Rubis Caribbean is still willing to refurbish its terminal at Spring Garden, St. Michael.
Chief Executive Officer of Rubis Caribbean, Mauricio Nicholls reaffirmed their willingness to make that an investment, noting that while they have to get official estimates, it could cost as much as US$30 million. He said the reopening of the terminal was one of the proposals made to Minister responsible for Energy, Senator Darcy Boyce during the first half of last year, but for which they are yet to receive a response.
He told the media during a press conference yesterday morning, that having a second terminal on the island would be of tremendous benefit to Barbados, not only ensuring that there are lower risks of the disruption of supply, but he said, it would result in increased employment.
“We would have to hire more people to run Spring Garden with all of the fuels we would bring into Spring Garden, and increased investment, it means that we would make a sizable investment to rebuild our tanks,” he said.
On the other hand Nicholls lamented that if the sale of BNTCL goes through as proposed, the Sol Group of Companies would essentially control the market, and this, he lamented, could have implications for Rubis’ position in the fuel business going forward.
“It is not going to happen overnight, not to say that on day one when Sol takes over the BNTCL everything changes and we disappear immediately, that’s not the case. It is a gradual process and sometimes it is a very slow process and sometimes it is very difficult to see this is really taking place. But little by little, all of these little things have the potential of eroding our position more and more and more, to the point that we may be pushed out of certain businesses,” he indicated.
Nicholls referring specifically to the proposal from Sol that there be a 15-year moratorium on the building of terminals for the storage and handling of the products presently being stored and handled by BNTCL, said it is very difficult for them to accept the idea that they would be in the hands of Sol for the next 15 years.
“That would be very, very hard for us to live, and try to continue to compete… and then we would have to analyse what options we have, what does that mean? Do we fight the fight and hold on and try to survive, even if it means that our profits would be affected and our financial position would be weakened, then our market position would be undermined? I don’t know the answer to that, it is a long, long period,” he said.
With that in mind, he made it clear if Rubis were forced to drop out of the Barbados’ market, no other player is likely to enter given that the “critical inventory” for their business is controlled by the competitor. (JRT)