What if the cost of powering your vehicle suddenly fell by half?
That is the promise of Guyana’s Gas-to-Energy (GtE) project. With electricity prices projected to fall by about 50%, making Guyana’s transition to cleaner transportation could become more financially attractive.
At the center of the project is a natural gas pipeline linking the ExxonMobil-operated Stabroek Block to an integrated gas processing facility at Wales on the West Bank of Demerara. Gas from the Liza field will fuel a 300-megawatt combined-cycle power plant, replacing a significant share of electricity currently generated from imported heavy fuel oil. A natural gas liquids (NGL) plant will also process about 4,000 barrels per day of NGLs for commercial use.
Initial commissioning of the first gas turbine is expected before the end of 2026, with full commissioning planned for 2027. Once operational, the project is expected to more than double Guyana’s electricity generation capacity, reduce reliance on imported heavy fuel oil, lower emissions from power generation and will provide power to replace US$365 million in annual fuel imports.
For electric vehicle owners, that matters because electricity is their fuel.
Unlike conventional vehicles that depend on imported gasoline or diesel, EVs would draw power from the national grid or private solar systems, making day-to-day transportation less expensive and increasing the long-term savings associated with EV ownership.
That changing equation comes as Guyana’s electric mobility market continues to grow.
More than 870 electric vehicles have already been imported into the country, while public charging activity continues to increase. Average monthly charging sessions have risen from about 230 to 334, with more than 500 charging sessions recorded in June alone.
The market has benefited from government incentives. There are no taxes on electric vehicle imports, while businesses can claim a 50% tax write-off when adding EVs to their assets. The Guyana Energy Agency (GEA) has also trained more than 77 mechanics and electricians to service and repair electric vehicles.
But cheaper electricity alone will not determine whether EVs become mainstream.
One of the biggest challenges remains access to charging infrastructure, particularly outside Georgetown. Speaking on the July 30 edition of the Energy Perspectives podcast, GEA Chief Executive Officer Dr. Mahender Sharma said the next stage of Guyana’s electric mobility transition depends on greater private sector participation.
Rather than the government being the country’s primary charging provider, the agency sees its role as encouraging businesses to expand the network by installing charging stations at locations such as supermarkets, hotels and banks.
Sharma explained that home charging is also an option for most owners. He noted that many households do not require commercial fast chargers and can instead install smaller seven-kilowatt charging systems capable of meeting their daily charging needs.
Charging infrastructure, however, is only one part of the ownership equation. Electric vehicles typically cost more upfront than comparable gasoline- or diesel-powered vehicles, although operating costs can be lower over time. This factor has limited wider adoption globally, with the vast majority of EV sales to date concentrated in China, Europe and the United States.
The Gas-to-Energy project’s projected reduction in electricity prices could make electric vehicles more attractive to Guyanese consumers and businesses alike. Wider adoption, however, will depend on more drivers deciding that the long-term savings outweigh the higher upfront cost of making the switch.
