Dear Editor:
I agree with “Guardian of Democracy” MP Datadin’s recent letter that “The fair and right thing to do is to allow Guyanese to benefit from oil resources.” I could not agree more. However, the MP seems to be reflecting the PPP Government’s vow that it will not renegotiate the oil contract, and would instead seek more benefits through the Local Content Act (LCA). This is a weak, sellout position. Country people would say, “What rain can’t full, dew can’t full.” The rain is the oil contract and the dew is the LCA. The Government’s position cannot be that it will not renegotiate a “stink and dutty” contract to get a fair deal, but would try to recoup losses through vigorous implementation of the LCA. We need both. The biggest benefits must come from a new, fair deal from the renegotiated oil contract itself, not from the LCA alone. LCA will mostly benefit the business class, not the ordinary people.
Editor, the big prize of having oil resources is to get high royalties, high profits, oil companies paying all profit and corporation taxes, absolute protection of the environment, efficient auditing of oil expenses, limits on expenses chargeable to Guyanese taxpayers, ring fencing to make sure we are not paying for unsuccessful wells, proper insurance coverage, national ownership of our oil and gas resources, payment of customs duties on vehicles, and all paying income tax, value-added tax, excise tax, duty, fees, charges or other impost. The people of Guyana’s benefits should be “all of the above.” The LCA cannot be a replacement or substitute for renegotiation of a rotten, rapacious oil contract, no matter how much the Government spins it. For a Government that likes to boast, “Manifesto promise made, promise kept,” once the PPP/C got in, it abandoned and betrayed the people of Guyana by vowing not to push for renegotiation. Why? Maybe MP Datadin can answer why is it not “The fair and right thing to do is to allow Guyanese to benefit from oil resources” through a renegotiated contract. We want maximum benefits, not crumbs that fall from the masters’ table. It’s “Our Wealth, Our Country.”
MP Datadin reportedly said, “The Guyana Local Content Act 2021 (LCA) received Presidential assent on the 31st December 2021. The LCA was the delivery of a campaign promise made vigorously by now Vice President, Bharrat Jagdeo, whilst in Opposition. The Irfaan Ali led Government has repeated that promise since taking office in August 2020, and the LCA represents a delivery on that promise.” Mr. Datadin, the PPP also promised to re-negotiate the oil contract. How about that “mother of all promises?” KN Radio has released a conversation making its way around social media where the PPP/C Presidential Candidate said in the 2020 campaign that, if elected, they would “review and renegotiate” the contract, and that “Guyana is getting the short end of the stick.”
The interviewer said to the Candidate, “Two things – burning questions that are affecting people…we got 5 minutes and I need these 2 questions answered. People are asking these questions. The oil contract: Do you agree with the $US55 billion ‘Signed Away Global Witness Report,’ will you revisit the oil contract? The Presidential Candidate said, “We have made it very clear, that we can never agree. How can, how can, I don’t think any Guyanese agree with this. No Guyanese, except the government that is defending it. We have made it very clear, that we have to go towards, we looking at these contracts, renegotiating these contracts, looking at contract management and all of these things. Everything we have to relook at because we have to ensure that our country does not get the wrong end of the stick.” Interviewer said, “Everything is on the table for review as it relates to the oil contracts?” Candidate said, “Everything is on the table, available for review and renegotiate.”
MP Datadin is reported as saying, “It was ignored that the people of Guyana must benefit more than tangentially or on the fringes; their benefit must be real and substantial. This involvement is seen as the path to lift an entire nation from a poor developing nation to a prosperous nation. Know this, the resolve of the Government of Guyana in implementing and supporting the LCA is unshakable and any challenge will be met with a determined resolve.” “It is inescapable, that it is the fair and right thing to do to allow Guyanese to benefit from her oil resources in a preferential manner…Those who seek to challenge the LCA in Court do so at their own peril. They would be underestimating or not understanding the sentiment across Guyana on this issue; across all ethnic, cultural, class and political lines. In my interactions, “on the ground”, and with those in Government there is a quiet but firm resolve on the issue. A resolve so strong that a treaty reservation/opt out or even a withdrawal are all possible. Make no mistake, Guyana will assert her sovereignty and right to choose in coming days and, likely, if necessary, adjust her treaty obligations to remove any possible conflict, real or perceived,” Datadin reportedly said.
Mr. Datadin, if such a strong resolve by the Government on the LCA is directed towards renegotiation too, how powerful would that be? Is the oil contract not about national sovereignty? Instead, the Government is on the same side with the oil companies defending a PNC contract against Mr. Glenn Lall representing our poor, huddled masses of Guyana. Guyana is so lucky to be endowed with an abundance of riches more than any other CARICOM country, yet we are the poorest. We also have the lowest currency in CARICOM. President Ali reminds us we are “a rich country of poor people,” and that we were the “second poorest nation in the Americas” for decades. Nation, it’s “Our Wealth, Our Country.” Wake up Guyana!
Sincerely,
Dr. Jerry Jailall