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JAMAICA MACRO SOCIO-ECONOMIC AND ENVIRONMENTAL ASSESSMENT OF THE DAMAGE AND LOSS CAUSED BY HURRICANE SANDY Prepared by the Planning Institute of Jamaica January 2013

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Page 1: jamaica macro socio-economic and environmental assessment of

JAMAICA MACRO SOCIO-ECONOMIC

AND ENVIRONMENTAL ASSESSMENT

OF THE DAMAGE AND LOSS CAUSED BY

HURRICANE SANDY

Prepared by the Planning Institute of Jamaica

January 2013

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TABLE OF CONTENTS

I. INTRODUCTION 1

1. The Meteorological Phenomenon 1

2. Emergency Actions and Expenditures 9

3. Affected Population 14

II. SOCIAL SECTORS 17

1. Health 17

2. Education 20

3. Housing 23

4. Civic Buildings 25

III. PRODUCTIVE SECTORS 28

1. Agriculture 28

2. Tourism 37

IV. INFRASTRUCTURE 38

1. Electricity & Water Supplies 38

2. Transport, Storage & Communication 45

3. Telecommunications 48

V. IMPACT ON THE ENVIRONMENT 50

1. General Comments and Overview of Pre-Existing Conditions 50

2. The Impact of the Hurricane 51

VI. SUMMARY OF DAMAGE AND LOSSES AND MACROECONOMIC EFFECTS 61

1. Introduction 61

2. Macroeconomic Overview 63

3. Performance after the Disaster 82

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LIST OF TABLES Table 1.1: Comparison of Sandy’s Cumulative Point Rainfall (October 23-25, 2012) with Climatological Means. 5

Table 1.2: Showing Maximum wind gusts for three AWSs 6

Table 1.3: Jamaica: Estimated Affected Population Due To Heavy Rainfall And Flooding From Hurricane Sandy 14

Table 2.1: Total Damage and Losses sustained by the Health Sector 18

Table 2.2: Estimated Cost for the Vector Control Programme 19

Table 2.3: Damage and Losses – Equipment and Furniture 20

Table 2.4: Damage to Institutions across Parishes 21

Table 2.5: Damage Sustained by Households by Parish 24

Table 2.6: Damages Sustained at various Residential Child Care Facilities 25

Table 2.7: Summary of Damage to Heritage Sites 27

Table 3.1: Total Damage to Agriculture Sector due to Hurricane Sandy 28

Table 3.2: Cost of Damage to Cash Crops by Parish due to Hurricane Sandy 29

Table 3.3: Cost of Damage to Livestock by Parish due to Hurricane Sandy 30

Table 3.4: Estimated Cost of Damage to Fishing Industry due to Hurricane Sandy 34

Table 3.5: Cost of Damage to Irrigation Infrastructure due to Hurricane Sandy 35

Table 3.6: Cost of Damage to CASE Crops and Structures 35

Table 3.8: CASE Tutorial Farm Damage to Structures J$ 36

Table 4.1: Infrastructure – Damage and Loss$ Million 38

Table 4.2: Damage to Transmission Network 39

Table 4.3: Damage to Distribution Network 40

Table 4.4 : Restoration Activities 42

Table 4.5: Estimated Cost of Damage to NWC Infrastructure by Parish 44

Table 6.1: Total Cost of Damage & Loss from Hurricane Sandy 61

Table 6.2 - Selected Labour Force Indicators 65

Table 6.3: Employed Labour Force By Industry 66

Table 6.4: Traditional And Non-Traditional Exports: January-September 2011, 2012 (US$ Million) 68

Table 6.5: Merchandise Imports And Exports: January- September 2011, 2012 (US$ Million) 69

Table 6.6: Year Over Year Change Of Value Added By Industry At Constant (2007) Prices 70

Table 6.7: Domestic Crop Production, January - September 2011, 2012 72

Table 6.8: Bauxite/Alumina Production And Exports 74

Table 6.9: Selected Construction Industry Indicators, January – September 75

Table 6.10: JPSCO: Electricity Generation & Disposal (Million Kwh) 77

Table 6.11: Visitor Arrivals, January – September, 2011 – 2012 81

Table 6.12: Projections For Year On Year Change In GDP By Industry At Constant (2007) Prices 84

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LIST OF FIGURES

Figure 1.1: Forecast track of Tropical Depression Number 18 at 10:00 a.m. on Monday,October 22, 2012. 1

Figure 2: Showing forecast track of Tropical Storm Sandy at 4:00 a.m. on Tuesday October 23. 3

Figure 1.3 : Surface Wind Field of Tropical Storm Sandy at 5 AM EDT 7

Fig 1.4: Tropical Storm and Hurricane Force Wind Swaths of Sandy from Monday 8

October 24 to Friday October 26, 2012

Figure 1.5: Hurricane Sandy (Storm Surge) – Possible Affected Areas 11

Figure 1.6: Hurricane Sandy - Affected Communities 11

Figure 1.7 Shelters with the Highest Occupancy Before Landfall 12

Figure 1.8 Shelter Occupancy Levels during Hurricane Sandy (October 23-25, 2012 13

Figure 1.9: Shelter Occupancy by Parish (October 25, 2012) 13

Figure 1.10: Security of Tenure - Applicants for Emergency Relief Assistance 15

Figure: 1.11: Physical Condition – Applicants for Emergency Relief Assistance 16

Figure 2.2: Pictures showing High Water Marks at the Port Maria Secondary School 22

Figure 2.3: Housing Statistics – Applicants for Emergency Relief Assistance 24

Figure 2.5: Cracks in Building Steps at Stony Gut, St. Thomas 26

Figure 2.4: Fallen Tree at Rio Nuevo Battle Site, St. Mary 26

Figure 4.1: Hurricane Sandy Restoration Process 41

Figure 4.2: Number of Customers without Water Immediately After the Passage of Hurricane Sandy 43

Figure 5.1 Map showing select areas of damage in Manchioneal, Portland 52

Figure 5.2: Section of Port Maria where coastal vegetation has been damaged 53

Figure 5.3: Section of a beach at the Bahia Principe Hotel, St Ann where sand was completely lost 53

Figure 5.4: Images showing the erosion taking place in Boscobel, St Mary 54

Figure 5.5: Section of a beach in Burwood, Trelawny where some seagrass beds were uprooted. 54

Figure 5.6: Deposition of seagrasses along the Long Bay beach in Negril 55

Figure 5.7: Erosion taking place in Bull Bay, St Thomas causing changes to drainage channel 56

Figure 5.8: A tree bent from wind being propped up by a member of the Forestry Department 57

Figure 5.9: Landslide blocking access routes in Oatley/Rose Hall, St James 58

Figure 2: Destruction of a bridge spanning the breath of the Hope River in Kintyre, St Andrew 59

Figure 6.1– Unemployment Rate by Quarters, 2010-2012 64

Figure 6.2 Change in Real GDP for the Jamaican Economy (January – September 2002-2012) 71

Figure 6.3: Agriculture Quarterly Real Value Added Growth Rates 72

Figure 6.4: Real GDP Growth Before and After the Event 83

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PREFACE

This report documents the impact of Hurricane Sandy on the affected population; estimates costs of

damage and losses; and identifies geographically affected areas.

The assessment was prepared by the Planning Institute of Jamaica in close collaboration with the

Office of Disaster Preparedness and Emergency Management (ODPEM) and other member agencies

of the Disaster Impact Assessment Core Team1. Data and information on the damage and losses were

provided by various ministries and agencies of the Government of Jamaica as well as several non-

government institutions and private sector entities. These include, among others:

- Meteorological Services, Jamaica

- Ministry of Labour and Social Security

- Ministry of Health

- Ministry of Education

- National Works Agency

- Ministry of Water and Housing

- Ministry of National Security

- Ministry of Agriculture and Fisheries

- Rural Agricultural Development Authority

- National Water Commission

- Jamaica Public Service Company

- Forestry Department

- Water Resources Authority

- National Environment and Planning Agency

The assessment was made using the United Nations Economic Commission for Latin America and

the Caribbean (UNECLAC) Damage and Loss Assessment (DaLA) methodology for estimating the

socio-economic and environmental effects of disasters. The ECLAC methodology is based on a

stock-flow analysis of the difference before and after an event. Through a sectoral approach, it

provides guidelines for the aggregation of value (damage and losses), to be used in the evaluation

following an event. The methodology is a basic accounting approach based on the national account

framework and impact multipliers in the economy. The information supplied in the report is

preliminary and subject to revision. The cut-off point for data used in the report was December 24,

2012.

1 The Disaster Impact Assessment Core Team consists of representatives from the PIOJ, Office of Disaster

Preparedness and Emergency Management, Meteorological Service, Jamaica, Ministry of Labour and Social

Security, Ministry of Health, Ministry of Education, National Works Agency, Ministry of Agriculture and Fisheries,

National Water Commission, Jamaica Public Service Company and the National Environment and Planning Agency

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EXECUTIVE SUMMARY

Description of the Event

Hurricane Sandy impacted the island not from the traditional, south-easterly direction but from

the south during what can be considered as the latter part of the North Atlantic Hurricane season.

Rainfall analysis associated with the passage of Hurricane Sandy show that the three-day totals

for rainfall was below their 30-year mean at most stations. Rainfall volumes at four stations

exceeded the 30-year mean. The highest volume of rainfall was recorded in Portland but the

station which exceeded the mean by the highest margin was Norman Manley International

Airport (NMIA) at 75 per cent above the 30-year mean for monthly rainfall recorded for this

station.

Summary Cost

The total cost of direct and indirect damage associated with the passage of Hurricane Sandy was

estimated at $9.7 billion (US $107.14 million2), of which $9.4 billion was damage and $0.3

billion loss3. Of the total damage, privately owned properties accounted for approximately

seventy per cent ($6.6 billion), while publicly owned properties accounted for $3.1 billion.

Disaggregated by sector, the Social sector accounted for the largest portion of the damage (48.2

per cent). This was followed by damage incurred by the Infrastructure Sector (27.5 per cent); the

Productive Sector (17.2 per cent); and Emergency Operations (7.0 per cent).

The estimated $9.7 billion in total cost represents 0.8 per cent of 2011 current GDP. This shock

combined with the adverse developments in the international and global environments, initiated a

downward revision of 0.4 percentage point in GDP estimates, resulting in a revised GDP change

of -0.1 per cent for FY2012/13.

Infrastructure

Unlike previous years, the country’s physical infrastructure did not bear the brunt of the damage

caused by the extreme weather event. Damage and losses to the country’s infrastructure –

electricity, water and sanitation, transport and communication was estimated at $2.7 billion.

Damage to road infrastructure was worst in the parishes of St. Thomas, Portland, St. Mary and

St. Ann fared the worse. Damage was due to a combination of factors, including blockage

caused by landslides, fallen trees, light poles and power lines; blocked drains and culverts,

flooded rivers and storm surges. The preliminary estimates of the total cost to reopen blocked

roads amounted to $710.16 million. The bulk of this amount ($695.66 million) represents the

estimated cost to clear blocked roads, effect temporary road repairs and to clean critical drains.

2 Exchange rate: J $90.64 = US $1 (Bank of Jamaica Average Exchange Rate for October 2012) 3 The estimates delineated for losses may be underestimated as at the time of writing the

relevant data were not fully tabulated.

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Preliminary estimates indicate that the electricity sub-industry sustained damage of some $644.0

million, which includes direct costs (third party cost, material/equipment and overtime). A total

of 460 893 customers (approximately 70 per cent) of the customer base experienced interruptions

in their electricity supply during and after the passage of the storm. Service was restored to 90

per cent of the customer population within 4 days after the storm.

The passage of Hurricane Sandy affected a number of the National Water Commission (NWC)’s

water supply systems, resulting in disruption in regular water supply to approximately 248,612

customers. At October 30, the NWC was able to restore water supply to 80 per cent of its

customers. Preliminary investigations indicated that the NWC will have to expend over $215

million to restore its water supply systems and commercial office to a fully operational level. Of

the estimated total, $100 million is directly related to the replacing of a dislocated pipeline and

bridge at the flood prone Yallahs in St. Thomas.

Transportation

There was no physical damage to the Jamaica Urban Transit Corporation (JUTC’s) facilities, but

the company sustained losses in revenue due to the closure of schools and other places during the

hurricane. The average revenue for the week prior to Hurricane Sandy was approximately $64.7

million compared with $39.8 million during the week of the hurricane.

Agriculture

Preliminary figures from the Ministry of Agriculture indicated that total damage and loss to the

agriculture sector was estimated at $1.452 billion. Banana farmers in St. Mary, Portland and St.

Thomas experienced damage of 93, 96 and 100 per cent respectively. Damage to cash crops

(banana/plantain, roots and tubers, vegetables, condiments) and fruits was estimated at $1.25B

covering 37 000 farmers on 2 815 hectares of land. The value of livestock (poultry, pigs, goats,

cattle, rabbits, bee colonies, sheep) damage across the parishes is $95M covering 3 600 farmers.

In addition, the College of Agriculture, Science and Education (CASE) in Portland sustained

damage to crops and infrastructure amounting to approximately $32.97 million.

Tourism

The hurricane did not adversely impact the tourism sector, however, Montego Bay, Falmouth

and Ocho Rios, all lost ship calls from the Royal Caribbean and Carnival Cruise lines, because

they changed their itineraries as a result of the hurricane. More than 8,000 passengers were

scheduled to dock at the three piers.

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Education

Total damage to educational institutions is estimated at $170 million. The majority of the

institutions damaged were located in the north-eastern, eastern, and south-eastern parishes. These

included St. Mary, Portland, St. Thomas, Kingston and St. Andrew, and St. Catherine. As a

result, 3 school days were lost and over 215 000 children and over 11 000 teachers were

affected.

Health

Damage to the health sector is estimated at $180. 15 million, while losses amounted to $161 50

million, for a total of $341 65 million. The Ministry of Health reported that one person died as a

result of the hurricane, an elderly man of Bedward Gardens, St. Andrew who was crushed when

a boulder fell on his house. In addition, a total of 291 injuries were reported at several hospitals,

one Children’s Home, and other primary care facilities across the island.

Affected Population

Approximately 25.2 per cent of the total population or some 681,018 persons from 123

communities were directly and indirectly affected by the natural disaster. Some 17 198

households applied to the Ministry of Labour and Social Security (MLSS) for emergency relief

assistance due to damage to household items and properties as a result of the hurricane. The

parishes of St. Mary and Portland accounted for 62.27 per cent (10 709) of the total number of

households affected. Some 37 000 cash crop farmers, across 13 parishes experienced losses of

up to $1.25 billion, while 3 600 livestock farmers suffered losses of up to $95 million.

A total of 17 198 households sustained damage to houses and household items. Some 807 houses

were totally destroyed, while others experienced minor to severe damages (10 307 and 5 232

respectively). The parishes of St. Mary and Portland accounted for 62.27 per cent (10 709) of the

total number of households affected.

Environment

Damage sustained as a result of the hurricane was primarily concentrated in the eastern parishes

of Portland, St Mary and St Thomas. Wind, storm surges and heavy rains caused the majority of

the damage, affecting both coastal and terrestrial ecosystems. Storm surges were primarily

responsible for the beach erosion; damage to ecosystems; and damage to select coastal

infrastructure. Forests were also impacted by the onslaught of Hurricane Sandy, particularly as

some areas were affected by rains and winds associated with Tropical Storm Isaac 3 weeks

prior. Younger plantations (trees of 2-5 ft.) experienced the brunt of the impact as wind gusts

resulted in trees being toppled. Native tree species fared well and did not undergo any

significant/major damage. In St Mary, an estimated 60 per cent of sites observed had between

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25-50 per cent crown damage, while an estimated 20 per cent of the sites showed severe (greater

than 51 per cent) crown damage. A similar situation was experienced in Portland, particularly in

such areas as Innes Bay, Manchioneal, Canewood to Hope Bay and St Margarets Bay.

Landslides occurred in several areas, hampering efforts to fully assess forests and causing other

forms of damage. Access routes to some important forest areas were blocked.

Rivers in many areas were in spate due to the rains. On October 24, 2012, gauge readings from

the Hope River station near Gordon Town showed that the river rose to 2.58m during event

compared with 0.88m prior. The turbidity and high debris associated with landslides and the soil

erosion further upstream forced the National Water Commission (NWC) to close its intake in the

river. The debris and heavy flow also resulted in the destruction of a bridge in Kintyre, St

Andrew.

Emergency Operations

Emergency actions taken by the ODPEM prior to the onset of the hurricane involved spatial

analysis e to identify parishes, communities and associated population likely to be impacted by

flooding and storm surge. The information was used to guide pre-positioning of equipment,

human resources and welfare items in the eastern and northern regions of the island and the

allocation of $35million in tranches of between $350 000 - $500 000 to support parish level

relief operations. Over the period October 23- November 1, 2012, 1 000 food packages were

distributed from the ODPEM Stores and relief supplies (blankets, mattresses, tarpaulins and

water containers) sent to all the affected areas. The cost of these activities totalled $15 million.

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I. INTRODUCTION

1. The Meteorological Phenomenon

Introduction

Hurricane Sandy impacted the island not in the traditional way but from the south during what

can be considered as the latter part of the North Atlantic Hurricane season. Jamaica was placed

under a TROPICAL STORM WATCH as shown in Figure 1 as the area of low-pressure that was

lingering over the southern Caribbean Sea developed into Tropical Depression Number 18

(TD18) at 10:00 a.m. on Monday October 22, 2012. The centre of TD18 was then located near

Latitude 13.5 degrees North, Longitude 78.0 degrees West, or about 515 kilometres (320 miles)

south-southwest of Kingston, Jamaica or 380 kilometres (235 miles) south of the Pedro Cays.

Fishers on the cays and banks were strongly advised to evacuate immediately and begin

returning to the mainland.

Figure 1.1: Forecast track of Tropical Depression Number 18 at 10:00 a.m.

on Monday,October 22, 2012.

Source: Meteorological Service Jamaica

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Other small craft operators in our coastal waters were advised to return to port and small craft

operators who were in port advised not to venture out. The area of low pressure had moved

slowly westward from south of Hispaniola before developing. The initial forecast was for TD 18

to move across Jamaica on Wednesday October 24, 2012 as a tropical storm. Over the next 12

hours, TD18 moved very little while slowly gaining strength. It further strengthened to become

Tropical Storm Sandy at 4:00 p.m. on Monday October 22. Figure 1: Showing forecast track of

Tropical Depression Number 18 at 10:00 a.m. on Monday October 22, 2012.

The TROPICAL STORM WATCH was upgraded to a TROPICAL STORM WARNING and a

HURRICANE WATCH at 4:00 p.m. on Tuesday October 23, 2012. T.S. Sandy also began

moving slowly towards the north with maximum sustained winds of 75 km/h. T.S. Sandy was

now forecast to make landfall on Wednesday afternoon as a Category One Hurricane based on

the Saffir-Simpson Wind Scale. Jamaica was forecast to be affected over the next 24-36 hours,

by rainfall amount of over 250 millimetres (10 inches), especially over central and eastern

sections of the island. Flash flooding and landslides were also expected with tropical storm

conditions expected by early Wednesday morning, and hurricane conditions later in the day.

Storm surge was also forecast along the south-eastern coastline of the island. All small craft

operators including fishers from the cays and banks were expected to have completed all the

necessary safety precautions and were advised to remain in safe harbour until all warning

messages had been lifted and wind and sea conditions returned to normal.

Jamaica was placed under a HURRICANE WARNING at 11:00 a.m. on October 23, 2012 as

shown in Fig 1.2 as T.S. Sandy gained strength while moving toward the north-northeast at 7

km/h. At this time T.S. Sandy was located some 480 km south-southwest of Kingston and had

maximum sustained winds of 85 km/h. The wind and rain forecast over the next 24-36 hours

remained the same with storm surges expected to be 1-2 metres above normal tide levels.

Bulletin number 12 when released should T.S. Sandy gaining strength and increasing in forward

speed. The maximum sustained winds were 95 km/h with the forward speed increasing to 17

km/h, dangerously high water and wind speeds of more than 118 km/h were predicted in less

than 24 hours.

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T.S. Sandy reached hurricane strength on Wednesday October 24, 2012 at 10:00 a.m. and had

maximum sustained winds of 130 km/h with higher gusts making it a Category one Hurricane.

On the forecast track, which had been shifted slightly eastward, tropical storm force winds were

expected to spread across the country later in the morning and during the afternoon.

Figure 2: Showing forecast track of Tropical Storm Sandy at 4:00 a.m.

on Tuesday October 23.

Source: Meteorological Service Jamaica

Hurricane-force winds were expected to affect mainly eastern parishes later in the afternoon as

the centre of Hurricane Sandy was expected to move over western St. Thomas and Portland.

Storm surges of 1-3 metres (3-10 feet) were now expected over coastal St. Thomas with above

normal seas along the north coast when the system departed the island. All small craft operators

were reminded to remain in safe harbour until all warning messages had been lifted and wind and

sea conditions had returned to normal.

The eye of T.S. Sandy made landfall at 2.00 p.m. Wednesday October 24, 2012 some 8 km east

of Kingston, Jamaica with maximum sustained winds of 130 km/h and with higher gusts and a

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minimum central sea level pressure of 972 mb. At 4:00 p.m. Wednesday October 24, 2012, the

centre of Hurricane Sandy was located near Latitude 18.3 degrees North, Longitude 76.6 degrees

west about 20 km (12 miles) north of Port Antonio, Portland, or 40 kilometres (30 miles) north-

northeast of Kingston, Jamaica. Residents were advised to continue to be prepared for extensive

flooding and dangerous landslides, especially over central and eastern parishes. Tropical storm

force winds were also expected to continue into the evening before gradually decreasing later in

the night. Thereafter, periods of strong, gusty winds were forecasted to occur associated with

thunderstorm activity.

The Meteorological Service (MS) discontinued the Hurricane Warning for Jamaica at 5:00 a.m.

Thursday October 26, 2012 as significant improvement in weather conditions were being

experienced after the passage of Hurricane Sandy. At that time, hurricane or tropical storm force

winds continued to move away from the island with T.S. Sandy being located about 75 km (40

miles) east of Holguin, Cuba, or 300 km (185 miles) north of Morant Point, Jamaica. The

maximum sustained winds had increased to near 165 km/h (105 mph), with higher gusts making

it a Category Two Hurricane. Small craft operators were advised to continue exercising caution

until wind and sea conditions had returned to safe levels.

Rainfall Analysis

The Meteorological Service also monitors a network of rainfall and automatic weather stations

across the island; each of which records the accumulated rainfall over each 24-hour period, that

is, 7:00 a.m. of day to 6:59 a.m. of the following day. This facilitates a quantification of flooding

events, and comparative analyses with prior events and established climatological averages. This

analysis is an evaluation of several parameters and includes a comparison of the 3-day totals with

the 30-year (1971-2000) mean for the month of October. Table 1.1 is based on the rainfall

amounts collected from selected rainfall stations across the island during the period October 23-

25, 2012. Table 1.2 outlines at three selected Automatic Weather Stations the maximum wind

gust, the maximum average/sustained wind speed and lowest pressure during the period October

23-25, 2012.

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Table 1.1: Comparison of Sandy’s Cumulative Point Rainfall (October 23-25, 2012) with

Climatological Means.

Rainfall analysis associated with the passage of Hurricane Sandy show that the three-day totals

for rainfall failed to exceed their 30-year mean at most stations. Rainfall show that volumes at

four stations exceeded the 30-year mean. Most of these were located over central or eastern

parishes. These stations were:

- KSA- Manley International Airport (NMIA) (175 per cent of normal).

- Portland- Fruitful Vale (152 per cent).

Source: Meteorological Service Jamaica

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- Portland- Bybrook (123 per cent).

- St. Catherine- Enfield (116 per cent)

The highest volume of rainfall was recorded in Portland. The three stations reporting, recorded

maximum rainfall of between 213.3 mm at Bybrook and 282.6mm at Fruitful Vale. All stations

recorded their maximum rainfall on October 24 (See Table 1). The station which exceeded the

mean by the highest margin was NMIA at 75 per cent above the 30-year mean for monthly

rainfall recorded for this station.

Wind/Atmospheric Pressure Analysis

Hurricane Sandy approached Jamaica from the south and tropical storm force wind started

affecting the island from about 9:00 a.m. on Wednesday October 24, 2012 as indicated in Table

2 and Figure 1.3. The band of tropical storm force winds of 63 -118 km/h then expanded to affect

most of the island until after 8:00 p.m. on Wednesday October 24, 2012 as indicated in Table

1.2.

Table 1.2: Showing Maximum Wind Gusts For three AWSs

Source: Meteorological Service Jamaica

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Figure 1.3 : Surface Wind Field of Tropical Storm Sandy at 5 AM EDT

on Wednesday, October 24, 2012

The Woodford station in Upper St. Andrew recorded a maximum wind gust of 115 km/h at 2200

Coordinated Universal Time (UTC) as shown in Table 1.2. Hurricane force winds as shown in

Fig 1.4 were detected over eastern parishes. The maximum wind gusts and average wind speeds

increased from west to east across the island. Also, the higher elevations experienced higher

wind speeds. The Sugar Industry Research Institute (SIRI) station in Mandeville, Manchester

recorded maximum one hour average winds of 40 km/h, the same as Worthy Park, St. Catherine

and Woodford, KSA. Mitchell Town recorded maximum one hour average winds of 30 km/h.

See Appendix 1 for table outlining Surface Wind and Sea level pressure analysis during the passage of

Hurricane Sandy

Source: Meteorological Service Jamaica

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Fig 1.4: Tropical Storm and Hurricane Force Wind Swaths of Sandy from Monday

October 24 to Friday October 26, 2012

The Norman Manley International Airport, Kingston and St. Andrew (KSA) recorded maximum

10-minute sustained winds of 85 km/h, which is above the threshold of tropical storm force

winds. St. Mary Banana Estate recorded a maximum one hour average wind of 60 km/h. The

maximum wind gust recorded at SIRI station in Mandeville, Manchester was 90 km/h, at

Mitchell Town in Clarendon 60 km/h, at Worthy Park in St. Catherine it was 105 km/h, and at

NMIA and Woodford, KSA 110 km/h. St. Mary Banana Estate had maximum sustained winds of

60 km/h just below the threshold with maximum wind gust of 100 km/h. These maximum wind

gusts were above the threshold of tropical storm force winds. The SIRI station (Mandeville) and

Woodford (KSA) are at a higher elevation in comparison to the other above mentioned stations.

Of note also is that most of the corresponding wind directions had a northerly component and

most of the maximum sustained wind occurred around the time 2000 UTC. There were varying

times for the maximum wind gusts.

Source: Meteorological Service Jamaica

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The NMIA with a recorded minimum sea level pressure of 972.1 millibars at 1926 UTC or 2:26

p.m. on Wednesday October 24, 2012, recorded the lowest sea level pressure on the island

during the event. Other stations to report pressure were Woodford with a recorded minimum sea

level pressure of 975 millibars and Mitchell Town with a recorded minimum sea level pressure

of 986.3 millibars.

2. Emergency Actions and Expenditures

In preparation for the storm a number of activities were undertaken. The National Emergency

Operation Centre (NEOC) was activated at level 1 on Monday October 22 but by Tuesday

preparations intensified to that of hurricane Standard Operating Procedures (SOPs). This

included a full briefing of the National Disaster Committee and the National Response Team.

The NEOC was activated at level 2 by 10:00 p.m that same day. Various agencies of the

National Response Team implemented activities in preparation for the hurricane as follows:

Health

The health Emergency Operations Centre was established at the Bustamante Hospital for

Children and all hospitals activated their disaster plans. On Wednesday October 24, only

emergency cases were being dealt with at hospitals and elective patients were discharged. In

addition, an advisory was issued to pregnant women in the third trimester to evacuate from high

ground closer to health facilities. The blood bank at the National Blood Transfusion Service was

fully stocked, and all vehicles fuelled. Prior to the passage of Hurricane Sandy, the Ministry of

Health was actively engaged in a programme to contain an outbreak of dengue islandwide.

These activities were suspended until after the storm.

Utilities

The Emergency Operation Centre at the Jamaica Public Service (JPS), the country’s main power

supply company, was activated and the major focus placed on St Catherine. In preparation for

the impact of the hurricane on vulnerable parishes such as St Thomas, St. Mary, Portland and

other landslides prone areas, materials and equipment were deployed and crews pre-positioned

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on the ground and power supply made available until the time of impact. The National Water

Commission equipped vulnerable facilities with adequate water supplies with standby

generators. All water facilities activated their emergency plans and the public was encouraged to

store water.

Welfare & Relief

All welfare sub committees were activated and shelter managers positioned. Packaging of relief

items was also carried out and all parishes activated Memoranda Of Understanding (MOUs) with

the suppliers as was required. Welfare items were pre-positioned in the eastern and northern

regions on October 23 & 24, 2012. Additionally, ODPEM allocated $35million in tranches of

$350,000 - $500,000, to support parish level relief operations. This allocation was made

available of Tuesday October 23, 2012. Over the period October 23- November 1, 2012, at total

of 1000 food packages were distributed from the ODPEM Stores and relief supplies (blankets,

mattresses, tarpaulins and water containers) sent to all the affected areas. The cost of these

activities totaled $15million (receipts are being received from the parish operations for welfare

support provided to Evacuees and as such this figure will escalate). The Emergency Operations

Centre of the Red Cross was activated and Community groups alerted. International Red Cross

was placed on standby to receive needs list and non-food supplies were pre-positioned across the

island.

Transportation and Telecommunications

The Jamaica Urban Transport Company (JUTC) was placed on high alert. This included

rostering of staff to support emergency operations and identifying buses to be used in evacuation.

Based on scenario planning, a number of communities were issued evacuation orders.

Approximately 150 persons were evacuated by the JUTC before the storm made landfall. They

came from the following communities:

St Andrew, Hope River Valley – Kintyre and Tavern

St Andrew, Bull Bay – Sections of 9 – 11 Miles to include Taylor Lands & Weise Road

St Andrew, Grovedale Avenue & Sandy Park – Areas along damaged/collapsed gully

infrastructure

Kingston, Caribbean Terrace

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KSA Communities along Sandy Gully – Sandy Park, Grovedale Avenue

St Catherine, Nightingale Grove

Clarendon, Alley and Portland Cottage

The Emergency operations plans were activated for all primary telecommunications service

providers.

Tourism and Commerce & Trade

All Tourism EOCs were activated and the Montego Bay Airport (MBJ) was closed at 8:00 a.m.

Wednesday morning. The TEOC was activated at Hilton Hotel in New Kingston and information

sent to all affiliate offices overseas. All businesses were instructed to close on Tuesday, 23rd

October at 2:00 P.M to facilitate personal/family preparations.

Scenario Planning

Spatial analysis was done to identify parishes, communities and associated population likely to

be impacted by flooding and storm surge. The information was used to guide pre-positioning of

equipment, human resources and supplies. Communities that were predicted to be affected were

placed under curfew. These predictions were generally in very good alignment with the actual

impacted areas as shown in Figures 1.5 and 1.6.

Figure 1.5: Hurricane Sandy (Storm Surge) – Possible Affected Areas

Source: ODPEM

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0

50

100

150

200

250

300

350

400

450

500

KSA Portland Clarendon St Catherine

# of Shelterees

Figure 1.6: Hurricane Sandy - Affected Communities

Source: ODPEM

Shelter Management

Before the storm made landfall, 67 shelters were opened, housing 1056 persons including 80

homeless persons. Kingston and St Andrew, Portland, St Catherine and Clarendon had the largest

number of shelterees accounting for 62 per cent of the total shelter occupants (Figure 1.7).

Figure 1.7 Shelters with the Highest Occupancy Before Landfall

Source: ODPEM

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However, as the storm made the almost two hour journey across the island, the shelter occupancy

increased by 30 per cent to just over 2000 persons at its maximum by 8:00 a.m on Thursday

morning. This number gradually decreased by the close of day on Thursday October 25 to 204

persons in 14 Shelter island wide (Figure 1.8 and 1.9).

Figure 1.8 Shelter Occupancy Levels during Hurricane Sandy (October 23-25, 2012

Source: ODPEM

Figure 1.9: Shelter Occupancy by Parish (October 25, 2012)

Source: ODPEM

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One week after the passage of the hurricane, a total of 29 persons comprising twelve (12)

children and seventeen (17) adults remained in three (3) shelters in two (2) parishes. These

individuals had lost everything and had no alternative housing arrangement in place.

3. Affected Population

The estimated population at the time of the hurricane was 2 697 049 . As at November 4, 2012

approximately 25.2 per cent of the total population or some 681 018 persons from 123

communities were directly and indirectly affected by the natural disaster. Over 571,000 persons

across 113 communities in the parishes of Kingston and St. Andrew, St. Thomas, Portland, St.

Mary and St. Catherine were affected (Table 1.3). They accounted for 83.9 per cent of affected

persons.

TABLE 1.3: JAMAICA: ESTIMATED AFFECTED POPULATION DUE TO

HEAVY RAINFALL AND FLOODING FROM HURRICANE SANDY

Population

Census

2011

% Projected

Population

At the time of

Hurricane Sandy

(October 24, 2012)

Estimated Population

Affected during Hurricane

Jamaica 2,697,049 100.0 2,697,844 681,018

Kingston and

St. Andrew

661,861 24.5 662,056 135,558

St. Thomas 93,902 3.5 93,930 29,868

Portland 81,732 3.0 81,756 28,191

St. Mary 113,597 4.2 113,630 38,576

St. Ann 172,284 6.4 172,335 34,591

Trelawny 75,163 2.8 75,185 3,846

St. James 183,719 6.8 183,773 -

Hanover 69,534 2.6 69,554 -

Westmoreland 144,073 5.3 144,115 -

St. Elizabeth 150,198 5.6 150,242 3,855

Manchester 189,765 7.0 189,821 2,227

Clarendon 245,053 9.1 245,125 65,147

St. Catherine 516,167 19.1 516,319 339,158

Source: 2011 Population and Housing Census

Note: Population Projection by the Social Policy, Planning and Research Division, PIOJ.

Estimated population affected during Hurricane Sandy are based on assessment from the Office of Disaster Preparedness and Emergency Management (ODPEM) and Ministry of Labour and Social Security (MLSS).

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Impact on Livelihoods, Women and Children

The impact of Hurricane Sandy has to be viewed within the context of regional distribution of

poverty in the country. The Jamaica Survey of Living Conditions 2010 (JSLC) reported that the

prevalence of poverty for that year was 16.6 per cent, an increase of 1 percentage point over the

previous year. This represented a smaller increase compared with the increase of 4.2 per cent for

the 2008 to 2009 period. The findings revealed that all regions recorded an increase in poverty

in 2010. The Rural Areas which has consistently recorded poverty rates substantially higher than

those of the other regions, increased by 1.7 percentage points to 23.2 per cent. The prevalence of

poverty in the Kingston Metropolitan Area (KMA) was 14.4 per cent compared with 12.8 per

cent in 2009, while for Other Towns, the prevalence of poverty increased by 0.7 percentage point

to 11.6 per cent. On average, the poor were further below the poverty line and there was a higher

proportion of people further away from the poverty line or very poor relative to 2009.

Some 17 198 households applied to the Ministry of Labour and Social Security (MLSS) for

emergency relief assistance due to damage to household items and properties as a result of the

hurricane. The parishes of St. Mary and Portland accounted for 62.27 per cent (10 709) of the

total number of households affected. The majority of the relief applicants (43.14 per cent) were

owners of the properties they occupied, while some 5 100 (29.65 percent) occupied family lands

(Figure 1.10). Of the 13 863 applicants who responded to the question on physical condition,

19.39 per cent were aged (over 65) while 2.05 per cent were disabled (Figure 1.11).

Source: MLSS

Tenure Number of Applicants

Owner 7419

Family Land 5100

Lease 2359

Other/No Answer 1708

Tenant 612

TOTAL 17198

Figure 1.10: Security of Tenure - Applicants for Emergency Relief Assistance

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As it relates to the issue of insurance, of the 14 471 applicants who responded to the question,

only 38 (0.26%) confirmed that the structures were insured.

Source: MLSS

Farmers, persons in farming communities and persons in related occupations bore the brunt of

the impact of the system. Some 37 000 cash crop farmers, across 13 parishes experienced losses

of up to $1.25 billion, while 3 600 livestock farmers suffered losses of up to $95 million.

Casualties

One death was reported as a direct result of Hurricane Sandy. This occurred on Wednesday,

24th October 2012 during the hurricane – an elderly man of Bedward Gardens, St. Andrew was

crushed when a boulder fell on his house.

In addition to the single reported death there was the death of a JPS contractor in the parish of St.

Ann and severe electrical burns to his colleague. Another JPS contractor broke his spine while

involved in vegetation clearance activities. Two hundred and ninety-one injuries were reported.

There were no reports of missing persons.

Physical Status Number of Applicants

Able-bodied 10715

Aged 2796

Disabled 352

No answer 3335

TOTAL 17198

Figure: 1.11: Physical Condition – Applicants for Emergency Relief Assistance

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II. SOCIAL SECTORS

1. Health

Damage and loss sustained by the health sector was estimated at $341 655 586.27 (see table 1.1).

Damage experienced resulted in expenses of $180 150 804.72 (52.7 per cent), while total losses

were estimated at $161 504 781.55 (47.3 per cent). Direct damage occurred by way of partial or

total destruction of infrastructure, loss of equipment and furniture, as well as latrine replacement

and repairs. Some 59 facilities were damaged, which included 12 hospitals, 38 Health Centres,

two Community Hospitals, four Health Departments and three (3) other health facilities. This

resulted in a total expenditure of $171 500 804 worth of damages done to structure, equipment

and furniture at various facilities island-wide.

Three health regions namely the North-eastern, South-eastern, and Western regions experienced

damage. The North-eastern region experienced the most significant damage totalling $99 288

835.72. The greatest impact was on the structure of facilities, accounting for 89.5 per cent or $88

896 000 in expenses. Most of this devastation occurred in St. Mary, particularly to buildings at

the Annotto Bay Hospital where an estimated $51 800 000 in damages was accrued. Further,

damage to medical equipment amounted to $9 967 835.7, most of which are located at the stated

hospital. This resulted in the hospital not being able to deliver full service to the public.

The South-eastern region experienced damage amounting to $67 611 969, of which Kingston and

St. Andrew (KSA) accounted for 67.7 per cent or $45 782 334 in expenses. In the Corporate

area, the most significant damages occurred at four health centres, as well as the Kingston Public

and Bustamante Children’s Hospitals. Notably, the Ministry of Health building also experienced

damage which amounted to $4 150 000 in structural repairs.

The Western region experienced only minor structural damage. Losses were significant, affected

by funds expended on vector control, vehicles, health promotion and education programmes,

water quality monitoring, among others (see table 2.1).

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Table 2.1: Total Damage and Losses sustained by the Health Sector Damage And Loss ($) TOTAL

Partial or Total Destruction of Infrastructure 161,107,969.00 161,107,969.00 0.00

Loss of Equipment 9,967,835.72 9,967,835.72 0.00

Loss of Furniture 425,000.00 425,000.00 0.00

Loss of Pharmaceuticals and Vaccines 654,772.95 0.00 654,772.95

Vector Control 80,109,000.00 0.00 80,109,000.00

Water Quality Monitoring 3,304,500.00 3,304,500.00

Environmental Health Sanitation 2,000,000.00 0.00 2,000,000.00

Latrine Replacement and Repairs 8,650,000.00 8,650,000.00 0.00

Health Promotion and Education Programme 25,200,000.00 0.00 25,200,000.00

Epidemiological / Shelter Surveillance 3,750,000.00 0.00 3,750,000.00

Supplementation of folic acid 50,000.00 0.00 50,000.00

Vehicles 41,000,000.00 0.00 41,000,000.00

MOH National / Parish Emergency Operations Centres

5,000,000.00 0.00 5,000,000.00

Loss of income – Food Handlers’ Clinics - KSA 436,508.60 0.00 436,508.60

TOTAL 341,655,586.27 180,150,804.72 161,504,781.55

Source: Emergency, Disaster Management and Special Services Branch, MOH

Pharmaceuticals in the amount of approximately $650 000.00 were lost due to loss of electricity

and generator failure at the Annotto Bay hospital leading to the compromise of the storage

temperatures. In addition, nine 1 dose vials of Pentavalent (DPT/Hep B/Hib) vaccines and one

10 dose vial of OPV were also lost.

Morbidity and Mortality

There was one death reported as a result of the passage of Hurricane Sandy, which occurred on

Wednesday, 24 October 2012. During the period of October 24-31, 2012, a total of 291 injuries

were reported at several hospitals, one Children’s Home, and other primary care facilities across

the island. Injuries were highest in St. Mary, where some 120 cases (41 per cent) were handled at

health facilities in the parish. Other cases were also reported in the north-eastern and south-

eastern parishes of Portland, St. Ann, Kingston and St. Andrew and St. Thomas. While puncture

wounds was the most prevalent type of injury reported (92 cases), other types included

lacerations, blunt trauma, falls, crush injuries, fractures, dislocation and burns.

Vector Control

Prior to the onset of Hurricane Sandy, the Ministry of Health was actively engaged in a Dengue

Outbreak Control Programme which, up to October 20, a total of 2 198 suspected cases of

dengue and seven suspected dengue-related deaths had been reported. This programme was

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heightened in order to manage mosquito breeding sites that would have developed following the

passage of Hurricane Sandy. Vector control activities, were suspended due to the hurricane and

resumed on October 26 in parishes that were less affected, mainly in the western and southern

areas. Activities for all other parishes restarted on October 29. The cost of vector control

activities was estimated at $80 109 000.00 (See Table 2.2).

Table 2.2: Estimated Cost for the Vector Control Programme

Item Units Unit Cost Costing ($)

Money already spent / to be spent for gasoline, diesel oil, transportation, overtime

(Projected)

10,000,000.00

Fogging machines swing) 48 188,000.00 9,024,000.00

ULV Machines 8 976,500.00 9,765,000.00

Spray pumps 0 0.00

A-bate – 1% x 50kg 200 bags x 25 kg. Kegs 21,000.00 4,200,000.00

Malathion 50 Drums (55 gal.) 161,000.00 8,050,000.00

Actellic 0 Drums 0.00

Anvil 30 Drums (55 gal.) 285,000.00 8,550,000.00

Diesel Oil 60,000 L 130.00 7,800,000.00

Personal Protective Equipment Coveralls, boots helmets,

etc

7,000,000.00

Dippers-Mosquito Larvicidal 140 7,500.00 1,050,000.00

Chemical Respirators with

Replacement cartridges

140 7,500.00 1,050,000.00

Industrial gloves 140 3,000.00 420,000.00

Insect repellant 100 Cases x 12 tins each 2,500.00 250,000.00

Rodenticide 1,000 Pails (20kgs) 12,500.00 12,500,000.00

Reflector Vests 150 3,000.00 450,000.00

Total 80,109,000.00

Source: Emergency, Disaster Management and Special Services Branch, MOH

Equipment and Furniture

The Annotto Bay Hospital and four Health Centres and Departments recorded significant loss of

equipment and furniture amounting to $10.39 million (Table 2.3). Damage to medical

equipment, UPS machines and information technology equipment was significant at the Annotto

Bay Hospital accounting for 89.77 per cent ($9.33 million) of the total cost of damage to

furniture and equipment.

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Table 2.3: Damage and Losses – Equipment and Furniture

Region / Parish / Facility Items Quantity Unit Cost

($)

Cost

($)

NORTH-EAST REGION

St. Mary

Annotto Bay Hospital Medical equipment 7,460,000.00

Information system equipment

-Network Server 1 800,000.00 800,000.00

-24 port PoE Network Switch 5 150,000.00 750,000.00

-2 KVa Online UPS 1 200,000.00 200,000.00

-1.5 KVa UPS 4 30,000.00 120,000.00

Sub-Total – Information

System equipment

1,870,000.00

Sub-Total – Annotto Bay

Hospital

9,330,000.00

St. Mary Health Department 9 KVa UPS 1 (Repairs) 284,000.00

Highgate Health Centre 1.5KVa UPS 30,000.00

24 PoE Network Switch 150,000.00

Sub-Total – Highgate Health

Centre

180,000.00

Total - St. Mary 9,794,000.00

Portland Health Department 9 KVa UPS 1 (Repair) 173,835.72

Total - Portland 173,835.72

St. Ann Health Department -Office desks 3

-Office Chairs 3

-Folding Chairs 24

Sub-Total 425,000.00

Total – St. Ann 425,000.00

TOTAL 10,392,835.72

Total - Equipment 9,967,835.72

Total - Furniture 425,000.00

Source: Emergency, Disaster Management and Special Services Branch, MOH

2. Education

Several schools across the country sustained damage. The majority of the institutions damaged

were located in the north-eastern, eastern, and south-eastern parishes. These included St. Mary,

Portland, St. Thomas, Kingston and St. Andrew, and St. Catherine. Schools located in St. Mary

were among the most devastated, accounting for 21.1 per cent of the total 152 institutions for

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which damage was reported (Figure 2.1). Among these, primary schools accounted for the most

damage (94), 21. 3 per cent of which are situated in St. Mary (see table 2.4).

Table 2.4: Damage to Institutions across Parishes

Parish Infant Primary Primary And Junior High

All Age High/ Technical High

Special Education/Other

Total

Kingston And St Andrew

0 15 3 2 5 1 26

St. Thomas 0 16 1 0 3 0 20

Portland 0 14 0 4 3 0 21

St. Mary 2 20 3 1 6 0 32

St. Ann 1 4 1 3 1 0 10

Trelawny 0 4 0 2 1 0 7

St. James 0 1 0 0 0 0 1

Hanover 0 0 0 0 0 0 0

Westmoreland 0 2 1 1 1 0 5

Manchester 0 2 0 0 0 0 2

St. Elizabeth 0 1 0 0 1 0 2

Clarendon 0 1 0 0 1 0 2

St. Catherine 1 14 2 2 5 0 24

Total 4 94 11 15 27 1 152

Source: Ministry of Education

A total of 27 high/ technical high schools were also damaged, with the majority being in St.

Mary, the Corporate Area and St. Catherine. A report from the Water Resources Authority4

noted that the extent of flooding at the Port Maria Secondary school was significant and

pronounced. All classrooms were affected, especially the Grade 1 classrooms located on the

western part of the schools compound which had the highest levels of flood water with levels as

high as 1.5 metres. Mud and debris had covered 90 per cent of the school compound. Interviews

conducted with the school’s principal revealed that the school sewage system was also flooded

out and was out of service. Class rooms on the ground floor in all three blocks were inundated by

mud and water between 1.52m to 0.6 m (See Figure 2.2). Notably, almost half the total of

schools damaged is in Region 2, totaling 73 across the parishes of St. Mary, Portland and St.

Thomas. These have accounted for an estimated $110 million in structural damage caused by the

hurricane, of a total $170 million island-wide.

4 Field Report on Hurricane Sandy October 25-26, 2012, Water Resources Authority

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17%

13%

14%

21%

7%

5% 1%

0% 3%

1% 1% 1%

16%

Kingston and St Andrew

St. Thomas

Portland

St. Mary

St. Ann

Trelawny

St. James

Hanover

Westmoreland

Manchester

St. Elizabeth

Clarendon

St. Catherine

Figure 2.1: Percentage of Damage to Schools Island-wide

Source: Ministry of Education

Figure 2.2: Pictures showing High Water Marks at the Port Maria Secondary School

Source: Water Resources Authority

The Ministry of Education closed all schools in the parishes of Kingston, St. Andrew, St.

Thomas, Portland, St. Mary, St. Ann and Trelawny, these were to remain closed until Monday,

October 29, 2012. This decision was mainly influenced by the uncertainty of the availability of

electricity and water at the institutions. As a result, 3 school days were lost and over 215 000

1.5m

1.37m

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children and over 11 000 teachers were affected5. Schools in Clarendon, St James, St Elizabeth,

Hanover, Westmoreland, St Catherine and Manchester were reopened on October 26.

3. Housing

The MLSS reported that a total of 17 198 households sustained damage to household items and

houses. Some 807 houses were totally destroyed, while others experienced minor to severe

damages (10 307 and 5 232 respectively) (see table 2.5)6. The MLSS estimated the cost of the

damage based on feedback from the applicants as $1.15 billion. The replacement cost for

damaged structures based on the cost to construct a basic concrete starter unit was estimated at

$4.2 billion of which 55.13 per cent were for severely damaged structures, 34.01 per cent for

totally destroyed structures and 10.86 per cent for minor damage7. Over half the number of

houses that were reportedly affected was wooden structures (57.40 per cent) while 26 per cent

were block and steel (Figure 2.3)

The Government has since requested the services of the Jamaica Defence Force (JDF), which has

begun the construction of some 500 houses. The project which commenced in November, in

collaboration with Food for the Poor, will see homes being built for residents in the eastern and

north-eastern parishes of St. Mary, Portland and St. Thomas. At December 24, 2012, 186 of the

500 houses were completed.

5 Number of students and teachers affected calculated from statistics for Teachers and Students In Infant, Primary,

and Secondary Level Schools in the parishes of Kingston, St. Andrew, St. Thomas, Portland, St. Mary, St. Ann and

Trelawny. Ministry of Education, Education Statistics, 2011 - 2012

7 0

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Figure 2.3: Housing Statistics – Applicants for Emergency Relief Assistance

Source: Ministry of Labour and Social Security

Table 2.5: Damage Sustained by Households by Parish

Number Of Households

Parish Household

Items

Minor Damage

(Roof)

Severe

Damage

House Totally

Damaged

Total

Clarendon 2 3 5

Kingston 11 43 39 4 97

Manchester 1 7 8

Portland 178 3385 1384 243 5190

St. Andrew 63 380 524 85 1052

St. Ann 10 385 45 22 462

St. Catherine 25 200 127 18 370

St. Elizabeth 10 10

St. Mary 467 3722 1173 157 5519

St. Thomas 97 2165 1931 278 4471

Trelawny 8 6 14

TOTAL 852 10307 5232 807 17198

Source: Ministry of Labour and Social Security

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An estimated $10.9 million worth of damage incurred at the residential child care facilities as 11

facilities sustained damages. These included the Government Place of Safety and Children’s

Home, as well as Private Children’s Homes & Place of Safety (see table 2.6).

Table 2.6: Damages Sustained at various Residential Child Care Facilities

Type Of Facilities No. Of Facilities Estimated Cost Of

Damage/Repairs

$Million

Government Place Of Safety 4 7

Government Children’s Home 2 1.4

Private Children’s Home & Place Of

Safety

5 2.5

Total 11 10.9

Source: Ministry of Labour and Social Security

4. Civic Buildings

a) Correctional Facilities

The Department of Correctional Services reported preliminary damage estimates of $5.1

million which included roof damage at Fort Augusta and fencing at the Hill Top Juvenile

Centre.

b) Protective Services

During the passage of the hurricane, several police stations sustained infrastructural

damage. Those hardest hit were located in the eastern section of the island. The police

stations at Bull Bay, Gayle, Olympic Gardens, Seaview, Lawrence Tavern all sustained

roof damage. The roofs of the Kingston Central, Area Four Police Headquarters and the

Telecommunications Headquarters were also damaged by the hurricane. Preliminary

estimates reported that damage to buildings, vehicles and communication systems of the

Jamaica Constabulary Force totalled $6.3 million. Further, there was approximately $31

million worth of damage to roofs, the jetty at the Discovery Bay installation and other

Jamaica Defence Force facilities.

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c) Heritage Sites

A total of 15 sites (across 10 parishes) sustained light to moderate structural damage,

arising from, among other things the falling of trees on the site (Figure 2.4). This resulted

in an estimated damage of $2.9 million (Table 2.7). Firefly, St. Mary accounted for a

major portion of the expenses with $1.2 million worth of damage. These included

damage to the roof and windows of a building caused by a fallen tree; damage to main

and security gates, picket fences, as well as the ticketing booth. Expenses were also

incurred due to the removal of uprooted trees and clearing of debris from the premises, as

well as from an access road which was made impassable. The Heritage Site in Stony Gut,

St. Thomas also experienced damage amounting to $600,000. This was caused by the

uprooting of trees on the property, which led to structural cracks in the steps of the main

building (Figure 2.5). Urgent repairs are needed for the cracks in order to prevent the

foundation of the structure from being further undermined. Electricity on the site was also

disrupted due to a fallen power line in close proximity to the premises.

Source: Jamaica National Heritage Trust

The Minard Great House in St. Ann sustained damage totalling $300,000. It was reported

that several sheets of zinc were blown off the roof of the building, and numerous trees

uprooted, some of which caused further damage after falling on nearby fences. Other

sites such as Stokes Hall, St. Thomas experienced minor damage to the directional sign;

while the historic Naval Hospital in Port Royal experienced flooding due to damage done

to the roof of the building.

Figure 2.5: Cracks in Building Steps at

Stony Gut, St. Thomas

Figure 2.4: Fallen Tree at Rio Nuevo

Battle Site, St. Mary

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Table 2.7: Summary of Damage to Heritage Sites

Location JNHT Heritage Site Cost Of Damage $

Hanover Blenheim 20,000.00

Old Hanover Jail 20,000.00

SUB-TOTAL HANOVER 40,000.00

Kingston Admiralty Houses 12,500.00

Fort Charles 105,000.00

Historic Naval Hospital

200,000.00

The Jewish Cemetery 20,000.00

SUB-TOTAL KINGSTON 337,500.00

Manchester Roxborough 20,000.00

SUB-TOTAL

MANCHESTER 20,000.00

St. Mary Rio Nuevo Battle Site 32,500.00

FireFly 1,200,000.00

SUB-TOTAL ST. MARY 1,232,500.00

St. Thomas Lysson 20,000.00

Stokes Hall 150,000.00

Stony Gut 600,000.00

SUB-TOTAL ST.

THOMAS 770,000.00

St. Catherine Colbeck Castle 30,000.00

Mountain River Cave 20,000.00

Windsor Pen 20,000.00

SUB-TOTAL ST.

CATHERINE 70,000.00

Trelawny Stewarts Castle 50,000.00

SUB-TOTAL TRELAWNY 50,000.00

St. Ann Minard Great House 300,000.00

Edinburgh Castle 20,000.00

Chesterfield Pen 20,000.00

SUB-TOTAL ST. ANN 340,000.00

St. Andrew 24 Tucker Avenue 20,000.00

SUB-TOTAL ST.

ANDREW 20,000.00

Clarendon Mason River 20,000.00

SUB-TOTAL

CLARENDON 20,000.00

TOTAL 2,900,000.00

Source: Jamaica National Heritage Trust

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III. PRODUCTIVE SECTORS

1. Agriculture

Severe damage was concentrated mostly in the eastern parishes of Jamaica, namely, Portland, St.

Thomas, St. Mary and St. Andrew. Damage also occurred in other areas of the island such as the

interior areas of St. Catherine, Clarendon and St. Ann. Damage to the agriculture sector was

estimated at $1.452 billion (Table 3.1).

Table 3.1: Total Damage to Agriculture Sector due to Hurricane Sandy

Type Of Practice Area Affected/Type Of Damage Estimated Damage Cost

($)Million

Crops (including

banana)

2,930 hectares $1.430

Livestock 1,500 farmers $15

Irrigation Damage to systems $7

Total $1.452

Source: Ministry of Agriculture

Cash Crops and Livestock

Damage to cash crops (banana/plantain, roots and tubers, vegetables, condiments) and fruits was

estimated at $1.25B covering 37 000 farmers on 2 815 hectares of land. Table 3.2 outlines by

parishes the total area and farmers affected, as well as total damage done to these crops. The

value of livestock (poultry, pigs, goats, cattle, rabbits, bee colonies, sheep) damage across the

parishes is $95M covering 3 600 farmers as shown in Table 3.3.

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Table 3.2: Cost of Damage to Cash Crops by Parish due to Hurricane Sandy

Source: Ministry of Agriculture

Banana

The Banana Board carried out detailed assessment of farms, which revealed that St. Mary,

Portland and St. Thomas had experienced damage of 93, 96 and 100 per cent respectively.

Western Jamaica was less severely impacted with evaluations showing an average of 45 per cent

damage to farms. Community farm roads and drainage networks were impacted also.

Fortunately, there was little or no damage to young fields or sucker plants for the subsequent

crop. The implication is that when resuscitation protocols are applied immediately (within four

weeks) harvest of fruits from damaged fields can be achieved within 5 to 9 months.

Parishes Hectares Farmers Damage Value $M

St. Catherine

St. Andrew

Portland

St. Ann

St. Thomas

Clarendon

St. Mary

Manchester

St. James

St. Elizabeth

Trelawny

Hanover

Westmoreland

200

165

561

115

557

229

415

125

114

43

169

82

40

1,900

1,800

6,500

4,200

8,000

4,400

5,500

700

600

1,800

500

700

400

87.0

150.0

331.0

64.5

220.0

70.0

225.0

14.0

41.0

4.0

28.0

11.0

4.5

TOTAL 2,815 37,000 1,250.0

Page 39: jamaica macro socio-economic and environmental assessment of

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Table 3.3: Cost of Damage to Livestock by Parish due to Hurricane Sandy

Parishes Number Of Farmers Damage Value $M

St. Catherine

St. Andrew

Portland

St. Ann

St. Mary

St. Thomas

Clarendon

St. Elizabeth

Manchester

Trelawny

Hanover

St. James

Westmoreland

250

120

200

430

600

960

630

55

105

170

70

8

2

2.000

2.000

4.000

6.000

38.000

35.000

2.580

0.400

0.700

2.500

1.750

0.045

0.025

TOTAL 3,600 95.000

Source: Ministry of Agriculture

Of the estimated 1,400 commercial banana and plantain farms in Jamaica, just over 950 are

registered with RADA and the Banana Board. Of these, 235 or 16 per cent farms had registered

671 hectares and paid fees to be eligible to receive benefits from the Banana Board’s Catastrophe

Fund in 2012. The area of eligible farms amounts to 36 per cent of approximately 2000 hectares

in production. The ineligible farmers possess holdings predominantly of sizes less than 0.2

hectare in size.

An interim hurricane assessment report prepared by the Banana Board was submitted by the

Technical Officer and discussed at a meeting held on November 9, 2012 showed that of the 235

Page 40: jamaica macro socio-economic and environmental assessment of

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farms registered, 190 had sustained damage to a total of 475.6 hectares. Compensation was paid

using a voucher system totaling approximately $7.1M Dollars.

Coffee

The eastern coffee producing parishes (Portland and St. Thomas) within the Blue Mountains bore

the brunt of the hurricane. Damage was done to infrastructure, coffee trees and shade trees on the

plantations and the mature and ripe berries which would have been reaped over a two to three

week period.

Loss of berries from parish to parish was estimated to be in the range of 20 per cent of the

balance of the berries remaining on the trees at the time of impact of the hurricane, as coffee was

being reaped between August – September and up to October 24. This figure was arrived at

based on the assumption that 25 per cent of the total estimated production of 210,000 boxes of

Blue Mountain coffee was already reaped before the arrival of the hurricane. Hence, the losses

would be calculated to be 20 per cent of the remaining 158,000 boxes of cherry coffee which

would be 31,600 representing a farmgate loss of $101 million.

Loss in the High Mountain regions averaged 12 per cent of 37,680 boxes, which remained on the

trees at the time of impact. That amounted to 4,522 boxes, at a value of $9 million. The crop was

estimated at 62,800 boxes, the farmers had delivered approximately 40 per cent of the crop to the

coffee dealers.

A significant loss of production will occur due to the hurricane in the 2013/2014 crop year as

85,000 seedlings planted under the Tropical Storm Gustav Recovery Project were damaged.

These were scheduled to commence economic bearing in the 2013/2014 crop year after being

planted over three years ago.

Cocoa

An estimated 4,500 acres of cocoa were affected by Hurricane Sandy in the parishes of St.

Thomas, Portland, St. Mary, St. Catherine and Clarendon. The crop loss was approximately

24,500 boxes. The hurricane destroyed an estimated 70 per cent of the cocoa crop in Richmond,

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St Mary - the island's largest cocoa growing belt. Prior to the passage of Hurricane Sandy, it was

projected that the Richmond Fermentary would process 289 tonnes of beans, but this has been

revised to 173 tonnes, a decline of 116 tonnes. This compares with the eight per cent loss

suffered in Clarendon, another major cocoa-producing parish where, of the projected 272 tonnes,

some 29 tonnes is believed to have been lost to the hurricane, with the revised figure now 243

tonnes. This loss of just over 200 tonnes of dried cocoa beans is expected to result in a shortfall

of about $67.5 million in the Cocoa Industry Board's coffers8.

Spices Industry

Despite the resilience of spice crops, the industry was significantly impacted by the heavy rains

and strong winds associated with the hurricane. In general, the effects on spice crops were

confined to foliage damage; nutrient loss; depopulation of plants from landslides, erosion and

uprooting; and waterlogging, which will lower yield and output quality and encourage diseases,

pests and weed growth. Total loss to the industry is estimated at $50.5M. Specific impacts are

estimated as follows:

1. Ginger (Open field) – It is estimated that about 10 per cent to 40 per cent of ginger fields

have experienced significant foliage damage, with the highest proportion occurring in

eastern parishes and the lowest in western parishes, respectively. In all parishes, ginger

fields have either been waterlogged or experienced excessive runoff, soil erosion and

leaching. Approximately 95.6 acres have been damaged island-wide, which, when

adjusted for yield reduction and nutrient loss results in a total loss of $19.3 million.

2. Ginger shade-house – The 4.5 acres of ginger under shade-house cultivation have been

significantly impacted by the hurricane, with damage to infrastructure (shade-house and

irrigation) and plants. It is estimated that each house suffered about $3.0 million in

combined losses, for a total of $12 million overall.

3. Turmeric - Most turmeric fields suffered foliage damage, runoff and water logged

conditions. Approximately 20 per cent of turmeric fields have suffered foliage damage

and yields are expected to decline correspondingly. Total loss to the turmeric industry is

estimated at $15.2 million.

8 The Gleaner. “Drought-plagued farmers in west welcome Sandy's rains “ Published: Thursday | November 1, 2012

Page 42: jamaica macro socio-economic and environmental assessment of

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4. Pimento – The pimento crop has not been significantly impacted by the hurricane as the

crop was over 98 per cent harvested. Pimento trees are resilient and will regrow for the

2013 crop.

5. Nutmegs – Nutmeg trees have been damaged. Total loss amounts to about $4.0 million.

Ginger and turmeric fields were well in the second to third phase of the crop cycle, in which the

growth and rhizome- enhancing fertilizers had just been applied. Most of those nutrients would

have been lost during the hurricane.

Fisheries

Total preliminary estimated damage to the Fishing Industry was $90 366 500. Of this amount,

$76.8m was accounted for by the Marine Fishing Industry while the remaining $13.5m was

attributed to the Aquaculture industry. Table 3.4 summarizes the preliminary estimate of

damage to the Marine Fishing Industry due to hurricane Sandy.

Other parishes have been deemed to suffer far less damage. However, a total of $34 372 600

was reported for the following parishes:

1. St. James

2. Trelawny

3. St. Elizabeth

4. Westmoreland

5. Manchester

6. Kingston

7. St. Catherine

The reported losses to the Aquaculture Industry occurred mainly in Hillrun, Hartlands and the

lower sections of Bushy Park (all 3 in St. Catherine). The reported damage occurred as a result of

the overtopping of ponds and wind damage to farm buildings.

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Table 3.4: Estimated Cost of Damage to Fishing Industry due to Hurricane Sandy

Parishes Estimate $ Remarks

Portland 12,225,000.00 Informal gear sheds and

fishing gears (nets, traps,

lines, etc.)

St. Mary 9,287,500.00 Vessels, fishing gears

St. Thomas 13,585,000.00 Informal gear sheds and

fishing gears (nets, traps,

lines, etc.)

St. Ann 7,383,000.00 Informal gear sheds and

fishing gears (nets, traps,

lines, etc.)

Sub-Total 42,480,500.00

Source: Ministry of Agriculture

Irrigation Infrastructure

The estimated damage to the irrigation infrastructure (primarily in St. Catherine and St. Thomas)

is $61,851,000 (Table 3.5).

The following comments should be noted:

In St. Catherine, there was erosion to several structures and canals as well as increased

risk of failure. For some of these structures the failure impact would be very severe.

The St. Catherine area suffered most with fallen trees and debris affecting the system

including blockage of siphons.

Some critical stations are now back in operation. These include Vernamfield, Ebony

Park, Clarendon Park 1, Sandy Bay, Bodles No. 2 and Little Park F3.

Water has been returned to the NWC treatment plant at Spanish Town as well as Bodles

No. 2 station in Old Harbour.

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Table 3.5: Cost of Damage to Irrigation Infrastructure due to Hurricane Sandy

Location Issues Estimated Recovery

Cost

($’000)

Hounslow, Beacon - St

Elizabeth

No significant impact 0

Drainage Areas – St.

Elizabeth

No significant impact. Possible localized

flooding

200

Braco -Trelawny High turbidity in Rio Bueno, silting at

sump

21

Mid Clarendon -

Clarendon

Fallen branches across some internal

roadways.

Critical pumps necessary to return service.

500

St. Catherine Significant fallen trees and branches across

canals, some siphons blocked. Canals and

other structures further eroded and at risk

due to the storm.

Additional security employed at high risk

stations such as Bodles 2.

Critical pumps to be returned to service at

soon as JPSCO power allows.

60,080

100

300

St. Thomas Canal network - desilting and

reconstruction of cofferdam.

650

TOTAL

61,851

Source: Ministry of Agriculture

COLLEGE OF AGRICULTURE, SCIENCE AND EDUCATION

The College of Agriculture, Science and Education (CASE), based in Portland was extensively

damaged by Hurricane Sandy with crops lost and buildings. Sever damage was done to the

Animal Science Tutorial Far, the east campus library, Dorm C, and some buildings on the west

campus. See estimates of damage in Tables 3.6, 3.7 and 3.8.

Table 3.6: Cost of Damage to CASE Crops and Structures

Areas Cost $

Plants and Crops 2,100,000

Structures 14,384,029

Grand Total 16,484,029

Source: Ministry of Agriculture

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Table 3.7: CASE Tutorial Farm Damage to Plants and Crops

Item Crop Description of Damage Area

(acres)

Work Required Cost ($)

1 Banana 100% crop loss

60% bearing

2 Cut back, rowing,

pruning, fertilizing

400,000

2 Citrus 10% downing 1.5 Pruning & fertilizing 100,000

3 Breadfruit 40% bearing

100% crop loss

8 Pruning & fertilizing 300,000

4 Yam 50% crop loss 0.5 Replanting & pruning

5 Pimento 50% downing

60% damage to remaining

trees

5 Replanting & pruning 300,000

6 Coffee 100% damage 1.5 Replanting 300,000

7 Cocoa 20% damage to young crop &

15% to older crop

1.75 Replanting & pruning 150,000

8 June Plum 10% damage 1.5 Replanting & pruning 50,000

9 Horticulture 50% damage to plants N/A Replanting, pruning,

fertilizing

500,000

TOTAL 2,100,000

Table 3.8: CASE Tutorial Farm Damage to Structures

Item Description Unit Cost Area Unit Cost ($)

1 Dairy Unit 5,100 60 M2 306,000

2 Piggery Unit 5,100 68 M2 346,800

3 Poultry Unit 5,100 4 M2 20,400

4 Calf Shed 5,100 18.95 M2 96,645

5 Bull Pen 5,100 20.81 M2 106,131

6 Goat House Shed 7,500 15.6 M2 117,075

7 Repairs to Pastures & Accessories - - - 1,000,000

8 Dairy Unit Storage Bin 7,500 26 M2 195,000

9 Crops Farm Green House 5,741 557.42 M2 3,200,149

10 Playfield Green House 1 5,741 222.97 M2 1,280,071

11 Playfield Green House 2 5,741 111.48 M2 640,007

12 Hydroponics House 1,400 111.48 M2 156,072

13 Hot House 1,400 111.48 M2 156,072

14 Banana Shade House 3,732 371.61 M2 1,386,849

15 Breadfruit Shade House 3,732 333.41 M2 1,244,287

16 Horticulture Shade House 3,732 557.42 M2 2,080,292

17 Replacement 1,000 Gal. Water Tanks 36,135 4 No. 144,540

Sub-total 13,076,390

Contingency (10%) 1,307,639

TOTAL 14,384,029

Source: Ministry of Agriculture

Source: Ministry of Agriculture

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2. Tourism

Despite the fact that the hurricane did not have a huge impact on the tourism sector it was noted

that Montego Bay, Falmouth and Ocho Rios, all lost ship calls from the Royal Caribbean and

Carnival Cruise lines, because they changed their itineraries as a result of the hurricane. More

than 8,000 passengers were scheduled to dock at the three piers. While there was no reported

damage to hotels in Montego Bay, Jamaica’s tourism capital, some hoteliers reportedly

experienced challenges with cancellations with guests unable to get airline seats to rebook their

vacation into the island.9

The storm’s damaging effects on the densely populated United States North-eastern seaboard,

which accounts for over half the tourist traffic from the US to Jamaica may have also impacted

the earnings of the tourism sector in the weeks following the hurricane.. The major markets

affected on the North-eastern seaboard included Washington DC, Northern Virginia, Baltimore,

Philadelphia, Delaware, New York, New Jersey, Connecticut and surrounding areas.

9 The Gleaner.” Montego Bay, West unscathed but 8,000 cruise visitors diverted” Published: Friday | October 26,

2012

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IV. INFRASTRUCTURE

The country’s infrastructure – electricity, water and sanitation, transport and communication –

sustained some level of damage due to the passage of Hurricane Sandy. Based on preliminary

assessments, damage and loss is estimated at $2,689.1 billion. Details of the damage to the sub-

industries are disaggregated in Table 4.1. Reports on the losses were still outstanding at the time

of writing.

Table 4.1: Infrastructure – Damage and Loss

$ Million

Damage Loss Total

Electricity 644 n/a 644

Water 129.1 86 215.1

Transport * 1739.3 n/a 1739.3

Airports .4 20.2 20.6

Ports n/a .n/a n/a

Telecommunication 70 n/a 70

TOTAL 2582.8 106.21 2689.1

n/a – not available

* Figures include damage to NWA Roads & Bridges, Parish Council Roads over the period

October 8 - 26, 2012 (including Hurricane Sandy)

1. Electricity & Water Supplies

In 2011, the Electricity & Water Supply industry recorded a 1.6 per cent increase in real value

added and contributed 0.1 percentage point to GDP growth. The industry employed an average

of 83 000 persons in 2011. The higher value added recorded stemmed from increased water

production as electricity generation remained flat. Water production in 2011 represented the

highest level ever recorded and was 6.3 per cent higher than the output for 2010.

The flat electricity generation out-turn reflected mainly the overall contraction in demand due to

weak economic activities associated with the lingering effects of the global recession.

For the first nine months of 2012, just prior to Hurricane Sandy, higher value added of 0.3 per

cent was estimated for the industry during January-September 2012 relative to the corresponding

Page 48: jamaica macro socio-economic and environmental assessment of

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period of 2011. The higher value added during the review period stemmed from an expansion in

gross electricity generation, as water production fell.

The effects associated with the passage of Hurricane Sandy impact and the performance of the

sector during the October-December 2012 quarter, as both the water and electricity sub-

industries have both suffered setbacks.

a) Electricity Sub-industry

The Jamaica Public Service Company (JPSCo) is the sole distributor and transmitter of

electricity, with highest peak demand of 617.7 MW in 2011. To satisfy demand, the company

buys electricity from independent power producers (IPPs), a phenomenon which started with the

liberalization of the electricity generation segment of the industry in the 1990s. At the end of

2011, the JPSCo had a bona fide customer base of over 571,000. The base consists of several

categories of consumers – Residential (Rate 10); General Service (Rate 20) Power Service (Rate

40); Large Power (Rate 50); Street Lighting (Rate 60); and Other (which comprises generating

companies, such as bauxite).

In spite of minimal structural damage to the company’s generating plants, the entire

Transmission and Distribution (T&D) system, however, was affected by the impact of the

hurricane. The eastern parishes of St. Mary, Portland and St. Thomas were the worst affected.

The damage to the T&D is outlined in Tables 4.2 and 4.3

Table 4.2: Damage to Transmission Network

Damage Broken

Brace Broken

Poles

Uprooted

Poles

Damaged

Insulators

Dislodged

Insulator

Dislodged

Outer Conductor

Trees On

Lines

Number 1 10 5 2 1 1 11

Damage Leaning

Poles

Damaged

Steel Structure

Leaning

Structure

Middle

Conductor Resting on

Brace

Pilot

Jumper Dislodged

X-arm

Misaligned

Number 4 1 1 1 2 1

Source: JPSCo

Page 49: jamaica macro socio-economic and environmental assessment of

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Table 4.3: Damage to Distribution Network

Source: JPSCo

Consequent on the foregoing, a total of 460 893 customers (approximately 70 per cent of the

customer base experienced interruptions in their electricity during and after the passage of the

storm. The customers in the western parishes of St. Elizabeth, Hanover and Westmoreland were

the least affected, while St. Mary, St. Thomas and Portland experienced the greatest level of

customer outage and network damage.

While there was no major damage to the JPSCo’s communication infrastructure, the failure of

the company’s internal CUG provider created a major setback in accessing early information on

the impact of the hurricane and initially adversely impacted centralized coordination of activities.

The company’s emergency response teams, particularly those in the eastern section of the island,

experienced telecommunications issues as the major means of communication was non-

functional or intermittent.

Immediately after the storm the JPSCo activated its established restoration strategy, which

restored power to priority customers such as the main hospitals, airports and nat ional water

supply systems. Focus was later placed on national security sites and communication

infrastructure. In four days, service was restored to 90 per cent of the customer population

(Figure 4.1 and Table 4.4).

Spans of

Bushing

Damaged

Guys

Leaning

Poles

Damaged

Poles

Dislodged

Switches

Damaged

Switches

Dislodged

Primary

Conductors

(Spans)

Damaged

Primary

Conductors

(Spans)

Dislodged

Secondary

Conductors

(Spans)

Damaged

Secondary

Conductors

(Spans)

90 26 103 146 11 26 110 150 102 118

Dislodged

X/arms

Damaged

X/Arms

Dislodged

Insulators

Damaged

Insulators

Damaged

Grounding

Damaged

Lightning

Arresters

Dislodged

Lightning

Arresters

Leaking

Xfmrs

Damaged

Xfmrs

Damaged

Service

Wire

6 20 18 37 7 4 1 2 12 7

Page 50: jamaica macro socio-economic and environmental assessment of

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Figure 4.1: Hurricane Sandy Restoration Process

Source: JPSCo

It however, took 13 days to restore service to the remaining 10 per cent, due mainly to issues

such as inaccessibility to remote areas, extensive network damage in the eastern sections of the

island and in some cases lack of detailed damage assessments prior to repair/restoration works.

Furthermore, with respect to the extent of the damage that occurred in the eastern parishes,

restoration was dependent on the deployment of teams from parishes that had completed

activities to support similar activities in the east. Consequently, teams were deployed from all

regions to provide support in Portland, St. Thomas and St. Ann. The 17 day restoration activities

progressed as follows:

0%

20%

40%

60%

80%

100%

120%

-

100

200

300

400

500

600

700

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17

% 0

f C

ust

om

ers

Re

sto

red

# of

Cus

tom

ers

Re

stor

ed/

Peak

De

man

d

Days after Hurricane

Hurricane Sandy Restoration Progress(Demand, Percent and Number of Customers Restored)

Customers Restored ('000) Peak Demand Percentage Restored

Page 51: jamaica macro socio-economic and environmental assessment of

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Table 4.4: Restoration Activities

Source: JPSCo

Preliminary estimates indicate that the electricity sub-industry sustained damage of some $644.0

million, which includes direct costs (third party cost, material/equipment and overtime).

b) Water Supply and Sanitation

The National Water Commission provides potable water to 70.0 per cent of the population and

sewerage services to approximately 12.0 per cent. The company provides approximately 180.0

million gallons of water per day from its 460 water supply systems located island wide. The

Commission’s supply infrastructure consists of:

– Wells

– Water Treatment Plants (intake works)

– Booster/Re-lift Stations

– Springs

– Tanks and Reservoirs

– Transmission and Distribution Pipelines.

The passage of Hurricane Sandy affected a number of the NWC’s water supply systems,

Date Day

Total

Customers

('000)

Customers

Out ('000)

Customers

Restored

('000)

Percentage

Restored Peak Demand

24-Oct-12 1 602 300 302 50% 121

26-Oct-12 2 602 127 476 79% 335

27-Oct-12 3 602 80 522 87% 396

28-Oct-12 4 602 61 541 90% 400

29-Oct-12 5 602 47 556 92% 439

30-Oct-12 6 602 38 565 94% 439

31-Oct-12 7 602 31 571 95% 447

1-Nov-12 8 602 31 571 95% 455

2-Nov-12 9 602 22 580 96% 458

3-Nov-12 10 602 23 580 96% 467

5-Nov-12 11 602 14 588 98% 494

6-Nov-12 12 602 11 591 98% 500

7-Nov-12 13 602 10 592 98% 498

8-Nov-12 14 602 7 596 99% 487

9-Nov-12 15 602 4 598 99% 475

11-Nov-12 16 602 3 600 100% 466

12-Nov-12 17 602 1 601 100% 479

Page 52: jamaica macro socio-economic and environmental assessment of

43

resulting in disruption in regular water supply to approximately 248,612 customers. The

disruption was as a result of one or a combination of reasons including: power outage; single

phase, electrical problems; pipeline dislocation, high turbidity and blocked intake. With regard to

customer outage, St. Catherine had the highest number of customers without water, followed by

Kingston & St. Andrew. St. James had the lowest number of affected customers followed by

Hanover (Figure 4.2). The remaining parishes that are not represented in the figure did not record

any interruption in service. While only 4518 customers in St. Thomas were affected, the parish

suffered the most damage in terms of replacement and repair costs (Table 4.5).

Figure 4.2: Number of Customers without Water Immediately After the Passage of

Hurricane Sandy

Source: National Water Commission

The Seaview and Hope Treatment Plants, which serve the Corporate Area operated at 70 per cent

capacity after the hurricane, but immediate repairs was planned. The Yallahs Pipeline, which

also serve the Corporate Area was dislocated, but the damage did not immediately affect the

ability of the NWC to supply customers in the Corporate Area. However, the Constant Spring,

Mona, Great River, Marthae Brae, Bogue and Bulstrode Water Treatment Plants, some of the

largest in the country and the Corporate Area, withstood the impacts of the hurricane, and as

such customers were not adversely affected.

HanoverWestmor

elandSt. James

St.Elizabeth

Trelawny St. Ann St. Mary PortlandSt.

ThomasSt.

CatherineKSA

Number of Customers 1628 2958 865 1692 3118 6016 3848 6694 4518 87775 21311

0

10000

20000

30000

40000

50000

60000

70000

80000

90000

100000

Nu

mb

er

of

Cu

sto

me

rs

Page 53: jamaica macro socio-economic and environmental assessment of

44

At October 30, the NWC was able to restore water supply to 80 per cent of its customers. In the

restoration effort, special attention was given to facilities serving hospitals, clinics, schools and

other critical public institutions as well as large population centres.

Preliminary investigation indicated that the NWC will have to expend over $215 million to

restore its water supply systems and commercial office to a fully operational level. Of the

estimated total, $100 million is directly related to the replacing of a dislocated pipeline and

bridge at the flood prone Yallahs in St. Thomas. The greater part of the remaining portion was

being used to remove silt, debris and other particulate materials that have blocked the intakes at

water treatment plants; clear roads that have been blocked as a result of fallen trees, in order to

provide access to some of the plants located in remote areas; and in a few cases to replace or

rewind motors that have been burnt due to the intrusion of flood waters.

Table 4.5: Estimated Cost of Damage to NWC Infrastructure by Parish

Parish Estimated Cost ($)

St. Thomas 102,010,000.00

Kingston and St. Andrew 11,490,000.00

St. Mary 2,349,000.00

St. Catherine 830,000.00

Clarendon 1,790,000.00

Portland 1,650,000.00

Trelawny 6,750,000.00

St. James 2,050,000.00

St. Elizabeth 150,000.00.00

Demolishing and Rebuilding St. Mary Commercial Office 86,000,000.00 (Loss)

Estimated Total Cost $215,069,000.00

Source: National Water Commission

In addition, the NWC commercial office in Port Maria, St. Mary was totally wrecked by the

hurricane, sustaining damage to the roof, flooring, office equipment, desks, chairs, windows,

filing cabinets, stationeries and other accessories rendering the office totally inoperable. It is

estimated that an additional $86 million will have to be spent to demolish the existing structure

and rebuild a new structure.

Page 54: jamaica macro socio-economic and environmental assessment of

45

2. Transport, Storage & Communication

The real value added for the Transport, Storage & Communication industry declined by 0.3 per

cent during 2011. Employment by the industry averaged 72, 300 during the year. The

contraction in real value added, albeit at a lower rate, reflected the downward trend being

experienced since 2008. However, the fall-out in 2011 stemmed from reduced activities in air

transport due to the final transfer of Air Jamaica to Caribbean Airlines as well as the decline in

telecommunication activities. These outweighed improvements at the island’s seaports

consequent on expansion in bauxite and alumina exports.

The effects associated with the passage of Hurricane Sandy are expected to negatively impact the

performance of the industry in the October-December quarter. The impact of the hurricane

coupled with the decline already being experienced at the ports, consequent on the downturn in

bauxite and alumina exports will further exacerbate the situation.

a) Road Transport

The recent passage of Hurricane Sandy severely affected the country’s road infrastructure,

including main roads maintained by the National Works Agency (NWA) and the Parish

Councils. The parishes of St. Thomas, Portland, St. Mary and St. Ann fared the worse. Damage

was due to a combination of factors, including blockage caused by landslides, fallen trees, light

poles and power lines; blocked drains and culverts, flooded rivers and storm surges, which led to

inundation and scouring of the road’s surface in some sections, which all made usage difficult

and dangerous for road users. Of note was the damage done to sections of the main coast road in

Morant Bay, Port Morant and Roselle in the parish of St. Thomas.

While less devastating, Hurricane Sandy impacted other parishes, including Clarendon and St.

Catherine. In St. Catherine, precautionary measure was taken to close the Bog Walk gorge ahead

of the system to minimize the risks of commuters being trapped there. The rehabilitation efforts

by the NWA team in conjunction with a number of contractors concentrated on the clearing of all

major thoroughfares to facilitate the JPSCo and NWC crews access to their sites to effect repairs,

as well as to enable the trucking of food and fuel supplies to affected areas.

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The preliminary estimates of the total cost to reopen blocked roads amounted to $710,165,461.

The bulk of this amount ($695, 665,461) represents the estimated cost to clear blocked roads,

effect temporary road repairs and to clean critical drains. The remaining $14.5 million was

estimated for damage to Sandy Gully and tributaries. Another $1,029.2 million was estimated to

permanently restore roads and include cost to restore asphalted and un-asphalted roads, clean

blocked drains, repair kerb and channel, relay culvert and construct and reconstruct retaining

walls. Approximately $355.2 million of the total cost to permanently restore roads was related to

Sandy Gully and tributaries. Therefore, the total flood damage estimate approximated to

$1,739.1 million. The Sandy Gully had the highest estimate, followed by, in the order of

magnitude, roads in St. Andrew, Portland, St. Mary, Clarendon, Kingston and St. Thomas.

JUTC – During July-September 2012, an average of 294 Jamaica Urban Transit Company

(JUTC) buses operated per month in the Kingston Metropolitan Transport Region (KMTR).

This compared with 314 in the corresponding quarter of 2011. The contraction in the number of

buses dispatched was due to the continued effort at improving efficiency, as the company tried to

dispatch buses according to requirement. The monthly Average Passenger Trips10

and Fare

Income fell by 3.1 per cent and 4.0 per cent to 12.6 million and $766.1 million, respectively,

reflecting among other things, the reduction in the number of buses.

As part of the hurricane preparation the JUTC was placed on high alert and staff rostered to

support emergency operations. Accordingly, buses to be used in evacuation were identified and

evacuation activities conducted in four communities.

There was no physical damage to the JUTC’s facilities, but the company sustained losses in

revenue due to the closure of schools and other places during the hurricane. The average

revenue for the week prior to Hurricane Sandy was approximately $64.7 million compared with

$39.8 million during the week of the hurricane. The shortfall in revenue resulted mainly from

the drastic fall in the number of buses dispatched. An average of 250 buses was dispatched

10 Passenger trips relate to the number of tickets sold. This serves as a proxy for the total number of times

passengers utilize the service.

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during the week prior to the hurricane compared with 198 during the week when Hurricane hit.

Only 20 buses were dispatched on the 24th October, the day of the hurricane.

b) Airports

Hurricane Sandy’s impact on the island’s airports was confined mainly to loss in revenue as the

airports suffered no physical damage. The Norman Manley International Airport (MIA)

however, had damage to roof, building, shoreline and various perimeter fences. These did not

impede airport operations as the airport resumed operations with the stated schedule. The airport

operation was affected, however, by the cancellation of flights due to the impact locally and on

the East Coast of the USA. A total of 30 flights were cancelled as a result, eight of which was

due to the impact on the US East Coast, particularly flights originating at JFK airport. The total

loss was estimated at $20,142,746.

At the Sangster International Airport (SIA) there were 41 cancellations, which involved

commercial flights, scheduled charters and cargo landings. Caribbean Airlines accounted for

most of the 41 cancellations (11). It was estimated that the total cancellations would have

impacted 2 554 revenue passengers. The losses associated with the cancellations at the SIA

amounted to $65,168.34.

There was fence damage at the Ian Fleming International Airport (IFIA), which is estimated to

cost $208, 500. A building at the Tinson Pen aerodrome suffered roof damage estimated to cost

$202,318. However, operations at neither facility were affected.

c) Ports

In preparation for the hurricane, all ports were closed at 1700 hours on Tuesday 23 October

2012. Seven vessels left Kingston earlier than normal due to the closure, as was the case in Port

Rhodes (1 vessel) and Rocky Point (1 vessel). Two cruise vessels – Carnival Valor and Carnival

Magic – scheduled for Montego Bay were cancelled. The Port Authority of Jamaica (PAJ)

reported that apart from the damage sustained at the Ocho Rios cruise port small boat facility and

passenger processing tent, there was no damage to the port infrastructure. The system, however,

caused a significant accumulation of debris in the Kingston Harbour. With regards to private

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facility, Texaco’s east pier which is used by Agean bunkering vessels sustained damage.

Two small boats and crew engaged in cleaning up large debris. Tugs and work boats were back

in service prior to the ports reopening. All navigational aids, buoys and beacons were checked

and found to be satisfactory. Ship channels across the island were checked and made clear. The

ports were re-opened at 1200 hours, Thursday October 25, 2012.

Preliminary estimates indicate that damage to the Transport industry amounted to $1,759.7. This

includes NWA $1,739.1 million estimates – to re-open blocked roads and to permanently restore

roads as well as costs associated with physical damage to infrastructure at the NMIA, IFIA and

the Tinson Pen aerodrome. Total losses to the industry are not yet ascertained

3. Telecommunications

The Telecommunications sub-industry sustained physical plant damage due to the impact of

Hurricane Sandy.

Landline, Internet, Mobile & Entertainment (LIME) – The hurricane affected approximately 279

cell sites spreading across all fourteen parishes. This was due to downed towers, tower

misalignment, tower vandalism and power outages, with the latter accounting for most of the

damage. The site failure experienced in twelve of the fourteen parishes was power-related. St.

Andrew had the majority of sites down (62) due to a downed tower. St. Catherine which was

affected by tower vandalism and power-related issues followed with 44. The power outages

occurred despite the company’s 82 per cent alternate power supply. Vandalism has significantly

impacted the plant. The company’s mobile network was also affected by damage to Outside

Plants (OSP) routes – 57 in all and affected all parishes, except St. Catherine and Clarendon.

Damage to the OSP Routes was caused by fibre and copper cable damage, broken and fallen

poles and trees. With respect to the company’s fixed network 115 nodes across the island went

down due mainly to power loss and fibre cable damage.

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As at December 10, 2012, all the affected fixed network (115) have been restored. Restoration

level for cell sites had reached 98 per cent – of the 279, damaged cell sites, 272 per cent have

been restored, leaving the remaining seven to be restored. Of fifty seven routes damaged, only

one route restoration, Friendship Gap in Portland, remained outstanding due to inaccessible

roads. Estimated cost to repair damage was approximately $70 million.

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V. ENVIRONMENT

1. General Comments and Overview of Pre-Existing Conditions

Much of Jamaica’s economic and social sectors rely on the natural environment for

sustainability. As such, all critical sectors are susceptible to shocks associated from natural

hazards.

Jamaica’s ecosystems have undergone significant degradation in the past few decades due to

both natural events and human activities. During the past decade, the country has been impacted

by an average of one storm event per year compared with one event per decade prior decade. The

large frequency of these occurrences has reduced the ability of natural systems to recover

adequately (i.e., to perform their functions in an effective manner). This has been further

exacerbated by deleterious human activities including pollution, over-exploitations of resources

(fisheries, forests, etc.), and development of housing and other infrastructure in ecologically-

sensitive areas. Without adequate recovery time, the resilience of these ecosystems will be

reduced, and thus increase the damage and loss associated with natural hazards.

Many efforts are underway to build the resilience of select ecosystems, especially given the

climate change reality. One such is the GOJ/EU/UNEP Climate Change Adaptation and Disaster

Risk Reduction Project (CCADRRP) which is supporting the rehabilitation and restoration of

select watersheds and coastal areas. The sites were targeted based on varying factors including

importance to the economy, level of degradation, potential impact of livelihoods, etc. The impact

of the event on some of the targeted sites is discussed in the relevant sections below.

In spite of advances made in data collection and monitoring of environmental systems, there is

difficulty in quantifying damage and loss associated with natural hazards. As such, the

information often presented are qualitative, and can be related to:

loss of vulnerable (native) species;

unhealthy changes in species interactions and community composition;

changes in range of invasive species;

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increased damage to nests & nesting sites; and

increased destruction of sensitive habitats (coral reefs, seagrass beds, mangroves, and

forests)

2. The Impact of the Hurricane

a) Damage

Damage sustained following the hurricane was primarily concentrated in the eastern parishes of

Portland, St Mary and St Thomas. Wind, storm surges and heavy rains caused the majority of the

damage, affecting both coastal and terrestrial ecosystems. Storm surges were primarily

responsible for the beach erosion; damage to ecosystems; and damage to select coastal

infrastructure.

Immediately following the event, the water quality of coastal areas was adversely impacted,

largely due to the transportation of contaminants and debris from upland areas in storm-water

runoff. It was also compounded by the impact of the event on natural ecosystems, particularly

seagrass beds, coral reefs and mangroves. Communities such as Innes Bay, Manchioneal,

Canewood, Hope Bay, and St Margret’s Bay in Portland experienced damage to as much of 50

per cent of coastal vegetation for the sites observed.

The impact of storm surges was observed primarily in eastern and western parishes. In

Manchioneal, Portland, it is estimated that surges were up to 50 m during the event (Figure 5.1).

This resulted in the destruction of a seawall and damage to several houses. St Thomas

experienced up to 3.05m surges and 30 m displacement in Roselle, White Horses, Rocky Point,

Morant Bay, Grants Pen, and Port Morant.

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Figure 5.1 Map showing select areas of damage in Manchioneal, Portland

Source: NEPA

Beaches on the Eastern end of the island showed moderate to high erosion. Low to moderate

erosion of up to 60 per cent was observed in Annotto Bay, Oracabessa, Port Maria (Figure 5.2),

and Pagee Beach in St Mary. Of the sites visited in St Thomas, 25 per cent showed moderate

erosion whilst the remainder, low.

On the northern and western ends of the island, beaches also experienced some level of

degradation. The beaches monitored in Trelawny showed minor erosion. In St Ann, damage

ranged from minor to severe erosion. A section of the beach at the Bahia Principe Hotel, for

example, had a complete loss of sand, which exposed the underlying rock pavement. Other

sections of the main beach were not significantly affected (Figure 5.3).

Storm Surge. Residential units affected.

Some residents evacuated to shelter

Storm Surge – approximately 40meters. Residential units affected. Fishing village destroyed.

Sections of the seawall destroyed. Road surface scoured. Road undercut leading to collapse in some sections.

Storm Surge – approximately 50 m.

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Figure 5.2: Section of Port Maria where coastal vegetation has been damaged

Source: NEPA

Figure 5.3: Section of a beach at the Bahia Principe Hotel, St Ann where sand was

completely lost, exposing rocks beneath

Source: NEPA

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The beach located at Boscobel, St Mary experienced severe erosion, resulting in a vertical loss of

0.4m to over 1.0m (Figure 5.4). In St Catherine, there was evidence of sedimentation and debris

deposition due to wind and wave action. This was evident on the beaches along Port Henderson

Road and also the Fun City. See Appendix 2 for detailed table of habitat impact assessment

Despite the loss in the width of some beaches, marine turtle nesting sites were largely unaffected.

The extent to which the marine turtles withstand storm events is largely unrecorded; however, it

has been theorised that not much damage would be sustained from the hurricane.

Figure 5.4: Images showing the erosion taking place in Boscobel, St Mary

Source: NEPA

Figure 5.5: Section of a beach in Burwood, Trelawny where seagrass beds were uprooted.

Source: NEPA

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Seagrass beds were uprooted in four main areas, namely St Mary, St. Ann, St James (Montego

Bay specifically), and Westmoreland (Negril). For Negril in particular, some 84 per cent of

seagrass beds that were replanted under the Climate Change Adaptation and Disaster Risk

Reduction Project (CCADRRP) were destroyed. Additionally, seagrass beds were unrooted

along the Long Bay beach. Some sections of Trelawny were affected, including Burwood Beach

(Figure 5.5 and 5.6)., but the damage was not severe. The implication of this is that the ability of

the ecosystem to regenerate sand is compromised in the short term as seagrass beds are a key

source of sand.

Figure 5.6: Deposition of seagrasses along the Long Bay beach in Negril

Source: NEPA

There was difficulty in assessing the state of coral reefs. However, benthic evidence along the

coast suggests that some damage was sustained, the extent of which will be determined in

subsequent months. The impact to fisheries has not yet been determined. However, this will be

done in the months ahead.

Drainage channels and some embankments without adequate protection also experienced severe

erosion in some areas. These include sections of Bull Bay, St Thomas (Figure 5.7).. The short to

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medium term implication of this is the potential for flooding following heavy rainfall,

particularly in areas previously unaffected.

Forests were also impacted by the onslaught of Hurricane Sandy, particularly as some areas were

affected by rains and winds associated with Tropical Storm Isaac 3 weeks prior.

Figure 5.7: Erosion taking place in Bull Bay, St Thomas causing changes to drainage

channel

Source: NEPA

Box 1: Effects of Tropical Storm Issac

Tropical Storm Issac: The sites at Oatley and Rose Hill sustained the most damage from winds and rain associated with Tropical Storm Issac. At Oatley, trees are located on the windward side of the mountain, thereby exposing them to high wind events. The result is that 15 133 plants were blown down and needed to be re-staked. This resulted in costs of $302 660. At Rose Hill, some 13 566 seedlings required re-staking at a cost of $271 320.

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Younger plantations (trees of 2-5 ft.) experienced the brunt of the impact as wind gusts resulted

in trees being toppled. However, some of these trees can be restored given sufficient time. A few

trees in older plantations (including pine plantations) had minor damage, where foliage was lost

and some were toppled due to shallow root systems. Native tree species fared well and did not

undergo any significant/major damage.

Figure 5.8: A tree bent from wind being propped up by a member of the Forestry

Department

Source: NEPA

In St Mary, an estimated 60 per cent of sites observed had between 25-50 per cent crown

damage, while an estimated 20 per cent of the sites showed severe (greater than 51 per cent)

crown damage. A similar situation was experienced in Portland, particularly in such areas as

Innes Bay, Manchioneal, Caenwood to Hope Bay and St Margarets Bay. Fifty per cent of

observations in St Thomas showed moderate crown damage, and 10 per cent of the sites were

severe. Five per cent of crown cover in Kingston and St Andrew had moderate damage (25-50

per cent).

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In the South-east region, the majority of damage occurred in Clydesdale and Mount Airy, St

Andrew. In Clydesdale, 400 cupressus trees were blown down, but will require propping up for

their survival. 300 cupressus trees of 4ft or greater along with 10 mature Caribbean Pines were

toppled in Mount Airy and will require propping up. Other impacts include: the toppling of 20 C.

pines in Mt Prospect, St Andrew; 25 mature Eucalyptus in Flamstead, St Andrew; and 15 C.

pines in Brae Head, Clarendon. These can be restored given sufficient time and resources.

In the North-east, several hectares of forests were damaged. About 10 hectares of blue mahoe

were destroyed in Chepstowe, Portland, most of which were young. Some cannot be salvaged.

Six hectares of Honduras mahogany were damaged in Black Hill, Portland where about 90 per

cent of trees had broken tops.

Landslides occurred in several areas, hampering efforts to fully assess forests and causing other

forms of damage. Access routes to some important forest areas were blocked, and only select

roads were cleared during the days following the event; the remaining access ways will be

cleared in due time. In Mount Airy, St Andrew, about 10 landslides occurred along access routes

to forest plantations. Other areas in the parish having landslides include Gordon Town, Irish

Town, Lawrence Tavern, Kintyre, Hall’s Delight and Mt Charles.

Figure 5.9: Landslide blocking access routes in Oatley/Rose Hall, St James

Source: NEPA

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Landslides, accompanied by dislodged boulders and rocks, were also the main problem in the

Blue and John Crown Mountains National Park. Access trails from Mavis Bank, Jacob’s Ladder

and the Peak Trails were affected. Additionally, Holywell, St Andrew and Millbank (in the

Upper Rio Grande Valley), Portland had slight to moderate landslides.

Rivers in many areas were in spate due to the rains. On October 24, 2012, gauge readings from

the Hope River station near Gordon Town showed that the river rose to 2.58m during event

compared with .88m prior. Given turbidity and high debris associated with landslides and soil

erosion further upstream, the National Water Commission (NWC) closed its intake in the river.

The debris and heavy flow also resulted in the destruction of a bridge in Kintyre, St Andrew.

Figure 2: Destruction of a bridge spanning the breath of the Hope River in Kintyre, St

Andrew

Source: NEPA

A thorough assessment was not conducted to determine the extent to which bird populations

suffered. However, it is theorised that any effect was largely related to: broken limbs or other

body defects; death; and damage of forested areas (habitats) - cropping of limbs and the top of

tree and reduction of fruits and flowers. Bird nesting typically occurs prior to the hurricane

season and as such, was not impacted. Given that standing forests remained largely intact despite

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damage in some areas, it is expected that food availability and space for roosting are adequate for

populations to recover quickly.

With respect to iguanas and the American crocodile, these species are also expected to remain

intact. Whilst the storm passed within proximity of habitats, the extent of the damage sustained

was not destructive to either of the species.

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VI. SUMMARY OF DAMAGE AND LOSSES AND MACROECONOMIC EFFECTS

1. Introduction

The total cost of direct and indirect damage associated with the passage of Hurricane Sandy was

estimated at $9.7 billion (US $107.1 million11

), of which $9.4 billion was damage and $0.3

billion loss12

. Of the total damage, privately owned properties accounted for approximately

seventy per cent ($6.6 billion), while publicly owned properties accounted for $3.1 billion.

Disaggregated by sector, the Social sector accounted for the largest portion of the damage (48.2

per cent). This was followed by damage incurred by the Infrastructure Sector (27.6 per cent); the

Productive Sector (17.2 per cent); and Emergency Operations (7.0 per cent) (Table 6.1).

The estimated $9.7 billion in total cost represents 0.8 per cent of 2011 current GDP. This shock

combined with the adverse developments in the international and global environments, initiated a

downward revision of 0.4 percentage point in GDP estimates, resulting in a revised GDP change

of -0.1 per cent for FY2012/13.

Infrastructural damage amounted to $2.7 billion. Of this total, damage to roads and bridges

accounted for 65.0 per cent, with roads and bridges in St. Thomas, Portland, St. Mary and St.

Ann being the most severely affected. Damage reflected blockage caused by landslides, fallen

trees, light poles and power lines; blocked drains, culverts, flooded rivers and storm surges

among other occurrences.

Damage to the Electricity and Water Supply & Sanitation sub-industries amounted to $644.0

million and $215.07 million, respectively. Damage to and loss of electricity infrastructure

notably the transmission network resulted in a reduction in electricity generation. A lower level

of water production was recorded after the Hurricane due to one or a combination of damage to

water supply systems, turbidity, power outages and blocked intakes. The damage to the

telecommunication infrastructure totalled $70.00 million. This reflected physical plant damage.

11 Exchange rate: J $90.64 = US $1 (Bank of Jamaica Average Exchange Rate for October 2012) 12 The estimates delineated for losses may be underestimated as at the time of writing the

relevant data were not fully tabulated.

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Table 6.1: Total Cost of Damage & Loss from Hurricane Sandy

The productive sector was also significantly impacted, with damage estimated at $1674.20

million. Domestic and Agricultural Crops sustained damage estimated at $1250.0 billion.

Farmers mainly in Portland, St. Thomas, St. Mary and St. Andrew incurred damage to livestock

and crops, in particular, banana, plantain, roots and tubers, vegetables, condiments and fruits.

Also impacted was livestock, coffee, spices, fisheries and irrigation infrastructure.

Sector and Sub-sector $million

Damage Loss Private Public Total % Share

Total 9,363.13 368.81 6,663.16 3,068.78 9,731.94

% Share 96.21 3.79 68.47 31.53 100.00

Social 4,524.17 161.50 4,270.82 414.85 4,685.67 48.15

Housing 4,270.82 4,270.82 4,270.82 43.88

Education and Culture 17.00 17.00 17.00 0.17

Health 180.15 161.50 341.65 341.65 3.51

Correctional Facilities* 5.10 5.10 5.10 0.05

Heritage Sites 2.90 2.90 2.90 0.03

Residential Child Care Facilities 10.90 10.90 10.90 0.11

Jamaica Constabulary Force* 6.30 6.30 6.30 0.06

Jamaica Defence Force* 31.00 31.00 31.00 0.32

Productive 1,573.10 101.10 1,657.72 16.48 1,674.20 17.20

Domestic Crop & Agricultural Crops 1,250.00 1,250.00 1,250.00 12.84

Livestock 95.00 95.00 95.00 0.98

Coffee 9.00 101.00 110.00 110.00 1.13

Spices 50.50 50.50 50.50 0.52

Greenhouse/Protected Cultivation 0.00 0.00 0.00

Fisheries 90.37 90.37 90.37 0.93

Irrigation 61.75 0.10 61.85 61.85 0.64

Mining 0.00 0.00 0.00

Tourism 0.00 0.00 0.00

Manufacturing 0.00 0.00 0.00

CASE Tutorial Farm 16.48 16.48 16.48 0.17

Infrastructure 2,582.86 106.21 734.62 1,954.45 2,689.07 27.63

Electricity 644.00 644.00 644.00 6.62

Water Supply and Sanitation 129.10 86.00 215.10 215.10 2.21

Transport/Roads and Bridges 1,739.35 1,739.35 1,739.35 17.87

Telecommunications*1 70.00 70.00 70.00 0.72

Airports 0.41 20.21 20.62 20.62 0.21

Environment 0.00 0.00 0.00 0.00 0.00

Forestry 0.00 0.00 0.00

Waste Management 0.00 0.00 0.00

Emergency Operations 683.00 0.00 683.00 683.00 7.02

Government Relief Assistance 633.00 633.00 633.00 6.50

ODPEM Recovery Activities 50.00 50.00 50.00 0.51

* - Based on figures communicated to the media as at October 30, 2012

1 - Based on feedback from one telecommunications provider

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Emergency Operations to include Parish Council drainage cleaning, vector control activities and

ODPEM Relief supplies and Red Cross activities incurred a cost of $683.00 million.

2. Macroeconomic Overview

Economic Policy

The Government of Jamaica’s macroeconomic programme for FY 2012/13 was within the

context of the Medium Term Socio-Economic Policy Framework FY 2012/13 – FY 2015/16.

Policy objectives as outlined by the framework included:

Lowering then eliminating the fiscal deficit

A sustained reduction in the debt/GDP ratio

Improved international competitiveness

Combined these objectives are geared towards accelerating and maintaining the pace of

economic growth and development.

Within the context of the Medium Term Socio-Economic Policy Framework, the expenditure

budget for fiscal year (FY) 2012/13 was drafted to incorporate the following strategies: (i)

prudent expenditure management; (ii) pension reform; and (iii) tax reform, including the

development of a tax waiver policy. Accordingly, the Expenditure budget targeted at $612.4

billion is projected to result in a fiscal deficit of 3.8 per cent of GDP, down from the 6.3 per cent

recorded in FY 2011/12.

Against a background of projected expansion in output and financial market stability, monetary

policy continued to be guided by the medium term objective of single digit inflation.

Accordingly, the Central Bank’s monetary policy adjustments and exchange rate management

are geared towards maintaining price changes to facilitate a stable macroeconomic environment.

Fiscal measures, in particular the fiscal responsibility framework and central treasury

management system were formulated to facilitate the Central Bank’s ability to achieve its policy

objective.

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11.0

11.5

12.0

12.5

13.0

13.5

14.0

14.5

January April July October January July October January April July

2010 2011 2012

Pe

r C

en

t

Unemployment Rate

ECONOMIC PERFORMANCE PRIOR TO HURRICANE SANDY

(JANUARY – SEPTEMBER 2012)

2.1 Monetary And Exchange Policy

During the nine month period economic performance continued to be impacted by global and

domestic developments, namely:

sluggish external demand associated with the slow pace of global economic recovery

weak domestic demand driven by relatively high unemployment levels and uncertainties

about the signing of an Agreement with the International Monetary Fund

a combination of industry specific factors

Against this background the Central Bank maintained its monetary stance with existing policy

rates unchanged coupled with foreign exchange market intervention aimed at maintaining prices

within the specified target range.

2.2 LABOUR MARKET UPDATE - July 2012

Figure 6.1– Unemployment Rate by Quarters, 2010-2012

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The Labour Force Survey13,

undertaken by the Statistical Institute of Jamaica (STATIN),

indicated that the unemployment rate14

as at July 2012 was 12.8 per cent. This was 0.5

percentage point higher than in July 2011, but 1.5 percentage points lower than in April 2012

(Table 6.21 and Figure 6.1). The Job Seeking Rate15

was 8.1 per cent, representing an increase

of 0.4 percentage point relative to July 2011. In July 2012, net employment levels increased by

11 100 persons and 13 400 persons relative to July 2011 and April 2012, respectively. The net

increase in the employed labour force relative to July 2011 reflected the combined effect of 11

700 more females and 600 fewer males being employed. The Male Unemployment Rate stood at

9.6 per cent (up 0.7 percentage point) while the Female Unemployment Rate was 16.7 per cent

(down 0.3 percentage point).

Table 6.2: - Selected Labour Force Indicators

Source: STATIN Labour Force Survey, July 2012

13 The Labour Force consists of individuals 14 years and older who were “employed in any form of economic

activity for one hour or more during the Survey reference week”, and persons who “although they had no job, were

looking for work, or wanted and were willing to accept work during the reference week”. 14 The Unemployment Rate includes all persons “Looking for Work, Wanting Work and Available for Work”. 15 Job Seeking Rate refers to persons without a job, who have made an attempt to search for a job.

ITEM 2011 2012

January July October January April July

BOTH SEXES

TOTAL POPULATION 2 705 800 2 707 600 2 708 900 2 709 300 2 710 200 2 711 000

Population 14 years and over 2 006 900 2 008 100 2 009 100 2 009 400 2 010 100 2 010 700

Labour Force 1 269 900 1 235 400 1 248 500 1 260 600 1 261 200 1 256 000

Employed Labour Force 1 106 500 1 083 600 1 088 900 1 083 400 1 081 300 1 094 700

Unemployed Labour Force 163 500 151 800 159 600 177 200 179 900 161 300

Outside The Labour Force 737 000 772 700 760 700 748 800 748 900 754 700

Employment Rate 87.1 87.7 87.2 85.9 85.7 87.2

Unemployment Rate 12.9 12.3 12.8 14.1 14.3 12.8

Job Seeking Rate 8.4 7.7 8.0 8.9 8.7 8.1

Percentage of Population under 14 years 25.8 25.8 25.8 25.8 25.8 25.8

Percentage of Population 14 years & over 74.2 74.2 74.2 74.2 74.2 74.2

Percentage of Population 14+ Outside LF 36.7 38.5 37.9 37.3 37.3 37.5

Labour Force as a % age of Total Population 46.9 45.6 46.1 46.5 46.5 46.3

Labour Force as a % age of Population 14+ 63.3 61.5 62.1 62.7 62.7 62.5

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Employed Labour Force

The total number of employed persons as at July 2012 stood at 1 094 700, an increase of 11 100

persons relative to July 2011 (Table 6.3). An examination of the employed labour force by

industry group revealed that the largest increases in employment levels were recorded in

Wholesale & Retail, Repair of Motor Vehicle & Equipment (up 13 800 persons); Manufacturing

(up 6 400 persons); and Agriculture, Hunting, Forestry & Fishing (up 5 400 persons). The

largest contractions in the number of employed persons were in Real Estate, Renting & Business

Activities (down 7 800 persons) and Private households with Employed Persons (down 3 200

persons).

Table 6.3 – Employed Labour Force by Industry

2011 2012

INDUSTRY GROUP January July October January April July

BOTH SEXES

Agriculture, Hunting, Forestry & Fishing 194 900 191 000 191 000 192 400 196 300 196 400

Mining & Quarrying 4 900 3 700 4 200 5 100 3 700 4 500

Manufacturing 82 100 68 500 73 700 82 200 75 700 74 900

Electricity, Gas and Water Supply 8 700 7 900 8 300 8 200 6 500 8 000

Construction 87 500 86 100 90 900 76 600 81 000 85 300

Wholesale & Retail, Repair of Motor

Vehicle & Equipment

229 800 200 800 226 500 224 600 214 400 214 600

Hotels & Restaurants Services 69 900 80 300 74 000 71 100 73 700 81 700

Transport, Storage and Communication 69 900 76 400 70 700 72 600 70 700 75 100

Financial Intermediation 27 100 25 300 23 300 26 200 30 500 23 400

Real Estate, Renting & Business Activities 55 200 66 500 55 200 56 600 56 900 58 700

Public Administration & Defence;

Compulsory Social Security

52 600 56 700 58 100 54 700 61 700 58 700

Education 71 900 69 500 68 400 68 100 65 500 68 500

Health & Social Work 25 800 30 800 29 700 29 300 27 100 28 800

Other Community, Social and Personal

Service Activities

61 500 58 700 57 100 53 400 55 600 59 100

Private Households with Employed

Persons

62 100 58 600 56 100 59 300 59 400 54 400

Industry Not Specified (Incl. Extra-

Territorial Bodies)

2 600 2 800 1 700 3 000 2 600 2 600

TOTAL EMPLOYED LABOUR FORCE 1 106 500 1 083 600 1 088 900 1 083 400 1 081 300 1 094 700

Source: STATIN Labour Force Survey, July 2012

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2.3 EXTERNAL TRADE PERFORMANCE

Merchandise Trade

For the period January–September 2012, Jamaica recorded a merchandise trade deficit of US$3

605.9 million compared with US$3 623.5 million for the corresponding period in 2011. This

performance is attributable to the combined effect of a decline of US$25.4 million in expenditure

on imports and a US$7.7 million reduction in export receipts for the review period, relative to the

comparable period of 2011.

Merchandise Exports

During January-September 2012, total receipts from exports were valued at US$1 238.2 million,

a reduction of US$25.4 million relative to the corresponding period in 2011. Earnings from

domestic exports were US$1 188.5 million, an increase of 0.6 per cent. Re-exports were valued

at US$49.7 million. Earnings from Traditional and Non-Traditional Domestic Exports were

valued at US$604.8 million and US$583.7 million, respectively.

Traditional Domestic Exports

For the January-September 2012 period, earnings from Traditional Domestic Exports declined by

US$52.6 million or 8.0 per cent relative to the corresponding period in 2011. This performance

was attributable to declines of US$66.0 million and US$2.8 million in earnings from Mining &

Quarrying and Agriculture respectively. Increased receipts of US$16.3 million from Manufacture

exports, tempered the impact of the declines in the other categories.

Non – Traditional Domestic Exports

Earnings from Non-Traditional Exports were US$583.7 million for the January – September

2012 period, which represented an increase of US$6.1 million or 5.9 per cent compared with the

corresponding period in 2011. This increase reflected higher earnings from the categories Other

(up US$59.6 million to US$394.8 million); Beverages & Tobacco (excluding Rum) {up US$7.3

million to US$59.0 million}; and Food (up US$6.1 million to US$108.8 million). Crude

Materials was the only category to record a decline, as receipts for the review period were

US$21.1 million compared with US$35.0 million in the corresponding period of 2011.

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Source: Compiled from data supplied by the Statistical Institute of Jamaica

Merchandise Imports

During January–September 2012, total imports were US$4 844.1 million, a decline of US$25.4

million compared with expenditure on imports for the corresponding period in 2011(Table 6.5).

This was due primarily to declines in Mineral Fuels which fell by US$74.2 million; Machinery &

Transport Equipment (down US$21.0 million); Manufactured Goods (down US$14.4 million);

and Crude Materials (excluding Fuels) {down US$13.2 million).

2.4 GROSS DOMESTIC PRODUCT (GDP)

2.4.1 GDP PERFORMANCE (January – September 2012)

Real GDP for the first nine months of 2012 declined by 0.2 per cent compared with the

corresponding period of 2011 (Table 6.6 and Figure 6.2). The performance of the economy for

the nine month period reflected the impact of international and domestic developments, among

which were:

a. Weak global environment with downward revisions in growth prospects for all

the major economies – weak external demand

b. Weak domestic demand fuelled by relatively high unemployment levels

c. Industry specific factors such as the closure of the Petrojam refinery for 1 month

(impacted other manufacturing); and energy related challenges at a major bauxite

plant.

TABLE 6.4

Traditional And Non-Traditional Exports: January-September 2011, 2012

(Us$ Million)

Jan-Sep Jan-Sep 2012/2011

2011 2012 Absolute

Change

Percentage

Change

Traditional Exports 657.4 604.8 -52.6 -8.0

Non -Traditional Exports 524.6 583.7 59.1 11.3

Domestic Exports 1 182.0 1 188.5 6.5 0.6

Re - Exports 63.9 49.7 -14.2 -22.3

Total Exports 1 245.9 1 238.2 -7.7 -0.6

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Source: Statistical Institute of Jamaica

Real value added of the Goods Producing Industry fell by 0.7 per cent influenced by declines in

three of the four goods industries namely; Mining and Quarrying, Construction and

Manufacturing. The Mining & Quarrying industry was impacted by a slowing in the pace of

global industrial production, which weakened the demand and prices for aluminium and alumina.

The lower out-turn for Construction reflected contractions in the residential and non-residential

components of the industry due. For Manufacture the industry’s performance reflected

continued weak demand for Jamaican manufactured goods. These declines were tempered by

increased value added of the Agriculture, Forestry & Fishing industry, influenced by improved

weather conditions and government programmes aimed at improving productivity in the

industry.

Table 6.5: Merchandise Imports and Exports: January- September 2011, 2012

US$ Million Jan-Sep 2012/2011 Jan-Sep 2012/2011

Jan-Sep 2011 Jan-Sep 2012 Absolute Change Per Cent Change

Imports Exports Imports Exports Imports Exports Imports Exports

Total Merchandise

Trade

4 869.4 1 245.9 4 844.1 1 238.2 -25.4 -7.7 -0.52 -0.6

Of which Jamaica

Free Zone

175.6 13.5 217.8 86.8 42.2 73.3 24.0 542.6

Food 684.2 192.9 716.7 231.7 32.5 38.8 4.7 20.1

Beverages and Tobacco

58.3 89.6 60.7 80.5 2.4 -9.1 4.1 -10.2

Crude Materials (excluding Fuel)

49.3 569.7 36.2 489.6 -13.2 -80.1 -26.7 -14.1

Mineral Fuels, etcetera 1 859.9 289.3 1 785.7 286.6 -74.2 -2.7 -4.0 -0.9

Animal & Vegetable Oils and Fats

46.2 0.2 41.5 0.1 -4.7 -0.1 -10.3 -44.9

Chemicals 603.2 35.6 610.9 99.8 7.8 64.2 1.3 180.5

Manufactured Goods 494.5 7.6 480.2 13.5 -14.4 5.9 -2.9 77.1

Machinery and

Transport Equipment

705.7 37.1 684.6 15.6 -21.0 -21.5 -3.0 -57.9

Misc. Manufactured

Articles

334.0 14.4 345.0 14.1 11.1 -0.3 3.3 -2.3

Other 34.2 9.4 82.6 6.6 48.5 -2.8 141.8 -29.8

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Source: Statistical Institute of Jamaica

The Services Industry also contracted, down 0.1 per cent. Within the Services Industry the

largest detractor was Transport, Storage & Communication, which reflected the impact of a

decline in the transport segment. Tourism, however, recorded the largest increase in value added

as reflected in the growth of the Hotels & Restaurants industry.

Table 6.6: Year Over Year Change Of Value Added By Industry At Constant (2007) Prices

Jan-

Mar

Apr-

Jun

Jul-

Sept

Jan-Sept

2012 2012 2012 2012

GOODS PRODUCING INDUSTRY -0.2 -0.1 -2.4 -0.9

Agriculture, Forestry & Fishing 6.5 9.5 -0.5 5.3

Mining & Quarrying -5.0 -10.2 -10.4 -8.5

Manufacture 0.5 -1.9 -0.6 -0.7

of which: Food, Beverages & Tobacco 1.9 -1.1 -0.5 0.1

Other Manufacturing -1.4 -3.2 -0.7 -1.7

Construction -5.6 -3.4 -3.5 -4.3

SERVICES INDUSTRY -0.2 -0.3 0.0 -0.2

Electricity & Water Supply 0.2 0.3 0.2 0.3

Transport, Storage & Communication -3.1 -4.1 -2.3 -3.2

Wholesale & Retail Trade; Repair and Installation of Machinery

0.9 0.3 0.4 0.5

Finance & Insurance Services 0.6 0.0 0.8 0.5

Real Estate, Renting & Business Activities -0.2 -0.2 -0.2 -0.2

Producers of Government Services -0.5 -0.2 -0.2 -0.3

Hotels and Restaurants 0.8 3.7 2.3 2.2

Other Services 0.0 0.3 0.4 0.2

Less Financial Intermediation Services Indirectly Measured (FISIM)

-2.2 -1.6 -0.6 -2.1

TOTAL GDP AT BASIC PRICES -0.1 -0.2 -0.6 -0.3

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The industries recording the largest declines in real value added were Mining & Quarrying;

Construction; and Transport, Storage & Communication, which collectively detracted 0.8

percentage point from total GDP growth.

Figure 6.2 Change in Real GDP for the Jamaican Economy

(January – September 2002-2012

SECTORAL PERFORMANCE

Goods Producing Industry

Agriculture

For the period January–September 2012, real value added for the Agriculture, Forestry & Fishing

industry improved by 5.5 per cent relative to the corresponding period of 2011. Growth in the first

three quarters was estimated at 6.5 per cent, 9.5 per cent and 0.2 per cent respectively (Figure 3).

-4.0

-3.0

-2.0

-1.0

0.0

1.0

2.0

3.0

4.0

Jan-Sept2002

Jan-Sept2003

Jan-Sept2004

Jan-Sept2005

Jan-Sept2006

Jan-Sept2007

Jan-Sept2008

Jan-Sept2009

Jan-Sept2010

Jan-Sept2011

Jan-Sept2012

CHANGE IN REAL GDP FOR THE JAMAICAN ECONOMY (JANUARY - SEPTEMBER 2002 - 2012)

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Figure 6.3: Agriculture Quarterly Real Value Added Growth Rates

The growth in the industry for the nine-month period was driven mainly by increased output of

Other Agricultural Crops16

which comprise mainly domestic crops (up 5.3 per cent). Traditional

Export Crops expanded by 7.3 per cent and Animal Farming by 1.1 per cent. The improved

performance in Domestic Crops was facilitated by an increase in the hectares of Domestic Crops

reaped. Eight of the nine domestic crop groups showed increased production for the nine-month

period ranging from 0.5 per cent for Legumes to 15.7 per cent for Yams (Table 6.7). Other Tubers

declined by 1.4 per cent.

TABLE 6.7: DOMESTIC CROP PRODUCTION, JANUARY - SEPTEMBER 2011, 2012

CROP GROUP PRODUCTION (TONNE) CHANGE (%)

2011 2012

Legumes 3735 3754 0.5%

Vegetables 168268 170924 1.6%

Condiments 33901 36952 9.0%

Fruits 32364 36715 13.4%

Cereals 2123 2334 9.9%

Plantains 25240 28369 12.4%

Potatoes 44120 46005 4.3%

Yams 89438 103479 15.7%

Other Tubers 35471 34958 -1.4%

Source: Ministry of Agriculture & Fisheries

16 Other Agricultural Crops account for 55.8 per cent of the index while Traditional Export Agriculture and Animal

Farming account for 18.0 per cent and 16.1 per cent respectively.

-10

-5

0

5

10

15

20

25

per

cen

t

Agriculture Quarterly Real Value Added Growth Rates

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The growth in the sector was influenced by the intensification of government programmes to

improve efficiency which offered farmers support in the areas of marketing, irrigation and

extension services aimed at improving efficiency in the industry. The Government continued to

encourage strategies which increased planting in areas served by irrigation schemes and the

increased use of protective agriculture (greenhouse).

Mining

For January–September 2012, real value added for the Mining & Quarrying Industry declined by

8.7 per cent relative to the corresponding period of 2011. This performance largely reflected the

weak global demand for metals which have resulted in a softening of export prices. This was due

to declines in alumina and crude bauxite production of 9.9 per cent and 7.6 per cent, respectively

(Table 6.8). The decline in alumina production was as a result of the reduced production levels at

both operating plants17

during the review period relative to January–September 2011. Total

bauxite production fell by 7.5 per cent to 7 065.1 kilo tonnes, reflecting reduced production in

crude bauxite and Bauxite Equivalent of Alumina.

Alumina exports fell by 9.1 per cent to 1 342.4 kilo tonnes, while crude bauxite exports increased

by 7.7 per cent to 3 574.5 kilo tonnes. Total bauxite exports declined by 7.2 per cent as the

decrease recorded in crude bauxite exports and equivalent of alumina exports.

Preliminary data for export earnings for the nine-month period show a decline of 16.8 per cent to

US$466.7 million compared with the corresponding period of 2011. This reduction represented a

decline in the value of both alumina and crude bauxite exports of 19.6 per cent and 6.0 per cent,

respectively. The decline in the value of alumina exported was due to lower volume exported

(down 9.1 per cent) and price (down 9.7 per cent). The reduction in value of crude bauxite

reflected lower volume exported (down 7.7 per cent), which outweighed the impact of higher price

(up 0.3 per cent).

17 WINDALCO Ewarton and Jamalco were the only plants in operation during the reporting period.

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Table 6.8: Bauxite/Alumina Production and Exports

(KILO TONNES)

% change

Jan-Sep Jan-Sep Jan-Sep 2012

2011 2012 Jan-Sep 2011

PRODUCTION

Alumina 1 469.6 1 324.1 -9.9%

Crude Bauxite (a) 3 883.5 3 590.0 -7.6%

Bauxite Equivalent of Alumina (b) 3 757.5 3 475.2 -7.5%

Total Bauxite Production (c) 7 641.1 7 065.1 -7.5%

value added growth (%) (I) 24.0 -8.5

EXPORT

Alumina 1 476.8 1 342.4 -9.1%

Crude bauxite (a) 3 872.2 3 574.5 -7.7%

Bauxite Equivalent of Alumina (b) 3 776.0 3 521.5 -6.7%

Total Bauxite Export (c) 7 648.2 7 096.0 -7.2%

p - preliminary

n/a - not applicable

Note: (a) + (b) = (c)

(b) Bauxite Equivalent of alumina is unprocessed bauxite used in alumina production

(i) The PIOJ uses real value added for the Bauxite and Alumina sub-industry to estimate the performance of the Mining and

Quarrying Industry. Real value added growth rates are year on year changes for e.g. January – September 2012 compared

to January - September 2011.

Source: Jamaica Bauxite Institute

Manufacture

Real Value Added for the Manufacture Industry declined by 0.4 per cent. This outturn was

reflective of the lower real value added for the Other Manufacture component of the industry

which declined by 1.4 per cent. Real value added for the Food, Beverages & Tobacco component

grew by 0.4 per cent. For the nine-month period, the industry was negatively affected by low

domestic and international demand for Jamaican manufactured products.

The lower real value added for Other Manufacturing was attributed mainly to downturns in

Chemicals & Chemical Products and Petroleum Products. Production in the Chemicals &

Chemical Products sub-group was influenced mainly by reduced demand which has led to the

closure of some plants. The decline in the Petroleum Products component reflected lower levels of

production for all commodities, with the exception of Automotive Diesel Oil, which grew by 11.7

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per cent for the nine-month period relative to the comparable period of 2011. The decline was

tempered by increased cement production of 4.7 per cent.

Growth in the Food, Beverages & Tobacco sub-industry was influenced by high levels of output

for January – March and July – September quarters. Commodities contributing to the growth were

Rum & Alcohol (up 28.1 per cent), Carbonated Beverages (up 5.3 per cent), Animal Feeds (up 2.7

per cent) and Edible Oils (up 1.9 per cent).

Construction

During January–September 2012, real value added for the Construction industry18

fell by an

estimated 4.0 per cent (Table 6.9). The downturn recorded for the industry was attributed mainly

to:

decline in activities in Building Construction, due to a reduction in residential and non-

residential construction projects

reduced road improvement and rehabilitation works primarily related to the Jamaica

Development Infrastructure Programme (JDIP).

Source: Compiled by the PIOJ

18 Building Construction (82.0 per cent) and Other Construction, mainly Civil Engineering (13.0 per cent)

combined account for 95.0 per cent of Total Construction. Building Installation (inclusive of repairs) accounted for

the remaining 5.0 per cent.

Table 6.9: Selected Construction Industry Indicators,

January – September

2010 2011 2012 % change 2012/2011

Housing Starts 2 262 2 039 1 478 -27.5

Completions 1 961 1 490 3 437 130.7

Total Value of Mortgages ($ million) 17 076.3 21 490 20 528 -4.5

Comm. Bank Loans & Advances ($ million) 56 645.7 64 041 65 251 1.9

Cement Production (tonnes) 526 090 570 390 597 143 4.7

Cement Supply (tonnes) 534 859 530 499 536 097 1.1

Value Added Change (per cent)

-2.0 1.1 -4.0

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Cement production for the nine-month period amounted to 597 143 tonnes, a 4.7 per cent

increase when compared with the amount produced in the corresponding 2011 period.

Approximately 121 831 tonnes of cement was imported during the first nine months of 2012

compared with 136 017 tonnes of cement during the corresponding period of 2011. The export

of cement increased to 182 877 tonnes during the period relative to 175 908 tonnes during

January to September of 2011. Cement supply grew by 1.1 per cent to 536 097 tonnes.

Non-residential construction expenditure during January-September 2012 by selected entities

were as follows:

I. The Port Authority of Jamaica disbursed a total of $258.6 million relative to $1 381.9

million disbursed in the comparable period of 2011.

II. Disbursements by the Jamaica Social Investment Fund declined by 10.4 per cent to reach

$579.1 million.

III. Capital expenditure on construction projects by the National Works Agency amounted to

$8 699.8 million, a decline of 39.5 per cent compared with January - September 2011.

Resources were used to primarily finance JDIP and the Palisadoes Shoreline Protection &

Rehabilitation Works.

IV. National Road Operating & Construction Company Limited disbursed a total of $5 062.8

million compared with $1 611.6 million in the corresponding period of 2011.

Services Industry

Electricity & Water Supply

The Electricity & Water Supply industry recorded higher value added of 0.2 during January-

September 2012 relative to comparable period of 2011(Table 6.10). The expansion in value

added stemmed the growth in gross electricity generation, as water production declined.

Total electricity generation for the January-September 2012 period increased by 0.7 per cent to 3

128.2 million kWh (see Table 9). The higher production was facilitated by a 6.0 per cent

increase in generation from non-JPSCo sources to 1 140.9 million kWh.

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Table 6.10: Jpsco: Electricity Generation & Disposal (Million KWH)

Jan-Sept

2011

Jan-Sept

2012

Jan-Sept 2012/ Jan-Sept

2011

(% Change)

NET GENERATION 2 029.5 1 987.3 -2.1

Non-JPSCo Sources 1 075.9 1 140.9 6.0

TOTAL GENERATION 3 105.3 3 128.2 0.7

(A) ENERGY SALES 2 377.6 2 342.4 -1.5

(B) COMPANY USE 10.2 10.0 -2.0

(C) LINE LOSSES & UNACCOUNTED FOR NET GENERATION

717.5 775.7 8.1

WATER PRODUCTION (Megalitres)

Jan-Sept

2011

Jan-Sept

2012

Jan-Sept 2012/ Jan-Sept

2011 (% Change)

Total Eastern 139 748.5 140 787.2 0.7

Total Western 88 604.5 86 022.8 -2.9

All Island 228 353.0 226 810.0 -0.7

Source: Jamaica Public Service Company and National Water Commission

This was supported by higher production in the January-March and July- September 2012

quarters, as there was a downturn in production during April-June 2012 consequent on the

technical difficulties experienced at some sources. For the nine-month period, Output from

JPSCo sources contracted by 2.1 per cent to 1 987.3 million kWh. Electricity sales for the

review period fell by 1.5 per cent to 2 342.4 million kWh relative to January-September 2011.

This stemmed from reduced sales to all consumer categories, with the exception of the Power

Service and Large Power categories, which increased by 0.1 per cent and 1.2 per cent to 584.0

million kWh and 460.7 million kWh, respectively.

The National Water Commission produced 226 810.0 megalitres of water during the January-

September 2012 period relative to 228 353.0 megalitres during the comparable period of 2011.

The fall-off in production emanated from reduced output in the Western region, due to lower

output in most of the parishes in the region including St. Ann, St. James, Hanover and

Westmoreland. The increased out-turn in the Eastern region (up 0.7 per cent to 140 787.2

megalitres), fuelled by higher production from Clarendon, St. Catherine, St. Thomas and

Portland, insufficient to outweigh the fall-off in the West.

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Transport, Storage & Communication

For the first nine months of 2012, real value added for the Transport, Storage & Communication

industry declined by 2.4 per cent relative to the corresponding period of 2011. This out-turn

generally reflected the weakening global economic environment and mainly affected activities at

the island’s sea ports, resulting in contraction in the Transport & Storage subcategory. The

downturn in the subcategory was, however, mitigated by the dissipation of the negative impact of

the final transfer of Air Jamaica assets in July 2012. The Communication subcategory of the

industry recorded growth during the period, consequent on, among other things, the uptick in

telecommunication activities.

During January-September 2012 the total volume of cargo handled at the island’s seaports

declined by 10.1 per cent to 11 678 477 tonnes relative to the comparable period of 2011. This

out-turn was associated with the weakening global economic environment, which contributed to

contraction in activities at both the Port of Kingston (down 17.8 per cent to 3 644 601 tonnes)

and Outports (down 6.1 per cent to 8 033 876 tonnes). The performance at the Outports was

linked to the fall-off in bauxite and alumina exports, while at the Port of Kingston declines were

associated with reduced activities at the KCT.

During the review period the number of ship calls to the island’s port amounted to 2 744

compared with 2 729 during January-September 2011. The Port of Kingston received 19 more

ship calls while four fewer ships visited the Outports.

Total passenger movements at the island’s international airports was 3 822 075 relative to 3 726

196 during January-September 2011. The nine-month performance reflected growth in all

categories during the April-June 2012 and July-September 2012 quarters, which overturned the

contraction recorded in January–March 2012. The overall out-turn reflected higher traffic for all

categories of passengers:

Arrivals – up 2.4 per cent to 1 820 351

Departures – up 2.1 per cent to 1 913 874

Intransit – up 16.9 per cent to 87 850.

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The performance was supported by higher traffic volume at the SIA and the NMIA, reflecting

among other things, higher passenger load factor, the addition of new routes and the introduction

of new flights by some airlines.

Wholesale & Retail Trade; Repair and Installation Of Machinery

For the first nine months of 2012, real value added for the Wholesale and Retail Trade; Repair

and Installation of Machinery (WRTRIM) industry grew by 0.6 per cent relative to the

corresponding period of 2011. This resulted from growth in all quarters based on improved

conditions in the agriculture industry.

For the first nine months of the year, total remittance inflows increased by 1.1 per cent to

US$1519.8 million compared with the similar period in 2011. Activities within the industry was

also supported by an 11.1 per cent and a 36.4 per cent increase in the volume and value of ABM

and point of sale transactions, respectively. Further growth in real value added was mitigated by

higher levels of unemployment and declines in the Construction and Manufacture industries.

Finance & Insurance Services

For January–September 2012, real value added for the Finance & Insurance Services industry

increased by 0.6 per cent compared with the similar period of 2011. The performance was

ascribed mainly to:

An increase in Net Interest Income at deposit-taking institutions, in particular,

commercial banks

Higher fees and commission income

At the end of September 2012, domestic credit increased by 14.2 per cent compared with the end

of September 2011. The growth in credit was due to an increase in loans & advances by

commercial banks to the Private Sector (up 19.2 per cent to $272.8 billion) and Public Sector (up

4.0 per cent to $25.8 billion).

Month-end data for September 2012 revealed that Non-Performing Loans (NPLs) decreased by

2.6 per cent relative to the end of September 2011. This outturn was attributed to a decline in

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NPLs for Commercial Banks by 4.4 per cent which outweighed the increases of NPLs at

Building Societies (up 1.3 per cent) and FIA institutions (up 1.0 per cent).

At the end of September 2012, Non-Performing Loans as a share of Total Loans declined from

8.3 per cent to 7.1 per cent relative to the end of September 2011. The ratio decreased for

Commercial Banks (7.9 per cent to 6.7 per cent) and Building Societies (6.9 per cent to 6.6 per

cent) while it increased for FIA Institutions (46.1 per cent to 48.1 per cent).

Tourism

For January to September 2012, real value added for the Hotels & Restaurants industry grew by

2.3 per cent. The higher value added was due to increased stopover and cruise passenger

arrivals. Total visitor arrivals increased by 12.5 per cent to 2 548 491 compared with the

corresponding period of 2011. This reflected increases of 2.8 per cent and 31.6 per cent in

stopover arrivals and cruise passenger arrivals, respectively (Table 6.11).

The upturn in stopover arrivals for the review period was influenced by increased arrivals from

the United States of American (USA), Canadian and Latin American markets. Stopover arrivals

from the USA and Canada increased by 3.7 per cent and 8.4 per cent to 989 804 and 310 073,

respectively. The Latin American market registered a total of 19 119 stopover arrivals, an

increase of 52.8 per cent.

During January to September 2012, the increase in cruise passenger arrivals stemmed from

improvements at the Falmouth and Montego Bay ports. A total of 443 513 passengers visited the

port of Falmouth, 55.6 per cent more than during the corresponding period of 2011. Similarly,

there was a 54.1 per cent increase in cruise passengers visiting the port of Montego Bay,

reaching 272 408 visitors.

Provisional visitor expenditure for January–September 2012 was estimated at US$ 1 592.2

million, 3.5 per cent higher compared with January - September 2011. Stopover and cruise

passenger expenditures amounted to US$ 1 512.7 million and US$ 79.6 million compared with

US$ 1 481.3 million and US$ 57.2 million, respectively.

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Source: Jamaica Tourist Board

2.4.2 PRELIMINARY GDP FORECAST FOR FY 2012/13 PRIOR TO HURRICANE

SANDY

Prior to the passage of Hurricane Sandy, real GDP growth was projected to be 0.3 per cent for

FY2012/13. It was anticipated that economic growth would have been fuelled primarily by

improvements in the Agriculture Forestry & Fishing and Hotels & Restaurants industries. This

projection was made within the context of several downside risks, including:

uncertainties within the global economic environment – associated with Euro zone

sovereign debt crisis, slower than anticipated growth of other Industrial Economies and

slowdown in industrial activities of Emerging Market Economies

weather related events – hurricane, extensive flooding or a prolonged drought.

Table 6.11: Visitor Arrivals,

January – September, 2011 – 2012

Stopover Arrivals Cruise Passenger Arrivals Total Visitor Arrivals

2011 2012 2012/2011

(%)

2011 2012 2012/2011

%

2011 2012 2012/2011

(%)

Jan 174 144 169 355 -2.8 96 323 167 745 74.1 270 467 337 100 24.6

Feb 175 114 180 595 3.1 88 983 164 415 84.8 264 097 345 010 30.6

Mar 204 046 204 724 0.3 106 247 161 794 52.3 310 293 366 518 18.1

Jan-Mar 553 304 554 674 0.2 291 553 493 954 69.4 844 857 1 048 628 24.1

Apr 179 444 180 511 0.6 100 977 115 347 14.2 280 421 295 858 5.5

May 146 583 157 233 7.3 77 579 90 704 16.9 224 162 247 937 10.6

Jun 166 545 179 814 8.0 83 997 75 307 -10.3 250 542 255 121 1.8

Apr-Jun 492 572 517 558 5.1 262 553 281 358 7.2 755 125 798 916 5.8

Jan-Jun 1 045 876 1 072 232 2.5 554 106 775 312 39.9 1 599 982 1 847 544 15.5

Jul 202 493 209 824 3.6 71 228 74 690 4.9 273 721 284 514 3.9

Aug 155 133 157 863 1.8 74 803 87 341 16.8 229 936 245 204 6.6

Sep 98 280 104 360 6.2 63 212 66 869 5.8 161 492 171 229 6.0

Jul-Sep 455 906 472 047 3.5 209 243 228 900 9.4 665 149 700 947 5.4

Jan-Sep 1 501 782 1 544 279 2.8 763 349 1 004 212 31.6 2 265 131 2 548 941 12.5

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3. Performance after the Disaster

3.1.1 FISCAL OPERATIONS

Preliminary estimates of expenditure associated with the ‘clean-up’ and recovery efforts

following the passage of Hurricane Sandy was approximately $2.75 billion, disaggregated as

follows:

• Public Works Rehabilitation, - $1.6b

• Relief to Householders - $650m

• NSWMA - $80m

• MOH - $270m to be funded by NHF

• Miscellaneous - $150m

Against a background of fiscal consolidation, this will be accommodated in the FY 2012/13,

through the reallocation of resources.

3.2 Projected GDP Performance after the Disaster, FY 2012/13

Given the damage and loss associated with the passage of Hurricane Sandy, GDP projections were

revised downwards. Real GDP is projected to contract by 0.1 per cent for FY 2012/13, instead of the

initial projection of growth of 0.3 per cent (Table 6.12 and Figure 6.4). This revision incorporates the

adverse impact on output levels, production time as well as the damage to infrastructure. Also

incorporated are developments within the international and domestic environments:

a. Global economic challenges including uncertainty regarding commodity price

movements

b. Domestic Concerns

i. IMF issues (tax, pension and public sector reforms)

ii. Rising unemployment

iii. Weak consumer and business confidence

These contractions are however expected to be tempered by:

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I. continued increase in Agricultural production

II. continued growth in Tourism due in part to expected growth in Arrivals and Visitor

Expenditure

III. a return to positive performance in the Transport, Storage & Communication industry as

the impact of the sale of Air Jamaica cycles out. Additionally, continued growth in the

Telecommunications sub-sector is expected, as the volume of minutes sold is projected to

grow, due to intensified competition among the providers

Industries most impacted from the passage of Hurricane Sandy were Agriculture, Forestry &

Fishing; Electricity & Water Supply; Transport, Storage & Communication. Data gathered from

preliminary assessment indicate that the impact of Hurricane Sandy on Jamaica was

approximately $9,711.14 million, amounting to 0.8 per cent of GDP.

Figure 6.4: Real GDP Growth Before and After the Event

Source: PIOJ

Agriculture

For FY 2012/13, real value added for the Agriculture, Forestry & Fishing industry is expected to

increase by 1.9 per cent relative to the previous fiscal year. This increase is expected, despite

losses resulting from Tropical Storm Sandy in October 2012, which caused approximately $1.4

billion in damage to the agriculture sector. The projected increase in real value added is based

-0.03

-0.02

-0.01

0

0.01

0.02

0.03

0.04

2005/2006 2006/2007 2007/2008 2008/2009 2009/2010 2010/2011 2011/2012 2012/2013

per

cen

t

Projection prior to Sandy Projection after Sandy

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mainly on higher output of Domestic Crops which is weighted heavily in the Agricultural

Production index. With respect to Traditional Export Crops, Bananas are expected to be severely

negatively impacted in the last two quarters of FY 2012/13. Losses to the Coffee and Cocoa

industries were less severe. However, it is anticipated that the continuation of government

programmes aimed at improving efficiency will have a positive impact on agricultural production.

Table 6.12: Projections For Year On Year Change In GDP By Industry At

Constant (2007) Prices

FY 2012/13 FY 2012/13

Pre Hurricane

Sandy

Post Hurricane

Sandy

GOODS PRODUCING INDUSTRY 0.4 -0.8

Agriculture, Forestry & Fishing 5.2 1.9

Mining & Quarrying -5.4 -8.6

Manufacture -0.4 -0.4

of which: Food, Beverages & Tobacco -0.2 -0.2

Other Manufacturing -0.6 -0.6

Construction -1.1 -1.2

SERVICES INDUSTRY 0.1 0.0

Electricity & Water Supply 0.5 -0.2

Transport, Storage & Communication -1.5 -1.2

Wholesale & Retail Trade; Repair and

Installation of Machinery

0.4 0.4

Finance & Insurance Services -0.1 0.3

Real Estate, Renting & Business Activities -0.1 -0.2

Producers of Government Services -0.2 -0.4

Hotels and Restaurants 3.7 2.2

Other Services 0.4 0.3

Less Financial Intermediation Services

Indirectly Measured (FISIM)

-2.5 -1.8

TOTAL GDP AT BASIC PRICES 0.3 -0.1

Source: Statistical Institute of Jamaica

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Mining

Real value added for the Mining & Quarrying industry is expected to decline by 8.6 per cent for

FY 2012/13. This outcome stems mainly from the anticipated reduction in production of alumina.

This projection is based on the weak market sentiments for aluminium in the main markets which

will impact the output from local alumina and crude bauxite plants. Additionally the prevailing

depressed market prices will continue to delay the reopening of two local alumina plants.

Construction

Real value added for the Construction industry is expected to decline by 1.2 per cent. This

performance is predicated on reduced capital expenditure on residential construction, and other

major infrastructural projects. The decline will be tempered by major construction and other

infrastructural projects which are projected to start during the latter half of the fiscal year.

Manufacture

The real value added for the Manufacture industry for FY 2012/13 is projected to decline by 0.4

per cent mainly reflecting continued decline in the Other Manufacture component. This component

is expected to be negatively impacted by the downturn in the Mining & Quarrying industry as well

as the continued closure of two chemical plants. Additionally, there is an anticipated decline in the

Food, Beverages & Tobacco component pushed mainly by a possible reduction in external demand

for the Beverages & Tobacco subcategory.

Electricity & Water

Real value added for the industry for FY 2012/2013 is anticipated to contract by 0.2 per cent, due

to reduction in both electricity generation and water production. The contraction in both segments

is linked to, among other things, the impact of Hurricane Sandy on the industry.

Transport Storage & Communication

For the Transport, Storage & Communication industry, real value added is also expected to

decline, by around 1.2 per cent. This is predicated on a decline in the Transport & Storage

segment, associated with continued decreases in cargo movement. Further decline in in real value

added is however expected to be tempered by a dissipation of the effects of the final transfer of the

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assets of the national airline and an anticipated up-tick in passenger movement associated with

tourism. Activities related to Communication are also expected to expand consequent on increased

competition in the sector.

Wholesale & Retail Trade; Repair and Installation of Machinery

For fiscal year 2012/13 real value added for the Wholesale & Retail Trade industry is projected to

increase by 0.4 per cent, relative to the previous fiscal year. This out-turn is predicated the

improved performances of domestic industries associated with WRTRIM, specifically the Tourism

and Agriculture industries. Additionally the industry should benefit from expansions in loans and

advances to distributors and for consumption purposes; as well as a higher level of remittance

inflows.

Finance & Insurance Services

Real value added for the Finance and Insurance Services industry is projected to increase by 0.3

per cent. It is anticipated that growth in this industry will be spurred by an increase in the net

interest income.

Tourism

For FY 2012/13, real value added for the Hotels and Restaurants industry is estimated to grow by

2.2 per cent relative to FY 2011/12. This growth is predicated on estimated increases of 2.7 per

cent and 0.6 per cent in stopover and cruise passenger arrivals, respectively. In addition, visitor

expenditure is estimated to increase by 4.1 per cent compared with FY 2011/12.

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APPENDIX

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APPENDIX 1

Surface Wind and Sea level pressure analysis during passage of Hurricane Sandy,

October 23-25, 2012.

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APPENDIX 2

Summary Habitat Assessment by Parish

HABITAT CRITERIA MAR POR THO KSA CAT CLA MAN ELI WES HAN JAM TRE ANN

Beaches

Erosion

None

Low 40% 40% 75% 80%

90% 100%

100% 100% 100% 100% 100% 100% 100%

Moderate 60% 60% 25% 20% 10%

Heavy

Sedimentation and deposition of back dune

None

Low 50% 50% 70% 50%

80% 100%

100% 100% 95% 95% 100% 100% 100%

Moderate 20% 20% 10% 40% 20%

Heavy 30% 30% 20% 10%

5% 5%

Marshes

Lateral Compression

None

100% 100% 100% 100% 100% 100% 100% 100% 100%

Low 100% 100% 100% 100%

Moderate

Heavy

Mangroves

Crown Damage

0-25% 100% 100%

100% 100% 100%

100% 100% 100% 100% 100% 100% 100 % 100%

25-50%

51-75%

>75%

Forest

Crown Damage

0-25%

20%

20%

40% 90% 95%

100% 100% 100% 100% 100% 100% 100% 100%

25-50% 60% 60% 50% 10% 5%

51-75% 10% 15% 10%

>75% 10% 5%