GPL exploring new power generation projects and loss reduction strategies

Prime Minister Samuel Hinds said GPL is exploring projects for power generation in gas and oil as well as implementing policies to generate electricity and reduce losses.

The administration is also exploring hydro and solar energy projects and has implemented significant upgrades in the form of the Wartsila Power Plant at Kingston. According to a Government Information Agency (GINA) press release the UAEP started in 2004 with objectives such as extending electricity supply to the unserved areas of Guyana and strengthening the legal, regulatory and institutional framework of the power sector. To date, the programme has expended US$5.6M on a number of initiatives towards reducing electricity losses and has seen losses go down from 40% in 2004 to 33.6% in 2010.

As regards repairs and maintenance, GPL has replaced over 20,000 defective meters over the past four years. The company has acquired a meter test bench from the Bureau of Standards to investigate claims of defective meters. GPL’s commercial loss reduction initiatives are focused on improving the security and accuracy of its billing system, replacing defective meters and reducing electricity theft.

Strategies are now being implemented to achieve higher consumer bill payment. GPL has  installed a new Customer Information System (CIS) to boost its billing system and report anomalies. It was put into operation on May 24 at a cost of US$2.8M. The Prime Minister further said more positive change can be had through the installation of a pre-paid meter which can reduce electricity consumption by 30% with very little loss of comfort. “GPL …intends to pursue this initiative aggressively,” GINA said.

According to GPL when consumers accept that bills must be paid, commercial losses which are currently at 20%, will decrease. At the end of 2009, overall losses were 34.3% while at the end of June 2010, they were 33.5%. Hinds posited that the high losses stem from consumer belief that electricity should be more affordable.

Based on reports provided by GPL, the Prime Minister said the power company has removed over 34,000 illegal connections in over 638 raids. Additionally, 1,575 individuals were charged with electricity theft and about 450 cases are still pending in court. The company’s drive to reduce electricity use during real hours and the call for conservation has resulted through the assistance of Cuba, in about 500,000 compact fluorescent lamps distributed to replace incandescent bulbs.