Energy and Energy Industries Minister Nicole Olivierre says steps are being taken to ensure that T&T’s private sector gets a larger share of activity generated by the energy sector.
In addition to exploration and production, she said, legislative and other steps are being taken to open up more opportunities in fabrication, remediation, construction, design, logistics, well services, platform operations and maintenance and support services.
The minister, in an address at a recent Local Content Forum hosted by the Energy Chamber at Cara Suites Hotel and Conference Centre, Claxton Bay, said a Local Content and Local Participation Policy and Framework launched in 2004 failed to create a sustainable local service industry.
She said Government’s policy on local content includes facilitating and encouraging the growth of locally-owned energy sector companies through appropriate fiscal and monetary incentives and concessions. In addition, the aim is to the maximise local content and local value added through guidelines and legislation. Olivierre said legislation will establish “processes and a framework to enable transparent measurement, management and reporting on the value of the local content to ensure we attain greater local penetration in all aspects of the sector.”
“Government will support and encourage local professionals and service companies to export energy services to new and emerging oil and gas producing countries, particularly in Caricom and in Africa.
“Prior to adoption of new legislation, there will be wide consultations with stakeholders to ensure that the legislation captures Government’s stated objectives of local participation at all levels in the upstream and downstream energy business.”
The minister said the Permanent Local Content Committee will be reestablished and the ministry will ensure that all participants in the sector perform their activities in a manner that facilitates Government’s policy objective.
All companies operating in the energy sector will be required to report to the ministry on the extent of local content and capacity development at an annual meeting. Other measures will include human resource capacity development; education, training and research and development support; supply chain management and procurement strategies; and competency requirements for roles in which expat staff are currently engaged.
“All these will be extended to multinational contracting firms as well. It is my intention to ensure that all companies operating in the oil and gas value chain are properly licensed, as required by the Petroleum Act and Regulations and that local content and capacity development obligations are a condition of such licences.”