Guyana is expected to amend its Local Content law later this year, with a view of increasing the areas in which companies are mandated to utilise Guyanese goods and services. Guyana’s Attorney General discussed this during a question-and-answer segment at the Local Content Summit 2024, on April 16.
Presently, the Local Content Act mandates companies to utilize Guyanese goods and services in 40 sectors.
By regulating the scoring system in oil companies’ procurement processes, the government ensures that companies certified as Guyanese receive preferential treatment.
In response to queries about the timeline for the legal amendments, Nandlall indicated that changes hinge on a forthcoming report from the Local Content Secretariat. “We are waiting for the Local Content Secretariat to review the sector’s performance and provide a report. They possess all relevant statistics and work plans,” the official stated.
Following the receipt of this report, Nandlall said, the government plans to engage with the private sector for consultations. The country’s chief lawmaker said, “It may happen by the latter half of this year,” noting a range of April through to when Parliament goes into recess in August.
There are proposals to increase the sectors in the law significantly. Former President of the Georgetown Chamber of Commerce and Industry (GCCI), Timothy Tucker, had told OilNOW that the Private Sector Commission (PSC) recommended adding 25 new categories, with GCCI identifying additional categories for inclusion.
Director of the Local Content Secretariat, Dr. Martin Pertab, had said the addition of 20 of the suggested categories to the Act could rake in an additional US$350 million for Guyanese companies.
