Oil & gas sector
… to avoid accusations of excessive interference in private sector
By Jarryl Bryan
When it comes to managing the Local Content Policy that will ensure Guyanese get employment and business opportunities from the oil sector, Government will – as far as possible — be taking a hands-off approach.
This is according to Minister of Natural Resources, Raphael Troman, who noted in a recent interview that the private sector has always been concerned about excessive Government intervention.
“One of the things the business people would tell you is that the market must be allowed to grow. Too much Government intervention is what the private sector says it does not want; so competitiveness is what rules the day,” he stated.
“What we’re seeing is that Guyanese companies are raising their standards, providing different services, and they’re getting the job,” he continued. “So we are seeing that the Guyana labour sector is adapting and being able to compete successfully. Government will continue to reach its hands into the process as needed, but we believe it is naturally taking shape.”
The policy
Government had formulated a Draft Local Content Policy which sets out its plan for ensuring that Guyanese develop socio and economic capacity from oil, a finite resource. In the plan, which was seen by this publication, Government has promised to work with stakeholders, including investors and skills development agencies, to design and deliver training programmes.
The document says this training will be for individuals and firms appropriate to the sector’s needs. Among other things, the document promised employment and business opportunities, as well as to implement appropriate legislation.
The Georgetown Chamber of Commerce and Industry (GCCI), after a review of the document, was not impressed. It has been reported in the media that the GCCI is dissatisfied with the document’s lack of specificity and the policy plaintively stating that few direct and indirect jobs can be derived from the sector.
The GCCI has observed that jobs such as maintenance crewmen, pump men, cooks and riggers are not being done by Guyanese, but rather by foreigners. The GCCI also noted that the University of Guyana should have been cited in the policy as the body to run courses and certifications for workers in the industry.
Responding to the GCCI’s concerns, Trotman said a lot has already been done towards pushing local content. He also defended the policy by noting that it was just a draft that would be guided by the input of stakeholders.
“The document that was shared with the GCCI and other stakeholders is really a working draft,” he said. “So we welcome all the comments for (the document’s) improvements, but we don’t (yet) have a final policy; what we have is a draft policy.”
“So we’re dealing with an industry that is unfolding. At the end of the day, we’ll have a vessel that will have about 100 people on board. I was recently on board the vessel. There are 11 Guyanese on board already. So work is being done; we’re seeing it incrementally. We have Guyanese already in various places working.”
Onshore base
ExxonMobil’s recently appointed Country Manager in Guyana, Rod Henson, has recently announced that the company would be relocating its onshore operations, which were used for support services, from neighbouring Trinidad and Tobago to Guyana.
