The Minister who is supposed to be looking after the best interest of Guyana will therefore have a dual role where he will also be acting in the best interest of ExxonMobil – a situation that is conflicting.
The provision is made in Article 15.5 of the contract.
“The Contractor (ExxonMobil and its partners) shall provide the Minister (of Natural Resources) with the Contractor’s income tax returns to be submitted by the Minister to the Commissioner General, Guyana Revenue Authority so the Minister can pay income tax on behalf of the Contractor as provided under Article 15.4.”
The previous contract which was signed by former President of the People’s Progressive Party administration Janet Jagan did not include such a stipulation.
Opposition Leader Bharrat Jagdeo had noted that the renegotiated contract could harm Guyana tremendously as he said there are still lots more to discover about the new agreement.
He had noted that the dangers come in four clauses which benefit the oil company more than the country and expressed that there are possibility more harmful changed which are yet to be uncovered.
The four clauses are the extension of the agreement, the stability clause surrounding taxes, the changes to the relinquishment requirement and the regulation of the gas sector.