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WPP - No Value for Money

No Value for MoneyAntigua St. John's - Six and a half months ago, on the 15th of December, 2011, Caribarena was the first to raise the question, did we receive value for money in the Chinese Power Plant? And today, we would like to state conclusively that according to our research, the answer is a definitive no.

In order to understand how and why we arrived at this conclusion, it is important first to understand what is value for money, and how is it determined. According to Cambridge University, Value for Money is defined as, "a term used to assess whether or not an organisation has obtained the maximum benefit from the goods and services it both acquires and provides, within the resources available to it."


The University further explains that Value for Money is achieved by comparing an item to the "three Es", Economy, Efficiency, and Effectiveness. These three values are explained as, "

 1. Economy - careful use of resources to save expense, time or effort.

 2. Efficiency - delivering the same level of service for less cost, time or effort.

 3. Effectiveness - delivering a better service or getting a better return for the same amount of expense, time or effort."

Following this guideline, Caribarena has compiled a list of 7 reasons why we have not received value for money. These reasons are all based on information coming from APUA, the Government, and our own tour at the Power Plant.

1.       Numerous Technical Issues
    ⁃     Issues with Lube Oil consumption, sinking HFO Storage tanks, fuel mixing in to the lube oil, and more have been constantly plaguing the Power Plant. A new Power Plant may experience occasional issues in one or two of the engines, but issues that at times affect 5 of the 6 engines have a serious blow on its value. These issues were documented in an APUA report released in a prior article (see here).

2.       High cost per Megawatt
    ⁃    A quote Caribarena witnessed for a new Power Plant from MAN Diesel and Turbo cost half a million dollars less per Megawatt of Generating capacity than the Chinese Power Plant. This means that even if the Wadadli Power Plant ran perfectly, it would still be more expensive than new Power Plant engines from Germany. These figures are explained in a prior article (see here).

3.       Engines downrated to 4 mW
    ⁃    Several of the engines have been downrated from 5 Megawatts to 4 Megawatts, meaning they can only generate 80% of the electricity that they were supposed to generate. This means that the abilities, and as such the value, of the affected engines has decreased, without a lessening of the cost to compensate. This was documented in the same APUA report previously mentioned (see here).

4.       Engines Constantly Offline
    ⁃    At one point, 5 of the engines were down. As we speak, 3 of the engines are down. At any time that the engines are down, APUA is losing money because they are not selling electricity. If the engines are down for weeks or months (as is the case), APUA is loosing significant sums of money. If the power plant is not making money, it is not returning on the investment made to purchase it, and as such, the value is significantly decreased. This was confirmed by APUA electricity manager Lyndon Francis and Mechanical engineer Brian Nicholas.

5.      Total Sum to be Repaid Constantly Grows
    ⁃    The RMB is held artificially low by the People's Republic of China. International pressure on the Chinese Government forces China to let the Yuan dollar rise closer to its proper value gradually. The Chinese yuan has been strengthening in relation to the US dollar consistently since 1994. As the yuan continues to appreciate, Antigua will have to pay more and more and more. In 2008, when the loan agreement was signed, 300 Million RMB was equal to roughly 43 million US dollars. Today, it is equivalent to 47 million US dollars. Antigua has received no added value to compensate for this increase in cost. Therefore, we are not receiving value for money, and as the Yuan continues to appreciate, this will only get worse and worse. See here for Chinese to US dollar conversion rates history.


6.       Bad Fuel Efficiency
    ⁃    Based on the information provided in Esworth Martin's affidavit (published here), the APC and Black Pine plants burn 0.045 gallons per kW of electricity, while the WPP burns 0.054. This may seem like a small difference, but consider that when producing 11 Million kW (the WPP's monthly output according to the affidavit), the APC plants would burn 99,000 less gallons of fuel. For the explanation of these calculations, see the document "Power Plant Calculations" attached to this article.

7.       Not Environmentally Friendly
    ⁃    The Wadadli Power Plant engines run on HFO (Heavy Fuel Oil), also called Bunker C, which is extremely harmful to the environment. When HFO is burned, it releases Sulphur Dioxide and other pollutants which harm the environment. Other available engine models that can also meet our demands and run on Natural gas instead of HFO, a fuel that is both cheaper and more environmentally friendly. See here for information on HFO and the environment.

This list sufficiently documents and concludes that the Chinese Wadadli Power Plant does not provide value for the money that the people of Antigua and Barbuda are paying. However, there is one final argument used by Government and APUA officials, that is, that owning an asset increases value as opposed to having it provided by an external provider.

While it is true that owning an asset is advantageous in some situations, it does not add value to the item when calculating value for money.

Any power plant that the Government or APUA purchased would have been owned by them. It is not a feature or characteristic unique to any plant, and when considering whether the Wadadli Power Plant has provided value for money, the fact that APUA, the Government, or the People own the plant does not increase its monetary value.

If the Government were to attempt to sell the Power Plant, the fact that each engine can produce electricity provides value, but the fact that the Government owned it would not increase the value. Ownership over the plant does provide sentimental value, but it does not increase monetary value.

Furthermore, neither the Government, APUA, nor the People of Antigua and Barbuda own the Wadadli Power Plant. The EXIM Bank of China owns the Power Plant. If tomorrow the Government doesn't or can't pay the loan back to the EXIM Bank, they will take the Power Plant away.

So while APUA maybe operating the Plant, it will be many years before the Power Plant is truly owned by the People of Antigua and Barbuda.

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65 Comments In This Article   

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Value for money?

#65 Daughter of Klaas » 2012-07-08 16:10

So now it's all about value for money!? Give me a break. The fact that opposing forces are now talking about value for money leads me to suspect, as I have all along, that both sides are busy trying to conduct some sort of damage control on behalf of our "respected" Chinese "friends". The real question that should be our unswerving focus is this. Did the Gov. and Chinese co-conxxxxxors lie/try to hoodwink the people of A&B concerning the purchase of new engines for the Wadadli Power Plant? This must be remain the focus of our investigations. Stop the damn grandstanding! If this investigation turns out to be pure B***S*** perpetrated by the Doctor(s) of B***S***, then B***S*** should be charged with treason, nothing less.
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Daughter of Klaas

@David Shoulin

#64 ANTIGUAN WOMAN » 2012-07-02 17:34

You seem to have a problem comprehending.F irst,i said i held US residency and was thinking of migrating,you responded that i seem to have money,and you wonder where& when i made my money, where that comment came from,and what was its relevance to my post,i really do not know.You responded to my last post,by saying i should go back to the US,holding US residency does not make me less Antiguan than you or anyone else.You say i sound like a confused child,again what is your point,The last time i said this,persons wanted my head,but i will say again,"YOU SOUND LIKE A DUNCE".Whoever else the cap fits wear it proudly.Not everyone can see black and call it white,i say it like i see it.
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ANTIGUAN WOMAN

RE: WPP - No Value for Money

#63 GoodJobBob » 2012-06-29 20:20

It seems that Antigua bought the mechanical equivalent of an Antiguan "CD".

Maybe Antigua can make the money back by conducting some internet gambling in China.
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GoodJobBob

Apology?

#62 David Shaolin » 2012-06-29 00:59

I note that you apologised in your last post: "Sorry whomever i offend" yet in the same post - the very next line you state: "dont hold your breath and wait for my apology,". Sounds to me like the rants of a confused child?

I think it's time you go back to the USA - where you're a resident, and chill for a while! :lol: :lol: ;-)

Read more: http://www.caribarena.com/antigua/news/latest/100932-wpp-no-value-for-money.html#addcomments#ixzz1z9g3wLXb
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David Shaolin

tenman

#61 Skyewill » 2012-06-29 00:06

I believe you. So who got the money? How can an Antiguan do this to Antigua? Other people must be involved. This is like shooting yourself in the foot.
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Skyewill

@Jackie Spence/Lester B

#60 ANTIGUAN WOMAN » 2012-06-28 22:31

Did you read David Shoulins post to me? His comments made absolutely no sense,when someone attacks you with stupid comments,you respond with the same.I do agree that ideas should contend,but his comment isnt necessarily what i would call an idea,its more like Sarcasm directed at me for speaking truth,go back and read it.As to the age of voting,all i,m trying to say is persons who do not have the capacity to think critically and can only see whats infront of their noses,make for dangerous voters because they vote for they own destruction. Sorry whomever i offend,and i do not need to calm down,i am far from been angry,i just have a low tolerance for bull **.@ lester B ,dont hold your breath and wait for my apology,i will repeat,they are either quite foolish or they are duped into silence.
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ANTIGUAN WOMAN

@ Antiguan Woman

#59 Lester B » 2012-06-28 20:26

My dear lady, please don't refer to "most" Antiguans as "idiots"! This is demeaning and should not be encouraged! Your anger at a handful of opposing views doesn't warrant such harsh condemnation!

It would be prudent of you and show a sign of maturity by apologising!

I can say that I have found over my life here that most Antiguans are not as you described!
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Lester B

@ Antiguan Woman

#58 Jackie Spence » 2012-06-28 20:19

Don't be so childish! By the way do you know you need to be over 18years old to vote here?

Just calm down! No need to be so full of anger! Unless you're carrying a brief for a politician?

Let all ideas contend!
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Jackie Spence

@Mr David Shoulin

#57 ANTIGUAN WOMAN » 2012-06-28 20:05

You realize your comment makes absolutely no sense right?? What i** of your post?? I think it is really time to start giving IQ test to persons before they can vote.A ignorant person with a voting finger,can be a lethal weapon.
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ANTIGUAN WOMAN

@ Antiguan Woman

#56 David Shaolin » 2012-06-28 19:40

If you do have US Residency, then maybe you should "move on" when we locals post things that you disagree with!

How easy for you leave or "move on" whenever you want to? Sounds to me like you have life easy!

I wonder how and where you made your money? Incidentally, this confirms to me that you lacking "soul"!
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David Shaolin

FNSPR

#55 ANTIGUAN WOMAN » 2012-06-28 19:07

I am not sugessting anything,i just think its time that Antiguans learn to do less talk and more actions.We should not think, it is an opposition party alone that should hold a Govt accountable,i am speaking here hypothetically, not speaking to this particular situation or opposition .In other countries when people want answers or is displeased about anything,they show it in their #,s by going out and demonstrating relentlessly.Al though some may not agree with me,maybe even you,had this been the Alp in office with such blatant nonsense happening,A,gua would be on fire,and whether or not persons may not see the Alp as having credibility(i may not agree) it is their right to their feelings,that in no way gives the okay for the Govt to do as they please,and we all sit back and perfer to reflect on the perceived wrongs of the Alp( i say perceived,they have yet to be proven) We need to get up and let the Govt know this is unacceptable,ev en if we have to sabotage APUA,the message must be sent loud& clear,by sabotaging,i mean refusing to pay any bills,until we get answers,they cannot survive without us.
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@ James c

#54 down to earth » 2012-06-28 18:36

agree with you 100%.
i wonder what the manufacturer's reaction would be to this in another "press conference".
Another "honest mistake", coz screwed on spec tags are "non existent", so another apology to the people of Antigua and Barbuda.or maybe these are really rivets that look like screws.
Personally, I think it's time for some sort of a class action suit(doesn't really exist in Europe) against the mother company MAN Germany. I think, that would spill the beans faster than they could be digested. :-*
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down to earth

And the game goes on

#53 Morris » 2012-06-28 16:36

The gov't has hit the citizens for six and seems to be running up the score. Perhaps it is time for the citizens to put in their pace bowlers so they can frustrate the gov't batsmen, get a few wickets and slow down their surge.
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Morris

re: jeb

#52 fnpsr » 2012-06-28 16:08

Jeb, I thank you for your input. My suggestion was one of three options to get the documents to determine if the generators are new. While, I agree that the legal course is a timely process, I believed that it was the best option, considering the problems inherent in the FOIA and the unwillingness to have an inquiry.

I just read that the PM has met with GB and has “promised” to “consider” the possibility of an inquiry. I will not hold my breath!

The PM is a shrewd individual. I am sure he or his surrogates have read my call for a lawsuit, thus the acquiescence to ‘consider” the inquiry. This is less invasive than a lawsuit. Let’s see how long it takes before the inquiry begins. CA, start the clock running!

I believe that I was one of the first bloggers to call for an independent investigation into the WPP. Shortly, thereafter, MP Bird echoed the same.

“Let’s fix the little things before we attempt to fix the big things.”
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fnpsr

@ Eric

#51 Skyewill » 2012-06-28 15:50

Eric it's not about the money and if you are right about IHI and others fine let's get those cats also and the fence boys also. Let's stamp out curruption on all levels. The truth is you keep talking about this IHI thing and you the one that have not produce anything so stop crying. Come with hard evidence and start locking up. Eric the truth is that old tired story is wack. I hope nothing CA is saying is true cause it is hard to believe an Antiguan went out and brought back a plant that is down within 5 years of assembly. @47 million, Eric its AC all day. I hope you right cause if you are not a lot of nice boys are going to jail.
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Skyewill

Three PPPs...can't change what we got in WPP

#50 Dig It » 2012-06-28 15:47

Now CA have done their "research" to show that the people of this country got "No Value for Money" in the WPP, it is now up to government to "prove" them wrong! They are some persons who wish they could change the "three EEE" to three "PPP" and that is: Pacifying-keep the government from any "accountability " by patting them on the backs, without any regards to their actions\inactio ns; Protection-a monetary passing or promises of "trinkets" to push the "agenda" that they believe would cause a "distrubance" to others or would make evil to be evil; Power-keep the status-quo in tact so the "wrongs" will never be "right."

It seems that the peoples "money" don't matter anymore! Corruption or any form of it, undermines the fabric of society! If we are not able or willing to fight it, how can "progress" as a society? If there is efforts to block "transparecy," nothing will never change, while the clock keep on going!
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Dig It

Skyewill - yes we have been taken

#49 tenman » 2012-06-28 15:38

Sky I suspect the driver for the WPP was the falling out between the PM and Aziz. The WPP was done out of hatred and not due to any savings the government could have. The hatred in part happened because APC started to insist that they get paid on time for the energy provided. They would no longer be a bank for APUA. How else can you explain, the year before the decision was made public to do a Chinese plant, the government was in parliament lauding an agreement between them and APC which would allow almost a 50/50 partnership from the beginning. Was money stolen during this WPP deal? The answer is yes. Why? Because clearly what we call the WPP is not worth anything close to 47 million usd

..
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tenman

@fnpsr

#48 jeb » 2012-06-28 15:20

Agree with you but the big problem as I see it with using legal recourse is the time that will take. I believe that Antigua has really reached the predicted rock bottom financially which has created such a low morale with the people that the situation needs solving now. Reality is that BS spends his time travelling, reading prepared speeches that I doubt he even understands and achieving precisely nothing; he obviously likes living the “high life” on the tax payers’ bill. I think his cohorts, even though some maybe more educated, are just as inept and also enjoying the tax funded highlife. The whole lot of them are doing very well financially and give the impression of not caring one iota if Antigua sinks tomorrow so long as they don't go with it. Power and riches are addictive and none of them have shown any initiative to make sacrifices for either their people or country. We all knew that corruption existed in the past but I have never in my lifetime seen it as bad or rampant as the last 8 years and continuing. I think either the people will have to get a grip/gumption and react or outside help should be brought in to stop this downward spiral very soon.
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@ james c

#47 Skyewill » 2012-06-28 15:15

Elimentary, good eye and you know what? you are correct
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Skyewill

@ tenman

#46 Skyewill » 2012-06-28 15:08

Natural Gas? wow that would be great. Did you know that the city dump, behind Grays Farm produce natural gas for free?
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Skyewill

@ tenman

#45 Skyewill » 2012-06-28 15:04

Thanks for that explanation On the BOOth project. I did hear something about that. If What you say is true then this new/old plant COULD BE a planned conspiracy to defraud. Is that possible?
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Skyewill

re antiguan woman

#44 fnpsr » 2012-06-28 15:00

Antigua Woman, so what are you suggesting and how do propose we get to the bottom of the issue?

"Let's fix the little things before we attempt to fix the big things."
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fnpsr

@ Mr Sabruski

#43 Skyewill » 2012-06-28 14:58

I would be offended except in most cases this is true. nuff cowards not all just most. There is a young man named Vere Bird 3 who is kicking ass right now. In fact, I'll bet that he will be most effective in his goal to not only get to the bottom of this but also challenge High Level Chinese and will bring world attention to this issue
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Skyewill

@Milwaukie

#42 Skyewill » 2012-06-28 14:51

Are you saying now that we spent 47 million we can spend more for upgrade? Do We really have a problem with critical thinking skills? $47 million US can buy 2 good power plants not needing nothing. natbe you should take a few more cl**.
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Skyewill

merry go round part 2 of 2

#41 tenman » 2012-06-28 14:39

N. APUA has in its possession technical recommendations and a plan of sorts for the long-term solution of the generator problem. This plan does not appear to have had wide consideration. It ought to be the subject of open and wide discussion. A consensus ought to be sought at on a national basis. Until a modern national plan for electricity generation and distribution is arrived at, every decision taken to deal with the present crisis will smack of amateurism and ad-hocism. This is not to say that there should be any delay in entering into a properly advised contract to supplement and improve the present electricity generation performance at APUA. .. My recommendation is that Cabinet instruct APUA to secure any necessary professional assistance from within and without Antigua and Barbuda and to prepare and present without unnecessary delay to Cabinet for approval and public discussion a draft plan for the future of electricity generation


..
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tenman

RE: WPP - No Value for Money

#40 ANTIGUAN WOMAN » 2012-06-28 14:38

This has nothing to do with what party you support,everyon e is entitled to support whom they wish,but when it reache** where serious issues as this ,which can have devastating effect on all Antigua,it is time to wake up and put yourself first.Apua does not ask who you support,the bills come and must be paid.Instead of standing up against this great injustice,perso ns just simply choose to talk and talk,those who profess to be of great intellect,use all sorts of big words,which really solve nothing,the others merely sit by and support their party,even if they are handed a ball of fire to hold in their bare hands.I have US residency,and for the first time i am really thinking of moving on,i think Antigua is doomed with perons that think soo dumb,i am truly fed up.
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ANTIGUAN WOMAN

merry go round part 1 of 2

#39 tenman » 2012-06-28 14:36

I am willing to bet that if an investigation was held into the WPP matter, we will learn that if the recommendations made by Judge Don Mitchell, in 2005 during the APUA investigation, had been followed, we would not be in this mess with the WPP. The most salient recommendations is that APUA hire a proper consultant to advise them on the purchase of a proper plant. Exact quotes follow:


Quote:
N.. They (Minister and the chairman) negotiated and signed an agreement involving both APUA and Cabinet in what might easily have become a legally binding undertaking to spend many millions of public dollars. Their precipitate action in the face of crisis is understandable. But, it was not the correct way to deal with the issue. They have unnecessarily exposed themselves to suspicion that their motive was corrupt. It is elementary that government does not source generators and enter into multi-million dollar contracts except on the basis of plans and proposals carefully prepared by the technical staff and in accordance with an overall agreed policy. The contract itself must be negotiated by the lawyers and technicians qualified to do the job.
..
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tenman

RE: WPP - No Value for Money

#38 ANTIGUAN WOMAN » 2012-06-28 14:23

I totally agree with Mr Sabruski, I am A,guan, but has come to realize most are Idiots.The WPP were bought with some specific objectives in mind.ie, to own,to reduce cost and to provide more efficient service.So far they have totally failed to acheive their goals, in April/May,Apua increased fuel Variation cost,as far as i am aware,oil prices were not increased worldwide.We are having power cuts all over the island at different times,probably done in a way so persons may not be aware of load shedding. It is as clear as daylight,that we will not see cheaper rates from their purchase,and it seem they have caught Pneumonia at an early stage in their lives,old or new Pneumonia is deadly to the very young and the elderly. I say all this to say,i see no need for all this debate,with all sorts of technical terms,the fact is they have failed to meet the goals they were bought for,they will never reach those goals,and we,re the ones who will pay,because apart from paying for the actual for yrs to come,we are now faced with the prospect of no hope in terms of cheaper electricity.
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ANTIGUAN WOMAN

RE: WPP - No Value for Money

#37 DadliMan » 2012-06-28 12:34

I fail to see the relevance of the IHI matter to the Chinese power plant. If there was any wrong-doing with the IHI matter, then the evidence should be produced and the law should take its course. Does the fact that there MAY have been wrong-doing with the IHI matter excuse the wrong-doing with the Chinese power plant? I think not!!

For generations we accused the ALP of mal-governance, and eventually we voted them out of power. Are we now going to use as justification for our wrong-doing, that "ALP did it too"?

This is why plenty people will have to run out of A&B when the UPP loses power.
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DadliMan

re: james - part 2 & final

#36 fnpsr » 2012-06-28 12:33

The third option, which I believe will have the most teeth, is a lawsuit. As I stated before, information, which would not be provided under the FOIA, would be obtained through discovery. By having the issue hashed out in open court, everyone will be able to know the details as they are presented. Thus, based upon proven facts, the truth will prevail. We would know for sure, whether or not the generators are new, refurbished, or old.

“Let’s fix the little things before we attempt to fix the big things.”
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fnpsr

re: james - part 1

#35 fnpsr » 2012-06-28 12:32

James, I thank you for supporting my position. I wish that more bloggers would do the same. I do not believe that I was advocating for the abandonment of an inquiry or an investigation. From my vantagepoint, I believe that there are 3 options. The first option is to request the information under the FOIA. But as I sated previously, we all no the problems inherent in honoring such request. Thus, I believe the information would not be provided.

The second option is a timely investigation or inquiry. However, as pragmatist, I believe that this will not happen and even if it were to happen, it would take a long time and the report would probably not see the light of day.
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fnpsr

reply to hmmm

#34 others » 2012-06-28 12:04

Hmmm, I don't understand. Please point out, "SPECIFICALLY", which piece of evidence is refutable or insubstantial. Esworth Martin's affidavit? The information Lyndon Francis and Brian Nicholas gave out on Observer radio? The APUA report? The MAN Germany Quote? While I agree with you that an independent investigation needs to be launched, I think you need to give credit where it is due, and Caribarena deserve credit for sticking to this issue and for making public a lot of documents/evide nce. and for giving you a place to talk FREELY ;-) eric and cool ruler should give thanks for that too.
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others

RE: WPP - No Value for Money

#33 Hmm » 2012-06-28 11:51

Oh we like fools have gone astray. So easily led by persons with their own personal agenda. I hope the PM does the right thing and call an an independent investigation. The current evidence is not sunstantial or ir-refutable Caribarena is sticking to this like glue and making claims which has not been proven.
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Hmm

finally

#32 james » 2012-06-28 11:47

I'm glad to read this story. many ALP candidates and the OMG have been asking this question as a way of being active on the power plant issue without steppin on any toes. Gaston has been asking this because hes too scared to take any real steps. perhaps this story will push the ALP to take real action. fnpsr, I agree with you completely, except on one point. the drive for more info is useless. to me, it is already clear as crystal that some is not right. we need to push for an investigation. perhaps international environmental groups would be better as far as putting pressure on the government?
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james

@ Eric

#31 Vere C. Bird III » 2012-06-28 11:42

How do you "The others charged in civil court are still awaiting trial." Didn't know someone could be CHARGED in civil court. I think you mean sued as opposed to bringing criminal charges. But hey you call it like you see fit, hopefully you'll have people say yes, yes thats right they were CHARGED "in a civil court". :-?
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Vere C. Bird III

to eric

#30 others » 2012-06-28 11:39

I am sure every reasonable person will agree with you that the IHI case needs to be investigated, and any wrongdoers punished. It is certainly an ALP scandal. However, YOU are unwilling to admit the same on the chinese power plant, despite the significant amount of evidence. I will support your call on the IHI if you will admit that there is reason to launch a public inquiry and/or independent investigation into the Wadadli Power Plant.
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others

to eric

#29 the joker » 2012-06-28 11:35

Eric, you just can't deal with the truth. You just can't handle it. when will you understand that value for money and old engines is one and the same! Besides, what does this have to do with credibility? You can't win this argument. You simply cannot contend with the evidence released by APUA. Even with their lips sealed, there is still overwhelming evidence against the power plant. Besides, only time will tell whether or not CA have abandoned the argument of old engines. Just because they put one article on value for money doesn't mean they abandoned the old engine argument ;-) You and cool ruler both need to just take a chill pill, re-read all the long list of articles available on this issue, and realize that there is a redline at which you stop protecting the government and start realizing something is seriously wrong.
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the joker

Oh!

#28 Cool Ruler » 2012-06-28 11:29

Well well after shouting for months that the engines are old you have come around to the arguement of value for money, the same questions ask by Winston Derrick and I dear say Gaston. Is this a new position now being taken by Caribarenan? Have you guys stop hinting that there is corruption involved?
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Cool Ruler

RE: WPP - No Value for Money

#27 Eric » 2012-06-28 11:22

Skyewill – you are moaning about 47 Millions spent for Generators, at worst we got 6 generators a building and the compliancy equipment – what did we get for the IHI Rip-off where politicians from times past allegedly filled their personal bank accounts with money from our Treasury? At lease the WPP will give you lights and power. Unless you are benefiting from these personal bank accounts, why are you not calling for the repayment of those Millions? Rapperport hopefully saved he soul, he made a return to the treasury. The others charged in civil court are still awaiting trial.
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Eric

RE: WPP - No Value for Money

#26 Eric » 2012-06-28 10:46

Caribarena - You have totally loss your credibility – you swing with the wind – one day engines are Old – the next day no value for money – what will it be next? You are just using your facilities to ** yourselves and project your politics – Gaston Browne already told you that this was all started by certain individuals PAYING other individuals to SAY the engines are old – you chose not to take his word when it furthers your cause – YOU ARE JUST FANING THE FLAME.
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Eric

where are allof the brilliant attorneys?

#25 fnpsr » 2012-06-28 09:57

I thank Caribarena for educating us all on the concept of “value for money”. It is no doubt that there are many facts and situations that point us in the direction that the WPP engines are not new. There are no discernable facts, other than verbal proclamations that point us to believe that the WPP engines are new.

I had previously called for news organizations or citizens’ groups to request the information under the FOIA. With the problems inherent in honoring that request, I now believe that it is time to file a lawsuit to determine the truth.

Additionally, I believe that since the equipment was purchased with taxpayers’ money, a suit could be brought immediately for waste, fraud, abuse and mismanagement of taxpayers’ money, claiming lack of value for the money spent, in that the equipment may be used and or refurbished,. This could be supported by the fact that the equipment is constantly down and the monies spent for the maintenance contract and the other myriad of problems.

Where are all of the brilliant attorneys in Antigua?

“Let’s fix the little things before we attempt to fix the big things.”
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fnpsr

In response to the Author

#24 Milwaukie » 2012-06-28 09:30

Your research should have shown you that the items that need to be change on the engine to allow them to run on LNG are the Cylinder Liners (to a bigger bore), the pistons and the cylinder heads. If you check with MANN Diesel and Turbo I suggest to you ALL engines can do this retrofit. Engine as old as thirty years can so do.
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Milwaukie

to Underworld

#23 the joker » 2012-06-28 09:01

My gosh you are blind. or you can't read. Try again:

Quote:
Six and a half months ago, on the 15th of December, 2011, Caribarena was the first to raise the question, did we receive value for money in the Chinese Power Plant?
How are CA "finally" saying what Gaston is saying if Gaston only woke up this month, while CA have been asking this for over 6 months? take ya gaston loving self back home, come back when you cool off.
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the joker

Re: Milwaukie

#22 caribarena author » 2012-06-28 08:58

Dear Sir,

Thank you for your comment! Firstly, I would like to note that we never claimed that APC can run on LNG. However, when the Government purchased the Wadadli Power plant, that should have been one of their top priorities. They should have looked for engines that will be compatible with LNG, instead of bringing down engines that can only burn HFO or Diesel. That's part of the advantage of buying new, you get the latest technology.

With regards to your challenge, our research indicates the WPP cannot be upgraded to LNG. The Wartsilla plant owned by APC has the option of conversion to LNG. So while you are right that at this very moment they cannot burn LNG, they can be upgraded to do so, an option that the WPP does not have.
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caribarena author

@ Jackie Spence

#21 Vere C. Bird III » 2012-06-28 08:52

Unlike the Vivian Richards Stadium Scandal. H.E. Ambassador Liu Hangming sat down on the 6th February, 2012 at the Baldwin Spencer "Blood & Wine" press conference and said the generators are "new". He should never have attended or when asked at any other time simple have said that is what the Antigua Government chose to purchase. By the Ambassador saying the generators are "new" he has made China and himself fair game in our internal politics because he went and meddled where he should not have. Long Live Antigua!!, Long Live Taiwan!!, Long Live Tibet!!
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Vere C. Bird III

@ THE GODFATHER

#20 DadliMan » 2012-06-28 08:52

Funny you know that the family are blood ** now. Right after the 2004 elections it was your party that named the blood sucker to your Cabinet. He was named as a minister of government even before candidates who won their seats. At that time he could do no wrong. Guess you have no permanent friends.
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DadliMan

prove me wrong.

#19 pedro » 2012-06-28 08:50

The Chinese engines are new in that they are a new addition to the electricity generating system. That's the only way anyone can justiably refer to the engines as new. They are certainly not brand new. Engines cant lie. Which one of you know , or would expect a brand new car to shut down once a week even? These engines will continue to torment the consciences of all those who are party to the cover -up. Time will surely tell , the only problem, it would have cost us much much more.
A car that looks old, consumes excessive lube oil, breaks down every day/week, takes an extraordinarily long time to start and get going, rusty, name plates worn, derated, overheating, can only be a used or old car. An engines in a power plant is no different. It would have been so easy to prove that they are brand new. My last question , can anyone say anything about performance and appearance of those engines that point to the assertion that they are brand new? Party politics really destroying our eyes, minds and consciences. Antiguans arise from your sleep. Please prove me wrong somebody, anybody.
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pedro

valid reason

#18 james c » 2012-06-28 08:50

If the picture on the haeading of the Generator Identification plate is a true picture from one of the APUA Gensets - that itself tells a story! ALL Manufacturers of Generators, trucks & heavy equipment ONLY RIVET the plates on - they do not use removable screws- and for good reason!!
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james c

facts!

#17 Jackie Spence » 2012-06-28 08:48

Let's get the facts straight here:

1) It was Baldwin Spencer who took the Hadeed Group to the then ALP Government to do the Office Complex

2) The ALP brought the Office Complex Agreement to Parliament to be fully debated and voted on

3) Baldwin Spencer voted for the Office Complex Agreement to go through
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Jackie Spence

Milwaukie

#16 tenman » 2012-06-28 08:29

Milwaukie I suspect the author meant natural gas. A recent investigative report by Daily Observer revealed that the WPP did not offer the option of conversation to Natural gas, while the APC plant did. I have heard said that all new HFO plants offer the option of natural gas conversion. If true, it adds credence to the argument that the WPP is an old plant because it does not offer the conversion option.

..
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tenman

Why be Bias''

#15 Martin. » 2012-06-28 08:21

The Govt Office Complex was built with all Antiguan Labor and Material.. NOT Chinese!!
The repayment per square foot is 50% less than your Bencorp at 32m for 8000sq ft.or yor 200m car park .
AT 4.95.ec per sq ft it is cheaper than whats paid to your AMB David and the other cronies!
In fact the Govt will take ownership of the entire complex in 10 year,.You have to pay David rent for life!!!
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Martin.

Straw man

#14 tenman » 2012-06-28 08:21

There is a lie in the suggestion that the APC plant is only owned by Hadeed. It is a BOOT project, and government has equity in it. The payments include added equity. APC cannot sell that plant without involving and compensating government (APUA). The prior government has stated that the same is true for the Government (Hadeed financed) office complex. The BOOT method is simply a financing option almost like a loan. Persons seem to miss that its the Chinese who are operating the WPP(operate), they also (built) the WPP, until the loan is paid they have equity interest in the power plant which makes the arrangement even more similar to a BOOT. Its amazing that persons would today attack BOOT projects as providing no ownership, yet the current government promoted it as a ownership model for the car park and new planned office complex which was to involve State Insurance.
..
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tenman

Time to go

#13 Mr Sabruski » 2012-06-28 08:17

In my humble opinion, after living in Antigua in excess of 30 years, I have never seen any Antiguans stand up and take on the government of the day. You all have bark and no bite. You all are going to keep on barking about this and do nothing. My advise, get out while you can, the governments that are elected, do not give hoot what you all think and you all don't do anything about it. I am about to go. Shut down 4 business' and start somewhere else. time to go. anyway my business' can not work well without reliable electricity.
Time to go.
By the way, who is paying for WPP. APUA or the government?
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Mr Sabruski

RE: WPP - No Value for Money

#12 Milwaukie » 2012-06-28 08:06

I challenge the author of this article to confirm which of the generating plants in this country can run on LNG at the moment. Presently all four power plants can only run on two fuel type, its either HFO (Bunker C) or LFO (#6 Diesel). It requires major capital investment to retrofit any of the present plants here to run on LNG. Please don't attempt to hoodwink the people into believing that while the APC plants can do so the WPP won't be able so to do.
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Milwaukie

@THE GODFATHER

#11 Skyewill » 2012-06-28 08:04

Sir, how do we separate evils? Should we say on evil cancel an evil equal to or a lesser value? While I may agree with you on the other abuses and its effect on the total condition, I would hope, with such great opportunity to serve ones country, to be a part of a life changing experience for an entire culture and nation one would do their utmost to achieve the finest piece of equipment $47 million could buy. You would have to wonder the motive to enter public service if one does not show love for country as to allow the entire country to be buggered. Godfather, what would you do if you had that opportunity? I would give it my absolute best.
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Skyewill

Congrats!

#10 Underworld » 2012-06-28 07:49

Yes Carib Arena I see you now claiming the same concern as Gaston Brown - "value for money"!

This article should have been printed months ago! Then again better late than never!
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Underworld

Why?

#9 Jackie Spence » 2012-06-28 07:46

Dear Bloggers,

I have a great deal of concern when we blame the Chinese for the pitfalls of this purchase by Shoul, Baldwin and others!

The fact is when the Chinese offered to assist in purchasing the power plants, the Government of China only agreed to lend the money. The choice and purchase of these "no value for money" generators was done by Shoul, Baldwin and friends.

It is time we take responsibility for the total "screw up" by those persons we trusted to do the right thing.

Shoul was in charge of the Stadium built by the Chinese Government! I remember Tanney Rose talking about cost over runs on the road, no one blamed the Chinese then - as they shouldn't!

What about the exorbitant prices paid for furnishings on Stadium contracts awarded to some?

Time we hold those accountable to task! Stop making the Chinese "scapegoats"!
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Jackie Spence

Make up are’u mind nah jack

#8 PLM » 2012-06-28 07:16

First, the generators were not new, and after that song and dance flopped, they’re banging on about “value for money”. They’re doing my head in.
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PLM

BIAS IN CONTENT

#7 THE GODFATHER » 2012-06-28 06:31

The 3 E's cannot contrast with the bribery offered to continue the agitation against the WPP in support of private gain. And the foundation of the article while singing the praises of private interest is bias against the accountability and transparency it is promoting.

For example no mention is ever made of the same private group building various office complexes for government at exorbitant rates, renting the public and still controlling them for ever an ever. Are these the same persons now promoted as good citizens, are clearly bloodsucking, exploiting vampires!

No credit should be given to CA's analysis, since it is bias in content!
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THE GODFATHER

Red, Blue & independant?

#6 Skyewill » 2012-06-28 06:25

Did someone con an entire country? Is it worth $47 million? yes/no? YES - prove it, get it appraised. NO - prove it, get it appraised. Appraisal comes back, YES - $47 million - get off the governments back and let get to getting the economy rolling. NO- $5 million, Lord, have mercy. Some body took a big chance in believing Antigua People fooly, We do have our limits.
We need to pack everything back in the box, lok for the receipt, and take that junk back to the store before the 90 days refund policy expire.
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Skyewill

NOT IN A DEMOCRACY

#5 Skyewill » 2012-06-28 06:01

there is one final argument used by Government and APUA officials, that is, that owning an asset increases value as opposed to having it provided by an external provider. When private sector own and operate ventures that provide jobs outside government and take pressure off the taxed and a the same time increase Taxable Incomes, means more money for schools, roads, water systems, health care, the social good. IN THE COMMUNISTS MODEL: Government Owned = low income, people earn $2 per hour sometimes much less. Like I said, there is no problem, all we have to do is go to the people who sold us this piece of junk. Maybe, MAYBE it got mixed up in the box and they shipped the wrong one by accident and the good Power plant is still somewhere in China in another box ready to be shipped to Antigua. It's not working SEND IT BACK! Where is the BBC, CNN, CNBC, MSBC, Anderson Cooper way you dey? I got the biggest story on the planet.
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Skyewill

the environment

#4 Antiguan » 2012-06-28 04:59

The point on the environment is most important . it seems like the most vulnerable countries to green house effects , seems to be the ones that care less. We are actually sinking this country by this very act ,assisting in increasing the incidents of more vicious hurricanes by global worming . This is where we can get international help from environmental pressure groups and have these exchanged for more environmentally friendly engines. Protect our environs, protect our health , protect out children future . We should be looking at more modern and environmentally friendly ways of producing electricity . Remember the Motto :" Whats wrong will be made right and whats right will remain" !
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Antiguan

great article

#3 Antiguan » 2012-06-28 04:38

Quote "If tomorrow the government does not pay ..........they will take the plant away . That is exactly what we need to see happen . My question is < How can this be achieved ?is there any international negatives ? The whole world knows that the Chinese are famous for inferior goods ,from baby milk , toys, medicine , cell phone, power plant. If not vetted properly they will dump rubbish on you . Looks at the street lights ,inferior, high electricity consumption. We need to set and maintain our standards and stop taking rubbish for loans.
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Antiguan

RE: WPP - No Value for Money

#2 Pellucid » 2012-06-28 02:56

Most investments in Antigua sort out to 20-50 cents on the dollar. The only people who made any money since '81 locked in their investments under the British, and have been facing diminishing returns since then. No sane, non-criminal investor has shown up in the last decade or so.

Why is it that Antiguans think that they are the only ones who can get away with theft and inferiority as an industry? Give the Chinese a chance, they may even be able to teach Antiguans a thing or two!!
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Pellucid

RE: WPP - No Value for Money

#1 Pellucid » 2012-06-28 02:36

So what you're saying is that a Chinese generator is worth the same as an Antiguan bank deposit.

Maybe it's time to realize some cost savings by merging APUA and FSRC since they seem equally capable of incompetence!
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Pellucid

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