The government of the U.S. Virgin Islands has signed a five-year agreement with an Arizona-based energy company to help reduce the cost of power production.
Officials said Thursday that Vitol Americas Inc. will build propane storage terminals and convert turbines to process multiple fuels as part of a $100 million project.
Water and Power Authority Director Hugo Hodge Jr. said the conversion from fossil fuel to propane will lead to a 30 percent reduction in utility bills and reduce emissions by 20 percent.
The project is expected to be operating by September 2014.
Copyright 2013 Associated Press. All rights reserved.