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Govt. keeps hopes of Amaila Falls Hydropower Project alive
Although mired in controversy from its inception, the Amaila Falls Hydropower Project is still alive.
Before being elected to government in 2015, Government members soundly criticized plans for the project which were being pursued by the former People’s Progressive Party (PPP) administration.
A photo showing a completely dry waterway at Amaila Falls.
Minister of Natural Resources, Raphael Trotman, told the Parliamentary Committee on Natural Resources on Friday that the project is still on the table.
“The Government of Guyana, while it has voiced its concern and disappointment in the Amila Falls project, it has never taken it off the table even now that there are hydrologist studies there to determine whether there is adequate supply of water to generate what is needed to produce electricity,” Trotman stated.
It will be recalled that in August 2013, the preparations for implementation of Amaila Falls Hydropower Project came to a standstill, as the Parliament of Guyana did not vote unanimously in favour of certain features of the project presented by its main sponsor, Sithe Global, a US-based investor in the international energy market.
At that time, the National Assembly was controlled by a one-seat Opposition majority of A Partnership For National Unity and the Alliance for Change (APNU/AFC).
Sithe Global withdrew from its position as the main sponsor throwing the project’s future into jeopardy.
The Government of Guyana, represented by the Minister of Finance and the Minister of Natural Resources and the Government of Norway, represented by the Minister of Climate and Environment decided at a meeting in Paris in December 2015 to perform “an objective and facts-based” assessment of the Amaila Falls Hydropower Project.
The project was heavily pushed by the last two administrations of the People’s Progressive Party/Civic (PPP/C) but ran into trouble early, specifically problems with the access roads to the Amaila Falls dam site in Region Eight. The roads collapsed in many parts and the contractor was fired. Costs ran from US$15M to US$40M.
The US$900M-plus tagged for the 165 megawatts project was seen as too costly, with criticisms over the technical readiness of the Guyana Power and Light Inc. to take the power.
There were also questions over whether the dam would actually be able to sustain the promised power, with one photo even showing the waterways dry.
FUNDING CONSIDERATIONS
Trotman told the committee that the two-year study currently in progress is the first to be undertaken at Amaila Falls. The studies, according to the Minister, are expected to be completed by the end of this year.
PPP Member of Parliament, Odinga Lumumba, who chairs the Parliamentary Committee, said the Government has been sending mixed signals about the project. Lumumba raised questions about funding.
Trotman disclosed that the World Bank indicated that it will no longer lend money for hydro projects. “That should tell you something. New technologies are pointing towards wind and solar. The technology for solar is cheaper,” Trotman stated.
He declared the days of plowing through thousands of acres of land, displace communities and special species are over.
In Guyana’s case, Trotman stated there will be a mix of hydro, solar and natural gas for power generation.
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