Payment for leaving oil in the ground continues to be best alternative available

Dear Editor,

The position of the new Administration towards the Exxon contract should be seen as positive. As a nation that champions climate change mitigation via the Guiana Shield we can walk away from this poorly constructed oil agreement. The question then becomes what is our Best Alternative to a Negotiated Agreement (BATNA)?

Payment for leaving the oil and gas resources in the ground continues to be the best alternative available. The UN’s Special Climate Change Fund and participation in the UN’s High Level Advisory Group on Climate Change Finance would help facilitate the successful implementation of such a strategic approach to oil & gas resources. $100 Billion USD over a negotiated period of time for proven oil & gas reserves and the potential for even higher levels of these resources is a very fair asset value. Payment for such a resource should be doable even without taking into account the financial value of preventing disasters which negatively impact insurance premiums and the economic growth of climate change disaster affected locations in the Region. The hurricane season that is currently underway should be encouragement to other Caribbean countries to support such an initiative. OPEC should also be supportive

of this strategic initiative due to the current shift in the supply and demand equilibrium of oil caused by the Pandemic.

The positive precedent that this will set globally will also reenergize support for the Kyoto Protocol and the global work needed to be undertaken to mitigate the risks associated with climate change. Other low lying nations such as India and the Netherlands will most likely be supportive of this initiative and offer an opportunity for additional funding similar to what we have experienced in our Forestry Sector’s preservation agreement. Yours faithfully,

Jamil Changlee

Chairman

The Cooperative Republicans of Guyana