Executive member of the Georgetown Chamber of Commerce and Industry (GCCI), Deodat Indar, has said that Guyana can have a natural gas plant if it wants.
Executive Member of GCCI, Deodat Indar
One of the ways he suggested is a Public Private Partnership (PPP). This is basically a partnership between the government and the Private Sector.
This proposal was brought to the table after it was revealed by the media that “Oil Companies are ready to talk natural gas but Government is still without a plan”.
The GCCI executive stated that he is in support of the idea that Government is without a plan.
He said that the issue may be that the government lacks “technical competence” as to what is needed to construct a natural Gas Plant or what models will be needed for an onshore facility.
Indar also explained that a natural gas plant is a very risky and expensive undertaking which could cost more than half a billion US dollars.
He said that because of its high risk and cost it is considered to be a frontier investment and calls for a consortium approach.
A consortium approach means that the risks and costs will be shared by different parties.
The executive said that there are a number of local companies of the private sector that can partner with the government to set up a natural gas plant.
The executive said the private sector can provide funding, “the technical competence” and experienced personnel to run the plant.
The Government on the other hand can provide “at minimum the investment regime”.
The former president of GCCI said that Guyana should not waste its natural gas because it is very significant and highly profitable.
He said if the government is thinking along the lines of industrialization then a Natural Gas Plant is needed.
In fact, Indar said that “it must be built” because if industrialized, the cost of energy in Guyana will be reduced significantly.
In the past many persons have said that Guyana is not prepared for its Oil and Gas Industry.
They have also said that Guyana is not competent to maximize its benefits from its oil and gas resource.
However, Indar made it clear that this is “old talk” and should be eradicated from the mouths of Guyanese and even foreigners who eye Guyana for investment.
He said that from 2015 a number of local companies have invested millions of dollars in educating itself with the expertise and “know how” to maximize benefits from the Oil and Gas Sector.
Indar said that this investment is an ongoing process which enables locals to become more involved and also to benefit from their wealth.