Wigton prepares to rejoin grid
WIGTON Windfarm is nearing a return to operation following weeks of downtime after Hurricane Melissa, as the company completes final inspections and advances a series of major renewable-energy expansions.
CEO Gary Barrow said the Jamaica Public Service Company (JPS) reconnected its main transmision lines on Sunday night, allowing Wigton to assess its systems and prepare for reintegration into the grid.
“We are working on completing our electrical inspection, which we couldn’t do until we got the transmission lines connected last night,” he shared during a Mayberry Investor Briefing on Monday evening.
Its electrical inspections are expected to be completed during the week. The company has been offline for weeks as JPS continues restoration of the grid. Barrow explained that because renewable energy is intermittent, JPS must reach a certain level of load and overall grid stability before bringing renewable sources back online. Wigton is therefore awaiting feedback from JPS as soon as the system is ready. Despite no damages to its plants, business interruption is part of Wigton’s insurance coverage, and the company expects an insurance payout for the period it has not been generating. However, investors were warned to brace for lower revenues in the upcoming quarter as the weeks of downtime are expected to reflect in a slight fall-off in revenues for November. However, Barrow noted that November is generally one of Wigton’s lowest production months in the wind regime.
Given the increased climate-related disruptions across the island, Wigton has already begun implementing engineering modifications to strengthen the climate resilience of its systems. These investments are being made with careful consideration of hurricane strength and structural ratings for its facilities. As the company expands further into solar, Wigton is advancing its 50-megawatt, utility-scale solar project along with the repowering of Phase I, which will add another 20.7 megawatts, bringing the company’s solar capacity to roughly 70 megawatts within the next two years. Barrow noted that the solar systems already implemented by Wigton have demonstrated strong resilience, withstanding severe weather conditions during the recent storm.
“We have implemented solar that can withstand a Category 5 hurricane,” Barrow said.
Along with strengthening its systems the company is also pursuing geographical diversification. A significant portion of the repowering work will take place at the Lionel Town Solar Farm in Clarendon, forming part of Wigton’s broader expansion into renewable energy beyond its existing wind operations. The 50-megawatt solar project is also expected to help mitigate the impacts of extreme climate conditions, alongside the company’s continued maintenance of full insurance coverage across all its assets. In providing further updates on its expansion plans, Barrow said Wigton’s Power Purchase Agreement (PPA) with JPS is now at an advanced stage. The contract, which outlines the operational parameters and tariff structure for the project, has been completed and is currently before the Office of Utilities Regulation (OUR) for approval. He added that the company is also progressing with its Engineering, Procurement and Construction (EPC) contract, having completed the major reviews and preparing to sign once all remaining requirements are satisfied. Wigton recently secured several key environmental approvals from the National Environment and Planning Agency (NEPA), a development Barrow described as a “significant milestone”, though additional approvals are still outstanding.
“We are in discussions with various financial institutions regarding debt financing and financing these projects,” he revealed.
The company is targeting a financing structure of 30 per cent equity and 70 per cent debt to fund the 50-megawatt solar project. Barrow also indicated that Wigton plans to diversify further into renewable energy opportunities outside of Jamaica, noting that interest has already been expressed in several Caribbean islands. Wigton is also examining the use of battery storage, given the anticipated need for grid-stability solutions as renewable penetration increases.
“As long as it is renewables — in the Caribbean, Latin America; utility scale or large businesses — we are going to explore those opportunities,” he said.
New requests for proposals (RFPs) for renewable energy are expected from the Government’s general procurement process next year, and Wigton anticipates participating in the upcoming bidding rounds as they come to market.