–continued expansion of renewable energy, upgrading of infrastructure on the cards

TO continue work on substantially improving reliability and reducing the cost of electricity to Guyanese, a total of $88 billion has been set aside for the energy sector in the 2025 National Budget.

This was presented by Senior Minister in the Office of the President with Responsibility for Finance and the Public Service, Dr. Ashni Singh during the 91st sitting of the Twelfth Parliament on Friday.

As he spoke on energy expansion and diversification in the country, Dr Singh noted that the challenges faced by the sector are long-standing and well known; this is something which successive People’s Progressive Party/Civic governments have tried earnestly to address and find lasting solutions

The Minister highlighted that significant strides have been made in this regard since the PPP/C re-entered office in 2020.
Dr. Singh noted that the Amaila Falls Hydro project would have formed a critical element of a comprehensive solution to this problem. However, history has recorded that this project was derailed by the APNU+AFC administration.

This project, he said, would have been providing some 165 megawatts of power to the national grid currently.
“During 2015-2020 and it is important that this be recalled and recorded and that we all remind ourselves of it during 2015-2020, the electricity sector like every other sector faced the consequences of the APNU+AFC’s lack of vision and gross incompetence,” he said.

No significant solutions to the country’s power problem were identified much less initiated, even as he mentioned that no significant expansion was made to the generating capacity of the national grid while over $10.3 billion was spent in the APNU+AFC’s term.
This, he revealed, is the situation the PPP/C government found when they entered office in 2020.

He added, “In response to the growing demand for electricity generation because the economy is growing as rapidly as it is, within the first four years of our current term, we added over 171 megawatts of new generating capacity.”

Against this backdrop, he mentioned that the government upon entering office, operationalised the 46.5 mw plant at Garden of Eden which the former administration scrambled and illegally purchased but could not deliver.

Further, the government also installed 28.9 MW of power at the Columbia substation and even sourced more than 96 MW of power from two power ships.

“Additionally, we upgraded 2,827 transformers and the Canefield substation, installed 1,354 new transformers and constructed approximately 2,800 km of distribution network. Further, we expanded access to electricity by adding approximately 1,000 new households in 17 previously unserved areas and commenced works on the 10 MW solar farms in Berbice, eight MW solar farms in Essequibo and a 0.6 MW solar farm in Leguan,” Dr. Singh said.

He also told the National Assembly that access to electricity has been expanded by the adding of approximately 1,000 new households in 17 previously unserved areas and further commenced works on solar farms in Berbice, Essequibo and Linden.

While he added that the APNUAFC failed to identify a single long-term solution to the historic and well known electricity problem, the PPP/C administration upon entering office in 2020 commenced work on the transformational flagship 300 MW Gas to Energy project.

That project in its first phase, Dr. Singh said, entails five components: the combined cycle power plant, the NGL plant, transmission lines and a new control centre all of which are scheduled to be completed in 2025 bringing online the simple cycle for the project, significantly increasing availability and improving the affordability and reliability of energy.

However, looking ahead, he indicated that the government has already initiated phase two of the Gas to Energy Project which will see an additional 250 megawatts combined cycle power plant constructed and electricity supplied to the Guyana Power and Light Inc. (GPL) likely under a power purchase agreement.

The request for proposals for this, he said, was launched in 2024 and the government anticipates the concluding of this agreement in 2025 with completion to follow some two years thereafter.

Further, the government, Dr. Singh said, is also investing in the transmission and distribution networks to ensure that GPL’s systems can offtake the power that will be produced by the GTE project.

Key elements, Dr. Singh noted include, the construction of 155 km of double circuit transmission lines, 114km of 69kv lines and 343 km of distribution lines and currently upgrading several 69 kv substations.

Meanwhile, he indicated that in relation to improving electricity in the hinterland, over the last four years, the government has installed 35 solar mini grids and over 36 LED lights and has also distributed over 30,000 solar panels.

Further, they have commissioned a 1.5 MW solar farm at Bartica, a one MW solar farm at Lethem, and a 0.5 MW solar farm at Mahdia.
He noted several projects which brought in the use of hydropower, solar power and other means of renewable energy as well as addressing previously existing power woes.

Against this backdrop, Dr. Singh said that in 2025, the government will continue to work on renewable initiatives, operationalising hydropower plants in Kato and Kumu and further completing solar farms in Berbice, Essequibo and Linden, among other things.

“We will commence construction of the 15 MW farm in Linden, we will upgrade distribution networks in Mabaruma, Matthews Ridge and Port Kaituma. We will develop a 450 KW wind farm in Leguan, we will distribute an additional 7,230 solar panels in hinterland communities for the benefit of our Amerindian brothers and sisters,” he said.

Dr Singh added that the delivery of these projects will improve reliability and reduce the cost of electricity.
As he reflected on 2024, he indicated that the substantial expenditure made on the Gas to Energy project, some $136.1 billion was spent in 2024. However, in 2025, a further $88 billion is budgeted to continue this work.