Turbines for wind farm to cost $334 m
JAMAICA and the Netherlands recently signed a grant agreement of 15.87 million euro (J$334.59 million) to purchase wind turbines for the Wigton Wind Farm project in Manchester.
The aim of the project is to identify viable sources of alternative energy and the utilisation of indigenous energy sources.
Minister of Commerce, Science and Technology, Phillip Paulwell, who along with Finance Minister Omar Davies signed on behalf of the Jamaican Government, said the grant would cover 35 per cent of the total cost of purchasing the wind turbines from the Netherlands-based NEG Micon.
The overall project is estimated to cost US$25 million, which includes the funding of a US$16 million loan from the National Commercial Bank (NCB) and US$3.2 million from the Petroleum Corporation of Jamaica PCJ’s equity.
Paulwell said the wind farm, which is being constructed at Wigton, Manchester, is expected to be operational by the first quarter of 2004. He added that after installation of the turbines, the contract would carry a five-year warranty on the equipment.
The PCJ, through its subsidiary, Wigton Wind Farm Limited will operate the facility.
The project, said Paulwell, will have educational and research spin-offs for the University of the West Indies, the University of Technology and the Scientific Research Council.
“The project will be a champion in renewables for the entire Caribbean,” the minister added.
He said agreements were already in place for the sale of electricity generated by the wind farm to the Jamaica Public Service Company (JPSCo).
Under this agreement, the JPSCo would pay a fixed rate of US 5.6 cents per kilowatt hour for the first five years and US 5.05 cents per kilowatt for the next 15 years.
JPSCo will also utilise the land on which the wind farm will be constructed and will provide project management services during construction of the wind farm.
Paulwell said that it is expected that through the supply of wind power to JPSCo, the nation will in effect continue to diversify its energy mix, realise savings in the annual oil bill, while providing an environmentally friendly source of energy.
The minister also announced that the project has already obtained the necessary environmental and building approval permits from the National Environment and Planning Agency (NEPA) and the Manchester Parish Council, respectively.
The PCJ, he said, has already submitted its application to the Office of Utilities Regulation (OUR) for a power-generating licence.
“The capacity output of the wind farm, when made operational is some 20.7 megawatts and it is expected that an average of seven megawatts will be generated, given the wind variability,” Paulwell said.
“The target for renewable energy, which was established by the Government for 2005 is five per cent of capacity and the additional Wigton Wind Farm energy will enable us to meet and to surpass that target. This construction will enable us to get to six per cent of renewable energy production,” he added.