Trinidad PM Foresees Economic Challenges If Venezuela Gas Deal Fails

Prime Minister Dr. Keith Rowley warns of serious economic repercussions if the Dragon gas deal with Venezuela fails, stressing the significance of maintaining energy agreements for Trinidad and Tobago’s financial stability. He calls on citizens to support the initiative, highlights the reliance on gas revenue, and expresses concerns over future fiscal challenges if new energy projects do not succeed.

Prime Minister Dr. Keith Rowley has expressed concern regarding the potential negative repercussions if the Dragon gas deal with Venezuela does not proceed as planned. During a ceremony commemorating the partial completion of the Port of Spain General Hospital, he emphasized that the agreements between Trinidad and Tobago and Venezuela are crucial for the nation’s financial stability. A revocation of the U.S. license for the gas deal could lead to significant challenges in meeting the country’s fiscal obligations.

Dr. Rowley highlighted the necessity of generating revenue to sustain vital services such as hospitals and schools. He contested claims from an Opposition member regarding the alleged failure of the Dragon gas project, urging citizens to support the project rather than propagate negative sentiments. He underscored that the successful negotiation for gas extraction from Venezuela is a moment of pride, especially as local gas reserves are diminishing.

The Prime Minister articulated the importance of energy agreements for the future of Trinidad and Tobago, noting that complacency in this area could lead to dire consequences. He reflected on the need for public awareness about the economic implications of energy project developments and criticized attitudes celebrating project failures. Rowley further explained the strategic cooperation with Venezuela is significant in light of geopolitical challenges that could jeopardize the economy.

Dr. Rowley conveyed that maintaining and securing licenses for gas extraction is vital, stressing that the country must navigate complex international relations. He warned that if any issues arose concerning the gas extraction agreements, it could lead to severe financial strain. He mentioned ongoing extraction processes with Shell at the Manatee field as evidence of progress, and encouraged unity in supporting energy initiatives rather than engaging in negative assumptions.

Finally, the Prime Minister questioned the future of Trinidad and Tobago without these energy projects and raised concerns about the fundamental revenue sources through industries like Point Lisas. He cautioned that revenue from gas would decline over time, potentially resulting in insufficient funds for essential public services. He also noted the risks associated with potentially relying on the International Monetary Fund (IMF) for financial assistance, which would come with stipulations that could affect subsidies currently provided to citizens.

In summary, Prime Minister Dr. Keith Rowley emphasizes the critical importance of the Dragon gas deal with Venezuela for Trinidad and Tobago’s economic health. He warns of potential challenges should the agreement falter, highlighting the need for revenue to support essential public services. Rowley calls for unity in supporting these energy initiatives rather than speculating on their failure, urging awareness of the broader economic implications of energy resource management. Without sustainable energy agreements, the nation faces serious financial hurdles in the future.

Original Source: www.stabroeknews.com