I write as a retired professional, reasonably acquainted with the following matters, and greatly concerned about a number of them. Over the past week, there has been yet another outbreak of "gas pains" in Jamaica, apparently caused by the T&T brand of the product. The symptoms are writhing fulminations from some "patients," especially in the Jamaican media. Four times in the space of seven days, the Jamaica Gleaner newspaper has used its editorial column to gripe about remarks made by T&T's Prime Minister Manning at his recent party convention.
Mr Manning had simply announced that this country "confidently anticipates" entering into a guaranteed arrangement with Jamaica for the supply of alumina to the proposed aluminium smelter in La Brea, in exchange for Trinidad's LNG. The air had scarcely left his lips in Chaguaramas when folks in Kingston began experiencing stomach turbulence, followed by outbursts of hot air. In a nutshell, a few crazy people are again asserting that Jamaica has a "right" to purchase Trinidad's LNG at the same price that consumers in Trinidad pay, plus the cost of liquefaction and transport. Some are even ramping up the insanity by threatening to take the matter to the Caribbean Court of Justice!
Given such dyspepsia, a deep breath is needed as we probe the patient's internal systems to find out what's really causing this digestive disturbance. What we know of this situation has been efficiently ferreted out in an excellent piece of journalism by the Guardian's acting editor-in-chief, Anthony Wilson, deserving of a Pulitzer Prize (Business Guardian column, July 2). So solidly done, it lends itself to my paraphrasing without plagiarizing: Jamaica wants T&T's natural gas at a cheap price so as to lower the cost of production at Jamaica's alumina refineries. That's because three of Jamaica's four alumina refineries have stopped production–thanks to an over-supply of alumina on the world market. The cost of production at these refineries is uncompetitive because fuel for their turbines is imported at a painful price.�
Closure of those refineries means losing 66 per cent of the island's foreign exchange earnings from alumina. This commodity contributed US$1.2 billion to Jamaica in 2008–an estimated 44 per cent of the US$2.7 billion of all export earnings. Jamaica therefore stands to lose a whopping US$792 million from the island's foreign exchange earnings in 2009.�That will cause untold damage to the Jamaica economy–weakening the currency (J$89 to US$1), shooting up inflation from 22 per cent, increasing interest rates, pushing up unemployment, and triggering capital flight. Background sound-effects to this horror movie is gunfire. Cutaway from such disaster scenes to a shot of Prime Minister Golding queuing up at the IMF loan-window to borrow US$1.2 billion on a three-year standby agreement.
Such nightmarish pictures must have been swirling in Mr Manning's head when he spoke at the PNM convention. He described the supply of LNG to Jamaica as being a "national priority," and warned if we don't help our neighbours we will suffer–"blood will flow." Trinidadians and Tobagonians immedi- ately sat up, and in concert with Mr Manning, our hearts went out to our Caribbean cousins. But like, I am sure, our Jamaican family, T&T citizens are not just 'eart without 'ead, emotion without examination, dollars without sense. We must agree with Mr Manning's pragmatism of "enlightened self-interest." It opts for a judicious mix of aid and trade, it admits to the philosophy of beneficence coupled to the principles of business, it is based on helpful neighbourliness but with respect for the Jamaican people to not have their dignity ignored simply because they face desperate times. And, most of all, it bespeaks fairness. All parties must push back from the table with their decency intact with no question of one-upmanship by any participant.
Now, while we may choose to believe that Mr Manning has more information and strategies in his famous backpocket than we do, the taxpayers/voters of this country have right and reason to look at this matter from all sides, and to table appropriate suggestions for action. You see, this matter will hit the pockets of man-in-the-street Trinidadians/Tobagonians big time, and we are entitled to have a say. For instance, T&T citizens would think it a win-win outcome if a special price for our LNG were to be negotiated, but simultaneously if Trinidad were to buy the Jamaica Government's share in the Jamalco alumina refinery. Prime Minister Golding is on record as saying it may be for sale, and former Cabinet member Claude Clarke estimated its worth to be "less than US$50 million." Mr Manning may buy that 45 per cent government stake so as to import alumina to process at the smelter plant in Trinidad. And there are many other transactions our two countries can consider.
What remains puzzling is the hypochondracula outbreak turning up in the Gleaner. Where is it coming from? An over-strategising Government, prior to Georgetown? A paranoid business sector, still smarting from the "Plight of the Patties?" A mischief-making media, huffing and puffing inside the ring with no opponents interested, but hoping to perk up sales? Or is it meant to be sound and fury to distract us from noticing that 83 per cent of Jamaica's alumina sector is owned by non-Jamaicans–Russian, American and Norwegian interests? We would in effect be selling our LNG at a cut price to non-Jamaicans who would be smirking in the shadows knowing they can well afford the open-market price, but happy to cream a profit from na�ve Trinidadians/ Tobagonians. Which Jamaican would allow himself to be so duped? Since when any Caricom Treaty could have intended that the wealth of T&T is not to be used primarily to build schools in Tobago or an oncology centre in San Fernando–instead of lining the pockets of an overly resourceful Russian? Surely the Gleaner is not trying to facilitate the selling of our singular or combined patrimony for 30 rubles, approximately TT$6?!
Jamaicans may be too smart for that, but they do have an interesting track record when it comes to T&T. After all, it was the oh so clever, silver-tongued Michael Manley, apparently convinced that his reputed charisma included medical competency, who once gleefully diagnosed that "money was passing through Trinidad like a dose ah salts!" So launched this tradition of a peculiar set of Jamaicans giving liberty to their lips to comment on Trinidad's wealth and health. Normally, in our seniority, we would dismiss all this as no more than another Shabba Ranks, Beenie or Elephant Man performance–barely intelligible lyrics, monotonous stamping of soldier-booted feet, spastic movements of arms and neck to set dreadlocks a-flailing, any passion merely smoke-induced–but four editorials in seven days?!
Who's writing editorials for the Gleaner? Chris Gayle? Vooping may be prerequisite in the 20-overs game, but surely the prideful editorial column of such a venerable medium deserves the elegance and prolificacy of George Headley, Allan Rae and Lawrence Rowe combined. What would be the outcry in Kingston if the Trinidad Guardian were to devote four editorials in seven days on the subject of Jamaica's many charity-begins-at-home xenophobic posturings, whether in matters of the University of the West Indies, selections for the West Indies cricket team (even the commentary team!), or national airlines? The highest level of respectful journalistic discernment tells us that four editorials in seven days indicates that we are hearing the drumbeat of a psychotically embattled mind, working to an agenda which deserves very careful scrutiny and watchfulness.
The Gleaner's pot-banging–a third world attempt at sabre-rattling–scares no one, and needs only be met with adult patience and sympathy. We note it to be fever-caused-by-desperation when our Prime Minister's remarks of genuine concern are rabidly misconstrued as "condescending," when things Golding turn into brassfaced attempts to fix Trinidad's price for Trinidad, when those whose opinion no one should court exclaim that this matter should be taken to the Caribbean Court! For starters, we recommend that the T&T Government set its LNG price, with accompanying commercial terms and conditions, and enter into normal civil negotiations with the normal civil representatives of Jamaica. If the Gleaner and other commentators find that hard to stomach, we prescribe a dose of soda and Angostura Bitters before bed tonight, and call us in the morning. We know how to have gas, without the bad feelings.
Samuel Georgeson
