Guyana completes power group sale

Guyana has completed the privatization of its power company, selling a 50 per cent stake to a European consortium that will invest $50m in the utility over the next five years. The consortium, which comprises Commonwealth Development Corporation (CDC) and ESBI of Ireland paid government-owned enterprise, Guyana Electricity Corp, $23m for the stake.

The consortium will be responsible for the management of the business, which will trade as Guyana Power & Light (GPL). GPL will have a 25-year licence to develop and operate the electricity system throughout the country, with the main aim of improving the quality and access to power supplies.

The agreement ends a four year effort by the government to find an investment partner for the power company.

The government is committed to reducing interest in GPL over time and the shareholders intend to offer shares in the company to employees and the general public within five years.