And while the major purpose of his visit was to discuss pressing diplomatic matters, Prime Minister Manning's government has also supported Belize in managing its affairs in the petroleum industry. Over the last two months, Belize received expertise and advice from a Trinidadian official with expertise in petroleum finance. His expertise was relied upon in coming up with legislation for the petroleum industry income tax bill which was taken to the House last week. According to government legislators, with the 40% income tax and production sharing revenues and equity buy-ins, Belize stands to get 50% of all oil revenues. Trinidad and Tobago gets around 70% but Manning explained that his country, long established a producer of oil and natural gas, has a different situation.
Patrick Manning, Prime Minister of Trinidad & Tobago
"We've had experience over time in seeking to modernize the government's take. Following the events of 1973 there was a movement around the world for greater control of these resources because these resources belong to the people of the particular countries. What eventually emerge is this: that resources belong to the country. The oil company is given a right to exploit the resources on the basis of some kind of split. The system is being modernized all the time to get a more equitable split between the host countries and the oil companies that have the right to produce the oil, to whom that right has been accorded.
In the case of Belize, Belize is at a different stage from Trinidad and Tobago. Belize is new and it is most unlikely that Belize could put in place, or ought to put in place, the kind of regime that Trinidad and Tobago has. Belize is much more a virgin exploration territory than is Trinidad and Tobago.
We've been a oil province for a long time, since what, the first barrel of oil was produced in our country in 1866. And therefore we have a long history of oil production. It is not so in Belize. Belize is just starting up and therefore there are different risks, different considerations. But even so, oil prices today are $70 a barrel and Belize will certainly be in a position to benefit from high oil prices. In fact I think Belize is extremely fortunate to discover oil at this time."
Trinidad and Tobago produces 150,000 barrels of oil a day, 60,000 of that through Petro-Trin, the national state owned oil company. And while in CARICOM Trinidad is the leading oil producer, it is also the leader in cracking down on corruption. The former Prime Minister and current Opposition Leader Basdeo Pandy has been sentenced to jail for corruption in public life. Though he's out on bail for reasons of health, Manning told us why his country is so serious about cracking down on corruption.
Patrick Manning,
"We've made it clear that the government intends to make Trinidad and Tobago beacon of integrity in the region, in the Western Hemisphere, and if possible in the world. We've sent that loud and clear for all who have ears to hear it. In Trinidad and Tobago at this time there are six ministers of the former government that are before the courts in matters of this nature. There are two ministers from my own government who are before the courts. A chief justice has been...a process under the constitution has been invoked to investigate allegations against a chief justice and the process is underway. In fact it has reviewed twice and we are taking all other reasonable steps to ensure that all is well. A former prime minister as you know has been brought before the courts and the courts have adjudicated on the matter. He has in fact been given a prison term and he has been given bail based on his medical condition but he no longer participates in parliament because of the laws of our country. And so the government has exhibited a serious effort to ensure that the public life of the country is conducted on the basis of the highest standards of integrity. It is a matter on which we do not propose to compromise."
Trinidad also has one of the highest rates of violent crime in the region. Manning attributes this to the drug trade which, like Belize, uses his country as a trans-shipment point from south to North America. Recently, Trinidad imported 39 British lawmen to bolster security efforts.
