It is not only unacceptable but unpatriotic for the Guyana Government to pursue any appeal to a landmark decision on insurance coverage for oil spills which was issued yesterday by High Court Judge, Justice Sandil Kisson. This was the crux of a brief commentary offered today by Economic and Policy Advisor for APNU, Elson Low.
The judgment in question calls for the Environmental Protection Agency (EPA) to issue a notice of enforcement on ExxonMobil Guyana, demanding that it provide unlimited parent guarantee as well as an affiliate insurance policy to handle all costs for any oil spill that occurs at the Liza Phase One Project.
At the APNU’s weekly press conference, Low said the party has taken note of the judgment as well as government’s statement that it will appeal.
Low said, “The judgment shows that there is an absence of compliance and it is frankly sad. It is sad that it requires a court order and action to get government to enforce the existing provisions (of the Liza Phase One Environmental Permit- Modified May 2022) and we have seen this attitude extend for the audit of Exxon’s expenses.”
The policy advisor criticized the government for being lax in ensuring the protection of citizens’ interests. He said, “They should not appeal or dilute the rights of citizens by (asking Exxon to provide) limited coverage. We should recognize that there are risks associated with oil and gas production. We need to have adequate coverage.”
Low said the costs associated with an unmitigated oil spill could easily clear out Guyana’s oil account which has received about US$2B in royalties and profit oil since March 2020.
Low said he is disappointed that the Guyana Government would seek to appeal rather than engage in compliance with the court order. “Such lawsuits are not called for,” concluded the opposition advisor.
