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Jobs JPS News

JPS gets personal with customers

October 8, 2012

JAMAICA Public Service Company’s President & Chief Executive, Kelly Tomblin, has announced the appointment of 15 new parish managers as part of her efforts to transform the light and power company into a more customer-centred organisation.

The parish manager appointments form part of a comprehensive organisational restructuring currently in progress at JPS.

“We are changing the way we serve our customers,” Tomblin said in a statement issued by the island’s major electricity provider yesterday.

“We are decentralising our operations, so that decisions about serving our customers in the parishes no longer need to be made at the head office. Our aim is to create a more personal connection with our customers, so we are strengthening our service delivery capabilities at the local level.”

In this regard, JPS has also appointed three new directors who will have oversight for its regional operations. Omar Sweeney, who was most recently at the Planning Institute of Jamaica, will be responsible for JPS’ Eastern region; Keith Garvey, previously general manager of the Rural Electrification Programme (REP), is JPS’s new director of Region South; and Blaine Jarrett, previously director of transmission services at JPS, will now head the company’s Western operations.

In addition to two of its new regional directors, almost half of the newly appointed parish managers are from outside of the company.

“The recruitment of business executives and professionals from outside the organisation is the first phase of our organisational transformation,” Tomblin said.

“We are excited about the new direction that JPS is taking, and the value and new perspectives that these new executives will bring. Our customers will definitely be seeing and feeling the new JPS before long,” she said.

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Government Jobs LNG News

LETTER OF THE DAY – LNG Frolic A Bitter Pill For Taxpayers

October 8, 2012

THE EDITOR, Sir:

I applaud the Government, any government, for having the vision to seek out new approaches and modalities in attempting to address the myriad challenges we face as a growing nation. I am, however, puzzled that it took us spending all of US$2.8 million (J$252 million at today’s rates) to learn that, according to Energy Minister Phillip Paulwell, the liquefied natural gas (LNG) project is not feasible!

My problem with all this is, had these politicians been running their own businesses, would they be prepared to expend all those resources to come up with such results? I think not.

Over and over we see this trend in Jamaica where one government starts a project with significant outlay of public funds (usually borrowed money), only to see a succeeding administration shelve or abandon it, with little regard for the expenditures already incurred. And we wonder why we are carrying such a burdensome debt load with little to show for it?

We must demand an immediate accounting and disclosure to the nation of the J$252-million expenditure on this LNG project. Nothing less will suffice.

When I think of the number of rural roads that could be fixed, toilets that could be placed in rural schools to expose children to 20th-century sanitary conveniences, or school furniture that could be repaired in order to provide basic comfort to our children in the learning environment, it pains my heart deeply.

But what hurts even more is that these same children will be forced to help repay this borrowed money later, despite not enjoying any benefit from its expenditure.

CARL BLISS

cabliss@flowja.com

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News Oil

Oil rebounds from 2-month low

October 5, 2012

Oil prices rebounded today, from a two month low, to a two month high, as tensions between Syria and Turkey fanned concerns, that exports from the Middle East may be curtailed.

Lawmakers in Turkey gave their government a one year mandate for possible military incursion into Syria, after explosives from Syria killed Turkish citizens.

The tension saw prices jumping by 3 dollars 57 cents, erasing almost all of yesterday’s 3 dollars 75 cents loss.

It pushed the price of oil up, by 4 point 1 percent, to 91 dollars 71 cents a barrel.

It was the biggest increase in oil prices since August 3, and means prices are up 15 percent, since the start of the year.

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Alternative Energy Government JPS LNG News Oil

Paulwell: JPS to source LNG

October 4, 2012

ENERGY Minister Phillip Paulwell says that the Jamaica Public Service Company (JPSCo) will now be responsible for sourcing the Liquified Natural Gas (LNG) needed to fuel its new generation plant.

“We are very confident that with the tremendous international reach that Marubeni and East West Power (JPSCo parent company) have, they are quite capable of doing this on their own,” Paulwell told journalists at yesterday’s Jamaica House press briefing at the Office of the Prime Minister in Kingston.

He said the recent discussions in Japan resolved that JPSCo would be fully responsible for ensuring that the generation plant is properly fuelled.

He explained that the light and power company received a licence last year to establish 360 megawatts of new generation driven by natural gas. However, he said that the Government interceded and attempted to get the fuel to the plant by way of FSRU pipeline and LNG supply.

“JPSCo has now accepted full responsibility for that,” he declared.

As to concerns that JPSCo could be forced to use diesel if it is unable to source LNG, resulting in higher electricity costs, Paulwell said the issue was raised in the discussions.

“The intention now… is from day one that gas will be the fuel that will be used at this plant and the only time we should contemplate using diesel is in the event of a hurricane when you have to move out the FSRU unit for a couple days,” he said, adding that this has been accepted by JPSCo.

In relation to JPSCo’s guarantee that using LNG will result in lower electricity costs for consumers, Paulwell said that the Government

Government Jobs News

Gov’t gives up US$7 million in bauxite levy

October 4, 2012

GOVERNMENT is giving US$7 million (approx J$630 million) in revenues to the Russian-based aluminium producer UC Rusal, under a one-year waiver of the bauxite levy, Energy Minister Phillip Paulwell announced yesterday.

The minister, who was speaking at yesterday’s Jamaica House press briefing at the Office of the Prime Minister in Kingston, said the concession was a win-win situation for all.

“If we didn’t do that I believe the scenario would be quite different today. We wouldn’t have the US$7 million, plus we wouldn’t have the 600 jobs or the production,” Paulwell said.

“We (Jamaica) are now going to be part of the base location for UC Rusal and we will no longer be affected by the swing of supply and demand,” Paulwell said.

He told reporters that a similar deal would have kept the Kirkvine plant in Manchester open if it was not rejected by the previous administration. “In 2010 a similar approach was made to the then government and it was not pursued and that plant is still closed today,” Paulwell said.

It was not immediately clear what proposal was put to the former Jamaica Labour Party Government by the bauxite giant and what was put on the table by the then administration.

In the meantime, Minister Paulwell said no deal has been struck with UC Rusal for its other two plants — Alpart and Kirkvine — because the Government had no sweeteners to offer. “For three years Kirkvine and Alpart have been closed, so there is no levy concession to offer as a sweetener because right now they are not paying anything,” Paulwell said.

The minister announced in Parliament Tuesday that the Government had signed a concessionary agreement to waive the bauxite levy on UC Rusal’s operation at Ewarton, St Catherine from October 1, 2012 to September 30, 2013. He said, too, that an agreement was reached for the employment level at the plant to remain at the current 600 jobs during the period of the concession.

UC Rusal, Paulwell announced, would be investing US$100 million (J$9 billion) in the facility for the construction of a coal-fired electricity-generating plant. Construction is expected to begin next year and earmarked for completion in 2015.

“We wanted a similar definitive timeline for Kirkvine and Alpart, but we are some distance away as it relates to our position and theirs, and that is why the negotiations continue and by the end of November I will report to the country,” he said. Both plants, he said, would also need to have an energy solution as this will help in the creation of more jobs.

“We are seeing with the coal plant at Ewarton, 800 jobs being created, and so if a similar approach is adopted then even before the refinery is established you can have jobs being created by virtue of the energy transformation that has to take place,” he said.

The Government, he said, has given its support to the company to pursue energy options in accordance with the country’s National Energy Policy as well as local environmental standards.

He announced that Cabinet has also authorised negotiations for the sale of the Government’s seven per cent shares in Windalco. He said these negotiations should be completed in November.

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Alternative Energy Government LNG News

Increase use of alternative energy sources

October 4, 2012

MONTEGO BAY, St James – TOURISM and Entertainment Minister Wykeham McNeill has challenged stakeholders in the sector to augment alternative energy supply sources and expand the use of supporting energy in a collaborative effort to keep the industry buoyant.

“As a sector, I am encouraging all our tourism partners to do what you can incrementally and over time to expand your energy options and increase your use of sustainable energy,” McNeill charged.

Sandals Resorts International (SRI) Director of Administrator and Business Processes, Wayne Cummings (left) and Tourism Minister Wykeham McNeill are locked in discussion following World Tourism Day Luncheon held at Sandals Montego Hotel, last week. (Photo: Kenroy Pringle)

“I want to encourage our tourism sector partners to seriously explore the use of alternative and sustainable energy sources, in our collective efforts towards the future sustainability of the tourism industry“.

Meanwhile, former President of the Jamaica Hotel and Tourist Association (JHTA) Wayne Cummings noted that for a downward trend in energy costs to be realised, an energy policy would have to be written, “agreed to, and we all stick to it”.

“So we need to figure it out and make it known to everybody,” Cummings argued.

Cummings, who is also the Sandals Resorts International (SRI) director of administrator and business processes, was speaking during a World Tourism Day Luncheon held at the Sandals Montego Hotel, where McNeill, Junior Minister in the Ministry of Tourism and Entertainment Damion Crawford and other tourism officials, were in attendance.

Prior to the luncheon, the party toured a villa at the resort in which suites are fully powered by solar technology, allowing for the harnessing and storing of energy to power sections of the resort’s operation, through a pilot project undertaken jointly with Panasonic.

Paul Grey, head of ATL Energy and Engineering, said with the US$100,000 investment, savings of up to US$120,000 could be realised within a decade.

In the meantime, conceding that the cost of establishing alternative energy sources will be costly at the beginning, the tourism and entertainment minister also underscored the need to retrofit, among other solutions.

“We have entities of varying sizes and I realise the initial costs involved may seem daunting, but it may be that you need to retrofit your bulbs, install solar panels, implement waste water management systems plus a myriad of other solutions,” McNeill noted.

He further noted that energy strategies should form a major plank of each entity’s Environmental Management Policy.

“So today (Thursday) is a good time to once again seriously consider plans to implement energy solutions in a manageable form that will allow you to monitor the performance and provide real readings on the effect on your bottom line,” McNeill remarked.

“Let each and every one of us play our part in ‘Powering Sustainable Development‘ to the benefit of our sector, our society and nation at large”.

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