GUYANA and India will soon sign a memorandum of understanding to build a relationship around energy which extends far beyond crude oil, even though Guyana, by 2027, will have the capacity to supply close to 20 per cent of India’s daily crude oil needs.

Vice President, Dr Bharrat Jagdeo noted this in an exclusive interview recently with WION, a major news agency in India.

Over the last week, VP Jagdeo has been in India on an official visit along with Senior Minister for finance, Dr Ashni Singh and a high-level delegation, building the momentum on engagements which were started earlier this year by President, Dr Irfaan Ali who also led a high-level team to the Indian sub-continent.

“We hope that [export of crude oil to India] will happen eventually, so now we are trying to build the architecture for a broader look at the energy sector,” Dr Jagdeo told WION, an English language-only news channel, noting that the bilateral agreement to start the work on this partnership will soon be signed.

Guyana is looking to learn from India and build relationships for capacity build as well, the Vice President said, as he noted this country is working to ensure the oil and gas sector develops in such a way that companies recognize their share of fiscal and environmental responsibility.

Even as an oil and gas producing nation, Guyana is still a leading voice in the fight against climate change, and remains one of the lowest contributors to global carbon emissions. Guyana has also managed to monetize its forest preservation and redirect that financing towards human development and climate change adaptation and mitigation as part of the Low Carbon Development Strategy (LCDS).

Only starting to produce oil in 2019, Guyana could produce as much as 1.2 million barrels in the next four years, according to VP Jagdeo, which could find a place in the Indian market.

Turning attention to matters of the G20, Guyana is also looking to leverage its continued friendship with India as that country holds the presidency of the G20. The G20 is a major global forum for international cooperation.

VP Jagdeo plugged India as always having an independent global voice and a nuanced position on issues of global development, which he hopes will continue as the country has also advanced the causes of Small Island Developing States (SIDS).

Recognizing India’s strength in renewable energy, economic growth, and its global stature, VP Jagdeo underscored that India has so far not only advanced its own interests, but also the interests of global south countries which otherwise would not be invited to certain tables in the international system.