Japanese study said gas to power viable

By Marcelle Thomas On In Guyana News |
The study, undertaken by the Mitsubishi Corporation and its affiliate Chiyoda Corporation in collaboration with the Government of Japan, favours the development of an offshore power plant such as this floating design (Image: Mitsubishi Heavy Industries)
The study, undertaken by the Mitsubishi Corporation and its affiliate Chiyoda Corporation in collaboration with the Government of Japan, favours the development of an offshore power plant such as this floating design (Image: Mitsubishi Heavy Industries)

An oil and gas masterplan for Guyana done by the Government of Japan had concluded in 2019 that a gas to power solution based on the country’s petroleum operations is economically viable but it leaned heavily in favour of an offshore facility rather than an onshore plant.

The plan, completed in 2019 and given to the David Granger APNU+AFC administration, comprised analyses for both onshore and floating gas-to-power plants. It projected a power selling price for the onshore plant at 6.93 cents (US) per KWH compared to 7.11 cents (US) per KWH for the offshore facility.

The figures listed in the report reflect a significantly lower tariff than the current electricity rate, given as US 32 cents per KWH. The report highlighted that the decision on having an onshore or an offshore facility would be left entirely up to the country.