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- POLITICS/ECONOMY/GOVERNANCE
Court of Appeal to rule today on jurisdiction to hear election petition: Guyana Chronicle
THE Court of Appeal will today hand down its ruling on whether or not it has the jurisdiction to hear and determine the appeal of APNU+AFC’s Election Petition 99 of 2020. The ruling will be given during a virtual hearing by Chancellor of the Judiciary, Yonette Cummings-Edwards, and Justices of Appeal, Dawn Gregory and Rishi Persaud, at 14:00 hrs. On January 18, 2021, Chief Justice (ag) Roxane George had struck out the case, which had been filed by Monica Thomas and Brennan Nurse. They were asking the court to nullify the outcome of the March 2, 2020 General and Regional Elections, and declare that President Dr. Irfaan Ali is illegally occupying office.
Private Sector Commission not independent- PNCR Leader: Demerara Waves
Leader of the People’s National Congress Reform (PNCR), Aubrey Norton on Monday said his party is pro-private sector but he said from many accounts the Private Sector Commission (PSC) as politically biased. He sought to assure Guyanese that his party is pro-business but said he has been asked by business persons to draw a distinction between the private sector and the Private Sector Commission (PSC) as they believed that that organisation does not operate in their interest but is politically partisan.
Ali Govt. wants power to empty oil account for unrestricted spending on emergencies, “green economy” projects: Kaieteur News
Natural Resource Fund Bill 2021…
According to the Natural Resource Fund Bill 2021, the PPP/C Government is proposing that the oil revenues be used to satisfy four specific purposes. Part II of the Bill outlines these to be: ensuring that volatility in revenues does not lead to volatile public spending; ensuring that oil revenues do not lead to loss of economic competitiveness; fairly transferring natural resource wealth across generations; and most importantly, “using natural resource wealth to finance national development priorities including any initiative aimed at realizing an inclusive green economy.”
Easier access to loans, change in banking relations on PSC 2022 planning: News Room
As the new year looms, Guyana’s Private Sector Commission (PSC) is set to increase lobbying efforts for easier access to loans and the modernisation of the country’s banking sector. Once that is achieved, PSC Chairman Paul Cheong believes it will propel locals to participate more in Guyana’s nascent oil and gas sector.“There are still a few things that we need to work on access to finance, there are a few adjustments that we need to make as a country,” the PSC Chair said in a recent interview with the News Room. Giving context, Cheong stated that better provisions should be in place to accommodate smaller businesses that do not possess the required collateral for loans, as this is a common hurdle faced by many businesses under the PSC.
Auditors unable to account for billions due to missing records -2020 Report: Kaieteur News
The 2020 audit was hampered by the absence of records pertinent to the process. According to the report, which was laid over in the National Assembly recently, it was outlined that 1328 payment vouchers totaling $2.806 billion were not presented for the 2020 audit. The missing financial records resulted in the limitation of scope for audits examining government expenditure for the year. According to the document, 1282 of the payment vouchers, which totaled $2.728 billion were in respect of Office of the President, Office of the Prime Minister, Guyana Defence Force, Ministry of Public Works and Ministry of Home Affairs.
- OIL/ENERGY
Guyana’s Local Content Policy and the complete education of all Guyanese children | OilNow
Bill strikes balance between interest of oil companies, local businesses – Attorney General | OilNow
Govt. wants flexibility to close corruption loopholes in oil companies’ procurement plans: Kaieteur News
Local Content Bill 2021 Series – Pt. 2
In today’s review of the PPP/C Government’s Local Content Bill 2021, Kaieteur News will examine the powers of the Minister. It is being proposed that the Minister of Natural Resources would be tasked with the following duties: -the approval or refusal, after consultation with the Local Content Secretariat, of a Local Content Master Plan and a Local Content Annual Plan, or modifications to an approved Local Content Master Plan or Local Content Annual Plan; -prescribing the rules on local content measurement and certification; -prescribing the metrics to be applied in determining the achievement of minimum local content levels; -establishing and collaborating with multi-stakeholders on local content;
Goolsarran calls on gov’t to release IHS audit of Exxon pre-contract costs: Stabroek News
Former Auditor General Anand Goolsarran yesterday called on the PPP/C government to release the IHS Markit audit report on US$460m in ExxonMobil’s pre-contract costs. The PPP/C government has sat on the audit report for months without releasing any part of it. The IHS Markit audit, which had been commissioned under the former APNU+AFC government, would provide the first real insight into whether ExxonMobil has been making undue expense claims. Baseless expense claims could reduce the quantum of profit oil available to Guyana. The non-release of the audit report has been compounded by the PPP/C government’s casual approach to the auditing of the whopping US$9.5b in post-contract costs.
The Natural Resource Fund Bill 2021: Governance, Transparency and Accountability: Guyana Chronicle (Columnist) Politics & The Economy: JB_Analysis
THE Natural Resource Fund Act 2019 is an important piece of legislation, albeit for reasons of constitutional legitimacy, transparency, accountability, and governance of the fund, the 2019 Act is set to be amended, inter alia, the Natural Resource Fund Bill 2021. This position was made clear by the current administration when in opposition. Hence, the premise of this bill is a commitment being honoured by the government of the day. Prior to the tabling of the bill in the National Assembly, a certain media house took completely out of context a comment made by the Vice-President on the bill at a private sector function.
President Ali assures wealth fund operations will face House scrutiny in new law | OilNow
Gov’t has a duty to ensure Guyanese are not left to pay US$3.1B to decommission the Liza and Payara wells: Stabroek News (Letter to the Editor) by Melinda Janki
There is every need for the transparency and accountability advocated for in the guest editorial, “Exclusionary Democracy” on 18th December. But it is delusionary to talk about the ‘magnitude’ of oil revenue for Guyana. As the fishermen, workers, market vendors and ordinary people who live here know, oil is making Guyana poorer, not richer. This daily reality is well illustrated by Monday’s ‘In the Diaspora’ column. The exploitative production sharing arrangements combined with abusive tax provisions give ExxonMobil, Hess and CNOOC about 90% of Guyana’s oil. For now, Guyana gets its little 10%. But in the future Guyana faces massive costs and liabilities.
Exxon Audit needed to determine conflict of interest: Kaieteur News (Letter to the Editor) by Jillian Adams
Reference is made to commentaries about Exxon audit and potential or probable conflict of interests in monitoring Exxon’s environmental record. There was a commentary that Mr. Shyam Nokta signed off on Exxon’s request for approval for drilling and production. He is supposed to be monitoring Exxon’s environmental record. But doesn’t his personal company have contract with Exxon? Mr. Shyam Nokta was not only a candidate on PPP list in 2020 elections, his environmental company, Environmental Management Consultants Inc. (EMC), was reported to get contracts with Exxon and has a very close relationship with Exxon as well as with the Guyana government.
Fangtooth drilling results expected early next year, says Stabroek Block co-venturer: OilNOW
Results from drilling operations at the Fangtooth-1 prospect located at the 6.6 million acres Stabroek Block offshore Guyana is expected in early 2022, a co-venturer on the license has confirmed. “Fangtooth’s results are expected sometime in the second quarter. We’re on the well, we spud the well, you know, and then drilling top hole for the well,” said Greg Hill, President and Chief Operating Officer of Hess Corporation, a 30 percent stakeholder at the Stabroek Block. He was speaking at the time at the Global Energy Conference 2021, held in November.
EPA secures over GY$900 million in payments for flaring – Parsram: OilNOW
Head of the Environmental Protection Agency (EPA) in Guyana, Kemraj Parsram says to date the Agency has earned GY$930 million (US$4,500,000) in payments for flaring related to oil production activities ongoing at the ExxonMobil-operated Stabroek Block. The EPA head disclosed this to OilNOW in a recent comment. This follows amendments to the Liza Phase One Environmental Permit which was announced on May 13, 2021. OilNOW previously reported that the revised permit features modified terms and conditions relating to the emission reporting requirements, technical considerations for flaring, and timelines for flaring events.
Two years later, Guyana oil discoveries soar, prosperity on the horizon | OilNow
Global oil and gas discoveries on track to hit lowest in 75 years, says Rystad Energy: OilNOW
Norway based energy research and business intelligence company Rystad Energy says global oil and gas discoveries are on track to hit their lowest full-year level in 75 years should the remainder of December fail to yield any significant finds. As of the end of November, total global discovered volumes this year are calculated at 4.7 billion barrels of oil equivalent (boe) and, with no major finds announced so far this month, the industry is on course for its worst discoveries toll since 1946. This would also represent a considerable drop from the 12.5 billion boe unearthed in 2020.
Analysis show US$525 billion in upstream investments will be needed annually this decade: OilNOW
Even as the momentum surrounding de-carbonization continues to increase, a recent industry analysis by IHS Markit and the International Energy Forum (IEF) has concluded that demand for fossil fuels is nearing pre-pandemic levels, as such, US$525 billion would be needed annually through 2030 in the upstream sector so as to meet this need. The report notes that upstream investment in the oil and gas sector in 2021 was depressed for a second consecutive year at US$341 billion – nearly 25% below 2019 levels. The document was careful to point out that oil and gas demand is now near pre-pandemic highs and will continue to rise for the next several years, particularly in developing countries.
Norton sets face against proposed amendments to oil money fund: Village Voice News
…vows to return PNCR to the grassroots
Aubrey Norton – the newly elected Leader of the People’s National Congress Reform (PNCR) – vowed to return the party to the grassroots, while tackling head on issues of national interest such as the need for a clean Voters’ List, an impartial Chief Elections Officer and a Natural Resources Fund (NRF) Legislation that ensures Guyanese reap the benefits of the Oil and Gas Industry… He also took issue with the Natural Resources Fund (NRF) Bill, which was recently tabled by the PPP/C Administration in the National Assembly. According to him, it is designed to shortchange Guyanese of its resources. “We will not allow the People’s Progressive Party to put in place a machinery to rob this country.
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