GCCI wants local content legislation tabled before year end

– complains of local firms being bypassed for work

Even as it has welcomed Government’s method and approach in establishing local content legislation, the Georgetown Chamber of Commerce and Industry (GCCI) is pushing to have it tabled before the end of 2021.

In a statement on Friday, the GCCI noted, “The Chamber has been encouraged by the posture of the Government as it relates to local content, and calls on the Government to table Local Content legislation before the end of the year.”
This position was arrived at after the Private Sector body highlighted the overwhelming number of infrastructure work being handled by foreign-owned companies. This was coupled with the high volume of trucking, logistical and other support services which are being operated by foreign-owned companies, particularly as it relates to the oil and gas sector.
“The GCCI has been in receipt of several complaints from its membership of cases in which they are being bypassed for work in favour of the aforementioned category of companies. This occurs in spite of the indigenous Guyanese enterprise being both commercially competitive and having the technical capability.
The Chamber reiterates that it remains supportive of foreign investment in Guyana. “We encourage, however, that this not be done at the expense and displacement of indigenous Guyanese companies,” the Chamber pointed out.
Just last week, Prime Minister Mark Phillips underscored that Guyana must leverage its growth in the oil and gas sector in a manner that is beneficial to all Guyanese, as he pointed towards the importance of a good Local Content Policy and a strong Natural Resources Act.
As the chief guest at the launching of ChampionX Guyana Incorporated, an oil and gas associate company, he added that Government was working assiduously to ensure that Guyana did not repeat the mistakes of other oil-producing nations and fall victim to the Dutch disease.
After assuming office in August last year, President Irfaan Ali established a High-Level Local Content Panel to review policy initiatives on local content in the petroleum sector and provide guidance for the development of Guyana’s Local Content Policy and Legislation.
The panel, chaired by Shyam Nokta, compiled and submitted the Local Content Report. Also on the panel were Carl Greenidge, Carvil Duncan, Anthony Paul, Kevin Ramnarine and the Natural Resources Ministry’s Legal Officer Sasha Rajkumar-Budhan. The end product was a list of recommendations, and subsequently a draft Local Content Policy that the Government had released in February of this year.
The stakeholders’ consultation on Guyana’s draft Local Content Policy for its petroleum sector started in February, and President Dr Ali himself opened the discussion, from which authorities were expected to receive feedback and comments for the finalisation of the critical document.
Approximately 140 stakeholders were engaged by the panel on the compilation of the report. The report outlines several recommendations to improve the country’s policies and legislation.
Among the key objectives of the Local Content Policy are: to enhance the skills and competencies of Guyanese citizens; promote maximum use of Guyanese in the petroleum sector workforce; maximise the use of locally sourced goods and services in the petroleum sector; enhance the capacity of Guyanese businesses and supply chains to become internationally competitive; enhance and make world-class the training, technology, innovation and research and development base of Guyana, just to scratch the surface.