Gov't renegotiates aspects of JPS' licence
The Government has successfully renegotiated some of the terms of the Jamaica Public Service Company (JPS) All – Island Electricity Licence. A statement from the Energy and Mining Ministry on Wednesday afternoon said the new terms of the licence will allow for the implementation of Power Wheeling, whereby a self generator can generate at one location and transport it for use at another location for its own benefit.
The cost for use of the electric grid and the price to be paid by self generator is to be determined by the Office of Utilities Regulation. Net billing will also be introduced where small producers of electricity will be able to receive remuneration for self-generated electricity that is supplied to the grid.
Another aspect of the renegotiated licence includes the movement from a cap of 15MW for renewable energy generation to the electric grid without being subjected to competitive tendering. The new provisions also allow for new generation capacity of up to 25MW to be connected to the grid and sell electricity to JPS without being subjected to competitive tendering.
The Energy Ministry said the new terms of the JPS’ licence would help Jamaica to achieve its fuel source diversification targets, facilitate investments in the energy infrastructure, create employment in green jobs and positively impact the country’s macro -economic objectives.