Presentation on theme: "6 th to 7 th October, 2011 Brussels, Belgium H.E. Ambassador Rosalyn E. Hazelle Chief Executive Officer St. Kitts Investment Promotions Agency Green Growth."— Presentation transcript:
6 th to 7 th October, 2011 Brussels, Belgium H.E. Ambassador Rosalyn E. Hazelle Chief Executive Officer St. Kitts Investment Promotions Agency Green Growth Investment Forum (GGIF) Towards Green Growth & Investment: Sustainable Investment Opportunities in St. Kitts
Contents St. Kitts Overview The St. Kitts Investment Promotion Agency (SKIPA) - Who we are St. Kitts Investment Climate Green Growth and Investment Drivers and Opportunities in St. Kitts
5 Where is St. Kitts & Nevis? An undiscovered twin island Caribbean paradise A stable Parliamentary democracy – the court of last resort is Privy Council in London, UK. Dedicated to transitioning and diversifying its economy 65 square miles, with a population of 44,000.
6 St. Kitts & Nevis is conveniently located. - 2.5 hours from Miami, 3.5 hours from New York, 4.5 hours from Toronto, 9 hours from London
7 The St. Kitts Investment Promotion Agency SKIPA - Who we are
Who Are We? The St. Kitts Investment Promotion Agency (SKIPA) was established as a statutory corporation, operating under the Office of the Prime Minister (OPM) Autonomous Empowered with delegated authority and responsibility
Why St. Kitts Established an IPA SKIPA emerged out of the need to help foreign and domestic investors establish their projects in St. Kitts as swiftly and as easily as possible. The Agency acts as a one-stop shop, where investors can make inquiries about how to get their businesses started. SKIPA navigates the bureaucratic waters for the investors - be it obtaining business licences, work permits, or incentive packages.
Mainstreaming Processes SKIPA MF Inland Revenue Dep. Financial Services MF Business Licences MF Incentives Cabinet Incentives Social Security Nat. Sec. Work Permits High Court Registrar Alien Land Holding Health
Our Mission To proactively promote and generate strategic investments for St. Kitts and to facilitate the establishment and expansion of local and foreign investment projects, while advocating for the continued development and enhancement of the investment environment in St. Kitts.
SKIPA Values Projecting a positive image of St. Kitts; Empowering its people; Working with world-class professional excellence, commitment, ownership, pro- activity, perseverance and continuous improvement; Delivering responsive, prompt, excellent customer-focused services; Governed by integrity, ethical behavior, fairness and confidentiality regarding the investor’s project.
Our Objectives Increase local & foreign investment in St. Kitts Create jobs Facilitate the establishment & expansion of investment projects Implement reforms to enhance the investment environment Diversify the economy Promote sustainable development Enhance St. Kitts’ image amongst investors
Key Investor Facilitation Services Provided Local Investors Foreign Investors Investor Facilitation Provide information about investing in St. Kitts Provide specific information packages for particular investor need Confirm site-visit/assist with transportation to hotel and any other aspects of the visit Assist investors in filling out application forms Put investors in contact with key people Accompany investors throughout their visit to St. Kitts; from arrival to departure
Key Components of SKIPA SKIPA Investment Promotion Investment Facilitation Aftercare Market Research & Advocacy
Traditional Sectors for Attraction Crop Production Livestock Production Fishing Agro-processing Call Centers Credit Card Application Services Data Entry Data Base Management & more Companies Limited Partnerships Trust Foundations Captive Insurances Luxury Hotels Vacation Homes Duty Free Shopping Heritage Sites Golf & Spa Other Recreational Activities Tourism Financial Services Agriculture Information Technology
Strategic Sectors for Investment Clean Tech AgroIndustry Aquaculture Mariculture High Tech Agriculture Tourism Retail Shopping Centres Yachting & Marina Development Medical Tourism Health and Wellness Clean Technology Renewable Energy Solar Wind Energy Geo Thermal Bio Diesel Energy Efficiency Bio Digestion Entertainment (Creative Industries) Audio Visual & Film Animation, Digital Media High Growth Green Information Communication Technologies Smart Grids E-Commerce Software Development IT Park Facility Financial Services Back Office Processing Light Manufacturing Agroprocessing Solar Panel Assembly Repackaging
Why Invest in St. Kitts English speaking, well-educated workforce Modern infrastructure, Roads, Air and Sea Ports, Water Advance telecommunication infrastructure A legacy of political stability A stable currency – 1 USD = 2.70 ECD No Personal Income Tax Tax holidays for certain qualified investment projects Generous incentive packages including corporate tax incentives, full exemption from import duties, tax relief benefits, export allowances and more
Trade & Investment Incentives Under the Fiscal Incentives Act, four types of enterprise qualify for a tax holiday. The length of the tax holiday for the first three depends on the amount of value added in St. Kitts & Nevis. The forth type, known as enclave industry, must produce goods exclusively for export outside the CARICOM region.
Trade & Investment Incentives EnterpriseValue AddedMaximum Tax Holiday Group I50 % or more15 years Group II25 % to 50 %12 years Group III10 % to 25 %10 years Group IVEnclave15 years
Export Allowances St. Kitts provides companies with further tax concessions effective at the end of the tax holiday period. A rebate is given on a portion of the income tax based on export profits as a percentage of total profits.
Exemption from Import Duties Full exemption from import duties on parts, raw material, and production machinery is also available for manufacturers that qualify under the Fiscal Incentive Act.
Attracting Green Investments - Incentives St. Kitts ratified the Kyoto Protocol in July 2007, and is eligible to attract Clean Development Mechanism (CDM) funding for projects that reduce greenhouse gas emissions like: Sustainable public landfill management solutions Wastewater treatment plant – to support new property developments Renewable energy self-production by wind farms Renewable energy production using solar power
Repatriation of Profits Companies registered in St. Kitts can repatriate all profits, dividends and imported capital.
26 Green Growth and Investment Drivers and Opportunities in St. Kitts
Green Growth and Investment Drivers Millenium Development Goals (MDGs) Clean Development Mechanisms - Kyoto Protocol – St. Kitts signed in July 2007 Global Green Development Drivers Average – 100Million US /year in Investment St. Kitts has recorded strong annual growth in the sector since 2000. High FDI Flows – In St. Kitts St. Kitts is vulnerable to Climate Change Earth Temp Increases – Affect Agriculture Greenhouse Gas Emissions – High Use of Fossil Fuels Coastal Erosion Climate Change St. Kitts, Commitment to Sustainable Development Private Sector Development Pro - Investments which do not have a negative Environment al Impact Sustainable Development
Foreign Direct Investment to GDP, which averages about US$100 million/yr, is a major contributor to the economy. This is evidenced from national data and accounted for US$84 million in 2000 rising to $128 million in 2009.
Climate Change Drivers & Opportunities Energy Sector High cost of energy due to high use of fossil fuels Government recently corporatised the Electricity Department and now has an Electricity Company as of August 1 st, 2011 Draft Renewable Energy Policy exists Opportunities Opportunities in provision of lower-cost energy, particularly from local renewable energy resources;
RENEWABLE ENERGY PRODUCTION/ ENERGY EFFICIENCY (EE) SERVICES Clean Energy
Opportunities in Energy Production Opportunities in the development and utilization of alternative and renewable domestic energy sources such as solar, wind, geothermal and wave; Greenfield opportunities in carbonless intensive fuels such as biofuels. Opportunities in Energy Services Energy Efficiency Services (Auditing/Consulting); Solar Panel assembly & distribution - technical and vocational training; Light manufacturing in energy related technologies.
St. Kitts & Nevis – Geo thermal Project West Indies Power Vision to establish St. Kitts as the First Geothermal Powered Nation in the world Opertator of the Geothermal Energy Plant in Nevis Has plans for expanding and supplying energy to St. Kitts via HVAC submarine cables Project would Require approx $125MM USD in funding
St. Kitts – Wind Power North Star – WIND ENERGY PROJECT ST.KITTS Project is based in Bellvue, St. Kitts to develop a 5.4MW Wind Farm Developers Nevis based North Star in collaboration with a Florida based Mas Energy. Developers have a 20yr Contract with the Electricity Company. The company recently secured $16.5M through the US Overseas Project Investment(OPIC) to fund construction of the first phase.
AGRO INDUSTRY - AGRICULTURE Increasing temperature, challenges in rain-fed agriculture systems. Reduction of land space due to increasing developments. Investment Opportunities Controlled Agriculture (Use of greenhouses and humidity controlled cooling systems); Services in early warning forecast systems; Geographical Information Systems (GIS); Soil management technologies and practices.
Water Resources Opportunities Irrigation technologies development and services including sprinkler systems and drip irrigation; Technology solutions and services for soil and water conservation; Desalination technology services - especially for large real estate developments Waste water treatment services
Challenges in Aquaculture & Mariculture for small islands No Rivers No significant streams No suitable fresh water Ponds Inadequate fresh ground water resources for both commercial distribution and extensive aquaculture farm operation No sealing clay for ponds Abundance of seawater everywhere Reduction of land space due to increasing developments; Over-fishing and threat to marine life.
AQUACULTURE & MARICULTURE Investment Opportunities Appropriated “Sea Water” Aquaculture - SNAPPER Project (Farming Tilapia Inland with Sea Water); Controlled and modern Mariculture (Use of Special Aqua Pods systems to fish offshore) Cobia Investment Project
100% Adaptation of Fresh Water Tilapia to Sea Water AQUACULTURE - SNAPPER PROJECT
Offshore Fishing – MARICULTURE COBIA PROJECT High Value Fish – Cobia (Black King Fish) High Demand in the US Market Project Concept: The overall objective of the project is to establish a High Tech Sustainable Offshore Mariculture Fish Farm offering a high value species of fish which is not only high in demand and marketable but does not threaten the existing fishing industry and the small fisherfolk family livelihoods.
Use of High Tech Sea Cages The project will build an vertically integrated Farm with two sites one on St. Kitts and the other on Nevis Project Finance - $3.5 Millon US The farms will use a combination of 60 meter and 90 meter submergible circular plastic cages
GREEN INFORMATION COMMUNICATION TECHNOLOGY (ICT)
Green (ICT) SMART Metering Need for an Upgraded Distribution Network and automated electricity metering systems(Smart Grid Systems and Telemetry); for the St. Kitts Electricity Company (SKLEC) E-Transactions Branchless Banking - mobile money transfer and clearing and settlements Private Sector Investment Project Opportunity: 1M value, 3yr ROI at 10%
Green ICT Green ICT & Industrial Park Investment Project - feasibility study and financing