The Government of Guyana has reissued a request for proposals (RFP) for the Amaila Falls hydropower project (AFHP), the country’s largest renewable energy project.
The move comes after a previous RFP in 2021 failed to secure a lasting contract with China Railway First Group (CRFG), the initially selected winner.
This renewed push for the project comes at a critical time as Guyana faces surging electricity demand. The state power provider, Guyana Power and Light Inc. (GPL), recently reported a peak demand of 182 megawatts (MW) on the country’s central grid system, a substantial increase from last year’s 154 MW.
According to the utility company, the surge is primarily due to the increased use of air conditioning units and fans, spurred by rising temperatures, as well as the ongoing boom in Guyana’s construction and hospitality sectors.
The hydro project aims to deliver at least 165 MW of clean energy by 2027, alongside the Gas-to-Energy project, currently in development, which is expected to produce 300 MW of gas-powered generation by 2025.
Together, these initiatives are part of government’s plan to meet the rapidly growing energy demand while reducing costs for consumers and lowering emissions by transitioning away from heavy fuel oil (HFO) as the main source of power generation.
Vice President Dr. Bharrat Jagdeo indicated that the reissued RFP was prompted by a spate of unsolicited proposals from international companies based in Brazil, Austria, and Korea. The government aims to use the RFP to select a competent partner based on a range of criteria, such as timeframes for completion, economic viability including life-cycle costs, and the credibility and expertise of the EPC and financing partners.
The new RFP outlines a Build-Own-Operate-Transfer (BOOT) model and specifies that proposals should include plans for a hydro dam with a capacity of at least 165 MW.
Additionally, plans must be made for transmission lines from Amaila to Linden and a substation at the Amaila site, as well as transmission lines from Linden to Georgetown that can integrate with the Guyana Power and Light (GPL) Grid at 230 kilovolts (kV). A separate control center is planned for construction at Eccles-Georgetown but is not part of the BOOT proposal. The deadline for proposal submissions is November 28, 2023, providing about six weeks for interested parties to respond.
