Budget to ensure 24-hour power supply to Kwakwani, other communities

After experiencing serious power issues that resulted in residents of Kwakwani going long hours without electricity several months ago, Minister of Public Infrastructure, David Patterson says that a budgetary allocation of $374M for powering communities, will assist them in receiving a 24-hour supply.

During the consideration of the budget 2019 estimates yesterday, Opposition Member Juan Edghill, who shadows the Public Infrastructure Minister, questioned Patterson on an allocation of $374,626,000 under the Community Power line item. Edghill questioned whether the allocation will be enough to supply power to the community of Kwakwani, considering the persistent power issues they have faced over the past months.

In his response, Patterson explained that the subsidy caters for a 24-hour supply of electricity, which prompted Edghill to ask, “Could the Minister confirm to this House that the ability of the residents to receive 24-hour electricity supply in Kwakwani had nothing to do with engines failure but the shortage of fuel; and if this money is for the purchase of fuel, how would their suffering be alleviated at this same level of contributions of 2019?”

To this, Patterson explained that the allocation made in 2019, which is the same that was expended in 2018, is not only for fuel but for the Kwakwani Utility Inc. (KUI), which has a mandate to supply not only electricity but also water, sanitation and other functions. Patterson was unable to provide information on how much would be spent specifically on the procurement of fuel and said he would lay over the information.

The KUI is currently being managed by the ministry’s Hinterland Electrification Company Incorporated (HECI), which was also allocated $233.5 million for projects such as the installation of a 400 KW Solar PV farm in Mabaruma, Region 1, the installation of a metal lattice tower to support distribution lines across Port Kaituma, and the extension of the distribution network to supply Moco Moco and residents within proximity of the rodeo ground in Region 9.

Patterson was also grilled on the increase of allocated funds for the rental of buildings after Opposition Member Irfaan Ali pointed out that under the line item, 6241 for the rental of buildings, an allocation of $199,769,000 was made, as compared to 2018, where no monies were expended.

“Sir, this is just one building; one complex. It is on Duke Street, sir. It is the EM Grant International Business Centre immediately south of the American Embassy. It is to house the United Nations offices—all the United Nations offices,” Patterson said.

He explained that the UN currently has six offices in Guyana – the FAO (Food and Agriculture Organisation), UNICEF (United Nations Children Fund), UNDP (United Nations Development Programme), PAHO/WHO (Pan American Health Organisation/World Health Organisation, UNAIDS (United Nations Programme on HIV/AIDS) and IOM (International Organisation for Migration) – that they are obligated to provide residences for.

He noted that they have since expanded and the rented building will house all six offices, which will facilitate a combined total of over 200 staff.

He also related that currently, three of the buildings that the UN agencies are currently housed in belong to the government and explained that they pay to rent the other three, which incurs a yearly cost of $81 million.

When questioned about the process that was used to procure the building, Patterson noted that it was done primarily by the UN agencies and the Ministry of Foreign Affairs Protocol Department, since there were several requirements, including security.

He said a shortlist was done and his ministry was required to do an assessment, along with the UN security team, and the building was chosen based on the specifications.