Legislation opening up the Island’s power generation sector to competition has been tabled in the House of Assembly.

The Electricity Bill 2015 will also provide for a new regulatory framework to oversee the Island’s electricity production and distribution.

It will transfer control from the Energy Commission to the Regulatory Authority. Using an integrated resource plan, electricity planning will no longer be the domain of the utility company alone, according to Grant Gibbons, the Minister of Economic Development.

The new framework categorises the electricity sector into three sub-sectors: transmission and distribution, generation, and self-supply.

Belco, the present incumbent utility, will hold two licences — one for transmission and distribution, which will be the only licence of its kind, and one for bulk or large-scale generation, which will likely be “one of several licences of its kind”, Dr Gibbons said, adding: “Simply stated, the Bill opens up the generation sector to competition.”

Dr Gibbons said the plan would require the utility to procure the least costly, most reliable, most sustainable sources of electricity.

“Bermuda will have a more diverse energy portfolio as we move into the future,” he said. “Electricity planning will no longer be the domain of the utility alone, but will be open to public input and ultimately owned by the Regulatory Authority.

“This process is leading edge, and used in parts of Canada, the United States and Europe, and provides a transparent means by which policy is implemented.”