The productive capacity of Lethem and bordering communities within Region Nine (Upper Takutu-Upper Essequibo), will soon be boosted as authorities move to roll out a hydropower project along the Kumu River.

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This initiative, as outlined by the Guyana Energy Agency (GEA) in a project proposal to the Environmental Protection Agency (EPA), will be located at a suitable and sustainable area along the river, which is approximately 15 km from Lethem and 500 km from Georgetown.

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The Kumu Hydropower project is a run-of-the-river plant which is technically and economically feasible. It will comprise an installed capacity of 1.5 MW, which will generate approximately 9,700 MWh of energy on an annual basis. 

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Although the cost of the energy infrastructure is estimated to be 3,900,000 USD, the GEA insisted that the returns on investment will be immense since the project would not only reduce the cost of electricity, but also form part of the local shift to renewable sources of energy.

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Further, the construction of the Kumu Hydropower Plant will ensure there is a reliable supply of electricity in Lethem and surrounding villages.

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According to the University of Calgary, modern and reliable energy services are important in ensuring a satisfactory quality of life for people and promoting economic development.

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“Access to energy is central to issues such as security, climate change, food production, and strengthening economies while protecting ecosystems. Increased access to electricity improves education, entertainment, health, comfort, protection, and productivity,” the esteemed university wrote. 

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Sitting at the southern end of Guyana, Lethem borders Brazil, which is a known economic powerhouse in South America. The availability of reliable and cheap electricity would, therefore, draw consumers and developers to Lethem. It would also encourage local investors to expand their operations and explore options for diversification.

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Greater access to electricity would be ideal since there are plans to complete the construction of an industrial park at Bon Success in Lethem. 

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An industrial park is an area zoned and planned for the purpose of industrial development. It could be thought of as a more “heavyweight” version of a business park or office park, which has offices and light industry, rather than heavy industry.

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The Guyana Chronicle had reported that the 80-acre plot of land was identified in 2014 with development slated to be completed in three phases. Those include roads and drainage structures and culverts, the construction of 3,020 meters of roads, 6,040 meters of drains and culverts, water distribution network and retention ponds. 

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The Government of Guyana has so far expended over $1 billion to get this initiative off the ground. And with the area almost completed, the government, through the Ministry of Tourism, Industry and Commerce had invited applications, late last year, from interested persons both local and overseas desirous of acquiring industrial lots at Bon Success.

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In addition to serving as motivation for persons to invest, the GEA said the Kumu Hydropower project is estimated to create jobs for approximately ten persons on a permanent basis during operation. 

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The lifespan of this facility is estimated to be approximately 30 years once a rigid maintenance programme is followed. Materials are likely to be sourced from Georgetown, Kumu and Brazil.

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It was reported in November last that authorities will be tripling the power in Lethem through a revised energy mix.

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“We have had a serious review of almost all of the small systems that we have had… we had to look back at what was planned, so we would get 1.5 megawatts from that and we have to rehabilitate Moco Moco, which would be another 0.7 megawatts. So that is 2.2 megawatts and we approved a one-megawatt solar farm…,” Vice-President Bharrat Jagdeo was reported as saying.

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The aggregate supply of 2.2 megawatts, plus the one megawatt produced by the solar farm would give Lethem three times its current capacity.

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“We would have almost triple the capacity and this is all coming from renewable energy, which would allow a massive growth in industrial estates and industrial plants for that area, and also residential purposes.

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“If the entire Lethem is running on renewable energy, money is saved; there would be a budgetary balance of payments impact, welfare impact and a business impact,” Jagdeo reasoned.

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Given the immense benefits which could stem from reliable and cheap electricity, the Vice-President said the provision of such remains a top priority for the government.