$80B budgeted for Gas to Energy project this year
Construction of the power plant for Guyana’s flagship Gas to Energy project is set to begin in the second quarter of this year, bringing the vision of supplying over 250 megawatts of energy to the national grid closer to realisation.
Senior Minister in the Office of the President with Responsibility for Finance and Public Service, Dr Ashni Singh said the government will build on the momentum garnered in 2023 to facilitate the project’s start-up by the end of this year.
“Significant advancements in the civil works required for setting up the integrated plants were completed, along with the Material Offloading Facility,” the minister said during his budget presentation in the National Assembly on Monday.
A heavy-haul road has been completed and is currently in use, facilitating the transport of materials to the work site. Additionally, 26 kilometres of onshore pipelines have been installed.
“Onshore pipeline installation and first offshore pipeline installation activities which began in 2023 will continue this year to support the start-up of the integrated powerplant by December 2024,” he added.
In the 2024 budget, some $80 billion has been allocated to advance this project and its associated infrastructure, including transmission and distribution upgrades to offtake the power.
With the potential to cut electricity costs in Guyana by 50 per cent, the highly anticipated Gas to Energy project will see a 200-kilometre pipeline bringing gas from the Liza Destiny and Liza Unity Floating Production fields onshore.
Upon arrival at this West Coast Demerara facility, the pipeline will continue for approximately 25 kilometres to the Natural Gas Liquid (NGL) plant to be constructed in Wales.
The project will bring a plethora of benefits to Guyanese, including job creation, improved electricity access, foreign investment, and energy security.
The government has partnered with ExxonMobil to develop the necessary infrastructure and facilities to transport and process the gas for use in power generation and other applications.