Gov’t to save US$2M annually
Ministers David Patterson and Minister within the Ministry, Annette Ferguson flanked by the new board members of PPDI. From left to right are, Harryram Parmesar; Stephen Fraser; CEO, Arron Fraser; Chairman, Mark Bender; Minister Patterson; Verlyn Klass; Minister Ferguson; Amanza Walton-Desir; MPI Permanent Secretary, Geoffrey Vaughn; and Secretary, Ronald Burch-Smith (Samuel Maughn Photo)
Ministers David Patterson and Minister within the Ministry, Annette Ferguson flanked by the new board members of PPDI. From left to right are, Harryram Parmesar; Stephen Fraser; CEO, Arron Fraser; Chairman, Mark Bender; Minister Patterson; Verlyn Klass; Minister Ferguson; Amanza Walton-Desir; MPI Permanent Secretary, Geoffrey Vaughn; and Secretary, Ronald Burch-Smith (Samuel Maughn Photo)

– with new state-owned power company

GOVERNMENT in its effort to drive efficiency and to maximise the use of local capacity, installed a new board for the state-owned Power Producer and Distribution Incorporated (PPDI), which replaces Wartsila, resulting in a saving of $US2M annually.

Eight of the nine members of the board were sworn in Tuesday at a ceremony held in the Boardroom of the Ministry of Public Infrastructure (MPI). The new board of directors for the PPDI includes Mark Bender as Chairperson, Aaron Fraser as Vice-Chairman, Ronald Burch-Smith – Secretary and other board members, including Harryram Parmesar, Stephen Fraser, Amanza Walton- Desir, Derlyn Klass, Permanent Secretary of the Ministry of Public Infrastructure, and an opposition party member.

Minister of Public Infrastructure, David Patterson stated that the operations and maintenance of the engines were previously managed by Guyanese workers at the Wartsila Company and, it was felt that Guyana needs to invest in its own people.

Patterson added that the state owned PPDI Company replaced the Wartsila Company, whose contract with GPL came to an end in December 2016. This new company will save GPL money that were previously paid to Wartsila and will provide an improvement in remuneration for the employees at PPDI.

Further, he explained that the electricity rates that previously ranged between US15- $26 per megawatt made the decision to implement PPDI easier.

“We estimate with the establishment of PPDI a savings of at least US$3.73 per megawatts. However, that was not the only criteria which guided us but in addition to the issue of cost… the local subsidiary was always manned by a 100 per cent Guyanese work force, which demonstrated increased competence in the management of power plants,” Minister Patterson said.

Over the last two years, the Minister said the most challenging of maintenance activity and major overhauls were completed entirely by a local team, eliminating the need for Foreign Service engineers.

He said the government is confident that PPDI will maintain high standards of its predecessor delivering cost-efficient service, matching all the key performance indicators.

Further, he said the retention in generated profits will facilitate investment in people and new equipment as Government prepare for future opportunities.

Reminding the board of the Governments new agenda, Minister Patterson said government envisions Guyana being powered by a 100 per cent renewable energy resource by 2025.

Minister Patterson also emphasised the significant cost-saving benefits: an estimated US$3.73 per MW or US$2.4M per year, based on a consumption of 650,000 MW

He said the board members bring a wealth of knowledge to PPDI since their success in private and professional avocation will be placed against the backdrop of such being replicated in the oversight of the board. PPDI chairman Mark Bender said the company is expected to have an expanded role in the future as government moves forward with its plans to receive electricity supply exclusively from renewable resources.

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