LETTER: APUA Pays, Private Interests Profit: Where Is the Accountability?

A concerned resident of Antigua and Barbuda has raised a series of explosive, public interest-driven questions about a newly approved navigation infrastructure upgrade for Crabbs Channel, tied to a forthcoming liquefied natural gas (LNG) plant on Crabbs Peninsula, claiming the entire arrangement prioritizes massive private profits for a well-connected Syrian family over the financial and national security interests of the state and public shareholders.

The dredging work at the channel was explicitly carried out to clear passage for LNG tankers delivering fuel to the new facility, but the whistleblower argues the financial structure of the project has already placed unfair burden on public coffers. The core controversy centers on why Antigua Public Utilities Authority (APUA), a state-owned utility, has been assigned to cover the full cost of dredging, when a private consortium of companies behind the LNG venture stands to rake in hundreds of millions, and potentially billions, in long-term profits from the project. The whistleblower first learned of the public funding arrangement through a family member who operates heavy construction equipment involved in the dredging work.

Further, the writer questions why West Indies Oil Company (WIOC), in which the Antigua and Barbuda government holds a majority stake, was entirely sidelined from the $100 million joint venture between Eagle LNG and Antigua Power Company Limited (APCL), a project that could have delivered decades of consistent, substantial public profits to state shareholders. Under the current structure, the writer notes, WIOC holds no role in LNG supply, so all major profits from the operating plant will flow directly to the private family behind APCL, rather than benefiting the public.

Digging into the long-standing relationship between APUA and APCL, the writer uncovered a pattern of one-sided concessions that have put public finances under sustained strain for decades. APCL has operated as an independent power producer in the country for more than 25 years, and confirmation from an industry insider revealed that APCL supplies 100% of the fuel-generated power purchased by APUA – a revelation that prompted the writer to conduct independent fact-checking against public records.

Public records confirm that the 30-megawatt Wadadli Power Plant (WPP), built and funded via a cooperation agreement with the People’s Republic of China and commissioned in 2011 by APUA, was permanently abandoned by the authority in 2020. APUA officially justified the shutdown by claiming the plant was economically unviable compared to purchasing power from private providers like APCL, leaving the country with no public fuel-powered generation capacity. Even more concerning, the writer notes that publicly reported negotiations to recover compensation for the failed public investment have been described as “tricky,” leaving taxpayers on the hook for a stranded asset.

This discovery led to a further bombshell confirmation: when APUA purchases fuel for power generation, those fuel deliveries are not for the utility’s own plants – they are delivered directly to APCL, for use in APCL’s private generating facilities. This arrangement is explicitly confirmed in an official 2012 APUA press statement, which also outlines the sweeping concessions granted to APCL by the Antiguan government in a 2003 Cabinet amendment.

Per the 2003 agreement, APCL was permitted to expand its generation capacity with a $28 million investment in new engines, with the contract extended to a 15-year term. APUA was contractually obligated to purchase a guaranteed minimum amount of power from APCL every year, with a mandatory 1% annual inflation increase to the per-kilowatt cost of energy. Most critically, the agreement requires APUA to supply all fuel for APCL’s operations, while APCL receives a 15-year exemption from customs duties, consumption tax, corporate income tax, and withholding taxes. The company is also permitted to repatriate all profits out of the country tax-free, receives duty exemptions on vehicle imports, and is granted automatic work permits for all expatriate staff hired for the project.

Strikingly, these concessions were approved just one year after the public Wadadli Power Plant was commissioned, setting the stage for the eventual abandonment of the public facility. The 2012 APUA statement also documents a shocking act of coercion by APCL: when APUA fell behind on contracted payments amid severe financial strain, APCL threatened to, and ultimately did, suspend all power generation incrementally at its Crabbs Peninsula facilities, effectively holding the country’s entire electricity supply hostage over a $36.8 million Eastern Caribbean dollar debt. Despite APUA paying more than EC $42 million toward the debt in the aftermath of the threat, plus a 12% interest charge on the outstanding balance, the government opted to maintain the existing contract rather than pursue public development of independent generation capacity.

The writer notes that when questions were raised about whether APUA ever had a path to acquire ownership of APCL, conversations became awkward and abruptly ended, leaving critical questions unanswered. Now, the same connected private interests are moving forward with the new LNG project, with APUA once again shouldering major public costs for infrastructure that will primarily benefit private profit.

The writer emphasizes that these questions are not trivial: they touch on the responsible management of public funds, national energy security, the governance of state-owned enterprises, and the long-term financial well-being of all residents of Antigua and Barbuda. The letter calls for immediate public accountability, demanding that the Prime Minister, Minister for Energy and Utilities, and APUA CEO be summoned to answer questions about how these agreements were negotiated, what independent assessments were conducted, whether alternative public options were properly considered, and what tangible benefits the project will deliver to WIOC, the government, and the general public.

Declaring that critical national infrastructure including electricity supply, fuel resources, and port facilities is too important to be handled behind closed doors for private gain, the writer argues that the public deserves proactive transparency before major decisions are made, meaningful accountability when public resources are committed, and a fair share of returns on investments made in the name of the Antiguan people. The letter concludes with a direct demand for immediate answers from public officials.