Here are the hard facts about the Skeldon sugar factory

Jun 13, 2017 Letters

Dear Editor,

I refer to the news item in KN edition of June 11th, 2017 titled “Full investigation ordered into Skeldon sugar project”. As reported, the comments emanating from Government officials support a thrust to sell that estate – land, factory and co-gen facility – at basement prices. The Junior Finance Minister, Jaipaul Sharma and the Chairman of SEI Board, Lloyd Rose made some assertions which maybe due to their misunderstanding of Skeldon or due to misinformation they would have received.

I would urge both gentlemen to accurately acquaint themselves technically & historically before making statements to avoid unnecessary embarrassment. Here are some hard facts on Skeldon:

1. Booker Tate Ltd., a UK-based company, was hired by Government of Guyana to manage the entire Skeldon Sugar Modernization Project that is Design, Construction, Quality Control, Commissioning. After the many problems with factory test runs in 2008 and eventual commissioning in August 2009, the Government ended the contract with Booker Tate Ltd which was to come to an end some years before but was extended to coincide with the completion of the new Skeldon factory.

2. The present Chief Executive Officer (CEO) of GuySuCo was a Director of Booker Tate Ltd., UK for that entire duration of Skeldon’s design, construction & testing. Subsequently, he was appointed as CEO of GuySuCo in 2009 and oversaw the official commissioning and handing over of the factory to GuySuCo despite incomplete factory performance tests. He had no objections in the process and fully supported the take over.

3. The present Deputy Technical Director was Technical Director for GuySuCo during the period 2007-2016. By virtue of office, he automatically assumed the role of Chief Engineer for Skeldon factory with the departure of Booker Tate Ltd. He too supported the premature take-over of the factory. Thus, he also accepted the factory without any objection.

4. Skeldon factory is designed to operate efficiently at a cane processing rate of 300-350 tonnes per hour for approximately 156 hrs per week using fresh canes free of soil and extraneous material. These conditions were never achieved consistently hence the cause of poor efficiency and deteriorating equipment.

5. The boiler deterioration observed is not because of poor design or equipment quality. It is because the equipment was subjected to sub-optimal operating conditions. Typically, if primary fuel flow (bagasse) to a boiler reduces, its furnace temperature will drop forcing operators to switch on secondary fuel (Heavy Fuel Oil) to increase and maintain furnace temperatures required for steam generation and flow. Inconsistent fuel flow results in fluctuations in furnace temperatures which hastens material deterioration. Additionally, if primary fuel (bagasse) has high percentage of ash (soil), it will clog furnaces and cause erosion on boiler tubes (thinning out of tubes) as observed. In short, the boiler problem seen is due to an inconsistent supply and poor quality bagasse to furnaces or operation of equipment under sub-optimal conditions.

6. If bagasse supply and quality problems at Skeldon are not adequately addressed, the replacement boiler being touted will suffer the same extent of deterioration. It will not solve the problem.On the issue of the project not being officially certified and boiler shed not being in place; the Honorable Junior Minister should cross-examine the present CEO and the Deputy Technical Director as both individuals were functional operations at that point in history and whose responsibility included verification of factory performance for acceptance, project close out and ultimately financial conclusion. Will these officers feign ignorance now?

Sookram Persaud

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