Nov 17, 2011
Jamaica to improve energy efficiency and conservation with US$20 million IDB loan
Program will help reduce greenhouse gas emissions
The program will strengthen the institutional capacity of the Ministry of Energy and Mining to design and implement investment measures in energy efficiency and energy conservation in the public sector.
These measures will increase awareness and knowledge among key public and private stakeholders, and will repay the investment by reducing energy fiscal expenses. This energy program is also expected to reduce greenhouse gas emissions.
The program willprovide key technical support to the Ministry for theexecution, management and supervisionof the initiative and in financing the implementation ofthe investment measures. The program will also increase awareness among the public and private sector of the costs and benefits of the measures taken and will set standards and incentive mechanisms.
High and rising electricity costs have a significant impact on the country’s finances and competitiveness. The comprehensive improvements planned under the Program aim at reducing both, costs and energy consumption, in line with the National Energy Conservation and Efficiency Policy developed in 2010 in Jamaica.
The loan is for a 20-year term, with a four-year grace period, and at a variable interest rate based on LIBOR. The Ministry of Energy and Mining of Jamaica will be in charge of the program.