Maintaining that Guyana’s local content law is not in violation of any CARICOM Treaty obligation, Attorney-General Anil Nandlall has said this nation will abide with all commitments made and therefore any talk of leaving CARICOM is rubbish,
“I wish to assure that our government considers our membership in CARICOM as invaluable to national development, as well as fundamental to our status as a sovereign nation,” Nandall told the Stabroek News as he sought to settle the matter, which has been publicly debated. “CARICOM, both as a unitary whole and its individual member states have long been and will continue to be strong developmental partners of Guyana. Concomitantly, international law, as well as conditionalities under various treaties, aggregate to mandate that Guyana discharge the duties and obligations which those treaties devolve upon Guyana. We are cognisant of those responsibilities. As regards the Revised Treaty of Chaguaramas [RToC], our position is no different. We are committed to our obligations thereunder,” he added.
Both PPP/C Member of Parliament Sanjeev Datadin and Georgetown Chamber of Commerce President Timothy Tucker have suggested that Guyana could exit CARICOM over the issue. “This is not to say that our CARICOM neighbours are not welcome; everyone is, but respect must be had to the LCA [Local Content Act] in this regard. The benefit to our CARICOM brothers can’t be at the expense or marginalisation of Guyanese nationals and companies. 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,” Datadin said. “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 added.
Their views have prompted former Minister of Foreign Affairs Carl Greenidge to observe that there appears to be resistance to the view that Guyana as a small state should “scrupulously honour” its international obligations and especially those pertaining to the country’s regional partners, members of the Single Market and Economy. “Surprisingly, those resisting this view first insisted that there was no conflict between the new legislation and the RToC,” he noted.
In recent commentary published in this newspaper, Greenidge noted that the RToC does not permit Caribbean nationals/firms to be treated differently from Guyanese. Art. 7, Art. 31 (2a & 2b) & Art. 37 of Chaguaramas in particular, do not permit it, except in clearly defined terms. “Guyana is not in a position to ignore the rule on grounds that it has either now thought up a justification or has just begun the production of petroleum. Neither can alleged discrimination by T&T in the past, constitute such justification. What is more, today unlike 2015, T&T can claim that there is more than one regional petroleum producer, Guyana is not unique in that regard, and the region’s capacity to supply market for petroleum services, technical skills and abilities is clearly wider than Guyana.
“When the relative size of the petroleum and gas sectors are taken into account it is not obvious that there is no space for suppliers/actors other than Guyanese. The same problem apparently does not apply to services such as insurance. Resolution of the problem may be found in the end in the fashioning of targets in a manner more consistent with our obligations rather than in quantitative floors/targets,” he wrote.
Alliance for Change Leader Khemraj Ramjattan says he supports Greenidge as his reasoning takes all factors into being and it is not with emotion alone he speaks as his views are predicated by facts.
Consequences and repercussions
When the Bill was being debated in the National Assembly, both Ramjattan and his fellow APNU+AFC member David Patterson had raised the issue of possible violations of the CARICOM Treaty, saying no reference was made to it. “…We in the opposition would like assurances from the government that the country would not face legal challenges from our CARICOM sisters and brothers after the passage of the Bill, if it is passed without amendment”, Patterson said.
When Ramjattan made his presentation, he contended that the CSME Agreement had not been juxtaposed against the law and if the Bill was not allowed more time for analysis, there could be serious legal action taken against this country later.
Speaking with this newspaper, Ramjattan restated this position, adding that that he still believes that the bill should have gone to a Special Select Committee and expert advice from both local and regional lawyers could have been analyzed. He also cautioned notable citizens of this country to be mindful of what they say regarding leaving CARICOM as the tangible benefits far outweigh any negative talk.
“These things call for very technical knowledge… We don’t have the financial resources in the Alliance for Change to go seek all of these legal opinions because they cost plenty. But when you are dealing with legislation, you want it carefully drafted,” he said. “Sanjeev Datadin had indicated that they can come out of the CARICOM treaty. Well they don’t know at all the consequences and repercussions of that. CARICOM buys our rice and sugar at special tariff agreed prices. If Trinidad wants, it could go outside and buy the rice cheaper but it would violate the CARICOM treaty. If we want to stop and get out of the treaty and come out of it, they only have to say ‘thank you very much. We are going to buy our rice from places that will sell it to Trinidad far cheaper’. Do you know what that would do to our rice industry in Guyana?” he questioned. Ramjattan said that anyone who would just call for the leaving of CARICOM without extensive research and consultations is an “idiot”. “These idiots have not understood the repercussions whatsoever of leaving CARICOM. The benefits of being in CARICOM would be riven asunder. We have benefitted tremendously from the fact that we have treaty obligations,” he stressed.
‘Demonstrated’
Guyana’s Attorney-General said that he will not be ensnared in any debate in the press about alleged violations of the Treaty of Chaguaramas when there are none, and it is a known fact that the Irfaan Ali government, and by extension the PPP/C, has been very vocal of its support for CARICOM. “We have demonstrated our commitment to the RTC by being one of the first territories in CARICOM to sign on with the Caribbean Court of Justice (CCJ), both in its original jurisdiction and its appellate jurisdiction. It is the original jurisdiction that creates the enforcement mechanism for the Treaty of Chaguaramas. Additionally, Guyana was one of the first to sign on, without reservation, to the CARICOM Single Market and Economy,” Nandlall said. He pointed to the fact also that that there some CARICOM territories that have not yet activated mechanisms under the CSME, while others have signed on with reservations. “Therefore, there ought to be no reasonable doubt regarding Guyana’s commitment to CARICOM or the Revised Treaty of Chaguaramas,” he emphasized.
‘Crucially requisite’
Turning to the issue of the local content legislation, Nandlall said that it was a “delivered” manifesto promise of the People’s Progressive Party/Civic and is needed to protect Guyana’s citizenry. “It is a legislation that we believe is crucially requisite to protect the interest of Guyanese citizens and Guyanese businesses in the oil and gas sector. Most oil producing nations of the world have similar legislation or policy,” he said.
Of importance, the Attorney-General pointed out, is “to emphasize that the dominant policy of our legislation is not the exclusion of foreigners and foreign interests, but is the inclusion of Guyanese and Guyanese interests.” “In my view that is the State’s unqualified obligation to its citizenry—that is, to ensure that they benefit maximally, not necessarily to the exclusion of others, from their own patrimony.”
He believes that this much was echoed by Prime Minister Mia Mottley of Barbados at the National Oil and Gas Conference, held here recently. “Prime Minister Mottley emphasized that it is a State’s duty to ensure that its citizens do not become ‘tenants in their own lands’; and that it is duty of every government to ensure that the citizens of that nation benefit from the resources of that nation over and above anyone else. I have not seen anyone fault Prime Minister Mottley, thus far, for those statements.” Nandlall continued, “Those are the very sentiments that inspired our local content legislation. It is difficult for anyone to question Prime Minister Mottley’s commitment to regionalism. Significantly, she is a Queens Counsel and would have a working understanding of the legal issues at hand than most.”
‘Clear position’
He added that during the local content bill debate he had stated that he was satisfied that there is no violation. “My view has not changed. I also stated that there are other CARICOM territories that have local content policies or legislation that are more nationally protectionist than our legislation. Some have been in existence for decades without challenge,” he said.
Pointing to the recent CARICOM Heads of Government meeting in held in Belize, Nandlall said that if there was regional contention over this country’s laws, it would have been a topic for discussion at the summit. He believes that some persons here are trying to make an issue when there is none. “I have not observed in the press any reports of a controversial nature regarding Guyana’s local content legislation, emanating therefrom. What I know, is coming out of that meeting was a series of decisions that not only expanded Guyana’s role in CARICOM, but also invited CARICOM territories to invest in various sectors in Guyana under incentivized regimes. So, ironically there is an unprecedented deepening of trade and other relations between Guyana and CARICOM States,” he said.
Nandlall added that he will not be “distracted by exchanges ongoing in the public domain” because he supposes that it is a matter of “mere free speech and expression” on display, both of which his government “welcomes in our democracy”. “The government’s position is clear on this issue, and so is the majority of Guyanese,” Nandlall said.
