“It is a major victory, because the claimants have been able to break the monopoly licence”
Attorney-at-Law Hugh Wildman representing CURE during victory over JPS Co
It seems a bit of history has occurred on Monday July 30th 2012, a two (2) days before Jamaica launched into our Jamaica 50 Celebrations on Wednesday August 1st 2012AD and Monday August 6th 2012AD, which Minister of Education, Youth and Culture Lisa Hannah said was a success as stated in the article “Hanna says Ja 50 celebration was a success” Published Wednesday August 15, 2012, The Jamaica Gleaner.
Rather, it has to do with the fact that we the Citizens of Jamaica have liberated ourselves from the Monopoly called JPS Co (Jamaica Public Service Company) as stated in the article “JPS licence not exclusive, court rules”, published Tuesday, July 31, 2012 by Paul Henry, The Jamaica Observer and “Court rules JPS exclusive license not valid”, published Monday July 30, 2012 4:42 pm by Barbara Gayle, Justice Coordinator, The Jamaica Gleaner!
The victory of CURE (Citizens United for the Reduction of the cost of Electricity), represented by claimants Dennis Meadows, Betty Ann Blaine and Cyrus Rousseau over JPS Co in the Supreme Court is the other big story in the Media that may have been smothered by the Olympics and the Jamaica 50 Celebrations.
Thus its significance is lost upon most Jamaicans as it is a historic occurrence, being as it heralds the coming of competition in the Distribution of Electricity in the Electricity Sector in Jamaica via a legal argument that challenged the validity of the JPSC Exclusive Electricity Distribution License.
The group, whose lead attorney Hugh Wildman matched wits with QC (Queen’s Council) Michael Hylton, argued against the validity of the JPS co twenty (20) year license granted in 2001AD based on Section 3 of the Electric Lighting Act of 1890. This piece of legislation does not allow for any one Electricity Producer to have exclusive rights to distribute Electricity in Jamaica and is actually based on a similar legislation from England.
Thus it calls into question the powers of the OUR, as the OUR’s ability to regulate and all other Acts of Law that give the OUR power to Regulate Electricity in Jamaica, all of which were based on the Electric Lighting Act. This would bring into question all regulatory work done by the OUR, an arm of the GOJ (Government of Jamaica) and bring to question the Minister of Energy, Telecommunications and Mining, Phillip Paulwell, who had signed the 20 year license for the JPS Co.
In short, Supreme Court Judge Bryan Sykes decided to avoid the long drawn out investigative argument to look back into history at the OUR as well as previous Ministers of Energy, Telecommunications and Mining signing of JPS co Licenses and declared the License invalid. Justice Supreme Court Judge Bryan Sykes summary judgement sums up best, quote: “That is not what Section 3 [of the Electric Lighting Act of 1890] in my view, intended. The exclusive licence to JPS did that. The minister does not have the power to grant a licence upon terms that bars the possibility of any other person entering the market for transmission of electricity. The term of JPS’ licence granting it exclusive right to transmit electricity is not valid.”
The ruling not only means that JPS Co has to accept competition via energy Sector Liberalization, but also continue making losses to theft of Electricity and Distribution inefficiencies in their Power Grid. Not to mention the JPS Co and the GOJ having to pay the legal expenses of CURE! Interestingly too Minister Phillip Paulwell was cleared of any wrongdoing, mainly due to the fact he made the decision on the advice of his well-paid Advisors on matters relating to Electricity Generation and Energy.
It’s good to note to his credit, Minister Phillip Paulwell was in Korea negotiating with majority shareholder in JPS Co Korean Company EWP (East West Power) as stated in the article “Paulwell reacts to JPS court ruling”, published Tuesday July 31, 2012 8:40 am by Jerome Reynolds, The Jamaica Gleaner.
His reaction to the development was that this would bolster his move to step up the liberalization of the Electricity Grid to allow for competition in the Distribution of electricity. That is, after he got back home and got his wits about him and read Supreme Court Judge Bryan Sykes ruling and how it impact on the JPS Co’s twenty (20) year exclusive Distribution License.
For some strange reason at the Tuesday August 14th 2012AD Gleaner Editor’s Forum, Dr. Carlton Davis declared that a properly regulated monopoly on Electricity Distribution is best for Jamaica as stated in the article “Monopoly is best”, published Wednesday August 15, 2012 by Daraine Luton, Senior Staff Reporter, The Jamaica Gleaner.
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