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Government to review LNG proposals Jamaica

Published:Monday | June 27, 2011 | 1:14 PM

Jerome Reynolds, Gleaner Writer

The Government is set to begin looking at proposals geared at moving ahead with its plans to set up a Liquefied Natural Gas (LNG) facility in the island.

The Government’s plans to establish a terminal hit a snag after the Office of the Contractor General (OCG) said it had uncovered irregularities in the bidding process.

Exmar Consortium had emerged as the preferred bidder for the construction of a floating storage and re-gasification unit for LNG.

The OCG said the entire tender process for the project has been compromised and recommended that it be aborted and the tender process revised.

However, Prime Minister Bruce Golding said despite the delays by what he has described as procurement procedural issues, the Government is moving ahead with the LNG project.

The Prime Minister, who was addressing supporters at a Jamaica Labour Party’s (JLP) west Portland constituency conference last night, said proposals on moving the LNG project ahead will be deliberated at today’s meeting of the Cabinet.

The Government’s plan to introduce LNG is aimed at diversifying the country’s energy mix with a view of reducing the island’s dependency on oil and to cut the cost of electricity.