CJIA cuts aimed at staving off more indebtedness - AFC

CJIA cuts aimed at staving off more indebtedness – AFC

Apr 27, 2013 News

Moves by the parliamentary opposition to slash some $5.3 billion from the Cheddi Jagan International Airport (CJIA) expansion project is in fact a strategic tactic intended to save Guyana from more indebtedness.
This is the deduction of the Alliance for Change (AFC) whose members at a press conference, yesterday, sought to justify the cut to the expansion project which has been vehemently criticised by Government. It is the view of the AFC that the project is one that can ultimately jeopardise the future of the country.

From left: AFC’s David Patterson, Tevor Williams, Khemraj Ramjattan, Kathy Hughes and Moses Nagamootoo during yesterday’s press conference.

Speaking at the Middle Street, Georgetown, Sidewalk Cafe, AFC Leader, Khemraj Ramjattan, said that while the party holds in high regard the comments of Chairman of the Board of Directors of CJIA, Ramesh Dookhoo, that cutting the allocation could, among other things, affect investors’ confidence in Guyana, this would not necessarily be the case.
According to Ramjattan if Government is allowed to proceed with the project Guyana could incur a debt that is tantamount to an additional $32 billion. He explained that once permitted the project would see Government gaining a loan of US$138 million from the China Exim Bank.
“If the project is in accordance with the feasibilities, we are not going to necessarily have the projects coming from all these things that they are speculating about – that we are going to be a platform for trips to Africa…and all of these airlines like Ezjet, RedJet and Delta are leaving this country.
“Why then jeopardise the future generation of Guyana with so much debt…That is the side that we saw and we must not allow simple facts like the Chinese came dangling dollars in front of you that you ran into it,” said Ramjattan in reference to Government’s explanation for taking on the expansion project.
Turning his attention to the company contracted to undertake the project, Ramjattan disclosed that there were allegations exposed in reports of the World Bank that it was involved in suspicious circumstances and corruption.
He insisted, “We have to be cautious with our monies and the Government must come clean.” He said that the parliamentary opposition was propelled into supporting the project last year since it was believed that the China Exim Bank has already secured the monies for Guyana, which in fact was not the case.
“It was one year after, November 2, 2012, that it was signed up…we had approved that first tranche, mobilisation as they call it, when we hadn’t the monies, why did the Government do that?”
As such Ramjattan said that the party will continue to “hold our hands on that project because we do not see it benefiting the Guyanese people.”
In its attempt to cut the allocation to the CJIA expansion, the parliamentary opposition also effectively slashed other areas of the Public Works sector, which according to Ramjattan, can be easily remedied if Government comes almost forthwith with a supplementary request.
This move, he said, could allow for those projects affected outside of the CJIA expansion, such as the construction of airstrips in the interior, to be paid off.
It is the belief of the AFC Vice Chairman, Moses Nagamootoo, that the expansion project was one which came into play through “political trickery” with the Government misrepresenting the project from the inception.
“In good faith we didn’t want to stop what they considered to be a window of opportunity to get the airport extended…we are still in support of it if they rework the contract and say they want G$10 billion to extend the airstrip we will do that, but we want commitment that they will negotiate for us to have new airlines to be able to work the Guyana route into the international boundaries.”
Adding her voice to the deliberation, AFC Executive Member, Kathy Hughes said that with the expansion project there should have been a relocation package, something that the AFC had alluded to early on. This, she noted, has not yet materialised to an extent that the Government had through the responsible Minister, regarded those within the proximity of the airport, including the branch of the Police Force and the Guyana Defence Force, as squatters.
But according to the Executive Member, there are several residents who have been asked to relocate to facilitate the project. While they are not only in possession of land titles, they have access to utility services.
“Therefore some real approach to deal with these individuals, who must be relocated, must be part of any kind of package,” asserted Hughes.