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JAM | Nov 21, 2023

42 entities respond to RFP to supply 100 MW of renewable energy

/ Our Today

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Laptop, farm and engineer team together at night for renewable energy, power and wind turbine. Electrician or technician man and woman in nature for electricity, eco and green environment maintenance

Some 42 companies have submitted expressions of interest for the 20-year Power Purchase Agreement (PPAs) to generate and supply 100 megawatts (MW) of renewable energy to Jamaica’s national power grid.

Jamaica’s Generation Procurement Entity (GPE) has published the PPA outlining the process to supply the 100 MW of renewable energies.

The 104-page form covers the pre-operation period, warranties, and compensation, payment and billing, among other rights and responsibilities.

Bids for the 20-year contracts are due January 25 through February 1, 2024.

The GPE has already published the licence and PPA forms. Registration was opened last month. Offers will be opened on February 1, 2024.

The GPE has indicated that independent power producers can only sell output to Jamaica’s light and power company, Jamaica Public Service (JPS), which also may participate in the Request For Proposal (RFP), which was opened last month.

External view of the Jamaica Public Service-operated (JPS) power plant at Hunts Bay in Kingston. (Photo: Facebook @JPSBayrock)

However, JPS’ potential participation has raised concern among some stakeholders. Solar projects must achieve commercial operation within 24 months and other technologies within 30 months, according to the RFP.

The launch of a second tranche for 168MW is penciled in for next year. Jamaica’s renewable energy target is 50 per cent by 2030. Current installed capacity reaches 1,041MW, of which 83 per cent is thermal, primarily natural gas, and the remainder renewables (wind, hydro and solar).

– Durrant Pate

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