By Lakhram Bhagirat
Prime Minister Mark Phillips is of the view that in order for Guyana and the wider Caribbean to successfully transition to more sustainable energy sources significant systemic changes would be required.
Speaking at the international oil and gas expo held at the Georgetown Marriott Hotel in Kingston, Prime Minister Phillips yesterday contended that the energy transition that the world is advocating for would require a global shift from fossil-based to zero-carbon energy resources in order to reduce carbon dioxide emissions and limit climate change.
He added that with more than 760 million people in the world experiencing a lack of access to electricity, clean energy solutions present a promising prospect for providing improved services to vulnerable groups. Improved services translate to increased opportunities for enhanced lives and livelihoods, the Prime Minister said.
“Today the world’s energy sector is still significantly influenced by fossil fuels. Globally, some 73% of human-generated greenhouse gas emissions result from the burning of fossil fuels for electricity, transportation and heating. Governments must now work overtime to find real solutions by 2030.
“Even as we aim towards these goals amid the ongoing COVID-19 pandemic, we must acknowledge that this global complication has certainly exposed the weaknesses within every sector and energy is no exception,” he said.
He explained that the achievement of affordable and clean energy, as outlined in Sustainable Development Goal #7, will significantly improve the lives of those considered to be energy poor but “embarking on solutions like energy transition requires strategic and systemic changes at the national, regional and international level. The changes involved will undoubtedly affect not only our people but our sectors and regions.”
The Guyanese Prime Minister noted that the Caribbean is one of the most energy import-dependent regions in the world with some of the highest prices for electricity. He said that the energy costs can considerably affect the region’s economic and social development, particularly among vulnerable populations.
Citing a recent Caribbean Development Bank report for energy transition, Philips said that solutions for transitioning to a climate-neutral economy must reflect both the differences and similarities within countries while delivering on the SDGs.
“Regions must develop solutions among all stakeholders that effectively anticipate and manage this transition and its effects on our societies. Clean energy and energy efficiency continue to play an essential part in Guyana’s energy transformation. Govern-ment of Guyana remains committed to providing affordable, stable and reliable energy to benefit all while reducing the country’s dependence on imported fossil fuels for electricity generation,” Phillips stated.
Referencing the government’s revised Low Carbon Develop-ment Strategy (LCDS) 2030, the PM said government is currently embarking on its commitment to achieving a low carbon economy and advancing the transition away from conventional energy sources. He further related that the new path is more geared towards the expansion of renewable and clean energy with the incorporation of alternative power sources like solar, hydro, wind natural gas and biomass.
“Under the strategy, we will advance an energy mix that will lead to more than 500 megawatts of newly installed capacity over the next five years. Among the projects to be implemented, as part of our energy transition is the highly anticipated gas-to-energy project. This project will provide some 300 megawatts of power to the national grid and is expected to result in substantial cost savings for power generation while reducing electricity costs to consumers by at least 50%,” he boasted.
Based on LCDS 2030 the energy transition would occur in three stages with stage one running from 2022-27 and including a combination of natural gas and realization of the Amaila Falls hydro plant coupled with the significant expansion of solar power with batteries on the rural networks. Stage two is anticipated to be implemented from 2027-30 and would see the continued replacement of heavy fuel oil, expansion of wind and solar and the possible commissioning of Guyana’s second hydropower project while the third stage would see future expansion that will be determined by prevailing market conditions.
Hinterland electrification programme
The Prime Minister used a significant amount of his time to talk up the government’s plan for the expansion of the hinterland electrification programme.
Currently, a majority of the hinterland communities do not have access to reliable power. They mostly depend on solar energy.
Phillips told the conference that with adequate technical and financial support, the government intends to develop indigenous energy resources while addressing energy security concerns, advancing climate change mitigation efforts and promoting sustainable energy solutions.
He added that there are projects on the way to improve people-centred energy access through investments in solar photovoltaic (PV) systems for off-grid areas and the development of microgrids for large hinterland areas.
“So specifically, the projects will entail the installation of 13 utility-scale solar PV farms, 40,000 solar home systems for hinterland and riverine communities, 20 solar PV mini-grids for public buildings in the hinterland, over 180 solar PV standalone systems for the government ICT hubs and the installation of a three-megawatt grid-connected solar PV system at the Cheddi Jagan International Airport. These solar PV installations will result in approximately 46.4 megawatts of installed solar PV capacity and are expected to be commissioned within the next two years,” Phillips boasted.
The Prime Minister, who holds the energy portfolio, said that Guyana is also promoting the construction of small, mini and micro hydropower systems and a total of 2.35 megawatts of hydropower capacity will be added to serve hinterland communities by 2024.
“Our government’s hinterland electrification programme aims to electrify some 200 unserved and underserved communities by 2026 using the most technical and economically feasible solutions that will include the enhancement of the productive usages of energy.
“The issue of energy access is a cross-cutting one and providing sustainable energy for everyone has far-reaching economic, environmental and social benefits. Consequently, in addition to serving domestic needs, it is important to link rural electrification efforts to productive activities, such as ICT connectivity, commerce and agro-processing to allow for greater community involvement, retention of skills in the communities and long term sustainability,” he added.
In 2022, the government aims to distribute and install 22,000 LED bulbs and 12,000 LED tubes to homes, businesses, and government buildings which are expected to reduce the carbon footprint of homes, businesses and government buildings and trigger behavioural changes.
“We need to work together to conquer the complexities and uncertainties in climate financing, technical capacities, policies and regulatory frameworks to drive the energy transition. The Government of Guyana remains committed to achieving a low carbon economy and advancing the transition to clean energy development will remain at the forefront of our national priority.
“As the costs for technologies like wind, solar and energy storage continue to decline and countries transition to a low carbon future both public and private investments in transforming the energy mix and energy efficiency technologies will become necessary to pave the way for a sustainable energy future for all. This will also reap significant returns for climate change mitigation and adaptation, economic resilience and energy security. Therefore, the Government of Guyana is ready to engage and work in partnership with all stakeholders in the sector, to find solutions to our energy challenges, and to create an enabling environment,” the Prime Minister said.
