The Guyana Sugar Corporation (GuySuCo) is set to begin the process of buying back its co-generation plant which was sold by the previous government in April of this year for US$30M in a deal that had raised questions.
Skeldon Energy Incorporated (SEI) was a special purpose company created for the sale and is jointly owned by the Guyana Power and Light (GPL) and government holding company, National Industrial and Commercial Investments Limited (NICIL). The then PPP/C Cabinet approved the sale as well as the Power Purchase Agreement (PPA) between GPL and GuySuCo. The sale had been seen as a bid to provide a cash infusion into the cash-strapped and beleaguered corporation.
Stabroek News was reliably informed that so far the sugar company has already received US$19M through the arrangement, however, the process has been stalled under the new APNU+AFC Coalition administration. In light of the ongoing concerns and the Commission of Inquiry underway into the sugar sector, a decision was made to reabsorb the Skeldon Co-generation plant as it has much needed income potential.
The special purpose company created to facilitate the sale will most likely be dissolved,
