Kelly Tomblin, who has been the face of the Jamaica Public Service Company (JPS) since she joined the light and power company as president and chief executive officer in 2012, is on her way out of the company, and heading to take up the CEO position at the United States-based power company, INTREN, effective July 10.
Tomblin will take over the day-to-day running of the firm from Loretta Rosenmayer, the firm’s founder and current CEO, who will now chair the board of what has become one of the leading utility contractors in North America.
Up to press time, Tomblin was off the island and unavailable for a comment. However, 4-traders.com, a reputable international stock market and financial news website, said Tomblin had confirmed to them that she is to be the new CEO at INTREN.
“INTREN would not be what it is today without Loretta’s vision, leadership and unwavering commitment to high standards and values,” Tomblin was quoted by the website as saying. “I am honoured to lead the INTREN team and continue the progress evolving before me.”
According to reports, Tomblin was selected from a competitive selection process from a strong field of candidates.
“She is a highly impressive and respected executive known for her ability to build diverse, meaningful cultures in a collaborative leadership style. As a recipient of the prestigious 2016 Platt’s Global Energy CEO of the Year Award, Kelly topped an impressive list of finalists leading companies in the United States and around the world,” the website stated.
During her time at JPS, Tomblin introduced several energy saving projects, as well as the use of liquefied natural gas in the country’s energy mix, even as she guided the light and power company through a profound transformation.
“This evolution comes at an extraordinary time for INTREN,” a report quoted Rosenmayer as saying. “Our momentum is strong, and our management team and employees have built an exceptional company that is one of the most trusted and respected in the industry. I’m confident Kelly is ideally positioned for her new role to continue our growth.”
INTREN has been an innovative solution partner, dedicated to building and maintaining the infrastructure of the energy industry for more than 25 years, and has served many of the nation’s foremost utility companies, private contractors and developers, and municipalities and cooperatives.
President of the Jamaica Public Service Company, JPS, Kelly Tomblin, is rejecting claims that she’s using scare tactics to keep businesses from turning to renewable sources of energy.
In an interview yesterday on Nationwide This Morning, Chief Executive Officer of Solar Buzz Jamaica, Jason Robinson, accused JPS of using ‘scare tactics’.
This was in response to comments attributed to Ms. Tomblin in a recent Gleaner report that the company could be forced to raise electricity rates if its top customers leave the grid.
But speaking with Nationwide News yesterday, Ms. Tomblin sought to clarify the comments she made to the Gleaner newspaper.
She’s insisting she’s not using a scare tactics.
Ms. Tomblin says she would prefer companies stay on the power grid.
This, as the intermittent use of the grid is more of a burden on JPS than if a company were to be removed completely.
And, Ms. Tomblin says the JPS doesn’t build LNG plants contrary to Mr Robinson’s claim.
He’d said the light and power company has been offering to set up small LNG plants for large companies, which would also take them off the grid.
She’s also refuting his claim that JPS’s rates are going up.
CEO of Solar Buzz Jamaica, Jason Robinson, says the Jamaica Public Service Company, JPS, is using scare tactics to keep businesses from leaving the grid and turning to alternative energy.
In a recent interview with the Gleaner newspaper, JPS CEO Kelly Tomblin was quoted as saying that it could be forced to raise electricity rates if its top customers leave their grid.
Robinson says could mitigate any losses from clients who’ve switched to alternative energy by running a more efficient operation and doing more to combat theft.
He says JPS is already doing a lot to diversify its own fuel sources to keep energy costs down.
And, Robinson is also criticizing the power company for being hypocritical.
He claims JPS has been offering to set up small LNG plants for large companies, which would also take them off the grid.
Power utility boss Kelly Tomblin views Softbank’s acquisition of Fortress Investment Group, to which New Fortress Energy is affiliated, as positive for furthering plans to build out gas facilities in Jamaica,
American company New Fortress Energy is a gas supply partner to Jamaica Public Service Company (JPS).
Last November, the partners celebrated the commissioning of Jamaica’s first LNG-fired plant at Bogue in Montego Bay, and they are about to start development on another gas facility in St Catherine. In both cases, New Fortress invests separately in the gas-supply infrastructure, while JPS develops the power plant.
The marine terminal and gas power plant development at Old Harbour in St Catherine is to get off the ground “in a couple of weeks,” said Tomlin, the president and CEO of JPS, on Friday.
JPS secured funding locally for its plant, while New Fortress planned to finance the project themselves with cash rather than debt, Tomlin, who noted that the acquisition by Softbank means “they will have a lot more cash”.
New Fortress did not return Gleaner calls up to press.
Last Wednesday, the two parties jointly announced a US$3.3 billion deal for Softbank of Japan to acquire New York-based Fortress Investment Group. Fortress, which is co-chaired by Pete Briger and Wes Edens, said its senior executives would remain with the company.
“I am in dialogue with Wes Eden,” said Tomblin. “I am assured that this acquisition doesn’t harm the project and that also he is excited about this deal; and so too the members on the ground who work for New Fortress,” said Tomlin.
Asked about any other implication to Jamaica, she said there would be “absolutely none”.
New Fortress plans to build and operate a liquefied natural gas marine terminal and pipeline within the Portland Bight area or close to the Goat Islands, according to the environmental report released last year.
The project will be executed through affiliate NFE South Holdings Limited. The marine terminal will feed gas to the 190MW plant that JPS will be developing at Old Harbour.
However, Dennis Chung, the chief executive officer of the Private Sector Organisation of Jamaica (PSOJ), says if Government wants to divest its shares in JPS it might make sense, noting the valuation of the shares would be based on future prospects of the business.
Governor General Sir Patrick Allen, delivering the Throne Speech in Parliament on February 9, said the Government will this year begin the process of privatising its minority shareholding in JPS.
“The Government will take steps to ensure that there is broad retail and institutional participation and Jamaican owners in the divestment process,” he said, adding that an enterprise team will be appointed to lead it.
JPS is primarily owned by Marubeni of Japan and Korea East West Power Company, each of which holds 40 per cent interest.
Paulwell said the Government’s expressed plan to offload its shares in the power utility “doesn’t mean it’s going to happen as we have seen from last year’s Throne Speech”.
Notwithstanding that, “I am opposed to the divestment of the shares at this time because we would get the least possible value on those assets in JPS, largely because everybody is aware that 290 megawatt of JPSCo capacity will become scrap metal in a matter of time when the new 190MW plant is established.”
The 190MW plant to which he referred is the proposed gas-fired power station at Old Harbour Bay, St Catherine, on which construction is slated to start in early March.
“For me, the Government should participate in the new 190 (megawatt) plant which will preserve and enhance its value, and after that plant has been established, that’s the time you can think about selling the shares,” Paulwell told the Financial Gleaner.
“If you were to sell the shares now, we would end up not getting much because we owe JPSCo so much money now; so nothing will go to the government’s coffers, because any money we make from the sale will have to go and clear our debt with JPS,” he said.
He noted that the Government currently owes the JPS more than $2 billion in bills, including for street lighting.
“So if it were to sell the shares now it will be at a depressed value. The net effect would not mean anything coming into Government’s coffers,” said the energy spokesman.
What the Government needs to do is to participate fully in construction of the 190-megawatt plant, Paulwell said. “It will cost them about US$20 million in equity,” he said, noting that for that plant, the JPS has a 20-year power purchase agreement which guarantees that project a significant rate of return on the investment for 20 years.
“That is one of the safest investments you could make. Why would the Government not be a part of that? And at that time it could contemplate on how to dispose of its shares,” said Paulwell.
“And, in any event, if it’s going to do that, the Jamaican people must be the people to whom those shares are sold,” he said.
Chung indicated that in making the decision to divest its shares in JPS, the Government must know what is happening.
He said he did not see it as a big deal to divest the shares and make Jamaicans a part of the ownership.
Referring to Paulwell’s opposition to the sale at this time, Chung noted that valuation of the shares would be done based on what is expected in terms of business.
“If you know, for example, that you have a contract to sell twice what you sold this year, then you can build that knowledge into the valuation,” he said, adding that the valuation would also be based on future prospects.
He noted that shares are traded at a price-earnings ratio and sometimes can be valued at many times more than the book value of an entity.
“So it’s based on information that people have,” he said, adding that if investors believe they are going to make a killing “out of this thing, going forward, then you value the shares accordingly”.