Latest update November 14th, 2024 8:42 PM
Latest News
- State to pay $24M for police killing of Quindon Bacchus
- “Regardless of a referendum ExxonM has to consent to change oil deal- AG, Anil Nandlall
- ExxonM produced 500 million barrels of oil Since 2019- Company says
- Deadly Israeli strike shatters sense of ‘safety’ in remote north Lebanon
- Govt. signs rental deal for second powership
US$840M Amaila Falls hydro…Govt. willing to answer any question on project
Government has committed to answering questions on the multi-million-dollar Amaila Falls hydro project which should down costs of power for especially businesses.
Finance Minister, Dr. Ashni Singh
The commitment was made on Thursday by Finance Minister, Dr. Ashni Singh, during the annual awards ceremony of the Guyana Manufacturing and Services Association (GM&SA) at the Pegasus Hotel.
The invitees included several business leaders and Prime Minister Sam Hinds.
According to the Minister, earlier this year, a technical presentation was made to the opposition parties of the National Assembly.
There is now a need, he said, to build support and develop a sense of national ownership of the project which is expected to cost at least US$840M, the country’s most expensive infrastructure project to date.
The Minister opened the invitation to political parties and other “stakeholders”.
Over the weekend, the International Monetary Fund (IMF), of which Guyana is a member, urged Government to take steps to ensure the 165 megawatts project slated for Region Eight, is economically viable.
The lending institution, which wields considerable influence globally, also in a report of Guyana’s economy completed early November, recommended careful considerations of the risks and contingent liabilities of the hydro project.
Over the weekend, both the Alliance For Change (AFC) and the A Partnership For National Unity (APNU), the two opposition parties in the National Assembly which share a one-seat majority, called for an urgent review of the project which Government is banking on to solve its power woes. High oil prices have over the years remained a big taker of Guyana’s foreign currency.
The GMSA, an advocacy group for especially the manufacturing and services sector, raised the issue of high electricity rates saying it is affecting especially businesses in the manufacturing sector.
Responding to GMSA’s President, Mohinder Chand, the Minister said that cheap and reliable energy remains the biggest challenge for Guyana if it wants to truly become competitive and remain sustainable.
Both the AFC and APNU have been questioning the costs of the project, saying that they are not convinced that consumers would not be saddled with higher electricity costs.
Meanwhile, the GMSA President also called for a review of the level of personal income tax with a view to possible reduction. But Minister Singh later noted that while Government was willing, there were repercussions in making such decisions.
According to GMSA, high energy costs are affecting businesses. Shipping services and infrastructure limitations are also problems, Chand said.
GMSA’s President, Mohinder Chand
“There are a number of challenges faced in expanding non-traditional Guyanese exports. One medium-level risk that could affect the desired outcome of increased agro-food exports is the limitations of infrastructure and shipping services available, particularly to SMEs, due in part to current limitations of the main ports (e.g. the lack of a deepwater port for modern container ships).”
This risk has been mitigated by work undertaken during the current Canada project in Guyana to identify the most effective means of freighting agro-food products from Guyana to Canada.
Chand said that GMSA is examining the possibilities of expanding its export market opportunities more aggressively, especially in the Free Trade Agreements with the EU, Canada and in the Partial Scope Agreements with Brazil, China and other developed countries.
“We must intensify the industrial development process by promoting in-country joint ventures and partnerships. Manufacturing of goods is critical to a country’s development.”
Chand also tagged access to affordable credit facilities and emphasized that it needs to be addressed including a substantial reduction in interest rates for borrowing from commercial banks.
Customs improvement to reduce time for transactions is also a priority with several meetings already held by GRA.
“The financial services sector and particularly the commercial banks should also increase their presence in the hinterland and remote communities.”
“We need to monitor closely the quality and standards of imported goods into Guyana with a view of being fair, transparent and objective.”
Similar Articles
THE BLUNT OF THE DAY
Sports
Features/Columnists
Poor Power Planning (PPP)
…Peeping Tom Kaieteur News- Planning has long been the PPP/C government’s pride and joy. The PPP/C touts it at rallies,... more
Rising Gun Crimes in the Caribbean: Urgent Action required by all
By Sir Ronald Sanders Kaieteur News – There is an alarming surge in gun-related violence, particularly among younger... more
Weekend Cartoon
