Government creating a Petroleum Directorate

GINA, GUYANA, Monday, January 16, 2017

The Ministry of Natural Resources is working to have a Petroleum Directorate established and functioning within the first quarter of 2107.

Minister of Natural Resources, Raphael Trotman, told the Government Information Agency (GINA,) that the Directorate follows international models which separate policy development from regulation monitoring.

“Those are very important because we now need to start preparing and using the opportunity (of)2017-2020 when we hope to start producing, to put things in place, as many of the things as possible,” Minister Trotman told GINA.

$200.720 million has been allocated in the 2017 National Budget for petroleum management. The monies are to be used for the rental of a building to house the Directorate, procurement of equipment and furnishing.

Minister Trotman said he is hopeful that the acquisition of the building will be completed by the end of this month and that staff could be hired. “We expect by the first quarter of this year we would have had persons hired but the intention is not to have everyone in place immediately,” Trotman said.

An initial 14 persons are expected to staff the Directorate including a Director and Deputy Director of Petroleum, Attorneys at Law, an economist, local content and corporate social responsibility officer, and two geoscientists.

Meanwhile, the government is also developing legislation to govern the emerging oil and gas sector. “Legislation is already in circulation for a petroleum regulatory commission,” Trotman said.

The government has also been updating and drafting policies and legislation that will governor the new sector. These include:

• Oil and Gas Policy
• Revised Petroleum Act and Regulations
• Local Content Policy and Regulations
• Petroleum Commission Bill
• Petroleum Taxation and Fiscal Legislation
• Health, Safety and Environment (HSE) Regulations and a Bill to provide for Sovereign Wealth/Generational Savings, Stabilization, Infrastructural, Social Welfare and Citizens Participation Fund

 

By: Tiffny Rhodius