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We don’t have capacity or capability, why hasten with gas pipeline?

Jan 25, 2023 Letters

Dear Editor,

CRG has previously expressed concern over the gas pipeline that has been proposed by the current administration. The cost is exuberant and, given the alternatives available, the need for it is unnecessary. What is even more alarming is that there has been no substantial nor in-depth discussion on the cost to maintain and upkeep the pipeline. These hidden costs can be very substantial as seen in Venezuela and other parts of the world. Guyana currently does not have the in-house capabilities to work on the pipeline and we will need to depend on the contractor for some time to come.

We must remember that the government has yet to improve the operations of GuySuCo, which is an industry that we know well. The Skeldon power plant is not fully operational at its intended level, and the local management of GPL had resulted in numerous blackouts. For these reasons, we should be very cautious in undertaking such a risky and expensive venture. Focusing on the use of sea vessels for the transport of the gas, and leveraging the current high overseas demand for sales would be a preferred first step into the industry. The earnings from the sales can be used to both build the power plant and subsidize the cost of electricity.

The government must show the needed focus and illustrate to the Nation that it can be successful in the before-mentioned undertakings. This will help build confidence in and support for the newly proposed ventures. CRG brings this option forward for the current administration to seriously consider so as to reduce the risk to our national treasury.

With concern,

Mr. Jamil Changlee

Chairman 

The Cooperative Republicans of Guyana 

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