Restructuring of oil fund – must be done right

May 26, 2021 Letters

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DEAR EDITOR,

I make mention of articles about Guyana’s oil fund is to be restructured “to rapidly improve infrastructure” (Demerara Waves, May 23), and with that same early access recommended by the World Bank (SN May 24). Given what has happened repeatedly with public money, I am not optimistic, even as I acknowledge that it was almost inevitable that the fund be accessed; and as made even more urgent by the ravages of the pandemic, and the need to get out of our Dark Ages platforms. Now comes the ifs, ands, and buts, which all have relevance.
This country is yet to know a project of substance spearheaded by politicians or governing groups, which has brought universal recognition for impressive handling and political cleanliness; conclusions have been largely negative, especially when huge sums are spent. If there has been such a laudable project, it has remained in the realms of an astonishingly well-concealed secret. Today, when there is no bigger, richer money tree than Guyana’s growing oil fund, and in U.S. dollars to boot, I assert that the ethical equipment on hand at the leadership level is remarkably unimpressive. For the longest while, that oil/sovereign/wealth fund has been ‘fulling the eye’ of just about every Guyanese politician. Many political men have spent considerable time thinking of how they can grasp at the contents of that fund, through using inspiring cover stories, but with the steadfast objective of doing wrong by it.
As cover stories go, none is better than “to rapidly improve infrastructure” locally. Who can argue when that is presented as the centerpiece of justification for “restructuring” the oil fund? Or for early access to get going, as touted by the World Bank? I wouldn’t under normal circumstances. I wouldn’t if it involves visionary and transformational leaders, who are trustworthy when billions are at stake. We have been waiting for the longest while, for some of those kinds of leaders. They have failed us when massive amounts of money have been spent. Leaders talk a lovely game about transparency and accountability, but resist strenuously at being either, when billions come into play.
In the last 10 months, the PPP Government has been a study in ongoing secrecy. Payara came and its review is done, but the promised report is still kept away from Guyanese. Why? It is a Guyanese undertaking, and that information ought to be shared with citizens. Dr. Vincent Adams – the Guyanese who knows more about oil, oil behemoths, and prudent and patriotic oil management than any other Guyanese around – has been insultingly fired and without any reason that makes sense presented to the Guyanese people. Why? Why does the PPP have a problem with him? Is it Exxon that has a problem with him? If PPP leaders are serious about doing the right thing and the best thing for Guyanese with this oil, then get the best minds, the cleanest hands, and the most principled Guyanese. They will insist that the funds accessed from the oil fund be put to the best possible use, and in the most principled manner. We haven’t had such.
As a quick aside and to set the record straight: I do not dislike any PPP leader, or any Guyanese politician. I only detest what they do, when it is clearly so. What they do to the hopes of Guyanese. It is more than philosophical differences.
For sure, to move to “rapidly improve infrastructure” is one of the primary ways to go; it can’t be bettered. Of necessity, those will largely be for big-ticket, billion-dollar projects. Therein lies the danger that will not go away, the fear that will not be shaken. Because for every dollar involved and spent, I believe that no less than 75 cents will be mismanaged or misplaced (euphemisms); perhaps, as much as 90 cents, if Guyanese do not persevere with checking, critiquing and calling out, so that all political people will feel the heat. What we have had for political people, where big money and big projects are concerned does not inspire confidence, with trust in the shortest supply.
Yes, it is exciting to hear of gearing up for moving from US$5,000 to US$25,000 annually within 10 years on a per capita basis. As an inspirational moment, it can’t be surpassed. It can happen, but only if done honestly. The foundations for prosperity could be laid: jobs, standards, modern megapolis, oil laboratory, prosperous population. These will happen, but only if done right. I leave my fellow Guyanese with this reminder: I say this just before the celebration of 55 years of this nation’s attaining Independence. As to how close I am with being right or wrong, accurate or inaccurate, will not require another 55 years to come to light and be appreciated. Less than 55 months may be just the space required to prove or disprove what is laid down here today on this May 26, 2021.

Sincerely,
GHK Lall

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