A LOCAL-CONTENT policy, which will shape the operations of the oil and gas sector has been developed and will be examined by Cabinet later this month. This is according to Minister of Natural Resources Raphael Trotman, who was at the time responding to questions on the budget estimates in his sector on Tuesday evening.
Opposition Member of Parliament (MP), Odinga Lumumba, questioned the extent to which Government will incorporate small, medium and large-scale businesses to reduce existing inequalities between Guyana’s rich and poor.
Minister Trotman explained to the committee that the Government is in possession of a local-content policy, which Cabinet will examine later this month or January 2017.
He further explained that a draft of the policy will also be made available to the public for contributions to be made before the final document is issued.
“We will share it in a matter of weeks with the House and the public,” he told the Committee of supply.
Delving into specifics, Lumumba quizzed the minister on whether the draft document specifies potential for employment and business involvement on all levels, as well as training for the wider population on their involvement.
He was then directed by the minister to examine the index of the document, when it is released, since it has a list of all services of the surrounding oil and gas sector.
Minister Trotman also seized the opportunity to dispel rumours that the oil and gas sector will have enough space to facilitate all Guyanese.
He warned against citizens buying into this notion, referencing Uganda, where only 4,000 citizens out of a population of 18 million were directly involved in the sector.
“It is not true that everyone can be part of the sector,” the Natural Resources Minister said.
And with $200M approved for Petroleum Management in 2017, the minister also revealed that the Natural Resources Department will soon be establishing a Petroleum Division.
The division is expected to be staffed with 14 persons and a building in Kingston rented at $1M per month will facilitate its operations.
Some $178M was also approved for the procurement of buoys for oil-spill detection, oil-spill floating detection, vault, radio systems, water dispensers and other equipment and tools.
The Committee of Supply also approved $789M for the Natural Resources Ministry.