MINISTER of State Joseph Harmon yesterday informed media operatives that the former PPP/C-led Administration had deceived the populace about the Amaila Falls Hydro Project. The project, which was heavily touted by the former Administration to provide, inter alia, reliable power to meet Guyana’s future needs, has been the centre of much concern as costs for the 165-megawatt hydro venture escalated from the original US$450M to US$858.2M; additionally, the cost for the access road had skyrocketed from US$15M, when the contract was signed in 2010, to US$43.5M in 2014.
The Minister of State said, “The Minister of Finance had the testicular fortitude to make the statement…there was no project…nothing for the IDB to fund…this does not say there are no investments in the project, money spent on the road and other things.” Minister Harmon added that the project was off from the time the IDB told the then Government that they had no client, as Sithe Global Group had withdrawn in 2013. “This the previous Administration knew, but they were postulating and deceiving the Guyanese people when they knew what actually was the state.”
He further explained, “No project was properly placed before the National Assembly…what came before the National Assembly was an extension of the area to be flooded and the conservation concerns, along with the raising of the debt ceiling…The entire project was never placed before the National Assembly.” The major concern of the current Administration had always been the final cost the consumers will pay, which it was explained, would have been significant if indeed such a project had been embarked upon.
Minister Harmon emphasised, “Furthermore, the concept of Amaila Falls never contemplated delivering electricity to Essequibo…or to the hinterland…it was never in the contemplation of the project design…We still would have had to look at alternative forms of energy.”
It is the belief of the Administration that a comprehensive look at energy within the framework of the country’s development should be looked at, therefore taking into account not only hydro energy, but also wind, and solar, which ultimately will push the country forward.
Minister Harmon explained that a Potaro Basin Hydryo Electricity Plan is rather the best option to go with. This would mean that Amaila would have to fall within several other falls that are located in the area, to have one cohesive hydro-electricity development. This, it was emphasised, will take the heat off a single fall having to power the lines which go with delivering electricity from the falls to the consumer.