Guyana’s Local Content Bill 2021 proposes a schedule of 40 categories of work which include minimum targets to be achieved by oil companies and their subcontractors. In the event it is observed that the targets overestimate or shortchange participating locals, then an order can be easily issued by the subject minister for the relevant adjustments.
Pointing this out recently was Attorney General and Minister of Legal Affairs, S.C, Anil Nandlall. He said, “…if we see that we have shortchanged ourselves in a sector on the schedule the minister can, by an order, make the requisite adjustments to bring us in line with what our capabilities are. If for example, we have overestimated our capabilities, then the adjustment downwards can be done as well.”
Nandlall stressed that the entire process would be monitored by a Local Content Secretariat which will have highly trained and qualified professionals, not politicians. He said the persons would be qualified in the various areas and truly competent to perform efficiently, the functions that devolve upon the Secretariat.
Two of the key functions of the Secretariat he said, would be the power to manage the Local Content Master Plan and the Local Content Annual Plan for every operator.
Nandlall explained, “…Every operator in the sector or licensee will have to provide two plans; one is what you call a Master Local Content Plan and that company has to state what their plans are and what their policies are in relation to local content over a five year period and then they have to submit annual plans which will show their one-year activities and how they plan to satisfy the local content requirements of the Act.”
The Attorney General said elements of that plan, save and except confidential aspects, will be published on government websites and made public so everyone in the sector will know what the targets are for five years.
He said this is complemented by provisions of the Act that mandate companies to do capacity building exercises which would increase the competitive advantage of locals.
