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Sunterra, Wigton shortlisted for renewable energy projects
Published:Friday | July 19, 2024 | 12:06 AM
Two companies, each of which is headed by former executives of power utility JPS, have been shortlisted for renewable energy contracts that the Government of Jamaica is in the process of tendering.
Sunterra Energy Jamaica, led by Emanuel DaRosa, aims to build a US$60-million solar plant were its bid to get final sign-off; while Wigton Windfarm Limited, led by CEO Gary Barrow, also wants to build a solar plant but the size of the bid it placed before the Generation Procurement Entity, GPE, the state body that handles the procurement process for energy projects tied to the national grid, was not disclosed.
The two plants have a capacity of 100 Megawatts. Bid winners will become independent power providers contracted to Jamaica Public Service Company Limited, which operates the national power grid as exclusive distributor of electricity supplies to Jamaicans.
DaRosa, who was CEO of Jamaica Public Service Company from August 2017 to May 2020, affirmed the “total capital cost” for the Sunterra project as US$60 million, saying it would be financed with a mix of debt and equity.
Since 2022, the start-up Sunterra has been installing solar energy solutions across the Caribbean. DaRosa owns the company with 300,000 shares, according to Companies Office of Jamaica records, while Troy Brennan holds one share and is Sunterra’s managing partner.
“Winning the bid requires finding capital at competitive rates, ensuring your construction costs are as low as possible, and securing appropriate land for a solar project,” stated DaRosa in an interview with the Financial Gleaner.
“Knowledge of JPS would do little to help in winning this competition,” he said.
Sunterra plans to build a solar plant in Trelawny that would interconnect with JPS in Duncans. The plant would generate up to 80MW of power at peak capacity with 50MW on the lowside.
“The sun does not shine all the time. The most we can export is 50MW,” DaRosa said. “On days of light clouds we will be able to supply 50MW and on days of heavier clouds we will supply more energy, making the output of our project more stable.”
Wigton, a two-decade-old company in the business of wind power generation, plans to build its solar plant in Clarendon. The plant would interconnect with JPS at the Old Harbour-Monymusk voltage line. The cost of its 49.83MW project is unknown. Barrow hasn’t responded to requests for comment. He worked with JPS for 11 years, and was chief operating officer when he retired in October 2023. He became CEO of Wigton in May.
The Sunterra and Wigton bids offered the lowest prices compared to other bidders at around US$60 and US$63 per megawatt hour.
Overall, the Financial Gleaner counted 10 companies that submitted 11 projects for consideration to supply up to 100 MW of electricity generation from renewable energy resources. Other bidders included Blue Mahoe Energy Company Limited, Atlantic Ibero Energy Limited, Innovative Energy Company, Caribbean Broilers Jamaica Limited, Red Earth Renewables Limited, Sol Ecolution Caribbean Limited, Jamaica Energy Party, and InterEnergy.
The Jamaican government last tendered for renewable energy projects in 2015, when it sought investors for 37MW of capacity. Prior to that, in 2012, some 115MW of capacity was tendered but only got bids for 78MW.