E10 Blend Expected to save Jamaica US$92 Million on Fuel Imports

Group Managing Director of the Petroleum Corporation of Jamaica (PCJ), Dr. Ruth Potopsingh says, Jamaica is project to save US$92 million on its energy bill annually with the introduction of E10 blended gasoline.

Dr. Potopsingh said the sale of E10 is expected to put a significant dent in the price of petrol to motorists and other users, adding that the benefits accruable should begin to manifest during the next fiscal year.

"I think that by the next fiscal year, we will see some decline, if the price of oil on the international market continues to fall, because that is a major factor that affects our import bill. E10/87 is being sold for $60.95 at the Portmore Petcom station compared to 90 Octane, which is $67.95. So consumers will benefit, and this will be the trend island wide," she said.

She pointed out that the environment and stakeholders in the sugar cane industry are expected to benefit, as E10 is a significantly cleaner fuel blend.

"Equally important… is the fact that it offers an opportunity for our local sugar cane industry to be developed, for us to introduce new technologies, to bring the industry beyond just making sugar, and to make it into an industry, making value added products, like ethanol, that have a higher value. This augurs well for the country, in satisfying our national demands and export earnings."

Dr. Potopsingh advised that approximately 90 per cent of the vehicles currently being operated in the island, are compatible with E10, and encouraged motorists who consistently use the higher 90 Octane blend, to revisit their motor-vehicle manuals to ascertain whether their units can utilise the E10/87 blend.

Over 100 service stations have been certified by the Ministry of Energy, and the Bureau of Standards Jamaica (BSJ), to dispense E10. However, only those located between the central and eastern ends of the island will be able to retail in the immediate future. This is as a result of work currently being carried out on the construction of a petroleum distribution facility in Montego Bay, St. James, which is expected to be completed for the phased E10 roll-out in that region next April.

Posted 2008 November 13

Source: Jamaica Information Service