Mahipaul roasts govt over sole-sourcing of Dom Rep’s InterEnergy for GPL

Last Updated on Thursday, 31 July 2025, 16:50 by Writer

The opposition A Partnership for National Unity (APNU) vice presidential candidate Ganesh Mahipaul on Thursday slammed the government for unilaterally selecting the Dominican Republic-headquartered InterEnergy Group to supervise the expansion of Guyana Power and Light’s (GPL) transmission and distribution network.

He said the US$650,000 per month “secretive” deal amounts to a waste of money instead of empowering local talent or delivering reliable electricity to citizens.

“The PPP/C (People’s Progressive Party Civic) government greenlit this deal behind closed doors, rather than public accountability. There was no transparent procurement process,” said Mr Mahipaul, a former member of the House bipartisan Public Accounts Committee.

GPL’s Chief Executive Officer Kesh Nandlall on Wednesday told Demerara Waves Online News that InterEnergy would supervise the installation of more than 300 kilometers of transmission lines and several new substation to distribute the estimated 300 megawatts of power from the Wales natural gas-fired power plant when it is completed by mid 2026, building of medium voltage circuits, development of a smart grid, and assessment of GPL’s fossil fuel generating facilities.

The GPL Chief Executive Officer said no agreement has been reached with InterEnergy, but negotiations were underway with that Dominican Republic company based on proposals it had submitted.

As a result of Cabinet’s sole-sourced approval of InterEnergy instead of a competitive bid process, the APNU parliamentarian said there was no opportunity for local or regional firms to compete or independent evaluation of the contract’s necessity or cost. “This was governance by executive fiat, not democratic principle,” he added.

Mr Nandlall said a US $7.8 million per year deal without competitive tender, public consultation, and without parliamentary scrutiny, is “not just poor governance, it is an insult to taxpayers, workers, and every Guyanese family struggling with blackouts and high bills.”

While the GPL Chief Executive Officer is on record as saying that GPL workers would not be laid off but would be working alongside InterEnergy’s workers, Mr Mahipaul said the deal would place a foreign entity in a position of immense power over GPL’s technical operations, procurement, hiring, and contractor engagement. “In essence, we’re being asked to pay tens of millions for a foreign company to run our power sector while sidelining qualified Guyanese engineers and administrators,” he said.

Mr Mahipaul questioned the Guyama government engaging InterEnergy given its reported less than stellar performance in Jamaica.

The People’s National Congress Reform executive member suggested that a contract with InterEnergy should include performance metrics and penalties if InterEnergy fails.

He said an APNU-led government would never treat national resources or public trust with such disregard. “We believe in transparent governance, competitive procurement, and local empowerment,” he said.

The APNU+AFC government had sole-sourced the award of contracts for a feasibility study and design of a new Demerara Harbour Bridge.

Mr Mahipaul used the opportunity to promise that APNU would ensure that all energy contracts are subjected to open, competitive bidding, with clear evaluation criteria and stakeholder consultation. “Consultancy engagements must be tied to measurable results, and payments linked to actual improvements in service delivery and reliability.

He also said all major public contracts will be reviewed by Parliament, published online, and made subject to independent audit.