The Guyana Update -- August 1996

A monthly publication of the Embassy of Guyana, Washington D.C.

Heavy rainfall and flooding since May have affected many residents on Guyana's East Coast and along its rivers and many of them are left stranded. In the Mahaicony and Mahaica River residents have lost hundreds of cattle and other livestock through drowning and acres of land are under water.

Residents of the rural Kwakwani district, reported that their homes and businesses were under water as much as six feet high and villages in the cattle farming Rupununi district were also reported to be under heavy floods.

In the worst affected coastal areas of Mahaica/Mahaicony and Abary, more than 10,000 residents in 30 villages along the rivers experienced flooded conditions with water at the edge of many of their homes.

President Cheddi Jagan on July 12 declared a state of national emergency and announced that Government was releasing 50 million dollars

immediately to deal with the emergency while appealing to international agencies for help.

Government and private sector agencies launched a massive relief effort of food, medicine and clothing to the hardest hit areas.

Meanwhile, International donor agencies stood ready to back relief efforts for thousands of flood victims, but called for more details on the number of people affected and their requirements.

An estimated 12 000 to 16 000 people have been affected by severe flooding due to heavy rains and high tides.

A special fund has been set up to allow for organizations and individuals to contribute to flood relief. Dr Roger Luncheon, Coordinator of the National Disaster Committee, announced that an Emergency Operations Center (EOC), staffed by personnel from the Joint Services, had been set up at the North Ruimveldt Multilateral School in Georgetown.

The European Commission (EC) offered a G$10M contribution to the national flood relief effort for thousands of Guyanese in several parts of the country. The sum which has been available immediately is to be used to procure medical supplies for residents in some eight regions, affected by heavy flooding for more than seven weeks.

The United Nations Children Fund (UNICEF) also pledged a contribution of US$10,000 at a meeting with other foreign-based agencies on July 17. The organization is helping the Health Ministry as well.

And the Organization of American States (OAS) approved a donation of US$20,000. OAS Deputy Secretary General, Ambassador Christopher Thomas announced the disbursement, authorized by the Secretary General. The session was briefed on the situation by Guyana's Ambassador to the United States, Dr Odeen Ishmael.

Also this country's Permanent Representative to the hemispheric body, Ishmael used a large map to show affected areas and highlighted the severe impact of the abnormal floods on the economy especially in rice production and livestock rearing.

The sums listed are in addition to US$50,000 offered by the United Nations (UN), US$20,000 of which is a Norwegian cash grant.

Also, the United Kingdom has contributed 50,000 Pounds Sterling. The United States has provided an expert who has started helping the Emergency Operation Center, headed by Colonel Harry Hinds of the Guyana Defence Force.

The Caribbean Disaster Emergency Response Agency (CDERA) through the Caribbean Community (CARICOM) has sent advisor, Mr Timothy James to help with information management. Two other technical persons - Mr Rene Totres and Mr Louis Baez from UN Department of Humanitarian Affairs arrived in the country to lend their expertise.

And neighboring Suriname has a group of public health and epidemiology experts available on call. Montserrat, would also like to offer aid in kind.

President Cheddi Jagan is offering Caribbean nationals land in Guyana as a means of developing the region's agricultural sector which is now facing a crisis.

Dr Jagan threw out the challenge during the 17th Conference of the CARICOM Heads of Government which ended in early July.

The President stated, "We are targeting small people who can come to Guyana and get small holdings, maybe at Kimbia. We are hoping to give farmers there 100 - 300 acres. We have another category of 500 acres and we have yet another category of up to 5000 acres at the normal price for intermediate savannah lands. We are now revising our figures upward for those lands, but the cost would be very low for the intermediate savannahs."

Several Governments in the Caribbean region remain adamant that plans to fight drugs, with help from others including the developed world, should not impinge on their sovereignty.

While Heads of the Caribbean Community (CARICOM) agree that the region cannot go it alone in the fight against the drug trade, they maintain that steps must be taken to protect their nations.

Guyana is now mulling a draft agreement from the United States Government for joint activities to fight crime, particularly money laundering and drugs. Under the agreement, which Government has been studying for over a year, US law enforcement agencies are seeking access to Guyana's territorial space under certain stipulations.

According to President Cheddi Jagan, Guyana needs help, but help that will not impinge on or diminish the country's sovereignty.

A team of investors from China has expressed interest in the large scale cultivation and processing in Guyana of fruits and vegetables for sale in the Caribbean and North America.

They unveiled a plan to invest US$3.6M and provide jobs for about 1,500 people when the six-member delegation, headed by Chairman/President of China Weifang International Economic and Technical Cooperation Group Inc., Mr Zhang Lei, met and held discussions with Minister in the Ministry of Agriculture, Mr Clinton Collymore, in early July.

Mr. Lei said that they would grow mangoes, melons, avocado pears, lemons, hot peppers, tomatoes, beans, cotton, peanuts, tobacco and citrus, among other crops.

However, during the first phase, lasting approximately three years, experiments will be carried out on cotton, peanuts and tobacco.

Senior Finance Minister, Mr Bharrat Jagdeo has indicated that there are plans to secure aid under the Sysmin project for the depressed mining town of Linden. The Sysmin project is funded by the European Union under the Lome Convention.

The money will be used to develop cultural, social and agricultural infrastructure, an industrial estate and a credit scheme for small entrepreneurs.

Speaking at the commissioning of a $9M sports center recently, the Finance Minister stressed the need for residents to start their own businesses and become owners rather than workers.

The Malaysian firm, UNAMCO is to start work in Kwakwani soon and this would create more than 400 jobs.

Cabinet recently decided to send out the privatization memorandum about privatization of the Linden Mining Enterprise (LINMINE) to a number of interested persons and hopefully there should be some responses soon, he said.

Three hinterland locations are to benefit from three major projects - totaling $58M - for which the Basic Needs Trust Fund (BNTF) recently signed agreements.

Under the accords approved by BNTF Project Manager, Mr Khemraj Rai, a market will be built at Lethem, a residential secondary school at Warmadan and a primary school at Kamarang.

The $13M market will include 40 enclosed stalls, while the $32M residential institution will accommodate 100 students and the $13M primary school 123 students.

A state-of-the-art gold refining and jewellery manufacturing complex, catering for the export market is planned for Linden.

The go-ahead was given recently, by Prime Minister Sam Hinds and Guyana Geology and Mines Commissioner (GGMC), Mr Brian Sucre.

A United States-based group of investors headed by President, Mr Scott Symons and trading under the name Symons Financial Group is behind the venture.

Cabinet recently responded positively to a request from various Afro-centric organizations to make August 1 a permanent national holiday to commemorate the emancipation of slavery.

Previously, the first Monday in August was celebrated as Freedom Day, instead of August 1 - the actual date of emancipation of African slaves from slavery.

The Afro-centric groups have pointed out that with August 1 being the national holiday to mark emancipation of slavery, various traditional forms of celebration can now be facilitated.

One of the important aspects of the traditional celebrations is held on July 31 - the eve of emancipation - with all-night vigils all over the country to usher in Emancipation Day.

The British Government is extending 4.4M Pounds in new critical grant assistance to Guyana for an "ambitious" land administration support project over the next five years, to boost key agriculture sector.

Senior Ministers of Finance and Agriculture on June 27, signed the pact on behalf of the Guyana Government.

This latest round of assistance comes as the British Government moves to make further cuts in their bilateral and multilateral aid program. But British High Commissioner David Johnson said that Guyana's package will remain at around 5 million Pounds annually at least over the next three years.

In brief remarks preceding the formal signing, the British envoy said the project to help develop and implement an appropriate land tenure policy, will "avoid adverse impact on poorer groups."

In response to the deplorable sanitary conditions of the Albouystown area, central government has intervened and is co-ordinating efforts involving the private sector to rid the area of piles of garbage and clogged drains.

Some members of the former Interim Management Committee of Georgetown have indicated their interest in the operations.

Albouystown is one of the most historically neglected areas within the city. Several weeks ago President Jagan visited the community to lend support to the True Vision Foundation, which is also said to be involved in the current effort to clean up and elevate health standards in the community.

The Guyana Government has decided to retain a 40 per cent equity in the ailing Guyana Electricity Corporation (GEC) and offer 60 per cent of the stake to the public and private sector.

A decision taken at a cabinet meeting recently, allows 40 per cent of the shares in the GEC to be taken by a "strategic" core investor. The other 20 per cent will be offered to the investing public.

Government is saying that it prefers a tariff structure which will be kept as low as possible particularly during the initial period of high investments.

DeLoitte Touche Tohmatsu Consultants (DTT) has initially proposed that Government give up between 62 and 67 per cent of the power company, but indicated that if Government wanted to have this lowered, it would have to consider converting its debt in the GEC to equity which would lower the investor's stake to 57 per cent.

Government has said that among overseas firms, in the lead as potential investors in the GEC are Leucadia, a US-based firm, the Florida Light and Power Company, the provincial power company of Saskatchewan, Canada, the Commonwealth Development Corporation in cooperation with the South East England Electricity Board and the firm running the power company in the Turks and Caicos Islands.

Leader of the Working People's Alliance (WPA) Rupert Roopnarine said that authorities in French Guiana are asking for notarized copies of the charge against the accused killer of historian Dr Walter Rodney.

Former army sergeant Gregory Smith was charged by the Director of Public Prosecutions Ian Chang with the June 1980 killing of Dr Rodney a former leader of the WPA.

The WPA said that DPP Chang and Senior Counsel Doodnauth Singh have been "assessing the relevant documents relating to Rodney's murder and are considering widening the investigation into Rodney's death."

The local tourism sector has been further expanded with the launching of a $60M resort on the East Bank Demerara in early July. 'The Prairie' International Hotel and Tourism Resort at Coverden, East Bank Demerara, formally opened its doors on Saturday July 1.

The 14-room building is the first phase of the project. All the rooms are self-contained and 11 are air-conditioned while the hotel provides restaurant and bar service as well.

In the second phase, to begin early next year, the riverfront aback of the site will be developed. A boardwalk, facilities for dining over the river, water sports and tours to interior locations are among the major features in the making.

Senior Housing and Labor Minister, Dr Henry Jeffrey said the Government has clinched international support to upgrade the Central Housing and Planning Authority (CH&PA) to boost development in the housing sector.

Jeffrey said that the assistance will go a far way in accelerating the Government's development programs for housing. The CH&PA is selling all Government apartments that fall under the Condominium Act of 1989.

Some 432 Government apartments rented to tenants in Meadowbrook, Lodge and Campbellville in the city area, and in Savannah Park, New Amsterdam will be sold.

Jeffrey said that the International Labor Organization (ILO) has signaled its willingness to continue support for additional development programs, and to this end will provide technical and other assistance to boost the implementation of National Youth Employment Policy, the Labor Policy (Labor Information System) and the completion of Guyana's "country profile".

"The ILO has provided support for the drafting of a new Co-operative Act and the establishment of Labor Information System within the Labor Ministry," said the Minister.

He said that "the organization has also assisted Guyana in the drafting of the new Occupational Health and Safety Act", soon to be tabled in the National Assembly.

The $750M road rebuilding program which would lead to about 60 miles of pot-holed roads in Georgetown being rebuilt is moving ahead.

The road rebuilding program has been divided into six lots so as to expedite its implementation. Some of the streets in Lot One are presently under repairs.

The list of streets in Lot Two are located in the Newtown, Kitty area. The streets listed are: Da Silva, Dandrade, Garnett, Lamaha, Owen, Station, Republic, DeAbreu, Campbell Road, Mc Dougal and Railway.

Many of these roads have not been repaired for over a decade and some are on the verge of becoming impassable for normal vehicular traffic.

The National Registration Center is projecting to register 600,000 Guyanese who meet the age requirement of 14 years and over, as part of the on-going house-to-house national registration exercise.

The exercise which started on June 17, is proceeding with some shortfalls in some areas, especially those which are difficult to access by the various registration officials and scrutineers.

The inclement weather, and in a few instances lack of coordination between scrutineers and enumerators, have been attributed as the main cause for the slowing up of registration in some communities.

The National Registration Center has confirmed that 55,584 persons have already been registered across the country.

The National Registration Center is appealing to all Guyanese qualified to register to do so. Highlighting the differences between registering and voting, it was pointed out by registration officials that while it is mandatory under the laws of Guyana for persons to register, no one is obliged to cast a ballot at the upcoming elections. All political groupings have been encouraging Guyanese to register.

A consignment of medical supplies will be arriving in Guyana on August 12 by MV 'Nicos'. This shipment sponsored by Guyana Medical Relief of Los Angeles, California, and sent with supplies contributed by Direct Relief International is valued at US$347,652. The medical supplies will be sent to three hospitals - St Joseph's, Bartica and Davis.

Also, another shipment of medical supplies sponsored by the California Nurses Association will arrive in Guyana shortly for the Georgetown Hospital. This consignment is worth some US$91,604.

Another aspect of Government's massive program to upgrade the country's sea defence has fallen into place with the signing of a $260M contract to rebuild the La Belle Alliance, Essequibo Coast sea defence structures.

Cabinet approved for the contract to be awarded to local contractor, B&K Transportation and Contracting Company Limited.

The company is to work on the project for ten months and will be placing approximately 35,000 tonnes of rock and haul 50,000 tonnes of fill materials for 850 meters of sea defence which have to be reconstructed.

This is the third contract in recent times to be awarded to a local contractor for over $100M. Recently, Guyana Construction Company was awarded a contract for the reconstruction of 440 meters of sea defence in the Nos. 76 and 77 Villages, Corentyne.

The other contracting firm is Sanmik Civil Works, which was awarded a contract of the reconstruction of 375 meters of sea defence in Mon Repos, East Coast Demerara.

President Cheddi Jagan has responded to a letter from interdicted Deputy Chief of Staff of the Guyana Defence Force (GDF), Colonel Godwin McPherson, for an audience over the action taken against him by the Defence Board. Colonel McPherson was interdicted from duty several weeks ago after police investigation commenced into overspending by the Army last year. The sum in contention amounts to over $200M.

OMAI Gold Mines Limited (OGML) has submitted closure plans for its failed tailings pond. The closure plans for the failed tailings pond is in accordance with the Terms of Resumption of February 1996 which allowed OGML to resume commercial operations following the August 1995 breach of the tailings dam. The old tailings pond is to be permanently sealed "in an environmentally sound manner".

PPP Executive Member and Parliamentarian, Mr Fazal Ally, who is also brother of ex-Finance Minister, Mr Asgar Ally, has made it clear that he supported the Government's decision to solicit the resignation of the ex-Finance Minister since "Asgar was not living up to expectations." Mr Ally said that he and his entire family have sternly rebuked "Asgar's recent action and statements against the PPP and the Government." He added: "The facts, when exposed, will speak for themselves on the allegations made by Asgar against the PPP." Mr Fazal Ally has assured that he and his family have maintained "strong loyalty" to the Government and they "would not venture any support, tacit or otherwise," for Asgar Ally if he starts a new political party.

Dr Cheddi (Joey) Jagan, Jr has lashed out at the PNC for attempting to politicize his protest action at the Guyana Electricity Corporation (GEC) office, Main Street. Dr Jagan, a dentist whose surgery suffered losses due to fluctuation in power supply, made it clear that his action was that of a consumer protesting against the quality of service rendered by the Corporation. Dr Jagan said that his support for his father, President Cheddi Jagan and his Government, is very strong and has not diminished in any way. He also said that as an individual and a consumer, he is entitled to his own views on the services GEC extends and what should be done to remedy the situation.

Education Minister Dr Dale Bisnauth said recently that the Government had accepted some of the UG Presidential Commission's proposals. These included the strengthening of UG's accountability systems, especially with regards to public disclosure of its financial management. Another recommendation was the establishment of Satellite Campuses in Berbice and Essequibo which is another suggestion the Government is pursuing in a comprehensive manner.

The Berbice Anti-Smuggling Squad (BASS) and the Customs Department in Berbice were moving to enhance their capabilities to combat a small group of well-armed smugglers who continue to ply the Corentyne River. Cooperation among BASS, the Customs Department, the Police Force and the Army resulted in a significant reduction of smuggling in the Corentyne, over the past year. Meanwhile, it is understood that there are two dozens of highly armed and oragnized smugglers who continue to defy the laws of Guyana by importing uncustomed goods.

GEC tariff reductions are likely soon for 20 000 low income earners. This was disclosed by President of the Guyana Consumers' Association (GCA) Sheila Holder at the group's Annual General Meeting. The tariff reductions will be achieved by a grading system based on the number of units of power utilized. Holder, who was re-elected as president of the GCA disclosed that at a meeting with the Guyana Electricity Corporation General Manager, the association was advised that the tariff reductions for 20 000 consumers will be instituted.

The Guyana Sugar Corporation (GUYSUCO) will retool its factories and make other capital investment at an estimated cost of US$100M over the next three to four years, the Chief Executive Neville Hilary said. The factories at Skeldon and Rose Hall estates in Corentyne, Berbice, are considered high priory and are likely to be the first to be refurbished. Some of the mills at the corporation's eight factories date from the 1920s and '30s, while most boilers date from the 1950s.

The University of Guyana Council has named constitutional expert, Professor Harold Lutchman as the new Vice-Chancellor of the institution. The UG Council met recently and agreed without reservation to offer Lutchman a two-year contract with the same benefits enjoyed by the outgoing Vice-Chancellor, Dennis Craig (about US$4000 per month).

A quantity of medical supplies worth some $500,000 was handed over to the West Demerara Regional Hospital by theWelfare Committee of the Best/Klien/Pouderoyen Neighborhood Democratic Council. Among the objectives of the recently formed committee are to identify and implement education and welfare projects that will improve the standard of living of the residents. The gifts were donated to the welfare committee by members of the business committee.

The Guyanese Olympic Team arrived in Atlanta on July 10 and were accommodated at the State University of West Georgia where they were guests of the Carroll County Chamber of Commerce in conjunction with assistance from two co-sponsors, Southwire Company and SMI, Inc. The athletes were to have one week of acclimatization, and training in Georgia prior to the games.

Former People's Progressive Party (PPP) Member of Parliament, Mr Narbada Persaud died in early July after a brief illness. Between 1992 and last year, he was Chairman of the Board of Directors of the Guyana National Newspapers Limited, publishers of the Chronicle newspapers. Recently, Mr Persaud was also the Finance Manager at the Guyana Electricity Corporation and was on the board of the Guyana National Cooperative Bank.

The Master Plan of Guyana's Biodiversity Park has been accepted by Senior Minister of Health, Gail Teixeira. The Plan, drawn up by Jones and Jones Architects of the USA from an original prepared during a Master Planning Workshop in Guyana in March is a detailed conceptualization of the transformation of the present Botanical Gardens into a Biodiversity Park. The Park will abolish the present separation between the Zoo and the rest of the gardens and will enable visitors to see all the animals in environments similar to their natural habitats.

Recently, workers attached to the City Council's cleansing department went on strike for better wages and working conditions. Some of the workers said they have strong objection to the Council expending $15M on purchasing of non-utility vehicles such as an expensive car for the Town Clerk's office while their wages were not being attended to .

Private contractors are now being retained by the Guyana Electricity Corporation in the area of line maintenance. Many of the electricity problems consumers face result from faulty lines and transformers. GEC faces severe constraints in its line maintenance and other related work program. The hiring of contractors to carry out these aspects of the Corporation's responsibilities is expected to speed up GEC's rural electrification program.

The Region Six Administration, in an effort to provide better working conditions for Government officers, identified a number of state buildings to be rehabilitated in its 1996 program. Some of these projects include, Schepmoed Primary, No 43 Primary, Sheet Anchor Primary, All Saints Primary, No 59 Primary and Port Mourant Community School and others.

The Elections Commission has announced an additional Government release of $104M to cover national registration in preparation for upcoming general polls. In addition the USAID and the National Democratic Institute have committed $US100,000 each for voter education and registration.

Former Finance Minister Asgar Ally and trade unionist Nanda Kishore Gopaul became the latest entrants in the 1997 general elections race when they announced the formation of the Guyana Democratic Party (GDP) which they will jointly lead. However, for the purpose of the 1997 elections, Ally will be the Presidential candidate and Gopaul will be the Prime Ministerial candidate. The two positions will then be rotated in future elections.

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