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120 INTERNATIONAL PUBLIC POLICY REVIEW Jamaica is maximizing its potential for extracting revenues from its international obligations. In this instance, Jamaica has ratified the Kyoto Protocol which contains a Clean Development Mechanism (CDM hereafter) where income is generated from reduction in carbon emissions. The mechanism’s function is demonstrated as, under the Kyoto Protocol, the Clean Development Mechanism (CDM) allows for coun- tries to trade emissions reductions to meet their targets. As a result, Wigton Wind Farm Limited is able to trade the emissions reductions saved by operating the wind farm, thereby allowing for a secondary income stream. Thus the project has both environmental and financial benefits (Wigton Wind Farm ). The immense benefits of the CDM were cemented on 13 December 2005, when Wigton Wind Farm Limited signed an agreement with the Corporacion Andina de Fomento (CAF), a multilateral development bank, for the sale of Certified Emission Reduction (CER) to the Nether- lands government. According to the agreement, which runs through the period April 2004 to December 2012, every ton of carbon dioxide saved has a sale price of €5.5 and will amount to total savings of some US $3.1 million over the period. “It is pro- jected that an effective efficiency and conservation improvement programme can reduce Jamaica’s oil import bill by US$150 million a year by 2015. An appropriate fuel switch can improve these savings by another US$600 million per annum” (Mian 2008). Under Vision 2030, Jamaica will diversify its energy supply to increase energy se- curity and to contribute to the cost efficiency of the country’s energy sector. The country has realized its dependence on a commodity with unpredictable price fluc- tuations, unstable supply and also hazardous effects on the environment. Jamaica has made laudable efforts in its attempts to keep to international obligations and also to pursue its own national development agenda. The island state holds excep- tional potential and according to Mr. Conroy Watson, Senior Director for Energy in the Ministry of Energy in Jamaica, “We are very blessed in terms of when you look at the colder countries up north. We have a lot more solar exposure than them, and they make greater use of solar energy. We should take a leaf from their book.” Spain Spain encompasses a total land area of 504,782 square kilometres, with a popula- tion of approximately 40,525,002 persons and an estimated GDP of USD $1.683 tril- lion (CIA World Factbook). Spain’s economy, population and land mass are all much larger than any single Caribbean country. However, although there is extreme differ- ence in size, there is far-reaching similarity when it comes to energy vulnerability. Throughout Spain’s recent history this weakness has been caused by uncontrolled fluctuations in energy supply and prices, especially with oil and gas. This is com- pounded by the reality that, Spain is poor in energy resources, with the exception of coal. Rapid industrial growth has intensified the problems caused by insufficient oil reserves, dwindling supplies of easily accessible high-quality coal, and inadequate water for power generation. Until the early 1980s, Spain increasingly depended upon imported petroleum, and overall energy consumption continued to grow in the 1973-79 period. Following adjustment to a slower rate of economic growth andPDF Image | Confronting the Energy Security Dilemma of the Caribbean
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