Gas-to- Energy Project: Jagdeo says gov’t has ‘contingencies’ to fund venture

Guyana is still awaiting the approval of funds from the United States Export Import (EXIM) Bank for the massive Gas-to-Energy Project at Wales, West Bank Demerara but the country’s Vice President Dr. Bharrat Jagdeo emphasised that the project is being developed regardless.

“The project is moving forward and we are paying for it on our own.

“We have a number of alternatives too. We are not a party or a government that doesn’t have contingencies,” the Vice President said on Thursday at a press conference at the Office of the President in Georgetown.

The complete project- which includes the four gas turbines and two steam turbines- is expected to provide about 300 megawatts (MW) of power, using natural gas brought onshore through an ExxonMobil pipeline.

The project also includes a Natural Gas Liquids (NGL) facility, a transmission and distribution network and a modern control centre.

It is expected to slash the cost of electricity in half.

To help fund this massive venture, the government sought a loan from the US EXIM Bank. The move has been supported by many including members of the Guyanese private sector but it has also drawn some criticism from environmental lobbyists.

Now, Jagdeo said he was informed by Finance Minister Dr. Ashni Singh that technical discussions and assessments for the project are being done by the Bank. Jagdeo believes that work will properly inform the Bank of the value of the project and possibly, influence its decision to greenlight the financing.