Dear Editor,
Every day on reading the highlights in our Guyanese media I become sick of the incessant call to renegotiate the oil contract with Exxon. These cries come from very qualified minds at home and abroad and from some “talking” heads.
In contract law the two most compelling reasons for contract renegotiation are “Fraud” or “Misrepresentation of facts.” That is a tall ladder for Guyana to climb – Exxon knows that. I read the contract and most Guyanese should be aware, yes, it is not the best (now), but it was the best (then) given we did not spend a (nominal) cent directly to produce a barrel of oil prior to first oil. We are still struggling to pump water to our residents in the interior from 200 ft consistently, even in Georgetown. We the people should renegotiate the contract between us and our Government, vote in 2025 for the best Government.
When an entity engages in a contract it considers its risk and return, some of us are still in a Socialist mindset as to Exxon owing us something other than the contract terms. Name three other companies that can drill as deeply, safely as Exxon (20,000+) feet and keep Venezuela at bay. We had our Canadian explorer CGX’s drilling failures, remember, that is a premium we paid. The concept of renegotiating the contract is a dead one!
How many Guyanese will be happy if your landlord raise the rent because he or she heard you make more money, None! How many Guyanese would agree if the bank heard you make more money now so they will raise your interest rate on your mortgage or auto loan, None! How many Guyanese have bought land only to discover 5 years later it’s worth more now and the original seller called to get more money from you five years later, none will agree! Contracts have sanctity.
I applaud the current Government (Vice President) on its Local Content Amendments and to push for more philanthropic investments from Exxon and its foreign partners. They (Exxon, etc.) have large global budgets (Foundations) for this around the world. It must be a public/private partnership and should not be demands, but a collaborative discussion on what is best for all. It should not be additive to Guyana as oil related expenses. Some examples of the discussions we should be having with our partners.
1. Two new school buildings (or replacement) per year is a drop in the bucket. Do not wait for the next fire.
2. Finance the incremental delivery of textbooks/laptops – annually for our school as needed.
3. Finance a permanent staff to keep the city clean daily – (no city council – private), yes Georgetown stinks to most visitors. To some of us it’s paradise!
4. Finance a fleet of school buses to get children to and from school daily – without the endless taxis. I see daily the confluence of students on Lombard Street (No.42 buses) waiting for transportation after 5pm. What a disaster – to get home before 7pm.
5. Finance the cleaning of drains in Georgetown weekly with a private entity to alleviate floods.
6. Help us with crime fighting tools, additional cameras throughout and improve mobile laptop computers for our police officers.
7. Provide us with one helicopter “on standby” for emergency and trauma care, too many of our citizens lie on the roadway or in the interior dying because of lack of expediency. Ambulances or boat takes too long. Provide us with additional, MRI, XRAY, CTSCAN, defibrillator throughout the country.
The list above is not intended to be comprehensive, just some ideas to stimulate discussion amongst us, having wasted three years talking about renegotiating the contract. I am a fervent believer we can build around the periphery of the existing contract instead of spending the next 20 years talking about how bad the contract was. Let us focus on the future and the needs of our Nation. Was the contract between the Government of Guyana and Exxon aleatory? Some of the purveyors of bad information are taking us down a black hole, do not get sucked in, move on!
Yours faithfully,
Everton D. Morris
