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PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2


Amaila Falls Hydro-Power Project

The Caribbean should be pushing for renewable energy because of its vulnerability to fossil fuels, Head of State, Bharrat Jagdeo, has said and in this regard and despite challenges, Guyana would be pursuing renewable energy in the form of hydropower, one way or another. Guyana Power & Light Inc. Chairman, Winston Brassington, noted that it is likely that construction of the Amaila Falls hydropower plant will start by year end or early next year.

The project which has the capacity to provide over 140 megawatts of electricity is to be located along the Kuribrong River in Potaro, Region Eight. Guyana’s fuel import bill is US$350 million, and the President has said that the development of renewable energy sources is needed to increase energy security and maintain macro-economic stability.

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

A hydro facility has been the dream of governments since the 1960s. A modest Tiger Hill hydroelectricity plant was proposed by the PPP Government at that time. In the 1970s the PNC expended a very large sum of money to construct a road leading to the site of a large facility at Mazaruni. This failed because it was too ambitious, could not attract international financial support and, allegedly, some international intrigue. Now, nearly forty years later, we are on the verge of finally laying the most important foundation for the development of our economy.

Hydro electricity will promote another dream of the two main political parties in Guyana, namely, an alumina plant to process bauxite ore which Guyana has been exporting for more than seventy five years. The colonial powers never saw it as being in Guyana’s interest, which it clearly was, to promote investment in electricity generation so as to speed up industrial development by means of an aluminium smelter which would have propelled Guyana into a noted industrial power in the region and moving Guyana forward from a primary producer which would have added great value to our bauxite

While Guyana needs hydro for its own economic development, our friends are beginning to look to Guyana to provide hydro electricity for their economic development. Brazil has shown keen interest in constructing a hydro electric facility in the Mazaruni to supply electricity to northern Brazil. This region of Brazil is currently being supplied by Venezuela from its Guri Dam plant. But the recent drought has reduced the supply of electricity from Guri Dam and Brazil is looking not only to diversify its supply but to insure against disruption. This need is going to become greater as time moves on because Brazil is poised to grow by leaps and bounds and so is its demand for cheap and clean electricity. Guyana is therefore in a position to become a substantial producer and exporter of power in the near future. This offers the prospect of massive economic development for Guyana.

(www.conversationtree.gy)

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2



The Amaila Hyropower Project
The Amaila Hydropower Project is a planned hydroelectric project (approximately 165MW capacity) to be located in western Guyana, a small South American country. The project also includes a new 270 km transmission line and new substations near Georgetown (Guyana's capital). Currently, nearly all electric generation in Guyana is provided through small units burning either diesel or heavy fuel oil. The planned Amaila Project would be a substitute for these expensive generation facilities. It would not only provide a clean renewable energy source, but also represent important foreign exchange savings for the country by reducing Guyana's dependence on expensive imported fuels. The reliable and more economic source of electricity would also encourage investors to assess possible investments in the mining sector in Guyana, which has often been identified as having substantial potential.

A comprehensive Environmental Social Impact Assessment is being updated to reflect the latest design and to incorporate an extensive environmental and social baseline and impacts analysis. The remote site location requires no resettlement of people and the Company is actively engaging communities during the planning of the project.

The Amaila Hydropower Project will generate reliable, affordable and clean energy for the people of Guyana for decades to come, will reduce greenhouse gas emissions from existing generation, and will improve electric power reliability essential for Guyana's continued future development.

Rafael S. Herz
Senior Vice-President
Project Manager: Amaila Hydropower Project

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

Guyana, the "land of many waters," is rich in hydro resources and deserves to benefit from its own natural wealth. The construction of a new 165MW hydroelectric facility creates an opportunity for Guyana to generate its own power from a clean, natural source and with it a dependable, affordable source of electricity fostering growth and economic development in the country. The plant, located where the Amaila and Kuribrong rivers meet, will deliver electricity to Guyana's capital, Georgetown, and its second largest town, Linden, by an electric transmission line. Construction of the hydro facility and electrical interconnection is anticipated to begin in late 2011. It will take approximately four years to complete.

Benefits to the people of Guyana:

â€ĒThe project will immediately provide local communities with employment opportunities as well as the opportunity for expanded sales of goods and services.
â€ĒThe plant will provide power reliability to meet Guyana's future needs.
â€ĒOver time, the project will lower average wholesale energy costs.
â€ĒIt will spur additional economic investment resulting in more jobs and stronger infrastructure.
â€ĒTwenty years from now, the Project will be transferred to Guyana Power & Light (GPL) at no cost.

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

Project
Powering Guyana’s Future Development
The Amaila Hydropower Project will generate reliable, affordable and clean energy for the people of Guyana for decades to come. The project is a fundamental component of Guyana’s Low Carbon Development Strategy, and will significantly lower the the Guyana’s carbon footprint while reducing the country’s long term energy costs and exposure to imported oil price volatility. Improved electric power reliability is essential for Guyana’s continued future development.

The Project
The Amaila Hydropower Project involves the construction of a hydropower plant in the area of west-central Guyana, where the Amaila and Kuribrong rivers meet. Electricity produced at the plant will be delivered to Guyana’s capital, Georgetown, and its second largest town, Linden, by an electric transmission line. Construction of the plant is scheduled to begin in late 2011. It will take approximately four years to complete.

There are three parts to the Project:

â€ĒHydropower Plant.Construction of a dam where the Amaila and Kuribrong rivers meet will create a reservoir upstream of the dam. The project is expected to have the capacity to produce 165 MW of electricity by releasing impounded water through turbines specifically designed and built for the plan.
â€ĒTransmission Lines. Electricity will be delivered from the hydropower plant to Georgetown and Linden through a high-voltage 230-kV transmission line that will be built along with electric substations in Linden and Georgetown. The 270 km long transmission line will be supported on towers approximately 36 m tall and 300 m apart, carrying two circuits thus providing redundancy in the event of loss of one circuit.
â€ĒAccess Road. In order to access the Project site, new roads will be constructed and some existing roads will be upgraded. A new road approximately 65 km long will be built connecting the project site to the existing Bartica-Potaro Road. Another new road approximately 20 km will be constructed from the existing Mabura Hills Highway to the Essequibo River. Other existing roads will be upgraded in order to provide access needed to move the equipment, supplies, and personnel to build the Project, as well as for future operation and maintenance of the plant and transmission lines. Construction of access roads began in 2010 and will be completed in advance of the construction of the Hydropower Facility.
Experienced Sponsors
The Project is being developed by Amaila Falls Hydro, Inc (AFH), a member of the Sithe Global Group, which is a leader in the international energy industry. Sithe Global’s core management team has successfully led the development or acquisition of more than 50 power plants comprising over 15,000 MWs globally. AFH will lead the financing, management and construction of the hydropower plant and transmission lines – bearing all the development risk for the Project. GPL will own and operate the Project for 20 years, after which the facilities will revert to the Government of Guyana (GoG), at no cost, through a Build Own Operate Transfer (BOOT) arrangement.

The construction of the hydro facility and the electrical interconnection will be designed and built by China Railway Engineering Corporation, one of the world’s largest infrastructure construction firms.

After conducting an open tender process, the GoG contracted Synergy Holdings to design, build, and improve the main access road to the Project, and to clear vegetation for a portion of the transmission line corridor. The GoG is responsible for the financing, construction, and operation of the access roads.

Commitment to Environmental Planning and Mitigation
The Amaila Hydropower Project is committed to Guyana’s sustainable development vision. Protecting environmental biodiversity and minimizing adverse impacts to local communities are important factors in project implantation. The project sponsor AFH is taking numerous steps to minimize the project’s adverse impacts and enhance project benefits.

As part of this commitment, AFH has updated the Environmental and Social Impact Assessment as a supplement to the previous EIA reviewed and approved by the Guyana EPA. This updated ESIA was prepared to be consistent with Guyanese standards and international safeguard policies. AFH will continue to actively engage local communities and stakeholders throughout the planning, implementation, and life of the Project.

Environmental and Social Management Plan (ESMP) has been drafted to reflect the final Project design, as well as current environmental and social conditions in the Project area. The ESMP will provide guidance for management activities in the following areas:

â€ĒEnvironmental and social control and mitigation measures for project construction and operation;
â€ĒEnvironmental and social monitoring program for both construction and operation;
â€ĒWorker health and safety plan, procedures and controls;
â€ĒEnvironmental contingency plan and procedures;
â€ĒEnvironmental, health and safety management system (including personnel, training, documentation, etc.);
â€ĒPublic consultation and disclosure.
Social Responsibility. The Project recognizes its responsibility to mitigate social impacts during construction and operation. Some of the actions that will be taken include:

â€ĒLocating worker camps away from local communities;
â€ĒRequiring workers to comply with a Code of Conduct while ensuring fair and transparent treatment;
â€ĒControlling traffic to the Project during construction; as well as controlling the use of the access roads;
â€ĒEnsuring Amerindian traditional uses and access to land areas near the Project site are maintained;
â€ĒMaintaining communication ties with rural communities in the region of the Project and ensuring an effective inquiry/grievance mechanism is in place; and
â€ĒWorking closely with Government agencies and non-government organizations (NGOs) in order to implement certain aspects of the Project

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

Where will the dam be built?
The dam will be built in west central Guyana, where the Amaila and Kuribrong rivers meet.

How big will the Project be?

The Amaila Hydropower Project consists of a hydropower dam, built at the confluence of the Amaila and Kuribrong rivers. The electricity will be generated by specially-designed turbines and delivered to substations in Linden and Georgetown by a new 270 km long 230-kV high voltage transmission line. The Project is currently expected to produce up to 165 MW of installed power capacity. A new access road approximately 67 km long will be built from near the village of Kaburi to the hydropower site, along with a new 18 km long road from Mabura Hills Road to Essequibo River. These along with some road upgrades will facilitate movement of the equipment needed to build and operate the hydropower plant and electrical interconnection facilities.

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

How long will it take to build?

Construction of the hydropower facility and electrical interconnection is anticipated to begin in 2011 once the access road is completed and debt financing has been obtained. Construction of access roads began in 2010 and will take about 8 months to complete. The hydropower facility and electrical interconnection will take about four years to complete and start delivering electricity in 2014.

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

Who is building the dam?

The Project is being developed by Amaila Falls Hydro, Inc (AFH), a member of the Sithe Global Group, which is a leader in the international energy industry. Sithe Global will lead the management and construction of the hydropower plant and transmission line. Sithe Global’s core management team has successfully led the development or acquisition of over 50 power plants comprising more than 15,000 MWs globally. Since combining forces with the Blackstone group in 2005, Sithe Global has achieved financial close on three greenfield projects totaling 1,725 MWs and nearly US$3 billion, including the 250 MW Bujagali Hydroelectric Project in Uganda, which will effectively double that country’s generation capacity.

China Railway Engineering Corporation, one of the world’s largest infrastructure construction companies with significant experience building hydropower plants, will be building the power plant station and transmission lines.

Synergy Holdings, a Guyanese and U.S based company, has been contracted by the Government of Guyana to construct new and upgrade existing access roads to the hydropower site.

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FM
quote:
Originally posted by Mitwah:
quote:
Originally posted by asj:
quote:
Originally posted by Mitwah:
Good posts ASJ. Big Grin


Mits, more or less like a blog where all are expected to contribute and critique. Big Grin

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I would like to see this project comes to fruition.


We all would, as it would be a tremendous help to the country's development, and methinks that all parties should contribute to make it happen.

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

How will it be financed?

The Amaila Hydropower Project is a private sector-led project. The developer, Amaila Falls Hydro, Inc., is bearing the development risk of the Project and Guyana Power & Light will not pay for power until after commercial operation and independent testing. This is a Build Own Operate Transfer (BOOT) arrangement, where after 20 years from the date of start up, the Project reverts to the Government of Guyana at no cost.

The Project will be financed by debt funding from multilateral and development financial institutions and equity from Sithe Global. The Government of Guyana is responsible for the financing, construction and operation of the access roads.

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

Will it affect local communities?

The Amaila Hydropower Project is committed to ensuring the local communities and cultures are not adversely impacted. No communities are located directly near the hydropower site, and the access road and transmission line will be located outside of communities and Amerindian Lands. Amaila Falls Hydro, Inc. is working with community members in the region to ensure that traditional uses in the Project area are not disrupted.

No resettlement is required for the hydropower site or the access road. The transmission line will be located outside of local communities and will largely be within State lands. A short portion of the alignment within Georgetown may require resettlement due to encroachment on the existing GPL right of way.

The Project construction will require over 1000 workers. Amaila Falls Hydro, Inc. is working with the EPC Contractor to ensure that local Guyanese workers and suppliers are able to compete for work and providing services on the Project construction, including recruitment efforts in major cities like Georgetown, as well as smaller interior communities closer to the site.

Sithe is proud of its environmental and social standards exhibited in Sithe’s past projects. Many of these projects included participation of multilateral lenders well known for requiring stringent environmental, social and safety standards. Amaila Falls Hydro, Inc. is working to develop strong partnerships with local communities and NGOs to ensure to help make the Amaila Hydropower Project and better project for Guyana.

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

How will it affect the environment?

The Amaila Hydropower Project is committed to protecting biodiversity. The Project planning process includes extensive environmental impact analyses to ensure international standards are met. The Project conducted an Environmental Impact Assessment in 2001 and received Guyana EPA approval. An Addendum EIA was also prepared in 2008. To further ensure environmental safeguards are in place, an updated Environmental Social Impact Assessment (ESIA) was conducted in 2010 (copy available on this website). The results of the ESIA analyses will ensure that the Project meets stringent environmental and social standards to minimize and mitigate negative impacts and enhance positive benefits for Guyana.

The Project will also develop an Environmental Social Management Plan (ESMP) which incorporates the results of the ESIA and provides a framework for implementing initiatives in the following areas:

â€Ēenvironmental and social control and mitigation measures to minimize and mitigate negative affects during Project construction and operation;
â€Ēenvironmental and social monitoring to review the effectiveness of the ESMP programs for both construction and operation;
â€Ēworker awareness training to ensure procedures are properly followed;
â€Ēenvironmental offset or compensation initiatives;
â€Ēcooperative initiatives with the Government of Guyana, local communities, and non-government organizations to better implement certain environmental programs;

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FM
PPP ALL THE WAY: LET PROGRESS CONTINUES PART 2

THE AMAILA HYDROPOWER PROJECT

Benefits to Guyana

The Amaila Hydropower Project will bring reliable, affordable electricity to Guyana, spurring jobs and economic growth, while expanding the country’s infrastructure.

Guyana, the “land of many waters”, is rich in hydro resources and deserves to benefit from its own natural wealth. The Project gives Guyana the opportunity to generate its own electricity from a clean natural source.

The Amaila Hydropower Project is critical to Guyana’s future. “Energy powers many aspects of human life, from light bulbs to refrigerators, cell phones to computers, and homes to hospitals.” The United Nations Development Program stated that energy is “central to sustainable development”. “It affects all aspects of development – social, economic and environmental – including livelihoods, access to water, agricultural productivity, health, population levels, education, and gender related issues.” Without access to modern energy, countries are unable to sustain economic growth. Guyana has been waiting a long time for hydropower. Now is the time to make this energy a reality.

Abundant, reliable electricity supply

The Amaila Hydropower Project will help to improve the dependability of the energy supply in Guyana by providing up to an estimated 165 MW of renewable energy. The Project includes a new double circuit high voltage 230-kV transmission network that will form the backbone of a new high voltage super highway — enhancing the reliability and deliverability of electricity throughout the country.

Affordable Electricity

With the Amaila Hydropower Project, electricity will be generated at lower costs than by imported oil. Power generation costs will be reduced and ultimately, consumers will benefit from this lower cost and more affordable electricity. Affordable and reliable electricity will support businesses, encourage jobs, and spur economic development.

Reducing GHG Emissions

The deforestation caused by the project will result in only about 8% of the greenhouse gas emissions that would have been emitted by the existing traditional oil fired power plants based on a 20 year period. The project will lower the country’s carbon footprint and provide the people of Guyana with a dependable energy source, while reducing the country’s long term energy costs.

Supporting Economic Growth

The Amaila Hydropower Project is the largest foreign investment and infrastructure project in the history of Guyana. It has the potential to support Guyana’s overall economic growth, based on a reliable, affordable electricity grid for its industries and businesses.

The Amaila Hydropower Project: Powering a Better Future for Guyana and its People

By providing a stable and dependable source of energy for citizens as well as businesses, the Amaila Hydropower Project will provide the country with a much needed electricity infrastructure to support the country’s economic development. The added infrastructure will help attract foreign investment and bolster local business and entrepreneurs.

At first, the power will benefit those currently connecting to the grid. In time, small communities located in the interior will also benefit from the Project, which will provide low cost electricity – encouraging expansion of the electric grid.

Renewable, affordable and reliable energy will help Guyana tackle these challenges, providing the foundation for economic development.

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FM

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