Trinity Exploration

Trintes Field update

20 Apr 2023

Trinity Exploration & Production, the independent E&P company focused on Trinidad and Tobago, updated its announcement of 12 April regarding a generator-related fire on Trinity’s Bravo Platform in the Trintes Field, offshore east coast Trinidad.

Following approval from the Ministry of Energy and Energy Industries, received on 17 April, the Company successfully restored oil production from all previously producing wells on the Bravo platform during 18 April. Alpha and Delta platforms restarted oil production from all previously producing wells on 11 April 2023. Prior to the incident, oil production from the Bravo platform accounted for approximately 350 bopd. Total Trintes field production is approx. 1,010 bopd.

Source: Trinity Exploration & Production

Fire Offshore

APR 12, 2023   THE MARITIME EXECUTIVE

Four operators working aboard an offshore oil platform on the east coast of Trinidad i sustained injuries during a small fire on, April 10. Operator, Trinity Exploration & Production, which is focused on areas around the island, reports that production from its East Coast field was briefly suspended.Trintes field normally has a daily production level of approximately 1,010 bopd.

“Trinity can confirm that at approximately 21:15 local time on Monday, April 10, a generator-related fire occurred on Trinity’s Bravo Platform in the Trintes Field, offshore east coast Trinidad,” the company reports. Damage was limited to the individual platform with no pollution as a result.

Four people were working on the platform, which has a daily production rate of 350 bopd, when the fire was reported. Production was stopped at the Bravo platform and as a precaution,  production was halted at the neighboring Delta and Alpha platforms in the same Trintes field.

The crew was able to quickly extinguish the fire, but during the incident, two individuals sustained minor burns. All four people working on the platform were treated for smoke inhalation. The platform was subsequently evacuated, and the four operators remain under medical observation.

A crew was able to board the platform on Tuesday and begin an investigation of the incident. They are reporting that the damage was limited to the generator. They believe the platform structure and other platform electrical and other equipment was in “good order.”

Production was able to resume at the two neighboring platforms, Alpha and Delta, on Tuesday evening. The company is currently optimizing the flow from those two wells.

Repairs on the Bravo platform are anticipated to be completed in three to four days. They will then require approval from the Ministry of Energy and Energy Industries before production can resume.

It is the second accident reported in recent months in the Trinidad oil field operations. A liftboat working for another company in the country’s North Field tipped over last December. There were six people aboard, but they were all able to escape before the vessel sank.

 

Trinity Resumes Production at ABM-151

by Paul Anderson|Rigzone Staff|, March 31, 2023

Trinity  has resumed production at the ABM-151 well off Trinidad.

Trinity Exploration & Production has made progress with its activities as production at the ABM-151 well resumed and preparations to spud Jacobin well progressed.

The company noted in its statement that the ABM-151 well in the Brighton Marine block, offshore the West Coast of Trinidad, returned to production on March 21, 2023 following an extensive refurbishment of surface facilities and the installation of remote surveillance technology. Trinity has a 100 percent interest in the Brighton Marine license.

Trinity anticipates steady-state production from ABM-151 in the range of 60-110 bopd. Production has gradually increased since the well restart and has flowed at rates over 200 bopd on a 10/64″ choke with zero percent water cut.

The well will be managed closely in the coming weeks to achieve stabilized production rates within the target guidance and will further benefit from the SCADA automation system the company installed.

At the Jacobin wellsite, Trinity said that preparation is underway, with the well expected to spud in late April, in line with previous guidance. Trinity has a 100 percent interest in the Palo Seco area sub-licenses, where nine deeper prospects have already been mapped.

The Jacobin well has been designed to test an extensive and lightly-drilled Miocene age deeper turbidite play across the prolific southern onshore basin and will provide the company with critical new data on this extensive play and the wider Palo Seco acreage.

The well objective is a structural prospect defined on 3D seismic, the company said. The well will target mean oil in–place volume of 5.7 million barrels and an upside (P10) case of over 10 million barrels in-place.

Trinity Gives Technical Presentation on its Buenos Ayres Bid

Trinity gave a technical presentation to the Ministry of Energy and Energy Industries on its bid for the Buenos Ayres block in the 2022 onshore and nearshore bid round. It is expected that MEEI will award the licenses in the bid round during April 2023. Buenos Ayres is located west of Trinity’s existing Palo Seco production sub-licences – Blocks WD-5/6, WD-2 and PS-4. Jeremy Bridglalsingh, Chief Executive Officer of Trinity, said.

“I am delighted that we have ABM-151 back in production. We have been looking at ways to boost production across our asset base and identified ABM-151 as a well where we could achieve quick, effective results. ABM-151’s initial performance underlines the potential of our West Coast assets, where we have a number of infill and appraisal opportunities to mature as we look to increase production across the asset base,”

The Jacobin well is an important catalyst for Trinity, significant in itself but also the first part of an extensive play where the company mapped multiple further independent targets across its existing, relatively mature, onshore acreage as well as having further relevance with respect to the Buenos Ayres block “which we have bid for in the onshore bid round”.

email andreson.n.paul@gmail.com

 

TOUCHSTONE ANNOUNCES RESULTS OF INITIAL ROYSTON-1X PRODUCTION TEST

CALGARY, ALBERTA (April 24, 2023) –

Touchstone Exploration Inc. (“Touchstone”, “we”, “our” or the “Company”) (TSX, LSE: TXP) announces that the initial Royston-1X production test of the least prospective section of the well confirmed the presence of light crude oil at non-commercial rates. Touchstone has an 80 percent operating working interest in the well, which is located on the Ortoire block onshore in the Republic of Trinidad and Tobago.

Heritage Petroleum Company Limited holds the remaining 20 percent working interest.

The first of potentially five production tests of the Royston-1X well evaluated the lowest and least prospective section in the subthrust sheet of the Herrera Formation at depths between 11,102 and 11,168 feet. During testing, the well did not flow oil to surface. Swabbed volumes were analyzed by a third party confirming 40 degrees API gravity formation crude oil, representing the deepest oil encountered on the Ortoire block to date. This section of the formation appears to be a low permeability reservoir, and further testing will not be conducted.

Touchstone will continue testing operations with potentially four additional tests targeting an aggregate 384 gross feet, with a program to evaluate each identified sand interval independently. The next well test will target a gross interval of 70 feet in the middle portion of the subthrust sheet and will be performed with a service rig. Testing operations at this interval will commence once the drilling rig is moved to the Cascadura C location, which we anticipate occurring in late May when civil operations at the Cascadura C location are scheduled to complete.

Paul Baay, President and Chief Executive Officer, commented:

“We are encouraged that the initial test of the Royston-1X well successfully confirmed the presence of light oil in the subthrust sheet, validating our internal wireline log analysis. The test results and crude oil analysis have been crucial to establish the extent of the hydrocarbon column penetrated by the wellbore, providing valuable baseline information for evaluating the log data and defining future testing intervals.

The future production tests target uphole zones with a focus on productive capability and ultimate development potential. As each test will be performed independently, we expect a number of months of testing upon commencement of the second test. We will update the market when results become available.”

Touchstone Exploration Inc.

[Touchstone Exploration Inc. is a Calgary, Alberta based company engaged in the business of acquiring interests in petroleum and natural gas rights and the exploration, development, production and sale of petroleum and natural gas. Touchstone is currently active in onshore properties located in the Republic of Trinidad and Tobago. The Company’s common shares are traded on the Toronto Stock Exchange and the AIM market of the London Stock Exchange under the symbol “TXP”.]

For further information about Touchstone, please visit our website at www.touchstoneexploration.com or contact:

Mr. Paul Baay, President and Chief Executive Officer
Mr. James Shipka, Chief Operating Officer
Telephone: 403.750.4487

Forward-Looking Statements

Certain information provided in this news release may constitute forward-looking statements and information (collectively, “forward-looking statements”) within the meaning of applicable securities laws. Such forward-looking statements include, without limitation, forecasts, estimates, expectations and objectives for future operations that are subject to assumptions, risks and uncertainties, many of which are beyond the control of the Company. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or are events or conditions that “will”, “would”, “may”, “could” or “should” occur or be achieved. The forward-looking statements contained in this news release speak only as of the date thereof and are expressly qualified by this cautionary statement.

Specifically, this news release includes, but is not limited to, forward-looking statements relating to the Company’s Royston-1X production testing results and interpretations therefrom, the quality and quantity of prospective hydrocarbon accumulations and target intervals based on internal interpretations of wireline logs, and expected future production testing operations, including future target intervals, ultimate production therefrom and the timing thereof.

Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. Certain of these risks are set out in more detail in the Company’s 2022 Annual Information Form dated March 23, 2023 which is available under the Company’s profile on SEDAR (www.sedar.com) and on the Company’s website (www.touchstoneexploration.com). The forward-looking statements contained in this news release are made as of the date hereof, and except as may be required by applicable securities laws, the Company assumes no obligation or intent to update publicly or revise any forward-looking statements made herein or otherwise, whether as a result of new information, future events or otherwise.

 

 

IDB agreement to improve Port

Planning and Development Minister Penelope Beckles-Robinson signed a letter of agreement with the Inter-American Development Bank (IDB) aimed at improving cargo handling operations for the Port of Spain port.

Works and Transport Minister Rohan Sinanan and Public Administration Minister Allyson West attended the ceremony.

The agreement supports the Government initiative to seek a public private partnership (PPP) project for cargo handling operations at the Port Authority of TT.

The project scope is estimated to cost US$1,500,000. The project involves positioning Port of Spain as the first and major multi-purpose port, strategically located at the crossroads of major international maritime trade links through the Panama Canal.

The letter was important in undertaking the necessary technical co-operation for the project. That includes feasibility studies (technical, financial, legal), to design the best model and define the framework for bidders to present their proposal, draft the PPP contract and support Government in the bidding process with potential private sector partners until the contract is signed.

The ultimate goal of the project is to promote economic growth and development by improving port efficiency and competitiveness in the country through a PPP in line with the National Development Strategy (Vision 2030) 2016-2030.

Upgrading the port infrastructure through private investments would enhance competitiveness and help the port catch up with regional competitors.

 

 

Energy Chamber

on electricity rates: Hike for wealthy households, subsidies for low-income families

2023, 04/20

The current electricity rate review process needs to be considered in the context of the overall national economy and the impact of the current rates and the proposed new regime on overall economic performance and value generation, as measured by gross domestic product (GDP). This means that the decision-making process needs to take into account the entire energy economy, and specifically the gas value chain, rather than just considering the electricity sector in isolation.

Over the past decade, the percentage of national gas production that has gone into the electricity sector has increased from seven per cent in 2010 to ten per cent in 2022. Natural gas is used in electricity generation is not available to the petrochemical and liquefied natural gas (LNG) sectors, which have suffered persistent shortfalls in gas supply over the past decade. These are the sectors that generate most of the country’s export earnings and government revenue.

Natural gas used in electricity sector

Over the past decade, there has also been a significant shift in how this electricity generated from our natural gas resources has been consumed, with a significant decrease in the amount of electricity consumed in the wealth and foreign exchange generating industrial sector and a significant increase in electricity use the residential electricity sector, where the consumption of electricity generates neither GDP nor forex. Since 2010 industrial consumption of electricity has decreased by 20 per cent while residential consumption has increased by 31 per cent.

 Electricity usage by sector 2010 – 2021

The increase in electricity usage in the residential sector has been driven by increased usage in the top tier of households, typically the wealthiest households in the country.

The 84,000 households in the top tier of residential users (using more than 2,000kwh) account for 20 per cent of all electricity consumption (and hence natural gas). This is twice as much as is used in the total commercial and street lighting segment and almost half of what is used by the entire industrial sector.

At the other end of the scale, 80,000 homes use less than 400kwh of electricity. These households effectively only use one per cent of the natural gas used for electricity production.

 Electricity usage by sector and tier 2021

Reducing electricity consumption in this top tier of households should be a central policy objective for the country and a major objective of the rate review process.

To help drive this policy objective, the Energy Chamber has recommended that a fifth tier of rates be introduced, which would apply to those who use an extraordinary amount of electricity. The households in this category have equipment with high electricity consumption, including central air conditioning and swimming pool heaters. This would affect wealthy households and not the vulnerable in society or even the typical household.

The most vulnerable households, who use only one percent of the nation’s natural resources, should continue to receive the benefit of cheap electricity and could continue to receive subsidised electricity with a tiny impact on the overall energy economy.

Higher electricity rates do not necessarily mean higher bills if households become more energy efficient. Households in the top tiers of consumption will see very quick returns on investment into simple energy efficiency measures under a higher rate regime. Higher electricity rates will encourage wealthier households to invest in swapping electric water heaters for solar water heaters.

These wealthy households and the commercial sector are the most likely to be able to invest in small-scale renewable energy systems, especially roof-top solar, to be able to reduce their electricity consumption from the grid. Higher rates will make these investments more attractive. The announcement from the Prime Minister that a policy will soon be laid in Parliament to enable small-scale renewable energy projects to connect to the grid (and potentially sell back additional electricity to T&TEC) is very timely and welcome.

This week bp and Shell also broke ground at the Brechin Castle site signalling the commencement of construction of the first large-scale solar project in T&T. This is a very positive step and an important step forward for the country. This project will meet ten per cent of the electricity demand . As the Prime Minister and Minister of Energy made clear at the sod-turning ceremony, this represents a significant saving in natural gas. The saved natural gas can instantly be turned into revenue once diverted into LNG, ammonia, or methanol production and export. We need more renewable energy onto the grid as soon as possible even as we drive forward energy efficiency.

The Energy Chamber has also recommended that the rate review should include “time of use tariffs”. Demand for electricity does not remain constant throughout the day and typically peaks in the evening when people return home after work or school. This evening peak in demand is met by bringing online the more inefficient generation units, which obviously means that this electricity consumes the most gas and has the highest cost. The evening peak demand is driven by the residential customers, as the industrial customers typically use a constant amount of electricity 24/7.

A time-of-use tariff would charge a higher rate during this evening peak (reflecting the additional cost) and would encourage people to delay some high electricity consumption activities after midnight, after the peak period has ended.

The current rate review process offers an excellent opportunity to rethink how we consume energy as a society. The national mantra must be that we maximise the value that we derive from each molecule of natural gas that we produce.

Reducing the volumes of natural gas consumed by electricity generation is important for not just our commitments to reduce greenhouse gas emissions but for the sustainability of the natural gas sector and our entire economy.

 

 

Electric surge

2023, 04/13

The increased cost of gasoline led to a significant renewable energy push inadvertently, as the petrostate has been recognised as one of the more progressive users of electric and hybrid vehicles in the region. The observation that the petroleum producer was one of the region’s surprise adopters of electric and hybrid vehicles, was discussed during a webinar reviewing the Topline Findings from the Annual Caribbean Renewable Energy Forum-Castalia Renewable Energy Index for the Caribbean.

“What was surprising to me is a lot of optimism in Trinidad, despite naturally Trinidad (being known as) as an oil and natural gas producer,” said David Gumbs, a director of Rocky Mountain Institute.

Barbadian economist Justin Ram explained that the move was driven more by economic than environmental factors, after several adjustments to the fuel subsidy in the past decade. That has led to gas prices rising significantly while conversely, electricity rates remained among the lowest in the region. Based on this, he was surprised there were not even more people with electric vehicles.

“The cost of electricity is actually quite low. I’m very surprised that there hasn’t been more uptake of people using electric vehicles. And I think as people look at the economics of this because what’s happening there is that the fuel subsidies for petrol and diesel have been gradually going down. So, therefore, the market prices of those fuels have been going up, which is going to start to lead to a natural shift of people looking to alternative fuels or electric mobility.”

He did note there were a significant number of hybrid vehicles on the roads.

“So I think that’s what’s happening there, and if people look at economics, if you’re paying five US cents per kilowatt hour, you know it makes sense to go electric. What’s also been happening there, because I was there recently, is that you have a lot of hybrid vehicles as well. So, you have plug-in hybrids, that sort of thing is also gaining a lot of support. So it’s a move in the right direction,” he said.

However despite increased demand for electric vehicles on the island, the cost of an electric vehicle generally was more expensive than combustion engine counterparts.

“One thing I think policymakers are going to have to look at is the foreign used vehicle market. Because there’s still a lot of ICE (Internal Combustion Engines) foreign-used vehicles that are coming in, and those tend to be considerably lower priced than new vehicles and in particular, even the electric vehicles that are coming in,” said Ram.

The Government introduced a tax concession for hybrid vehicles under 1599cc in 2017, to reduce carbon footprint. However, in his budget presentation in 2020, Finance Minister Colm Imbert removed tax concessions on all vehicles amid growing concerns about foreign exchange availability, as the importation of vehicles had been identified as a significant drain on foreign exchange, with US$400 million spent on importsof 25,000 cars.

However last year, the Minister reintroduced concessions on electric and hybrid vehicles as fuel prices around the globe surged. Despite reintroduction of the concession, both new and used car dealers stated the cost of importing preferred electric and hybrid vehicles remained mostly higher than combustion engine vehicles.

The webinar also acknowledged that Trinidad and Tobago had shown other strides concerning renewable adoption as it, significantly, had been one of the countries that had agreed to adopt electric buses. Moves like this, as well as market trends, suggest that the price of an electric vehicle could be on the way down soon.

“One more to add in terms of the cost, the market is shifting, so the costs will go down as more volume and more options come to the region. All the major manufacturers are shifting towards hybrid and electric, so come 2025 and onward you’re going to see all-electric vehicles available. So I think the costs will go down significantly. Trinidad just launched a procurement for 70 per cent of its bus fleet. Bermuda did one last year. Barbados did one the year before. I think Bermuda is now done,” said Gumbs

David Ehrhardt, Chief Executive of Castilla however noted that based on the information gathered, the switch to electric vehicles had also proved to be more economic in terms of maintenance costs.

“We did a study of the electrification of buses in Jamaica. And interestingly, the all-in cost of electric buses, and the lifetime cost of operations and ownership are less already than the cost of new diesel buses. And so that’s pretty exciting. And it means that there’s an opportunity to save money already in transit. If the rate of the financing for the electric buses which will have a higher upfront cost can be worked out.”

However, he did not see the wider Caribbean adopting electric vehicles for personal or private use based on the data collected in their surveys as the initial cost to switch remained expensive, while infrastructure for such vehicles was still minimal in most states.

“I suspect that many may be past the tipping point where the all-in cost of the parts of the electric vehicle is actually less. But then we have barriers like the financing, the upfront costs, the lack of charging stations, and so on. And that means that although I’m pretty optimistic that the Caribbean will move to a lot having a lot of electric vehicles in the medium term, I’m not very optimistic about a big increase in electric vehicles over the next year,” said Ehrhardt.

Veronica Lizzio, Director of Sustainability Practice for Castalia, noted that in general, the Caribbean had placed optimistic targets concerning renewable energy transition.

“About a third of the countries are setting very ambitious targets of 100 per cent renewable energy. Of course, the target years vary by country but most of these countries are targeting by 2030 or around 2030 to reach this very high level of penetration.”

She said while there was some doubt about the achievement of certain targets set, there were enough encouraging signs that the region was heading in the right direction, particularly given the progress made in countries such as Belize, Suriname and Dominica

 

 

Unipet

2023, 04/14

Unipet opened its 25th service station and in the future more of its service stations will be powered by solar energy and be able to accommodate electric vehicles. At the opening of the gas station on Ramgoolie Street, Southern Main Road Curepe, Chairman Dr Afraz Ali said while fossil fuel will be Unipet’s main business driver for the foreseeable future, it recognizes the importance of reducing its carbon footprint and has begun to focus on renewable energy.

Technology can help the business be of service, particularly to those who struggle to be formally involved in the financial sector.

“We envision a system that will be available for other consumer items beyond fuel. We envision that for the first time in our country there will be a system which provides the unbanked with a way of recording their transactions. The system will also reduce some of the risks associated with having cash and therefore be more efficient for all of stakeholders.”

Unipet CEO Dexter Riley said the opening represented its second collaboration with the Chattergoon family, as about two years ago the first Chattergoon station was opened in Arima.   Riley said Unipet is committed to collaborating to improve the supply of petroleum to motorists on the east/west corridor and to ensure they can access clean and attractive facilities.

“This opening is yet another example of the extremely positive outcomes which can be derived when we collaborate towards a common goal.”

One of the company’s short-term goals is to reboot its brand experience in the network, noting that customers who use the service station would have a new experience that is customer focused and intensely concentrated on safety and convenience. Like other stations in the Unipet network, it is transitioning to cashless transactions which will also enhance customer experience.

On the investments into the service station, Reval Chattergoon, leader of the Chattergoon business enterprise, said, “If one were to look at the investments I put into this gas station, one can determine that it is not a temporary one. It is not a lease arrangement or a job. This is permanent. Think of it as an investment in the legacy that will be left behind and be passed on from one generation to another. See the investment in this station as an investment in the community and with the aim continuing to build this community.”

PPGPL

2023, 04/23

Phoenix Park Gas Processors (PPGPL), lone cooking gas (LPG) producer, denied reports that its facility was shut down as a result of a “full-blown natural gas crisis.”

Cooking gas comprises propane and butane, which is separated from the natural gas feedstock at the PPGPL facility.

PPGPL president, Dominic Rampersad clarified that the producer of propane, butane and natural gasolene embarked on a full shutdown of its plant on the Point Lisas Industrial Estate as a planned shutdown as part of its asset integrity and maintenance programme.

“Our shutdown of the facility has been in the planning for more than a year”. He said the shutdown began on April 17 and is due to be completed in 19 days.

“As this is a planned shutdown, we have been building up our inventory of cooking gas to ensure that we can maintain supplies to the local market. And we have been working with the distributors of natural gas to ensure that there are no shortages in the local supply chain.”

PPGPL has enough cooking gas inventory to supply the local market with the commodity for at least 28 days. T&T’s peak demand for cooking gas is 2,200 barrels per day.   PPGPL total production is 10,000 barrels per day, which goes to both its local and export markets. That means if the shutdown goes on for 19 days as planned, the company’s total production loss will be 190,000 barrels per day.

Rampersad said PPGPL is so concerned about maintaining continuity of cooking gas supply to its markets that it imported a cargo of 90-000 cargo barrels.

“Even if the shutdown went on for more than 19 days, we would still be able to supply the local market. We categorically deny that the shutdown of the PPGPL facility has anything to do with the natural gas supply issues reported . Had the reporter contacted us, we would have been able to set the record straight,” he said.

While PPGPL is not a public company, a significant percentage of its shares are owned by National Enterprises Ltd, which trades on the T&T Stock Exchange. PPGPL is majority owned by the Natonal Gas Company of T&T, which is a wholly State-owned company. In the last three years, PPGPL has made several acquisitions in the US, purchasing the marketing assets of Twin Eagle Liquids Marketing LLC in February 2020, the Hull Terminal in Texas in January 2022 and an NGL terminal in Rush City, Minnesota in December 2022.

 

 

Sunshine from sugar lands

Lincoln Holder Minister s Marvin Gonzales, Eugene Okpere, Energy Minister Prime Minister, Anja-Isabel Dotzenrath and David Campbell turn the sod for a new solar power plant at Brechin Castl, – L. HolderAt the sod-turning ceremony at Brechin Castle, Couva for the first of two solar photovoltaic plants that comprise Project Lara , Prime Minister Rowley says the country is breaking important ground to secure its economic future through the start of the project . The second plant will be built in Orange Grove, near Trincity. The two plants will have a combined capacity to generate a total of 112.2 mw of solar electricity.

 

In October 2021, Finance Minister Colm Imbert said the estimated cost to build the plants is US$100 million.

Project Lara is a joint venture of multi-national energy giants bp and Shell, and specialist solar energy company Lightsource bp. Project Lara represented part of the strategy to maximise the benefits from oil and natural gas, tap into the economic potential offered by renewable energy and keep commitments under the Paris Climate Agreement.

“TT is making a statement today that we are joining the world’s effort of reducing greenhouse gas emissions. We as an economy are placing our future on the ability to extract solar power and drive our economy by selling products made from hydrocarbons with some element of greenery.”

When operational, Rowley said the two plants could provide at least ten per cent of power to the national electricity grid. While this was small, the plants could have satisfied 100 per cent of Tobago’s electricity needs had they been placed there. Project Lara would not be the only renewable energy project Government would pursue. Rowley identified a location in western Tobago where solar panels could be constructed. While options in renewable energy are being explored, TT would remain in the hydrocarbon arena in which it has operated for over a century. Hydrocarbons are one of the largest markets in the global economy.

“We will not get out of the (oil and gas) business and leave others in it, to instruct us how to run our affairs.”

Initiatives like Project Lara would involve less natural gas being used to generate electricity, which will allow gas to be available “either as a petrochemical shipment or as an LNG (liquefied natural gas) shipment.

“We will kill two birds with one stone. We will reduce our carbon emissions and we will earn foreign exchange by simply changing the product from one to the other.”

Changing patterns of energy consumption from one commodity to another, is nothing new… .

“Our country has known change. There was a time in this country when charcoal was our major energy source.”

Had that remained so, Rowley said, there would have been severe deforestation

to access charcoal. Reflecting on the shift from charcoal to natural gas, Rowley was confident about the success of renewable energy alternatives like solar power.

“If it’s one thing that we have a lot of in TT, it’s a lot of sunshine.”

Energy Minister Stuart Young thanked Shell and BP for collaborating with Government on the project.

“It shows they invested in the well-being of TT’s hydrocarbon economy as we go through the transition to where we need to go.”

Shell TT senior vice president Eugene Okpere said the project could provide electricity to 42,000 homes in TT. Okpere and Low Carbon Energy bp executive vice-president Anja-Isabel Dotzenrath agreed that the project represented an important part of TT’s transition towards renewable energy. But they also reiterated that natural gas would continue to play a key role in satisfying energy needs in TT for many years to come.

 

 

Can Local investors spur non-carbon energy drive amid crime?

2023, 04/14

Energy majors Bp and Shell which have been operating here for decades with significant contributions to the economy together launched the first utility-scale solar energy project in Couva as the petrostate embarked upon a project to decisively enter the alternative energy grid. Ultimately, the mission of the two mega corporations,, is to supply 130MW of renewable power to the national grid. The establishment of the plant is a direct response to a request from Government.

One effect of the project will be a reduction in the use of natural gas-powered electricity in an estimated 42,000 homes, according to bpTT’s executive vice president, Gas and Lower Carbon Energy, Anja Dotzenrath, leaving the natural gas to be sold on the international market.

Shell’s senior vice president and country chair, Eugene Okpere, also sees the project as having the effect of lowering the carbon future of T&T.

Prime Minister Dr Keith Rowley recognised the double-edge sword problem of moving into non-carbon energy projects at the same time that the extraction, processing and exportation of hydrocarbons remain at the centre of the local economy. He maintained that T&T will continue to exploit its oil and gas reserves into the future.

Nevertheless, the reality is that the vast majority of countries, T&T included, agreed to curb dependence on atmosphere pollutants by signing the Paris Agreement as global warming, flooding, inundation of small islands and a range of environmental disasters impact the region.

With one eye on selling resources to the world to earn a living and the stark reality that the last 100 years of over-utilisation of hydrocarbons has brought the world to this point, citizens must also, therefore, be both conscious of our contribution to environmental disasters and to find ways and means to utilise other natural forms of raw energy.

T&T, in this age of growing use of technology allied to energy from wind and sun, large quantities of which it holds, , must utilise such options.

There are two obvious possible engagements that the Government and country should be concerned with as it embarks on the pursuit of non-hydrocarbon energy. One is the absolute need for the local private sector to become involved in energy-generating projects to utilise the natural resources available. The business and production industry cannot again wait on foreign investors to become the exclusive owners of the economy and then face the consequences of non-participation in ownership and management.

The second need is for the Government to be very conscious about making arrangements for the supply of power to T&TEC by intermediate companies. One result of such previous arrangements is that the commission has to purchase 400MW of power it cannot use.
So while utilising foreign capital and technology, local enterprise must be involved in the management and utilisation of surrounding assets.

 

 

316 solar batteries stolen from Manzanilla Road

Public Utilities Minister Marvin Gonzales told parliament that 316 solar-powered batteries powering street lighting were stolen from the Manzanilla/Mayaro Road. 79 streetlights were also affected by the thefts.

Mayaro MP Rushton Paray had asked if the Government intended to rehabilitate the solar street-lighting project along that road, which has been decommissioned over the past year.

Gonzales replied that, owing to a lack of electrical infrastructure along the road, 80 solar LED street lighting poles with battery back-up were installed along the road. This was consistent with Government’s plans for the development and execution of a full-scale energy conservation and energy efficiency programme under Vision 2030, and its nationally determined contribution under the Paris Agreement.

“T&TEC has advised that subsequently, between June 2021 and May 2022, some 316 of the battery packs valued at US$113,760 (TT$773,488) were stolen.”

On June 9, 2021 some 168 batteries were stolen and 42 poles affected. 60 batteries were stolen and 15 poles affected on April 5, 2022. On May 18, 2022, thieves took 88 batteries, affecting 22 poles.

“Following the May 2022 incident, T&TEC removed the remaining batteries to ensure there were no further losses resulting from theft, pending the putting-in-place of effective security measures to safeguard and protect these assets, involving the greater use of technology.

” T&TEC has advised that the redesign of the system, inclusive of enhanced security features, has been completed, and that the reinstallation of the lights will be done in stages commencing by May 2023 and projected to be completed by June 2023.”

 

 

Energy market

2023, 04/04

The decision by OPEC+ members towards oil production cuts has implications for global oil supply causing oil price hikes, but it is expected the markets will stabilise, says Energy Minister Stuart Young.

Young, following the decision by the nine members of OPEC+ to reduce collectively production of crude by 1.15 million barrels per day. The output cut is being undertaken by Saudis, with 500,000 barrels per day, and with the United Arab Emirates, Kuwait, Iraq, Oman, Algeria and Kazakhstan contributing smaller cuts.

They announced that the substantial voluntary production cut were geared at “supporting the stability of the oil market “-.

The development sent oil prices surging. Oil prices, which had dipped to US$70 in mid March, rose six per cent yesterday to US$80.42 a barrel for New York crude for May delivery.  Brent crude for June delivery also gained more than six per cent yesterday, rising US$5.04 to US$84.93 a barrel.

The production cuts are due to begin in May and will last until year end.
Queries on the implication of the situation for T&T were sent to Finance Minister Colm Imbert and Communication Minister Symon De Nobriga.

Young responded, saying: “This latest decision by OPEC+ has implications for global supply and the market has reacted as expected with oil prices increasing. It’s expected that markets will stabilise. Oil prices have been volatile and may continue so to be, Changes in the price of global commodities such as oil, natural gas, LNG, ammonia and methanol affect T&T’s revenue and are constantly monitored by the Ministries of Energy and Finance.”

Opposition United National Congress MP Dave Tancoo, the party’s spokesman on finance, said:

“If only this country had a refinery that would be refining oil, then it would have received substantial benefits from higher global oil prices. We’d have earned substantial foreign exchange, from higher international oil prices. Instead, right now we have to be very concerned about how much we will be paying for fuels that we are now forced to import because of this government’s lack of foresight, lack of initiative and attempts to cover up corruption.”

Some business leaders expressed concern on what higher oil prices may bring in terms of fuel subsidy where Government‘s contribution is now capped at $1 billion with consumers’ input making up any further requirement for the subsidy. One official, however, claimed there would be “very little” effect of the reduction of oil production on revenue and the fuel subsidy.

“That’s so because the market is extremely volatile and it will be premature to make any announcement.”

US Treasury Secretary Janet Yellen described the OPEC+ oil production cut as an “unconstructive act,” which could hurt US efforts to lower inflation. “I think it’s a regrettable action that OPEC decided to take. I’m not sure yet just what the price impact will be, I think we need to wait a little longer for, you know, to really assess that,” Yellen said.

 

Energy Minister meets Turkiye envoy

2023, 04/03

Minister of Energy Stuart Young M.P met officials from Turkiye (formerly Turkey) during a courtesy call with Ambassador Extraordinary and Plenipotentiary of the Republic of Turkiye, Her Excellency, Mrs Bengü Yiğitgüden, Advisor to the Board of Karpowerhip, former Ambassador Mr Şander Gürbüz and Mr Sudesh Botha, Director of GISCAD Limited .

Minister Young  expressed sympathy and empathy to the people of Turkiye for the recent loss of life due to earthquakes.   The parties discussed Karpowerships which operates a fleet of 36 power ships and provides 5000 MW of electricity to its customers across Latin America, Africa, the Pacific and Europe.

The Ministry said “Discussions were centred around the company’s power ships and what such solutions offered with respect to power generation and supply. Flexibility was a key component addressed as these ships can be relocated to different locations as well as switch between different fuel types depending on the availability and affordability of fuels.”

Turkiye has made highly appreciated contributions to the development of our community, with significant support to the CARICOM Development Fund and to the Caribbean Disaster Emergency Management Agency (CDEMA), as well as granting scholarships to our nationals,” The Ministry said.

 

 

 

IMF meets in Washington

Finance Minister Colm Imbert is leading a TT delegation to Washington, US to attend the 2023 Spring meeting of the World Bank Group and the International Monetary Fund (IMF).

Deputy chief secretary of the Tobago House of Assembly Dr Faith BYisrael on Saturday said she will represent the THA in the contingent. Other members of the delegation are Minister Brian Manning; Permanent Secretary Suzette Taylor-Lee; Governor of the Central Bank Dr Alvin Hilaire; Senior Debt Analyst, Matthew Maharaj; Macro Economic Analyst Natasha Killawan; Alternative Executive Director, IMF Reshma Mahabir; and Advisor to the Executive Director of the World Bank Tashay Francis.

The meetings will take place throughout the week.

BYisrael is scheduled to return to Tobago on April 15.

 

 

US Embassy acquires Country Club for new USD $400m site

2023, 04/06

United States Ambassador Candace Bond signed documents for the acquisition of the property at 137 Long Circular Road, Maraval, as the site for the new U.S. Embassy.from sellers,  Joseph Fernande, and Bernard Shepherd.

The US State Department officially announced the acquisition of 137 Long Circular Road, Maraval. US Ambassador Candace Bond officially signed the deal on April 5. Over $400 million USD will be spent on the project.

“The U.S. Government’s commitment to the construction of a new embassy is a powerful indicator of the longstanding, robust relationship between the people and government of the United States and the people and government of Trinidad and Tobago, The U.S. government will invest more than US$400 million to plan, design, and build the new U.S. Embassy. In addition to providing scores of jobs during the new embassy’s construction, the project will showcase state-of-the-art and eco-friendly designs and materials. It will also allow the U.S. Embassy to better serve our constituents, improve the experience for visa applicants, and provide new and improved facilities and services for those conducting business with the U.S. Government.”

Rumours swirled for years about the potential purchase of the site. It was reported in April 2022 the Embassy had purchased the site. Country Club was a major event space. The National Trust had also considered the site to be considered for notation and preservation.

 

 

2023 economic outlook ‘favourable’

2023, 04/01

The Central Bank declared that the outlook for the economy for this year “looks favourable,” barring major external shocks. The authority delivered this analysis in its Monetary Policy Announcement, on the last day of the first quarter.

The Central Bank decided to keep its repo rate–which influences the trajectory of interest rates throughout the economy–at 3.50 per cent, a rate it has maintained for the last three years.

Reflecting on the economy for the balance of 2023, the Central Bank said: “In terms of economic activity in Trinidad and Tobago, latest estimates put growth in 2022 at around 2.5 per cent. This reflected a relatively favourable performance in the energy sector alongside a gradual revival in non-energy production.

“There is some early evidence of improving labour market conditions based on observed increases in labour force participation in the third quarter of 2022 and the decline in the number of persons retrenched during the second half of 2022. The outlook for 2023 looks favourable, barring major external shocks.”

The full Monetary Policy Announcement follows-:

The global economy is rebounding faster than earlier anticipated from the COVID-19 pandemic.   However, the headwinds of persistent inflation, ongoing geopolitical tensions and fresh financial stability concerns in early 2023 cloud the outlook.

The failure of a few banks in the United States as well as one international bank prompted coordinated action by financial authorities to avoid widespread contagion. At the same time, monetary policy tightening continued, albeit with a more guarded orientation on future rate increases.

For example, in March 2023, the US Federal Reserve increased the target range for the federal funds rate by 25 basis points to 4.75–5.00 per cent.
With some of the supply-side impulses to inflation tapering off, there is an expectation that global inflation will moderate later in 2023. Energy prices have already demonstrated some softening.

West Texas Intermediate (WTI) crude oil prices moved from an average of US$76.52 in December 2022 to US$67.64 per barrel at mid-March 2023. Natural gas prices (Henry Hub) fell from US$5.50 per mmbtu to US$2.24 per mmbtu over this period.
Domestic inflation moderated in January. According to the Central Statistical Office, headline inflation decelerated to 8.3 per cent in January 2023 (year-on-year) compared with 8.7 per cent a month earlier.

Food inflation remained unchanged at 17.3 per cent, with slower price increases for fish, breads and cereals. Core inflation (which excludes food items) slowed to 6.1 per cent from 6.7 per cent, as price increases eased for housing, communication and furnishings. The rate of price increases for building materials also decelerated.

With respect to financial indicators, liquidity remains ample and credit buoyant, while interest differentials widened. Commercial banks’ excess reserves at the Central Bank fell by around $400 million, from $6.7 billion at the end of December 2022 to $6.2 billion at March 28, 2023.

Contributing to the decline were more extensive open market operations—net treasury bill sales of around TT$1 billion—and US$300 million in foreign exchange interventions by the Central Bank.

Financial system lending to businesses expanded by 9.8 per cent in December 2022 (year-on-year). Credit growth to the construction and manufacturing sectors (18 and 11 per cent respectively) were particularly robust, while consumer credit gathered momentum.

Meanwhile, the differential between interest rates on three-month treasures in Trinidad and Tobago and the United States moved to -429 basis points in February 2023. This compares to –392 basis points at the end of December 2022 in the context of US Fed tightening.

There is evidence of a slight upward movement in domestic interest rates in recent months; the rise in average rates on loans exceeded those on deposits resulting in an expansion in the loan/deposit spread by 5 basis points to 6.36 per cent.

In reviewing external developments, the Monetary Policy Committee (MPC) took particular note of the recent banking problems and the potential repercussions on global financial stability. While domestic inflation had shown signs of slowing down, the MPC acknowledged that unanticipated external impulses and second round effects of the adjustment to local fuel prices could temper further reductions in inflation in the short run.

The current buoyancy in credit was welcome in fostering growth that was still at an early stage, but needed to be closely monitored given the implications for demand pressures and the quality of bank assets.   The MPC also noted the impact that the Bank’s recent open market operations had been having on financial system liquidity. Taking all these factors into account, the MPC agreed to maintain the repo rate at 3.50 per cent. The Central Bank will continue to carefully monitor and analyse international and domestic developments and prospects.

The next Monetary Policy Announcement is scheduled for June 30, 2023.

 

 

 

Commodity price changes

Finance Minister Colm Imbert rejected claims from the Opposition and other critics that the rise and fall of revenues of certain commodities do not necessarily negatively affect the economy.

At a virtual news conference to deal with the concluding statement of the International Monetary Fund’s (IMF) 2023 Article IV mission to Trinidad and Tobago, released on March 16, he said

“I want to make a point. I have made it before. TT benefits from a revised formula for revenue from the natural gas sector in particular, where the prices that we get for tax and revenue purposes are not simply based on income.”

Government now relies on three natural gas benchmarks: Henry Hub (US), NBP (UK) and JKM (Japan/Korea Republic).

Referring to a recent decline in the Henry Hub price, Imbert said a fall in gas price on one benchmark could be offset by the performance of the other two.

“So that the netback prices that we get for gas are not based on Henry Hub.”

There are different netback prices for liquefied natural gas (LNG) and petrochemicals

As an example, he said the latter is based on the price of the respective commodity (urea, ammonia etc).

“As these prices are high, you get a high netback price from revenue purposes for the petrochemical sector.

While TT is a member of the IMF, Imbert said, “TT is not in an IMF programme. We have not been in an IMF programme for over 30 years.”

That last happened between 1986 and 1991. “We all know what went on there,” he said, referring to structural adjustment policies of the NAR administration. Public servants’ salaries being cut and people being retrenched were some of the events that followed.Those things happened because government then “had to follow the dictates of the IMF.”

He predicted it is unlikely that TT will ever find itself in another IMF programme while the PNM is in office.

Article IV consultations are held regularly between the IMF and its member states to monitor economic development. Imbert reiterated that although TT is not in an IMF programme, it is not bound by any of the recommendations the organisation makes with respect to the economy.

The press conference was necessary because of misinformation in the public domain about the contents of the IMF’s concluding statements. He had received complaints from members of the private sector who had read the statement in its entirety and felt aggrieved about the way it was reported in the media.

The IMF noted Government’s prudent management of the economy to date and projected economic recovery “to gain broad-based momentum in 2023 with a 3.2 per cent GDP expansion.”

The IMF observed that Central government debt declined to 53.8 per cent of GDP (from 60 per cent of GDP) and gross public debt declined to 71 per cent of GDP (from 79.2 per cent of GDP in financial year 2021).

The IMF added, “Public financial buffers remain strong with total assets in the Heritage and Stabilization Fund (HSF) at US$5.0 billion (18.6 per cent of GDP) by end of financial year 2022.”

It cautioned that budget deficits will widen as public-sector wage negotiations continue, while issues with the precarious state of the National Insurance System and the impact of a global reduction in fossil-fuel use threaten the country’s economic balance. It also recommended more exchange-rate flexibility and the implementation of a more efficient foreign-exchange infrastructure.

 

 

TT Chamber of Industry and Commerce

Focus on crime for new President

Newly appointed president of the Trinidad and Tobago Chamber of Industry and Commerce Kiran Maharaj said the chamber, under her leadership, will focus on crime, especially how it affects SMEs and on the development of youth and the SME sector. After her inaugural speech at the chamber’s annual business meeting in Port of Spain, Maharaj told media SMEs are facing threats in their day-to-day operations.

“I feel that the authorities and the powers that be don’t understand the issues that SMEs are facing on the ground.They don’t understand that, ‘Listen, I own a small business. I close up my shop and leave there and I go home, but now I don’t know if I am being followed. I don’t know if I can get to the bank to deposit my money.’ These are simple everyday things that are really very stressful for small businesses.”

Speaking on the two-day Caricom symposium on crime as a public health issue hosted in TT, Maharaj said while she did not attend, she felt it was a necessary conversation and a step in the right direction.

“I did see bits of it (and) I feel that some of the elephants in the room were addressed. I think it was an important first step. Where we are at on crime means that we have to look at it holistically. We are at dire straits and I think the crime symposium is a very good first start. What we need now is follow-up.”

Maharaj said crime was a plague that must be stamped out. She called on the police to improve on their seven per cent detection rate. She said the chamber needs to be responsive and proactive in a business landscape that is constantly evolving. Global events of the last three years – covid19 and the Ukrainian/Russian conflict – underscored the importance of agility and resilience in the business community.

Overall, she said the chamber needs to find ways to increase economic participation and introduce new opportunities which do not limit access to finance; enhance social infrastructure provisions via ESG mandates; embrace emerging technology opportunities and enhance the adoption of digital technology; and increase innovation diffusion and levels of entrepreneurialism.

Interview with Stephen de Gannes, CEO, TT Chamber of Industry and Commerce.

What do you hope to accomplish as you lead the Chamber?

I am a natural optimist and I like to use a collaborative approach.

The Chamber is well-positioned to make a difference in several areas on the national front. I plan to leverage on what we have already built and re-strategise for what I hope will be greater benefits to business, the public and the country. We have a very robust and diverse membership and I hope to make this work in our favour.

One of the consistent messages coming from members in my meetings is the desire to make a difference to our country.

This is very heartening, and if solutions are developed with a positive mindset, the country wins. I think the Chamber is a great organisation to work with the state and other national leaders to make changes that benefit the country.

People and organisations come to us with new projects all the time and I definitely plan to pursue some new ones in addition to what we have, especially in the areas of technology, agriculture and any other areas to help give young innovators hope in starting up their own ventures.

Do you believe that TT’s private sector can re-think traditional business models and re-energise our economy? Can you expand on two critical areas that are of the Chamber’s interest?

Absolutely, yes! I don’t think there can be any dispute that our private sector is both resilient and creative. TT’s private sector is not only “big business” but every mini-mart, vendor and farmer out there – and all of these have demonstrated tremendous resourcefulness and resilience.

It’s not a question of whether the talent or energy is there, but of how soon we can we can embrace a mindset change and get it moving in the same positive direction.

Two critical areas that the Chamber will be focusing on this year would be how the business community can assist in the fight against crime, and the growth of small and medium enterprises in the country.

We are also excited about two new Chamber projects related to digital business and technology (or DBT), and environmental, social and governance (ESG).

How is crime affecting your members and what are some measures that the Chamber’s members think can help with the current crime situation?

Crime is definitely a continuing impediment to doing business in the country.

Like most other people, businesspeople are living a state of constant unease and we would like to see a much more proactive approach by persons in authority to address crime.

We are not, however, just waiting for change to happen; we have put forward proposals which we believe can have a positive impact on the crime situation.

We also continue to be available to the authorities to work with them on the reduction of crime levels.

What are the three main areas that you think should be addressed in order to facilitate business in TT?

Swift information transfer is a major part of doing business in any country, and this is an area that is currently being pursued by the Ministry of Digital Transformation. That can remove a large impediment to doing business when their strategies are implemented.

Another area would be the encouragement of innovation at the tertiary levels, and yet a third would be to focus on encouragement of the development of SMEs.

Together they will create a more independent way of thinking as well as increase employment throughout the country.

We also need to continue to work on reforms of processes, which are being addressed through our representation on the state-driven National Trade Facilitation Committee and the Joint Customs Consultative Committee, both of which are seeking to address issues of efficiency and procedural simplification to assist businesses.

 

 

Procurement Act proclamation ‘a major milestone’

Responding to news from the Office of the Attorney General, Contractors Association president Glenn Mahabirsingh said that next week’s full proclamation of procurement legislation would be “a major milestone” for the country,

Former procurement regulator Moonilal Lalchan said, “This is a really significant event.”

Opposition Senator Jayanti Lutchmedial, however, was sceptical.

The four-line statement from the AG’s Office , despite its brevity and suddenness, could profoundly affect commerce .

Attorney General Reginald Armour, SC, said Cabinet had earlier “approved the full proclamation of all remaining sections of the Public Procurement And Disposal Of Public Property Act, No 1 of 2015, which full proclamation will take effect from Wednesday.”

In the eight years since Parliament passed the act in 2015, parts have been proclaimed, but other sections rescinded by successive amendments in Parliament, in 2016, 2017 and 2020.

Mahabirsingh said, “The TTCA is extremely pleased with this announcement.”

The JCC, of which the TTCA was a member, had advocated for procurement laws since 2007.

“So 2023 would mark 16 years of advocacy to have legislation for procurement and specifically for construction projects. This is definitely a major milestone for the industry and the country.”

TTCA now hoped the country could benefit from the legislation.

Asked if it was a bolt out of the blue, Mahabirsingh recalled earlier this year the Prime Minister had promised proclamation by Easter.

“There had been a lot of advocacy through the JCC. The JCC would have constantly had articles and reminders. There were many contributions by senior people in the industry to bring this where it is today. So we look forward to the agencies being outfitted and resourced, to follow through with the legislation. We look forward to the benefit that would come down to the general public.”

Former procurement regulator Moonilal Lalchan said proclamation would give the Office of Procurement Regulator (OPR) full operationalisation, to do proper investigations and hearings. Asked if public agencies had enough time to be compliant by hiring procurement officers so as to be able to implement the act, he replied that since 2018, much had been done to get public bodies ready, including naming their procurement officers.

He lauded TTEC and Heritage Petroleum as being ready, with WASA, TSTT and NGC quite advanced. Mulling the AG’s statement, Lalchan said, “This has accelerated the process for those not totally on board. It is the law.”

He said the OPR has had 325 training sessions, so any non-compliance by entities was not caused by the OPR.

Asked about the current vacancy in the post of procurement regulator, he said the post was appointed by the President of the Republic, after consultation with the Prime Minister and Opposition Leader.

“I’d like to congratulate the members of board, the leadership of the OPR and all employees for a job well done.”

Lalchan said all contractors and suppliers wishing to do state business must register with the OPR. Anyone feeling aggrieved by a procurement award can bring a case to the OPR to examine. Lalchan expected that the OPR had alleviated some of the judiciary’s concerns.

For the Opposition, Lutchmedial said the original act had been weakened by repeated amendments.

“Full proclamation won’t reap the full benefits.”

She hoped the proclamation was not done to distract and placate the population amid the crime onslaught. Lutchmedial said the former People’s Partnership government had worked hard to bring a very strong and robust procurement act but this had been weakened by the current Government through successive amendments over the past eight years.

“So the full proclamation right now does not change the fact that they have deprived the population of what was supposed to be a robust legislative regime to root out corruption in public procurement.”

“Two things jumped out at me when I first saw it. Firstly, the PNM are very good at creating distractions. With the crime situation being what it is now, they probably thought this was a good reason for a distraction.”

 

Secondly, she said the Joint Select Committee on Finance and Legal Affairs was trying to schedule a meeting with the AG for him to explain the challenges with the legislation, especially those highlighted by the judiciary.

“They never really apprised the population how they were working through those issues. I really hope they have worked out those issues. I hope it’s not just a way to distract the population and to placate the population. They (Government) are facing the wrath of citizens because of the crime situation.”

Lutchmedial said government amendments to the act meant it did not cover government-to-government contracts nor the provision of legal services.

“The post of procurement regulator has to be filled. It is very curious that the person who was there some time, working with them for some time, is no longer in that office. We will see who they put.”

On June 22, 2022, Armour told the House of Representatives that the judiciary feared a lack of separation of powers, the OPR’s wide authority, insufficient assurance of due process, abuse in challenges to a public body’s procurement activity, abuse of the act to hinder the functioning of law courts, the understaffing of the Judiciary’s procurement unit, fears of a leap in public-law litigation, fears of an unmanageable workload for the Judiciary, and an extensive impact on the Judiciary’s operations.

“It is the view of the Judiciary that the effect of this legislation on the processes and operations of the Judiciary (and other public bodies) has not yet been truly understood, and that the level of bureaucracy, record-keeping, paper work, as well as the staff needed to ensure its proper application, are not yet properly assessed.

Armour cited the CJ saying it was unrealistic to ask existing staff to undertake new tasks linked to the implementation.

“The responsibility placed on the procurement officer and the accounting officer is immense and to require them to address it without sound legal support, at risk of grave penalty, is unwise.”

The act says, “A supplier or contractor may apply to the Office for review of a decision or an action taken by a procuring entity in the procurement proceedings.”

It says this applies to a supplier or contractor participating in the procurement proceedings or any public body whose interests are or could be affected.

 

 

Asa Wright Nature Centre

Known for its line of imported food and beverages, Hadco brand, is embracing a new role of mixing business with environmental consciousness. The first step in that direction came a decade ago and on April 6 part of that realisation was re-opening of the Asa Wright Nature Centre Eco-Lodge, north of the Eastern Borough of Arima.

The board of Asa Wright manages the 495 hectares of land as a wildlife sanctuary in the Arima, Aripo and Guanapo valleys. A field research station and a lodge which attracts visitors from all over the world is also managed by the board as a not-for-profit venture.

In October 2020, the Jewel in the Trinidad tourism crown tried raising US$50,000 to keep the doors open and pay 46 staff members, most of whom were volunteers. Travel restrictions imposed during the covid19 pandemic led to the closure of its eco-lodge.

The following year a request for proposal by the board of the Asa Wright Nature Centre sought a company with a “mission-aligned tourism development” strategy that was able to support the lodging at the facility. Hadco Ltd won the bid.

The aim of the partnership is to build on a locally loved, internationally recognised brand to create the benchmark for sustainable hotel/tourism in the Caribbean.

After a $14 million investment by Hadco Experiences, the company that focuses on its eco-tourism business ventures, the three-year hiatus ended on April 6, with an Argentinian tour company Trogon Tours bringing in 13 birdwatchers. Hadco has a lease to the lands and lodge for 10 years.

The 29-room, fully air-conditioned getaway caters for singles, couples and families. The hiking trail was refurbished while the rooms were redesigned with local teak bed posts and nightstands. Overhead utility lines were buried and rooms are accessible with QR codes as part of the digitisation of the lodge which will include free Wi-Fi.

Guests will have the option of local meals prepared at the centre’s restaurant. Packages start from US$300 per person a night.

At the re-opening, co-founder of Hadco John Hadad said the company is aiming to pivot the business to something more sustainable outside of the retail food and beverage business.

“For the last 10 years we’ve been working on a different model, and a model that has to be relevant in many areas. Number one, there’s a whole rising era called ESG, environmental social governance, it speaks to the spirit of the company, and the manner in which you conduct your business and especially on the environmental end. “

He wanted businesses that are relevant in that sector which could also be a foreign exchange earner. Although his company’s $14 investment was over budget by $7 million, he hopes that within the next three to four years he will see returns on his investment.

In keeping with the company’s focus, Hadco has also purchased the Mt Plasir Estate Hotel in Grand Riviere.

“We consider our business to be endemically TT, so we want anything that sort of plays in that space. Hence the reason for the investment in pan with the pan factory for which we probably would not get a return on that investment for maybe five years. And now with eco-tourism that we consider as at the heart or the core of what our tourism is in TT. Eco-tourism speaks to low touch, authenticity, being real, selling what we are as Trinbagonians to the rest of the world, including the wonderful flora and fauna that God has blessed us within 2,000 square miles.”

During a tour, Hadad explained that the vantage point for bird lovers got a facelift with an extension of the patio allowing for cameras to be mounted with greater ease. Retractable bird feeders allow birds to get closer to the watchers as they feast.

Planning and Development Minister Pennelope Beckles, MP for Arima, said the eco-lodge has great potential .

“This is the first eco-lodge developed for TT and this is a momentous occasion to experience the preservation and transformation of this iconic and rustic building. This will embrace the natural habitat and beautiful species of flora and fauna, while acknowledging the significant economic importance of eco-tourism in TT.”

CEO of Tourism Trinidad Limited Carla Cupid said the Hadads struck gold with the eco-lodge and was pleased to see the transformation of the lodge.

“This attraction, I consider it to be the jewel in the crown of tourism for many years.”

 

 

 

Eco-tourism for all

At long last, a concessionaire will take up the reins of the commercial operations of Asa Wright Nature Centre, which only a few years ago faced extinction. The decision by the Hadco Group, through its Hadco Experiences division, to invest in the centre as well as the Mt Plaisir Estate Hotel in Grande Riviere, is a big moment for local business.

While we acknowledge the importance of foreign investment, it is good these two crown jewels in our eco-tourism offerings are in indigenous hands, especially given the way both venues are so intimately tied to the landscape. Host to critically-endangered species endemic to our islands, as well as some of the oldest creatures on earth, they are invaluable sources of pride.

Hadco should be commended for a substantial commitment to the country’s economic well-being through this bolstering of tourism and diversification.

While profit-making and the generation of goodwill are undoubtedly factors, as in any business venture, that does not detract from the fact that the company has literally put its money where its mouth is, at a moment when so few are willing to do that.

Yet because Hadco is known primarily as a food and beverage distributor, with operations in lighting, manufacturing, recycling and logistics) there has been some degree of scepticism over whether its brand meshes well with eco-tourism and research. This overlooks the fact that both venues do have long histories of offering dining, and that could align well with Hadco’s expertise, systems and networks. Time will tell.

On the cost of access to these facilities, particularly Asa Wright, some have pointed to the initial entry fees being prohibitive for the average family.

It’s early days yet, and who knows what the long-term plans for these facilities are, or how Hadco intends to develop them? But the company would do well to attend to such matters. While any investor needs to recoup their funds, it is worth considering the social dimensions here as well as Hadco’s own reputation.

These facilities are not just tourism facilities. They are educational, and that too has to be kept in mind. It has been suggested there could be a two-tier pricing system with foreigners paying a different fee so as not to price out locals. This could be one solution.

Another could be to involve the State and civil-society NGOs through the provision of subsidies. Even before all of this, both facilities were rendered relatively inaccessible by the poor state of the road network. The Government already has a role to play in upkeeping the basic infrastructure needed for businesses to thrive. It also has a duty to devise an updated marketing strategy that brings tourists here while also allowing locals to access a vital part of the national patrimony.

 

 

Tobago Coral Reef

2023, 03/30

Planning and Development Minister Pennelope Beckles with officials from the Institute of Marine Affairs and BPTT, toured Tobago’s coral reefs on 29 March 2023.

Five coral reef sites in Tobago are expected to benefit from a new pilot project to restore the corals and sea grasses , Minister Pennelope Beckles confirmed.   The Minister led a delegation from the Institute of Marine Affairs (IMA) to the Buccoo Reef to explore the possibilities to restore the sea grasses and coral reef.

The Marine Resilience Initiative (MARIN) Tobago project is an 18-month pilot project of the IMA, with support from British Petroleum Trinidad and Tobago (BPTT).  MARIN Tobago seeks to determine the feasibility of coral and seagrass rehabilitation strategies given their current ecological state, existing disturbances,and management practices.

“This is necessary for initiating coral reef and seagrass restoration in Tobago which will be extended to more sites in Trinidad and Tobago in the next phase.”

The pilot will focus on five coral reef sites: Buccoo Reef in the Marine Protected Area, Mt Irvine Reef, and Flying Reef in southwest Tobago, Booby Island Reef, Charlotteville and Angel Reef, and Speyside in northeast Tobago.

Buccoo Reef Trust was a pioneer in such research for which ECO donated a microscope.
Reference:  [S.S. Radford. 1973. DIstribution of foraminifera in selected bays, Tobago Island West Indies. PhD Thesis University of London.]

 

 

CGCL launched ‘ultimate user-friendly’ website

Methanol producer Caribbean Gas Chemical Ltd (CGCL) launched a new cutting-edge corporate website at its La Brea headquarters. offering an ultimate user-friendly experience for energy stakeholders and the general public.

CGCL CEO Pedro Arasa said, “As CGCL drives forward with its growth and performance strategy, we decided to develop a corporate website that clearly communicates who we are as a company, our growing range of products, our work, and the people at the heart of our success.”

 

 

 

Criminals attack SMEs

After yet another small businessman’s home, in Tabaquite, was invaded, President of the Greater San Fernando Chamber, Kiran Singh is concerned that the majority of home invasions are being perpetrated against business owners in the SME sector,

Singh said the SME is a most vulnerable sector, which at great sacrifice is equipping its business places with cameras and security. Not all businesses can afford 24-hour security and while cameras are picking up the perpetrators, he questioned their usefulness, since the police are not catching the brazen criminals, who seem unperturbed by the cameras.

Three men confronted a businessman at his home, off the Tabaquite Main Road. He was securing his premises when the men, two of them armed, accosted him. They forced him into his home, demanding cash and valuables and beat him. He was robbed of an undisclosed amount of cash he reportedly kept on the premises. While making their getaway, the bandits crashed into a parked Nissan Tiida but did not stop.

PC Ramdass and other police responded and found the getaway car in a teak field in Rio Claro. There was no sign of the cash or the thieves.

There has been a spike in home invasions in past weeks. In Aranguez, a family was beaten and robbed. Police shot one of the bandits and held others. In Debe, the home invasion of a businessman, by seven young men, was caught on video. It showed the men, some of whom hid in the trunk, used a car to gain entry into the house, which they burgled.

The attempted theft of a car resulted in the death of its owner, businessman Rishard Ali, at Chaguanas . No one has been held for Ali’s murder.

Businessmen, who feel they are under siege, seek the urgent audit of firearm users’ licences by the police commissioner so they can be armed to defend themselves.

In response to crime in the region, governments organised a two-day Caricom regional symposium on crime in Port of Spain, to address crime as a public health issue and seek solutions to stem the tide.

The attacks appear to be slow-motion genocide of the rural sector, under the noses of the authorities.

 

 

Violent crimes cost billions of dollars

According to a study presented at the two-day symposium on crime and violence by the Inter American Development Bank, murders, shootings, woundings and domestic violence cost over $6 billion in 2022,

Rutgers University Professor Andres Rengifo revealed a study showing that violence in TT consumed 4.07 per cent of GDP last year when murders alone cost the country about $1.4 billion. Rengifo said each of these murders cost US$350,000 or over $2 million, accounting for 21 per cent of the costs of treating with violence.

Medical expenses for a shooting victim is about $80,000, as revealed in a breakdown of the costs behind interpersonal violence. The mental health aspect costs about $50,000. The highest cost of a murder comes in productivity which was estimated to be a $1.2 billion cost to the country, but Rengifo did not detail specifics on how the study quantified productivity.

TT spent close to $93.9 million on criminal justice costs prior to and after each murder. About $45.89 million is spent on policing, more than $10 million in the judiciary, $9.4 million at the Attorney General’s office, $27 million for imprisonment and over a million for parole and probation.

Enacting the death penalty could cost taxpayers millions, the Prime Minister told media at a post-symposium session.

“Every single person who is convicted and for whom the penalty is death, they have an automatic appeal in the Privy Council. If you are fighting that what you are fighting is a million-dollar or two, or five, or ten million-dollar expense, which will hardly bring success. Every single person on death row is going to cost the taxpayer millions of dollars as that person is fighting for his or her life.”

Despite the high costs of murder, it only accounts for one per cent of all the violence . Last year, TT recorded 605 murders, 17,365 woundings and shootings and 59,630 reports of domestic abuse with physical violence.

“Violence varies. They don’t take the same form and they don’t have the same impact and they cannot be addressed in the same way,” Rengifo said. “Gang violence is typically associated with murders, but we also see that it could be showing up in woundings, in school fights and other forms of violence that are less likely to be reported.”

Woundings and shootings cost medical facilities in 2022 over $768 million, with $276 million spent on direct medical assistance after being wounded and over $391 million in counselling. TT spent $121 million pre- and post- offence criminal justice costs. Private security garnered about $56 million.

Rowley told the symposium each wounding and shooting cost hundreds of thousands of dollars to be treated.

“A surgical intervention to the head costs $170,000, for a chest wound it would cost about $135,000; a shot to the leg with surgical intervention would cost about $100,000 and a leg shot without surgical intervention could cost about $100,000. All of these are frequent daily-incurred costs to be borne by taxpayers at every level; from scarce revenues diverted from other more deserving, productive priorities.”

For domestic violence over $1.3 billion was spent on counselling as a direct cost to victims and associates. Over $230 million was spent on medical costs. Criminal justice costs amounted to about $281.83 million inclusive of costs for policing, prison, operations at the Attorney General’s office and the judiciary.

The overall costs of violence accounts for large sums of expenditure in specific ministries, Rengifo said. About 24 per cent of the police budget is spent on dealing with violence in its various forms. For the Ministry of Health it is about 11.6 per cent of its expenditure. Dealing with violence also consumes over half or 54 per cent of the Attorney General office’s expenditure and 46.7 per cent of the judiciary’s.

These costs may just be the tip of the iceberg, Rengifo said. Only about two per cent of crimes are known to police, mostly because they are tied to domestic-violence incidents that do not necessarily make it to the authorities or to hospitals.

Coming out of covid19, evidence suggested that there was resurgence in the level of violent crime.

An Insight Crime report noted a 12 per cent increase in murders in 2021, following a murder toll of 399 in 2020. The toll, although higher than the year before, was still lower than the 2019 murder toll of 539. TT was ranked fourth in the region in 2021 with a rate of 32 murders per 100,000.

Other incidents of crime have declined but violence increased through kidnappings, violence against women, sex crimes and shootings and woundings.

The highest rate in 2021 was Jamaica with 49.4 murders per 100,000. Police in Jamaica recorded 1,463 murders in 2021, with homicides increasing from 2020 by 10 per cent, until in November when Jamaican Prime Minister Andrew Holness called a state of emergency in about a third of the country. In his New Year’s speech Holness said he intended to put stiffer penalties for possession of illegal firearms. In the 15 days after his address, more than 70 people were murdered. The murder toll in Jamaica in 2022 was 1,498.

At the symposium, Caricom heads agreed that the steady flow of guns into the region is fuelling violence. By the end of the symposium, Rowley declared a war on guns, with its first act being a call to the United States to do more to stem the flow of illicit firearms from its shores. Statistics revealed that the majority of guns in the region come from the US, sometimes through legitimate ports of entry. In TT, over 70 per cent of violent acts were perpetrated with the use of firearms.

Minister’s words do not inspire confidence
Business leaders say the statement by the National Security Minister that he is not responsible for any anti-crime plan, does not inspire confidence that he or the Government would urgently treat with this serious scourge.

Reeling around the crime wave enveloping the entire country, business, religious and other civil society organisations have been calling for drastic measures to effectively tackle the menace. Kiran Singh, president of the San Fernando Greater Chamber (SFGCC) one of the voices raised for decisive action said in response that placing all responsibility squarely in the hands of the commissioner of police is not the answer.

“’How am I supposed to feel? Saying it is not his job, does not inspire confidence. We understand a crime plan would come from the CoP, but we also want to hear something tangible from the line minister, the government and agencies responsible for defence and criminal intelligence gathering in the country to inspire confidence.”

From every quarter – business, religion – to the average citizen, the number one topic of conversation is crime and fear they are feeling, he said.

President of the Chaguanas Chamber Baldath Maharaj said while the minister is partially correct as it relates to his responsibility of a crime plan, he and his government have ultimate responsibility to keep citizens safe.

“To ensure the country gets the desired result in crime reduction, both the Minister and the CoP should be in effective partnership. The expectation is that they work as a team. Ultimately, the Minister/Government is the executive and has the responsibility for the safety and security of citizens.”

Former National Security Minister and former CoP Gary Griffith agreed to a coordinated effort with the TTPS and other agencies for any plan to be effective.

“Hinds is once again showing a complete lack of leadership and cowardice, as he is attempting to shirk his own responsibility, by trying to pass the buck solely onto those under his command, who head the protective services.”

Prior to the opening of the San Fernando headquarters of the Repatriation Committee for Nationals Overseas, the minister said neither a crime plan nor calls for a state of emergency (SoE) were within his remit. His responsibility was more in line with guiding policy directions, providing budgetary and other support to carry out the mandate to uphold the rule of law.

“A Minister of Government does not generate or create a crime plan. That is a matter for the Police Commissioner and the Defence Force that supports the police in dealing with these issues.”

To calls for an anti-crime plan, the minister said, “If I had a crime plan and it was up to me, I will lock up all of them who does be talking you know…. Starting those from the other side of the Parliament (referring to the Opposition MP’s) some of whom I think don’t deserve the attention they they have only marginally had.”

Ruling out the imposition of a state of emergency (SoE) some sectors of the country have been advancing,the minister recalled the 2011 SoE which took the CoP Dwayne Gibbs by surprise, particularly as his main mandate was to deal with crime and criminality.

“That would not happen with us. We are far more astute and far more respectful of our roles and responsibilities. So, to ask me whether I would establish or cause to be established a SoE, is a little bit outside of my remit. We would take our timing from law enforcement on matters of that nature. That is not on the agenda at this stage.”

He also ruled out any call for a gun amnesty and said Government would be looking to the Caricom Crime Symposium on April 17, for new approaches to responding to crime as a number of holistic initiatives have not worked in the past.

“There is a strong case that using law and law enforcement, particularly the police to attack criminality, has its value, but there is a strong case that it may require that we have to respond to crime with a lot more than that. TT has always recognized the development of the human being in a holistic way that would yield a situation where the individual would be less likely to commit crime, or that he has to thief, to rob, to rape, to kill or invade people’s home in order to make it.”

He said Government has tried to create a society where everyone has an opportunity, citing education as an example. Considered the poor man’s bank account, he said opportunities from early childhood to tertiary level, has been created for those with the capacity and will to access.

Similar initiatives have come through the housing and social services sectors, “to support people who might find them themselves in need, so they would not go to the edge, feeling that they have to commit crime to make a living.”

 

 

Point Lisas Gas

2023,  04/26

Gail Alexander

Energy Minister, Stuart Young, told the Senate that that temporary difficulties in the supply of natural gas from a major natural gas upstream supplier have affected some of the plants at Point Lisas, but some plants were being restarted as they got gas.

UNC Senator Wade Mark queried measures to address the “shutdown of cooking gas production” and several petrochemical plants at Point Lisas “triggered by an electrical fire at BPTT’s Mahogany hub.”

Young repeated Phoenix Park Gas Processors Limited (PPGPL) assurances of no cooking gas shortage and said that PPGPL’s processing units were down for routine maintenance works that were in planning for over a year.

Mark asked Young to confirm whether the M IV methanol plant, Tringen II ammonia plant and three of five Nutrien ammonia plants at Point Lisas were down due to a lack of natural gas supply.

Young said, “Plants at Point Lisas from time to time—similar to PPGPL—have to go down to do routine maintenance works. Some of those plants will fall into that category.”

Young said Mark’s query about a fire at the Mahogany platform was explained by a bpTT news release, adding that the fire had nothing to do with the state of any of the plants at Point Lisas. bpTT said it was a small fire on a temporary piece of equipment and the situation was back to normal production level.

Young added, “What I can say is there have been some temporary difficulties in gas supply from one of our major natural gas upstream suppliers that have affected some of the plants at Point Lisas. Some of these plants are also utilising the opportunity and the time to do routine maintenance. It doesn’t mean we’re not always concerned about consistent gas supplies from upstream producers, whom the Government and NGC have absolutely no control over what happens with respect to their production, save to be in a position as we’ve done consistently to ensure that all that needs to be done on our part is done so there’ll be a maintained production of natural gas.

“As we’re speaking, some of the plants referred to by Senator Mark are on their way to being restarted as they get gas supply.”

 

 

New trade agency before year-end

On other queries, from Independent Senator Amrita Deonarine, Trade and Industry Minister Paula Gopee-Scoon said the proposed establishment of a single trade and investment promotion entity, the T&T Trade and Investment Promotion Agency (TTTIPA), will be before year-end.

To this end, the Ministry has engaged the services of a human resource and industrial relations consultant, and a change management and communications consultant.

“With Inter-American Development Bank (IDB) support, additional consultancies will be executed for HR support and development of the institutional governance framework for the agency; digital tools and systems, and strategic plan.”

The change management and HR/IR consultancies commenced in January and March 2023 respectively. The IDB identified a preferred consultant who was to commence work this month.

“InvestTT, exporTT and CreativeTT are currently taking action to complete the amalgamation process, which involves sensitive legal and HR and industrial relations issues that must be treated with the highest level of care and detail. Among the critical and sensitive issues that are being addressed include valuation of the entities, treatment of shares and treatment of unionised employees.”

Upon completion of all activities, the legal establishment of the agency will occur following approval of the Articles of Amalgamation of the new entity by the Registrar General, projected to occur before the end of the fiscal year.

“It’s anticipated it will be established before the end of fiscal 2023…there have been no significant delays reported.”