Oil revenues being managed with strict parliamentary oversight – Bharrat

Guyana’s oil revenues are managed under a framework that places strong emphasis on parliamentary oversight, transparency, and accountability, Natural Resources Minister Vickram Bharrat told the National Assembly on Tuesday during the second day of the 2026 National Budget debate.

Bharrat said that while many oil-producing countries took decades to establish sovereign wealth funds, Guyana moved swiftly to put a formal system in place shortly after assuming office. He referenced international examples to illustrate that the country acted early to protect oil revenues through legislation rather than allowing discretionary control over the funds.

According to the minister, the Natural Resources Fund was established within one year of the PPP/C government taking office, with clear rules governing how oil revenues are deposited, withdrawn, and reported. He stressed that withdrawals from the fund can only be made with the approval of the National Assembly, ensuring that elected representatives retain oversight over the use of oil revenues.

Bharrat explained that the legislation governing the fund requires full disclosure of all revenues flowing into it, with penalties prescribed for any failure to report accurately. He said these provisions are intended to prevent misuse and to ensure that oil revenues are managed in a transparent and accountable manner.

He further noted that a prescribed formula now determines how much money remains in the Natural Resources Fund, how much flows into the annual budget, and what balance is carried forward at the end of each year. These figures, he said, are presented during the budget process, allowing the public to track how oil revenues are allocated.

The minister said transparency is reinforced through public reporting, noting that oil revenues are gazetted and made accessible online. He explained that members of the public can independently verify how much Guyana earns from oil production in any given year by reviewing the official records.

Bharrat also highlighted Guyana’s participation in international transparency initiatives, including the Extractive Industries Transparency Initiative (EITI). He said the country has already submitted its 2023 EITI report and is working to complete its 2024 report within the required timeframe, with a second validation exercise scheduled for this year.

In addition to financial reporting, the minister pointed to oversight at the operational level within the oil and gas sector. He said representatives from several State agencies are present on offshore production vessels to monitor production activities and ensure compliance with regulatory requirements, including oversight of crude oil offtake.

Bharrat also noted that contracts, production licences, and environmental permits related to the natural resources sector have been made publicly available. He said these documents can be accessed online, reinforcing the Government’s commitment to openness in the management of the sector.

He maintained that the framework governing the Natural Resources Fund is designed to safeguard Guyana’s oil revenues and ensure they are used in the national interest. According to the minister, the oversight mechanisms now in place are intended to support long-term development and ensure that the benefits of the oil and gas sector flow to the people of Guyana.