President Dr Mohammed Irfaan Ali has signalled a renewed push for the establishment of an oil refinery in Guyana which he described as a critical national security priority amid escalating global energy uncertainties and supply chain disruptions.
Addressing the 136th General Meeting of the Georgetown Chamber of Commerce and Industry at the Guyana Marriott Hotel Georgetown on Thursday, the head of state said recent geopolitical tensions have reinforced the need for Guyana to strengthen its energy independence and resilience.
The president explained that while Guyana had previously focused on expanding fuel storage capacity, global developments have necessitated a shift back toward establishing a refinery.
“Now, I believe we should return to the conversation of a refinery for national security,” President Ali told members of the business community.
He underscored that the ongoing instability in the Gulf region, particularly threats to the Strait of Hormuz, has exposed vulnerabilities in the global energy system and highlighted the risks for fuel-importing nations like Guyana.
Despite Guyana’s emergence as an oil-producing nation, President Ali reminded stakeholders that the country still depends heavily on imported fuel, particularly for electricity generation. He noted that the fuel bill for the Guyana Power and Light Inc. remains substantial and could rise further with global price shocks.
In this context, he said, investing in refining capacity would provide greater control over fuel supply, pricing, and long-term energy security.
The head of state also pointed to a broader strategy of building out national energy infrastructure, including the gas-to-energy project, which is expected to reduce reliance on imported fuels and lower electricity costs over time.
President Ali emphasised that closer collaboration between government and business will be essential to navigate the uncertain global environment while sustaining Guyana’s strong economic growth.
“We are closely monitoring the situation. We are vigilant, we are responsible, and we stand ready to make the necessary adjustments,” he assured.
The renewed focus on a local refinery, he added, forms part of a wider effort to secure Guyana’s economic future and reduce its exposure to external shocks in an increasingly volatile global energy landscape.
DPI
