If the word of David Patterson is to be taken, Guyana is nowhere near securing cheap, reliable energy. This former minister with responsibility for power generation, laid claim in the National Assembly that the PPP/C government deliberately allowed the energy sector to deteriorate so that emergency measures would be needed and extreme spending can be justified.
He said this in the presence of Members of Parliament as he made his contribution to the debate of Budget 2025.
According to Patterson, when he was Minister of Public Infrastructure, the APNU+AFC government had the Guyana Power and Light (GPL) functioning and operating at an acceptable standard, “not perfect, but acceptable.” He said that the PPP/C returned to office and did “absolutely nothing” during its first three years in Office. He said that the PPP/C fired competent professionals in order to install friends and family. “When the bottom fell out of the boat, they commenced an emergency spending spree – and still cannot get it right.”
Patterson cited the government’s main “excuse” for the power crisis faced by Guyanese, “increased power demand.”
The former minister then dubbed this excuse as inadequate as he said the increased demand was adequately foreseen by both GPL and the APNU+AFC government. He said, “Our forecasted numbers were spot on, but the PPP ignored all the previous advice.”
He claimed that as a result, when the APNU+AFC left Office, GPL had excess generating power ahead of demand and “PPP just sat back and did nothing for three years.”
Patterson told the House that, “By the end of 2023, after sitting on their hands for three years, the system collapsed – and it was time for emergency spending.”
He said that without public tender or assessment, it was announced that GPL was buying 27 “third-hand containers generating sets from Honduras – a friend and family deal.”
He chronicled, “Next, the PPP found a power ship in Cuba to rent. Interestingly, during 2018, some middlemen approached GPL to rent this same power ship. This offer was declined, since it was deemed not financially feasible, instead, the company purchased their own generators…PPP returns to office, the same middlemen reappeared and just like that, GPL rented not one, but two power ships.”
Patterson went on to note that GPL was given $16B in 2024 while another $18B is budgeted. He compared these allocations to what was given under the APNU+AFC administration. “Not a single penny was given as a subsidy to GPL, even more, GPL commenced repaying for loans and subsidies taken under the previous PPP administration – the company repaid G$1B every year from 2016 – 2019.” He said that nevertheless, with way less spending, APNU+AFC provided less power outages.
Patterson then recalled the PPP’s promise that in 2025, the electricity costs will be reduced by 50%. He said that if this is possible, it will be welcomed by the Opposition as it is a consensus that consumers in Guyana are paying a high price for electricity. “However, we are doubtful on this claim, since the PPP has done nothing to reduce GPL’s operational costs…In total, to deliver power to the customer – US 11cents must be added to the cost of generation – so whatever magical cost the PPP arrives at for generation, this US 11cents has to be paid.”
