Energy sector can play a strategic role Guyana’s economy-GEA

Mahender Sharma, CEO of the GEA,Georgetown:  The Energy sector can play a strategic role in the development of Guyana’s economy through improving the quantity, quality and reliability of the electricity supply, according to Mahender Sharma, CEO of the Guyana Energy Agency (GEA).

He explained that the effective and efficient use of energy will lead to a reduction in demand for energy, which would reduce the amount of money spent on fuel and electricity. He posited that with the “savings one can garner from reducing fuel consumption, one can make more financial resources available for other areas of development.”

Sharma outlined that on a global scale, energy conservation “would delay the need for additional capital-intensive generation capacity and their associated costs and reduce the amount of carbon dioxide and other emissions into the atmosphere.”

In providing pragmatic examples of the Zero Rated items mentioned above, Sharma outlined that “solar water heating is also beginning to be used for domestic water heating. Importation and installation of solar water heaters will be encouraged for both residential and commercial use. The tourism and hospitality sector will be engaged with the objective of promoting the installation of solar water heaters.”

He then said “a 50-gallon electric water heater will cost you about 1 million dollars over its 10-year life, but, an equally-sized solar water heater will only have a one-time cost of about $330,000 and will serve your hot water needs for more than 20 years.”

He further said that replacing a “60watt incandescent bulb with a 13 watt CFL can save you as much as G$9,000 per year for each bulb replaced, while replacing outdoor Mercury vapour lamps with outdoor CFLs can save you as much as G$35,000 per year for each lamp replaced.”

Sharma also spoke of the energy reduction benefits that can be accrued should one phase out their old appliances for newer energy efficient ones. He said “Replacement of old, inefficient appliances can yield significant energy conservation benefits.”

Sharma then outlined that “according to a 2013 study conducted under the Eastern Caribbean Energy Labeling Project (ECELP), potential savings in electricity consumption through replacement of old refrigerators in St. Lucian households can vary between 49% and 61%, depending on the type and age of the refrigerator. GEA will prepare a similar analysis for domestic refrigerators in Guyana to compute the energy savings, reduction in demand, environmental and social benefits of a programme to encourage the replacement of inefficient refrigerators.”

Speaking on the Transportation sector, Sharma elucidated that “it accounts for 38% of total petroleum imports and therefore requires considerable focus.”

He then posited that “vehicles over four years old attract lower taxes and present a barrier to the newer, more significant energy efficient technologies. GEA will conduct an assessment towards the establishment of a vehicle tariff structure that suitably reflects renewable and efficient vehicle technologies.”