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Business
June 15, 2010

JPS to receive Japanese grant for Great River hydro plant study

THE Jamaica Public Service Company Ltd (JPS) yesterday revealed that it will receive a grant from Japanese engineering firm Nippon Koei in order to conduct a feasibility study on the Great River in western Jamaica where it hopes to develop a hydroelectric power station with a generating capacity of 8 MW of electricity.

“The exercise will see a five-member Japanese team (including technical personnel and a financial analyst) in the island for a period of three- four weeks, working alongside Jamaican technical and environmental experts,” a news release from the JPS said.

“The team will review the previous studies conducted on the Great River; conduct further investigations into the quantity of water available and a range of technical issues; and determine the appropriate size and type of power plant for the area,” the company added.

The company did not state the value of the grant. However, it pointed out that the introduction of a power plant on the river would in no way interfere with the National Water Commission’s facility that provides water to Montego Bay and the rafting activity that serves as a popular tourist attraction.

Instead, the addition of a power plant, the company said, “would simply mean that the river is serving the multi-purpose of water supply, tourist attraction and electricity production”.

Earlier this month, JPS said that its five-year capital expenditures plan that focuses on reducing distribution system losses, improving efficiencies, and expanding renewable generation sources was expected to attract financing from the International Finance Corporation (IFC).

That project, the JPS said, involves a technical and non-technical loss reduction initiative, such as installing automated metering and theft resistant distribution infrastructure, the development of a three megawatt (MW) wind farm at Munro in St Elizabeth, and a 6.4 MW expansion of an existing hydropower facility on the Maggotty River.

The project is expected to result in reduced overall levels of system losses, thereby improving overall system efficiency, reducing carbon footprint, and dampening the need for new generation. Moreover, it is expected that employment will be created through the new generation facilities plants (wind and hydro).

The IFC had financed the JPS’ 120 MW combined cycle, oil-fired power plant at Bogue, Montego Bay back in 2003.

That project had cost approximately US$127.5 million of which the IFC invested a US$45-million A Loan.

Prior to that project, the Bogue site already had an operating power station of 103.5 MW capacity consisting of six simple cycle gas turbines developed in 1973 (21.5 MW, GT3), 1990 (14MW x 2, GT6, GT7), 1992 (14MW, GT8, and 20MW, GT9) and 2001 (20MW, GT11).

The IFC said that its involvement in the deal would “help mobilise long-term financing from commercial lenders” in a market then categorised as “difficult”.

Six months ago, the JPS recommissioned the Constant Spring Hydroelectric Power Station in St Andrew.

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