As Wisynco plots the expansion of both its product line and factory, the company is optimistic it can complement these plans with cost savings from its yet-to-be commissioned cogeneration plant.
In a recent report to shareholders, Chairman William Mahfood and CEO Andrew Mahfood wrote, “Our Cogeneration plant is scheduled to be commissioned during our third quarter (March 2020) and we look forward to the cost savings and efficiencies which this will bring.”
In February 2014, signalled its intention to invest in an energy-saving facility. At the time the company said it planned to use liquefied petroleum gas (LPG) to fire its dual-fuel engine until liquefied natural gas (LNG) becomes available in Jamaica.
“The plant is actually installed now. They’re getting ready to start testing it and it is anticipated we would start sometimes to the end of March.”– Chairman of Wisynco Group, William Mahfood
“We are very close to finalising the deal, we’ve identified a partner and have decided which system to use,” chairman of Wisynco Group, William Mahfood, told Jamaica Observer’s Caribbean Business Report at the time.
The cogeneration plant would also include an expanded biological waste-water treatment plant to purify water.
However, in December last year at Wisynco’s annual general meeting, Mahfood told Caribbean Business Report that the commissioning of the plant, which should have already been operational, had been delayed due to the late arrival of parts.
With the arrival of the plant’s components, Mahfood assured the plant would be fully functional by next month, March.
In a follow-up interview at the chairman’s Lakes Pen office, Mahfood revealed, “The plant is actually installed now. They’re getting ready to start testing it and it is anticipated we would start sometimes to the end of March.
“We expect savings from it to be about US$1 million a year — so about JM$140 million to JM$150 million in net savings.”
He added that the savings realised from the cogeneration plant will create room for Wisynco to embark on additional production. The chairman even estimates that the facility will reduce the company’s dependency on the Jamaica Public Service grid by 20 per cent, but will not at this time engage in net billing.
“But the reality is that it will give us an understanding of managing our own energy capabilities and maybe, hopefully, one day further reduce that dependency,” Mahfood stated.