Investment and Financing
Reduction of Guyana’s reliance on imported oil and the improvement of energy efficiency will require large investments that will impact on the fiscal stability of the country. The World Bank estimates that an increase in electricity intensity in Guyana at a level comparable with peer Caribbean countries would require investments over the next 10 years of between US$805 million and US$1,497 million (or between 10 and 19 percent of its GDP). However, under the current ownership structure of the system, this level of investment would pose a significant burden on the Government of Guyana, and would create considerable debt sustainability concerns.
Installed capacity is expected to increase by 62.5 MW in the period 2007-2009, as part of a US$120 million plan for future development managed by GPL. This plan also aims to address issues of distribution (through the construction of transmission lines and enhancement of the network) and efficiency.
Read more about this topic: Electricity Sector In Guyana
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