Caribbean
The Caribbean Development Bank (CDB) has made a clarion call to strategic partners to work together to execute bold and urgent actions to transform the Region’s energy landscape and lay the ground for faster progress towards attaining the Sustainable Development Goals.
Delivering the keynote address at the 14th Caribbean Renewable Energy Forum on April 27, CDB President, Dr. Hyginus “Gene” Leon highlighted the need for a targeted and structured approach to embedding energy independence, diversifying the energy mix and increasing resilience in electricity systems in the Region.
He proposed the Accelerated Sustainable Energy and Resilience Transformation 2030 Framework or ASERT-2030, as a key initiative to advance energy transition in the Caribbean Region.
“The Bank has identified an initial suite of ASERT Initiatives (ASERTives) that we consider will enable the region to achieve the targets. One of our ASERTives is Climate Resilient Sustainable Energy Roofs. Our bold proposition is for the retrofitting and deployment of standards for new construction to build climate resilient sustainable roofs in 75 percent of homes in the Region by 2035. These roof installations will be designed to withstand extreme weather events, while embedding solar, wind, water and other energy generation and storage technologies,” he said.
Dr. Leon notes that the Region’s pursuit of a sustainable energy agenda by efficiently utilising its abundant renewable sources of solar, wind, geothermal, and hydropower, will allow it to diversify its energy base, while using less energy to perform daily responsibilities in the production of goods and services.
“Making this radical shift in our energy profile to reflect a substantial uptake of renewable energy is not only necessary to adapt to climate change, but critical for improving fiscal management, and long term economic and social stability. Recent data compiled by the Bank show that our 19 Borrowing Member Countries (BMCs) import more than 80 percent of their energy supplies, at a cost of about USD7 billion per annum, which represents around 7 percent of their overall pre-COVID GDP.
This highlights the vulnerability of the Region’s economies to oil market shocks and the urgent need to accelerate the shift to sustainable energy options, namely energy efficiency and renewable energy.”
The price of electricity in the Caribbean is up to four times more than the average price in many developed countries.
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Jamaica
During the 2021/22 financial year, the Urban Development Corporation (UDC) advanced the process for construction of Jamaica’s new Houses of Parliament and the development of National Heroes Park.
Minister without Portfolio in the Ministry of Economic Growth and Job Creation, with responsibility for Works, Hon. Everald Warmington, said work is set to commence on the project during Jamaica’s 60th year of Independence.
“Phase one of the procurement of a contractor is advanced, and the procurement tender for works is expected to close June 28, 2022, for evaluation,” he noted.
The Minister was making his contribution to the 2022/23 Sectoral Debate in the House of Representatives on May 11.
Another UDC initiative, namely the development of a world-class park on a 26-acre lot in Portmore will provide a much-needed green space for the residents of the area.
Mr. Warmington informed that the concept includes hard and soft landscaping, walkable promenades, and plazas; jogging trail; great lawn with amphitheatre; sports facilities; artistic features; commercial spaces; and parking facilities.
“The Public Investment Advisory Board (PIAB) submission for the Portmore Town Centre Park was completed and submitted on March 31, 2022, for review and approval,” he pointed out.
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Jamaica
he tender for the much anticipated Spanish Town Hospital upgrade project will be in the public domain this month, the Minister of Health Wellness, Dr Christopher Tufton has advised.
Based on the procurement procedures of the Inter-American Development Bank, “it is anticipated that we should have engaged a contractor by the end of the calendar year and work should commence early in 2023,” Tufton said.
The minister provided the update on Tuesday, during his contribution to the 2022/23 Sectoral Debate in the House of Representatives.
“This investment in Spanish Town will be one of the largest investments that will be made in health facilities in the history of this country,” Tufton boasted.
The investment will realise the creation of a multi-storey facility that will include:
-An accident and emergency wing with ambulatory and ambulance bay, triage and consulting rooms, patient wards and, among other things, lounge and lunch areas;
-A radiology department;
-Pharmacy and outpatient department;
-A surgical floor, and patient wards;
-A basement area that includes staff parking; and
-A sky bridge that links the existing administration and dietary block
And Tufton also provided an update on what he described as “the most significant infrastructure expansion of the University Hospital of the West Indies (UHWI) in 50 years.”
The work will include the re-routing of the ring road and entrance, and the construction of a six-storey tower to include adolescent psychiatric, surgical and interventional diagnostic along with trauma and urgent care services.
“We will begin the re-routing of the road and gate this year and are now finalising designs for the tower that is to be constructed,” Tufton said.
He said estimated costs for the project is in excess of US$31 million and will form part of US$50 million in funding being provided by the Inter-American Development Bank.
Meanwhile, Tufton provided an update on the problem-plagued Cornwall Regional Hospital, noting that phases 1 and 2A of the rehabilitation programme have been completed at a cost of J$1.3 billion and Phase 2B has commenced and is expected to cost J$1.7 billion.
The works are aimed at remediating structural defects that were present in the building and include the strengthening of structural beams that had begun to deteriorate and the rehabilitation of other support systems to make the building sound.
Tufton informed that the health and wellness ministry also received Cabinet approval for the use of a design and build modality for the implementation of the final phase 3, which will see the complete restoration of the hospital.
“Given the learning curve that we have had to travel on this project, the ministry has strengthened the overall quality assurance function in the project management by contracting a US-based commissioning agent firm that will support the Project Management Unit to ensure value for money and timely delivery of the project,” Tufton said.
He advised that in the interest of transparency, he has appointed a multi-stakeholder group including the St James Chamber of Commerce and the western branch of the Jamaica Hotel & Tourist Association to receive periodic updates and to provide a citizens’ oversight body to this project. The committee will be chaired by Dr Jeffrey East.
In the meantime, work is to restart on the now long-delayed 250 bed Western Children and Adolescent Hospital. The project was hit with delays due to the COVID-19 pandemic.
Tufton said he has been informed by the Chinese Embassy in Kingston that work will begin this year, estimated to start in June. The facility is estimated to cost J$5 billion and the Jamaican Government has allocated J$100 million to recommence work.
“We look forward to the start of the work this year which will offer the only pediatric and adolescent hospital in the Caribbean,” Tufton said.
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Trinidad and Tobago
NIDCO said it has not begun any tender process to build a Toco port, even as the company also warned against the issuance of bogus cheques, in a statement on Friday.
To do its job of procurement on behalf of the Government, Nidco said it issues tenders via its website and national newspapers, ensuring its procurement was transparent, efficient and effective.
“Nidco has not initiated any tender or award of contract process with regard to the Toco Port. As such, the issuance of any letters of award or contracts relating to the Toco Port project is fraudulent and not authorised by Nidco.” Contracts for Nidco projects must be only signed in-person at Nidco’s offices, under a Nidco legal officer, the company said.
“The signing of any contract outside of Nidco’s offices is fraudulent and not authorised by Nidco.”
Nidco said its cheques can only be collected at their offices through an official from Nidco’s finance department.
“The collection of cheques outside of Nidco’s offices by a rogue agent is fraudulent and not authorised by Nidco.”
The statement said the Ministry of Works and Transport does not issue cheques directly to contractors on Nidco’s behalf, and any occurrence of such is fraudulent and not authorised by Nidco nor the Ministry. “Nidco has not authorised any employee or agent to issue any cash or cheque payment in contravention of the above.
“With respect to the Toco Port project and any other such project, the public will be informed by the issuance of a public tender published both on Nidco’s website and in the daily newspapers.
“We hold ourselves accountable for our obligations and actions to the public we serve and are committed to manage our operations with openness and integrity.”
The proposed Toco Port was a major promise by the PNM in the 2015 general election, to help link Trinidad to Tobago. However, plans were delayed by the covid19 pandemic, although reports are that the Valencia to Toco Road upgrade was now 69 per cent complete. The 12-kilometre road was projected to cost $196 million.
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Guyana
Six months after China Railway was identified as the preferred bidder to open negotiations for the construction of the US$700 million Amaila Falls Hydropower project, that company has told the Guyana government it could not afford a Build Own Operate Transfer (BOOT) model, Vice President Bharrat Jagdeo said Monday.
“The negotiations are very difficult and as of April 22nd, they wrote us saying that they are having a hard time doing the boot contract and they want to shift to an EPC (Engineering Procurement and Construction) plus finance; that the government finances the project and then they would be the EPC contractor,” he told a news conference.
He said talks were continuing with government’s aim to convince China Railway to stick with the BOOT option as switching to an EPC model would require the project to be retendered. “It’s a last ditch attempt to save the model,” he said.
China Railway had been evaluated by the National Procurement and Tender Administration Board (NPTAB) as the most responsive bidder with an offer to build the Amaila Falls Hydropower Project out of its own pocket, operate the facility and sell Guyana Power and Light (GPL) electricity at 7.7 US cents per kilowatt hour.
The Vice President ruled out opening negotiations with the second ranked bidder because the cost of electricity sale to GPL is pegged at 9.9 US cents per kilowatt hour and that would be uncompetitive when compared to the projected cost from the proposed natural gas-powered electricity station to be built at Wales, West Bank Demerara. During the pre-2015 period, the Amaila Falls Hydropower project had proposed to sell the electricity to the grid at just over 10 US cents per kilowatt hour when the fossil fuel-generated electricity was at 20 US cents per kilowatt hour. But, with the gas-to-energy project expected to supply power at 6 to 7 US cents per kilowatt hour the cost can no longer be 20 US cents. “We have another source for generating power that is significantly cheaper, the cost, and so that is the key questi0n so you don’t want to lock in at say 10 cents per kilowatt hour for the next 20 years when we can get it maybe 6-7 cents per kilowatt hour maximum from the gas-to-energy project,” he said.
In light of the current status of the negotiations and the possibility of switching to an EPC model, Mr. Jagdeo conceded that the 165 megawatt Amaila Falls Hydropower station could no longer be completed by 2027. “We will definitely have to revise timelines but tat will not affect our commitment to drop the price by 50 percent because the commitment was on the basis of the power supplied from the gas-to-energy project so that the timeline is very strong,” he said.
Mr Jagdeo also hinted that the Amaila Falls Hydropower project might be some way off should the current talks with China Railway collapse. “We may even have to consider whether we’d have to bring in or do more from gas too in the shorter term until we get a favourable project in that regard,” he said.
The then A Partnership for National Unity+Alliance For Change (APNU+AFC) administration had scrapped the project and remained unconvinced about its prospects based on a study by the Norway firm, NORCONSULT.
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