Evaluation begins on bids for Kato Hydropower Plant – award of contract likely by mid-August

EVALUATION of bids for the design and construction of the Kato Hydropower Plant and irrigation infrastructure started yesterday with team members working towards awarding a contract by mid-August.

The Evaluation Committee is headed by Dr. Mahender Sharma, Chief Executive Officer of the Guyana Energy Agency (GEA).
The work programme includes evaluation of bids from B.K. International Inc., Dynamic Engineering Inc. and Farmex Technologies, the three companies which tendered bids for the G$615M project in Region 8 (Potaro/Siparuni).
The Evaluation Committee will rank the three companies, choose which one will get the job, make a recommendation to Cabinet and then negotiate the contract with the winner and conclude the deal.
The committee is being supported by internationally acclaimed hydro-electricity expert and German national, Mr. Thomas Scheutzlich.
The implementation of the Micro-Hydropower System will be managed by the Hinterland Electrification Unit in the Office of the Prime Minister.
Bids for the design and construction of the Kato Hydropower Plant and irrigation infrastructure were opened at the Ministry of Finance on Tuesday last.

The bids were divided into two lots comprising construction of the Kato Hydropower Plant, Lot 1, and the irrigation infrastructure, Lot 2.
The bids which are to be evaluated are as follows:

Bidder Amount
B.K International Inc. Lot (1) €1,600,000
Lot (2) €1,435,050;
Farmex Technologies Lot (1) €2,621,119;
Dynamic Engineering Inc. Lot (1) €2,124,762
Lot (2) €824,179.

 

The selected contractor will be allowed a total of six months to prepare designs and get them approved.
The company is expected to begin work on the project in the last quarter of this year with a targeted completion date in mid-2015.

The system will comprise a 330-kilowatt micro-hydropower station with its primary energy source being the 36-metre waterfall in the Chiung River in the vicinity of Kato Village.

Sufficient generating capacity for electrical services is to be provided to a secondary school complex to be constructed by the Ministry of Education, to existing government buildings, such as the nursery and primary school, the guest house, the police outpost, and medical facilities and school dormitories.

The network will provide electricity to neighbouring Paramakatoi through a 16-kilometre transmission line that forms part of the intervention and a 500-metre distribution system to supply the existing government institutions at Paramakatoi.
The project will also involve the erection of a pump station to supply water for irrigation of neighbouring farmlands.
The intention is also to provide electricity at the community level for productive, income-generating initiatives that could transform the targeted villages, particularly Kato, from a subsistence level to a cash economy.
The Government of Guyana secured funding for the development of the micro-hydropower system at Kato from the European Union early last year.
The project is to be constructed at a cost of approximately $615M with the EU contributing $460M under the 10th European Development Fund (EDF), and the government contributing $154M.

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