JPS Hit by Global Supply Chain Issues

JPS release

JPS is reporting that it has been badly affected by the ongoing supply chain issues. Almost all the materials and equipment used in its power generation, transmission and distribution operations are sourced outside of the region. The Company is therefore competing with the rest of the world for materials.

Despite advanced pre-ordering and the use of alternate suppliers, the Company is still experiencing extremely long delays in the delivery of materials. Inventory items that were once delivered within two months, are now taking up to eight months. Most of the major projects have been delayed because of the crippling shortage of materials for critical elements of the energy infrastructure, including transformers and insulators.

The construction of new infrastructure, line extensions, pole relocation to support road improvement projects, for example, will now take much longer than before. The Company recognises the ripple effect this will have on businesses, but the situation is entirely outside of its control.

Like the rest of the world, JPS was hoping for a rebound of supply chains after the worst of the Covid-19 pandemic had passed. But the Russia-Ukraine war has made the situation even more challenging. The Company remains committed to serving the nation to the best of its ability, as we navigate trying times together.