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Page 132

Public Bodies Ministry of Economic Growth and Job Creation (Other) Ports Management and Security Limited _____________________________________________________________________________________________

Public Bodies, FY 2020/21 Page 128 Ministry of Finance and the Public Service

Ports Management and Security Limited

Introduction The Ports Management and Security Limited (PMSL) was incorporated in April 2004 as a joint venture between the Jamaica">Port Authority of Jamaica (51%), Kingston wharves Limited (25%) and the Jamaica">Shipping Association of Jamaica (24%). PMSL was established to undertake the Jamaica">Port Authority of Jamaica’s (PAJ) mandate to ensure that the security systems and procedures at Jamaica’s seaports are upgraded to meet the requirements of the International Maritime Organization’s International Ship and Port Facility Security Codes (ISPS). PMSL has direct responsibility for the implementation of ISPS security requirements at Jamaica’s public ports and bonded warehouses. The provision of security services is aided by the use of non-intrusive cargo inspection equipment, closed circuit television, access control systems and underwater surveillance cameras leased from PAJ. Operational and Financial Highlights The preservation of the safety and integrity of Jamaica’s ports will remain a priority for the PMSL during the budget year. Accordingly, the PMSL will continue to collaborate with the PAJ to provide robust security systems in accordance with national and international standards. The PMSL will continue activities geared towards improving security at the ports, including:

• Replacing existing equipment in the Non-Intrusive Inspection Programme and surveillance systems with new technology. In this regard, the PMSL will continue works geared towards the renewal of security scanning equipment, through the purchase of a Rapiscan X- Ray machine and the expansion of CCTV and access control systems.

• Assessing existing systems and programmes designed to stem the flow of contraband to ascertain their effectiveness.

• Improving institutional capability to respond to emerging security threats in the context of existing and new business development.

• Continuing the robust training and development programme for employees.

PMSL projects a net profit after tax of $426.28 million (2019/20 Estimate: $632.23 million). PMSL plans to maintain its staff complement of eighty-two (82) employees for the budget year.

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June 12, 2021


Page 129

Public Bodies Ministry of Economic Growth and Job Creation (Other) Ports Management and Security Limited _____________________________________________________________________________________________

Public Bodies, FY 2020/21 Page 128 Ministry of Finance and the Public Service

Ports Management and Security Limited

Introduction The Ports Management and Security Limited (PMSL) was incorporated in April 2004 as a joint venture between the Jamaica">Port Authority of Jamaica (51%), Kingston wharves Limited (25%) and the Jamaica">Shipping Association of Jamaica (24%). PMSL was established to undertake the Jamaica">Port Authority of Jamaica’s (PAJ) mandate to ensure that the security systems and procedures at Jamaica’s seaports are upgraded to meet the requirements of the International Maritime Organization’s International Ship and Port Facility Security Codes (ISPS). PMSL has direct responsibility for the implementation of ISPS security requirements at Jamaica’s public ports and bonded warehouses. The provision of security services is aided by the use of non-intrusive cargo inspection equipment, closed circuit television, access control systems and underwater surveillance cameras leased from PAJ. Operational and Financial Highlights The preservation of the safety and integrity of Jamaica’s ports will remain a priority for the PMSL during the budget year. Accordingly, the PMSL will continue to collaborate with the PAJ to provide robust security systems in accordance with national and international standards. The PMSL will continue activities geared towards improving security at the ports, including:

• Replacing existing equipment in the Non-Intrusive Inspection Programme and surveillance systems with new technology. In this regard, the PMSL will continue works geared towards the renewal of security scanning equipment, through the purchase of a Rapiscan X- Ray machine and the expansion of CCTV and access control systems.

• Assessing existing systems and programmes designed to stem the flow of contraband to ascertain their effectiveness.

• Improving institutional capability to respond to emerging security threats in the context of existing and new business development.

• Continuing the robust training and development programme for employees.

PMSL projects a net profit after tax of $426.28 million (2019/20 Estimate: $632.23 million). PMSL plans to maintain its staff complement of eighty-two (82) employees for the budget year.

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June 12, 2021


Page 73

Public Bodies Ministry of Science, Energy and Technology (Selected) Petrojam+Limited">Petrojam Limited _____________________________________________________________________________________________

Public Bodies, FY 2019/20 Page 69 Ministry of Finance and the Public Service

Petrojam+Limited">Petrojam Limited

Introduction Petrojam is a limited liability company incorporated in October 1982 as a wholly owned subsidiary of the Jamaica">Petroleum Corporation of Jamaica (PCJ). In 2006, 49% of the company’s shares were sold to Petroleos de Venezuela S.A (PDVSA), with PCJ retaining controlling interest. The company operates the only petroleum refinery in Jamaica, processing crude oil into various finished products including liquefied petroleum gas, auto diesel oil, turbo fuel, heavy fuel oil, asphalt, and unleaded gasoline. Petrojam sources crude supplies primarily from Mexico, and Ecuador, while finished products are imported mainly from Trinidad and Tobago. There are two additional profit centres, shipping and bunkering, which are complementary to the refining operations of Petrojam. Operational and Financial Overview Petrojam’s operations will continue to be affected primarily by occurrences in the world oil market. Global demand for petroleum products are projected to increase marginally during the period, despite the impact of gains in transportation efficiency and the use of alternative sources of energy. It is not anticipated that there will be a significant upward movement in world oil prices. Due to the unavailability of supplies from PDVSA, Petrojam is seeking to secure comparable quality crude oil from other regional suppliers in Brazil, Ecuador and Colombia. The International Maritime Organization will implement a 0.5% global sulphur cap on marine fuels on January 1, 2020 which will restrict the sale of heavy fuel oil by Petrojam. To this end, Petrojam’s medium term strategic objectives are being reviewed to position the refinery to meet regional energy needs. The Company projects capital expenditure of US$37.99 million, in order to improve and maintain refinery capabilities, achieve cost efficiencies, as well as increase marketability. Petrojam is projecting a net profit of US$15.55 million (2018/19: US$22.31 million). The Company projects a staff complement of 247 permanent and 30 temporary employees (246 permanent and 29 temporary – 2018/19).

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June 12, 2021


Page 6

6 | P a g e

Part One

Introduction

Background

1.1 The Caribbean+Maritime+Institute">Caribbean Maritime Institute (CMI) was established in 1980 by the Government of Jamaica and the Kingdom of Norway to train professional seafarers; primarily Jamaican, to operate what was then the Merchant of Marine Fleet. The CMI was converted to an Executive Agency under the Ministry of Transport, Works and Housing in April 1, 2001 and is the only internationally recognized maritime training and educational institution in Jamaica and the Caribbean, delivering educational training across three faculties. These are: The School of Marine and Professional Studies, School of Academics Studies, and the School of Advance Skills, which caters to industry needs by providing short courses. 1.2 CMI core programmes are accredited by the International Maritime Organization (IMO) and the University Council of Jamaica (UCJ). In addition, CMI continues to maintain its ISO 9001:2008 certification from Lloyd Registers on Quality Assurance (LQRA), for its Quality Management System (QMS). 1.3 CMI operates in a global space that caters for both the core marine and allied industry courses aimed at producing internationally competitive seafarers. CMI relevance is dependent on its ability to maintain its strength as an internationally recognized institute through the provision of maritime education and ensuring that pool of competent expertise are developed to ally to industry needs. CMI continues to forge partnerships with international shipping companies to provide training and seek employment for Cadets, student and officers.

Vision Statement

1.4 The vision of CMI “is to be the premier institution of choice for maritime education, training and applied research within the Caribbean and beyond.”

Mission Statement

1.5 The mission of the CMI “is to provide solutions through the application of knowledge, talents, and skills to continue to redefine the boundaries of tertiary education and professional maritime training.”

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June 10, 2021


Page 12

12 | P a g e

Table 4 - Part time Adjunct Lecturers fee claims

Period

Number of Adjunct Lecturer

Adjunct Lecturer fee claims

($)

2014/15 N/P3 49,467,130.72

2013/14 N/P 52,560,594.47

2012/13 N/P 33,631,697.50

TOTAL 2534 135,659,422.69 Source: Information provided by CMI

2.14 We also noted that CMI overpaid two employees salary totaling $471,500 (Table 5) during the period 2012 and 2015, due to the incorrect computation of hourly rates. The officer’s signed employment contract, which stipulates that half the prescribed hourly rate will be paid, based on their qualification for lecturing hours. However, CMI paid the two officers the full rate ranging from $3,000 to $5,000 per hour, in breach of the contract agreement. To date, CMI has not taken steps to recover the overpayments.

Table 5 - Schedule of Salary Overpaid

Employee Amount due ($)

Amount Paid ($)

Overpayment ($)

Employee 1 124,500 249,000 124,500

Employee 2 347,000 694,000 347,000

471,500 943,000 471,500

Source: AuGD compilation from CMI records

One in three CMI‘s cadets did not gain seafarer experience

2.15 CMI Placement Procedures states that “Sea service is considered as part of a Seafarer training, as it allows for the practical application of the knowledge acquired in the classroom to ship-board experience. This is in keeping with International Maritime Organization standard that requires Seafarers to be trained in accordance with Standards of training, certification and Watch keeping (STWC) 1978 convention.” 2.16 Over the period 2007-08 to 2011-12, Of the 438 enrolled cadets, 247 cadets completed seafarer experiences and 152 cadets (or 38 per cent of cohort) were not exposed to seafarer training in contravention of the IMO policy and CMI Procedure; while the remaining 39 did not complete the studies. Consequently, the 152 students have not received the relevant certification to be gainfully employed as seafarers and would have difficulty obtaining employment on ships. We also noted that the percentage of cadets who graduated declined from a high of 46 per cent in 2007-08 to a low of 20 per

3 Not provided

4 CMI only provided total figure for the three years

...
June 10, 2021


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