Pickersgill unveils plans for new power complex

Pickersgill

MINING AND Energy Minister, Robert Pickersgill, has unveiled plans for the development of a new power generating complex, providing approximately 120 megawatts of net power for the Jamaica Public Service Company (JPSCo) at competitive prices.

Speaking in the 2000/2001 Sectoral Debate in the House of Representatives last week, Mr. Pickersgill said the co-generation project would be a joint venture be-tween Petrojam Limited, Foster Wheeler Power Systems of the United States and the JPSCo.

The power, he explained, would be generated from Petcoke, a solid by-products generated from the upgraded refinery.

Disclosing that the estimated cost of the project was some US$500 million, the Minister said that a preliminary feasibility study was completed in October 1999. Indications from the study were that the project could precipitate an increase of about US$200 million in the value of the Petrojam refinery over the 20-year life of the project.

Mr. Pickersgill said financing arrangements should be completed within the next 12 to 18 months and the project should be realised by 2004.

He described the co-generation project as one of the "largest single investment" in the Jamaican economy, noting that about 200-250 persons would be employed during the construction phase and 30-40 persons employed in highly skilled jobs on a long term basis.

He said the project would in-crease the crude oil capacity of the facility from 35,000 barrels per day to 50,000 barrels per day and create a new higher value energy product in the form of electricity. It would also position the oil refinery to meet long-term environmentally driven fuel specifications, the Minister added.

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