GPL Signs Contract with Urbacon Concessions Investments (UCI) to Bring 36 MW Powership: USD One Million Paid

April 18, 2024 | Guyana Uncut News | Georgetown

In a bid to enhance Guyana’s power supply, Guyana Power and Light (GPL) Inc. has finalized a contract with Urbacon Concessions Investments, W.L.L (UCI) to charter a powership boasting a total installed capacity of 36 Megawatts (MWs) for a span of two years. The agreement, formalized on April 13, 2024, signifies a significant milestone in Guyana’s energy sector.

UCI, a subsidiary of UCC Holdings based in Qatar, leverages its partnership with Karpowership International, a Turkish company, to facilitate this endeavor.

The contractual terms entail GPL disbursing a monthly charter fee of 6.62 US cents per kWh for the utilization of the powership, coupled with a monthly operation and maintenance fee of 0.98 US cents per kWh, contingent on electricity generated. Operational reliability is underscored by an anticipated 96 percent availability rate.

In accordance with the agreement, GPL has remitted a total mobilization fee of One Million United States Dollars, with no demobilization fee required. GPL assumes responsibility for the procurement of Heavy Fuel Oil (HFO) necessary for the generators’ operation.

Having concluded its previous service in Cuba, the powership is scheduled to dock in Guyana on May 1, 2024, subject to favorable weather conditions. The designated location for the powership is Everton, Berbice, where integration with GPL’s Grid at 69 kV is planned. Preparatory work at the site is already underway, with the powership anticipated to commence electricity delivery by May 8, 2024.

A GPL spokesperson remarked, “This partnership demonstrates our commitment to ensuring a stable and resilient power supply for the people of Guyana. The introduction of the powership aligns with our strategic objectives of diversifying our energy sources.”

The collaboration between GPL and UCI heralds a pragmatic approach to addressing Guyana’s energy needs, marking a pivotal juncture in the nation’s journey towards energy sufficiency and sustainability.