Prime Minister Andrew Holness has signalled that his Administration will soon roll out a strategy to drive greater investment into renewable energy, acknowledging growing pressure from manufacturers who say high electricity costs continue to hold back production and growth.

The announcement, which was made at the official launch of the MJS Technology Park in Spanish Town on Tuesday, comes as the Government steps up its economic messaging ahead of the general election expected by September.

Holness pitched the upcoming energy plan as the next phase of a broader effort to reduce operating costs and revive Jamaica’s stalled industrial ambitions. He noted that the Administration has already addressed several key barriers to investment, including macroeconomic stability, fiscal incentives, and a steady tax environment.

“Another step on the road of investment is security. Big issue. The Government is dealing with that. There is no question that this Administration has dealt with it in a decisive way and the results will continue to be in our favour,” he told the audience, which was largely attended by local and international business leaders across various industries.

“There are also concerns around energy. Jamaica continues to be one of the highest energy cost countries in the region…That is the next step to be able to get to a really larger flow of investments in renewable energy. And in a few days, you will see our policy and strategy unfold as to how we intend to make a really profound change in the cost of energy for the average Jamaicans,” Holness continued.

The Government has, in recent times, taken steps to ease the burden of electricity costs, including a reduction in the general consumption tax (GCT) on electricity bills and investments in prepaid metering to help curb line losses. Programmes have also been introduced to support the rewiring of homes, particularly for low-income households, as part of a broader push to improve energy efficiency and reduce long-term costs. Still, manufacturers and other large users have argued that these efforts fall short of the kind of structural reform needed to make Jamaica truly competitive.

While withholding specifics, Holness indicated that the policy will aim to accelerate renewable energy adoption in a coordinated way, cautioning against a disorganised shift away from the grid that could push up costs for those left behind.

“What we don’t want is for there to be a rapid migration from the national grid into individually supplied energy solutions using renewables. Otherwise, that would just drive up the unit cost for everyone else,” he said.

Jamaica continues to rank among the most expensive energy markets in the region, a long-standing concern for manufacturers trying to compete at scale. Holness made it clear that any serious effort to rebuild the sector must address this structural disadvantage.

The MJS Technology Park, developed by businessman Michael Subratie, with backing from the Musson Group, sits on the site of the former Ariguanabo textile factory, once a key industrial hub. Holness framed the US$50-million redevelopment project as part of a broader strategy to repurpose idle government-owned assets and restore investor confidence in local manufacturing.

“We took a decision, as a Government, that our economy cannot develop on one plan. We’ve done well in the services, tourism, and BPOs [business process outsourcing], but we must get back into manufacturing. Jamaica must resuscitate its manufacturing base.

“And so we decided that we’re going to look at all the assets that the Government has and either we seek to develop it or we’re going to make it available to entrepreneurs to develop it. When we were approached to have this land divested, we were very supportive of it. Granted, there were some who thought it would not have been possible, given, as was said, the incredible negative perceptions that reigned on Spanish Town,” Holness said.

Talk of a new energy plan comes amid announcements by founder and executive chairman of MJS Industrial Park Limited, Subratie, of the expansion of the tech park by an additional 300,000 square feet of manufacturing space, 100,000 of which will be occupied by an international manufacturing business.

In a follow-up interview, Subratie told the Jamaica Observer that the neighbouring railway service will be revived to facilitate the movement of the company’s goods from the ports of Kingston to Spanish Town and back via Port Esquivel in Old Harbour, St Catherine.

Jamaica Promotions Corporation (Jampro) is now assisting MJS Tech Park in finding additional investors for the remaining space.

“What we’re doing now is purpose-built development from the ground up,” Subratie said. “Once everything is signed and approved, we’re about 18 to 22 months from launch.”

The 65-acre property, which has been repurposed into Spanish Town’s sole special economic zone in Spanish Town, now houses seven tenants across 440,000 square feet of developed space. Local manufacturing company Honey Bun is currently building out what has been described as “its most advanced manufacturing facility to date” on the site.