special advertising - PetroCaribe Development Fund PetroCaribe

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SPECIAL ADVERTISING
THE SUNDAY OBSERVER
Sunday, August 30, 2015
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THE SUNDAY OBSERVER
SPECIAL ADVERTISING
A Vital Cooperation Mechanism
our compatriot and friend, former
President of Venezuela Hugo
Chavez and supported by the great
people of Venezuela, continues to
protect the energy security of the
countries within our region,
promote social and economic
development and foster greater
trade and other forms of
cooperation.
A fundamental
objective of the partnership is to
promote
higher
levels
of
development in order to fulfill the
needs and aspirations of our
peoples and to improve their quality
of life.
O
n the occasion of the 10th
anniversary
of
the
PetroCaribe
Energy
Cooperation Agreement, I
commend the facility for its
tremendous
contribution
to
advancing
the
sustainable
development of our country and the
Caribbean and Latin American
region. I also use this opportunity to
thank and salute the people and
Government of Venezuela for their
proven
commitment
to
the
economic stability of the region and
their selfless solidarity with their
brothers and sisters in our oil
import dependent countries.
The Agreement, conceptualized by
The economic alliance facilitates
the sourcing of oil from Venezuela
by Jamaica and some 17 other
countries of the Caribbean and
Latin America under conditions of
deferred payment of up to 25 years
and interest rates of one and two
percent.
In times of high international oil
prices PetroCaribe has been
invaluable to our economies and
societies with Venezuela financing
about US$12 billion of a total
US$28 billion in oil purchases and
satisfying 43 per cent of the
region’s energy needs.
Jamaica’s
cooperation
with
Venezuela’s PDV Caribe has been
among
14
joint
ventures
incorporated between that entity
and
state-owned
energy
companies in 11 countries to
support
refining,
storage,
distribution and transportation. In
this regard, Venezuela has been
assisting in building needed
capacity in our energy sectors. In
Jamaica’s
case,
Venezuela
acquired a 49% stake in the
Petrojam refinery in 2008 at a cost
of US$63 million and has played a
critical role in the technical aspects
of our plans to upgrade the refinery.
The planned project involves a
US$1.2 billion expansion of
Petrojam’s capacity from 35,000
barrels per day to 50,000 barrels
per day with the plant being able to
produce higher quality products to
meet environmental requirements
and ensure long term commercial
viability.
of portions of our country’s public
sector debt reduction programme.
The utilization of PetroCaribeenabled
savings
has
been
transformative
in
terms
of
improving the socio economic
development of states through
investments totalling just under
US$4 billion in 432 projects aimed
at improving the standard of living
of the people of our counties.
Jamaica has benefitted from
funding for several major public
projects including the development
of our human resources, the
implementation of ventures which
promote the use of alternative
energy resources and the financing
PetroCaribe Development Fund
investments that have positively
impacted the Jamaican economy
include: expansion of Jamaica’s
road network; improvement in
mining infrastructure; financing for
Small and Micro Enterprises;
modernization of the Norman
Manley
International
Airport;
upgrade of port infrastructure and
the provision of working capital to
public sector entities.
For our part, Jamaica created the
(PDF) in December 2006 as a
body
corporate
through
amendments to the Petroleum Act.
The Fund was mandated to
manage the proceeds which
accrue to Jamaica under the
deferred financing arrangement
with Venezuela. Specifically, the
Fund receives proceeds that flow
to Jamaica as loan funds under the
Agreement; provides loan financing
for approved projects undertaken
by the Government and other
public bodies; receives repayments
from
borrowers
and
meets
Jamaica’s debt servicing obligation
to Venezuela.
Since the inception of the PDF,
more than J$4.6 billion has also
been spent on social intervention,
employment,
cultural
and
educational
projects.
These
include support for the Students’
Loan
Fund;
the
Land
Administration Project to formalize
land ownership; assistance to
youth innovators; improvement to
markets in Kingston; support for the
Jamaica Emergency Employment
Programme and the development
of the Simon Bolivar Cultural
Centre.
A
major
social
investment
undertaken by the Fund is the
PetroCaribe Inner City Community
and School’s Sanitation Project,
which seeks to improve the socioeconomic conditions of urban and
rural communities by increasing
access to resources such as social
services and basic social and
economic amenities.
Jamaica has been bestowed the
honour of hosting in September,
the PetroCaribe 10th Anniversary
Summit and the celebrations to
mark the 200th anniversary of
Simon
Bolivar’s
hemispheric
liberation writings – the Carta de
Jamaica. This provides a great
opportunity for Jamaica to take a
lead role in highlighting the
profound impact of the PetroCaribe
Agreement
and
our
highly
appreciated and extraordinary
economic alliance with Venezuela.
It is my distinct pleasure to join in
celebrating the 10th anniversary of
PetroCaribe, a vital economic
cooperation mechanism which
continues to demonstrate its
resilience and ability to adapt to
new and emerging realities.
Most Hon. Portia Simpson Miller
ON, MP
Prime Minister
Strengthening the
Bond
Message from the
Minister of Finance and Planning
I
would like to extend congratulations to the Bolivarian Republic of
Venezuela for creating the PetroCaribe Agreement which is now in its
tenth year of existence. This agreement between the Government of
Venezuela and Jamaica and other countries in the Caribbean and
Central America is one of the most far reaching developments in SouthSouth cooperation for many decades. It provides a platform upon which we
can further strengthen the development of a wider Caribbean initiative with
South and Central America.
continued on page 3
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Forging Ahead
T
It is quite evident that amongst
Jamaica's most acute challenges is
that of energy security.
As a
people, we have witnessed firsthand, the considerable dislocation
and unease
volatility
and
uncertainty in the global energy
market have wrought. Jamaican
business and consumers have had
to ensure severe hardships as a
result. What the vicissitudes of the
global energy market
and
successive oil crises have done
however, is to bring into even
sharper
focus
the
critical
importance of
restructuring our
energy landscape, with
greater
incorporation of renewable energy
as part of the energy mix being
central to reducing our dependence
on crude oil and other fossil fuels.
This consideration was a central
plank of our Energy Policy of 2009.
The Petrocaribe Agreement of 2005
went a far way in charting a
course not only in increased cooperation between the Bolivarian
Republic of
Venezuela and
members
of
the
Caribbean
Community, but also in recalibrating,
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Strengthening the Bond
Venezuela.
he signing
of
the
PetroCaribe
Agreement
some
ten
years
ago
was
a
historic
manifestation of the geo-political
dynamism and
collaboration that
are within the reach of states with
shared
interests and
similar
challenges. Indeed, the Agreement
is but one example of the kinds of
success
decades of strident
advocacy for increased south-south
co-operation has yielded. The
peoples of Latin America and
the
Caribbean
who
are
beneficiaries
of
this
historic
arrangement have
much to be
proud of.
Forging
mutually
beneficial
partnerships in important areas
of development and national life are
in a state ' s strategic interest and
are worth pursuing. That Jamaica,
by way of the signing of the
PetroCaribe Agreement, was able to
forge a most important partnership
and advance its interest in the
energy sector
is commendable.
What we should endeavour to do
now is build on the gains that
have flowed from the Agreement
in improving the lives of our
people and effectively respond to
the challenges that confront us as a
nation.
THE SUNDAY OBSERVER
The Petrocaribe Agreement has
assisted Jamaica greatly in relieving
some of the pressures on our
balance of payments by allowing us
to convert some of the amounts due
for the payment of oil into long term
debt at concessionary rates. The
agreement has also enabled us to
fund important social projects such
as those in housing, education,
culture and community development.
on highly favourable terms, the
modalities of supply and payment
for crude oil. In Jamaica ' s case,
PetroCaribe could not have come
at a more opportune time. Marred
by high indebtedness, anaemic
rates of economic growth and a
burgeoning oil bill, we should
consider ourselves fortunate to have
secured
an
energy
supply
arrangement which secured delivery
of a most precious commodity in the
development and
production
process - oil, while at the same
time, providing a degree of fiscal
ease as payments were
not
required upfront.
Separate and
apart from
the
benefits
that
have flowed in
accounting terms from
the
PetroCaribe Agreement, we must
have an abiding appreciation for
the raft of development initiatives
that
have
been
undertaken/accommodated as a
result of the Fund's resources.
It is only fitting for me, on behalf
of the parliamentary opposition and
the people of Jamaica to register
our deep and sincere appreciation
to the Government and people of
Venezuela for what has been a
most generous arrangement. Let
me take this opportunity also to
salute the management and staff of
the PetroCaribe Development Fund
and recognize in a special way your
sterling
contribution
to
the
advancement of our energy sector
and our overall development as a
country these past 1 0 years.
Andrew Holness, MP
Leader of the Opposition
It is symbolic that whilst we celebrate
the tenth year of the Petrocaribe
Agreement, it is also the case that
we are celebrating the 200th
Anniversary of the Carta de Jamaica,
famously sent by Simon Bolivar, 200
years ago as a harbinger and as an
announcement of the struggle for
Latin American independence. Both
of these events speak to the fact that
there will forever be collaboration
between Jamaica and indeed the
Caribbean and the people of the
Bolivarian Republic of Venezuela.
This
Petrocaribe
Agreement,
therefore, gives meaning to our
relationship and I expect it to develop
further
into
other
areas
of
cooperation. As we go forward, a
sound platform has been established
throughout the history of our
association which continues to be a
guiding light to future possibilities in
the cooperation between our two
nations.
Our history was intertwined from the
days of Simon Bolivar’s respite in
Jamaica where he found inspiration
to develop an agenda for the
liberation of Latin America, including
In closing, as we celebrate this 10th
anniversary of the signing of the
Petrocaribe Agreement, we join with
our Venezuelan friends as we seek
to develop greater avenues of
prosperity for both our peoples. It is
my hope that the friendship between
Jamaica and Venezuela will only
become stronger.
Dr the Hon. Peter Phillips, MP
Minister of Finance and Planning
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THE SUNDAY OBSERVER
SPECIAL ADVERTISING
THE SPIRIT OF REGIONAL
SOLIDARITY ENDURES!
THANKING THE GOVERNMENT
AND PEOPLE OF VENEZUELA
O
n the occasion of
the
10th
Anniversary of the
Petrocaribe
Agreement
between
Venezuela and Jamaica, we
need to take stock and
assess whether we have
faithfully used these funds for
the purposes for which it was
intended at the time the
Agreement was promulgated.
This Agreement saw the
cash proceeds placed in the
vehicle called the Petrocaribe
Development Fund. The term
"development"
should
therefore be the benchmark
by which the assessment of
the programme is done.
In my view, far too much of these funds were
loaned or granted to the Government and its
Agencies for debt servicing and budget support.
One significant feature of the Fund which was
envisaged from the inception of the Agreement was
for the Fund to purchase goods from Jamaican
producers and export it to Venezuela.
This would result in part, in paying back the debt to
Venezuela with goods in a barter arrangement,
which is an excellent vehicle to promote growth,
expansion and development of the Jamaican
economy.
Unfortunately, this initiative has not
been pursued with the vigor
needed to make it a success.
Now that there has been a
discounted buyback of the
outstanding Petrocaribe Stock of
Debt to the end of December,
2014, it is my hope that for the
continuing life of the PCDF, funds
should be carefully fine-tuned and
directed to development initiatives
including human development
through Education and intensified
barter arrangements based on
ongoing
debt
servicing
requirements.
I wish to thank the Government and people of
Venezuela for their interest in continuing this
worthwhile programme with Jamaica and urge the
Government to be faithful to the aims and
objectives of economic development as a
centrepiece of this programme.
Properly directed, the PCDF can become a major
driver to stimulate human development and private
sector investment in a viable export market, thereby
growing the economy and creating jobs for our
people.
Audley Shaw, CD, MP
Opposition Spokesman on Finance and Planning
T
he observance of the 10th
anniversary of the PetroCaribe
coincides
with
the
50th
Anniversary
of
diplomatic
relations
between
Jamaica
and
Venezuela as well as the commemoration
of the 200th anniversary of the ‘Carta de
Jamaica’ penned in this country by Latin
American Liberator, Simon Bolivar and
the invitation to host the Special Summit
confers on our country a special honour.
We are delighted to be afforded the
opportunity to accommodate this special
celebration.
Successive administrations in Jamaica
have maintained a strong relationship with
Venezuela, a bond between the two
countries which started over two
centuries ago. This relationship began
with Venezuelan national hero, Simon
Bolivar, who dedicated his life to the
liberation of the then Spanish colonies
and the fashioning of Latin American
unity. It was while in Jamaica that the
“Liberator’ wrote the now famous 'Letter
from Jamaica', in which he expressed his
ideas for a republican government and
the unity of Latin American.
It is this spirit of regional solidarity and
mutual development that gave birth to the
regional energy accord, PetroCaribe, the
10th Anniversary that we now celebrate.
The historic agreement, conceptualized
by the late President of cherished
memory, Hugo Chavez, seeks to shape
the energy security of countries within our
region, promote our social and economic
development
and
foster
closer
integration.
This milestone symbolizes the fact that
the agreement is alive and well. In fact its
evolution and continued relevance speaks
to the enduring concept that fashioned its
birth, its ability to respond to the
challenges of change and its readiness to
accommodate emerging opportunities.
The 10th Anniversary of PetroCaribe
Cooperation Agreement unequivocally
underscores
the
message
that
PetroCaribe will remain responsive to the
energy needs of Jamaica and the region.
Indeed, the facility has materialized as a
critical component of transformation and
development of countries of our region.
More so, it has rekindled the spirit of
regionalism, solidarity and cooperation.
The agreement is now being positioned to
face the challenges of the day and
proceed into the future in a more surefooted and sustainable manner.
As host of this special Summit, Jamaica
has every right to feel sentimental about
this event. The government of Jamaica
was instrumental in concretising the
concept and the promulgation of the
Agreement and we were the first
signatory under the new Agreement.
Outside Venezuela its parent country,
Jamaica was the first host to a Heads of
Governments Meeting of PetroCaribe.
During that event, on August 23, 2005
2005 in Montego Bay, the PetroCaribe
Agreement with Venezuela was signed
representing the single most important
feature of Jamaica’s bilateral energy
market policy. It allowed for the Jamaican
Government to purchase oil at market
value from Venezuela, but on preferential
conditions that continues to benefit our
development.
Today, we have much to celebrate!
Although PetroCaribe symbolizes matters
pertaining to oil it provides other
significant benefits to Jamaica and other
beneficiaries of the Agreement.
One essential feature of PetroCaribe has
been its promotion and support for energy
conservation and efficiency and the
development of renewable energy
technologies as a mechanism to reduce
dependence on fossil fuel in satisfying the
energy needs of the Caribbean. The
objective is to help alleviate the negative
financial balance of payment and other
effects of rising oil prices on the Jamaican
people and is a major example of SouthSouth cooperation aimed at facilitating
development.
As one of only Energy Ministers, (still in
office as Minister) who was involved in the
actual promulgation of the Agreement ten
years ago, this occasion assumes special
significance.
I recall the passion with which the late
president advanced the proposal. He
beckoned regional leaders to share his
dream and bade us to utilize the facility to
create space for mutual progress and
sustainable
development
and
emphasized that the initiative was no
hand-out, but a programme for real,
people-oriented development.
As the programme matures, we believe
that it has the resilience and agility to
adapt to emerging realities while being
positioned to advance the cause that
inspired its birth ten years ago!
Hon. Phillip Paulwell,
Minister of Science, Technology,
Energy and Mining
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THE SUNDAY OBSERVER
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THE SUNDAY OBSERVER
MINISTER OF FOREIGN AFFAIRS AND FOREIGN TRADE
IN RECOGNITION OF THE 10TH ANNIVERSARY OF THE
PETROCARIBE AGREEMENT
America.
T
his year, 2015, marks the
10th Anniversary of the
signing of the PetroCaribe
Agreement, one of the
most significant examples of
South-South cooperation.
In recognition of this important
milestone, I wish to commend and
thank the Government and people
of the Bolivarian Republic of
Venezuela for their continued
goodwill and commitment towards
the promotion of economic and
social development and energy
security in the Caribbean and Latin
SPECIAL ADVERTISING
The commemoration of the 10th
Anniversary coincides with the
200th Anniversary of the “Carta de
Jamaica” of the great Liberator,
Simon Bolivar, as well as the 50th
Anniversary of the establishment of
diplomatic
relations
between
Jamaica and Venezuela. Given the
significance of these anniversaries,
it is fitting that Jamaica fully
embraces the opportunity to
further sensitize the public to the
tremendous
benefits
and
achievements of the PetroCaribe
Agreement. We also underscore
the strong historical linkages,
fruitful friendship and solidarity
which we share with Venezuela.
As one of the nineteen (19)
beneficiaries of the PetroCaribe
Agreement, Jamaica has been
able to enhance the quality of life
for
all
Jamaicans
through
developments
in
energy,
infrastructure,
transportation,
mining, health, education, small
businesses,
employment
generation
and
community
development.
It is recalled that Jamaica hosted
the 2nd PetroCaribe Summit in
Montego Bay in September 2005,
which was co-chaired by the Most
Honourable P.J. Patterson, former
Prime Minister of Jamaica and
H.E. Hugo Chavez, the late
President of Venezuela and friend
of Jamaica. Given the importance
of the Agreement, the Government
of Jamaica is honoured once again
to
host
the
Summit
to
commemorate
the
10th
Anniversary of the PetroCaribe
Agreement, in Montego Bay in
early September 2015, where the
opportunity will be used to highlight
the significant achievements over
the decade and to convey our
warm sentiments on this important
initiative which has served to foster
goodwill and promote mutual
understanding
between
our
peoples.
I reaffirm Jamaica’s continued
strong
commitment
to
the
Agreement and its cooperation
programme.
Senator the Hon. Arnold J.
Nicholson Q.C.
PETROCARIBE AGREEMENT
CELEBRATING ITS
10TH ANNIVERSARY
one of the unstated benefits of the
Agreement has been to bring to
life the vision of this great
revolutionary.
T
he
concept
of
the
Petrocaribe
Agreement,
has
benefitted
the
Government
and
by
extension, the people of Jamaica
with outstanding, social, economic
and political benefits.
The Development Fund is a
product born of that Agreement.
This Fund has helped to put in
practical terms a source of
development aid, without which
successive
governments
of
Jamaica would not be in a position
to facilitate any true form of
economic development, were it not
for the proceeds which accrue
from this Agreement.
Bolivar’s vision of closer ties, more
cooperation and one people,
underpins the tenets of the
Agreement, those with much,
helping those who don't have
enough; yet assisting the lesser to
become
stronger,
without
unreasonable
conditionalities.
Further, respect for all and through
which, creating an avenue for
change
through
trade
and
cooperation.
We congratulate all those who
made the effort to produce this
game changing Agreement. We
praise those who daily continue to
make the Agreement relevant in
today's harsh world.
A special salute must be made to
President Hugo Chavez. His
dreams, his energy, his beliefs,
have lasted these ten years. This is
the foundation for many more
years of cooperation to come as
we envision ten more years of
country to country cooperation ,
strengthening of a friendship,
growth and hope for a region and
prosperity for all.
Through
the
PetroCaribe
Agreement which celebrates ten
years of existence, Jamaica has
been assisted tremendously with
necessary development aid while
touching the lives of our Jamaican
people through building and
strengthening our communities.
We fervently believe and are truly
committed, to the success and
strengthening of this unique
arrangement and look forward to
many, many, more years of
partnership,
mutual
trade,
development and growth.
Simon Bolivar, the Venezuelan
Revolutionary’s greatest vision for
this hemisphere was to move
nations closer together. Indeed,
Senator Robert Montague
Shadow Minister on
Mining and Energy
Kingston, Jamaica
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THE SUNDAY OBSERVER
Special Message on the Occasion of the 10th Anniversary
of the Signing of the PetroCaribe Agreement
T
he
historic
2005
PetroCaribe Agreement
came at time when
signatory countries such
as
Jamaica,
were
facing
significant economic challenges.
Our
high
dependence
on
imported fuel to satisfy over 90%
of
the
country’s
energy
requirements, coupled with huge
public debt and anemic growth,
meant that the PetroCaribe
initiative was vital to our recovery
and stability.
The Agreement which was part of
the vision of Former President of
Venezuela, Hugo Chavez and the
Governments of the Caribbean
and Latin American region,
created the enabling environment
to support development.
The financing facility that flowed
from the Agreement allows for
accumulated surpluses to be
invested in critical areas of
national development. Similarly,
the very ideals under which the
PetroCaribe
was
established
provides
tremendous
opportunities to support socioeconomic advancement.
The
establishment
of
the
(PDF) in December 2006 has
assured
the
judicious
management of the accrued
funds. These funds have been
invested in critical infrastructure
such as our airport and seaport,
specifically the Norman Manley
International Airport and the
Kingston
Container
Terminal
including the recently constructed
cruise ship pier in Falmouth,
Highway 2000, social intervention
programmes in housing and
sanitation, youth empowerment
through the arts, culture and
education, renewable energy and
the enablement of trade facilitation
under
the
compensation
mechanism of the Agreement. All
of these elements have been
successfully implemented by the
PDF which has expended over
J$4.6 billion on developments
since 2005.
I am very pleased that the PDF
has been safeguarding the
principles of cooperation and
partnership of the PetroCaribe
initiative and our commitment to
nation building. We are likewise
looking forward to the upcoming
10th anniversary summit of the
PetroCaribe
Agreement
in
Montego Bay during September
2015. This special event holds
great significance for the signatory
countries. The occasion also
marks the commemoration of the
200th
anniversary
of
the
noteworthy ‘Carta de Jamaica’, a
significant charter for regional
integration conceptualized by the
great liberator, Simon Bolivar. We
will also be celebrating 50 years
of diplomatic friendship between
Jamaica and Venezuela. This
Summit
signals
that
the
PetroCaribe
countries
are
positioned to embark on the
continued journey of cooperation.
The
PDF
invites
all
to
commemorate
the
10th
anniversary of the signing of the
PetroCaribe Energy Cooperation
Agreement and the official
opening of the Simon Bolivar
Cultural Centre which itself
stands as a symbol of the great
unity and friendship enjoyed
between Jamaica and Venezuela.
Dr. Wesley Hughes, CD, JP.
Chief Executive Officer
(PDF)
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THE SUNDAY OBSERVER
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PetroCaribe, Providing
‘Energy for Life’ for
Jamaica and the Region
The signing of the historic
PetroCaribe Agreement 10 years
ago was nothing short of a godsend
for Jamaica and 12 other Small
Island Developing States of the
Caribbean
alongside
Haiti,
Guatemala and Nicaragua. When the
Agreement emerged on the horizon,
soaring oil prices had begun to
unleash increasingly debilitating
blows on the countries’ already
fragile and struggling economies. As
oil prices rose globally, so did
consternation throughout the Region.
Wigton Wind Farms has received over US$62.5 million to develop its energy
generation capacity. Projected plant output is 63,072 megawatt-hour (MWh)
per year, which should reduce national oil consumption by more than 37,100
barrels annually and result in yearly savings of approximately $400 million.
Armed with this knowledge, the
indefatigable leader of the Bolivarian
Republic
of
Venezuela,
His
Excellency President Hugo Chavez,
came heroically to the aid of the
Caribbean and Latin American
region with a rescue package that
comprised of not only the ‘liberating
oil’, but also an instrument aimed at
resolving ‘those energy asymmetries,
which are also economic and social”.
It has, for good reason, been
described as a comprehensive
proposal designed under the
principles of cooperation, mutual
respect,
solidarity
and
complementarity, which promotes
direct energy supply, offering
payment facilities and avoiding the
speculation
of
transnational
intermediaries.”
Thus, 10 years ago, on June 29,
2005, history was created. The first
bilateral Energy Cooperation Accord
was signed between Venezuela and
12 member countries of the
Caribbean Community as well as
Guatemala and Nicaragua, paving
the way for the creation of the First
Energy Meeting of Heads of State
and Government of the Caribbean
and Latin American region. The
anniversary of the famously penned
Carta
de
Jamaica
by
the
consummate liberator, Simon Bolivar,
added vital symbolism to the
occasion when the countries met for
the second summit held in Montego
Bay, Jamaica in September 2005.
repayment schedule to Venezuela.
ESTABLISHMENT OF
PETROCARIBE DEVELOPMENT
FUND (PDF)
Essentially, the facilitation of energy
sovereignty for the participating
countries has been a core objective
of
the
PetroCaribe
Initiative.
President Chavez, who is now
deceased, had championed the
vision for an agreement that
transcends a simple question of
trade and hydrocarbons, but moreso
of an integrating mechanism through
access to energy resources in an
environment that is equal and fair for
the countries of the Caribbean and
Latin America.
Within this context, the PDF’s focus
has been to uphold one of the
PetroCaribe
Agreement’s
main
ideologies of supporting, with the
redesign of energy policy, social
development to address problems
such as poverty, social inequality and
technological
dependence
and
energy asymmetries within Jamaica.
In fact, Venezuela’s much needed
intervention came at a time when
particularly Jamaica was at a critical
juncture in its push for economic
development. For this reason,
proceeds from the PetroCaribe
initiative have assisted considerably
to ease the country’s financial strains
brought by sustained economic
crunch
which
were
primarily
exacerbated by persistent hikes in oil
prices in the past.
For the purpose of transparency and
accountability of the governance and
management of the proceeds
derived under the Agreement, the
Government of Jamaica (GOJ) was
moved to establish an independent
body in the form of the PetroCaribe
Development Fund (PDF). In effect,
the PDF was commissioned as a
body corporate under the Petroleum
Act with oversight by the Ministry of
Finance and Planning. Among the
PDF’s core mandate are its
obligations to upgrade social and
physical infrastructure, stimulate
economic growth, support the
development of human capacity,
support projects which promote the
use of alternative sources of energy,
refinancing of public sector domestic
debt and honouring Jamaica’s
CONTINUED ON PAGE 9
Consequently, in seeking to meet this
requirement, the PDF has invested in
social programmes to improve the
welfare of persons in lower socioeconomic
groups
and
their
communities. It has sought to
develop social projects directly
related to agriculture, education and
the health sector of Caribbean
member
countries,
including
Jamaica, through the ALBA-Caribe
Fund. Accordingly, under the ambit of
the PDF, grant financing has been
made available by allocations of 7%
each year from surplus accumulated
since FY2012/13 to a Social Fund
which currently has over J$1.0 billion
set aside for such ventures. To date,
investments have been made in
housing and sanitation projects in a
number of rural and inner-city
communities. These were executed
within the context of the GoJ’s
Community Renewal Programme of
the Growth Strategy.
ECONOMIC, SOCIAL AND
INFRASTRUCTURAL
ENABLEMENT
In accordance with a partnership
between the Jamaica Emergency
Employment Programme (JEEP) and
Food for the Poor, the JEEP Wooden
House Project was implemented with
funding from the PDF to the tune of
approximately J$900 million as at
March 31 this year. Approximately
3000 housing structures have been
constructed benefitting over 6000
householders
from
several
disadvantaged communities across
the island.
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PetroCaribe, Providing
‘Energy for Life’ for
Jamaica and the Region
CONTINUED FROM PAGE 8
Similarly, the GoJ’s mandate to
eliminate pit latrines from the school
system was another major social
intervention undertaken through
proceeds from the Petrocaribe
Agreement. The PDF has committed
close to J$360 million to the Jamaica
Social Investment Fund (JSIF) to
implement this project. To date,
approximately 36 schools have
benefitted from newly constructed
bathroom facilities with modern
amenities which ultimately will boost
the general morale of the student
population. Another 30 is to be
completed in time for the 2015/16
academic year. The JSIF Schools
Sanitation Project has impacted over
3,000 school children so far.
Other major developmental areas to
which allocations have been made
are expansion of Jamaica’s road
network; improvement in mining
infrastructure; financing for Small
and Medium Enterprises through the
Development Bank of Jamaica and
the Export-Import Bank. There has
also been the modernization of the
Norman Manley International Airport
(NMIA) at a cost of US$32 million.
The NMIA now boasts a 10,000
square metre (107,640 Square feet)
Departure Concourse equipped with
expansive and modern passenger
facilities and services, which Acting
President and Chief Executive
Officer, Mr. Audley Deidrick hailed as
an avenue “aimed at creating a
memorable
and
refreshing
experience
while
enhancing
passenger facilitation and flow
through terminal”. Additionally, the
island’s main port infrastructure at
the Kingston Container Terminal was
boosted to the tune of US138
million. The construction of the
cruise ship pier in Falmouth stands
as another major game-changer for
the country’s development. It was
undertaken by the Port Authority of
Jamaica and Royal Caribbean
Cruise Lines to accommodate the
Oasis of the Seas, the largest cruise
ship in the world. The Falmouth Pier
was financed through loans to the
tune of approximately US$17.54
million from the PDF.
Public sector entities, including the
MoFP have, to date, accessed over
US419 million through the PDF to
fulfill a raft of domestic expenditures
to help move the country forward.
INVESTMENTS IN YOUTH
The Nation’s youths have not been
ignored, having been facilitated
under a US$6.0 million youth
employment programme. Access to
education was also boosted through
the Jamaica 50th Petrocaribe
Development Fund Scholarship
Programme which was funded to the
tune of J$209 million. A total of 80
students comprising 20 merit
awardees at the GSAT level, 27
GSAT scholarship awardees, 3
bursary awardees at the tertiary level
and
30
tertiary
scholarship
awardees were supported in their
academic pursuits through this
programme.
Overall, the ideals and impact of the
Petrocaribe are being propagated
across the length and breadth of
Jamaica with more efforts to come
on
stream.
The
Bolivarian
consciousness
of
integration,
cohesion, fairness, equality and
prosperity for all are alive and well in
the Jamaican experience.
INVESTMENTS IN RENEWABLE
ENERGY
President Chavez had expressed the
need for a streamlined renewable
energy policy for the Caribbean
region wherein member countries
are required to develop their full
potential within the constructs of this
strategy. Jamaica has sought to
strengthen its energy resilience
through the ambit of the PDF via the
development of the Wigton Wind
Farm in Manchester as well as
providing grant funding to the Rise
Life Management Limited for an
Energy Conservation Initiative to
involving installation of solar panels.
The PDF has invested over US$62.5
million to develop Wigton Wind
Farms while Rise Life Management
Limited was sponsored to the tune of
J$2.5 million. Wigton’s projected
plant output is 63,072 megawatthour (MWh) per year, which should
reduce national oil consumption by
more than 37,100 barrels annually
and result in yearly savings of
approximately $400 million. On the
other hand, Rise life Management
has been recently licensed by the
Jamaica Public Service Company
Limited to begin selling excess
energy generated to the JPSCo.
TRADE COMPENSATION
MECHANISM
In like manner, the Petrocaribe
Agreement has facilitated the
establishment of what has been
coined as the Trade Compensation
Mechanism which allows for the
trading of goods and services
between Venezuela and member
countries of the Agreement. Chavez,
in an address at the IV Summit in
Cuba, referenced this mechanism
“as a ‘beneficial barter’ between the
countries of the region, designed as
a compensation model against the
supply of goods and services”. So
far, the Caribbean Cement Company
Limited has been utilizing this
mechanism for the shipping of
clinker to Venezuela under a contract
valued at US$20 million. The trading
CONCLUDED ON PAGE 10
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Life’ for Jamaica and the Region
CONTINUED FROM PAGE 9
of clinker represents the in-kind
repayment of the oil debt. Further,
the University of the West Indies,
Mona, has been providing English
speaking tutorials to Venezuelan
nationals
as
part
of
the
compensation mechanism.
ESTABLISHMENT OF OIL QUOTA
Equally important to the Petrocaribe
ideal is the establishment of oil
quotas for PetroCaribe countries.
Jamaica’s
quota
under
the
Agreement is set at 23,500 barrels
per day (8.6 million barrels annually)
of crude oil, refined products and
liquefied petroleum gas or its energy
equivalent.
With
Venezuela’s
acquisition of a 49% stake in the
Petrojam Oil Refinery in 2008, at a
cost of US$63 million, over twothirds of Jamaica’s petroleum
requirements have been met and as
an added bonus, have seen actual
inflows totaling US$3.2 billion as at
March 2015 being derived.
By and large, Venezuela, through its
national oil refinery company,
Petroleos de Venezuela (PDVSA),
has been playing an integral role in
devising the technical framework for
the upgrading of the Petrojam
Refinery. It is hoped that these plans
would be further explored at the 10th
anniversary summit to be held in
Montego in September 2015.
ENERGY FOR LIFE
On the whole, the PetroCaribe
initiative has ensured a sufficient
supply of crude oil to cover the over
35% of the energy resources
required by the region. It currently
provides hydrocarbons to some of
the signatory countries, contributing
an average 88 thousand barrels per
day and an accumulated total of 313
million barrels according to the
projections for the 2005-2014 period.
Regarding the collective benefits
derived by the region, data provided
by the PetroCaribe Management
Report, showed that since 2005, the
participating
countries
have
benefitted from the offsetting of
approximately 3.741 billion dollars’
worth of oil with a 3,018,829 metric
tonnes of food and 10,621, 035 units
of other products. Benefits also
include improved energy supply to
the populations of the region; the
formation and operation of 15 joint
ventures in 12 countries; increased
hydrocarbons,
storage
and
distribution capacity and oil refining
capacity of over 135 thousand
barrels per day have been derived to
the region.
In essence, with oil and gas being
the main resources of the global
energy model, PetroCaribe has over
the past 10 years, sought to provide
natural resources that in turn, create
opportunities
for
the
energy
integration of the Caribbean and
Latin American peoples in keeping
with a pivotal feature of the
Bolivarian diplomatic and foreign
policy
agenda.
Within
this
framework, PetroCaribe has played
a leading role in providing ‘energy for
life’, developing into a revolutionary
mechanism to unite its signatory
countries, in an environment where
energy
supply
is
used
for
sustainability and the well-being of
the region.
Infrastructural
Development
North Coast Highway,
Mount Rosser Bypass
Chavez succinctly enunciated this
model as summarized: “today, more
than ever before, we should call
ourselves to order, to our new
political, economic order, a new
order of unity, integration and reason
according to our own values and
motivations so that we do not
bequeath a new form of colonialism
as our patrimony for our posterity”.
Kingston Container Terminal
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SÍMON BOLÍVAR
THE INITIATOR OF A 200 YEAR COMMITMENTTO PAN-AMERICAN PARTNERSHIP
S
ímon Bolívar is one of the most important
figures in world history. Though he died at only
43 years old, in the fifteen years between 1810
and 1825, he liberated six nations from Spanish
colonial rule; his native of Venezuela, Colombia,
Panama, Ecuador, Peru and Bolivia. Today, he has a country,
city and currency named after him. Across the world, a
multitude of statues throughout North and South America
bear his likeness and plaza squares bear his name. In fact,
there are more than three dozen places named after Símon
Bolívar internationally; from Avenue Símon Bolívar in
Paris, to Bolivar, Missouri where the high school mascot is
“The Liberator”.
Though his political career was not as successful as his
military career, Bolívar’s letters and speeches reveal a man
determined to liberate and unite South America in a republic
of free men, regardless of race and class. He was also very
engaged with the Caribbean. He spent a year in exile in
Jamaica in 1814 and later he spent quite a bit of time in
Haiti, where he won the military support of President
Alexandre Petion with a promise to free the slaves in the
territories he liberated.
republican government and Latin American unity, later
known as pan-Americanism. Though most know it as “the
Jamaica letter”, the actual title of the letter is "Reply of a
South American to a Gentleman of this Island". It was
Bolívar's lengthy response to a letter he had received from an
unnamed Jamaican who empathized with Bolívar’s struggle
for liberation and wanted to learn more about the politics and
people of the South American provinces. In response, the
exiled general gave¬ an extensive history of the different
provinces (including the present-day countries of Venezuela,
While in Jamaica, he wrote his famous “Carta de Jamaica” Columbia, Ecuador, Bolivia and Peru) and laid out his ideas
which would become a sort of manifesto, detailing Bolívar’s for their political futures.
political doctrine. In the letter, he expresses his ideas for
Summit to commemorate the 10th Anniversary of the PetroCaribe Agreement
Commemoration of the 200th Anniversary of Simon Bolivar’s “Carta de Jamaica”
Opening of the Simon Bolivar Cultural Centre
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THE SÍMON BOLÍVAR
CULTURAL CENTRE
In April 2015, the newly completed Símon Bolívar
Cultural Centre in downtown Kingston was handed
over to the Institute of Jamaica, the nation’s
institution for the encouragement of literature,
science and art. The Cultural Centre sits adjacent to
the historic Ward Theatre, and not far from the
monument to Bolívar opposite National Heroes
Park. It’s placement in the heart of Kingston’s
downtown, an area that is being slowly rehabilitated
and infused with new development, is a tangible
symbol of the important place that Venezuela holds
in Jamaica’s national development history and
future.
The Centre houses a library, a translation room and
three multi-purpose rooms. The Institute of Jamaica
will be unveiling the programmes planned for the
space at the official launch of the centre on Sunday,
September 6th, 2015.
Trade Compensation (Clinker)
Kingston Container
Terminal
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The construction of the cruise ship pier in Falmouth stands as another major game-changer for the country’s development. It was undertaken
by the Port Authority of Jamaica and Royal Caribbean Cruise Lines to accommodate the Oasis of the Seas, the largest cruise ship in the
world. The Falmouth Pier was financed through loans to the tune of approximately US$17.54 million from the PDF.
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Heads of Government of the signatory countries and their Energy Ministers assembled for the
2nd Anniversary Summit of the PetroCaribe Agreement in Montego Bay, Jamaica in September 2005
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Ribbon cutting exercise to kickstart the shipping of clinker to Venezuela under the Trade Compensation Mechanism valued at over USD$20 million.
In photo from left to right: Her Worship, Consellor Angella Brown Burke, Mayor of Kingston, The Hon. Phillip Paulwell, Minister of Science, Technology, Energy and Mining, Mr. Anthony
Haynes, former CEO of Carib Cement Company Limited, Her Excellency, Maria Jacqueline Mendoza Ortega, Venezuelan Ambassador to Jamaica, The Most Hon. Portia Simpson Miller,
Prime Minister of Jamaica and Hon. Anthony Hylton, Minister of Industry, Investment and Commerce.
SPECIAL ADVERTISING
Jamaica 50th PetroCaribe
Scholarship Recipient
Donahue K. Johnson
M
y fears went into fast
forward mode when I
went in to drop off my
application for the Jamaica 50th
PetroCaribe Scholarship. Waiting
out of university one more year
was not something I was willing to
contemplate, although it seemed
likely, considering my financial
situation. I said to my mom, “I just
need a chance at the interview
and I know they will give me the
scholarship.”
When I understood that I was a
lucky recipient of the scholarship it
strengthened my resolve that you
will be able to get ahead in this
world based on meritocracy. When
you are perceived for your
achievements it gives you the
certainty to seek after different
objectives. It is critical for students
to perceive their own particular
potential at a very early stage in
their scholastic profession, so they
encourage its development and
getting acknowledgment from
PetroCaribe aided me to make
this stride. There were times
during university that I felt so
overwhelmed but knowing that I
needed to keep my grades up to
be still deserving of this special
scholarship kept me going. I am
proud to say I have completed my
Bachelors in Basic Medical
Science, Anatomy major with
Upper Second Class Honours and
will be furthering my education by
pursuing
my
Bachelors
of
Medicine and Surgery (MBBS) in
the upcoming school year.
Without any fear I can say there
are many Jamaicans that will fall
through the cracks because of the
lack of financial support, thank
God
and
the
PetroCaribe
scholarship I am not one of them.
“If I have seen further than others,
it is by standing upon the
shoulders of giants.” Issac
Newton. Thanks PetroCaribe, your
facilitation of my tertiary education
has aided me to secure a better
future for myself, my family, my
community and my country.
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HISTORY AND CONTEXT OF THE
PETROCARIBE INITIATIVE AND
JAMAICA’S PROGRESSION
CONTRIBUTED BY: DEVON ROWE, C.D.
FINANCIAL SECRETARY,
MINISTRY OF FINANCE & PLANNING
What is PetroCaribe?
In 2005, Jamaica signed the
PetroCaribe Energy Cooperation
Agreement with Venezuela and
other Caribbean countries. The
arrangement
extended
by
Venezuela under the PetroCaribe
Agreement provided Jamaica and
other Caribbean countries with the
opportunity to purchase oil on
preferential payment terms. The
agreement allowed the Caribbean
countries to buy oil at market value
and retain a specified portion of
the payments, dependent on the
price of oil, as a low cost loan.
The
PetroCaribe
Agreement
signaled the start of a new geoeconomic relationship between the
beneficiary
countries
and
Venezuela
as
under
the
Agreement,
at
Venezuela’s
request, countries could settle
their debt to Venezuela through
goods and services.
The ideology that drives the
PetroCaribe Agreement is one
based on strengthening SouthSouth
relations,
regional
integration and consensual terms.
An important component of the
ideology is for the funds generated
under the Agreement to be used
for
social
and
economic
development and to aid the poor
within the beneficiary country.
How has Jamaica benefitted?
Several projects have been funded
by the PetroCaribe initiative. These
projects include infrastructure
works such as the upgrade and
improvement of roads across the
island,
the
installation
of
passenger boarding bridges and
technical upgrades at the Norman
Manley International Airport, the
Petrojam Refinery upgrade and
the expansion of the port
infrastructure, such as the port of
Falmouth.
Jamaica's
ranking
among the top ten in the
Caribbean and Central America
FDI 2015/16 rating for connectivity
and its ranking as number one for
FDI strategy is in part as a result
of the improvements made to the
nation's infrastructure.
The PetroCaribe Agreement has
facilitated the refinancing of
domestic public sector debt at
lower costs and the GOJ,
regardless of
changes in
administration, has maintained the
presiding ideology on which the
PetroCaribe
Agreement
was
founded.
Debt Buy-Back
The Debt Buy-Back arrangement,
recently undertaken, represents a
boost for Jamaica's economic
reform programme. Utilization of
funds raised in the International
Capital Market (ICM) for the
buyback
of
PetroCaribe
Agreement debt has been hailed
as an intuitive move that
significantly improved international
confidence
in
Jamaica.
Additionally, it creates significant
savings for Jamaica in the amount
of approximately US$328million.
With respect to the effect on the
country’s debt, there has been
much commentary around the
debt to GDP ratio since the 2012
Extended
Fund
Facility
Arrangement with the International
Monetary Fund. The immediate
impact of the PetroCaribe Debt
Buy-Back is estimated as a 10
percentage point reduction in the
Debt to GDP ratio. This enhances
the Government’s ability to further
stimulate growth, improve services
provided by Government and
increase support for social
programmes.
continued on page 19
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HISTORY AND CONTEXT OF THE
PETROCARIBE INITIATIVE AND
JAMAICA’S PROGRESSION
The Economic Reform
Programme
Since the implementation and
continued roll-out of the Economic
Reform
Programme
(ERP),
Jamaica has demonstrated that it
is not business as usual. The
Ministry of Finance and Planning
has piloted policy reforms: in
taxation to simplify taxation policy
and increase the level of
compliance; in public bodies
legislation to ensure accountability
and effective management; and in
public sector transformation to
create a modern, flexible and more
responsive service. Increased
focus is also being placed on
improving opportunities for SMEs
with
adjustments
to
the
procurement guidelines so that
SMEs’ engagement
in
the
competitive bidding process is
made easier. Jamaica for the first
time in over 4 decades recorded
inflation of 4% for Financial Year
2014/15. Jamaica is also poised to
register positive growth in this
Financial Year of at least 1.4%,
and in 2014, prestigious business
journal, Forbes Magazine, recently
rated Jamaica as the Best Place in
the Caribbean to do Business. The
nation's international business
development
partners
have
expressed confidence in Jamaica’s
Growth Strategy and continue to
support the Economic Reform
Programme through investments.
Jamaica’s progress outlined above
has been substantially due to the
opportunity provided to the country
to access low cost financing under
the
PetroCaribe
Agreement.
Jamaica's economic outlook is
positive and the PetroCaribe
Agreement represents Jamaica’s
treasured
relationship
with
Venezuela that facilitates the
development and advancement of
both nations.
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The modernization of the Norman Manley International Airport
(NMIA) at a cost of US$32 million. The NMIA now boasts a 10,000
square metre (107,640 Square feet) Departure Concourse equipped
with expansive and modern passenger facilities and services.
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21
The Jamaica 50th Petrocaribe
Development Fund Scholarship
Programme which was funded to
the tune of J$209 million.
PETROCARIBE: OIL
FOR DEVELOPMENT,
NOT PROFIT
Like
the
Caracas
Energy
Agreement, PetroCaribe was the
brainchild of the late Venezuelan
President Hugo Chávez. It was
envisioned as a pact to assist in
the
economic
and
social
development of countries in the
region. The idea was to expand
Chávez’s Bolívar ian Revolutionparticularly the aim of returning
control of Venezuela's natural
resources to the people so that the
income generated could be spent
on the needs of the majority,
instead of a small elite- beyond
Venezuela’s borders. President
Chávez understood that social and
economic development in lower
income countries of the region was
significantly hindered by the need
to spend on that indispensable
resource – oil.
Launched in 2005, PetroCaribe
allows member countries —
currently totaling 19, including
Venezuela — to purchase oil from
Venezuela
under
preferential
terms. Member countries pay 60
percent of the cost of the oil up-
front, and the remaining 40
percent can be paid over a period
of 25 years at an interest rate of
only 1%.
PDVSA, the Venezuelan state oil
company,
currently
provides
100,000 barrels of oil per day to
member countries, and since the
creation of PetroCaribe, countries
have received over 230 million
barrels of oil under the initiative.
PetroCaribe has also transformed
the way in which member
countries trade with each other.
The Venezuelan
government
allows part of the costs to be
repaid through the bartering of
products and services. The most
widely known example of this is in
the case of Cuba, which sends
doctors to Venezuela. Other
countries use this mechanism to
pay through provision of goods.
For example, Jamaica provides
clinker, a cement component.
Guyana provides rice crops. And
Nicaragua pays with milk products,
meats, coffee, sugar, and cattle.
The member countries are:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
Antigua & Barbuda
Honduras
The Bahamas
Jamaica
Belize
Nicaragua
Cuba
Dominican Republic
Dominica
Saint Kitts and Nevis
Grenada
Saint Vincent and the Grenadines
Guatemala
Saint Lucia
Guyana
Suriname
Haiti
Venezuela
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SOCIAL INTERVENTION
PROJECTS
JEEP Wooden House Project
The JEEP Wooden House Project was implemented with funding from the
PDF to the tune of approximately J$900 million as at March 31 this year.
Approximately 3000 housing structures have been constructed benefitting
over 6000 householders from several disadvantaged communities across
the island.
JSIF School Sanitation Project
The GoJ’s mandate to eliminate pit latrines from the school system was
another major social intervention undertaken through proceeds from the
Petrocaribe Agreement. The PDF has committed close to J$360 million to
the Jamaica Social Investment Fund (JSIF) to implement this project. To
date, approximately 36 schools have benefitted from newly constructed
bathroom facilities with modern amenities which ultimately will boost the
general morale of the student population. Another 30 is to be completed in
time for the 2015/16 academic year. The JSIF Schools Sanitation Project
has impacted over 3000 school children so far.
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REFLECTIONS BY HER EXCELLENCY SHARON WEBER
AMBASSADOR OF JAMAICA TO THE BOLIVARIAN REPUBLIC
OF VENEZUELA
Celebrating Ten Years of
Achievements under the
PetroCaribe Initiative
represented the largest source of
concessional financing available to
the government and its selffinancing public bodies. Most
importantly, the government was
fully in charge of determining its
financing priorities as resources
were made available without
conditionalities.
The Initiative has been flexible and
has responded to the needs of the
region over the years. Jamaica
participated actively in PetroCaribe
Summits held in Cuba, Venezuela,
St. Kitts and Nevis, Nicaragua,
Haiti and El Salvador to review
progress and to further refine its
elements. Former Prime Minister,
T
he PetroCaribe Initiative, a
unique and innovative
development
tool
spearheaded by the late
President Hugo Chavez, has
delivered innumerable benefits to
Jamaica throughout its ten-year
existence. I have had the privilege
of participating in the process for
most of the period and have
observed the unfolding of this
important initiative which has
transformed relations between
Jamaica and Venezuela which
were formally established some
fifty years ago.
Jamaica’s engagement in the
initiative commenced under the
leadership of the Honourable P.J.
Patterson.
The relationship
between Prime Minister Patterson
and President Chavez began
during the latter’s visit to Montego
Bay to attend the G-15 meeting in
February 1999, shortly after his
election. Thus began a productive
and
rewarding
relationship
between the two leaders, resulting
in the deepening of Venezuela’s
support to the region.
President Chavez’ vision which is
enshrined in the PetroCaribe
Energy Cooperation Agreement
was signed on June 29, 2005.
Twelve other Caribbean states
endorsed this unique vehicle,
aimed at contributing to their
energy security, promoting their
socio-economic development and
fostering
closer
integration
throughout the region.
While the development objectives
were
crystal
clear,
much
uncertainty surrounded aspects of
this unique arrangement. The
Honourable Dr. Omar Davies,
former Minister of Finance and
Planning, embraced the historic
agreement, but also saw the
potential risks to the macroeconomic programme, if
loan
inflows
were
not
prudently
managed.
He oversaw the
creation of a specialized vehicle,
the PetroCaribe Development
Fund in December 2006 to
manage
the
inflows
from
Venezuela.
The initial years setting up the fund
were challenging, given the
uniqueness of the PetroCaribe
Initiative. Nevertheless, under the
direction of the Board of
Management and with operational
support from the Development
Bank of Jamaica, it gradually took
shape. Operational procedures
were
defined; lending
and
investment rules were developed;
procedures for handling inflows
and loan payments were created
and a programme of grants was
designed to provide support to the
most vulnerable groups and their
communities.
By March 2013, just under US$1.8
billion in loan financing was
provided to the Ministry of Finance
and several Public Bodies to assist
in financing development priorities.
In addition, a total of J$2.8 billion
was set aside as grant financing
for
social
projects.
Inflows
the Honourable Bruce Golding and
Prime
Minister,
the
Most
Honourable Portia Simpson Miller,
along with their respective energy
ministers
pursued
Jamaica’s
interests vigorously.
The process lost momentum as a
result of the illness and devastating
loss of President Chavez. However,
under the guidance of President
Nicolas Maduro, there has been a
resurgence of activity aimed at
deepening
economic
and
productive links through the
creation of an economic zone. In
addition, priority has been placed
on implementation of a “Plan of
Action to Eliminate Hunger and
Poverty Hugo Chavez Frias”.
Over the years, the PetroCaribe
process has been dynamic,
responding to the development
priorities of the region, and
promoting integration in a unique
and innovative manner. Jamaica is
deeply grateful for the visionary
leadership of Hugo Chavez who
has responded generously to our
most
fundamental
economic
challenges. We honor his legacy
by playing our part in achieving the
ultimate goal which is at the heart
of the PetroCaribe Initiative, that of
creating more just societies and
improving the welfare of the most
vulnerable amongst us.
24
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