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Govt. seeking investors for Amaila project to startup by 2027

Oct 14, 2023 News

Kaieteur News – The Government of Guyana (GoG) has re-invited proposals for the 165 megawatts (MW) Amaila Falls Hydropower project that it intends to startup 2027.

According to the Request For Proposals (RFP) issued by the Office of the Prime Minister in yesterday’s edition of the Kaieteur News, the GoG is seeking investors for a Build-Own-Operate-Transfer (BOOT) model.

Government said generation for the Guyana Power and Light (GPL) Inc, will be largely derived in the future from two large projects including the Amaila and Gas-to-Energy (GTE) project that will come on stream by 2027 and 2025, respectively.

According to the advertisement, the power generated at the Amaila project will integrate and expand the national grid, to include Linden. The Amaila-Linden-Georgetown transmission voltage will be 230 KV and connect to the national GPL Control Center at Eccles, East Bank Demerara.

Interested companies are expected to submit a proposal for a hydro dam with a design to deliver at least 165 MW and transmission lines and sub-stations. This revised RFP follows a 2021 RFP based on a combined project (Hydro and transmission lines) under either a BOOT or Design-Build- Finance (DB-F) option.

The government said, “Any party who registered in 2021 is required to re-register and obtain an RFP.” It added that responses to the RFP will be conducted in three stages: Stage 1: Pre-Qualification of Parties, due by November 28th, 2023; Stage 2: feedback from Pre-Qualified Parties on the preliminary project structure and project documents and Stage 3: Formal RFP submissions based on the final Project Structure and Contractual documents. It was explained that the final RFP will be issued by January 31, 2024.

The scope of work includes generation of at least 165 MW of power through an installed hydro dam, plant, and related works, as well as the creation of a 23 square KM storage reservoir consistent with the Environmental Reports and studies and prior permitting.

On the transmission aspect of the project, the contractor will be required to implement a double- circuit 230 KV Line from (a) Amaila to Linden (b) Linden to Georgetown and finally 230 KV Substations at (a) Amaila and (b) Linden, to integrate with GPL’s Control Center and 230 KV sub-station at Eccles using part of the “old Amaila” 230 KV transmission corridor from Garden of Eden to Eccles.

Additionally, the contractor will be expected to carry out the necessary upgrades and completion of roads and bridges to the site, as may be appropriate.

The RFP stated that contractors must assume all geo-technical risks including guarantees relating to the structure of the reservoir, dam, and transmission towers.

Importantly, interested companies must meet the specified requirements of the project including a detailed track record of similar projects and details of proposed local content, including sub-contractors, percentage of project costs that will be locally sourced, and supporting details of same.

Government also indicated that the developer will be tasked with paying a reputable independent international third-party supervisory firm for the design and construction of the project.

It was also keen to note that the contractor will be responsible for hiring an international third-party operator, who will operate the facility, on behalf of the project company with said operator’s costs being factored into the operation and maintenance costs.

Meanwhile, government said that the hydro/transmission project will be executed via a new “Special Purpose Company (SPC)” and will be issued with all previous permits, licenses, and permissions, as previously existing in April 2015, provided the developer shall have responsibility for any updates as required by law.

The deadline for submission of pre-qualifications is November 28th, 2023.

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