Govt. wants flexibility to close corruption loopholes in oil companies’ procurement plans

Dec 21, 2021 News

Local Content Bill 2021 Series – Pt. 2

By Kiana Wilburg

Kaieteur News – In today’s review of the PPP/C Government’s Local Content Bill 2021, Kaieteur News will examine the powers of the Minister.
It is being proposed that the Minister of Natural Resources would be tasked with the following duties:
-the approval or refusal, after consultation with the Local Content Secretariat, of a Local Content Master Plan and a Local Content Annual Plan, or modifications to an approved Local Content Master Plan or Local Content Annual Plan;
-prescribing the rules on local content measurement and certification;
-prescribing the metrics to be applied in determining the achievement of minimum local content levels;
-establishing and collaborating with multi-stakeholders on local content;
-the consideration of local content plans prior to approving the grant or transfer of interest in a licence or entering into a petroleum agreement in accordance with the Petroleum (Exploration and Production) Act;
-after consultation with the Secretariat, set priority areas of focus and minimum targets for local content implementation; and
-And finally, report to the National Assembly on local content implementation.

With the Minister and his Secretariat having the power to scrutinise and modify the local content master plans and annual plans of oil companies and their subcontractors, the government, therefore, gives itself ample opportunity to close loopholes, so that favouritism and/or corruption are removed.