JIS News

Cabinet has approved a contract for $41.328 million for water system improvement works in Westmoreland.

Minister with responsibility for Information, Senator the Hon. Sandrea Falconer, who provided details at the Jamaica House press briefing on Wednesday, March 20, said the project includes the replacement of the Mount Airy reservoir and the construction of a new storage reservoir at Revival, to satisfy potable water demand.

The first phase of the project will involve the laying of 8.2 kilometres of pipeline, while the second phase will see the construction of the storage reservoirs along with pumping stations and the installation of pumping equipment.

The 16-week contract is being awarded to DR Foote Construction Limited.

Additionally, Cabinet approved the award of a contract for US$646,746 to CargoTech Sweden for the supply of six roadhead terminal tractors for the Kingston Container Terminal.

Minister Falconer noted that procurement of the equipment is critical to the operations of the port.

“The PAJ (Port Authority of Jamaica) is bound by various agreements to guarantee certain levels of efficiency and turnaround time in order to maintain the interest of businesses, of shipping lines and operators,” she said.

She noted that CargoTech is one of the world’s leading providers of cargo handling solutions.

The equipment has been factored into the PAJ’s current budget, and will be financed from proceeds of a loan from the Bank of Nova Scotia (BNS).

Last November, Cabinet approved a Government guarantee of the $20.15 million BNS loan to the PAJ to refinance existing loans.

The loan had become necessary due to the adverse effects of the slow recovery in advanced economies such as the United States and financial challenges in the Eurozone. This has affected the expected rebounding of the containerized transsshipment market.

By Alphea Saunders, JIS Reporter