Opposition Leader: Loss of skilled professionals at GRA to oil companies reflects Govt.’s incompetence

Aug 04, 2023 ExxonMobil, News, Oil & Gas

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…Country in need of comprehensive skills gap analysis 

Kaieteur News – Opposition Leader, Aubrey Norton, resolutely asserted that the exodus of skilled professionals from the Guyana Revenue Authority (GRA) is a direct reflection of the government’s ineptitude. On Thursday, during a virtual press conference, Norton was invited to share his views on the concerning trend of staff attrition at the tax agency, a detail that Commissioner General, Godfrey Statia, recently divulged to the Public Accounts Committee (PAC).

Statia specifically highlighted the current staffing crisis within the department responsible for overseeing the burgeoning oil and gas sector. According to him, the Petroleum Unit currently employs 31 individuals, falling significantly short of the requisite 65. Statia went on to describe how trained personnel are being enticed away by oil companies and their contractors, who offer more attractive remuneration packages. Alarmingly, within the past year alone, five individuals trained by GRA have been poached by these oil firms which includes ExxonMobil Corporation’s subsidiary, Esso Exploration and Production Guyana Limited (EEPGL).

Furthermore, Statia indicated that GRA is grappling with operating at less than half its necessary workforce, with the Cost Recovery Unit particularly impacted, lacking the necessary personnel to effectively audit petroleum companies.

Bearing in mind these troubling revelations, Norton concluded that the issue underlines a profound leadership deficiency. In his view, it underscores the administration’s failure to equip the revenue authority with the tools it needs, such as competitive wages, to retain its skilled workforce.

Norton said, “If you are not paying competitive wages and salaries then people will go where it is higher. You would recognize when we were government we spent a lot of resources on improving people’s lives by giving the salaries so we can retain them. So we need to do this. Then there is the wider problem that points to the absence of planning and training by the regime.”

Expounding further, Norton recalled that some weeks ago, the government announced that some 60 foreign nationals had to be imported to serve as truck drivers on the Ogle to Eccles road project. This disclosure was made last month by Public Works Minister, Bishop Juan Edghill who said, “…We were left with no choice but to grant work permit for the contractor that is building the Ogle to Eccles road to bring in drivers, drivers, [and] an elementary job like drivers to drive heavy duty equipment, trucks.”

Norton said he found this situation laughable, especially in a country where there is still a high level of unemployment. He said it is incumbent on the government to implement a robust training programme so that citizens can benefit from the rapid pace of development works. He said the clear mismatch is what will summon even more difficulties for the oil producing State.

The Opposition Leader said too that government should do an analysis of the skills needed in the country to ensure that it is strategically addressing the deficiencies in the system. “So it is my view that it is government’s incompetence that is causing this conundrum we have…,” Norton added.

Expressing similar sentiments was his Economic Advisor, Elson Low. He too shared the view that the government needs to arm the Guyana Revenue Authority (GRA) with the resources it needs to keep competent staff. He said this state of affairs is far from acceptable.

Low said, “Government clearly does not demonstrate that it understands the seriousness of this issue,” adding that it is essential to ensuring the country has the requisite capacity to conduct audits of expenses incurred in the Stabroek Block by an ExxonMobil-led consortium.

Presently, two audits of the Stabroek Block oil and gas activities are outstanding. The first audit was awarded since 2019 for a review of ExxonMobil’s US$1.6 billion expenses between 1999 and 2017. Meanwhile, another audit that was signed in 2022 for the oil company’s US$7.3 billion expenditure, racked up between 2018 and 2020 is yet to be finalized.

Low was also critical of this state of affairs as he noted that a timeline for completion of these audits needs to be included in the Petroleum Activities Bill 2023 which was laid in the House yesterday. That Bill seeks to repeal and replace the existing Petroleum (Exploration and Production) Act Cap. 65:04 and the Petroleum (Production) Act Cap 65:05.

As the debate on the new oil law looms, the Opposition’s eyes are likely to remain fixed on the solutions government will devise to confront the deepening labour crisis.

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