Delta Petroleum signs 4-Year Contract with BVI Electricity Corp.

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The new contract between Delta Petroleum and the BVI Electricity Corporation (BVIEC) was signed in the nick of time to ensure the smooth supply of fuel to the Territory, and both entities explained that the final agreement came after tough negotiations.

The contract was signed on Saturday August 30, and a ceremony to inform of the agreement was held on 2 September. During the ceremony, General Manager of the BVIEC, Mr. Leroy Moses said that the tender for the contract opened on June 6, was evaluated; and resulted in Delta winning the diesel supply contract. He said that pricing influenced the Board’s decision in awarding the contract, but even though the company won on account of having the lower price they were still asked to make further reductions.

Chairman of the BVIEC, Mr. Ron Potter explained that this is the fifth successive fuel contract that Delta has signed. He said that the contractual time was increased from two years to four to ensure a supply of fuel for a longer period of time.

Managing Director of Delta Petroleum, Mr. Vernon Lake said that Delta has been supplying the Territory with fuel since 1984, and Delta has always strived to contribute to the BVI. He said that the contract is important because electricity touches every area of life; and nothing can be done without power. “The decision made by this Board is an important one, not because we were awarded the contract, but if you compare the prices (you will see)…We are not winning these contracts by luck, you make your own luck in life,” Mr. Lake said. Delta’s presence in the BVI dates back to the mid-1980s; since then the company has consistently proven its reliability and competitivity and as a result has signed several contracts with the BVI Electricity Corporation.

Regional General Manager, Mr. Bevis Sylvester explained that the signing on Saturday was necessary because the previous contract was set to expire the following day. He explained that the previous contract was a very trying experience for him and he noted that there were issues that arose that caused Delta to lose money, through no fault of its own.

In sharing the experience, Mr. Sylvester referred to an episode where Delta’s fuel was confiscated by Customs, and he explained that despite that major inconvenience his company was still able to meet its contractual obligations.

All of the speakers spoke proudly of the agreement which is said to have locked in the two entities so that the BVIEC will benefit from the agreed price despite any rise in fuel price due to unforeseen incidence in the fuel world.

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