PHILIPSBURG — The Government of St. Maarten and N.V. GEBE have signed purchase and lease agreements supporting the acquisition of new electricity generators, advancing a major investment in the country’s power supply. Together with GEBE’s equipment supply and construction contracts with Wärtsilä, the agreements move the project from procurement and preparation into implementation.
The project provides for three new generators with a combined output of approximately 27 megawatts at GEBE’s Cay Bay power plant. The additional generation capacity is intended to strengthen electricity reliability following the blackouts and load-shedding schedules that disrupted households, businesses and essential services.
Prime Minister Dr. Luc F. E. Mercelina said the hardship experienced across the country reinforced the urgency of securing a lasting response to the generation shortages.
“Our people experienced the strain of planning their lives around load-shedding schedules and coping with unexpected blackouts. Families endured uncomfortable nights, businesses faced interruptions and additional costs, and essential services came under pressure,” the Prime Minister stated. “Those experiences demanded sustained action. Advancing this project has been a priority for me, and today’s signing brings us an important step closer to the dependable electricity supply our country deserves.”
Through his coordination role, Prime Minister Mercelina helped maintain Government’s focus on the project and advance cooperation among the stakeholders responsible for its preparation, procurement and financing. He emphasized that reaching this milestone required a collective effort.
“My responsibility has been to keep this matter firmly on Government’s agenda, bring the relevant parties together and help move the necessary decisions forward,” Prime Minister Mercelina said. “Today’s achievement belongs to everyone who worked to bring these arrangements together. I thank my colleagues in the Council of Ministers, GEBE, the Ministry of Finance, VROMI, the Project Committee, the NRPB and our partners in the Netherlands for their contributions.”
Under the purchase and lease arrangements, Government will finance two generators and related equipment and services. Government will acquire ownership of those assets and lease them to GEBE, which will operate and maintain them.
The Prime Minister acknowledged the Netherlands’ support through the loan for Government’s acquisition of the generators and the grant supporting project preparation and implementation. He also recognized the Council of Ministers’ support and the Ministry of Finance’s cooperation in advancing the financial arrangements.
The procurement requirements were approved by both N.V. GEBE and the Government. The evaluation was conducted by experts from both organizations, with support from an independent technical expert.
Prime Minister Mercelina expressed appreciation to the Project Committee, the Committee Sustainable Energy Supply and the National Recovery Program Bureau (NRPB) for their work in bringing the project through its preparation and procurement stages. Their assignments in relation to this project will conclude after their remaining closure activities have been completed.
N.V. GEBE will lead the implementation. The Ministry of Public Housing, Spatial Planning, Environment and Infrastructure (VROMI) will assume the relevant Government coordination and continued concession-oversight role.
Implementation will proceed through the applicable contractual requirements, permitting, site preparation, equipment supply, installation and commissioning. The signing is therefore a significant milestone towards additional operational capacity, with further work required before the generators begin supplying electricity.
“We must now carry this project forward with the urgency that our people’s experience demands and the accountability that a public investment of this scale requires,” Prime Minister Mercelina emphasized. “GEBE will lead the implementation, supported by clear Government coordination through VROMI. Our measure of success will be the difference this investment makes in people’s daily lives: fewer disruptions and a more dependable electricity supply for St. Maarten.”
