PEOPLE’S Progressive Party (PPP) General Secretary Dr Bharrat Jagdeo has said that an important aspect of the ongoing transformation of Guyana is the modernisation of the local power grid.
In a bid to ensure this vision is soon realised, the government has been actively pursuing initiatives such as the gas-to-energy project in order to give Guyanese cheaper and reliable electricity.
Dr Jagdeo, during a press conference last Thursday, highlighted the advancements while responding to a question regarding the evolution of the capital budget.

He first said that a lot of oil-producing countries make the mistake of increasing their recurrent budget, and this results in prices falling and states being stuck with high costs and welfare loss.
This is something which Guyana will avoid, Dr Jagdeo said, as the PPP has studied this over the years and will not make the same mistakes.
The PPP General Secretary also said that as major projects such as the new Demerara River Bridge come on stream, it will come off of the budget and also contribute to the enhancement of citizens’ lives.
Dr Jagdeo said: “And so these are big items that we are carrying now that will come off of our budget in the future. That will give us a bit more room to focus more on welfare and people’s benefits and other things. But right now we need them. We need stable, cheap power, so we are making the investments now.”

He later said: “Once the big projects come off…You can do all sorts of things, you know, in a modern grid… but you can’t modernise this country without modernising the grid.”
The government is making significant advancements towards the realisation of a more cost-effective and dependable electricity infrastructure in Guyana as last Tuesday, during a simple ceremony, the government signed a US$8.6 million contract for the establishment of a national control centre, which is a key component of the project.

Power China Caribbean was awarded the contract, and the completion of the centre is anticipated within 384 days.
The agreement was officially signed at the Office of the Prime Minister (OPM), with Chief Representative Dan Shen signing on behalf of Power China Caribbean, and OPM’s Permanent Secretary Alfred King signing on behalf of the government.
Kesh Nandlall, who holds the position of Head of the Executive Management Committee at Guyana Power and Light Inc. (GPL), observed the signing.

The equipment for the Supervisory Control and Data Acquisition/Energy Management Systems/Generation Management System (SCADA/EMS/GMS) will be housed in the facility once it is finished.
Together with CNOOC and Hess, its co-venture partners on the Stabroek Block, ExxonMobil is working with the Government of Guyana to advance the gas-to-energy project.
The gas-to-energy project will see a 200-km, 12-inch diameter pipeline channelling natural gas from the Liza Phase One and Liza Phase Two Floating, Production, Storage, and Offloading (FPSO) vessels to a power plant Natural Gas Liquids (NGL) facility that will be built in Wales, West Bank Demerara (WBD).

That pipeline will be landing on the West Coast of Demerara (WCD) shore and continue approximately 25 kilometres to the NGL and power-plant facilities.
It has an estimated total cost of US$1.8 billion and is cost recoverable. The power plant and NGL facilities will be funded by the government.
In December 2022, the government and US-based integrated energy solutions group – LINDSAYCA – in partnership with a local firm – CH4 Group – signed a US$759 million contract for construction of the facilities.
The conversion of natural gas from ExxonMobil’s offshore operations to electricity is a key component of the government’s objective to lower energy costs by at least 50 per cent through an energy mix which incorporates gas, solar, wind, and hydropower.
As major groundwork continues for the project, it is expected to be up and running by the first half of 2025 and has a 25-year lifespan.