ExxonMobil, subcontractors to only pay US$5000 fine for failure to hand over records, reports, preventing access to facilities

Dec 30, 2021 News

Kaieteur News – ExxonMobil, subcontractors to only pay US$5000 fine for failure to hand over records, reports, preventing access to facilities
By Kiana Wilburg
According to the PPP/C’s Local Content Bill 2021 which was passed yesterday, a Contractor, Sub-Contractor or Licensee shall allow the government’s Local Content Secretariat, or a representative of the Secretariat, unrestricted access to its facilities, records, reports, documents, data and information for the purposes of monitoring, assessing, evaluating, investigating, auditing and verifying compliance with this Act.
Importantly, the failure to comply with a request by the Minister or the Secretariat to review, or provide information on any return, report, record, or any other document pursuant to the provisions of this Act would ONLY BE FINED $1M (US$5000).
While this meager penalty has raised concerns about the extent to which it would deter non-compliance by ExxonMobil and other operators and their subcontractors, the Bill does state that the Minister may, by Order subject to affirmative resolution of the National Assembly, amend the monetary penalties specified in this Act.
It therefore means that there is still ample opportunity for such a penalty to be increased.