By Suraj Narine
A few weeks ago, the Guyana Revenue Authority (GRA) deemed the Liza Destiny, Guyana’s first Floating Production Storage and Offloading (FPSO) vessel, a sufferance wharf. GRA Commissioner General, Godfrey Statia explained that this means the authority’s Customs Officers are empowered to visit it at any time.
He said, too, that GRA must give its approval for any cargo that is being used on the vessel. The official was keen to note however that certain penalties would be implemented if there is unapproved cargo on the FPSO. Statia said that the penalties could range from fines being three times the value of the goods, confiscation and even prosecution.
The Commissioner General said, “With the FPSO being deemed a sufferance wharf, the ballgame will be changed…Some goods would be going directly to the vessel from Trinidad and there was an option to have a presence there but that is not necessary anymore. Also, the Customs Act also provides for the imposition of penalties for false declaration, non-reporting of arrival of vessels etc. So should GRA not be informed and irregularities are found we can act.”
He added, “The mere fact that we have deemed the FPSO a sufferance wharf it means we could permanently station officers there and the contractor which in this case is ExxonMobil, they would be responsible for transporting our staff on a per need basis (to the Stabroek Block).”
The tax boss explained that there is an arrangement currently in place between ExxonMobil and GRA where the latter provides a 48-hour notice so that it can be taken to the FPSO.
Statia said, “If we want to do unexpected visits we would have to have our own resources but we don’t…GRA historically has been doing much with little but it is our intent to increase capacity to have oversight of this FPSO and others to come on stream.”
