Last week, under the headline “Are the procurement amendments a licence for corruption?”, this column touched on proposed changes to the Public Procurement and Disposal of Public Property Act, which the current administration successfully secured approval for in both Houses of Parliament. The approval by the Senate has become controversial, of course, because Senate President, Wade Mark, used his casting vote to approve the legislation after the 15 Opposition and Independent Senators voted against it.
In my view, the amendments to the procurement law are against the national interest because it expands the exemptions from the Act of critical aspects of the economy, comprising “the energy sector, national security, public-private partnerships for public housing, public utilities, the acquisition of goods, services or works in consequence of an emergency” and such other procurement as the Minister may, by Order, determine.
Last week’s commentary addressed issues related to the impact of the removal of the procurement guardrails on public-private partnerships for public housing. Just to add to that, several Government ministers have made the point that the award by the Housing Development Corporation in April of contracts worth $3.4 billion to companies does not involve “one cent of Government money.” That is debatable, given the fact that the Government is likely to foot the bill for the access infrastructure to the housing developments, such as roads, water, electricity and telecommunications. Also, it was proposed that the 3,700 housing units be built on State lands with value.
But, this week’s column deals with an equally consequential exemption, resulting from last week’s amendments—the fact that if/when the President assents to the amendments, the sale or lease of the Guaracara refinery will not be governed by the purview of the Office of Procurement Regulation (OPR).
Since it was shut down in November 2018, the previous administration attempted on three occasions to sell or lease the mothballed refinery, which is located in Pointe-a-Pierre. The refinery-disposal bidding processes followed the decision by the People’s National Movement to restructure its wholly owned oil assets.
Kamla’s call for action
The current United National Congress administration made the reopening of the refinery a campaign promise. On December 5, 2025, the Office of the Prime Minister (OPM) issued a statement in which it commented on its receipt of the Interim Report of the Refinery Restart Committee, which was chaired by former Minister of Energy Mr. Kevin Ramnarine.
The Ramnarine Committee report noted that despite its closure at the end of November 2018, “the restart of the refinery is technically, commercially and financially viable given the current market demands for refined products and crude availability.”
The report also noted that the closure of the refinery had led to degradation of the units and supporting utilities and offsites, adding that, as a result, “time was of the essence as further deterioration of the units and supporting utilities would eventually render a restart uneconomic.”
The OPM statement outlined, “The Prime Minister has directed the Ministry of Energy and Energy Industries (which is led by Dr Roodal Moonilal) to undertake a review of the interim report and propose possible options and models to adopt, given the conclusions of the committee. The Guaracara refinery remains a significant national asset with strong economic, employment, and energy security potential. A Final Feasibility and Restart Recommendation for Options is expected to be submitted to the Cabinet very early in 2026.”
I am subject to correction, but I do not recall Dr Moonilal ever speaking about his Ministry’s review of the interim report on the refinery, and I am fairly certain that he has not tabled the final feasibility and restart report in Parliament. He may, though, have submitted the final report to Cabinet “very early in 2026,” as Prime Minister Kamla Persad-Bissessar expected him to do in the December 5 statement.
Rather than outlining the process that the Government has chosen to utilise to sell or lease the refinery, Dr Moonilal spent a significant percentage of his speaking time in the amendment debate in the House of Representatives last week Wednesday blaming the OPR’s regulations for hampering, hindering and impairing attempts to sell or lease the refinery.
Dr Moonilal’s comments
Moonilal said the amendments to the Public Procurement and Disposal of Public Property Act were tabled in the interest of restarting the oil refinery in Pointe-a-Pierre and to ensure the small man can participate.
“I begin by telling you that we have been preoccupied 24 hours a day with this matter of the refinery restart. The biggest issue that constrains us and makes us move in a very slow manner is the OPR.
“We could have restarted the refinery already. Five thousand people could have had jobs now while I’m speaking. But every time we move, you know this OPR is akin—and I am happy to continue the analogy of cricket, Mr. Speaker, to which I know you have a passion—this OPR is really an administrative Duckworth-Lewis system.
“This is every time you make a move, they say check against the scientific formula. We make a move on the refinery. Hold on, there’s an OPR regulation. We make a move again on the refinery to do something. Hold on, we can’t go there.
“Every day I ask a committee, what is the update on this refinery? My prime minister is asking me, Minister of Energy, what is happening? When are we restarting the refinery? I said, Prime Minister, listen, I would like to restart that refinery tonight and flare up, but there is an OPR process, and they tell me that they have to satisfy this regulation, that regulation. They have to do this. They have to do that. They have to issue this; they have to issue that. They have to look at the registry here, the registry there. And I say, but when will we restart the refinery? When everything is corroded, everything rusty? When are you going to restart the refinery? When you plug it on and it blows up Marabella?
“They did that, Mr Speaker, and the refinery restart is being hampered, hindered, and impaired by some of these regulations, which today we have said as a government we will have no part of. Enough is enough.”
Questions
* Has the current administration issued a new Request for Proposals (RFP) for the sale or lease of the refinery?
On September 20, 2019, former minister of finance, Colm Imbert, gave a comprehensive presentation on the results of the RFP for the sale of the Pointe-a-Pierre Refinery.
Mr Imbert disclosed that the attracted 77 expressions of interest (EOI). Of 77 bidders, 25 elected to sign Non-Disclosure Agreements (NDAs), which then allowed access to a virtual data room containing highly confidential information on the assets and on the overall process.
Of the 25 potential bidders who signed the NDAs, eight proceeded to submit Non-Binding Offers (NBOs).
A short list of five bidders was created, based on certain criteria set out by the Government and the bids were evaluated, following which three bidders submitted compliant binding offers.
The bid by Patriotic Energies and Technologies Company, the company owned by the Oilfields Workers Trade Union, was found to be the best bid, but the company clearly could not put together the financial resources.
In my view, the PROCESS used by Mr Imbert to choose a buyer or lessor for the refinery was fair and transparent.
* Does Dr Moonilal believe that an EOI is the same as an RFP?
The main advantage of the RFP is that all of the bidders are informed of the prerequisites of the process. And in order to advance in the process, the bidders have to pay to access the virtual data room;
* Is the OPR wrong to insist that the disposal of an asset as significant as the refinery should follow a defined, transparent, competitive and accountable PROCESS;
* If Dr Moonilal had started with the right PROCESS in December 2025, would the Government be in a position nine months later to announce a successful bidder?
