| …means Guyana’s investment now stands at US$193M, which will take the project price to a total of US$951M Under the ‘Financial Commitments’ made for the proposed Amaila Falls Hydro Electric Project, the Guyana Power and Light (GPL) would have to set aside US$36M in a debt reserve account.This information is embedded in the leaked ‘confidential project document,’ which has already raised eyebrows over the fact that the Guyana Government committed US$157.2M to the project and not US$100M as it had claimed. This means Guyana’s investment commitment now stands at US$193.2M which will take the project price to a total of US$951.2M.Former Auditor General, Anand GoolsarranThe US$36M GPL account is to be set aside to ensure payments to Amaila Falls Hydro Inc. This is in addition to the Assignment of Receivables arrangement under which all the income of GPL will be controlled by someone employed by Amaila to secure the monthly tariff payment.The US$36 M is to be placed in an “Amaila Debt Reserve Account provided by GPL.” This financial commitment,Cheap NFL Jerseys China, in order to prepare for the Amaila Falls Hydro Electric Project, would see government having to transfer this US$36M to the power company.This is the position of Former Auditor General of Guyana,Wholesale Jerseys Free Shipping, Anand Goolsarran, who says that the GPL,Chile Soccer Jersey, as it currently stands, does not have that kind of money to create the account and would have to depend on the Guyana Government for another subsidy.It was reported yesterday that the Guyana Government had in fact directly committed US$157.2M to the project and according to Goolsarran, given GPL’s financial status, the additional US$36M will no doubt have to be met from the coffers.Goolsarran explained that while there is a Government Guarantee in place should GPL fail to make its payments to the Hydro Plant for electricity,China Jerseys Cheap, this is only a last resort.According to Goolsarran, the power company would have to tap into its reserve account first, should it have a shortfall in revenue to make the payments. Should this money not be enough to meet any shortfall, then the Government Guarantee would kick in.Goolsarran said that while there is expected to be some savings by purchasing electricity from the Hydro Power Plant, this will not be enough to compensate all of the expenditure that will be required by the power company.Based on public pronouncements thus far, GPL is required to pay some US$122 M to Amaila Falls Hydro Inc. each year,NFL Jerseys Outlet, for the first 13 years of its operation. This US$122M figure, however,Cheap NHL Jerseys Authentic, is not the total amount of money that GPL will be required to rake in through its sale of electricity, given that it would still have to keep a significant portion of its current generation plant online as well as other capital and administrative expenses.This publication reported yesterday that under the arrangement with Sithe Global,Wholesale Jerseys Free Shipping, all debt currently owned by GPL will have to take the back burner. Under the Agreement with Sithe Global, payments to Amaila Hydro Inc. would become GPL’s ‘Senior Debt.’ This means that the power company would have to treat as a priority, its payment to Amaila Hydro Inc., ahead of all other outstanding debt.US-based Sithe Global had also demanded that the Guyana Government ensures that GPL remains a monopoly for the sale of electricity and a majority government-controlled enterprise. Under Guyana’s law, monopolies are unlawful and this imposition by Sithe Global may not be able to stand up in court. |
