Aug. 28, 2008 — Virgin Islands Water and Power Authority (WAPA) Executive Director Hugo Hodge Jr. said he will consider a plan to reduce fuel costs proposed by Gemini Environmental Corporation, maker of the so-called magnetic molecular arrangement device (MMAD).
However, he said WAPA is still submitting data to the Pensacola, Fla. company, whose responses need to be reviewed before the MMAD system can be considered. If WAPA decides the system is worth trying, Hodge said its attorneys will need to draw up a legal document that indemnifies the authority in the event the system should damage a WAPA power generator.
Gemini Chief Executive Officer Christopher Walton addressed reporters Aug. 15, saying his patented 350-pound device has been used by private industry on natural gas generators, but never by a public utility using oil as WAPA uses. (See: "Malone Scheme Aims to Lower WAPA Fuel Cost.") Nevertheless, he was confident the device could be adapted.
Hodge said Walton is offering a no-cost 60-day trial period.
"To see what kind of results we get," Hodge explained at a WAPA board meeting on Thursday. "So we're entertaining that, although we're doing our due diligence as to whether the results they've had with natural gas would be mirrored with our type of operation."
Walton estimated his MMAD system could shave up to $12 million annually off WAPA's fuel costs. Gemini charges no up-front costs for its system but typically splits the savings with its customers.
MMAD is not an alternative form of energy, but is used to increase energy efficiency. Walton said it can likely be adapted to the generator within two hours to begin reaping immediate cost savings.
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