B.E.L. Chairman Discuss Distributive Generation and Its Pricing Formula  

Andrew Marshalleck

As you heard, the National Energy Policy 2023 will seek to integrate distributive generation within the country’s power grid. This is also a topic that was raised at a Public Utilities Commission event earlier this week in Belize City. The world is quickly moving towards the application of solar energy through rooftop solar systems.  So, what does the Chairman at the Belize Electricity Limited, Andrew Marshalleck think about this move for Belize? Well, he says, B.E.L. supports the move and has already made its proposals to the P.U.C. The issue of pricing, however, remains a hot button issue.

Andrew Marshalleck, Chairman, B.E.L

“That comes under the terminology called distributive generation, because it seeks to generate energy over your distribution lines as distinct from your transmission lines. They are going back from residents into the systems rather from normal work to residents with the flow of power. We have already put forth our proposal to the PUC a long time ago how we should deal with that. But, the issue is not whether or not it should be allowed, it should be. There is a strong future for it. It is the extent of the role BEL will play in that process and of course, pricing. We have put forth formulas; consultants have taken advice and have put forward a formal position many months ago regarding distributive generation. In fact we encourage it and we also encourage BEL’s participation in it. It comes down to pricing. When you have a supply of electricity from rooftops back on the grid there is this conception that the price that consumers should get for it should be the price it pays to BEL, but that is not the case. BEL actually buys power at a wholesale price. What you are speaking there is a retail price. There will be a difference it wouldn’t be full hundred percent netting. There is also a capacity charge for BEL maintaining its system standing outside its door idles while you take power from your roof top. The mere maintenance of the system there standing idle has a cost so there is certain in capacity charges that must be built into the pricing.”