LNG to fire up Bogue plant in early Oc­to­ber

Jamaica Gleaner - - NEWS - Ed­mond Camp­bell Se­nior Staff Reporter ed­mond.camp­bell@glean­erjm.com

THE 120-MEGAWATT Bogue elec­tric­ity plant in Mon­tego Bay, which has been retro­fit­ted to use liq­ue­fied nat­u­ral gas (LNG), should be up and run­ning on Oc­to­ber 7, pro­duc­ing elec­tric­ity at about US$0.12 per kilo­watt hour.

In June, the Ja­maica Pub­lic Ser­vice (JPS) was charg­ing res­i­den­tial cus­tomers about US$0.21 cents per kilo­watt hour.

Chief Fi­nan­cial Of­fi­cer of the Ja­maica Pub­lic Ser­vice (JPS) Dan Theoc said the New Fortress En­ergy Com­pany would be pump­ing gas through some 1.6 miles of un­der­ground pipe­lines to the Bogue fa­cil­ity.

The LNG op­er­a­tion will take ef­fect in Oc­to­ber, fol­low­ing a missed Au­gust dead­line for im­ple­men­ta­tion.

Theoc told mem­bers of the Econ­omy and Pro­duc­tion Com­mit­tee of Par­lia­ment yes­ter­day that the fuel would be stored in a 130,000 cu­bic ves­sel at sea, with a sec­ond ves­sel de­liv­er­ing cargo to land.

FULL OP­ER­A­TION IN NOVEM­BER

Se­nior Vice-pres­i­dent, generation, at the JPS Joseph Wil­liams said that by early Novem­ber, the Bogue fa­cil­ity would be in full com­mer­cial op­er­a­tion.

“By early Novem­ber, we will be in full com­mer­cial op­er­a­tion,” Wil­liams said, adding that “we are well on our way to hav­ing nat­u­ral gas as a source of fuel in the generation fleet, some­thing that we have been wait­ing on for many years, and we are happy to re­port that this def­i­nitely will hap­pen in 2016.”

He blamed de­lays in the im­ple­men­ta­tion of the project on ad­di­tional dredg­ing at the port to ac­com­mo­date the ship with the LNG.

The JPS spent US$22 mil­lion to retro­fit the Bogue plant.

How­ever, com­mit­tee chair­man An­thony Hyl­ton had some con­cerns about the cur­rent ar­range­ment to de­liver LNG lo­cally. “The stor­age of LNG at sea, that seems to be a sig­nif­i­cant shift. Bring­ing LNG was never sim­ply elec­tric­ity over wire. It was al­ways, from the very out­set, about some other in­dus­trial uses.”

Re­spond­ing, Theoc said un­der the new ar­range­ment, LNG would be landed in Ja­maica and other in­dus­tries are slated to ben­e­fit. “We are not go­ing to lose the ben­e­fit of hav­ing LNG landed in Ja­maica ... . I don’t want to tell their story, but (New Fortress En­ergy) is con­tracted to sell LNG on land to large play­ers, I know of at least two deals that have been done.”

He said the com­pany is ex­pected to make an an­nounce­ment in weeks.

FILE

The JPS power sta­tion in Bogue, Mon­tego Bay, which has been con­verted to use LNG.

THEOC

Newspapers in English

Newspapers from Jamaica

© PressReader. All rights reserved.