Upcoming Launch Event 220 MW Renewable Energy110 MW BESS Request for Information (RFI) Session
Investment Opportunity:
Jamaica’s Second Tranche Auction for 220 MW RE + 110 MW BESS
Jamaica is accelerating its transition towards its 50% renewable energy mix by 2030. Building on the success of the first tranche 100 MWnet auction in 2023, which was oversubscribed five-fold, the Government of Jamaica, through its Generation Procurement Entity (GPE), is launching the largest RE plus BESS procurement in the English-speaking Caribbean region.
1. The Procurement Target
This second tranche focuses on high-capacity, reliable and firm renewable energy electricity generation through a co-location model.
- Renewable Generation: 220 MW net capacity (technology-neutral).
- Battery Storage (BESS): 110 MW / 220 MWh (2-hour duration).
- BESS Technology: Lithium Iron Phosphate (LFP).
- Grid Readiness: Supported by a comprehensive grid characterisation study to ensure seamless integration and efficient BESS operating parameters.
2. Commercial Structure & Bankability
The procurement is designed to attract both highly capable local and international developers and Independent Power Producers (IPPs) through a highly bankable framework.
- Business Model: Co-located RE & BESS on a Build, Own, and Operate (BOO) basis.
- Contract Term: 20-year Power Purchase Agreement (PPA).
- Contract Format: Two-Part Arrangement (Capacity plus Energy prices).
- Regulatory Framework: Governed by the Electricity Act, 2015, ensuring transparency and impartial competition.
3. The Request for Information (RfI)
This RFI is open to investors, prospective bidders, lenders and any other relevant stakeholders. Participants will have the opportunity to provide feedback on the Term Sheets for the Request for Proposal and Power Purchase Agreement for the upcoming 2nd Tranche Auction. Participation in this RFI is not mandatory to submit a bid once the Request for Proposal is launched.
4. The Second Auction Tranche Timeline (2026)
- Launch of the RFI: 19 March 2026
- Information Submission Deadline: 10 April 2026
- Auction Launch: Q3 2026
5. How to Participate
To ensure maximum efficiency, the process is managed by the GPE and submission process indication will be available soon.
- Contact: For general queries on the RFI – Generation Procurement Entity info@gpe.gov.jm
Additional Information: About the First Tranche
To provide potential bidders with a clear understanding of the market’s competitiveness and track record, here is the specific data from the 2023 Renewable Energy Auction (Tranche I). The success of the first round has demonstrated significant investor interest and achieved prices well below regional benchmarks.
First Tranche Key Performance Metrics
The auction was highly competitive, resulting in the following outcomes:
- Awarded Net Capacity: 99.83 MW (out of a 100 MW target).
- Oversubscription: The round was oversubscribed fivefold, receiving 484 MW in total submitted offers.
- Average Awarded Price: US$ 61.58/MWh.
- Regional Competitiveness: The average price was 14% below regional LCOE estimates for the Caribbean.
- Technology Trend: All 12 final bids received were for Solar PV technology, with the majority (8 out of 12) bidding for the maximum project size of 50 MW.
Economic and Environmental Impact
The results of the 2023 auction are projected to deliver long-term value to the Jamaican power sector:
- Financial Savings: Estimated US$ 415 million in net savings over the life of the 20-year PPAs.
- Fuel Substitution: Expected to save approximately US$ 298 million by reducing dependence on imported fossil fuels.
Decarbonisation: A projected cumulative reduction of 3.6 million tonnes of CO2 equivalent over the contract period.
