Nicholas Deygoo-Boyer, Director of Vreed-en-Hoop Shorebase Inc. (VEHSI), is calling attention to the urgent need for amendments to Guyana’s Local Content Act, arguing that updates to the legislation are critical as more local businesses seek to expand their footprint in the country’s offshore oil and gas sector.
Speaking on the Starting Point podcast aired March 22, Deygoo-Boyer outlined the growing opportunities available to Guyanese companies across the marine, construction, and drilling support sectors, while noting that the existing legal framework has not kept pace with the sector’s rapid evolution.
The Local Content Act, enacted in 2021, was originally designed to protect approximately 40 service areas for local investment, with an initial focus on logistics-type operations. Deygoo-Boyer acknowledged the foundation that framework established, but stressed that the offshore sector now presents a significantly broader range of opportunities. He indicated that local businesses are increasingly looking to participate in marine supply services as well as construction and drilling-related activities, areas not adequately captured under the current legislation.
He also pointed to a growing number of Guyanese companies forming partnerships in sectors that fall outside the originally prescribed categories. According to Deygoo-Boyer, these businesses are willing and ready to engage locally but find that the law does not yet provide for the specific services they wish to offer, creating a gap between private sector ambition and legislative coverage.
Updating the Act, he argued, would strengthen the ability of Guyanese businesses to participate more fully across the oil and gas value chain and derive greater long-term benefit from the country’s petroleum resources.
Progress on that front appears to be underway. Guyana’s Local Content Secretariat has submitted proposed amendments to the Minister of Natural Resources for Cabinet consideration. The local private sector participated in the consultations that informed those proposals, which identified additional areas where Guyanese businesses could increase their involvement in the industry.
No timeline for Cabinet review or legislative action has been publicly announced at this stage.
Source: News Room Guyana
