Explosion at Bermuda Electricity Company Causes Island-wide Power Blackout

HAMILTON, Bermuda (AP) -- A massive explosion at Bermuda's only electricity company triggered an island-wide power blackout for much of Thursday, paralyzing commerce in the British territory and international center for offshore insurance companies.

A systems failure at one of the power plant's transmission boards was believed to have caused the 3 a.m. (0700 GMT) blast, said company president Gary Madeiros. The privately owned company, BELCO, said it was investigating further.

Dozens of firefighters battled flames rising 60 feet (18 meters) for eight hours, bringing the blaze under control around midday. No one was injured.

Most of the island of 62,000 people plunged into darkness.

Motorists formed huge lines at gas stations and residents flocked to stores to stock up on emergency supplies. Police fanned out across the island to direct traffic, summoning reserve officers for help.

Most business remained closed, with many employees heading to the beach for the day. There were no disruptions at Bermuda's international airport, which operated on a power generator. The island's only hospital also had a generator and functioned normally.

Power started returning to parts of the island around noon, with about half the territory back on line by Thursday night, BELCO officials said. The company, which used a backup transmission board to restore power, said most of the island should have electricity by Friday.

Bermuda Premier Alex Scott canceled Friday's weekly meeting of the House of Assembly. The leader was awakened minutes after the explosion and convened a meeting of the island's emergency officials.

BELCO officials said it would take months and cost millions of dollars to repair the gutted transmission board.

Low taxes have helped make Bermuda a haven for thousands of offshore insurance companies. The 21 square-mile (54 square-kilometer) island lies about 800 miles (1,300 kilometers) southeast of New York City.