Lone GPL set powers Linden after steam plant fails

Guyana Chronicle
April 12, 2003

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POWER generation in Linden was early yesterday being maintained by a lone Guyana Power and Light Company (GPL) mobile set relocated to the mining town over the weekend.

The situation in the town, severely affected by light and water supply problems, took a dip when the steam plant operated by the Linden Power Company (LPC) had to be shut down on Thursday afternoon.

It had been put back into operation earlier that day, but developed a vibration problem with its motor, officials said. Consequently, power generation decreased significantly and only sections of the town received electricity up to early yesterday.

When the steam plant had returned to operation, power generation reached about 9.1 megawatts, almost adequate to meet a peak demand of just over 10 megawatts, LPC General Manager, Mr. Steve Bovell told the media.

On a visit to Linden Thursday, Prime Minister Sam Hinds urged the LPC to forge a partnership with the Regional Democratic Council (RDC), the Town Council and other stakeholders to overcome the present difficulties with generation of electricity.

Speaking at a meeting at Watooka Club, the Prime Minister instructed that LPC issue a statement over the next three to four months on the state of power generation at 09:00 hrs daily. These should be circulated to his office, the Office of the President, the RDC, the Town Council and the Linden Chamber of Commerce.

Mr. Hinds noted that a major improvement in the return to a reliable supply of electricity will take some time, estimating about four months.

He pointed out that funding for capital investment, which is essential for restoration of normalcy of power generation, is needed.

However, the Prime Minister said two MACORP generating sets would arrive within the next three weeks on a lease arrangement to boost power supply in Linden.

He also advised that one of the major considerations in the coming months will be the response of the receiver of LPC - Republic Bank - in recovering outstanding payments owed by the power company, which has been in default and receivership since last year.

One of the options that may be exercised by Republic Bank is selling out some of the assets of LPC, the Prime Minister explained, adding that this will have to be taken into consideration whenever any new arrangement for power generation is implemented.

Consideration is being given to the development of a new power station.

Mr. Hinds also used the opportunity to announce that a new hospital will be built in Linden through funding from the Japanese government.

Commenting on the power supply situation, Chairman of Region 10 (Upper Demerara/Upper Berbice), Mr. Mortimer Mingo said the RDC was not allowed to be involved in the operations of LPC.

He said the company had made it clear that it is a private entity and that in December of last year it had indicated that it is not answerable to the people or the RDC, only to LINMINE (Linden Mining Enterprise) which is responsible for the distribution of power.

Mingo also queried how the subsidies being channelled to LINMINE for power distribution are being accounted for in the absence of a power purchase agreement (PPA) between LPC and LINMINE.

Prime Minister Hinds acknowledged the absence of a PPA and explained that failure to reach agreement on penalties resulted in that, but conceded that the RDC should be updated on how subsidies are channelled.

Residents continued protests against the power and water supply situation all week, blocking roadways and the bridge connecting Wismar and Mackenzie, which is vital for companies operating in and around Linden to transport fuel, foodstuff and other items essential for their interior operations.

Omai Gold Mines, which employs a significant number of persons from Linden, has been forced to send home about half its staff because the blockages prevented its fuel tankers from reaching its operation site.

Apart from that, workers will be deprived of an income in an already difficult circumstance, Human Resources Manager of Omai, Mr. Norman McLean said.

Chief Executive Officer of LINMINE, Mr. Horace James said bauxite production has been severely impaired and that a shipment of 6,000 tons intended for the Mediterranean had to be put on hold because only 1,000 tons were in stock and 15 working days are needed to process the rest of the required quantity.

But this could not be achieved because of a lack of power and the customer has threatened to buy from other competitors because LINMINE cannot deliver the shipment, he said.

James said this is of critical importance because when markets are lost, they are extremely difficult to regain.

Chief Executive Officer of the Guyana Water Incorporated (GWI), Mr. Peter Styles said the water problems in Linden will be tackled in phases.

In the first, emergencies will be addressed; in the second, water treatment plants will be refurbished and in the final, long-term plans will be dealt with.

However, Styles noted that GWI's supply of water was being hampered by the lack of electricity over the past two weeks.

He also pointed out that Linden with a population of about 30,000 normally should have had one or two water treatment plants, but it has five, therefore rationalising in the future would be considered. - (CHAMANLALL NAIPAUL)

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