A champion of energy services in Trinidad and Tobago Vernon-PALTOO

Despite incurring a relatively higher cost, the Resilience tugboat has proven to be a tangible example of the growing demand for low-emissions assets.

Vernon PALTOO President NATIONAL ENERGY

A champion of energy services in Trinidad and Tobago

August 16, 2024
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Dr Vernon Paltoo, president of National Energy Corporation of Trinidad and Tobago Limited (National Energy), talks to The Energy Year about the company’s efforts in supporting offshore activity and its progress towards developing a low-carbon commodities industry. As a subsidiary of The National Gas Company of Trinidad and Tobago Limited (NGC), National Energy is responsible for providing marine and logistical support to the local and regional petrochemicals sector through its port and towage operations.

This interview is featured in The Energy Year Trinidad & Tobago 2024

What have been some key focus areas in National Energy’s efforts to support offshore activity from 2023 to the present?
As one of the responsibilities of National Energy is to promote the energy services sector from Trinidad and Tobago, we work closely with many of the energy services companies to ensure they have the proper requisites to market themselves for offshore projects regionally and locally.
In addition to the energy services companies, we are working with various operators to ensure the optimisation of resources throughout their supply chain and our assets. For example, through collaboration with our sister company, LABIDCO, we are positioning our three key ports – Port of Brighton, Port of Galeota and Savonetta Piers – as a triad of locations where we can provide a wider range of services to the operators in the country, in a manner that facilitates the optimisation of resources for all parties.

How are energy services companies supported in meeting international standards and requirements?
One of the ways we help these companies develop their standards is by supporting their exposure to international engagements. When we participate in regional conferences or events such as the Offshore Technology Conference (OTC) in Houston, we encourage the energy services companies to participate as well. Multinational companies have certain standards, processes, systems and ways of operating in business, and those requirements need to be met to work with them.
When companies accompany us to international networking events, there is an understanding that they meet the minimum requirements and standards to engage with larger multinational entities. They are encouraged to work on their own development and standards when representing Trinidad and Tobago.

 

The National Energy Resilience tugboat is the latest addition to the company’s fleet. What significance does the vessel hold for your maritime operations strategy?
The addition of the National Energy Resilience was a deliberate decision to lead by example in the purchase of a new asset. This new tug operates with technologies that reduce nitrous oxide emissions by 80%, which is best in class. It is the only IMO Tier III-certified tug operating in Trinidad and Tobago, and, as of now, one of two operating in the Caribbean. It is a significant step for us in how we operate and as part of our message because we were not mandated to do this by the maritime operating rules of Trinidad and Tobago.
This purchase is significant for the local industry because it makes us more marketable to multinational companies actively seeking low-emissions assets for their operations. It provides us with a better opportunity to engage with the operators and has now become one of the most utilised assets in our fleet.
Despite incurring a relatively higher cost, the Resilience has proven to be a tangible example of the growing demand for low-emissions assets. It has encouraged us to plan for the acquisition of additional, similar assets, which will eventually replace our older vessels.

What role is National Energy expected to serve alongside NGC Green?
Both companies are subsidiaries of NGC which through active collaboration will help advance Trinidad and Tobago’s energy industry via the implementation of appropriate projects and initiatives.

Since the Roadmap to a Green Hydrogen Economy was presented in Trinidad and Tobago in 2022, what progress has been made towards developing a green commodities industry?
In April 2024, the Cabinet approved a revised and restructured Green Hydrogen Plan and an associated Wind Power Development plan. National Energy was named the executing agency on behalf of the government for these important projects.
Currently, our downstream sector is producing an average of 1.5 million tonnes of hydrogen per annum, with a full capacity of 2 million tonnes which could be taken advantage of without gas curtailments.
A study conducted and presented in collaboration with the Inter-American Development Bank had estimated that a potential 57 GW of power can be generated from the country’s onshore and offshore wind resources – enough to produce as much as 4 million tonnes of green hydrogen. The Roadmap is a structured programme which takes into consideration Trinidad and Tobago’s existing infrastructure that can be used to monetise green hydrogen faster than any other country in the Western Hemisphere at present.
We have an available market for green hydrogen, and furthermore, we have the installed infrastructure of petrochemical plants that allows us to monetise and export it. This is our competitive advantage in the green hydrogen market. Our next step will be to develop a pilot plan that will demonstrate the integration of the full value chain into one of our existing facilities.

How is National Energy promoting education on energy sustainability for citizens?
From our perspective, Trinidad and Tobago’s greatest asset is its citizens. The best value lies in the development and education of our people because we can use and export intellectual capacity developed over decades of experience.
It is important to develop people in a way that allows for sustainability and continuation, and we believe this starts from childhood and goes through all levels of education. Therefore, we actively engage with those age groups to increase the awareness of their role in the development and future of the country.
One example of how this initiative has been executed would be an energy sustainability debate competition for secondary school students. Students debate a wide range of topics around environmental and energy sustainability. They are required to prepare for both sides of the argument, which develops their research skills and increases their understanding of various energy sources.
In the tertiary education system, we work closely with both The University of Trinidad and Tobago and The University of West Indies to refine their curriculums in order to include innovation and development in the field of sustainable energy.

What other strides in energy efficiency and energy sustainability is the company actively working on?
We are currently in the pilot phase of the Super-ESCO [energy services company] project, which is an energy efficiency project that allows us to conduct energy audits in companies from which we determine how to improve and optimise the energy utilisation of their systems and processes. The implementation of these measures is funded by the savings from using less energy. We have already conducted initial assessments with several manufacturing companies.
Additionally, we are in the process of installing solar PV systems in particular schools and community centres which have been identified by the government as emergency centres in case of disaster.

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