CLIVE Mullings, the Opposition spokesman on telecommunications, mining and energy, says Jamaica should be looking at ‘cheaper’ fuel options such as compressed natural gas or methanol, and forget about the recently signed Memorandum of Understanding (MOU) between Jamaica and Venezuela for the provision of Liquefied Natural Gas (LNG).

“I believe LNG is not the way to go because it requires too much expenditure. To go that route would require tremendous expenditure that we cannot afford,” Mullings said Tuesday night, at the end of his address to Generation 2000 (G2K)forum at the party’s Belmont Road headquarters.

“It is time for us to look at those options [compressed natural gas or methanol] because of the size of our economy, the issues of safety and the fact that we have to bring down the cost of electricity so our manufacturers can produce and be competitive,” Mullings told the Observer.

Mullings warned that the government’s “pre-occupation” with LNG will be very costly, as the entire process – including electricity cost, special transport ships and trains, and long term-contracts – could incur costs of US$1 billion from start to finish.

Jamaica and Venezuela recently signed a memorandum of understanding (MOU) for the South American country to supply the island with liquefied natural gas (LNG).

Mullings told the meeting of young Labourites that the minister with responsibility for the sector was unable to provide any details on the MOU with Venezuela on Tuesday during a question and answer session in Parliament.

According to him, what emerged from the question and answer session in Parliament, was uncertainty as to when Jamaica would receive LNG and at what price, and also uncertainty as to the effect on the planned expansion by JAMALCO.