ABSTRACT

The Republic of Guatemala is the most northerly country of Central America. The economy of the country is divided regionally. The Central Plateau, where the capital city is located, has the highest urban and industrial concentration. Agriculture is the most important sector of the economy and produces over 25 percent of the Gross Domestic product. Guatemala possesses a wide range of energy resources. It has hydrocarbon reserves, geothermal resources, large biomass resources in its forests, and potential for both solar and wind. Rural subsistence sector covers all agricultural production in which the land-holding is worked by family labour alone, or with a certain amount of employed labour. The position of subsistence agriculture has deteriorated severely, and widened the economic gap between the urban and rural areas. One of the major limitations on the development of non-conventional energy programmes is the lack of adequate financial resources.