Guyana spent $44.7 billion on energy in six months as demand accelerates

Guyana spent $44.7 billion on its energy sector during the first half of 2026 as the government continued a major expansion of electricity generation, transmission and distribution infrastructure.

The spending represents just over one-third of the $119.4 billion allocated to the sector for the full year.

The expenditure comes as electricity demand continues to increase and the government moves to expand the country's generation capacity through natural gas and renewable energy.

At the centre of the programme is the 300-megawatt Gas-to-Energy project.

During the first half of the year, work continued on Phase I, with the first gas turbine remaining on track for operation by the end of 2026.

All turbines are expected to be commissioned as part of the combined-cycle plant, with completion projected for the first half of 2027.

Government is also preparing a second phase that would add another 300 megawatts of gas-fired generation to the national grid.

Bids for Phase II were received during the first half of the year and were being evaluated, with construction expected to begin by the end of 2026.

The spending is not limited to gas-fired generation.

Guyana Power and Light continued work on transmission lines, substations and distribution infrastructure across Regions 3, 4, 5 and 6.

The government also advanced renewable-energy projects, including 10 solar mini-grids and a 15-megawatt solar farm in Linden.

The Mid-Year Report estimates that the country's non-oil economy grew by 10.1% during the first half of 2026, with construction, services and mining among the main contributors.

At the same time, GPL's costs increased.

Government says GPL expenditure grew because of the cost of generating sufficient power to meet rapidly growing demand, while its capital programme also increased by $24.7 billion compared with the first half of 2025 as transmission and distribution works expanded.

Guyoil also recorded higher expenditure because of increased fuel acquisition costs.

Guyana is simultaneously dealing with rising demand, higher fuel costs, grid expansion and the need to improve reliability.