No backing down
Minister of Public Infrastructure David Patterson addresses the National Assembly on the Berbice Bridge Company Inc. proposed toll increase (Adrian Narine photo)
Minister of Public Infrastructure David Patterson addresses the National Assembly on the Berbice Bridge Company Inc. proposed toll increase (Adrian Narine photo)

…Gov’t vows to protect citizens against bridge toll hike

MINISTER of Public Infrastructure David Patterson has once again come against the proposed toll increase of the Berbice Bridge Company Inc. (BBCI), stating that the move is in breach of the Berbice River Bridge Act 2006.

Patterson made the announcement when he read a statement during Wednesday’s sitting of the National Assembly, even as he called out the company for “threatening Berbicians and Guyanese as a whole” to unlawfully implement the toll increases. “The unilateral announcement by the Berbice Bridge Company Inc. is in breach of the Concession Agreement and Section 4 (1) Subsection 2 of the Berbice River Bridge Act 2006,” Patterson stated.

Part of the subsection gives only the Minister of Public Infrastructure the authority to determine the maximum amount of toll. As such, the government contends that no other amount than that approved and gazetted by the minister can be accepted without his approval.

On October 16, 2018, the bridge company announced that, commencing November 12, 2018, it would be moving to raise the bridge toll over three fold. The rates announced were: cars: G$8,040; pickups: G$14,600; 4WD: G$14,600; minibuses: G$8,040; small trucks: G$14,600; medium trucks: G$27,720; large trucks: G$49,600; articulated trucks: G$116,680; freight: G$1,680 and boats: G$401,040.

The company defended the move as being done to meet their operational costs and to off-set the company’s accumulated loss. In a counter press conference on the same day, Minister Patterson had assured citizens that the government will do all in its power to prevent increases. He added that his ministry would be seeking legal advice from the attorney-general’s chamber and that all options, including increasing the number of river taxis in service, would be explored.

In presenting a clear outline of the history of the bridge on Wednesday, Patterson said that the Berbice River Bridge Act 2006 was passed in the National Assembly and assented to in January, 2006 by former President Bharrat Jagdeo.

The concession agreement was later signed on June 12, 2006 for 21 years, while the bridge’s construction was officially completed and commissioned in December, 2008. In a press release dated October 29, 2018, BBCI had listed the investors and their shareholder percentage in the bridge as follows: National Industrial & Commercial Investments Limited (NICIL) – 10.0 per cent; National Insurance Scheme (NIS) – 20.2 per cent; Hand in Hand Fire Insurance Co. Limited – 10.0 per cent; New GPC Inc. – 20.0 per cent; Queens Atlantic Investment Inc. – 20.0 per cent and Secure International Finance Co. Limited – 20.0 per cent.

Patterson noted that since the commencement of operations of the bridge, there has been only one request for toll increases under the seven years of the People’s Progressive Party (PPP) from 2008 to 2015. However, under the present administration, three toll increases, in 2016, 2017 and 2018, had been sought which were never approved.

Patterson told the House that honouring its A Partnership for National Unity/Alliance For Change (APNU/AFC) campaign promise, the government entered into agreement with the BBCI in December 2015 to provide subsidies on the tolls charged. This has since seen, from January 2016 to date, a total of $465M in subsidies being provided and by the end of the contract period the government would have provided some G$1.8B in support.

In addition, on October 11, 2018, the BBCI and the Ministry of Public Infrastructure agreed that the latter would assume full responsibility for the maintenance and rehabilitation of the bridge’s 39 pontoons. Over the years, the state of the pontoons has been in breach of the Concession Agreement regarding maintenance and the BBCI has thus accepted this new offer.

The BBCI still claims debts in excess of G$6B and, with the request of the government, the company’s audited accounts were provided to the Ministry of Finance as recent as Wednesday. “There has been a general outcry in relation to the proposed rates which will not only affect Berbicians, but all Guyanese. It is unconscionable which this coalition government cannot and will not accept under any circumstances,” Patterson said in his statement in the National Assembly.

Just days after the BBCI’s unexpected announcement, members of the public, along with groups such as the Central Corentyne Chamber of Commerce and the Berbice Chamber of Commerce, expressed their shock and outrage with the announcement.

With this in mind, Patterson stated: “While the Ministry of Public Infrastructure is working assiduously along with other ministries of the government to find a reasonable and acceptable solution under the confines of the law, the Berbice Bridge Company Inc. has been threatening Berbicians and Guyanese, as a whole, to unlawfully implement and introduce the proposed oppressive increases in tolls on or before November 12, 2018.

“The coalition government has no intention of approving the toll increases proposed by the Berbice Bridge Company Inc. and assures the people of Guyana that in the interest of peace, order and good government, we stand ready to protect their legitimate right to a peaceful life in Guyana.”

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