New GEBE generators not yet ordered, RFP nearly finalized, PM Mercelina says

GREAT BAY--Prime Minister Dr. Luc F. E. Mercelina confirmed on Wednesday that new generators for NV GEBE have not yet been ordered, though the process is approaching a key milestone, with the Request for Proposal (RFP) described as nearly finalized.

The Prime Minister provided the update during the Council of Ministers press briefing, responding to questions about the status of the generator procurement, which is tied to financing secured through the Netherlands.

Mercelina placed the generator purchase in the context of the national energy crisis of the past, saying the country had been operating with obsolete engines well beyond their intended service life. He said the generators in use were approximately 25 to 28 years old, a situation he described as unacceptable given the safety and security implications of repeated blackouts.

According to the Prime Minister, he initially proposed that NV GEBE purchase new generators, but the utility indicated it did not have the financial resources at the time to do so on its own. He said NV GEBE then requested that he approach the Government of the Netherlands to secure financing. Mercelina said approval came quickly, resulting in a US $42 million loan to facilitate the purchase of generators, with an interest rate of 2.43 percent.

He explained that because the financing was secured by government, the procurement process is being guided through a dedicated energy crisis committee installed to support the process, including shaping procurement steps and ensuring accountability. He said the committee has been advising and negotiating with NV GEBE on how the RFP should be structured, with the goal of ensuring a responsible transfer and a transparent and accountable procurement process.

At present, Mercelina said there is agreement on the RFP and the committee is finalizing the remaining details needed to proceed toward purchasing and ordering the generators. However, he confirmed that the RFP has not yet been completed and sent out, stating it is still being finalized.

Beyond procurement, the Prime Minister said there is also a second track that must be completed, the legal framework governing how the government’s loan will be structured in relation to NV GEBE, including the conditions under which the utility will receive support or enter into agreements involving generators financed through government borrowing. He said those legal details are also being formalized to ensure the public interest is protected and the process remains transparent and accountable.

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