(Fadian, Guam) - Guam Power Authority (GPA), government leaders, Korean energy executives, military representatives, Guam CCU & PUC commissioners, contractors, engineers, and regional stakeholders gathered yesterday for a three-part ceremony marking the official commissioning of the Guam Ukudu 198-megawatt Combined-Cycle Power Plant, one of the largest and most significant infrastructure projects in Guam’s modern history.

The day-long event began with formal remarks and presentations at the Dusit Thani Resort Guam in Tumon, followed by a ribbon-cutting ceremony and guided tour at the Ukudu Power Plant in Dededo, before concluding with a hosted luncheon back at the Dusit Thani Resort Guam.

The approximately $600 million project was developed through a public-private partnership involving Guam Ukudu Power LLC, a consortium led by Korea Electric Power Corporation (KEPCO) and Korea East-West Power (EWP), under a long-term Energy Conversion Agreement with GPA.

The facility represents a major transition away from Guam’s aging legacy baseload infrastructure and is expected to play a central role in strengthening Guam’s long-term energy reliability, resiliency, and operational efficiency.

Governor Lourdes A. Leon Guerrero, Lieutenant Governor Joshua F. Tenorio, GPA General Manager John M. Benavente, P.E., CCU Chairman Francis Santos, KEPCO President and CEO Dong Cheol Kim, Myung Ho Kwon, Korea East-West Power Co., Ltd., President and CEO, joined local and international partners in commemorating the milestone.

“This project is about reliability, resiliency, affordability on a sustained basis, which supports Guam’s energy roadmap for the future,” said GPA General Manager John M. Benavente, P.E.

“For years, GPA has worked to move away from an aging and increasingly vulnerable generation system. Ukudu Power Plant represents the foundation for the next generation of Guam’s power infrastructure,” stated Benavente.

“We are pleased to mark this important milestone in the Ukudu Power Project, which reflects the strong collaboration between all stakeholders. This achievement would not have been possible without the continued support and commitment of our partners. We remain fully committed to ensuring the successful completion and reliable operation of the project in support of Guam’s long-term energy need,” said Guam Ukudu Power CEO Han Jae Suk.

Planning and board approval for modernization of Guam’s baseload generation system date back to 2012. Major project development activities accelerated after contract award and financing approvals later in the decade, with construction continuing through the COVID-19 pandemic, global supply-chain disruptions, Typhoon Mawar recovery operations, and significant industry-wide inflationary pressures.

The new combined-cycle facility utilizes advanced generation technology that captures and reuses heat generated during the production process, significantly improving fuel efficiency compared to older conventional fuel-oil generation systems.

The Ukudu plant is capable of supporting approximately 75 percent of Guam’s peak baseload power demand and is projected to reduce annual fuel-oil consumption by nearly one million barrels per year. Officials estimate the modernization effort could reduce fuel-related operating costs by approximately $100 million annually over time, while improving grid stability and reducing dependence on aging infrastructure.

The facility was also designed with future liquefied natural gas (LNG) conversion capability and includes integrated battery energy storage systems intended to support GPA’s expanding renewable energy portfolio and Guam’s long-term clean energy transition goals.

The commissioning of the Ukudu Power Plant also supports GPA’s broader modernization strategy involving underground infrastructure hardening, renewable energy integration, workforce development, apprenticeship expansion, and long-term grid resiliency improvements.

At the ribbon cutting ceremony, Lieutenant Governor Joshua Tenorio described the project as one of the most important infrastructure modernization efforts undertaken by Guam in generations. “This facility represents Guam’s ability to think long-term, build strategically, and create partnerships that strengthen our island’s future,” Tenorio said.

CCU Chairman Francis Santos reflected on the years of planning, regulatory approvals, financing discussions, and public scrutiny required to bring the project to completion. “This was not an overnight project,” Santos said. “This took vision, persistence, and years of commitment from GPA employees, commissioners, engineers, contractors, and our international partners.”

The site ceremony in Dededo included the formal ribbon-cutting, recognition of project partners, and a traditional blessing of the facility. The Ukudu Power Plant is the cornerstone of Guam’s future energy needs and reinforces the island’s strategic importance throughout the Indo-Pacific region.