Ogle airport project continues to hit hurdles

Controversy may be brewing between the Government of Guyana and the four private aircraft owners comprising Ogle Airport Inc following a decision by cabinet which threatens to further delay the creation of Guyana’s second international airport.

An aerial view of Ogle Airport
An aerial view of Ogle Airport

Up to last Tuesday the aircraft owners’ consortium – comprising Trans Guyana, Roraima Airways, Air Services Ltd and GFFI – that holds the lease for the upgrading of the Ogle aerodrome were refusing to comment publicly on reports that a cabinet decision had withheld the required no objection” to an application for the facility to  be granted Port-of-Entry status. This newspaper understands that the reason for the Cabinet position may have to be with unspecified shortcomings in the level of preparedness of Ogle for Port-of-Entry status.

However, Ogle Airport Inc spokesman, public communications consultant Kit Nascimento told Stabroek Business that it was the view of Ogle Airport Inc that the facility was ready to serve as Guyana’s second international airport. Nascimento told Stabroek Business that he was not aware of any notification from government about the denial of a Cabinet “no objection.” He added, however, that assuming that stated shortcomings at the facility were put to the Ogle Airport Inc he felt sure that efforts would be made to remedy those shortcomings.

Government and Ogle Airport Inc have been locked in a controversy for several months now over the refusal by the Ministry of Finance to release funds available under a 1.5 million euros grant provided by the European Development Fund (EDF) to pursue the completion of the second phase of the project.

This newspaper has learnt that controversy may have arisen between government and Ogle Airport Inc. over reported moves by government to have the EDF grant used as state equity in the Ogle project. When Stabroek Business asked Nascimento whether this might be an issue between the two sides he declined to comment.

The most recent stalling of plans for the creation of a second international airport pushes the commencement of phase two of the project more than a year behind and further frustrates the private sector stakeholders in the country’s single largest public/private sector enterprise.

This newspaper understands that the companies comprising the Ogle Airport Inc consortium have collectively invested more than US$15m in the establishment of buildings and other facilities necessary to ensure Ogle’s use as an international airport. When Stabroek Business spoke with Ogle Airport Inc. Chief Executive Officer Anthony Mekdeci several months ago he outlined the prospects for boosting Guyana’s tourism that could arise from aircraft from the region flying directly to Ogle and moving passengers to interior locations. Mekdeci had also noted that hotels along the East Coast corridor and the Caribbean Community Secretariat could benefit from regional flights using the Ogle facility.

Up until now Ogle Airport Inc officials have politely declined to concede that they are involved in a facedown with government over the way in which the EDF loan is administered though sources in the aviation sector have told this newspaper that it would be “more than useful” if the EU and CARICOM – which played a key role in getting the airport project off the ground were to make their views on the matter public.