A shameful abdication of leadership

Nov 19, 2024 News, Peeping Tom

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…Peeping Tom 

Kaieteur News- The PPPC government has reached a new low in its spineless defense of the lopsided Production Sharing Agreement (PSA) with ExxonMobil. Once clinging to the worn-out excuse of “respecting the sanctity of contracts,” it now seeks to escape its responsibility by claiming that any renegotiation depends on Exxon’s consent. This is defeatism at its finest—a shameful abdication of leadership and a blatant dismissal of the people’s will.

For years, the PPPC hid behind the principle of respecting contracts, portraying it as an unbreakable moral and legal obligation. But even the government must realise that this argument has been unmasked as hollow. Trinidad and Tobago, with no less respect for contractual obligations, renegotiated agreements with oil and gas companies operating in its waters. Did Trinidad become a lawless state? Hardly. What it displayed was a commitment to securing fair returns for its citizens.

The PPPC’s latest stance—that Exxon has to consent to any renegotiation—is an insult to the intelligence of the Guyanese people. This is not about legality or ethics; it is about the government’s lack of courage to confront a multinational giant that is making billions from our oil while we settle for crumbs.

The PPPC seems oblivious to what every serious government understands: renegotiation is not a request; it is a strategic game of leverage. And Guyana holds significant cards. Exxon and its partners have invested billions in Guyana. They are not going to pack up and leave because the government demands better terms. Guyana is one of the most profitable oil plays in the world right now—a literal goldmine for Exxon. It is not going to walk away. It can and must be forced to come to the renegotiating table.

The government has the leverage. Exxon cannot operate without production licenses. Every new project requires government approval. This is where any government with a spine would flex its muscles. The PPPC could use this as a bargaining chip to bring Exxon back to the negotiating table. But instead, it shrinks from the fight, opting to parrot Exxon’s position that it is not in favour of renegotiation rather than assert Guyana’s sovereign right to fair terms.

Public sentiment is another potent tool the government refuses to wield. Multinational corporations dread negative public opinion because it complicates operations and tarnishes their global reputation. The Guyanese people are already disillusioned with the PSA, viewing it as a sellout of the nation’s wealth. The government could harness this sentiment as leverage, signaling to Exxon that it faces the risk of public hostility and potential instability if it refuses to engage in good faith renegotiations.

But the PPPC would rather appease Exxon than align itself with the people it claims to serve. Its message is clear: your voices do not matter. This government has prioritized the interests of a foreign corporation over the demands of its citizens, proving once again how far removed it is from the realities and aspirations of everyday Guyanese.

The claim that Exxon’s consent is an immovable obstacle is laughable. Exxon will not abandon its operations in Guyana—not when it has invested heavily and stands to make even more. But Exxon will only bend if the government is willing to stand.

Renegotiation is possible. In Trinidad, this took time and effort. But the government there secured better terms. Why? Because it prioritized the interests of its people over corporate appeasement. The PPPC, in contrast, has shown neither the will nor the fortitude to fight for Guyana.

The PPPC’s defeatist narrative represents a betrayal of the people’s trust. Guyanese deserve leaders who act in their interest, not ones who cower before multinational corporations. The PSA is not just a bad deal; it is a symbol of exploitation and a reminder of what happens when leaders abandon their responsibility to the nation. The PPPC’s refusal to push for renegotiation represents servitude dressed up as patriotism.

The Guyanese people deserve leaders who understand that sovereignty is the ability to assert control over national resources and demand a fair share of their wealth. The PPPC’s willingness to bow to Exxon’s consent is not just weak; it is unworthy of a government that claims to represent its people.

The Guyanese people deserve better than excuses. It deserves more than a government that cannot see past Exxon’s shadow. It deserves leadership that fights for the nation’s wealth, not one that surrenders it on a silver platter.

(The views expressed in this article are those of the author and do not necessarily reflect the opinions of this newspaper.)

(A shameful abdication of leadership)

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• ExxonMobil, legal obligation, PPPC Government, Production Sharing Agreement, respecting contracts

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