Within the next two weeks, the Government is expected to make a decision on which companies will be awarded the deepwater blocks. Cabinet sources told the Business Guardian that the decision will be made by the Cabinet at latest during its meeting on July 21. The move to finally sign off on the blocks comes less than two weeks after former Energy and Energy Affairs Minister Carolyn Seepersad-Bachan was controversially replaced by Kevin Ramnarine and after months of failure of the standing committee-chaired by the Prime Minister-to meet. At the time of the close of the bid round, Seepersad-Bachan argued that the closure of the bid round will go a long way in meeting the Government's goal of a continuous exploration programme over the next five years.
Only recently, Helena Inniss-King, the ministry's director of resource management, explained that the three-month delay on signing off on the blocks was outside of the hands of the technical evaluation committee. Inniss-King said, "Like most Cabinets, this one does not have a lot of people with a background in the energy sector, so decisions relating to energy are usually sent to the sub-committee of the Cabinet and then a recommendation is made to the wider Cabinet. Thus far, this committee has not met because of scheduling problems." Prime Minister Kamla Persad-Bissessar is the chairman of the Energy Subcommittee and also the chairman of the wider Cabinet.
Innis-King said there are two Cabinet-appointed committees which perform the evaluations:
• A technical evaluation committee comprised of staff of the Ministry of Energy, Finance and the Attorney General.
• An overview committee chaired by the permanent secretary, Ministry of Energy and comprised of officers from the Ministry of Finance and the Solicitor General's Department and state companies.
She explained that the process was that the overview committee makes recommendations on the awardees to the Cabinet. The Cabinet forwards the recommendations to the standing committee on Energy, that committee makes recommendations to Cabinet and the Cabinet then acts on the recommendations of the standing committee on energy.
The Business Guardian has learnt that if the standing committee does not meet, there is a plan to simply take it to the wider Cabinet.
The delay has led to concern by member of the energy sector which have been eagerly awaiting the award of the first deepwater blocks in the history of T&T and for exploration to finally begin in an area in which it is believed there may be billion barrel oil fields. The ministry's director of downstream, Selwyn Lashley-also part of the evaluation committee-said the reason there were so many layers in the decision-making process was due to the need for transparency in the award process. Inniss-King revealed that the plan was to have another bid round in the deepwater in a matter of months, suggesting it might take place in September. She said there were issues that were raised by some of the large oil and gas companies about the blocks on the southern side of Trinidad and those concerns are to be addressed.
