Govt. still targeting mid-2026 for completion of GTE project – Jagdeo

Aug 14, 2025 News

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– says Amaila Hydro still on the table

Kaieteur News – Vice President Bharrat Jagdeo has stated that while he is not aware of what percentage of the Gas-to-Energy (GTE) project is completed, he knows that the deadline is still mid-2026.

The GTE project, located in Wales on the West Bank of Demerara, includes a Natural Gas Liquids (NGL) facility and a 300-megawatt (MW) power plant.

Natural gas will be transported from the offshore Stabroek Blocks Liza oilfield via a 12-inch pipeline to the site, where 50 million cubic feet (MMCFD) of gas will be converted to electricity daily.

During a recent episode of Starting Point, Jagdeo noted, “I don’t know the exact percentage but we are still targeting completion by mid next year.” He said that he was informed that a lot of work had been done on the foundation and pile driving.

“The turbines came to the country, but they have been sitting for a while because of the delays in the project,” he added.

Back in 2022, government hired CH4 (Texas) and Lindsayca (Puerto Rico) for the construction of the power plant and NGL facility at a cost of US$759 million. However, it was recently announced that the companies have split-up. Government has assured that this split between the joint venture CH4 and Lindsayca would not affect the completion of the project.

Further, Jagdeo underscored the importance of the project and reiterated the government’s promise to slash electricity bills by 50% through the US$2 billion project.

Notably, the GTE project was initially slated for completion by the end of 2025. Then, in February, Head of the GTE Taskforce, Winston Brassington, said that a more realistic target would be the first half of 2026. However, a few months later, Prime Minister (Retd) Brigadier Mark Phillips estimated that the project would be completed in the second quarter of 2026.

Ahead of the completion of the Wales GTE project, the government awarded a US$422 million contract for the extension of transmission lines for the Guyana Power and Light (GPL). The transmission lines are being constructed along the eastern corridor of the Demerara-Berbice Interconnected System (DBIS).

Jagdeo noted, “That project when completed in all of its form, will allow us to solve a lot of the power problems we have.”

GTE Phase II

In April, government received seven proposals for the design, finance and operation of the second phase of the GTE Project. Companies and consortiums from countries such as the United Kingdom (UK), United Arab Emirates, Guatemala, Puerto Rico, and a lone firm from Guyana all submitted their proposals.

However, during the interview, the vice president said, “We haven’t made a decision on that project as yet because we didn’t want to do it before elections.”

He explained that while government went out to tender, the understanding was the second phase of the GTE project will not be awarded before elections. Further, he stated, “We may have to review, we may have to reopen it back a new bid and do that.”

He noted that government anticipates that when the first phase of the GTE project is completed, there will be need to generate another 300 MW.

Phase two targets 70 MMCFD of rich gas which government intends to use in another Integrated Power Plant and NGL facility. For this project, the contractor is required to design, construct and operate a 300 MW combined-cycle power plant to deliver 2,600 gigawatt hours (GWH) of electricity per annum.

Amaila Falls Hydro

During the interview, Jagdeo also noted that the People’s Progressive Party/Civic (PPP/C) Administration is still considering the 165 megawatts (MW) Amaila Falls Hydropower Project (AFHP), which forms part of their plan to have an energy mix.

“We are still considering the hydro, another bid for the hydro…the delay is because we had some issues with the contractor but it will be done,” he said.

This publication had highlighted that since assuming office in 2020 that PPP tendered twice for a contractor for the project but both were unsuccessful in materializing.

The Amaila Falls Hydro project was introduced by a previous PPP/C Administration in 2011. However, the project was shelved on many occasions. The project faced obstacles in its realization when the A Partnership for National Unity (APNU) and the Alliance For Change (AFC) Opposition parties, stopped the project back in 2014.  In its 2020 election manifesto, the PPP-administration noted that the project will be revived.

However, to date the PPP government was unable to do so before the end of this term in office.

In 2021, negotiations hit a stalemate after Cabinet granted a no-objection for the Prime Minister’s Office to engage the China Railway Group Limited for construction. Discussions faltered as the company sought to alter the project’s model due to financing challenges for a Build-Own-Operate-Transfer (BOOT) model, requesting a shift to an Engineering, Procurement, and Construction (EPC) model. The government was reluctant to switch to the EPC option, resulting in the talks with the Chinese contractor coming to an end.

The government later issued a Revised Requests for Proposals (RFP) under a BOOT model for the Amaila Falls project and four local and international firms submitted proposals for the Amaila Falls project that was scheduled to begin in 2027. However, this too was stalled.

Earlier this year, the vice president had disclosed that the government will once again tender for a contractor for the project.

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• Amaila, Bharrat Jagdeo, energy mix, GTE, natural gas liquids

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