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[Logo’s, etc.] Acknowledgements This draft National Energy Policy was prepared by the Ministry of Public Works, Utilities, Energy and Housing of the Federal Government of St. Kitts and Nevis with the support of the Organization of American States, Department of Sustainable Development and German ProfEC GmbH under the scope of the Caribbean Sustainable Energy Program (CSEP) funded by the European Commission under the 1st funding cycle of the EU Energy Initiative (2006-2011). Table of Contents Foreword 5 Vision 5 National Energy Policy Rationale 5 Guiding Principle 5 Policy Document Structure 6 A. Energy Sector Digest 7 St. Kitts and Nevis Energy Situation and Challenges 8 1.1 Energy Sector Structure 8 1.2 Energy Supply 8 1.3 Energy Conversion and Distribution 12 1.4 Energy consumption and demand 15 1.5 Response to the Energy Sector Challenges 21 1.6 Renewable Energy Potential 23 B. National Energy Policy 26 1. Vision and Strategy 27 1.1 Vision 27 1.2 Principles and Strategy 27 2. Policy Objectives and Statements 28 2.1 Energy Sector Management 28 2.2 Diversification of Energy Supply 29 2.3 Electricity Generation 31 2.4 Transportation 31 2.5 Energy Use 32 C. National Energy Action Plan 34 1. Introduction 35 2. Implementing the National Energy Policy – Tools and Actions 36 2.1 Energy Sector Management 36 2.2 Diversification of Energy Supply 45 2.3 Electricity Generation 46 2.4 Transportation 48 2.5 Energy Use 51 Foreword Dear reader, This National Energy Policy is intended to clarify the position of the Government of St. Kitts and Nevis regarding the nation’s energy development. It is also intended to foster the development of an appropriate legal, institutional and economic framework as well as management mechanisms for enabling sustainable and sound economic energy activities and services. The overarching goals are strengthening the competitiveness of the economy of St. Kitts and Nevis, establishing/transitioning to a strong position as a

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