Glenn Lall’s claims of disaster due to Guyana’s oil industry prompted a detailed rebuttal from the Ministry of Natural Resources. The Ministry presented counter-evidence showing growth in various sectors, including fishing and agriculture, despite Lall’s assertions. It maintained that oil revenues support crucial infrastructure developments and emphasized the transparency of oil revenue allocations in the national budget.
The recent opinion piece by Glenn Lall in a local newspaper suggested that the oil industry in Guyana is facing severe disasters, eliciting a strong response from the Ministry of Natural Resources. Lall asserted that the fishing industry has collapsed due to oil production, with fishermen unable to sustain their livelihoods. However, the Ministry countered this by stating that, in 2024, the fishing sector grew by 1%, with marine shrimp production increasing by 8.5% and aquaculture expanding by 13.7%.
The Ministry further provided data indicating an overall 10.9% increase in the agricultural sub-sector in 2024 and an anticipated 11.7% growth in 2025, contradicting Lall’s claims regarding the adverse effects of oil operations on local food production. Lall had also reported that the cattle industry was destroyed; however, the Ministry noted a significant 24.6% growth in the cattle sector in 2024, projecting a 7.5% increase for the following year.
In discussing infrastructure, the Ministry highlighted that oil revenues are primarily directed towards vital developments, such as road and bridge expansions, thereby disputing Lall’s claims about the negative influence of the oil industry on infrastructure. Although some contractors may have underperformed, the government insists there is no connection to oil operations. It remains committed to ensuring robust infrastructure capable of supporting economic growth.
Lall claimed that the government is not transparent about oil revenue expenditures. The Ministry responded by explaining that every dollar from oil revenues is accounted for within the National Budget, which is publicly debated and approved in Parliament. It asserted that all spending is transparently recorded within a consolidated budget, countering Lall’s claims about lack of visibility and accountability.
The Ministry also addressed concerns regarding the Gas-to-Energy project, clarifying that financing conditions for this project are public and any arbitration process is a standard contractual procedure, indicating normality rather than failure. Lall’s comments about health issues caused by gas flares and conditions impacting children’s well-being were dismissed by the Ministry as scientifically unsubstantiated, attributing seasonal temperature variations to broader climate change factors rather than oil industry activities.
Furthermore, the Ministry assured that the Environmental Impact Assessments conducted by ExxonMobil include disaster assessments, stating that risks such as tsunamis are extraordinarily low due to Guyana’s geographical distance from seismic zones. Regarding Lall’s claim that Guyana has lost US$20 billion by not ring-fencing oil projects, the Ministry clarified that this accounting method does allow expense recovery across multiple projects without eliminating potential revenue for the country. The allegations made by Lall about derogatory remarks from Brazilian officials regarding Guyana’s oil agreements were categorically denied.
The exchange between Glenn Lall and the Ministry of Natural Resources underscores significant disagreements regarding the impact of the oil industry in Guyana. While Lall raises serious concerns about the fishing and livestock industries, local agricultural growth statistics and infrastructure improvements present a contrasting narrative. The government’s commitment to transparency in oil revenue usage and infrastructure investment aims to foster economic development despite the controversies surrounding it. This dialogue highlights the complexities and challenges faced as Guyana navigates its burgeoning oil sector and its broader implications.
Original Source: nycaribnews.com
