The U.S. Virgin Islands is a great place to vacation. What’s not so great are the island’s electricity rates. Rates in this popular vacation spot are among the highest in the U.S. The Islands rely primarily on imported fossil fuels to power their energy needs and given their remote location this sometimes leads to shortages and therefore blackouts. With the energy grid often stretched, high fossil fuel costs and increased reliability concerns, there’s greater appeal and demand for distributed generation.
One thing the Islands have no shortage of is sunlight!
Genability recently analyzed the tariffs belonging to the local island’s utility, Virgin Islands Water and Power Authority, and found that the solar avoided costs approached over 50 cents per kWh. In the rest of the U.S., opportunities present themselves when rates are around 15-20 cents per kWh. As rates continue to rise and solar prices continue to decrease, expect to see more solar panels when you’re sipping your Mai Tai on your next Caribbean vacation.