Trinidad and Tobago's energy expansion
Trinidad and Tobago's energy expansion reflects its transition from an oil-based economy to one predominantly reliant on natural gas. The country's energy development began in the late 19th century, evolving significantly over the years. The establishment of the Trinidad and Tobago Electricity Commission (T&TEC) in 1946 marked a pivotal moment in managing electricity generation and distribution, which is now largely supported by independent power producers. The Ministry of Energy and Energy Industries oversees the oil, gas, and mineral sectors, crucial for the nation’s GDP.
Natural gas is the primary source of electricity, accounting for over 93% of the energy mix as of 2021. The country has embraced liquefied natural gas (LNG) since entering the sector in 1999, with significant exports to major markets like Japan and China. Despite facing challenges, including temporary production slowdowns during global economic downturns, the energy sector has seen renewed investment and growth. As of 2022, Trinidad and Tobago achieved 100% electricity access, reflecting its commitment to meeting both domestic and industrial energy needs. The ongoing expansion aims to support new industrial developments, particularly in the iron and aluminum sectors, ensuring the country remains a key player in the global energy market.
Subject Terms
Trinidad and Tobago's energy expansion
Official Name: Republic of Trinidad and Tobago.
Summary: The Republic of Trinidad and Tobago sits in one of the most geologically complex areas of the world. Although other industries are slow in growth, the energy sector is expected to continue to grow and be a significant contributor to the country’s gross domestic product (GDP).
History of Energy Development
Energy development and electricity availability in Trinidad and Tobago first started in 1882, with the opening of the public transport system. In 1886, a twenty-year franchise to run the electric power station and the tramway station was granted to a group of local businessmen. This enterprise was sold to a Canadian businessman in 1901 and renamed the Trinidad Electric Company Limited. In addition, the Electric Light and Power Company was formed in 1894 by American entrepreneur Edgar Tripp, providing power for the first electric lights in Trinidad. When the two franchises came to an end in 1933, the government took control and initiated a program to provide electricity throughout the island. The 1945 Trinidad and Tobago Ordinance 42 formed the Trinidad and Tobago Electricity Commission (T&TEC), which began operations in 1946. T&TEC was responsible for the generation, transmission, and distribution of electricity throughout Trinidad and Tobago.
The company has since shifted its focus to the design, construction, operation, and maintenance of the country’s electrical network. Most generation is provided by independent power producers. The Power Generation Company of Trinidad and Tobago (PowerGen) was established by T&TEC as a fully owned subsidiary in 1994. In the 2020s, T&TEC retains majority ownership of PowerGen (51 percent). Trinidad and Tobago entered the liquefied natural gas (LNG) business in 1999, when the Atlantic LNG Company of Trinidad and Tobago commissioned Train 1 (one of four liquefaction units).
The Ministry of Energy and Energy Industries (MEEI) is responsible for the management of the oil, gas, and mineral sectors in Trinidad and Tobago, including monitoring, controlling, and regulating the sectors responsible for the most significant contribution to the country’s GDP. The MEEI was originally established as the Mines Department in 1904, but it has shifted names and ministerial responsibility multiple times over the years. Current activities include licensing for petroleum exploration and production, regulation of oil and gas development activities, representing interests in international affairs, and long-term planning and development.
Production and Consumption
In 2014, T&TEC served more than 450,000 domestic, commercial, and industrial consumers. A single electricity grid is used to supply bulk power to Trinidad and Tobago. Electricity generation is primarily from natural gas, which is burned for heat energy to produce steam, which in turn connects to an electrical generation facility to produce electricity. In some cases, gas is also burned directly in a gas turbine to produce electricity. Natural gas accounted for 93.2 percent of Trinidad and Tobago's energy mix in 2021. The country has transitioned from an oil-based economy to one based on natural gas.
Natural gas usage in 2022 was more than 15.9 billion standard cubic meters. The same year, the country produced more than 10.6 billion cubic meters for export. Trinidad and Tobago continues to expand to meet new industrial needs that are developing or expanding in the country, such as those of the iron and aluminum industries. Major LNG import countries include Japan, South Korea, China, India, and Spain. Temporary shutdowns occurred in 2008 with the global economic slowdown, but investment has increased again.
Energy use overall has steadily increased since the 1970s, with 2022 estimates at 8.981 billion kilowatt hours consumed (more than 99 percent of which is from fossil fuels). Trinidad and Tobago had 100 percent electricity access in 2022.
Bibliography
“About Us.” Trinidad and Tobago Ministry of Energy and Energy Industries, 2024, www.energy.gov.tt/about‗us.php?mid=74. Accessed 9 Aug. 2024.
"Energy Snapshot: Trinidad and Tobago." National Renewable Energy Laboratory, US Dept. of Energy, May 2015, www.nrel.gov/docs/fy15osti/64117.pdf. Accessed 9 Aug. 2024.
“Trinidad and Tobago.” CIA World Factbook, 7 Aug. 2024, www.cia.gov/the-world-factbook/countries/trinidad-and-tobago. Accessed 9 Aug. 2024.
“Trinidad and Tobago.” International Energy Agency, 2024, www.iea.org/countries/trinidad-and-tobago. Accessed 9 Aug. 2024.
“Trinidad and Tobago: Energy and Power.” Encyclopedia of the Nations, 2024, www.nationsencyclopedia.com/Americas/Trinidad-and-Tobago-ENERGY-AND-POWER.html. Accessed 9 Aug. 2024.