Good Morning, Mr. Speaker.
On Monday last the Minister of Finance in a public statement touched on the Government’s capital expenditure stimulus plan. Capital projects will be advanced to keep people employed while refreshing our infrastructure. A revised capital development plan will be produced setting out targeted project expenditure using a portion of the proceeds of the government’s recent debt raise to keep Bermudians working while our economy recovers, as it is globally, from the economic shock of the Coronavirus Pandemic.
Mr. Speaker, the Minister also mentioned that the Government’s Capital Expenditure Plan Technical Committee, which has been meeting to expedite public sector capital investment focusing on construction projects, has come up with a tentative Government capital expenditure stimulus plan of just over $11 million thus far. There are approximately 40 projects in this stimulus plan with a number slated to begin imminently.
Mr. Speaker, this morning I’d like to highlight one of them – the Roof Top Solar PV Systems.
In May last year an RFP was published with the scope of work comprising the design, installation and maintenance of a roof top solar PV system to the General Post Office and Government Administration Buildings, Public Transportation Building and Transport Control Department Building.
Mr. Speaker, proposals were sought from all qualified, experienced and registered local companies which could undertake the scope of works, as detailed in the Tender documents, for the above mentioned properties.
Four tenders were submitted and assessed but due to a lack of funding at the time the project was put on hold. With the new infrastructure stimulus project – the proposals were revisited and the winning bidder approached to review the project.
Alternative Energy Systems Ltd. (AES) were the successful bidder with a price for all four buildings of $2,880,599.00.
Mr. Speaker, AES allowed in their proposal for maximizing the total roof area at the Public Transportation Building whereas the remaining tenderers allowed within their proposals for utilizing a much smaller area of the roof and this resulted in a lower price and lower savings in electricity costs.
AES had the highest matrix score and have successfully completed similar projects in Bermuda, including a recent similar sized solar project with the West End Development Corporation (WEDCO) at Dockyard and this solar system is currently outperforming its projections. AES possess the expertise and equipment necessary to undertake this project and are widely acknowledged as having high quality solar installations, which are also high in efficiency and with a proven track record for longevity.
The forecasted annual cost savings over the life cycle of the solar system of close to $500,000 per annum - far exceeding the other proposals and therefore represents best value for money.
Mr. Speaker, we believe that this project will be a good start to stimulating our economy and will be followed by several other projects.
To quote from the Throne Speech “During this Session, the House of Assembly will be invited to approve additional capital development spending to stimulate Bermuda’s economy. Capital projects will be advanced to keep people employed while refreshing our infrastructure. A revised capital development plan will be produced, setting out targeted project expenditure to keep Bermudians working while the global economy recovers from the economic shock of the Coronavirus Pandemic.”
“The uncertainty of these times cannot be allowed to deter the efforts to promote diversification of this economy. Bermuda’s effective management of the Coronavirus and the rigorous testing regime at our borders has provided an avenue of growth which the Government will continue to exploit.
Mr. Speaker, this Government is determined to do all it can to stimulate this economy and create jobs for Bermudians as well as support the private sector in doing the same.”
Thank you, Mr. Speaker.