GPL to focus on loss reduction in 2017, lot 3 of PUUP to begin

GINA, GUYANA, Tuesday, December 20, 2016

Addressing loss reduction will be at the top of the Guyana Power and Light Incorporated’s (GPL) agenda in 2017. The third component of the Power Utility Upgrade Programme (PUUP) which is set to begin in 2017, deals with addressing loss reduction and improving the supply of electricity distribution.

GPL’s Acting Chief Executive Officer, Renford Homer, at a press conference at GPL yesterday, explained that the process has passed various levels of approval and the contract will be signed shortly.

Acting CEO of GPL, Renford Homer

“There has been a preferred bidder that was approved by Cabinet and the Inter-American Development Bank (IDB)….so it’s just a matter of signing and consummating that contract, so we do expect to see them (contractors) on the ground in the first quarter of 2017,” Homer explained.

The acting CEO further explained that GPL will be using its consolidated fund along with funding from the PUUP programme to effectively target loss reduction.

“Prior to the granting of the funding for the PUUP programme, the IDB has funded other studies with respect to losses within the GPL system. The design of the programme is such that it is meant to deliver at the end of the programme in 2020, a sustained reduction of losses of five percent so we expect to see losses reduced to approximately 23.8 percent in 2020.”

Meanwhile, Minister of Public Infrastructure, David Patterson said recently that the upgrading of electrification systems’ programme is now joined to the PUUP programme. This will see the reduction of both technical and commercial losses. This is a $5M programme merged with the larger $64M PUUP programme.

“The impact of this is that the money will go toward negligible reduction and the larger reduction will come under the PUUP programme,” Minister Patterson explained.

For many years, the Inter-American Development Bank (IDB) has been the primary source of financing for the development of the local electricity sector. The PUUP programme which was approved in 2014 is aimed at Strengthening GPL’s Management capabilities, operational efficiency and Infrastructure Investments for loss reduction.

The scope of works included in component three of the PUUP programme consists of both technical and nontechnical loss reduction measures, including network investments, comprising interventions to pursue the reduction of technical losses, such as replacement of conductors, relocation and incorporation of transformers, distribution boxes and accessories, and upgrading customer interface, namely service line, meters, enclosures and related accessories, among others.

There will also be the implementation of social management campaigns.

 

By: Ranetta LaFleur

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