Speaking at a press conference at the Office of the President, Jagdeo said that the contract valued at over US$15 million was recently awarded for the first part of this critical project. The contract includes “the upgrading of approximately 85 km of existing roadway, the design and construction of approximately 110 km of virgin roadway, the design and construction of two new pontoon crossings at the Essequibo and Kuribrong rivers”. The fourth part of the project is for the clearing of a pathway alongside the roadways to allow for the installation of approximately 65 km of transmission lines.
Head of NICIL Winston Brassington told Stabroek News on Saturday that the contract for the project was awarded to the US-based Synergy Holdings Inc. This firm has been the developer of the project for several years now with Sithe Global Power, serving as the leading financial group.
Meanwhile, Jagdeo said on Friday that the initial phase of the project should take about 8-10 months during which period the government hopes to raise US$450 million to ensure financial closure of the project so that the second phase of the project can commence immediately. He explained that by self-financing the first phase and securing the rest of funds during this period, the government will be saving significant sums of money. Jagdeo said the government is working with the Inter-American Development Bank (IDB) to see this project to fruition and he further disclosed that funding is being sought from the China Development Bank. A local team is expected to travel to China to hold discussions with bank representatives. Recently, Finance Minister Dr Ashni Singh held discussions with officials from the China Development Bank while in Mexico, Jagdeo said.
The President explained that these funds are not a loan to the Guyana government, but rather to the project. The government will have to buy the power, Jagdeo explained. The plant when it becomes operational, Jagdeo stated, is expected to reduce the cost of electricity in the country.
The long anticipated Amaila Falls project is supposed to see a 140-megawatt hydroelectric plant being built on the Kuribrong River, a tributary of the Potaro River in Region Seven (Cuyuni/ Mazaruni).
It has become even more pivotal now with the government pushing the Low Carbon Development Strategy (LCDS).
