HomeArticlesAPNU QUESTIONS TWO-YEAR POWER SHIP DEAL AS GAS-TO-ENERGY DEADLINE LOOMS

APNU QUESTIONS TWO-YEAR POWER SHIP DEAL AS GAS-TO-ENERGY DEADLINE LOOMS

HGP Nightly News – APNU Members of Parliament Ganesh Mahipaul and Sherod Duncan have blasted the government over the extension of the Karpowership arrangement, saying the move exposes deeper problems with the Wales Gas-to-Energy project and leaves taxpayers carrying the cost.

Speaking during the party’s weekly press conference, Mahipaul said the government should have followed the original feasibility study for the Gas-to-Energy project instead of moving ahead with construction while, in his view, still figuring out key details.

He argued that many of the problems now surfacing could have been identified earlier if the project had remained within the framework of the feasibility study.

According to Mahipaul, the current delays and rising costs are the reason the country now has to rely on two power ships for emergency electricity.

“The power ships are necessary right now because of the situation that was created by the People’s Progressive Party,” he said.

Mahipaul said the money now being spent on the power ships could have been used to improve people’s lives, but has instead become necessary because of what he described as the government’s mishandling of the energy sector.

He said an APNU-led administration would have respected the feasibility study, followed the prescribed timeline, and delivered the service within the expected period.

Mahipaul also reminded the public that the government had promised a 50 percent reduction in electricity bills by mid-2025, then later shifted the timeline to the end of 2025, then mid-2026.

He suggested that, at the current pace, consumers may be waiting much longer.

“It seems to be, it may be, probably till in 2030 at what this rate is going,” he said.

Duncan also weighed in, saying the Gas-to-Energy project was first conceptualised under the APNU+AFC government at what he said was half the current cost and within half the time.

He said the public still does not know all the terms of the new Karpowership contract, but reports suggest that the cost per kilowatt has increased.

Duncan questioned why Guyana would need another two-year contract with the power ship company if the Gas-to-Energy project is really expected to come on stream by the end of 2026.

“If the Gas-to-Energy project is going to come on stream in December, why do we need two years of capacity from these power ships?” he asked.

He argued that the new contract suggests the government does not intend to deliver the promised 50 percent reduction in electricity bills anytime soon.

Duncan said Guyanese are still not seeing fewer blackouts despite the additional power ships being added to the grid.

He referred to the 2024 Public Utilities Commission report, claiming it showed that the system failed international benchmarks even with two power ships operating.

According to Duncan, instead of expanding electricity supply in a meaningful way, the government is now speaking about reducing consumption.

He said all of this points to a grim outlook for consumers hoping for better electricity supply under the current administration.

“We are far from seeing any improvement in the distribution of electricity supply in Guyana,” Duncan said.

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