Months after a contract for the construction of the Amaila Falls Hydropower Project (AFHP) collapsed, the government is working on reopening tenders. This is according to President Dr. Mohamed Irfaan Ali.
“We’re doing assessments now. We have quite a lot of interests and proposals from different bilateral partners. When I was in the US, I had a meeting with the Energy Secretary and her entire staff, and I mentioned this project and [its] importance…”
Firms from Canada, Ali reminded, known for its own hydropower infrastructure, have also expressed interest in the project.
The President said the government must make a structured decision as to how it moves forward on the project. Both President Ali and Vice President Dr. Bharrat Jagdeo, on Tuesday, gave assurances that government has not given up on the project. They made the comments at the signing ceremony for the award of contract to CH4 and Lindsayca for the Gas-to-Energy plants. The government expects the project to accelerate its energy transition master plan.
Construction on the 165-megawatt AFHP, which has been in the pipeline for some time under successive governments, was expected to begin this year.
The government had prepared a Build Own Operate and Transfer (BOOT) contract, in which the winning company would agree to supply electricity to the grid at no more than US$0.07737 per kWh under a Power Purchase Agreement (PPA).
However, China Railway First Group (CRFG), having emerged as winner of the contract, pulled out earlier this year over its refusal to conform to the BOOT model. AFHP is the largest renewable energy project to be undertaken in Guyana.