ENERGY Minister Phillip Paulwell

ENERGY Minister Phillip Paulwell is seeking legal advice from the solicitor general with a view to taking Contractor General Dirk Harrison to court over his report on the bidding process to implement the 381-megawatt energy project, according to a well-placed source.

Consultations, the newspaper was informed, are already underway between the solicitor general and the embattled minister, who is fighting to clear not only his name, but to repair any reputational damage that occurred to the country with the Inter-American Development Bank (IDB) reversing its position to support the 381MW project as a result of the contractor general’s report.

The Jamaica Observer was, however, unable to reach Paulwell last night for a comment.

The basis on which the minister can seek judicial review of the contractor general report lies in the legal response of the Office of Utilities Regulation (OUR) to the Office of the Contractor General’s special investigation report, the source said.

The OUR legal response, posted on its website, contends that the OCG erred in using the Government of Jamaica guidelines for consultancy tenders during its probe, whereas it should have used guidelines for Works Tenders. This, the source contends, is a serious error in law.

The OUR legal response further contends that the OUR conducted two distinctly different processes: an informal exploratory process in which expressions of interest were received, followed by a formal legal tender.

The source said that Energy World International (EWl), the company that eventually emerged as the preferred bidder to undertake the project, received Cabinet approval to be included after the deadline of the informal preliminary process but well before the commencement of the formal tender.

The sources said these two facts provided the foundation to apply for judicial review.

The project is to be built with a mix of EWI equity and multilateral funding. The imprimatur of the IDB is key to receiving the go-ahead for that funding.

It was Harrison’s first major report since assuming office in 2013. The report was issued on the same day that he issued the long-awaited Richard Azan report. But this isn’t the first time in recent years that a Government minister will be taking the OCG to court.

Transport Minister Dr Omar Davies last year sought leave for judicial review of a decision by the contractor general to monitor an oversight body set up by the minister to advise on the award of contracts to a public body.

The minister, however, withdrew the challenge.

Jamaica Observer;

AS the discussion about the building of a port at Goat Islands heats up, we note that the minister with responsibility for environment and climate change, Mr Robert Pickersgill, has been silent on the subject.

Minister Pickersgill’s absence from the debate is especially glaring because it was he, while on a five-day visit to China with Prime Minister Portia Simpson Miller and her team last August, who brought the matter into the public domain when he told representatives of China Harbour Engineering Company (CHEC) that the location was “now under very serious consideration”.

It’s glaring, too, given the environmental implications of building port facilities, with the accompanying infrastructure, in an area zoned for fish sanctuaries, game reserves, and housing what is perhaps the most pristine dry limestone forest in the region.

Housing, Transport and Works Minister Dr Omar Davies has been the one doing all the talking on this issue. To date, the most details the country has been fed about the much-talked-about project came in his presentation to Parliament last week Tuesday in which he outlined the basic scope of the works.

According to Dr Davies, the activities to be carried out under phase one include dredging and land reclamation, the construction of berths, warehouses, an industrial park, a container terminal, bridges, roads, pipelines, sewage lines and a sewage treatment plant.

CHEC intends, too, to build a coal-fired plant to avoid the high cost of electricity provided by the Jamaica Public Service Company.

While we maintain that environmental preservation and development do not have to be at odds with each other, we cannot overlook the effect of burning coal on air quality. In China, for instance, coal is used for about 65 per cent of its energy needs, but the Government is now seeking to cut its reliance on the fuel source by two percentage points a year.

Importantly, when coal is burned, it releases carbon dioxide, the main culprit in global warming and climate change.

On that basis, as Ms Dianna McCaulay rightly pointed out last week, the decision to allow such a plant in Jamaica is not in line with the country’s draft climate change policy. Neither does it appear to be in line with Vision 2030, which seeks to phase out fossil fuels to the point where 20 per cent of the energy mix will be supplied by renewable sources by 2030.

Surely, the apparent contradictions have not escaped Minister Pickersgill and the technocrats in his ministry. What, then, accounts for his silence?

Is the minister toeing the party line, or is he no longer committed to his oft repeated phrase “with climate change we must change”?

Jamaica Observer;

 

altMinister of Finance and Planning, Dr. the Hon Peter Phillips (right), in discussion with Minister of Transport, Works and Housing, Dr. the Hon. Omar Davies, before he closed the 2013/ 2014 Budget Debate in the House of Representatives on May 1.

The Government, through the Development of Bank of Jamaica (DBJ), has made some $360 million in loans available for the implementation of energy efficiency and renewable energy projects across various sectors.

 

Minister of Finance and Planning, Dr. the Hon. Peter Phillips, in closing the 2013/2014 Budget Debate on Thursday, May 1, in the House of Representatives, informed that residential customers can access up to $3 million.

The loans are available through financial institutions at an interest rate of 9.5 per cent and the money is repayable over eight years.