According to Jamaica’s Minister of Science, Technology, Energy and Mining the Hon. Phillip Paulwell, investor confidence is growing toward the potential for revenues from green energy in Jamaica. He said that the US$89 million 36.3 megawatt wind farm being developed at Potsdam, Malvern in St. Elizabeth is an indicator that Jamaica is ripe for direct foreign investment. The project represents the largest privately funded energy project in Jamaica and one of the largest in the Caribbean, according to BMR Jamaica Regional Director, Ava Tomlin who said that direct local spending has reached $J4.2 billion.
A call for RFPs conducted by the Office of Utilities Regulation (OUR) in 2013 returned a total of 28 proposals, from which the BMR Jamaica Wind Project was selected. A 20-year power purchase agreement between BMR Jamaica and the Jamaica Public Service Company (JPSCo) is expected to generate the lowest power sources available on the JPS system and will create jobs for 680 Jamaicans. Infrastructure will also get a boost under this agreement, as BMR has agreed to improve roads in the Malvern community.
Hon Paulwell stated: “We are happy to learn that Jamaicans make up 85 per cent of the workforce and that most of the schools in the area have also benefitted. This is very good for Jamaica. It is always a good thing when a foreign company can come to Jamaica and be this receptive…can be this community oriented…and can make such a huge difference in people’s lives”.
Despite the drop in oil prices, the government is committed to sourcing energy from renewable sources inherent to the island: solar, hydro and wind power. The island hopes to reduce dependency on oil imports even though currently the price point is the lowest it has been in a decade, from a peak of $0.42 to $0.24 per kW hour. Ms. Tomlin explained that foreign exchange savings from the project is significant for the Caribbean island, as well as helping to achieve the government’s plan for a 20% renewable energy by 2030.
To read more about renewable energy in Jamaica, click here.
