Battle to be BVI bulk water supplier

Consolidated Water has been riding high as the BVI’s bulk water supplier for almost 20 years. It is amazing no one tried to topple them sooner

When Ocean Conversion completed its 0.7MGD (2,650m3/d) Bar Bay desalination plant in 2007 at a cost of $8 million, the hope was that a firm offtake agreement could be reached with the minimum of fuss. Now, with a long-term water contract still not signed, the future viability of the plant has been cast into doubt by a proposal from Biwater to design, build, finance and operate a 2.3 MIGD (10,450m3/d) seawater desal plant at Paraquita Bay, just a few miles to the west. Biwater claims it can sell desalinated water to the government at $6.85/1,000IG ($1.51/m3), which compares to the $24.33/1,000IG ($5.35/m3) that OC-BVI is currently charging at its Baughers Bay plant on Tortola. OC-BVI has repeatedly offered to lower its bulk water tariff, but the BVI government appears to be taking no notice. Biwater, meanwhile, essentially views the contract as a done deal. Biwater’s intention is clearly to put OC-BVI out of business on Tortola.

The company believes that the dilapidated Baughers Bay plant – now under government ownership – will simply be maintained as a back-up facility, and that the new Bar Bay plant will become redundant as soon as Biwater’s plant comes online. The company told GWI that its proposal is intended to “ensure 24-hour supply to the island and meet marina and cruise ship demand, with short- to medium-term increases in demand being met via loss reduction rather than additional capital works.” The real sweetener in the deal is that Biwater has also offered to construct two wastewater treatment plants on Tortola – one 15,000 p.e. facility in the capital Road Town, and a smaller facility at Paraquita Bay. To pay for the extra capital works, Biwater has proposed setting the potable water tariff at $12.90 for the first ten years – just over half what OC-BVI is charging for its desalinated water.