Government of the United States Virgin Islands Public Services Commission www.psc.vi.gov psc.info@psc.vi.gov P.O. Box 40 St. Thomas, VI 00804 1003 Estate Ross Suite 4, St. Thomas, VI, 00802 (340) 776-1291 P.O. Box 7360 Christiansted, VI 00823 Estate Carlton Suite 1 & 2 Frederiksted, St. Croix, VI, 00840 (340) 778-6010 FOR IMMEDIATE RELEASE 01-25-2 Tuesday, March 11, 2025 Media Contact: Symra Hendrickson – Public Communication Coordinator (340) 776-1291 symra.hendrickson@psc.vi.gov PSC Regular Meeting – Tuesday, March 11, 2025 Energy Matters US VIRGIN ISLANDS – The Virgin Island Public Services Commission (PSC or the Commission) met for its regular meeting on Tuesday, March 11, 2025. The Virgin Islands Electric Levelized Energy Adjustment Clause (ELEAC) is supposed to be filed every quarter to be reviewed by the Commission, while the Water Electric Levelized Energy Adjustment Clause (WLEAC) is supposed to be filed yearly. In the meeting, the Commission stressed how important it was for LEAC filings to be made on time and in compliance with the minimum filing requirements. After a lengthy discussion, the Commission recommended maintaining the current ELEAC at a rate of 22.2 cents per kilowatt hour. Of this amount: • 18.17 cents per kilowatt hour is attributed to the current fuel expense. • The remaining 4.05 cents per kilowatt hour is for future deferred fuel recovery. The 30-day advance notice required in the minimum filing requirements will be waived for ELEAC, as the rate is not being increased, and the current authorization will expire in 20 days. The Commission suggests that WAPA management and PSC staff should discuss the validity and accuracy of WAPA’s claim of $139 million in deferred fuel expense and providing guidance to WAPA on the prudence of recognizing certain costs in the deferred fuel expense. The Water LEAC will remain at a rate at $9.53 per 1000 gals, as the major driver of that cost is the cost of electricity, which remains unchanged. The meeting also discussed the procurement and implementation of a new Automated Metering (AMI) system, with Itron selected as the vendor for a $30.3 million contract. The system includes a mesh-based collector with multiple backhaul options (means of data collection) and service level agreements for warranties and change-outs. The project aims to start in July, with St. John as the first test site. Government of the United States Virgin Islands Public Services Commission www.psc.vi.gov psc.info@psc.vi.gov P.O. Box 40 St. Thomas, VI 00804 1003 Estate Ross Suite 4, St. Thomas, VI, 00802 (340) 776-1291 P.O. Box 7360 Christiansted, VI 00823 Estate Carlton Suite 1 & 2 Frederiksted, St. Croix, VI, 00840 (340) 778-6010 In other Energy news, Advanced Sustainable Technologies (AST) Clean Teach presented their plan to convert waste into energy, generating 8,500-10,000 MWh annually from St. John's waste (approximately 1 MW per hour). The project includes job creation, environmental assessments, and financial models based on sales of electricity, carbon credits and incentives. Additionally, VI Electron provided updates on all the solar projects they have in the territory. The project at Petronella on St. Croix has been up and running, with 10MWs of solar capacity and two battery systems. The project at Hogansborg on St. Croix is close to completion and should begin coming online this month and be fully operational in April, again, with two battery systems. The battery systems serve several functions, smoothing over any momentary disruptions or reductions in production (such as cloud shadows and brief squalls), and assist with disruptions in the distribution system. The presence of these solar projects has assisted WAPA in the maintenance of the leased Aggreko generators recently, while avoiding having to turn on additional diesel fueled generation. VI Electron’s first project on St. Thomas, a plant in Fortuna, has begun site clearance and construction planning. The Fortuna system will see a larger solar plant with substantial battery capacity. The Fortuna plant is expected to be fully operational by the end of 2025. The Bovoni Solar project is also beginning site clearance and will also contain battery systems. This project is expected to be fully operational by mid-2026. Commissioners, Pedro Williams, David Hughes, Laura Nichols-Samms, Raymond Williams and Ex-officio member Senator Carla Joseph attended the meeting. Commissioner Clement Magras was absent. An Executive Session was held to discuss pending administrative and litigation matters, but no action was taken. For recent news releases, more information on the PSC, and easy access to information on utility issues visit our website at psc.vi.gov. Like our Facebook page at www.facebook.com/VIPSC1965.