The long-anticipated Amalia Falls hydropower project has been stalled but President Dr. Irfaan Ali has highlighted that several of Guyana’s partner countries signalled an interest in pursuing this project.
Investors from Canada and the United States of America are among those who could bid the project, the Guyanese Head of State told reporters at the sidelines of an event on Wednesday.
Previously, it was reported that a visiting delegation from Korea expressed an interest in submitting a proposal for this project.
“There are a lot of bilateral talks that are going on and then we have to make a structured decision on how we are going forward,” President Ali said.
The China Railway Group Limited, the company initially selected to construct the Amaila Falls in 2012, was once again granted approval to construct this massive renewable energy project in 2021 but that fell through when the company wanted to change the model.
The company was unable to secure the necessary financing for the Build, Own, Operate and Transfer (BOOT) model. Resultantly, the Chinese company requested to change the contract to an Engineering, Procurement and Construction (EPC) model.
The government was not keen on the EPC model and is seeking an investor who will deliver the BOOT arrangement. With BOOT, Vice President Dr. Bharrat Jagdeo explained previously, the government would be assuming a low amount of risk.
Just days ago, President Ali affirmed that the government will not abandon its hydropower ambitions.
Speaking at the contract signing ceremony for the forthcoming Waes Gas-to-Energy natural project, he said, “This project does not slow down our commitment to the hydro project.”
Based on the country’s revised Low Carbon Development Strategy, Guyana will phase out the use of about 70 per cent of the non-renewable, fossil fuels by 2027 through an energy mix of natural gas and renewable energy sources.
And President Ali says that the country needs hydropower to achieve these ambitious targets in a few years’ time.