Guyana’s US$250M five-year forest preservation deal with Norway was yesterday hailed as a “watershed moment” in this country’s history by President Bharrat Jagdeo who said it should be treated as a national achievement.
President Bharrat Jagdeo and Norwegian Minister of International Development and the Environment, Erik Solheim, shake hands after the completion of the signing of the Memorandum of Understanding between Guyana and Norway on Monday (GINA photo)
A beaming Jagdeo, who has lobbied on a global level for such a pact, told reporters at a press briefing at the Office of the President that the figure is more than the combined loans and grants Guyana receives on an annual basis from the World Bank, the Inter-American Develop-ment Bank, the Caribbean Development Bank and the European Union. Noting that this is another first by Guyana, he expressed appreciation for the significant pledge by Norway. “It is sector-leading, it is visionary and Norway should be commended for this”, he asserted.
Guyana and Norway on Monday inked a Memorandum of Under-standing (MOU) that will see Oslo paying US$30 million ($6.2 billion) next year and potentially up to US$250 million ($51.7 billion) by 2015 for Guyana to preserve its forests. Under the partnership, Guyana will accelerate its efforts to limit forest-based greenhouse gas emissions and protect its rainforest as an asset for the world. Norway will provide financial support to Guyana at a level based on this country’s success in limiting emissions. This will enable Guyana to start implementing its Low Carbon Development Strategy (LCDS).
Yesterday, Jagdeo said that the deal could serve as a model and hopefully influence climate change discussions in Copenhagen, Denmark where a new global climate deal is expected to be hammered out next month. The crucial talks could see agreement on a mechanism for forest-rich countries like Guyana to be paid to preserve its forest, a concept known as reducing emissions from deforestation and forest degradation (REDD+). While not optimistic that an adequate agreement for a global funding mechanism for REDD will be secured in the Denmark talks, Jagdeo asserted that with this deal, Guyana is not vulnerable or dependent on the outcome there. “This is our Copenhagen”, he stated. He pointed out that even if agreement is secured in Denmark, it will take almost four years before funds would flow to countries like Guyana.
And, he pointed out, should a better agreement be achieved in Copenhagen, there is a clause in the MOU, which says that the deal will be adjusted to include this. The president declared that this pact sends a signal that there are willing partners on the part of the developed world who are prepared to invest in such schemes.
Meantime, the Head of State noted that as a monitoring, reporting and verification (MRV) system for the forest is developed and as more accurate assessments of the carbon stock in each hectare of forest are determined, it is anticipated that the money received will increase significantly.
It is not going to be US$50M per year and it may not be US$600M annually but may be about US$300 to US$400 per annum, according to the president.
There are a number of conditions that Guyana will have to fulfill to ensure that the funds keep flowing such as keeping the process transparent and open and using the funds accountably and transparently.
Additionally, sustainable practices in forestry and mining will have to be ensured. Jagdeo expressed confidence that Guyana can achieve these requirements.
He further said that everyone will benefit from the agreement noting that the money could be spent on education, health, stimulating new investments, hydro-power “and a whole range of other things to catalyze all of these things”. He said that some money will go to development in indigenous communities, some on adaptation to climate change and on trying to catalyze other investment opportunities. He pointed to the broad thematic areas outlined in the LCDS, which will be finalized in a few weeks time. Once specific projects are outlined, these will be made public and there will be a transparent process to use the resources. At no time in Guyana’s history has so much money been pledged to this country in a single occasion, the President noted.
As to problems which could be encountered, Jagdeo said that one is if deforestation levels rise beyond the reference level. He noted that the reference level is higher than the current rate of deforestation, which means that Guyana can continue to extract. “We still have a big allowance to continue to cut trees down for forestry and mining and stuff like that but it has to be limited to probably somewhere around a historic level”, he had earlier noted.
But should deforestation rates rise above the reference level then resources will be lost. Conversely, should the deforestation level drop then resources will increase.
The unaccountable use of money was another vulnerability identified by the President but he expressed confidence that Guyana will be able to meet the requirements.
In praising Norway, he stated that they are not only speaking about the problems of climate change but along with Guyana, worked to come up with a practical model and provided financing for this model.
He declared that while there are common features between this and similar agreements signed with other countries, in Guyana’s case, it is about avoiding deforestation while for countries like Brazil and Indonesia, which have had traditionally high rates of deforestation; their focus would be on cutting the deforestation rate.
I’d like him to sign deals that will assist the poor and down trodden. not deals that are designed and pursued to make him look good. Deals that will ensure that teachers , nurses and everyone who is desirous of working should receive a decent wage and stop running away from their homeland.
It is indeed our Copenhagen. The president has just signed away our rainforest to our new Scandanavian Lords and Masters.
250 Million US over 5 years will only suffice to make annual payments of the countries foreign national debt. The people who will be put out of work by this act, will get zilch.
Joe.
There should be accountablity for this money
Soilder how true.
Brandon Buddy do not that peanut money you know where he can get much more.
“this is our Copenhagen”.
What he is trying to tell us is that 30,000,000 per year (maybe) for 5 years = 580,000,000m per year in perpetuity.
Let’s see, over two years, Maximus is going to get 1.06B USD less than he thought he would. That’s GYD 212,000,000,000 Billion.
Figger 10% standard “processing fee” for the favoured contractors that’s 21,200,000,000 that “de boys” lose right there. AYE REDDY, I THINK WE JUS’ HAD DE “BIG LETDOWN”. Somebody went an’ tell Maximus dat Copenhagen deh in Denmark.
Moderator, that should be 212,000,000,000 not 212,000,000,000 billion.
Joe, about your take on this whole Georgetown/Copenhagen affair, I agree with you.
I feel that bad. It sucks!
Jagdeo bought me over when as our new president, he declared “Our Guyana” which we have since proven to be just two words strung together by a politician when he comes “new” to a process. We now have countless new data when he came “old” to that very process. He is political, vindictive AND authoratative.
People of Copenhagen, don’t listen to Jagdeo. He may now be as insincere to you as he was to Guyanese when he first coined the phrase “our Guyana” back then when we believed him, when we didn’t know that he was a BS artist. Watch out for his “our Copenhagen” phrase now. It doesn’t mean a pint of parrot piss-tac-rone when he says this “ours” thing!
Some Guyanese have discovered this emperor’s new clothes all by themselves!
Governemt should use part of money to add one more lane onto the Demerara Harbour Bridge.
The people of WCD deserve some relief from the nightmare which they go through just to cross this strutcure everyday to go to Georgetown to put in contribute to Guyana.
One more lane will allow two lanes for rush hour traffic at all times.
Please spen this money wisely!!!
I agree with you. Maybe a new bridge altogether.
Another lane on the Bridge is a waste of money,,,Guyanese are too blasted lazy, they want to sleep half of their life away, they have wake up early and get busy to avoid the traffic build up…Some of them want to get to work at 8 am and wake up at 7:55 am and when they are in the developed countries some of them have to drive for 4 hours to get to work and 4 hours return no one complains…
Nonsense lets give that money to Buddy so he can build four more hotels all around the country and repay the tax payer with free hotel rooms for jagdoe and the PPP and 2 eggballs for each minister.
A fairly good story by SN and the paper should be commended. Such a type of coverage truthfuly reflects the ongoing progress and developement for al the Guyanese people. God continue to bless us…
Listen up here, Reddy. I see you congratulating the SN for a good article and I bring this to your attention:
Right at this instant look at the number of readers for the following:
The 4 DAY OLD story about the girl who jumped into the falls: 4,857.
This current story hailed as a “watershed moment” in Guyana’s history: 686
Now perhaps you can see why SN report so many ‘man having sexual relations with dog’ stories.
Jagdeo is dreaming again. There are a whole bunch of newspapers I don’t like because of the stories they focus on. I just don’t read them. So it’s stupid to keep reading a newspaper you think don’t print stories it should be printing. You know what they call people who keep doing the same thing and expecting different results each time? Crazy.
If SN could full up its pages with Jagdeo stories Reddy would jump for joy, why because it would look more like a government paper and government take over is their whole objective.
I am very happy for our country and our people. It is my sincere hope that international fiscal management rules and that that money can actually reach every common citizen of this land.
This can only be a national achievement is it benefits the *nation* and not just a those people who support a particular political party. How about using some of this money to solicit the expertise of legal consultants and lets change Guyana’s dictatorial constitution for starters?
Another way Guyana can benefit is to develop the university of Guyana. How about a world class, or even a Caribbean class, research department at the university of Guyana? Perhaps the agriculture/forestry department for starters? Of course we’d have to start at the primary level and by re-professionalizing teaching in Guyana, but this shouldn’t be hard with 250 million US.
what a start
SN is this accurate?
It is not going to be US$50M per year and it may not be US$600M annually but may be about US$300 to US$400 per annum, according to the president.
US $300 and US $400?
Moderator’s note: It was meant to be US$300 to US$400M as inferred. We regret the error.
“But should deforestation rates rise above the reference level then resources will be lost. Conversely, should the deforestation level drop then resources will increase.”
COMMENT: I suppose the government will convene a meeting with big saw-millers and small woodcutters, as well as miners, to explain to them how to stay within the reference level. Assuming one or two big saw-millers are presently cutting down trees above the reference level, they will naturally incur revenue losses by scaling down. Some of the Norway money should be used to compensate those big cutters. Otherwise, their capitalist nature to maximize profits regardless of national costs will continue to outweigh their social conscience.
eheheheheh, wonderful news to the nay sayers, a plus for the guyanese people.
if all goes well a sum of US$300m-US$400m yearly will be paid, what will become of the peehencee and the a-feecee negative force?
Quote: “It is not going to be US$50M per year and it may not be US$600M annually but may be about US$300 to US$400 per annum, according to the president.”
Freespeech, do not take out your dancing shoes just yet. Wait and see if the benefits of these funds will touch the lives of every Guyanese. Whatever aid is received should be for the good of ALL and not an selective few. Also, everything does not have to be about PNC/AFC.
“This is our Copenhagen” our President said as Norway granted Guyana US$250m for the next 5 years in order for Guyana to keep logging and mining at its current rates.
This is an amazing commitment from Norway and SHAMES THE OTHER RICH POLLUTING COUNTRIES.
This is also a blessing for Guyana as I feel that the Copenhagen summit itself will not produce the glittering prizes Guyana had hoped for.
Whereas that Norwegian gift just equates to about US$65 per year for each person living in Guyana, the President informs us that as monitoring, reporting and verification systems for the forest is developed and as more accurate assessments of the carbon stock in each hectare of forest are determined, it is anticipated that the money received will increase significantly SO HOPEFULLY AT THE END OF FIVE YEARS THERE WILL BE A GREAT INCREASE FROM THIS CURRENT $65 LEVEL.
Certainly, with a population of about 800,000; Guyana will be thrilled to keep its rainforests at its current levels for that promised US$350m each year (subject to inflation adjustments).
Although, the president said that everyone will benefit from the agreement noting that the money could be spent on education, health, stimulating new investments, development in indigenous communities and hydro-power HE APPEARS TO HAVE MISSED OUT the new green wind-power technologies coming from companies like Suzlon http://www.suzlon.com/
SUCH LONG TERM GREEN INVESTMENTS ARE EXACTLY WHAT GUYANA NEEDS AND THE MONEY MUST NOT JUST BE FRITTERED AWAY ON SHORT TERMIST CONSUMER GOODS. GUYANA HAS REAL PROBLEMS WITH FLOODING AND THE MONEY MUST BE SPENT ON COASTAL DEFENSE PROTECTION.
UNDOUBTEDLY, Norway is Guyana’s friend and moreover, an example to the whole planet.
As a big thank-you to our Northern ally, the president should set aside a fund to pay for Norwegian high school students who are interested in ecological issues to visit Guyana each year in order to study rainforest issues.
Satish, I agree with you that this Copenhagen ‘grant in aid’(hand out) should be spent primarily on fixing the coastal sea defense and the Atlantic ocean flood control. However, I fail to see how these limited appropriations would begin to suffice this mammoth national undertaking. Fixing Guyana’s coastline sea defense, using today’s modern technology, could cost upwards of billions of US$.
And another thing, why are we so excited about getting such meager sums of financial aid when in fact, this deal should have been tied to the completion of a specific LCDS project. I’ll bet my last dollar that these monies will wind up in the general fund at the Treasury, where it can be squandered away on day to day gov’t operating expenses.
This is a notorious common problem with growth in 3rd world countries, where money is granted from a funding source to a nation then appropriated and spent but nothing improves for the local citizenry.
Great! I wonder how much of this windfall will actually benefit the people of guyana…something tells me we will be no better off come five years from now.
Totally agree with u Stanton.