JPS to pay for Beryl damage out of disaster fund – Vaz

Customers are not expected to pay additional charges for extensive damage to Jamaica Public Service (JPS) infrastructure following the passage of Hurricane Beryl given the US$50-million insurance-type fund the utility company has access to.

An assessment by the company has revealed damage to 94 transmissions structures, 2,602 light poles, 4,287 conductors, 137 transformers, and 2,185 other transmission and distribution equipment.

The disclosure was made by Minister of Energy Daryl Vaz during Wednesday's post-Cabinet press briefing at Jamaica House.

Vaz said JPS is now able to cover the damage because of the fund, learning from past experiences and the difficulties encountered to secure insurance for its assets.

He said the Office of Utilities Regulation (OUR) had approved in the rates for electricity a charge which is paid to an electricity disaster fund.

The fund has an accumulated value of US$50 million which JPS can draw from, the minister said.

He said the OUR had approved an initial draw down of US$5 million prior to the passage of Hurricane Beryl two weeks ago.

This was used to help fund inventory preparation for the hurricane season.

“That's good news. The bottom line is that they did spend close to US$5 million to get inventory prior to the hurricane season and unfortunately at the beginning of the hurricane season Beryl hit Jamaica,” said Vaz.

- Kimone Francis

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