Transport & Harbour Dept. grappled by $956M debt — Minister Edghill

Sep 25, 2020 News

Minister of Public Works Juan Edghill on Wednesday revealed to the National Assembly’s Committee of Supply that the Transports and Harbours Department (T&HD) is deep in a debt of $956M—accumulated by the APNU+AFC during their five-year term in government.

Minister of Public Works, Juan Edghill

According to Edghill, when the People’s Progressive Party/ Civic (PPP/C) government assumed office in August, it discovered that the department owed to several State agencies including $496M to the Guyana Revenue Authority (GRA); $2.5M to the Guyana Public Service Credit Union; and $331M to the National Insurance Scheme, and a few other credit unions.
No monies from the 2020 emergency budget have been allocated to bailout T&HD from of its debt, Edghill said in response to a question posed by the former Minister of Public Infrastructure, David Patterson.
The current Minister noted, however, that monies will be budgeted to relieve the department out of its financial stress in the budget that is to come next year.
On the question of sustaining profitability under T&HD, the Public Works Minister indicated that the government would have to procure modernized ferries which would reduce travel time, consume standardized and lesser fuel, while still providing comfort and safety for the passengers. He was keen to point out too that he has intentions of keeping the aged ferries in operations.
Notably, during his 2020 budget presentation earlier this month, Edghill spoke to the “inability” of the previous regime to unlock bilateral processes to allow for the award of the construction of an ocean-going ferry, which would benefit from an Indian Government grant of US$8 million, and a low-cost interest loan of US$10 million.
“Five years later, as I stand here,” Edghill said, “the ferry is still on a desk in a document with controversy and with no resolution. Within 10 days of assuming office, his Excellency the President, the Vice President, yours truly and my colleague Minister [Deodat Indar], engaged the Indian Government about this troubled project, and I’m happy to let this National Assembly know today that that US$18M that was lying there for five years is now being utilised to bring a modern ferry to Guyana. We have resolved the issues.”
Edghill reminded that the stellings at the country’s main ports, namely the Parika, Supenaam, Bartica and Kumaka are set for upgrades this year, carrying a price tag of $64M in totality.

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