A MAJOR overhaul of Guyana’s local content certification process is set to take effect in January 2026, with the introduction of clear, digitised timelines aimed at ending uncertainty for businesses seeking approval to operate in the oil and gas sector.
Director of the Local Content Secretariat (LCS), Attorney-at-law Michael Monroe, outlined the reforms during a wide-ranging interview on the ‘Energy Perspectives’ podcast, describing the move as a critical step in modernising public services and strengthening confidence in the local content framework.
Monroe said the new system responds directly to longstanding complaints about delays. Under the revised process, the Secretariat has recalibrated its online portal so that applicants are guided step-by-step based on the type of business they operate.
According to Monroe, the use of technology is central to improving efficiency, especially as applications continue to increase.
“There is a voluminous number of persons seeking certification and it’s still a core team that’s processing these applications,” he explained. “So as the numbers balloon, obviously they will be oversubscribed… and that redounded to the lagging time in some instances.”
The new structure introduces defined timelines once all required documentation is submitted through the portal. Sole proprietors can expect a response within five business days for new applications and three business days for renewals.
Companies that are 100 per cent Guyanese-owned will receive responses within 15 business days for new applications and 10 business days for renewals, while companies with foreign shareholding can expect timelines of 21 business days for new applications and 15 business days for renewals.
“Unless and until you submit that documentation, the application would not be considered submitted,” Monroe stressed. “Once you submit, that’s when time starts to run.”
He said the portal will prevent incomplete submissions, a recurring issue under the old system. “Previously, we had a list… where persons, for whatever reasons, would present segments of those requirements,” he noted, adding that this often led to prolonged back-and-forth. The new system, he said, removes that problem by clearly demarcating what is required before an application can move forward.
Monroe described the timelines as ambitious but necessary. “We have a team, that while, we discount in numbers, we make it up in heart,” he said, adding that the Secretariat does not want to become “part of the problem” in a system where local content certification has become essential for suppliers to get paid.
Beyond certification timelines, Monroe also provided insight into planned amendments to the Local Content Act, informed by four years of data collected from contractors’ annual procurement plans. He said the Secretariat now has clear evidence that local capacity exists beyond the areas currently listed in the Act.
“We’re not pulling anything out of thin air. It’s heavy science. It’s data-driven,” Monroe said, revealing that as many as 20 additional areas could be added to the first schedule of the Act. He explained that companies are already spending in these areas and that many of the suppliers are locally certified. The proposed expansions, however, will be approached cautiously. “We don’t want to do it in a way that disrupts the supply chain of the company,” he said, noting that policymakers will ultimately decide how many new areas to include after reviewing the data and the broader macroeconomic picture.
A central issue expected to feature prominently in the amendments is the problem of “fronting,” where Guyanese nationals are presented as owners of companies that are effectively controlled by foreign interests.
“We have a situation where you would find Guyanese ostensibly presenting themselves as the owners of companies when, in fact, they don’t own the companies,” Monroe said. He described this practice as running “counter to the legislative intent and spirit of the Local Content Act.”
Monroe said his legal background has been critical in identifying and addressing these loopholes. Among the options being examined are additional conditions for qualifying as a local company and alternative pathways that balance equity ownership with local investment and skills transfer.
“We still achieve the core objective of the Act, which is to promote local content… to ensure that they’re not just mere bystanders in our petroleum story,” he said, while acknowledging the need to be realistic about labour shortages and operational challenges.
Monroe said momentum is building, with a policy dossier already in draft form and amendments expected to gain traction in 2026. He said stakeholder consultations will follow once policymakers give the green light.
