Minister of Natural Resources, Vickram Bharrat warned Guyanese against “fake promises,” as he clashed with A Partnership National Unity + Alliance For Change (APNU+AFC) Member of Parliament, Shurwayne Holder about the management of the country’s natural resources, as the National Budget Debates continued this morning.
Opposition MP Shurwayne Holder told the House that despite record high prices in recent years, the Gold Industry continues to underperform. He said despite promises by the People’s Progressive Party/Civic (PPP/C) Administration that gold production would increase, the sector continues to struggle.
“Mr. Speaker, the production level left by the APNU+AFC in 2019 was over 641,000 ounces. For five straight years under this PPP government, who by the way, continues to have access to hundreds of billions of dollars from oil resources, hundreds of billions from revenue collection and hundreds of billions of dollars from access to loans and grants, gold has constantly plummeted by more that 30% to 434,067 ounces,” he pointed out.
He said the decline in production is due to lower declarations from small and medium scale miners, and though there was a 0.5% or 1,954 ounces increase in production in 2024, it was largely due to the operation of the lone large-scale company. He estimates that the significant drop in production has resulted in a loss of approximately $300B over the past five years.
MP Holder said under an APNU Government, there will be mineral mapping to allow for the opening up of new lands for gold mining and other critical minerals.
He told the House while the PPP/C Government has boasted of a 225% increase in bauxite production in 2024, under the APNU+AFC Government, bauxite was produced and exported on a much larger scale.
Turning his attention to the Oil and Gas Sector, MP Holder, while describing the Government as “lawless,” said while the Minister of Finance has accounted for monies received from Norway through the Low Carbon Development Strategy, he refuses to account for the spending of hundreds of billions of dollars of the country’s oil money.
To compound the situation, he said a government functionary nearly signed away US$214M in recoverable monies that the auditors flagged as questionable costs. He said the announcement by the government that tax concessions will be offered on back-up generators is an indication that the Gas-to-Energy Project is likely to face more delays.
“The Gas to Energy plant teeters on the brink of disaster, with multiple delays piling up, and the government going as far as removing VAT on generators, a warning sign, if we ever saw one, that the project may be far from completion. If this were not concerning enough, there are not one but two arbitration claims by the contractor against the government! The first is $50m USD, and the second, likely to be just as hefty a sum. Who knows what the final total will be after all these lawsuits, and whether there are even more on the way! Here again the government has been silent, only acknowledging the first suit after an international newspaper broke the story,” he said.
He promised that an APNU Administration will constitute an Advisory Team of professionals to advise the Government on the upstream, midstream, and downstream planning, development and administration of Guyana’s Oil & Gas sector.
“We will review the existing drafts of the Petroleum Commission Legislation and restructure as necessary to finalise the establishment of an independent/autonomous Petroleum Commission equipped with the highest caliber fit-for-purpose professionals, to manage the Oil & Gas sector, from application for licenses through auction, exploration, production, sales, refining, and gas utilisation for energy conversion. Mr. Speaker, the PPP has betrayed the trust of the Guyanese people on this matter. In opposition and even in the first few months after 2020, both the minister of natural resource and Vice President promised to set up the Petroleum Commission, but after becoming comfortable and with hands on the oil money, they turned their back on the people,” MP Holder told the House.
But the Natural Resources Minister said Guyanese should be wary of “fake promises,” by the Opposition.
He said the Opposition continues to to “pluck figures out thin air” and offer recommendations that are already being implemented by the current Administration.
“Again in 2025 they will come with those fake promises, they will come with those fake promises of 400,000 threshold, of 80,000 pension but these are the people who took away the cash grant from the students. These are the people added VAT to light and water in this country, these are the people who added VAT on education and health services but yet you come to the National Assembly with all these lofty promises, and recommendations, that we will manage this sector, and that we will ensure that the oil money reaches down to the people. Well, Mr Speaker we are doing that, the People’s Progressive Party/Civic is doing that,” Minister Bharrat said.
The Natural Resources Minister said it was the APNU+AFC coalition that mismanaged the Bauxite Industry, adding that the increase in gold production under the coalition was as a direct result of the policies and projects approved under the PPP/C Administration.
“He spoke a lot on gold but what he didn’t say is that the highest production for gold was in 2016, was 2016 but if you truly understand how the sector works, the work was done before. The work was done by the People’s Progressive Party/Civic Administration, so that production could be high in 2016, 2017 and in 2018. It was the work of the People’s Progressive Party in ensuring that the Aurora Gold Mine was established and started to produce. It was the work of the People’s Progressive Party/Civic Government to ensure that Troy Resources invested, and they started to produce and that is what he is boasting of,” he argued
Minister Bharrat told the House that the APNU+AFC failed to make good on many of the promises in their 100 day plan.
“Mr Speaker, 50,000 house lots, promise delivered 50,000, promised delivered. Mr Speaker, 20,000 scholarships, promised delivered. Mr Speaker double the old age pension in our first term in office, promise full filled. Mr Speaker reinstate the ‘Because We Care’ cash grant, and increase it to $50,000, promise full filled. Mr Speaker, remove VAT on electricity and water, that the APNU+AFC Government instituted against our ordinary Guyanese people, the removal of that promise full filled. Mr Speaker, new hospitals, new schools, new roadways, new highways, promise full filled,” Minister Bharrat boasted.
He said the Irfaan Ali Administration will continue to act in the best interest of the Guyanese people, and will continue to put forward pro-people policies, projects and programmes while investing infrastructure development.
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