The Jamaican Government Will Not Renew JPS’s Licence

Energy Minister Daryl Vaz announced on Tuesday that the Government of Jamaica will not renew the Jamaica Public Service’s (JPS) current licence, which is set to expire on July 8, 2027.

JPS’s current licence went into effect in 2001. The company has an all-island licence and is the only distributor of electricity in the country.

According to Vaz, before the terms of the contract expire two years from now, the government will negotiate more favourable licensing terms and conditions with potential investors. The minister also described the government’s current arrangement with the electricity company as deeply flawed.

“I think we can all agree that the people of Jamaica have not been served well by the existing electricity supply agreement… The terms under the current licence have yielded electricity prices which are amongst the highest in the region. The arrangements are deeply flawed and in need of significant reform,” Vaz said.

Vaz also shared that the government’s decision has already been communicated to JPS officials. He highlighted that the decision presents an opportunity for the Jamaica Labour Party to secure a contract with far better licensing conditions for all Jamaicans.

Following the news that JPS’s contract will not be renewed, Jamaicans have been reacting to it online, with many welcoming the government’s decision.

“Yes! One of the reasons why they can do as they please is because they don’t have any competition. Run drm foot hoootttt,” one social media wrote.

Another stated, “GOOD. JPS should’ve never been allowed to monopolize.”

One social media user highlighted the need for Jamaica to modernise.

“JPS gave Jamaica the basic ways to receive power on the island. I am all for modern technology and a better and improve Jamaica. Jamaica is known to be 10 to 15 yrs behind time with everything. It’s about time we see a change. Everything in life has an expiration date. EVERYTHING.”

Some social media users expressed scepticism.

“Lol yall gullible. If a new provider come in how dem go run power lines? Pan jps existing posts? Or dem go plant new ones? Have yall seen the roads little to no space to plant a whole new network of posts and set up a new energy system. Jamaica will always be a one energy provider country. Unless individuals get their own solar systems it’s just not feasible,” one social media user wrote.

One Instagram user accused former officials of making money off of the previous contracts while Jamaicans suffered, “I hope is a better deal cause everybody come, mek money and then lef. Successive governments need to do better for the Jamaican people.”