Minister of Science, Energy, Telecommunications, and Transport Daryl Vaz has strongly refuted statements made by the Opposition regarding Jamaica’s energy sector while outlining the Government’s robust achievements and plans to ensure continued development and sustainability.

In response to recent claims made by the Opposition, Minister Vaz reaffirmed the Government’s commitment to reducing the general consumption tax (GCT) on electricity from 14 per cent to 7 per cent.

This reduction is set to take effect after the 2024 budget as part of a broader strategy to alleviate energy costs for Jamaicans, particularly those consuming 200 kilowatts or less per month, through a new rebate system. “The Opposition has sought to spread misinformation, but let me be clear: this Government will not relent in our mission to reduce the financial burden on Jamaicans while fostering a modern, efficient energy sector,” Minister Vaz stated.

Rebutting Opposition claims

Minister Vaz pointed out there were inaccuracies in the Opposition’s statements, particularly the claim that Jamaica’s energy mix in 2016 included 60 per cent liquefied natural gas (LNG). Moreover, he refuted that in 2014 Jamaica was the highest-ranked country in the Caribbean for the Doing Business index collated by the World Bank, noting that the statements made by the Opposition Leader are false and are an attempt to rewrite history.

“The World Bank report is available online and gives evidence that Jamaica was ranked 94th in the World in 2014 and was ranked behind 10 other countries from Latin America and the Caribbean including St Lucia, Bahamas, Barbados, Dominica, Trinidad and Tobago and Antigua and Barbuda. We topped the region in 2017 under this active Government, led by Dr The Most Honourable Andrew Holness,” Vaz stated.

On the issue of LNG, the minister cited the Jamaica Public Service (JPS) 2016 Annual Report, which indicated that LNG accounted for only 10 per cent of the electricity mix that year. “Today LNG comprises 54 per cent of the energy mix—a significant leap driven by active policies and strategic initiatives,” he pointed out.

Making progress

“Thanks to this Government’s proactive approach, Jamaica is now harnessing 11.8 per cent of its energy from renewable sources, up from 8 per cent under the previous Administration,” Minister Vaz added, referencing the 2023 National Energy Balance Report.

Vaz shared that the Government is advancing other renewable energy projects, including the NWC Solar Project, which will soon supply electricity to JPS. These initiatives, he said, along with recent advancements such as the signing of an MOU with Atomic Energy of Canada Limited and Canadian Nuclear Laboratories for nuclear technology adoption, underscores the Government’s commitment to energy diversification and sustainability.

“This Administration is not just talking about progress; we are actively driving change… Jamaica is poised to be the first Caribbean nation to integrate nuclear power into its energy mix, reducing dependence on fossil fuels and setting a new standard for regional energy innovation,” the minister added.

In October, Jamaica made a giant leap towards becoming the first Caribbean country to introduce nuclear power in the energy mix, ending decades of discussion on the decision.

Minister Vaz also acknowledged challenges within the energy sector, including electricity theft and the widespread use of estimated billing practices. He reaffirmed the Government’s commitment to addressing these issues through legislation, regulatory reform, and innovative solutions.

“We are an active Government addressing these legacy issues head-on,” he said. “Our four-pillar strategy for reducing electricity theft is already in motion, and we are reviewing the use of the Electricity Disaster Fund in light of recent disasters.”

Following the passage of Hurricane Beryl, the Government embarked on a review of the current use of the Electricity Disaster Fund.

Looking Ahead

The Minister concluded by reiterating the Government’s focus on solutions that benefit all Jamaicans.

“In my sectoral debate, I also outlined the four pillars that this Administration plans to utilise in reducing electricity theft in Jamaica, some of which are already in motion. The Opposition’s propaganda and misinformation cannot overshadow the tangible progress we are making. This Administration remains committed to creating a modern, sustainable energy sector that reduces costs, fosters growth, and ensures a brighter future for every citizen.”