GUYANA needs a sustainable model of resource exploitation and extraction in order to arrest the depletion of its natural assets so that these assets will also be available to future generations. A ‘green’ economy is necessary to ensure the sustainable management of our natural resources and assets. A ‘green’ economy is needed to wean this country off of its addiction to fossil fuels.

On this week’s Government in Action, we will take a look at the pursuit of Guyana’s ‘green’ economy; the push for renewable energy such as solar, wind and hydro and how the lives of ordinary Guyanese will be impacted as this small South American nation exploits its natural resources sustainably, creates jobs and ensures full access to public health.

THE ‘GREEN’ STATE
As it stands, the country is aggressively pursuing a Green State Development Strategy (GSDS), which is aimed at building greater economic resilience by diversifying production and reducing our dependence on fossil fuels and generating renewable energy from a number of sources, including biomass, hydro, solar and wind.

It goes without saying then, that the delicate balance between the extractive industries, including the emerging petroleum industry, and the commitment to green development must be clearly defined and maintained.

Moreover, the Green Development Strategy will add value to production through cleaner, cheaper and renewable energy generation. The country is committed to moving towards 100 per cent renewable power supply by 2025, thereby reducing our exposure to the volatilities of oil markets.

President David Granger, speaking at the opening of the Green State Development Strategy (GSDS) Multi-Stakeholder Expert Group in November 2017, said that the GSDS is expected to build greater economic resilience by diversifying production, reducing the country’s dependence on fossil fuels, generating renewable energy and emphasise low-carbon manufacturing.

“It will add value to production through cleaner, cheaper and renewable energy generation and propose plans to move closer towards the goal of full renewable energy by the year 2025, thereby reducing our exposure to the volatilities of oil markets. The Green State Development Strategy will define the purpose, principles, policies and the processes, which will guide our path towards becoming a ‘green state’. A better understanding of the need for a strategy requires an appreciation of the rationale behind the ‘green’ state,” he said.

THE ‘GREEN’ STATE AND RENEWABLE ENERGY
A ‘green’ state is inseparable from the pursuit of renewable energy sources. As a signatory to the Paris Agreement under the United Nations Framework Convention on Climate Change (UNFCCC), Guyana has a responsibility to ensure that it has 100 per cent renewable energy supply by 2025.

Minister of Finance Mr. Winston Jordan in his 2018 Budget presentation, said that the Government of Guyana is cognisant of this obligation and intends to fully honour this commitment to the people and the world. The government, he said, will continue to prioritise interventions in solar, hydropower and other renewable sources, as well as energy-efficient technologies.

“Government continues to explore our options for realising substantial conversion to renewable sources by 2025. Evidently, hydropower continues to be an integral part of the renewable options. However, government has already expressed deep and open reservations about the Amalia Falls Hydropower Project being the primary hydropower solution.

In addition to unresolved technical, cost, environmental and other issues, the main sponsor, Sithe Global, has withdrawn from the project. Government has opted, therefore, for a comprehensive energy mix with natural gas being actively considered as a prime component. In the meantime, we are currently examining the feasibility of hydropower projects at Kumu Falls and Moco Moco Falls; together, they are anticipated to generate sufficient power to meet the demands of planned households and industrial zones within the immediate and surrounding communities,” the minister said.

This commitment has led to the construction of Guyana’s first ever solar farm in Mabaruma, Barima-Waini Region, which is expected to become operational in August of this year, while feasibility studies have commenced for the establishment of solar farms in Port Kaituma and Bartica.

In keeping with our Green State Development Strategy (GSDS), a number of projects, amounting to approximately US$7.7 billion are slated to be undertaken during this year and will be completed by 2020.

Minister of Public Infrastructure Mr. David Patterson, at the Post Cabinet press briefing held on June 8, 2018 at the Ministry of the Presidency, announced that several renewable energy projects involving solar, wind and hydropower with a production capacity of 30 megawatts will soon commence. According to Minister Patterson, renewable energy projects will be constructed in the three new capital towns, Bartica, Lethem and Mabaruma, as well as Mahdia and several interior locations.

He noted that by the end of 2018, government would have installed about five megawatts of renewable energy. “That is a commendable feat coming from 2015 with zero. By the end of 2020, when all of the projects would have (been) completed there will be about 29 to 30 megawatts. So, we are well on our way to achieving our target…,” Minister Patterson said.

Starting off with the township of Bartica, he announced that a 1.5-megawatt solar farm, with storage, will be installed through a US$3.87 million loan from the Inter-American Development Bank (IDB). The project, he said, will start later this year and should be completed in 18 months. The feasibility study for this project has been completed.

Additionally, a one-megawatt micro-hydro project will be constructed in an area just below Bartica through the Guyana REDD+ Investment Fund (GRIF), to the tune of US$5.22 million. The period for this project is 2.5 years. Minister Patterson said that at the moment, technical and economic assessments are being conducted at this site and noted that it has been determined that additional topographical surveys will have to be done.

“For Lethem, he said, a one-megawatt farm with storage will be constructed through a US$2.6 million IDB loan. This project should be completed in 18 months,” the Public Infrastructure Minister said.

Minister Patterson noted that government also plans to install a dual hydro system for Lethem, totalling 2.2 megawatts at Moco Moco and Kumu Falls. The grant funding, he said, will come from UAE/GRIF. The total investment for Moco Moco is US$2.2 million while for Kumu it is US$6.42 million. The time frame for project completion, he noted, will be two and a half years.

A site visit to Moco Moco is scheduled for the near future and a geotechnical study, which is funded by the IDB, is presently ongoing. That report is expected in the third quarter of this year.

“With regards to Mahdia, a Photovoltaic (PV) system will be installed at a cost of US$1.8 million over an 18-month period, with the commencement date being later this year. Funding will be provided by the IDB. The 2.2-megawatt Tumatumari hydro project is also on the cards.

At the moment the project is with a private developer, Tumatumari Holding Inc., which had pegged the investment cost at US$4.4 million. It has been with them for quite a while. They said that they are about to do financial closure. We have given them up to the end of July 2018, to reach financial closure with their investor,” Minister Patterson said.

Additionally, a micro hydropower (0.02 megawatt) station, funded through the national budget (approximately US$200,000), will also be installed for the benefit of the residents of Mabaruma. This small project will commence in the third quarter of this year and should be finished by mid-2019.

In addition, a utility-scale, four-megawatt PV system, outfitted with a substation, funded through a grant from the Chinese government, will be initiated later this year on the West Coast Berbice. The feasibility study is being conducted at the moment and the Memorandum of Understanding (MoU) has already been signed.

Kato, in the Upper Takutu-Upper Essequibo (Region Nine), will also benefit. According to the Minister, a 0.1-megawatt hydro project, costing US$2 million, which is being provided by the IDB, will commence once the weather improves. The government, Guyana Energy Agency (GEA) and a private developer are partnering to complete this project.

“The Hope Beach Wind Farm project, which is being funded by the private sector will take about two years to be completed. At the moment there is a draft agreement that is being reviewed by the developer and the size and design of the substation is the only outstanding matter. Once an agreement is reached with GPL on these matters, the final agreement will be made so that the project can commence,” he said.

Minister Patterson also noted that funding has been secured for solar farm projects at Port Kaituma, 0.6 megawatts; Kwakwani, 1 megawatt; and Matthews Ridge, 0.4 megawatts. Kwakwani will cost US$2.6 million, Port Kaituma US$1.8 million and Matthews Ridge US$2 million.

Following the President’s visit to India in February, Guyana is now a member of the International Solar Alliance and has a US$15 million line of credit at its disposal. The Minister said that the plan is to use some of this money to equip Indigenous villages with renewable energy. The Ministry of Indigenous Peoples’ Affairs and the Ministry of Communities have been tasked with identifying the villages that will benefit from this funding and it is anticipated that about 4 megawatts of electricity will become available under this programme.

Government buildings, including ministries, schools, and health centres, are being outfitted with solar photovoltaic panels, to reduce Government’s dependence on the national grid. To date, 70 buildings have been equipped with such panels, resulting in a 1.86 gigawatt of power savings. In 2018, another 74 buildings will be outfitted. Government is also implementing an energy efficiency programme. So far 10,427 LED lamps and 3,766 motion-sensors across 46 buildings were installed in 2017 and, in 2018, an additional 10,610 lamps and 1,486 motion sensors will be placed.

Additionally, through funding from the Italian Government in the amount of US$650,000, a project was launched earlier this year with the aim of establishing a reliable point of reference for the existing state of energy use in Bartica. Further, in collaboration with the United Nations Development Programme (UNDP) on July 13, 2017, the Japan-Caribbean Climate Change Partnership (J-CCCP) was launched in the town.

Through that initiative, the town benefitted from the installation of a 20Kwp grid connected Solar Photovoltaic (PV) system at the 3-Mile Secondary School along with the installation of energy-efficient lighting, as well as light-emitting diode (LED) street lighting. The Partnership was funded by the Government of Japan to the tune of US $15 million and supports countries in advancing the process of improving energy security planning for adaptation to climate change.

Guyana is determined to become a leader in the combating of climate change and global warming by becoming the first ‘green’ state in the Caribbean and South America. There is no doubt that the present administration is not only determined to honour its commitment under the Paris Agreement and the Green State Development Strategy but is also adamant that a more sustainable world must be created for future generations to inherit.