The Energy Chamber is saddened to learn that the Yara ammonia plant in Point Lisas will be closing at the end of the year. The Energy Chamber would like to acknowledge in particular, the impact of this decision on the Yara employees and the contractor workforce who will be negatively affected by the closure.
Yara was the first ammonia plant to be commissioned in Trinidad and pre-dates the construction of the Point Lisas industrial estate. Many of the country’s leading engineers learnt their trade working on this facility and it has for many decades provided the business opportunities that fostered the growth of locally-owned contractors and service companies. Hundreds of our member companies have provided services and supplies to the plant and it has contributed significantly to the local economy.
The closure of the Yara plant highlights the challenge faced by the downstream gas industry in Trinidad and Tobago. Competition from cheap shale gas in the United States and low commodity prices make it difficult for shareholders to allocate the capital needed to invest in the continued plant maintenance required to safely continue operations in Point Lisas. Notwithstanding the significant work done in the past few years to improve the supply of natural gas to the downstream sector, investors continue to have concerns about a sustainable supply of competitive gas in Trinidad & Tobago.
The long-term future of the petrochemical sector in Trinidad requires all players in the gas value chain to work together. The Energy Chamber is committed to continue playing its role in facilitating dialogue between all stakeholders, identifying opportunities to improve the ease of doing business and ensuring the competitiveness of the industry. We believe that the petrochemical sector in Trinidad & Tobago can have a sustainable future, but this will require the right policy framework and joint efforts by all stakeholders to improve productivity, efficiency and overall competitiveness.