Skeldon Sugar Modernisation Project on target
-electricity supply to national grid closer

Georgetown, GINA, September 26, 2007.

Government’s flagship, the Skeldon Sugar Modernisation Project (SSMP), to remodel and improve the sugar industry has moved another step forward, as efforts are being made to start supplying electricity to the national grid shortly.
            SSMP represents an investment of approximately US$170M and includes construction of a modern sugar factory with a capacity to produce about 116, 000 tonnes of raw sugar annually and a co-generation plan, capable of supplying 10 megawatts (MW) of power to Berbice.
Additionally, the factory has three diesel generators, one 5 MW and two 2.5 MW, which will ensure a constant supply of power. The base-load for Berbice is estimated at 10 MW and so the factory will be contributing to a stable supply for the County.
            The commissioning of the diesel generators recently started and is currently in the final stages, as preparations are being made to test the supply of electricity to the national grid. It is expected that the generators will commence supplying power by the end of October.
The project is designed to produce electricity from fossil fuel, and bagasse, a by-product of the sugar cane. During initial operations, power will be supplied using fossil fuel while it is expected that supply from the bagasse will be implemented when the factory gets into full operations.
            Efforts are being made to complete the factory by February 2008 and start sugar production by the end of March 2008. The factory will require about 1.1 million tonnes of cane per year, about three times the current requirement of Skeldon estate. The additional canes will be produced from about 4,700 hectares of new estate lands in Manarabisi and about 4,200 hectares of new farmers’ lands being developed at locations near the estate and at Moleson Creek. 
The factory incorporates modern technology from many different countries, which combined will ensure high efficiencies of extraction and boiling house recovery. One of the features will be a high degree of automation, designed to keep the various stations within the factory operating at optimum efficiency.
This will require significant investment in training factory employees. Similar equipment, but on a smaller scale, is being installed in the Blairmont factory to provide hands-on training for employees.
The contract for the construction of the sugar factory and cogeneration plant was signed between the Guyana Sugar Corporation (Guysuco) and China National Technology Import and Export Corporation (CNTIC) in June 2004.
            This project is part of Government’s intention to make the sugar industry viable and is aimed at bringing the cost of producing sugar below US11 cents per pound. At present, the cost of production ranges between US17 and 18 cents per pound.
In addition, there are plans to establish a distillery, secure investments for a refinery and use sugar-cane as a source of bio-diesel, when sugar production has increased.

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