APNU slams Government’s “power plan” as power ships rental extended by two years at higher cost

APNU slams Government’s “power plan” as power ships rental extended by two years at higher cost

The Opposition A Partnership for National Unity (APNU), today raised a number of questions in relation to the new contract signed between the Government of Guyana and Turkish company, Karpowership, for the continued rental of two power ships.

At a press conference today, APNU Member of Parliament, Sherod Duncan, said the Government’s extension of the contract for a further two years shows that it has lost grip of the power sector.

He questioned whether the much-touted gas-to-energy project is really scheduled to come on stream in December, as the new contract for the rental of the power ships is for two years.

 “We don’t know all of the terms of this new contract but they have gone from about 7 cents US to about 9 cents US for kilowatt, it is a lot more money but Guyanese are not, whether in Berbice or Georgetown, they are not getting less blackouts for the additional power ships added to the grid and now this additional sums of money that they have bullied the government for,” Duncan said.

Ducan said with two power ships on the grid, Guyana continues to fail international benchmarks where power supply is concerned.

The Government was recently locked in negotiations with Karpowership after the company threatened to pull the plug on its rental agreement.

Following negotiations, the Government agreed to pay an increase in the rental fee.  

Member of Parliament, Ganesh Mahipaul said the power ships are part of a larger problem caused by the government.

“The power ships are necessary right now because of the situation that was created by the People’s Progressive Party. The usage and expenditure in terms of the huge sums of money that could have been utilized the better the lives of our people is apparently necessary now because of the situation the PPP has created

The Opposition is contending that if the Government had stuck to the original gas-to-energy project model, the power ships would not have been necessary.

The country rented two vessels from Karpowership – a 36-megwatts (MW) facility is docked in the Berbice River, while the 60MW craft is stationed in the Demerara River.

The Government is currently spending almost $50 million per day for the rental of the power ships.

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