…TORs almost ready, design contract to go to tender shortly

THE Terms of Reference for the construction of a highway from Linden-Lethem by the Guyanese and Brazilian governments will be ready next month, the Ministry of Foreign Affairs has said.

The information was contained in a statement issued following the brief visit by Brazilian Minister of External Relations, Aloysio Nunes Ferreira, in Georgetown on Thursday. Vice President and Minister of Foreign Affairs, Carl Greenidge held talks with his Brazilian counterpart, who also paid a courtesy call on President David Granger. This year marks the 50th anniversary of the establishment of diplomatic relations between the two countries. The delegations also discussed planned activities to celebrate the occasion.

Meanwhile, during the meeting, Ministry of Foreign Affairs said Greenidge and Ferreira discussed areas of mutual interest, including the ongoing talks on the Linden to Lethem road link, the International Road Transport Agreement (IRTA), and trade and investment matters. In addressing bilateral cooperation, they examined the expansion of the Partial Scope Agreement (PSA), which allows the two States to export specific goods with reduced or no tariffs.

“We looked at challenges posed by phytosanitary regulations and how we can talk through them to ensure that acceptable standards apply to the agricultural commodities moving across the border and in particular to Brazil,” Minister Greenidge explained after the meeting.

Meanwhile, Minister of Public Infrastructure, David Patterson, who also attended the meeting, noted that the terms of reference for the Linden to Lethem road project will be ready by August of this month. “One of the main purposes of the meeting is to ensure it remains a priority for both States. Therefore, by bringing such a large delegation, Brazil shows that they are as committed as we are to see this project through,” Minister Patterson said.

Phase one of the project covers approximately 125 kilometres of the road (Linden to Mabura Hill) and also includes a bridge across the Kurupukari River. Guyana secured funding from the British Government through its UK Caribbean Infrastructure Partnership Fund (UKCIF) programme to complete the design. The contract for this consultancy will be awarded shortly.

Late December last year this newspaper reported that Guyana and Brazil will be working closely with China to access a US$50B China Select Fund to help construct the road. Speaking after the Guyana Government signed two agreements with Brazil, one of which deals with the road link, the Ministry of the Presidency said President David Granger noted that for decades both sides envisaged a route through Guyana, which will provide better development prospects for investors to come from the Caribbean into Brazil and from Brazil into the Caribbean. “This is something that has been long discussed and in fact, in some parts of the Rupununi, roads were actually aligned but we never had funding to complete it. The infrastructure agreement we are entering will be focused on fulfilling that obligation to building a road between Lethem and Linden. Brazil has done its part; Brazil has built a bridge under the Presidency of Luiz DaSilva and the road literally comes right out to the bridge. We need to do our part, so that is a very important agreement that was signed,” he said.

Greenidge, for his part had explained that in July last year he and Minister of Public Infrastructure, Mr. David Patterson met with their respective counterparts to discuss moving the project forward. At that forum, it was agreed that both countries will provide financial resources for the engineering and design of the road. “The engineer and design probably would cost somewhere in the region of $5M to $10M, between the two countries and with another partner, probably one of the multilaterals, we will close that financial package for that design…Guyana has been speaking about it for ages; the funding of the road clearly is a challenge to both countries. Guyana is very small, so this is a big burden in terms of the financing costs. In order to conclude financing of such a project, you have to have all the technical aspects completed. The engineering design is one of the last aspects of the technical side to be completed,” the Minister disclosed back then.

He also informed that the two countries will be working closely with the People’s Republic of China to access the $50B China Select Fund to complete the road. Minister Greenidge explained that this road link is a critical piece of infrastructure that holds great potential in terms of integrating the two countries and improving trade. “The region of Roraima will not only provide Guyana with markets into Brazil and into Roraima, but in terms of volume, a larger volume of movement will be involved so as to get Brazil’s products, agriculture or otherwise, into the international markets by the route that turns out to be a lot cheaper than the route that they currently use, so it is a value to both sides,” he said.

Guyana and Brazil have enjoyed cordial relations since the establishment of formal diplomatic ties in 1968. This country has received Brazil’s support on the ongoing Guyana-Venezuela border controversy. In fact, the President described Brazil as “a guarantor of Guyana’s territorial integrity”. “Brazil has borders with every country on the continent of South America except two and Brazil has stated over and over again that it has no interest in redrawing borders… Brazil has stated over and over again its principle that borders which have been established under international law should not be disturbed and that is all we ask for,” the Head-of-State has said.