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Tropical Storm Nicole - Planning Institute of Jamaica

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period must be viewed against: a) record levels <strong>of</strong> production in the April-June 2009; as well<br />

as b) the severe drought conditions experienced which prevailed since the latter part <strong>of</strong> 2009<br />

into the first quarter <strong>of</strong> 2010. The declines in April-June 2010 outweighed the positive<br />

performance associated with the rehabilitation works being undertaken under the KMA<br />

Water Supply Project as well as other plant upgrades. With regard to the July-December<br />

2010 period, given the high water production levels in the July-September quarter, higher<br />

production levels are not anticipated. The effects associated with the passage <strong>of</strong> <strong>Tropical</strong><br />

<strong>Storm</strong> <strong>Nicole</strong> are expected to exacerbate the situation, and thereby impact the performance<br />

in the water sub-industry negatively, resulting in further reduction in production in the July-<br />

September quarter. This coupled with the effects <strong>of</strong> the storm on electricity sub-industry is<br />

expected to further erode the projected 2.0 per cent decline in GDP for the industry for the<br />

July-December 2010 period.<br />

a) Electricity Sub-industry<br />

The <strong>Jamaica</strong> Public Service is the sole transmitter and distributor <strong>of</strong> electricity in <strong>Jamaica</strong>. It<br />

serves a customer base <strong>of</strong> approximately 600 000 customers; has a peak demand <strong>of</strong> 642<br />

megawatts; and a generating capacity that exceeds 620 megawatts. This energy demand is<br />

supplied from 4 main power stations and 8 hydro-electric plants. The JPS also purchase a<br />

total <strong>of</strong> 217 megawatts <strong>of</strong> power from 3 independent power providers<br />

Preliminary estimates indicate that the electricity sub-industry sustained damage <strong>of</strong> some<br />

$92.4 million. While there may have been some associated losses, the company indicated<br />

that this would have been minimal as it was mainly the smaller users that were out <strong>of</strong><br />

electricity. The impact to large consumers, for example hotels, was limited and hence the<br />

associated losses would be minimal.<br />

<strong>Tropical</strong> <strong>Storm</strong> <strong>Nicole</strong> resulted in minimal damage to JPSCo’s transmission lines,<br />

transformer stations and household installations while minor damage were done to its<br />

distribution networks and communication systems. The damage was caused by the heavy<br />

rains, strong winds and lightning, which resulted in broken power lines, dislocated poles and<br />

damaged electrical infrastructure. The associated impact on the company’s distribution<br />

system resulted in power outages to approximately 48.0 per cent <strong>of</strong> customers (over 288 000)<br />

44

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