Proposed law will address activities related to emerging LNG sector

Science, Energy and Technology Minister Fayval Williams (centre), NCB Capital Markets Limited Chief Exective Officer, Steven Gooden (left), and New Forest Energy’s Chief Financial Officer, Chris Guinta.

Science, Energy and Technology Minister, Fayval Williams, says activities related to Jamaica’s emerging Liquefied Natural Gas (LNG) sector will be addressed under the proposed Petroleum (Downstream Activities) Act, being developed by the Government.

These, she outlined, include receipt, storage, processing and distribution. She added that “the legislation will also treat with the licensing, construction, and operation of natural gas terminals and transportation”.

‘The objectives of the new legislation will be to encourage private investments.’

— Energy Minister Fayval Williams

The Minister was speaking at a bond-signing ceremony between NCB Capital Markets Limited, and New Fortress Energy (NFE), at the AC Marriott Hotel in Kingston on Tuesday (August 27).

 “The objectives of the new legislation will be to encourage private investments in the long-term financing and timely development of natural gas for Jamaica,” the Minister added.

Mrs. Williams noted that LNG has emerged as an integral component of the administration’s drive to secure Jamaica’s energy future, as is the case with other renewables, such as solar and wind.

Additionally, she said because natural gas is significantly cheaper and is a less volatile alternative to oil, Jamaica is expected to record annual energy savings totalling some US$304 million, consequent on outputs from JPS power plants in Bogue, St. James; Old Harbour, St. Catherine; and Clarendon-based JAMALCO.