PCJ accepting bids for hydropower projects

Correction & Clarification

(PCJ) has clarified aspects of an article published in Friday’s Financial Gleaner under the caption, PCJ accepting bids for hydropower projects. It said the PCJ is accepting expressions of interest (EOI) for technical assistance and capacity building for the promotion and development of cost-effective small hydro projects, and not bids at this stage. The project is being jointly executed by the Ministry of Energy and Mining and the PCJ. The date for the submission of the EOI is Tuesday, December 6, 2011. The PCJ issued a request for proposals (RFP) to six shortlisted firms following on an earlier request for expressions of interest, which was advertised in July 2011. The RFP is for the conduct of prefeasibility/feasibility studies and not for construction as stated in the article. The Energy Security Project is being funded by the International Bank for Reconstruction and Development (IBRD) and not the Inter-American Development Bank (IDB). The article depicts a hydropower dam scheme which is not the type of project being pursued.

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Marcella Scarlett, Business Reporter

The Petroleum Corporation of Jamaica (PCJ) says it is now accepting bids for technical assistance for the implementation of two hydro-power projects aimed at reducing the cost of energy by increasing the use of renewable sources.

Bids from consultants will be accepted up to next Wednesday, December 6, although a spokesman for the PCJ said the deadline might be extended.

In addition, the PCJ said it has shortlisted six applicants to perform pre-feasibility and feasibility studies of the five hydro projects slated to be constructed in phase one.

They are expected to be sited in the Rio Cobre River in St Catherine, Spanish River in Portland, Morgan's and Negro rivers in St Thomas and Martha Brae River in Trelawny. Hydro plants in phase two of the project are expected to be sited in the Mahogany Vale River in the Blue Mountains, Yallahs and Wild Cane rivers in St Thomas, Green River in Hanover and Dry River in St Mary and Portland.

The hydro projects form part of a US$15-million energy plan being funded by the Inter-American Development Bank.

The Office of Utilities Regulation, Jamaica Public Service Company Limited, Jamaica Promotions Corporation, Ministry of Agriculture and Fisheries, National Land Agency, Planning Institute of Jamaica and the Bureau of Standards Jamaica are among the institutions responsible for implementing the energy policy.

The corporation said it was at a sensitive stage in the bidding process and, therefore, could not provide further details about the projects.

Nigel Logan, director of finance at the PCJ, said the project was part of the process of realising the energy-policy objective of increasing the country's renewable-energy supplies to reduce Jamaica's dependence on sources such as oil.

The energy-diversification objective will involve moving from an almost total dependence on petroleum to a strategic mix of natural gas, coal, nuclear and renewable energy such as solar, wind and biofuels.

Jamaica is aiming to increase the percentage of renewable energy used to 12.5 per cent by 2015, 15 per cent by 2020 and 20 per cent by 2030.

According to the country's energy policy, increased use of renewables will also result in lowering the level of air pollution, a smaller carbon footprint for Jamaica and better compliance with international conventions on climate change.

marcella.scarlett@gleanerjm.com