The much
talked about controversial PetroCaribe oil deal between Venezuela
and several Caribbean countries have now become a reality for
Grenada.
The island on Monday signed a Commercial Contract of Oil supplies
under the framework of the PetroCaribe Bilateral Agreement with
a visiting high level delegation from Caracas, headed by Alejandro
Granado, President of PDV CARIBE and Vice-President of refining
of PDVSA.
Signing on behalf of Grenada, was Chairman of PetroCaribe Grenada
Limited, Fred Antoine who is the General Manager of Gravel and
Concrete.
The PetroCaribe agreement was signed by 13 Caribbean leaders including
Grenada in Puerto La Cruz, Venezuela in 2005.
Under the deal, participating countries in the region are expected
to receive Venezuelan oil at concessionary rates. In speaking
at the signing ceremony, Granado said the deal
provides for Caracas to supply the island with 55,000 barrels
of Diesel, 85,000 barrels of gasoline and 20,000 barrels of fuel
oil per year. This will work out to approximately 1000 barrels
per day. Grenada currently utilizes approximately 1500 barrels
a day.
Granados said that the main products under consideration in the
package are diesel, gasoline and fuel. The island is due to receive
its first shipment of supplies within the next three months.
While the agreement between the two countries has become official
with the signing of the agreements, the head of the local delegation
Fred Antoine told the media that Grenada is not quite ready for
the implementation of this new initiative.
According to Antoine, the island still needs assistance in the
areas of technology and storage and is looking towards Venezuela
for assistance in these areas.
The Keith Mitchell-led New National Party (NNP) government has
established PetroCaribe Grenada Limited as the local body with
responsibility for managing the items from Venezuela.
Antoine described the signing ceremony as a special day for PetroCaribe
Limited in that the island can now move forward with the implementation
of the PetroCaribe deal. Energy Minister Gregory Bowen later told
members of the media that Grenada is on the threshold of benefitting
from this agreement.
Under the arrangement worked out, Venezuela is to be repaid in
goods or services like the supply of agricultural items such as
banana and nutmegs.
The Grenada Electricity Services Limited and the Grenada Airport
Authority have been identified as the first two local companies
that will benefit from the PetroCaribe initiative.
Venezuela's Ambassador to Venezuela, Edna Figuera-Cedeno
was on hand to witness the signing ceremony.
