Guyana Rolls Out Sweeping Port Reforms

 

In the past one decade, Guyana has become a global energy powerhouse, with the oil boom reshaping the country’s international trade. Last year, Guyana’s economy expanded by 44 percent, marking the fifth consecutive year of double-digit growth. But the growing trade is putting a strain on Guyana’s aging port infrastructure. At an event last week by Shipping Association of Guyana, the country’s President Irfaan Ali highlighted wide-ranging port reforms that his government is pursuing.

A key part of this transformation agenda is a legislative reform in the port sector. President Ali announced that a new Port Act is in the drafting process, which will streamline the maritime sector in Guyana.

“We want our ports to be competitive, reliable and future-ready. That is why we are designing a modern Port Act which will govern development, regulation and oversight of port operations. Further, it will ensure safety, efficiency and transparency in the maritime sector,” added Ali.

Currently, port regulations are scattered in several key legislations including the Maritime Zones Act (2010), the Shipping Act 1998 and the Customs Act. Apart from the legal reforms, Guyana’s government is also in the process of establishing an independent Port Authority, which will have mandate to manage ports in the country. This role is currently under the Ports and Harbors Division, within the Maritime Administration Department (MARAD). The proposed Port Authority is an attempt to corporatize port management, as Guyana positions itself as a regional logistics hub.

Other projects on course include the development of a deep-water port in Berbice. The preparations for the $285 million port project has been ongoing since 2020. Early this year, President Ali confirmed that the government is finalizing the project planning in partnership with the international engineering firm Bechtel.

Additionally, the government has invested close to $10 million to remove ship wrecks from the Demerara Harbor, an important entry into Georgetown port. The work is ongoing which includes deepening the harbor, as Guyana moves to attract larger modern vessels.

Early this month, MARAD commissioned a new $3 million tugboat, the second of such vessel to be acquired in the last two years. The new tug Arau is built by Damen Shipyards and is 16 meters long, with a beam of 6 meters. The vessel is capable of towing and maneuvering ships between 10,000-20,000 GT. The expansion of the tugboat fleet is intended to enhance operational efficiency in Guyanese ports, according to MARAD.