Former GECOM Chair takes Gov’t to court over Gas-to-energy project

Sep 18, 2023 News

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…seeks adequate compensation for lands to be used for gas pipeline

Kaieteur News – Another Guyanese whose land was compulsorily acquired by the Government of Guyana (GoG) to facilitate the 12-inch pipeline, as part of the Gas-to-Energy (GTE) project, has filed legal action against the State, in pursuit of adequate compensation for his property.

The matter was filed by Robert Steven Surujbally, better known as Dr. Steve Surujbally – former Chairman of the Guyana Elections Commission (GECOM) and renowned veterinarian, through his attorneys, Christopher Ram and Christopher Thompson.

In an application to the High Court dated August 3, 2023, the land owner is seeking an Order for adequate compensation to the tune of $100 million for his plot of land located at Nouvelle Flanders – La Jalousie, West Coast Demerara.

The Attorney General of Guyana, Anil Nandlall S.C and Minister of Public Works, Juan Edghill are listed as respondents in the Fixed Date Application in which Dr. Surujbally claims his constitutional right of protection from deprivation of property guaranteed to him under Article 142(1) of the Constitution of Guyana, Cap1:01, and section 7(1) of the Acquisition of Lands for Public Purposes Act Cap. 62:05 was violated through the State’s failure to make prompt payment of adequate compensation for the acquisition for public purposes of land owned by him.

He is also seeking costs and any other orders the Court may deem just. According to court documents seen by this publication, some 1.5158 acres of the Applicant’s 2.005 acres of land was required for the project, however after discussions, it was agreed that the State would acquire his entire plot of land.

The applicant explained that via Order Number 18 of 2021, made under the Acquisition of Lands for Public Purposes Act, Cap. 62:05, the Minister of Public Works declared the proposed construction of gas pipeline from Nouvelle Flanders on the West Coast of Demerara to Canal Number One Public Road on the West Bank of Demerara, passing through his lands and others listed in the Schedule.

That Order also authorized the Commissioner of the Lands and Surveys to enter upon the said lands for the purpose of surveying or otherwise examining the lands to acquire part of or the whole lands for the construction works.

Dr. Surjubally outlined that the said Order was published in the Official Gazette on August 06, 2021 and he was only made aware that the government intended to acquire the lands in the area where his property is located through a media report.

He said he was not contacted by any official of the government to negotiate the purchase of his land, nor on the likelihood that his land may be compulsorily acquired by the State.

Some six months after the publication of the Order, on March 1, 2022, Dr. Surujbally said he was overseas when he was informed via a phone call that an official from the Guyana Lands and Surveys Commission (GLSC) had called to notify of an intended survey on his land.

The former GECOM Chair said he immediately contacted the official when he was told that a Notice, which he had never received, was issued on the intended survey. Following Dr. Surujbally’s request, a copy of the notice, dated January 30, 2022 was sent to him, which stated that the survey was scheduled for February 16, 2022, and that he may attend. The applicant said he did not object to the survey nor did he send a representative to observe the process.

Upon his return to Guyana on March 25, 2022 Dr. Surujbally said he learnt that his land would be the first point of land entry of the submarine pipeline, which will extend to the Wales Estate, the intended location of a planned 300-megawatt Power Plant and Natural Gas Liquid Plant (NGL).

He said he was informed that the survey report would be submitted to the Project Task Force, headed by Mr. Winston Brassington, who would make contact with the affected landowners by the end of April 2022 to advise on the acquisition plan.

Subsequently, on September 23, 2022, the Applicant attended a meeting led by the AG, and supported by the Minister of Public Works, the Minister of Housing and Water, Collin Croal, and the Minister of Natural Resources, Vickram Bharrat, as well as the Brassington, Head of the Task Force and other key officials.

At the meeting, landowners were informed that under the Petroleum Act, the government is now moving to acquire properties for the laying of the gas pipeline/concomitant structures and that the intention is for consensual negotiations and compensation at market value, taking into account location, type of land, volume of land and use of land. A total of 73.3 acres were required with a width of 23 metres to cater for the burying of the pipeline along 25km of land.

During the meeting, landowners were offered between G$1-4 million per acre of land.

Dr. Surujbally said several concerns were raised during the engagement regarding possible environmental hazards and the effects on crops by the GTE project. Noting the concerns, the AG advised that Government will appoint lawyers and that the landowners shall be contacted directly, within a week, for further discussions.

Having not been contacted by any Government appointed lawyer, the Applicant on October 12, 2022, emailed the Head of the Task Force and advised that he had not been contacted and that he had retained the services of legal firm Christopher Ram & Associates.

He said he received a response via email from the Head of the Task Force on October 12, 2022, advising that Mr. Manoj Narayan is the government designated attorney for his matter. He was contacted by Narayan during which he expressed concern over the process thus far and inadequate communication by the government with landowners whose lands they intended to acquire for public purposes.

Compensation below market value

The former GECOM Chair also stated that the compensation offered by the government was well below current market value. The lawyer informed the applicant that he will communicate directly with Christopher Ram and Associates to formalize negotiations.

Dr. Surujbally said he was not contacted thereafter nor was his attorney. They therefore on November 4, 2022 emailed the lawyer to provide an update on the developments. Thereafter, he said several attempts to meet with the lawyer(s) to work out a mutual settlement proved futile.

On November 29, 2022, Dr. Surujbally’s lawyers wrote to Brassington, flagging the State’s failure to make a formal offer to the Applicant, and urged that the matter be resolved soonest. They also noted that, notwithstanding several violations of the Acquisition of Lands for Public Purposes Act, Cap. 62:05 and breaches of the Applicant’s constitutional right not to be deprived of this property without prompt payment of compensation, the Applicant has been most cooperative with the Government and the various agencies of State, allowing access to his property and attending all meetings called by the relevant authorities.

He said the attorneys did not receive the courtesy of an acknowledgment or a response from the Head of the Task Force. Nevertheless, on February 9, 2023, the Applicant said he received an email from the Energy Office of the Ministry of Natural Resources advising lands needed for the project have been acquired and that a construction team under the purview of GAICO, will be removing structures from the lands commencing on February 09, 2022.

The email also served to inform him that notwithstanding previous negotiations and offers by the Government above the market value, parties shall continue to work regarding compensation values for the lands so acquired.

Through his Lawyers, Dr. Surujbally on February 13, 2022 responded to the email, rejecting the assertion that “previous negotiations and offers have been advanced by the Government” adding that no negotiations or offers have been made.

Adequate compensation

The former GECOM Chair said that during a meeting with Brassington on February 21, 2023, it was acknowledged that the State would take the entirety of the Applicant’s 2.005 acres of land as opposed to the 1.5158 identified in the Schedule attached to Order 56 of2022.

During the meeting, he said the issue of adequate compensation was also discussed and the different modes of compensation. According to the court document, Brassington raised the option of cash payment, together with a portion of State land situated in the Ogle, East Coast Demerara.  Dr. Surujbally said he was receptive of this suggestion, with the caveat that the greater portion of the arrangement be cash payment.

Following the meeting, his lawyers in a letter dated February 21, 2023, wrote to Brassington with an offer of settlement in the sum of G$100M with a cash payment of G$60M and land at Ogle, valued G$40M.

Dr. Surujbally told the Court that he and his lawyers are yet to receive the courtesy of a response, or an acknowledgement from Brassington to this proposal. Moreover, he said that the State has made no formal offer or counter-offer of purchase or compensation for his land.

He said he recognizes that the law gives the Government the power to acquire his property subject to strict compliance with the Constitution and the law which protects his ownership rights. To this end, his lawyers said, “Pursuant to Article 142(1) of the Constitution of Guyana, and section 7 of the Acquisition of Lands for Public Purposes Act the Applicant is entitled to prompt payment of adequate and satisfactory compensation for the compulsory acquisition of his land by the State.”

They noted therefore that the failure to make prompt payment of adequate compensation for the compulsorily acquisition of his land by the State falls below the threshold of what is fair and adequate and gives rise to an infringement of the Applicant’s fundamental right guaranteed by Article 142(1) of the Constitution of Guyana and constitutes a deprivation of the Applicant’s property.

Dr. Surujbally maintains that his offer of G$100M as full and final settlement is fair and reasonable.

In a separate proceeding, Stuart Hughes, a land owner who will be affected by the pipeline moved to the Court on February 6, 2023. The applicant in that matter is seeking among other things, for the Order made under the Acquisition of Lands for Public Purposes Act to be declared null and void and of no legal effect as it relates to his property.

 

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• AG, court, GTE, pipeline, Surujbally

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