Okay…we know Guyana was shafted on the first (and still biggest) oil contract the PNC negotiated with the oil majors through its negotiation whiz (so he said…Harvard’s weekend course?) Raphael Trotman. And while some true believers are agitating for the contract to be renegotiated so we’d end up with a bigger slice of the (oil profits and royalty) pie, your Eyewitness isn’t holding his breath. If he saw Trotman in stainless-steel bracelets doing the perp-walk at the Georgetown Magistrates’ Courts, he’d be a tad more optimistic!!
Anyhow, he’s assured that all isn’t lost. To use the 2% Royalty and 12.5% profits we’ll be getting – as was discussed yesterday – the Government just laid a new Natural Resource Bill. This outlines the controls they’ll be putting into place to finally start using the funds already deposited (US$600M and scheduled to increase exponentially!) to create a new Guyana. Including a new capital, Silica City!! If Dubai can create a modern metropolis in the Arabian desert sands, why can’t we do the same in the white sands of our “Hilly Sand and Clay Belt”?? Plus we’ll be able to claim compensation for moving inland because of rising seas due to global warming!!
But we’ll be getting another shot at sharing in the oil bonanza through the implementation of the Local Content Bill (LCB) that was also tabled. This one will be more immediate in its effect, since it sets targets for Guyanisation of almost every facet of the upstream and downstream operations in oil. Now, we know we’re not really ready for some jobs – like, say, actually drilling for oil miles under the ocean – but there are thousands of less-skilled jobs we can handle, especially in the unskilled area. Think of all those thousands of sugar workers fired by the PNC. Hard work never backed THEM down!!
But the LCB doesn’t just set INITIAL targets in dozens of areas – like fabrication, and yes, drilling – but annual increases in these targets! This means Guyanese will have to be trained in the skills to meet the targets. The Government has even granted 5% higher bid prices if the bidders confirm it’s to conduct Guyanese skills’ training!!
Now, the Government’s doing its part in setting the stage for creating thousands of jobs in this sector. It’s now up to Guyanese to step up to the crease and do our part. We know the oil majors are racing against the clock to pump the oil out as fast as they can, because the market will be crashing in a few decades.
Our workers-to-be will have to make themselves available!! And there’s money to be made to help them there!
…to leverage the Regional
Now, while we’ll be strengthening our economy on the back of our burgeoning oil industry, we shouldn’t forget that this will only last for another thirty years or so. Our oil is finite – plus there’s also the contra movement towards renewables for fuel. We therefore have to think strategically…and it’s clear (and great!) that the Ali administration already has a jump on this. On Friday, the President followed up on his announcement to engage in talks (along with Suriname) with our southern neighbour Brazil – and went one better!!
He spoke to the leaders of the entire trade bloc of South American Nations – Mercosur. Sure, your Eyewitness knows that after it’s early promise, Mercusor has become a bit bogged down. But the intrinsic fundamentals are still there to become a “hinterland” we can service – after we get our infrastructure in place. Remember Singapore created its economic miracle by defining its “hinterland” as Europe and America? Well, ours is right smack against our southern border!!
Look south, young Guyana!! That’s the future!!
…in consumption
For years, we snickered at the Caribbean importing so much foreign food. Well, we’ve fallen into that same trap. Now, he’s not advocating some kind of Burnhamite food ban.
But black pudding from England?!
