Parliament approves $2.3 billion to pay Trinidadian companies for 1995 road project

– as APNU defied court judgement in 2017 by not paying debt

The National Assembly on Friday evening approved the sum of $2.3 billion to settle outstanding payments due to two Trinidadian companies – NH International Limited and Emile Elias and Company Limited – for works done on parts of the Georgetown-to-Timehri Main Road Rehabilitation Project, which was undertaken nearly 30 years ago.
This matter dates back to 1995, when a $673 million contract was inked for works to commence on the project. The Guyana Government is now seeking to put this issue to rest by paying these companies the sums owed to them, along with interest.
According to reports, during the execution of the road works, disputes arose between the contractors and the Government on several issues of payment, extensions of time, and additional works carried out by the contractor.

On April 16, 1998, the two contracting companies demanded $517 million from the Government – an amount certified by the engineer – but this was not paid by Government at the time. Consequently, the companies jointly approached the local judiciary to obtain redress following the Government of Guyana’s failure to pay over US$8 million along with $1.4 billion for works done.
In 2017, the court ruled in favour of the contractors, but the then APNU+AFC Coalition Government failed to make the payments; which, now with interest, has accrued to US$20 million.
Responding to questions from Opposition Member of Parliament David Patterson, Public Works Minister Juan Edghill revealed that the current administration intends to finally clear the debt.
“This NH Elias matter is a matter that has been around for more than 20 years. It was litigated and completed during the tenure of the APNU/AFC… The then Attorney General lost the case, and they refuse to honour the judgement; that is why the matter is being addressed here this afternoon… As the Minister of Public Works in 2024, I am asked to ensure that the judgement of the court is upheld, and the sums paid and interest accrued (on) a matter that was finally litigated and determined in 2019,” Edghill disclosed.
The $2.3 billion granted by the National Assembly on Friday to clear the debt is part of the $1.6 billion approved for the Public Works Ministry under the $32.1 billion Financial Paper 2. Request for the subvention was made on July 31 by Finance Minister Dr Ashni Singh.
Along with this subvention, the sum of $1.6 billion has been approved for Sea and River Defence works to be conducted by the Public Works Ministry; $297.4 million to support the operations of the Transport and Harbours Department; $159.2 million for completion of the Bartica Stelling, and $680.5 million to facilitate critical upgrades to ferry vessels.
Further, as the Government continues to improve connectivity across the country, especially in the infrastructure sector, an additional $904 million has been approved for construction and rehabilitation of hinterland roads, and $600 million has been approved for completion of infrastructure for the critical supply of water to far-flung communities.