(Jamaica Observer) Cabinet has given approval for two energy-generation projects, totalling 330 megawatts, which will increase the country’s electricity generation capacity and reduce the cost to consumers.
The aim is 380 megawatts, however, the 50 megawatts expected from JAMALCO is now uncertain following the Noble Group’s takeover of Alcoa’s shares in the company’s operations last December.
Approval was given to the Jamaica Public Service Company (JPS) for the replacement of its 292 megawatts of heavy fuel oil power plant at Old Harbour in St Catherine with a 190-megawatt gas turbine generation plant, while Alpart got the green light to build a 140-megawatt gas turbine cogeneration facility at Nain, St Elizabeth.
“It (JAMALCO) is still included in the equation that we are considering (but) we cannot be definitive about that equation this morning because of the change in ownership at JAMALCO,” chair of the Electricity Sector Enterprise Team (ESET) Dr Vincent Lawrence told Tuesday’s Jamaica House press briefing.
Lawrence disclosed that the ESET’s appraisal of the JAMALCO project has been set back as Noble wants to review the proposals left by the previous owners and devise its own plan.
“Noble Group has indicated a definite interest in energy solution but they want to review and analyse and make their own decisions.
They are leaning very heavily towards what ALCOA had recommended, but they are also re-analysing and ensuring that it’s best for what they would want to do as the new majority partners,” Lawrence told journalists. Noble is expected to make its decision known by the end of this month.
