Growing electricity demand an ‘offshoot of development’
President Dr. Irfaan Ali
President Dr. Irfaan Ali

– President Ali says; highlights GPL is currently working above electricity demand
– says gov’t in ‘deep discussion’ to plan for future peak

IN the wake of Guyana’s unprecedented development, the electricity demand has been on the rise. However, the government is in pursuit of ensuring that this growing demand is satisfied.
While the Guyana Power and Light Incorporated (GPL) has made a significant breakthrough with the attainment of a pivotal power supply ship, President Dr. Irfaan Ali said that already discussions are ongoing to plan for the future peak in demand.

During a press conference at State House on Thursday last, the Head of State highlighted that, because of Guyana’s rapid economic growth, there will be a surge in the need for energy.
He noted that because of the power supply ship, the nation, for the first time in months, has surpassed its electricity demand.
“GPL’s generation capacity now is at 192 megawatts. The current peak demand is 178 megawatts… We’re ahead of the peak demand,” President Ali said, explaining that the 36 megawatts from the power supply ship has assisted in achieving this.

“By the end of this year, we have an expected growth in the demand with 232 megawatts.”
In this regard, he said that while the power supply ship has provided some ease, Guyana’s exponential growth has contributed to the system’s evolvement and, as a result, the demand will continue to rise. With that said, Dr Ali noted that there has to be planning to ensure that the future capacity is met.

“Now we expect this to be far different because when we reduce the cost of electricity, which we will, that growth will even grow further because everybody who is off the grid will come on the grid. So right now, we are in deep discussion on how we’re going to ensure that we pre-plan for the type of growth that will take place.”

The power ship which is providing 36 megawatts (MW) of power to GPL

The People’s Progressive Party/Civic (PPP/C) government has not placed all of its eggs in one basket as the government has been mulling several projects to aid in bolstering the energy transformation.
And while the President noted that the gas-to-energy project at Wales, Essequibo Islands-West Demerara (Region Three) will provide a series of benefits, such as reducing electricity costs significantly, the PPP/C administration is currently at the drawing board crafting more plans to better the lives of Guyanese.

Notably, the gas-to-energy project will see a 200-km, 12-inch-diametre pipeline channeling natural gas from the Liza Phase One and Liza Phase Two Floating, Production, Storage, and Offloading (FPSO) vessels to a power plant and Natural Gas Liquids (NGL) facility that will be built in Wales.

ExxonMobil’s local affiliate, Esso Exploration, and Production Guyana Limited (EEPGL), the operator in the Stabroek Block, and its co-venturers are constructing the pipeline.
That pipeline will land on the West Coast Demerara shore, and continue approximately 25 kilometres to the NGL and power-plant facilities. It has an estimated cost of US$1 billion and is cost-recoverable.
In December 2022, the Government of Guyana and US-based integrated energy solutions group, LINDSAYCA, in partnership with a local firm, CH4 Group, signed a US$759 million contract for the construction of the power plant and NGL facilities.

The conversion of natural gas from ExxonMobil’s offshore operations to electricity is a key component of the PPP/C government’s objective to lower energy costs by at least 50 per cent through an energy mix, which incorporates gas, solar, wind, and “hydro” power.

Even with the power plant on-stream and the additional power that is currently available, the President said that, by the end of next year, the demand will still rise.

The Head of State later disclosed that the government is currently evaluating the feasibility of a second major gas initiative to complement the ongoing Gas to Energy project. He also urged for public education to curb the wastage of energy.

The Head of State said: “We have to look at educating the public, because one of the things you see in countries is that when the cost of energy comes down, there is a waste of energy…we have to start very early…on how we educate the public on the efficient and effective use of power.”

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