JPS to transfer 40% of its shares to a Korean company

Cabinet has approved changes to the ownership of the country’s electricity provider - the Jamaica Public Service Company, JPS.    

Mining and Energy Minister, Clive Mullings, revealed to Gordon House that the government has negotiated fresh amendments to the JPS license

The House of Representatives was told that the Golding led cabinet on Monday granted approval for the majority owner of JPS, Marubeni  to off load half its shares in the light and power company to Korea East West Light and Power company Limited , (EWP).

The new ownership arrangement means that the Government will owe 19.9 percent of the shares in JPS, Marubeni  will own 40 percent and EWP another 40 percent.

Some three thousand shareholders own the remaining  0.1 percent f the shares. EWP is expected to significantly improve the operations of the JPS.

Mullings also announced the re-negotiations of additional amendments to the JPS license. The changes will now mandate the JPS to modernize its transmission and distribution system towards a build out of a smart grid as well as to allow power wielding so that customers are able to generate electricity at one location and then use power at another. 

The amendment will also see net boiling for self generators of electricity and to allow the light and power company to agree to a threshold to the additional of renewable energy to the national grid 

Meanwhile, Mr. Mullings said a suggestion that the Government should renegotiate the JPS license for competition in transmission and distribution of electricity is not a viable option at this time.