Diesel Stockpiling Planned as WAPA Finalizes Fuel Contract Ahead of 2025 Storm Season

With the $77 million fuel supply contract between the V.I. Water and Power Authority and Peerless Oil expected to be executed within days, WAPA is preparing to build a reserve inventory of diesel fuel in advance of the 2025 hurricane season. WAPA CEO Karl Knight addressed the Public Services Commission on Tuesday, providing updates on the utility's ongoing fuel supply arrangements. “We're substantially completed with the drafting of the contract” with Peerless Oil, Mr. Knight stated. “We should have that executed, I'd say,” within five business days. In response to a question from PSC Chair Pedro Williams about storm readiness, Mr. Knight noted that current reductions in diesel demand could enable WAPA to build a reserve. “As long as we don't have hiccups in the propane system that requires us to burn diesel, we should start to slowly build some inventory as we head into hurricane season,” he said. This effort comes as Colorado State University’s latest forecast projects a notably a...