Dominican News Online: Dominica Prime Minister Roosevelt Skerrit said Friday he understood and appreciated the concerns of some Caribbean countries to a move by Venezuela to review the payment options for oil and energy products under the PetroCaribe initiative.
Skerrit said that at the last Petro-Caribe meeting in St Kitts earlier this year, a proposal was put forward by Venezuela in principle about a new repayment scheme that he believes resulted from the failure of some member states to meet their financial obligations to Caracas. While he could not “speak in any detail on the matter” the Hugo Chavez government had promised to send the new payment proposals as well as send delegates to all the countries participating in the initiative “so that we come up with a consensus on a proper mechanism.” “I understand and appreciate the concerns which some member states would have because the PetroCaribe arrangement has certainly allowed for greater flexibility and a little more room in terms of having access to some financing.”
Venezuela is reported to be asking the countries to pay 80% of the oil and energy products within 90 days, as compared to 40% in the past and Guyana and Belize have already said they would struggle to meet the new terms.
Skerrit said the new repayment scheme followed reports that most of the countries “which are participating in the PetroCaribe arrangement were not paying in advance… So we as countries must address that fundamental issue,” noting that in Dominica’s case “we have honoured all our commitments under the PetroCaribe arrangement.
“We recognise that we have to pay 40% within 90 days… once the invoice is delivered to us and the balance of the funds, the deferred payment is in a special account at the National Bank of Dominica.” He said his administration had written to the Venezuelan government hoping to use some of those funds and that Dominica would not be affected by the proposal to increase the fees.
“If tomorrow Venezuela is to say to us we need the balance of the money, it is right here to give to them because we have not utilised any of the funds, we have kept up with our commitments regarding the invoice and supplies.”
