US$1M mobilisation fee paid for two-year rental of power ship
An example of a power ship
An example of a power ship

–to bolster power supply
IN a strategic move to bolster energy infrastructure and ensure uninterrupted power supply, the Guyana Power and Light (GPL) has announced the payment of US$1 million for the two-year rental of a power ship.
On April 13, GPL signed a contract with Urbacon Concessions Investments, W.L.L (UCI) to charter a power ship with a total installed capacity of 36 megawatts (MWs) for a period of two years.

The contract includes the provision of operational and maintenance services as part of the agreement. UCI is a subsidiary of UCC Holdings, a company incorporated in the State of Qatar. UCC Holdings has a strategic alliance with Karpowership International, a Turkish company.

GPL issued a press statement on Thursday outlining the terms of the agreement, stating that the contract requires it to pay UCI a monthly charter fee of 6.62 US cents per kilowatt hour (kWh) for the power ship, as well as a monthly operation and maintenance fee of 0.98 US cents per kWh based on electricity generation.

According to the power company, the power ship is expected to operate at 96 per cent availability. The GPL said that is not required under the contract to pay a demobilisation fee.
Under the contract, GPL said it is responsible for providing Heavy Fuel Oil (HFO) for the operation of the generators.

The power ship last operated in Cuba as part of a contingent of similar generation assets and is expected to arrive in Guyana on May 1, subject to weather conditions. It is expected to be fully operational and delivering electricity by May 8.

The power supply vessel will be connected to GPL’s Demerara-Berbice Interconnected System at Everton in the East Berbice-Corentyne region at 69 kilovolt (KV), providing support to the generation capacity of the power company.
In an interview with this publication on Tuesday, Head of the Executive Management Committee of GPL, Kesh Nandlall, said that preparations are underway for the arrival of the vessel.

Nandlall indicated that officials overseeing the vessel have been actively collaborating with pertinent stakeholders to streamline the logistical aspects of its arrival.
Additionally, he said engineers are on standby to seamlessly facilitate integration of the vessel into the existing energy infrastructure.

“We have a project plan to ensure that the site is in a ready state. And we have built the interconnection from the power ship onto the national grid. We are working on getting all of that done to be ready when the vessel arrives,” he explained.
Furthermore, GPL has been working at its Columbia, East Coast Demerara (ECD) substation to increase its electricity-delivery capacity, with the installation of 15 of 17 generators.

The remaining generators will be installed by the end of this week, bringing the total power- generation capacity at that substation to 23 megawatts.
Nandlall related that once all the generators are operational, the plan is to gradually increase the load on them to maximise output. The US$27 million worth of generators, acquired from Apan Energy Services, is expected to add an estimated 30 megawatts to the national grid.

The persistent power outages, attributed to various factors, including aging infrastructure and increased demand, have underscored the urgent need for infrastructural upgrades within GPL’s network. The utility company is also actively exploring renewable energy options as part of its long-term strategy to diversify the energy mix, and reduce reliance on traditional fossil fuels.
Moreover, the government is also actively pursuing the gas-to-energy project to supply around 300 megawatts of power.

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