The Alliance For Change (AFC) is warning that the Wales Gas-to-Shore project is spiraling into what may become the biggest failed infrastructure venture in Guyana’s history, slamming the ruling People’s Progressive Party (PPP) government for poor planning, reckless execution, and a total disregard for transparency and accountability.
In a statement issued by AFC Chairman David Patterson, the party reminded the public that when the project was launched at State House in April 2021 with great fanfare and diplomatic presence, it carried a price tag of US$900 million and a promised completion date of September 2024. Now, just four years later, that figure has ballooned to more than US$2.4 billion, with delivery postponed to 2026.
“This is not just overrun—it’s an explosion of cost and failure,” Patterson said. “Instead of exercising caution, the PPP bulldozed ahead, ignoring all technical, economic, and environmental red flags.”
Back in 2021, the AFC publicly warned that the proposed initiative lacked sound studies and that the government’s promise to slash electricity rates to US$0.05 per kWh was rooted in “voodoo economics.” Since then, Patterson notes, the government has shifted the goalposts repeatedly—from promising a specific reduction to vaguely claiming bills would be cut in half, and now suggesting only that bills “will be reduced.”
Adding to concerns, the AFC revealed the project is now entangled in at least two international arbitrations, with another dispute reportedly on the horizon. The joint venture responsible for construction is also set to be dissolved, raising further doubts about timely completion and delivery of its 300MW capacity.
Meanwhile, Patterson pointed to the electricity demand projection that was used to justify the gas-to-shore initiative—a claim that demand would peak at 407MW by 2025. “Today, that figure stands at just 220MW—nearly 50% lower,” he said. “The PPP exaggerated the numbers to justify a mega-project that continues to bleed public funds.”
Adding to the outrage is the current state of the country’s power sector. Guyana, now an oil-producing nation, continues to endure daily blackouts despite having invested $28.1 billion since 2020 to expand its generation, transmission, and distribution infrastructure. “What do we have to show for it?” Patterson asked. “Outages remain a daily feature—sometimes more than once a day.”
Earlier this year, Patterson criticised what he called several high-profile but ultimately ineffective energy initiatives, most notably the government’s purchase of 27 used containerized generators from Honduras. “These are outdated, third-hand units that can’t meet the country’s growing demand,” he said, describing them as part of a pattern of reckless spending.
He also pointed to the PPP’s power ship deals—one with Cuba and the other with Türkiye—saying they were hailed as miracle fixes but have done nothing to alleviate the crisis. “After those ships arrived, the government declared the blackout era over,” Patterson said. “But here we are in 2025, and blackouts are worse than ever. It shows a failure to study the problem and a reliance on half-baked solutions.”
Patterson vowed that, should the AFC return to office after the September 1 elections, a full financial and technical audit of the Wales project will be conducted. “We owe it to the people of this country to find out what went wrong and to ensure we are not saddled with a $2.4 billion white elephant,” he declared.
