renuka.singh@guardian.co.tt
The National Infrastructure Development Company (Nidco) has taken on a $300 million loan to buy the lands surrounding Tobago’s ANR Robinson Airport. The State is standing as a guarantor on this loan agreement between Nidco and Scotiabank.
According to a letter, dated December 20 and signed by Finance Minister Colm Imbert, Nidco borrowed the money to “facilitate the payment to property owners/occupiers about lands identified for the construction of the new terminal and associated works at the ANR Robinson Airport, Tobago.
“I also confirm that the Government of the Republic of Trinidad and Tobago has agreed to approve the funding of $300,000,000 through a six-year fixed-rate loan with Scotiabank Trinidad and Tobago and that the fixed-rate loan is fully guaranteed by the Government,” Imbert said in the letter.
Nidco chairman Herbert George confirmed that the loan approval was received on December 27 but directed further queries on the issue to Nidco president Esther Farmer. She directed all questions to Nidco’s communication department.
Last September, Nidco began acquiring lands for the airport expansion and served Section 4 legal notices to ensure they are vacated by next month. The company said then that payment of compensation would begin in mid to late October 2019, “once settlement has been reached with the state”.
But according to Nidco now, there seems to have been no change.
“With respect to the homes that have already accepted and moved, the process has not yet reached the stage of negotiation and settlement,” the company said. “The land acquisition process has begun and is ongoing.”
Nidco is negotiating with 56 landowners who will be affected by the upgrades to the airport. However, while the company is assuming responsibility for the loan negotiations for payment of the $300 million remains with the Government.
“The State will enter into the negotiation process with the property owners in order to determine how much money has been allocated,” Nidco said.
News of this loan comes even as the State is calling for a commission of enquiry (CoE) into the former administration’s spending on land acquisition for the billion-dollar Point Fortin highway extension. Last July, Stuart Young, who was then the Minister of Communication, announced that Cabinet planned to initiate the enquiry to examine the circumstances in which more than $500 million was paid to homeowners to acquire land for the extension of the highway from San Fernando to Point Fortin.
Former member of the Integrity Commission, Justice Sebastian Ventour, and is expected to determine whether criminal or civil proceedings should be brought against those involved, including a Cabinet committee headed by former prime minister Kamla Persad-Bissessar.
At that time, Young said a report had been requested by the Ministry of Works following a study it conducted into compensation for the highway extension project which found that while $800 million was allocated for land acquisition, more $500 million had already been spent. although the process of land acquisition is not near completion.
More than 520 properties were acquired and paid for by the state and there are still 459 properties to be acquired.
Young said Government was concerned about the functions of a ministerial oversight committee chaired by Persad-Bissessar which presided over the project’s funding, time-delivery, and other aspects. Land acquisition payments were halted and a Works Ministry technical team was asked to do a report on compensation for the project.
The study found that the People’s Partnership ministerial committee hired private entities and lawyers to handle compensation negotiations and some of the compensation appeared excessive.
The CoE will also inquire into whether or not the ministerial committee fulfilled its mandate, whether there was any breach of duties and whether any criminal, civil proceedings should be initiated.
Last month, after a six-month delay, Prime Minister Dr Keith Rowley confirmed that the CoE will begin this month. However, Ventour said he has heard nothing from the State about the CoE and with all the preliminary work that still needed to be completed before a CoE could start, he foresaw at least a February start date.
Guardian Media messaged National Security Minister Stuart Young for an update on the CoE and was directed to Attorney General Faris Al-Rawi who did not respond to calls or texts.