Director General of the Office of Utilities Regulation, OUR, Ansord Hewitt says the country will save about US$20-million on electricity by the end of 2020, due to recent investments in renewables and the new LNG plants.
He says electricity rates will be going down by about half of a US cent per kilowatt hour by the end of next year.
Mr. Hewitt says more substantial reductions will be reflected in customer’s light bills after five to ten years.
The OUR Director General is reiterating that the major investments in energy efficiency now will ensure a fall in electricity rates overtime.
Mr. Hewitt’s statements support a recent report by the Bank of Jamaica, BOJ, which is projecting a fall in electricity rates for the December quarter.
That’s according to its recent Quarterly Monetary Policy report.
The BOJ says for the December 2019 quarter, the full commissioning of a liquefied natural gas, LNG, plant by the Jamaica Public Service company, JPS, is expected to translate into lower electricity rates.
JPS is expected to put its new 190 megawatt plant in Old Harbour Bay, St Catherine into full operation this month.
The BOJ is also projecting that the lower electricity rates will contribute to a fall in inflation during the December quarter.