The Government of Guyana has applied to the Islamic Development Bank (IsDB) for financial support for the Hinterland Electrification Programme, and intends to use some of the proceeds to fund the construction and rehabilitation of two small, hydropower plants at Lethem, Region Nine.
These are a 1.5 Megawatt (MW) plant at Kumu and a 0.7 MW plant at Moco Moco.
The executing agency, the Guyana Energy Agency (GEA), has invited sealed bids to the National Procurement and Tender Administration Board (NPTAB) from eligible and qualified bidders, to handle the engineering, procurement and construction (EPC) of the plants.
The deadline for submissions is September 30, 2021.
This is in line with the PPP/C Government’s plan to deliver cheap, reliable, cleaner energy to all communities in Guyana.
In addition to the operationalisation of the largescale Gas-to-Energy and Amaila Falls Hydropower projects for the main grid, the Government intends to expand the Hinterland Electrification Programme by implementing several small, renewable energy projects for urban and off-grid communities.
Financing for these hydropower plants was sought under a previous deal with the Islamic Bank by the Coalition Government. However, former Finance Minister, Winston Jordan signed the contract with the Bank during the protracted period following the General and Regional Elections in 2020.
The PPP/C, while in Opposition, had warned the then Government against entering into deals when it was illegitimate due to the passing of the December 21, 2018 no-confidence motion.
The PPP/C Government, upon taking office committed to reviewing this and all actions of the former Government, with the view of correcting any illegalities.
The IsDB is one of Guyana’s newest development partners; Guyana joined in 2016.
Its goodwill was demonstrated when the Bank offered Guyana a US$900 million package for mainly infrastructural development works in the period 2018-2020. President Dr. Mohamed Irfaan Ali met virtually with IsDB President, Dr. Bandar Hajjar in June. President Ali mainly discussed plans for rebuilding in the aftermath of the countrywide floods, and thanked Dr. Hajjar for the IsDB’s support.