Guyana is an English speaking country located along the northern coast of South America with an area of about 215,000 km2 and a population of under 750,000. Approximately 90% of the country’s population is concentrated in and around the capital city of Georgetown and along the nearby coastline. This upper middle income country has a growing service sector; nevertheless, agricultural production and extractive industries are key contributors to its economy.
Guyana is currently dependent on imported petroleum-based fuels as its main source of energy. However, the Energy sector is poised for significant transformation due to Guyana re-committing itself to the development of its indigenous renewable energy resources and to pursue 100% renewable energy in electricity generation in its Green State Development Strategy.
According to the Energy Sector Management Assistance Program (ESMAP), Guyana receives an average of 1,800 kWh/m2 annually. As a result, most locations across Guyana have excellent solar isolation levels and are ideal for solar PV generation. As at 2018, the total installed capacity for Solar PV in Guyana is 4.63 MW with an annual generation of 7.16 GWh.
In Guyana, solar energy is used for several purposes, including drying agricultural produce, irrigation, ICT, and to improve electricity access in rural areas. Under the Hinterland Electrification Programme, in excess of 19,000 solar PV systems had been installed in nearly 200 communities by 2018.
Additionally, during 2017 and 2018, the Government implemented its Green Public Sector programme which entailed the installation of solar photovoltaic (PV) systems with a combined capacity of 3.02 MW of solar PV on the rooftops of 175 public or government buildings. A pilot programme for stand-alone solar street lighting was also carried out and, to date, 65 solar powered LED street lights have been installed. An additional 400 solar powered LED street lights is planned for 2019.
Guyana will shortly complete the installation of its first solar PV farm in Mabaruma, Region 1 with an installed capacity of 400 kW and within the next 2 years, a series of solar PV Farms, totaling 5.2 MW is planned for Bartica, Lethem, Mahdia, Port Kaituma, Kwakwani and Matthew’s Ridge.
Fiscal incentives include VAT and import duty exemptions for renewable electricity equipment, solar appliances, solar water heaters and solar cookstoves, one-off tax holiday of two years for corporation tax to importers of items for solar energy investments, and a change the Wear and Tear Schedule of the Income Tax Act to allow for the write off of capital expense within 2 years.
The main electric utility, Guyana Power and Light Inc. (GPL) is preparing plans for 3 utility scale solar PV farms totaling 30 MW for the national grid in the long term, as well as 0.75 MW Solar PV Farm at Wakenaam and a 4 MW Solar PV Farm at Onverwagt in the near future. Also, the Global Green Growth Institute (GGGI) is supporting the Government of Guyana and the private sector to advance solar PV initiatives. In addition to establishing a National Grid Code, GPL is working on a Code for the Integration of Distributed Generation and establishing the commercial and technical frameworks for grid-connected renewable energy systems and streamline the procedures for feed-in mechanisms.