Divider

Article Details

WAPA Advances Infrastructure Projects and Financial Stability Measures

Mar 26, 2026

U.S. VIRGIN ISLANDS (March 26, 2026) – The Governing Board of the Virgin Islands Water and Power Authority (“WAPA” or “the Authority”) met today to take action on infrastructure projects and financial measures to maintain operational stability while critical repairs continue.

In his report, CEO and Executive Director Karl Knight outlined the recent transmission failures that impacted St. John and provided an update on the ongoing repairs to Unit 15 at the Randolph Harley Power Plant, which have contributed to rotational outages in the St. Thomas–St. John district. He said crews have been working extended hours to restore generation capacity and return the system to stable operation.

“Our teams have been working around the clock to stabilize the system,” CEO Knight said. “We understand the hardship these rotations create for families and businesses, and restoring stable generation remains our top operational priority.”

The Board and executive leadership recognized Employees of the Year Thyrone Decosta, Terminal Operations Supervisor in the St. Croix district, and Micah Smith, Substation Electrician 1st Class in the St. Thomas–St. John district, along with Manager of the Year Patricia Quinland, Assistant General Counsel. The Authority further acknowledged the retirements of Orville James and Joseph Wrensford for their combined more than 60 years of service to the people of the Virgin Islands.

On St. Croix, the Board unanimously approved time adjustments to major undergrounding projects, including work along Queen Mary Highway and the Hannah’s Rest corridor. To support the smooth execution of the Crucian Christmas Festival, field activities were rescheduled to minimize traffic disruptions during a peak period for both businesses and residents. These projects are designed to transition vulnerable overhead lines to underground systems, permanently hardening sections of the distribution network and reducing the likelihood of storm-related outages.

To ensure continued operational liquidity, the Board also unanimously approved a 12-month extension of the Authority’s lines of credit with Banco Popular through March 31, 2027. Knight noted that while infrastructure projects are largely federally funded, the Authority continues to manage day-to-day operations within the limits of the revenues it collects from customers.

“The [new] infrastructure is well funded. Where we are challenged is on the operational side of the financial equation,” Knight noted. “Our operations are limited by annual revenues generated from our customers, while we continue to manage legacy debt and the cost of maintaining an aging system.”

The Board postponed a vote on continued technical and contractual support from West Peak Energy, which has been assisting with the final completion of the Wartsila Phase II project and providing oversight.

CEO Knight also noted that delays in the release of certain federal recovery funds have slowed progress on several projects with direct benefits to customers and have strained some key partner relationships.

“We have pushed our projects as far as we can; the funding has not caught up,” Knight said. “There are real-world implications when bureaucracy slows the work that is needed to provide reliable service to our customers.”

Legal and personnel matters were discussed in executive session, and no action was taken.

WAPA will continue to provide regular updates to customers as repairs progress and as major infrastructure projects move toward completion.

 ###

DOWNLOAD PDF HERE