GPL earns $17.0B for first half of 2017 – electricity production increased marginally
DPI, GUYANA, Friday, August 4, 2017
The Guyana Power and Light (GPL) earned revenue of $17.0 billion in the first half of 2017, up from $14.7 billion for the same period in 2016 as a result of more timely payments. This is according to the Mid-Year Report that was produced by the Ministry of Finance.
The report also states that similarly, expenditure increased from $9.3 billion in the first half of 2016 to $12.6 billion in the same period of 2017.
The expenditure increase is driven by higher cost of Heavy Fuel Oil (HFO) for which the weighted average cost rose to US$48.70 (for the half year) from US$30.50 as at June 30,2016.
Additionally, GPL has repaid the Government $500 million on the Government of the Cooperative Republic of Guyana (GCRG/GPL) on-lending loans for the first half of the year. The company’s outlook for 2017 has improved, with the budgeted deficit of $5.0 billion now expected to improve to a lower deficit of $771 million.
Despite this improved cash performance of GPL, the report also revealed the company’s technical performance remains plagued with inefficiencies. It shows that the production of electricity increased marginally to 394,832 MWh in the first half of 2017 from 387,864 MWh for the first half of 2016.
Following that period which accumulates twelve-month rolling average of total losses was 29.6 percent a slight increase from the half year for 2016 when the total losses was 29.3 percent.
By: Neola Damon