The long awaited consultations on Guyana’s draft local content policy which kicked off this afternoon at the Arthur Chung Conference Centre and will last for one month, saw President, Dr. Irfaan Ali calling for achievable targets to be set for industry operators.
During his address to stakeholders which included members of the private sector and the University of Guyana, the Head of State noted that the administration envisions the policy being one that holds great clarity in its definitions, is responsive and flexible, and sets a framework through which all those who engage in oil and its forward and backward linkages, are able to play their role effectively and reap the benefits.
He stressed however that the policy cannot simply focus on getting the most out of oil and gas. The President said that the policy must lead to the development of capacity in manufacturing, industrial capacity, human resource management, insurance and banking and other emerging industries.
Ali said too, “It is not only about giving out contracts but building companies to be globally competitive. Government has a responsibility in this regard to build the macro environment that is needed for this and improve the ease of doing business, improve legislation to meet future demand to respond to future economies, and build institutional capacity.”
While his government is aware of the need to bridge these gaps, he said that work still needs to be done to ensure there is local participation for the oil sector.
The President said, “…We want the investors who are coming in to recognize that through regulation they have to commit to local content and understand that we will work with you in setting targets…”
He added, “…We need to identify areas that can allow us to say this is completely for local supply.” The President alluded for example that this could be in the area of rentals of buildings and brokerage services.
The President noted that his overall objective is to ensure that Guyana’s policy will be one of difference and will go beyond the identification of opportunities for jobs and training for the sector.
