Not unfair if compensated for making the better choice

Aug 21, 2021 Letters

Dear Editor,

The recent comment by Vice President Jagdeo that it is unfair to the Guyanese people to be asked to leave the oil in the ground while having such a low per capita income is a fair concern to be brought forward to the international community. However, what should be noted is that if the Vice President aggressively pursues compensation for making the better decision to leave the oil in the ground, per capita income for Guyanese will significantly increase without further contributing to the damage of our environment.
This would be fair and also set an example in the world as to how we can work together to prevent exceeding a 1.5 degree temperature rise. Recent revelations that the current PSA continues to hinder the expected income for the nation and that further exploration pushes out the date of potential capital inflows continues to present a substantial financial risk. This risk becomes significantly greater as more dry wells are discovered. We must remember that the current percentage of dry wells is below average, and this can change the longer exploration continues. Exxon does not share this risk equally and has ensured that their operating costs are recouped independent of the results of exploration. The worst-case scenario is that Guyana will owe Exxon money at the end of the industries useful life and the resulting per capita income of Guyana becomes worse as a result.
Ensuring a lower risk long-term outcome is therefore the better choice, especially when considering how serious the environmental situation has become. Climate change continues to devastate our coastline and the recent flooding shows clearly that we are headed down a path that is extremely difficult to sustain. Our home-grown Champion of the Planet, Vice President Jagdeo, needs to reflect on this serious situation and chart a course to aggressively seek compensation to leave our oil and gas in the ground at a level that results in a net increase in per capita income. This being net of paying off our debts in the sector while also ensuring the safe closure and decommissioning of the wells.

Best regards,
Mr. Jamil Changlee
Chairman
The Cooperative Republicans of Guyana

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