Mullings Not Happy With Response to Renewables’ Incentives

KINGSTON — Minister of Energy, Hon Clive Mullings, says he is not happy with the current take-up level of renewable energy devices in the country.

Speaking with JIS News, Minister Mullings said that, against the background of high energy costs, the availability of lower interest rates at financial institutions and increased accessibility to financing for renewable devices, the take-up of renewables was not comforting.

He says, however, that he will continue to lead the charge in striving to convince more Jamaicans to make the switch to renewable energy.

A major obstacle to more Jamaicans making the switch, or installing more renewable energy applications in homes and offices, he says, is the cost for the devices.

"The challenge will always remain [the] cost. With the residential users of energy, in terms of solar, the challenge has always been [the] cost,” he emphasized.

 Mr. Mullings says, however, that assurances have been received from multilateral partners to make accommodation for readjustment to local policy.

"We have received an assurance from the multilaterals that we will be able to, once again, engage in waivers for renewable energy equipment. But, having said that, even with the waivers it can be costly, and so we have to get people into the notion of buying into energy, so you invest in renewables and it pays back for itself over time,” he explained.

An increasing number of financial institutions are now developing and offering financial instruments to facilitate the purchase of renewable appliances. Recently, Capital and Credit Merchant Bank announced financing of up to $5 million to purchase renewable energy devices, while the National Housing Trust continues to offer loans of up to $250,000 for the purchase of solar water heaters.

Other financial institutions, commercial banks and credit unions, are also offering low cost loans, to facilitate purchases of solar and renewable energy appliances.

By Rodger Hutchinson, JIS Reporter