JPS Bogue - file photo
The Jamaica Public Service Company (JPS) is reporting that it has made significant progress in preparing for the conversion of its Bogue power plant to accommodate gas-based fuels.
The electricity company has identified at least two low cost fuel options available to be used at the plant in Montego Bay.
The introduction of gas is part of the national drive for fuel diversity, and will help reduce the country’s dependence on oil as the main fuel for electricity generation. The company expects that the conversion will also result in significant foreign exchange savings.
JPS started discussions with a fuel supplier for the conversion of Bogue to a ga-fired plant in 2013, but the company concluded then that cost at the time would have been prohibitive for its customers.
Cost
The Bogue conversion is expected to cost US$80 million. Most of the cost will be covered by the fuel supplier and recovered in a fuel supply agreement.
JPS will invest about US$15 million to convert the turbines to accept gas.
Although the electricity company did not make a request for special funding for the Bogue project, the Office of Utilities Regulation has decided that funding for the plant conversion should come from customer contributions.
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