Guyana is currently developing a plan to harness Amaila Falls’ potent hydropower, power that is capable of producing electricity (165MW to be exact) for the whole of Guyana, reports The Economist.

The project is set to cost around $840 million and was initially headed by Sithe Global of the global investment and advisory firm, the Blackstone Group. In addition, investments from China Development Bank and the Inter-American Development Bank were to take part in harnessing the country’s torrents.

However, a lack of unanimous concession by the Guyanese legislative branch has resulted in Sithe Global’s withdrawal from the project. Primary criticisms by legislators were its lack of transparency—particularly the projects expenditures and the engineering plans.

The deals brokering between the Amaila Falls Hydro Inc. and its power players remained cloak and dagger, arousing skepticism from the project’s critics.

Despite the halt in the project, it was predicted to minimally affect the ecological community. Moreover, the site of the project, located at the intersection of the Amaila and Kuribrong Rivers is 30 km from the nearest community, supposedly to avoid disturbing any local villages in the region.

With the promise of hydroelectricity in 2017, Guyana could possibly reduce its reliance on imported oil although the cost of electricity will remain expensive.

Furthermore, with a shift to hydropower, green house gas emissions (GHG) were projected to decrease by 87%.

It’s realization would have cost the federally funded Guyana Power and Light (GPL) company to pay an estimated $100 million a year to the aforementioned investment groups and companies.

Despite the country’s massive potential for hydroelectricity, the project remains at a standstill. The secrecy of the project propelled its main investors, from remaining with the project. Yet, Guyana’s President Donald Ramotar recently stated that Sithe Global is still very much interested in the project, pending Parliament’s unanimous agreement.

Regardless of legislative decision, the go-ahead for the project remains largely with Sithe Global, who possesses the license to Amaila Falls’ development.

– Miles Abadilla

Sources: Amaila Hydropower, The Economist, Fox News, Kaieteur News
Photo: Wondermodo