Monday, November 8, 2010

The $2.6 billion Baha Mar project will call for tens of millions of dollars in public infrastructure changes

High Baha Mar taxpayer costs...
Utilities prepare to carry out millions in work


By CANDIA DAMES Guardian News Editor
candia@nasguard.com


The planned $2.6 billion Baha Mar project will call for tens of millions of dollars in public infrastructure changes in a massive effort that is already being coordinated with the involvement of utility companies in The Bahamas.

The Bahamas Telecommunications Company (BTC), the Bahamas Electricity Corporation (BEC), the Water and Sewerage Corporation and Cable Bahamas are all in discussions with Baha Mar on how to handle the significant and costly rerouting the project would necessitate.

According to Prime Minister Hubert Ingraham, the government would need to borrow $50 million for its share of infrastructure costs connected to the project.

The 11th revision of the Baha Mar infrastructure designs show West Bay Street being rerouted at the Gaming Board with a new roundabout to be constructed at the Breezes SuperClubs hotel.

It also calls for the construction of several more roundabouts along the new West Bay Street, including a roundabout at Baha Mar’s golf course, one at a new road linking John F. Kennedy Drive to West Bay Street, another at Baha Mar’s commercial center and one at the Sheraton Resort.

The area now known as Cable Beach has a long history of involvement with local utilities. In fact, it is a landmark location for telecommunications infrastructure in The Bahamas.

In 1892, a telegraph cable connecting Jupiter, Florida to Goodman’s Bay was completed at a cost of 30,000 pounds in a joint venture between the Bahamas Government and Marconi Communications.

That cable gave Cable Beach its name during what was the start of telecommunications in The Bahamas. To this date, there remains much fiber optic cables in that area, including BDSNi, Bahamas 2, Acros interconnecting all telecommunications to the southeast islands in The Bahamas and also Haiti.

All these years after the first cable was laid, Cable Beach is not known for the cable laid from 1892. It is known for its upscale neighborhoods and for the current Baha Mar properties that line the strip.

The massive project would significantly impact the current telecommunications infrastructure in the area, but also other utilities like electricity, water and sewerage and cable (Cable Bahamas).`

The median along what is known as the strip is not just an area with aesthetic value. It is home to much of BTC’s infrastructure in that area. And all of that copper and fiber cable would have to be relocated.

Kirk Griffin, acting president and CEO of BTC, said the company also has three cell cites in the area that would be impacted.

“We pretty much know if there are no changes to what their (Baha Mar’s) proposals are what it is we have to do,” said Griffin, noting that this would cost “a few” million dollars.

Griffin said BTC is looking at different options for rerouting.

One is rerouting around the Prospect Ridge area.

While indicating that the undertaking would be significant, Griffin said it is nothing that BTC cannot handle.

“This is something that we are very much accustomed to and quite capable of doing,” he said.

Griffin added that BTC views the Baha Mar opportunity as beneficial because the company would be able to generate additional revenue.

He said BTC does not expect to have to pay for the work that must take place, but stressed that the company was awaiting final details on if and how the development would proceed.

BEC’s General Manager Kevin Basden said his corporation estimates that its work connected to the Baha Mar project could cost between $30 million and $40 million.

“We’re prepared to meet whatever is required,” Basden said. “We have the resources in house and we will couple that with where necessary.”

Baha Mar has reportedly requested that the planned two-lane road known as Corridor 7, linking John F. Kennedy Drive to West Bay Street, be developed as four lanes and all high voltage cables be buried.

Basden said BEC’s approach to the project would depend on whether it is a phased development.

“What I can say is the first order of business more than likely will be the construction of the new roadway and provision of a utility corridor,” he said.

“[What we would have to do is implement] new cables along the new road. Those new cables will then be utilized to replace existing cables along West Bay Street.”

BEC currently has high voltage cables that run along West Bay Street servicing customers in the area.

Basden said the important thing is going to be to maintain supplies for customers.

“Based on the information that we have received thus far all of our cables along West Bay Street will have to be relocated,” he said.

Additionally, BEC has two major transformers along the Cable Beach median that will also have to be relocated, as will a major primary substation at Cable Beach east of the Cable Beach Police Station, Basden pointed out.

According to Basden, the work would call for a generator upgrade to factor in load growth.

“So, it’s going to call for major works on the part of BEC,” he said.

Robert Sands, Baha Mar’s senior vice president of governmental and external affairs, said the developers are satisfied that they are advancing the planning of the infrastructure element of the project.

“We see this as a very seamless transition,” Sands said. “The development of the new West Bay Street does not impact the current West Bay Street.

“In fact, the new West Bay Street has to be totally completed before we begin to close a portion of the existing West Bay Street.”

Making a point that was also made by Griffin and Basden, Sands said residents do not have to be concerned about any disruptions associated with the development.

“We’re very happy,” he said.

“We’ve had excellent cooperation from the various government ministries, from the utility corporations and we’re advancing our work.”

11/8/2010

thenassauguardian