THE 2013 budget was last night approved in the National Assembly, following more than two weeks of gruelling policy debate and detailed

considerations of its estimates, but not before the combined opposition slashed $19B from the Ministry of Finance.
The $19B cut, specifically from the Low Carbon Development Strategy (LCDS) programme, brings the total  cuts effected to the government’s 2013 expenditure to a whopping $31,353,525,998.
Altogether, the combined opposition has gutted from the nation’s 2013 allocations, monies that had been budgeted for the Specialty Hospital at Liliendaal; the expansion of the Cheddi Jagan International Airport,as well as subventions for the Government Information Agency and the National Communications Network.
Last evening, $19B cut was piloted by the Alliance For Change (AFC) Leader, Khemraj Ramjattan and found support within the ranks of A partnership for National Unity (APNU).
Finance Minister Dr Ashni Singh, as he appealed to the combined oppositon, reminded that the money has been allocated as equity for the Amaila Falls Hydro Electric Project, for which there has already been unanimous public support, even by the opposition members.
Speaker of the National Assembly, Raphael Trotman, prior to the vote on the $19B cut, suggested that there should be attempts to foster a greater ‘buy-in’ for such a project, and not just have briefings with the opposition members.
Dr Singh responded by reminding the House that at the highest level of the Administration, a commitment was made to provide answers and documentation to the opposition, upon request
The finance minister said that he isn’t quite sure what more the government could have done, pointing out that it is difficult to answer questions if they are never asked.
AFC Leader Ramjattan, in bringing his motion to the floor to reduce the $20B allocation to the programme by $19B, queried of the finance minister as to the progress made in relation to financial closure for the remaining monies required on the project.
Dr Singh informed the House that this is expected to be completed by September of this year.
He said that the Inter-American Development Bank (IDB) has also deployed teams to Guyana, that have commenced ‘due diligence’on the project.
The minister informed the AFC Leader that the ‘Mandate Letter’ has already been executed between the IDB and Sithe Global, the company contracted to build the US$840M Hydro Electric Plant at Amaila Falls.
This, he said, had been completed ever since September of last year, and could not have been possible without the support of the IDB at its various levels.
The minister told the House that upon completion of the IDB’s due diligence, the final decision on the loan will be made at the level of its Board of Directors.
He reminded that the process would not have reached the current stage had there not been support for the project on the part of the financial institution.
Dr Singh said that a number of ‘green lights’ have been achieved, as he sought to appease opposition concerns in relation to the critical financial closure of the project, and said the fact is that the IDB was at an advanced stage in the completion of its due diligence on the project.
AFC Vice-Chair, Moses Nagamootoo, also queried of the finance minister, greater detail on the source and procedure for the financing of Guyana’s equity to the project, which the House subsequently slashed.
Nagamootoo specifically queried the ‘benchmarks’ and ‘triggers’ associated with the release of the disbursement of the money that Guyana had acquired through its pact with Norway.
The Finance Minister said that Guyana has already qualified for and received $US150M from Norway under the arrangement.
Government is in part directing monies raised under this arrangement, towards the Hydro Power Project as its part of equity.
Each of the projects to be financed using the monies received from Norway and placed in the GRIF Fund are done following evaluations of set criteria.
To this end, Dr Singh explained that upon financial closure on the part of the IDB for the remaining money for the project, Guyana’s equity will automatically qualify to be used as financing, using the monies accumulated from Norway.
This, he said, is expected to occur in September, hence its inclusion in the budget for 2013.
The AFC contended, however, that it would wait until the IDB has given its financial closure for the project before it would approve use of the money in Parliament.
Calling the IDB’s decision to support the project ‘anticipation’ and ‘speculation’, Nagamootoo said until the IDB has approved its money for the project, the AFC will not approve money for it.
Speaker Trotman, at this point, interceded and advised that decisions in the House should not be based on “what a board in Washington decides.”
Trotman reminded that Guyana’s sovereignty should be held to high accord when the National Assembly decides on a matter.
Dr Singh concurred, and reminded the APNU and AFC members of their previous public support for the Hydro Electric Project, and urged the members of the House to vote likewise.
Dr Singh, to no avail, told opposition members that the correct signal must also be sent to the international partners that Guyana is serious about the project through  its vote in the House.
Earlier in the day, the House approved the estimates for the Ministry of Housing and Water;
“There is no need to lock-horns and engage in a big political debate,” said Dr Singh.
Responding to Speaker Trotman’s appeal for working together on projects recognised as national in nature, Dr Singh said that “this walking together cannot be accomplished by one side….I am struggling to see what else can be done,” as he explained that government has on numerous occasions engaged the political opposition, particularly on the Amaila Falls Project.