Grenada is poised to deliver critical upgrades to its national electricity network and accelerate its shift to renewable energy, backed by a landmark collaborative financing initiative led by the Caribbean Development Bank (CDB). The multi-million dollar investment will fund the construction of a utility-scale Battery Energy Storage System (BESS) at the country’s Maurice Bishop International Airport, a project designed to address longstanding grid stability gaps and remove barriers to wider clean energy adoption.
The financing package brings together grant and loan commitments from a coalition of global development partners, coordinated through the CDB. The bank is managing a combined $3 million in grant funding contributed by the United Kingdom’s Foreign, Commonwealth and Development Office (FCDO) and the European Union (EU). Complementing this grant support, the Government of Canada has committed a $5.7 million concessional loan through its Supporting Resilient Green Energy (SURGE) in the Caribbean programme. The World Bank is also contributing parallel financing to deliver complementary battery storage infrastructure and targeted grid modernization works, ensuring all new assets integrate seamlessly with Grenada’s existing energy network and align with the country’s long-term upgrade roadmap.
CDB Director of Projects L. O’Reilly Lewis highlighted the collective impact of cross-institutional partnership in advancing shared climate and development goals. “This project is a powerful example of what can be achieved when multilateral banks, national governments and international development partners align around a common vision for a cleaner, more sustainable future,” Lewis said. “We are proud to lead this collaboration, and we expect this investment to deliver lasting gains for Grenada’s energy security and climate-smart economic development.”
The EU emphasized that the investment is a core component of its broader commitment to supporting Caribbean energy transition under the bloc’s Global Gateway infrastructure initiative. Kyle Farnum, Energy Programme Manager at the EU Delegation to Barbados, the Eastern Caribbean States and the OECS, noted that reliable, accessible power is the foundation of resilient national economies. “This BESS project does more than just expand Grenada’s renewable energy footprint – it guarantees that clean power is available when consumers and businesses need it most,” Farnum explained. “It is part of a comprehensive, long-term partnership between the EU and Grenada that spans multiple clean energy technologies, all aligned with our shared climate goals.”
For the United Kingdom, energy storage is a non-negotiable building block for creating more resilient power systems across the Caribbean’s small island developing states, which are disproportionately vulnerable to climate change and volatile global fossil fuel markets. Tom Coward, UK Development Director for the Caribbean and Executive Director at the CDB, noted that the project advances the UK’s regional ambition to build low-carbon, climate-resilient energy infrastructure. “Energy storage is the critical missing link that unlocks the full potential of variable renewable energy sources like wind and solar, while keeping grids stable and strengthening long-term energy security,” Coward said. “For small island nations like Grenada, expanding storage capacity is a vital step to cut reliance on costly imported fossil fuels, boost climate resilience, and lay the groundwork for sustainable, secure economic growth.”
Canada reaffirmed its ongoing commitment to supporting climate adaptation and mitigation across the Caribbean through the SURGE programme. Her Excellency Brenda Wills, High Commissioner of Canada to Barbados and the Eastern Caribbean, said the investment reflects Canada’s focus on delivering practical, climate-smart solutions that deliver tangible benefits for regional communities. “This $5.7 million investment in BESS supports Grenada’s goals to strengthen energy resilience and advance low-carbon development, while advancing our shared regional priorities to cut emissions and reduce climate risk,” Wills said. “Through partnerships with the CDB and other global institutions, Canada is working to advance sustainable growth across the Caribbean that puts community needs first.”
Grenada’s government has welcomed the initiative as a transformative step toward meeting the country’s climate and energy security targets. Peron Johnson, Permanent Secretary in Grenada’s Ministry of Climate Resilience, the Environment and Renewable Energy, thanked the CDB and its partner institutions for their sustained investment in the country’s clean energy future. “This BESS project is a game-changing investment that will dramatically strengthen the reliability and resilience of our electricity grid, make it easier to integrate larger volumes of renewable energy, and move us closer to our national goal of cutting dependence on imported fossil fuels,” Johnson said. “It demonstrates just how much strategic, multi-stakeholder partnerships can achieve in advancing Grenada’s climate resilience, energy security and sustainable economic development, and brings us one step closer to a cleaner, more affordable and more reliable energy future for all Grenadians.”
Per the CDB’s project framework, Grenada Electricity Services Limited (GRENLEC) will oversee on-the-ground implementation of the BESS project through a subcontracting model designed to build local operational capacity while upgrading the country’s core energy infrastructure. The initiative is part of a broader, long-term investment programme aimed at boosting the resilience, reliability and renewable energy capacity of Grenada’s entire energy sector. It also aligns with the priorities laid out in the CDB’s 2026-2035 Strategic Plan, which identifies investment in resilient, sustainable energy systems across the Caribbean as a core institutional priority.