Guyana's Government Signs Several Multi-Million-Dollar Contracts to Improve Electricity Services

GEORGETOWN, Guyana – Guyana's government has signed several contracts worth   US$422.2 million for the construction of electrical transmission lines as the Guyana Power and Light (GPL) move towards dealing with the consistent electricity situation across the country.

cplchiguSigning of contract between GPL representative and the Power China representativeThe transmission lines are being constructed along the eastern corridor of the Demerara-Berbice Interconnected System (DBIS) and the government says the initiative represents the largest single investment ever made in GPL’s infrastructure.

Prime Minister Mark Phillips described the project as “transformative,” noting that the government is building a brand-new and state-of-the-art transmission system, comparable to those in developed nations.

He told the signing  ceremony that the project marks a significant milestone in transforming Guyana’s energy sector.

“If you don’t have a proper backbone, the whole system will not work. We [government] are producing all this power, and we have to evacuate it safely and in a stable manner…to where it is needed,” he said.

The project is divided into three lots with lots one and three being awarded to Power China at a total cost of US$256.7 million, while Lot two has been awarded to Kalpataru to the tune of US$156.5 million.

The project scope includes the installation of 155 kilometers of 230kV double-circuit transmission lines and 167 kilometers of 69kV double-circuit transmission lines.

Five new substations will be constructed at LBI, Enmore, Trafalgar, Williamsburg, and East Berbice.

The existing substation at Kingston will also be upgraded. Additionally, the 230kV line will be connected to the new Goedverwagting substation, which is currently under construction, to a new substation at Williamsburg, East Berbice.

The project also  calls for the 69kV line to replace existing infrastructure along the railway embankment. It will also be connected to the East Berbice substation.

The project is expected to be completed within one year.

Prime Minister Phillips  explained that these strategic interventions align with the government’s commitment to fix the country’s electrical shortcomings and will remarkably enhance GPL’s output, particularly for future development.

“We had to make decisions that were short-term and decisions that were medium and long-term. We were criticized for many of the decisions, but today in Guyana, we have adequate electricity, more than the demand…The medium to long-term measures are still to come,” he said.

GPL’s chairman,  Maurice Gajadhar,  welcomed the government’s decisive action in meeting the country’s growing energy needs.

“They have taken the bull by the horns,” he said, noting the significant investment that will lay the groundwork for a more resilient and modern power grid.

Meanwhile, the Minister within the Ministry of Public Works, Deodat Indar, pointed to the surge in electricity demand across the DBIS, which currently serves 230,000 customers.

He said  just last year, the ministry’s Inspectoral Division issued 13,974 certificates for new connections, a clear sign of rapid growth in housing, commercial development, and industrial activity.

Indar said as a result, the new transmission lines will support the movement of power generated at the Wales power station to Goedverwagting.