THE Auditor General of Guyana, Deodat Sharma, has validated the government’s expenditure of $80 billion in 2024 on the transformative Gas-to-Energy project, according to his latest report. The funds were used to implement key components of the project, which is central to Guyana’s energy strategy.
The report highlights that the bulk of the spending was allocated to critical infrastructure, including: $68.021 billion for the construction of the integrated Natural Gas Liquids (NGL) facility and power plant at Wales; $16.288 billion for transmission lines and substations; and $2.601 billion for project management consultancy services.
Smaller allocations covered transformers, Guyana Power and Light components, legal services, and other associated costs, bringing the total project expenditure to $105.301 billion.
Set to come on stream in 2026, the Gas-to-Energy project will transport natural gas from the offshore Stabroek Block’s Liza oilfield to an integrated facility at Wales, which will include a natural gas-fired power plant and an NGL processing plant. The initiative is expected to deliver both dry gas and NGLs, significantly boosting energy output and reducing electricity costs.
Phase 1 of the project will generate 300 megawatts (MW) of electricity, helping to address power shortages and cut consumer electricity costs by an estimated 50 per cent. Procurement for Phase II, which will add an additional 300 MW of power, is already underway.
The project is also designed to replace imported heavy fuel oil with domestic natural gas, lowering emissions and enhancing power stability across the country.
The Auditor General’s report confirming satisfactory and prudent expenditure underscores the government’s fiscal discipline and strategic approach to energy development, providing a solid foundation for sustainable energy and economic growth in Guyana.