The 2022 GEITI report reveals that oil revenues accounted for 85% of total extractive revenues but highlighted significant unreconciled discrepancies between reported amounts. Additionally, concerns about audits of various government agencies persist, with the last audits of key entities being outdated.
The 2022 Guyana Extractive Industries Transparency Initiative (GEITI) annual report, compiled by BDO Professional Services Inc., marks the sixth such report since Guyana joined the EITI in 2017. Previously, the article discussed the revenues from the extractive sector and the audits of relevant government agencies.
According to the report, oil revenues constituted 85 percent of total extractive sector revenues. Notably, there exists a significant unreconciled difference of G$196.7 million between the revenues reported by government agencies and those reported by oil and gas companies as having been paid. Moreover, the report highlights ongoing concerns regarding the status of audits for government entities related to these revenues.
The Guyana Revenue Authority’s (GRA) collected revenue was audited only up to 2023, yet the report did not specify the timing of subsequent audits, while the 2021 GEITI report indicated the last GRA audit occurred in 2018. Furthermore, the Guyana Geology and Mines Commission (GGMC) has not undergone an audit since 2016, and several other agencies, including the National Industrial and Commercial Investments Ltd. (NICIL), have not been audited since 2013.
These persistent audit delays prompted the Independent Administrator to express concerns once again regarding the oversight and transparency measures within these governmental entities involved in the extractive sector.
The 2022 GEITI report underscores significant issues in the auditing and reconciliation of revenues generated from Guyana’s extractive sector, particularly in oil. Critical discrepancies noted between agency reports and industry payments highlight a lack of transparency. The outdated audit status of several government agencies amplifies these issues, indicating a need for enhanced regulatory oversight and accountability in the sector.
Original Source: www.stabroeknews.com
