Power producers interested in supplying electricity must fulfill grid code requirements – GPL CEO

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The Guyana Power and Light Incorporated (GPL) is clarifying claims of its refusal to accept offers of electricity from local companies.

The Guyana Power and Light’s main power station on the coast, the Kingston power station

In an interview with the Department of Public Information (DPI), Acting Chief Executive Officer, Renford Homer said that potential Independent Power Producers (IPPs) seeking to supply power to GPL, must fulfil the requirements outlined in the National Grid Code (NGC).

Homer explained that the GPL is guided by the NGC which was established, in 2016 by one of the world’s largest producers of energy-efficient and resource-saving technologies consultant firm, Siemens.

The Acting CEO pointed out that the NGC outlines all the requisite requirements, and is, inclusive of an interconnection policy and a standardised power purchase agreement (PPA) for IPPs to interconnect and integrate into the national grid.

“As a company, we have to look at our own generation and expansion plans before we commit to anything, we’re also guided by our recently developed national grid code that sets the guidelines for any interaction with an unsolicited offer or one that GPL puts out for an expression of interest. The expectation is that any individual or company that’s interested in establishing an agreement with GPL, would want to comply with those requirements”, Homer stated.

The agreement, Homer added, informs what would be the potential of developing a power purchase agreement and it speaks to what would be the agreed cost to GPL per kilowatt of energy.

According to him, in 2016 the Giftland Mall signalled its wish to sell electricity to the power company. As recent as last month the company restated its interest noting that the offer to “press Giftland’s 2×2.5 megawatt MAM Engines into service to provide 3.5 megawatts of power by day and 5 megawatts by night remains unchanged. Also, the company is prepared to sell the power to the state-run company at the same price that it is available from Wartsila.’

Currently, the only IPP the power company currently receives electricity supply from is the Skeldon Co-generation Plant.

The 2017 Draft National Energy Policy of Guyana report stated that GPL will be encouraged to consider grid-scale wind energy, thermal power plans fuel with light fuel oil (LFO) and Heavy Fuel Oil (HFO), grid-scale solar photovoltaics, and a midscale plant using wood residues.

It also states that the goal is to work towards the achievement of 100 percent renewable energy penetration in the electric sector by 2025. This is by developing a licensing procedure aimed at IPPs to produce bulk power from renewable energy and feed into the national electric grid.

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