FOSRICH is batting for the Government to push ahead with a policy to require new developments to have integrated renewable energy solutions, such as solar photovoltaic systems, to help reduce Jamaica’s fossil fuel demand while generating clean energy.

Cecil Foster, managing director of FosRich Company Limited, made the call as his company inked a deal last Friday with realty company Keller Williams Jamaica to supply it with solar photovoltaic systems for its future developments.

“The time has far gone. When Jamaicans are building, we shouldn’t be building without renewables so I think all of us, with the force that we have as a group, we should take this message to the Government and say ‘Listen, enough is enough.’ Jamaicans need relief from the use of oil, and so on, that sometimes [in terms of prices] just go through the roof. We need to be serious about it! This is a demonstration that FosRich is serious about it and we have partnered with a company that has exhibited the characteristics that say they are serious about it,” Foster told the Jamaica Observer at the signing ceremony.

The Business Observer reached out to Matthew Samuda, minister without portfolio in the Ministry of Economic Growth and Job Creation who has in his portfolio the responsibility for the environment, who confirmed that such a policy is being crafted. Samuda, however, didn’t get into details because the document has not been presented to Cabinet as yet, but hinted that it could be presented to his Cabinet colleagues sometime in September.

The renewed push comes as oil and gas prices have soared in 2022, pushing Jamaica’s fuel bill up 48 per cent for the first four months of 2022 to more than US$705 million, according to the Statistical Institute of Jamaica (the Government agency which collects, collates and distributes economic data).

Oil came close in March to an all-time high of US$147 after Russia’s invasion of Ukraine exacerbated supply concerns. Concerns about a global recession, rising inflation, and weaker demand have since weighed on prices, pushing West Texas Intermediate — the price which Jamaica uses as its benchmark — to around US$92.70 a barrel on Tuesday. The global benchmark, Brent crude, was hovering at around US$99 per barrel on Tuesday.

At the same time natural gas, the fuel used to generate electricity for two-thirds of the grid, has seen its price surge 80 per cent since June to US$9.95 per million British thermal unit — the highest it has been since 2008 according to a report on CNN. The run up in natural gas prices in the US is due to increased energy use during heatwaves, demand from Europe as countries try to stock up for winter, with Russian supply uncertain and production lagging .

FosRich deal

“It was a no-brainer,” said Michelle Watkis Robinson, a real estate broker with Keller Williams, about the deal with FosRich. “Our main core is not just to find homes but to provide solutions for our clients that will provide a great return on investment,” she added in specific reference to the plan to integrate solar photovoltaic solutions in developments to be undertaken by Keller Williams.

FosRich, under the deal signed with Keller Williams, will supply the realty company with Huawei FusionSolar residential smart photovoltaic systems which integrate digital and Internet technology with residential solar technology. The system has a built-in plug-and-play battery interface and smart home energy management, which allows individuals to track and manage energy usage with a smart device.

Keller Williams is to integrate the systems in its Savannah Vista phase two development in Runaway Bay, St Ann.

“What we have looked at is the coverage Keller Williams has right now, and they have brought to the table approximately 190 units that we are presently working with them on to see if all of them can be outfitted with solar panels [to generate electricity]. We feel comfortable that they all will be carrying the solar panels on top of their roof in a short while and that’s where we are,” Foster told the Business Observer.

“It now gives FosRich, who is our tier one partner in Jamaica, the legs to go out there and speak to everyday Jamaicans — who are purchasing homes — about solar and investing in solar for their properties. So this partnership with Keller Williams will help to really transform the business here in Jamaica and we will all be better for it. Jamaicans will be better for it. FosRich will be better for it. And, of course, Huawei and Keller Williams will be better for it,” added Courtney Hamilton, director of enterprise business group, Huawei Jamaica. In his role, Hamilton has responsibility for the northern Caribbean, except the Dominican Republic and Cuba.

“I strongly believe that when it comes to renewables we cannot live on an island — where we have no control over the price of energy when it comes to fossil fuel — and we are not investing in the renewable energy here that we have at our disposal,” Hamilton continued.

As a tier one partner, FosRich is tasked with developing the market for solar panels from Huawei. The company has engaged in training technicians to do the installation. Currently, two packages are on offer to Keller Williams under the deal that was signed last Friday.

One solution is for a 5kwh system which costs US$11,699 and generates about 363 kwh per month. The other solution is a 10kwh system which costs US$14,699 and generates 466kwh per month. FosRich says that though the return on investment varies with usage, consumers who use it should see the returns in about five years. FosRich’s deal, for now, is exclusive to Keller Williams.

“It is a day which we really look forward to when we formed this partnership. FosRich is a company that has existed for the last 28 years and we are very serious about bringing value and solutions to Jamaica. So when we went renewable energy, especially solar, and in particular when we partnered with one of the world’s leading inverter and solar energy companies, Huawei, we want Jamaica to benefit from the solutions that they have that the world is benefiting from. And so, making the products available, making the information that would cause people to make the right decisions available, is what we want,” Foster explained.

The parties to the contract are also banking on the Government’s aim to build tens of thousands of new homes over the next few years as a target market for more of the solar photovoltaic systems.

“The environment minister has also expressed a desire to have new homes of a certain size with solar to take advantage of that natural resource. When we put those things together, no wonder FosRich would see it as very beneficial to partner with Keller Williams who has over 200 agents in the field talking to customers about housing solutions. What a perfect match those two will be,” Hamilton said.