Latest update April 6th, 2025 11:06 AM

Guyana's largest selling daily and New York's most popular weekly

Latest News

Final document must ensure oil increases value of other industries

Feb 19, 2021 News

Understanding the Draft Local Content Policy (Pt 2)…

Kaieteur News – Today, Kaieteur News continues with Part 2 of its initiative, which seeks to provide the public with a simplified understanding of the draft local content policy that is currently undergoing a month-long consultation process led by the government.
As a brief recap, yesterday this newspaper explained that the policy proposes that local content be considered the sum of inputs of local goods and services, including employment, provided to oil and gas operations. This occurs when operators hire locals as employees or contractors or buy goods or services from them.
It therefore means that in the final document, Guyana should aim to: maximize the level, quality, and benefits of participation in the petroleum sector value chain by Guyanese.
Equally important is the aim of ensuring the policy seeks to ensure value extends beyond the oil sector. In this regard, one needs to examine, as a whole, the forward, lateral, and backward linkages that are possible.
According to the draft document, backward linkages are those created by the commercial relations between oil operators and their supply chains, which include the transfer of technology and know-how, employment of nationals, and sourcing local goods and services.
Lateral linkages utilize the demand of the sector to develop skills, services and infrastructure that can positively impact on other sectors of the economy while allowing locals to participate in the petroleum supply chain. An example of this would be investing in training Guyanese that can serve a dual purpose, that is to say, for agriculture and oil and gas for example.
Forward linkages involve the construction of facilities that process and export these resources, such as refineries and petrochemical facilities.
It therefore means that Guyana’s local content policy must have provisions, which support maximum participation of its people in various aspects of the oil sector as well as ensure that other sectors like the agricultural industry are given adequate support. This is to ensure the country’s prosperity beyond oil.

Similar Articles

The Glenn Lall Show|| April, 4th, 2025

Follow on Tik Tok @Glennlall

 

THE BLUNT OF THE DAY

Sports

‘One Guyana’ 3×3 Quest Basketball opens with local teams in mixed results

‘One Guyana’ 3×3 Quest Basketball opens with local teams in...

Apr 06, 2025

-Action concludes today Kaieteur Sports- In a historic occurrence for Guyana’s Basketball fraternity the ‘One Guyana’ 3×3 Quest opened yesterday, Saturday, morning at the Cliff...
Read More
GCA, East Coast surge to huge wins 

GCA, East Coast surge to huge wins 

Apr 06, 2025

GFF/Concacaf kick off two-day Match Commissioners Workshop to boost football operations in Guyana

GFF/Concacaf kick off two-day Match Commissioners...

Apr 06, 2025

Chase’s Academic outclass Bartica to move closer to 2025 title

Chase’s Academic outclass Bartica to move...

Apr 06, 2025

Three Miles Secondary make clean sweep of Jagan Windball cricket titles

Three Miles Secondary make clean sweep of Jagan...

Apr 06, 2025

National Chess champions off to Trinidad and Tobago

National Chess champions off to Trinidad and...

Apr 06, 2025

Features/Columnists

Publisher’s Note

Freedom of speech is our core value at Kaieteur News. If the letter/e-mail you sent was not published, and you believe that its contents were not libellous, let us know, please contact us by phone or email.

Feel free to send us your comments and/or criticisms.
Contact: 624-6456; 225-8452; 225-8458; 225-8463; 225-8465; 225-8473 or 225-8491.
Or by Email: [email protected] / [email protected]

Weekend Cartoon

Bridge Watch

Demerara Harbour Bridge

> Berbice Bridge […]