Dear Editor,
Yesterday I had the opportunity to engage with Mr. Elson Low, Economic Advisor to the Leader of the Opposition, on the Guyana Business Journal & Magazine Platform’s panel discussion on the topic, “Transforming Guyana Season II, Episode V Transparency & Accountability and the Emerging Guyanese Oil & Gas Economy”. The programme was moderated by Dr. Terrence Blackman and included Ambassador Michael Skol, Dr. David Lewis and Dr. Troy Thomas on the panel.
In his presentation, Elson Low unknowingly made a critical blunder which exposed the Political Opposition’s incompetence and
slumber on the very issue that they are now capitalizing on to score political points. In this regard, he revealed that the Opposition was told by ExxonMobil about the reduction in the US$214 million to US$3 million during a meeting with ExxonMobil Guyana, which occurred one week prior to the media and others making a big controversy out of the issue. Up to that point, the Opposition had absolutely no issue with the reduction from US$214 million, they did not question this neither was it a controversy at that time.
The sequence of events were as follows: To give a brief background, the issue of the audit became a topical matter when Stabroek News first reported on the audit with the disputed sum of US$214 million referencing the IHS report. When posed to the Vice President at one of his weekly press conferences, he clearly affirmed at the outset that it is the government’s policy that politicians will not interfere in the process considering that the audit is a technical matter. As such, he referred Stabroek News to the Guyana Revenue Authority (GRA). Of note, the Vice President had always maintained that whatever is the GRA’s position, that is what the government will work with.
On September 5th, it was reported by Jagdeo that the figure was reduced from US$214 million to US$3 million. Up to this point, it was not a controversy or questioned by the Opposition, despite the fact that the Opposition was duly informed of this by ExxonMobil one week prior to this revelation by the Vice President. In the following week at the Vice President’s press conference held on September 14th, 2023, it was Kiana Wilburg, editor of Guyana Standard News who sought a clarification / explanation from the Vice President for the reduction. It was then that the Vice President explained that they previously were of the view that the reduction was sanctioned by the GRA. It turned out that this was not the case.
The origins of the reduction as per the Vice President’s report to the media was based on advice he received from the technical staff in a meeting with the Minister of Natural Resources. This suggested some further probing internally at the Vice President’s/Executive level. Notably, the Vice President, and by extension the government’s position, remained consistent throughout that the GRA is the sole authority in relation to the finalization of the cost oil audit.
Following the above revelation by the Vice President, on September 16th, 2023, everyone including the Opposition emerged from their inertia and transformed this situation into “the great controversy” and even trying to take credit for same. The Vice President then reported that he would ask the President to intervene at this stage who then ordered a probe into the matter. Consequently, the Minister had to submit a report to the Cabinet for deliberation.
Editor, all of the foregoing effectively demonstrates that the government is evidently holding itself accountable, given that it uncovered the unauthorized reduction, then took a firm decision that the original sum of US$214 million by GRA stands. The government also was bold and honest enough to accept responsibility for this situation and has committed to taking the necessary measures to prevent a recurrence. This is a fundamental facet of accountability as well. Let me end by crediting the government for this level of self-accountability and transparency that the government has subjected itself to.
Sincerely,
Joel Bhagwandin