Cabinet, at its meeting on Tuesday, September 6, offered its no-objection for the award of several contracts, including one valued over $1.5 billion for the European Union (EU) and the Inter-American Development Bank (IDB)-funded Power Utility Upgrade Programme (PUUP).
Manitoba Hydro International Limited has been contracted to provide consultancy services for the implementation of the Management Strengthening programme for the Guyana Power and Light Incorporated (GPL).
During yesterday’s post-Cabinet press briefing, Minister within the Ministry of Public Infrastructure, Annette Ferguson explained that the first component of the project involves the improvement of capacity building for the executive management of the power company, while a second element will focus on the improvement of the company’s loss reduction programme.
According to Ferguson current loss reduction stands at approximately 29.3 percent, and it is envisaged that this project will see a reduction in technical losses by about 23.8 percent.
“With these monies being released, we will see a more effective and efficient GPL at the managerial level, and at the level of the services being provided,” Ferguson stressed.
Asked whether this project will see foreign managers being hired or tariffs being increased, Ferguson said she could not comment on the hiring of foreign managers but does not foresee tariffs being raised.
PUUP which was approved in 2014 is designed to support GPL in executing fundamental infrastructure investments and in improving the organisation’s performance through the implementation of a Corporate Development Programme (CDP).
The table below shows details of the contracts which were cleared by Cabinet.