Dear Editor,
There are a number of questions that need to be asked surrounding the Energy World International (EWI) bid for the 360MW project. To the lay person EWI is smoothly pushing forward, the press reports the steady progress of the process with pictures of the minister and the preferred bidder visiting the future home of our energy needs. Is there really smooth progression?
EWI wrote to the Office of Utilities Regulation (OUR) to say that they will not post the 5 per cent performance bond under the current terms of the licence. This letter was in the possession of the OUR prior to the recommendation of the licence, yet the terms have remained.
More than a week ago the Minister said he was "going to his desk" to sign the licence that was recommended by the OUR on May 26th (see OUR press release on their website). In fact, he signed the licence on Friday, April 4, but did not transmit it to EWI, and has just announced it. The licence does not become valid until given to EWI and as such the clock on the 10-day timeline for the 5 per cent performance bond does not start ticking.
Six months on from the award of the bid and the process is not proceeding in a clear and transparent way.
Do Stuart Elliot and EWI intend to post the bond?
Recently Stuart Elliot met with members of Cabinet, including Horace Dalley and Sandrea Falconer, to brief them on the progress of the project. He told them that he cannot post the bond because the terms of the licence are unbankable. He is proposing instead to post only the construction bond.
This would, in effect, extend the deadline for providing the bond from 10 days to 6 months. It would also remove all liability for adhering to the terms of the EWI bid that was submitted. Furthermore, the first bond submitted is about to expire, and so he will be completely off the hook for any committments made in the bid process. It also opens the door to have the terms renegotiated without risk to EWI.
The OUR and the minister seem to be working at cross purposes. Yet public relations notices insist that the project is proceeding apace.
News has also come that the EMC is to be disbanded. Are we about to see a licence amended to have EWI let off the hook for the performance bond? And, with no EMC and a supportive Cabinet will the OUR allow this?
John Bowls
johnbowls@outlook.com
Is there really smooth sailing in the 360MW project?
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There are a number of questions that need to be asked surrounding the Energy World International (EWI) bid for the 360MW project. To the lay person EWI is smoothly pushing forward, the press reports the steady progress of the process with pictures of the minister and the preferred bidder visiting the future home of our energy needs. Is there really smooth progression?
EWI wrote to the Office of Utilities Regulation (OUR) to say that they will not post the 5 per cent performance bond under the current terms of the licence. This letter was in the possession of the OUR prior to the recommendation of the licence, yet the terms have remained.
More than a week ago the Minister said he was "going to his desk" to sign the licence that was recommended by the OUR on May 26th (see OUR press release on their website). In fact, he signed the licence on Friday, April 4, but did not transmit it to EWI, and has just announced it. The licence does not become valid until given to EWI and as such the clock on the 10-day timeline for the 5 per cent performance bond does not start ticking.
Six months on from the award of the bid and the process is not proceeding in a clear and transparent way.
Do Stuart Elliot and EWI intend to post the bond?
Recently Stuart Elliot met with members of Cabinet, including Horace Dalley and Sandrea Falconer, to brief them on the progress of the project. He told them that he cannot post the bond because the terms of the licence are unbankable. He is proposing instead to post only the construction bond.
This would, in effect, extend the deadline for providing the bond from 10 days to 6 months. It would also remove all liability for adhering to the terms of the EWI bid that was submitted. Furthermore, the first bond submitted is about to expire, and so he will be completely off the hook for any committments made in the bid process. It also opens the door to have the terms renegotiated without risk to EWI.
The OUR and the minister seem to be working at cross purposes. Yet public relations notices insist that the project is proceeding apace.
News has also come that the EMC is to be disbanded. Are we about to see a licence amended to have EWI let off the hook for the performance bond? And, with no EMC and a supportive Cabinet will the OUR allow this?
John Bowls
johnbowls@outlook.com
Is there really smooth sailing in the 360MW project?
-->