GPL Board to analyse report before any public pronouncements

Mar 15, 2009 News

The Guyana Power and Light Board of Directors will have to review the report that was completed as it relates to the contaminated fuel, which found its way into generation equipment in Essequibo damaging several critical components.

According to a source close to the Board, the decision was taken by the Board to refrain from commenting until a complete analysis of the extensive report has been completed.

Given that the analysis has not been completed, no entity has yet been found at fault to be penalised, neither has the penalty to be levied been determined.

Contrary to reports that GPL had attempted to dump the fuel, a senior functionary at the company has confirmed that no such move has been made, and the fuel is still in a vessel moored at Parika.

The investigation into the contaminated fuel was ordered by President Bharrat Jagdeo on January 26 last.

The President made the disclosure during a press briefing at the Office of the President while responding to the fact that the contaminated fuel was only discovered after it had already damaged the equipment.

A point to note is that a motion put forward in the National Assembly calling for an investigation into the affairs at the power company was defeated by the Government benches in mid-2008.

In the wake of the report on the contaminated fuel the power company, in a release to the media, stated that a total of 4,000 barrels of heavy fuel oil was dispatched in two approximately equal shipments to the location, one on January 9 and the other one on January 14 last.

The company noted that both shipments arrived at the plant contaminated with water and some solid foreign matter.

Samples were dispatched to Trinidad for testing to ascertain the extent and type of contamination, given that the testing facilities available locally are limited in their capability.

The power company stated that it could not determine sodium content in the water if indeed the contaminant was sea water.

The company acknowledged that from January 10 to January 14 extensive power outages were experienced by all consumers on the Essequibo Coast. These were attributed to the contaminated fuel.

It was also explained that both engines had suffered some damage, and that repairs were costly.

Chairman of the Board of Directors at GPL, Winston Brassington, had told this newspaper that the company would not comment on who would be made to pay for any losses prior to a review of the facts as they relate to the cause of the damage, and the cost of the contaminated fuel.

A senior official at the company, who requested anonymity, also told this newspaper that Brassington was correct in his assessment, given that there are ways and means of salvaging the fuel, in that the water could be removed.

Hence, a determination of the exact loss could be made only after an accurate analysis of how much water is present in the fuel, and what could be done to extract as much as possible.

BK International, the company that transported the fuel for GPL, had swiftly stated that it was too early to lay the blame on anyone for the delivery of some $40M worth of contaminated fuel to the Essequibo Coast.

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GPL Board to analyse report before any public pronouncements

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