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Thursday, May 16, 2013

Caribbean: a big winner from US shale gas

Most of the Caribbean countries are still relying on expensive dirty fuel oil to power their houses and industry. Jamaica spends 15% of its GDP on energy import bill. This is about to change with exports of US shale gas bonanza. Recent visit of President Obama to Costa Rica confirmed the policy intention to use gas exports as a foreign policy tool to help key allies, and reduce greenhouse emissions.  Several US LNG projects are targeting the niche market of the Caribbean/Central America from the Bahamas, Jamaica to Panama. These countries will be among the big winners from US shale gas boom-- as long as few infrastructure barriers in their domestic market are removed and private financing follows.

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