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JPS awaits meeting with Paulwell before commenting on LNG shift

Published: Sunday September 23, 2012 | 7:56 pm Comments 0

The Jamaica Public Service Company (JPS) says it is waiting to meet with Energy Minister Phillip Paulwell before commenting on what contingencies will be implemented amid reports of the Government’s decision to abandon plans to introduce liquefied natural gas (LNG).

Sources close to the discussions have confirmed that Minister Paulwell, who is currently in Japan on government business, is expected to make the announcement in parliament early next month and that he may also announce a new plan.

The decision may set back the country’s efforts to diversify energy sources and lower fuel and production costs.

JPS’ Chief Executive Officer, Kelly Tomblin, says the light and power company hopes to meet with the minister at the earliest possible time this week to hear the Government’s official decision. She says the company is prepared to look at all options.

She says JPS will go ahead with its plans to build its multibillion-dollar plant in Old Harbour, St Catherine, but she says the shape of the development would be dependent on how the government now intends to participate in the project.

Gleaner sources have said the Government is likely to revert to plans B and C, which will see the JPS being allowed to establish the LNG infrastructure and source the gas for the Old Harbour plant.

As part of the plan, JPS would sell LNG to alumina producers, which have long argued that the high price of electricity in Jamaica makes production uncompetitive.

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