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The Dispute Avoidance and Adjudication Board (DAAB) handling the Government of Guyana and Lindsayca/CH4 dispute relating to the Gas-to-Energy (GtE) Project has made a ruling and both parties have less than a month to decide if to go to arbitration.
“On 31 January 2025, the DAAB issued their ruling on the matters referred to it. In relation to this ruling, the parties to the dispute resolution process are bound by certain rules of confidentiality. Following the DAAB ruling, the parties have 28 days to determine if they wish to refer the decisions, or any part thereof, to arbitration, which would be the next stage in the dispute resolution process,” a statement from the Office of the President said.
The statement noted the government in the next few weeks, in consultation with its partners, including Exxon/Mobil, as well as relevant legal and technical advisors, will determine its best course forward on the matter.The government has maintained its commitment to ensuring that the project is completed in the shortest possible time, in an effort to deliver associated benefits to the people of Guyana.
Some aspects of the project were executed by Exxon Mobil on the government’s behalf.
When completed, the project is expected to double Guyana’s electricity generating capacity to meet the growing demand, as well as reduce generation costs.
This will see electricity cost to consumers slashed by at least 50 per cent.
In turn, it will catalyse rapid expansion in industrial activity, and improve the competitiveness of the manufacturing sector and other productive energy intensive sectors. The project is further expected to create vast employment and entrepreneurial opportunities for Guyanese nationals. Additionally, the completion of the project will facilitate a reduction in the cost of LPG cooking gas to households and businesses, and the realisation of domestic self-sufficiency, with significant surplus for the export market.
The Office of the President added that the project will generate significant foreign currency savings for the country, as a result of reduced imports.
More so, the project will generate additional export revenue, along with macroeconomic benefits of a stronger balance of payments position.
