the paper last week about WB residents losing power but nothing about BT residents… why? We don’t matter?

  8. lo-cal says:

    Its &#$@*^$ pointless. They reduce the production cost then raise their fees. Whats the point.

  9. whatever says:

    Ummh yea, the most efficient diesel power plant in the Caribbean until something goes wrong.

    • Anonymous says:

      You know what’s more efficient than a diesel generator? THE SUN!!!

      • Anonymous says:

        Except when its dark or raining.

        • Anonymous says:

          You must work for CUC because that’s exactly their mantra.

          Fact is that solar panels produce power in some of the most unlikely conditions you can imagine (although I’ll concede not at night) and if you don’t believe me ask the 1000s of people in the UK who have invested in them.

          CUC also argued that the wind doesn’t blow 24/7/365 but conveniently forgot to mention that their generators also have regular periods of down time.

          • Anonymous says:

            Investing in solar in the UK is like investing in an ice machine in Antarctica. Negative ROI now that power companies have dropped the buy back rate. Going off grid is still a luxury and not accessible to the average customer. Unless you have a locked in rate to sell power back to CUC then it is still not worth the capital cost. Energy efficient building and appliances are still the best way to offsetting your CUC bill and many more people can do this than go off grid.

        • Anonymous says:

          Get ready for the new mantra, Powerwaaaallll, aaaaaauuuummmmmm, Poweraallllll, aaaaaauuuummmmm…..

        • Anonymous says:

          Dont need it with batteries.

        • Anonymous says:

          Especially when the deisel generator breaks down.

      • Haranguer says:

        Straight up my friend but CUC hasn’t figured out how to make a big bag of money on that yet.

      • Anonymous says:

        Know what’s more efficient than than solar and generates 24/7 365? Ocean thermal and ocean kinetic. Nuff said.

        • Anonymous says:

          You know what is more trusting than having a big company supply energy for you…your own power supply from a source that will last another billion years. But keep fooling yourself that the way of the future is still centralized energy sources or centralized food markets, or centralized financing.

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