Title Page
 Front Matter
 Table of Contents
 Volume 1 - Table of Contents
 List of Tables
 Executive Summary

Group Title: Guyana transport sector study
Title: Guyana transport sector study. Volume I : executive summary
Full Citation
Permanent Link: http://ufdc.ufl.edu/UF00084207/00001
 Material Information
Title: Guyana transport sector study. Volume I : executive summary
Series Title: Guyana transport sector study
Physical Description: Book
Language: English
Creator: Guyana. Ministry of Public Works and Communcations
Publisher: Guyana. Ministry of Public Works and Communcations
Publication Date: 2005
Subject: Transportation
Caribbean   ( lcsh )
Spatial Coverage: South America -- Guyana -- Georgetown
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Volume ID: VID00001
Source Institution: University of Florida
Holding Location: University of Florida
Rights Management: All rights reserved by the source institution and holding location.


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Table of Contents
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        Title Page
    Front Matter
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    Table of Contents
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    Volume 1 - Table of Contents
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    List of Tables
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    Executive Summary
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Full Text

Final Report

The Ministry of Public Works and Communications

Guyana: Transport Sector Study

Volume I: Executive Summary

December 2005


Project financed by EDF

Final Report

The Ministry of Public Works and Communications

Guyana: Transport Sector Study

Volume I: Executive Summary

December 2005

- -. rrr--~. .. -- r =-- .. --

GOPA Consultants
Hindenburgring 18
61348 Bad Homburg
+49-6172-930 528
+49-6172-930 550
Bernd.Brunnengraeber @gopa.de


E & A Consultants Inc.
274, Peter Rose & Forshaw Street,
Queenstown, Georgetown
eaconsul @guyana.net.gy


Final Report: Overview


The Final Report of the Guyana Transport Sector Study is composed of four parts:

Volume I: Executive Summary

Volume II: Main Report

Volume III: Administrative Appendices

Number Title

I Study Methodology
II Itinerary
III Consultation: Workshops, Organisations Consulted and People Met
Steering Committee Meetings
Prime Ministerial Meetings
Presidential Meetings
IV Documents Consulted
V Curricula Vitae of Consultant Team

VI Response to comments on the Draft Final Report

Volume IV: Technical Appendices

Number Title

I Logical Framework
II Maps
III Analysis of the Relevance of the Sector Policy
IV Analysis of the Policy Options
V Draft Policy Statement
VI Terms of Reference

VII Working Paper No. 301

1 Some of the other Working Papers (Nos. 1-29) have been slightly updated since the Draft Final Re-
port (mid October 2005) and are available as downloads on the Study Website: guyanatrans-

Guyana: Transport Sector Study i

GOPA + E & A

Final Report: Overview

List of Working Papers
available as downloads on the Study Website: www.guyanatransportstudy.com

1 Road Transport Infrastructure
2 Air Transport Infrastructure & Operations
3 Ports and River Transport Infrastructure & Operations
4 Socio-Economic Review
5 Economic Outlook
6 Review of Financial Data for Transport Sector
7 Report on Legal Issues
8 Institutional Review
9 Ferry Infrastructure and Operations
10 Road Transport Operations
11 Environmental and Social Issues
12 Rural Development Planning and Transport
13 Provisional Traffic Forecasts
14 Review of Minibus Services in Georgetown [Preparations for Special Study No. 1]
15 Shipping Analyses [Preparations for Special Study No. 2]
16 Population and Poverty Analyses [Preparations for Special Study No. 3]
17 Port Policy and Development Strategy
18 River Transport Policy and Development Strategy [Preparations for Special Study
No. 2]
19 Urban Public Transport Development: [Preparations for Special Study No. 1]
20 Capacity Building in support of the Transport Sector Strategy
21 Ferry Transport Development: Special Study No. 4
22 Urban Transport Development: Special Study No. 1 ToR
23 River Transport Development: Special Study No. 2 ToR
24 Rural Transport Interventions: Special Study No. 3 ToR
25 Regional Development Planning for Transport
26 Road Network Development
27 Transport support to Tourism Industry
28 Implementation Programme
29 Air Transport development

30 Evolving Strategic National Focus and Economic Growth

11 Guyana: Transport Sector Study

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Final Report: Overview

Currency and Exchange Rates

The national currency is the Guyanese Dollar (Guy$).

Official Exchange Rates (Guy$ per US $1.00)

2000 2001 2002 2003 2004 2005

182 187 191 194 198 195


This report is financed by the European Development Fund and is presented by
GOPA Consultants and E & A Consultants for the Government of Guyana and the Euro-
pean Commission. It does not necessarily reflect the opinion of the Government or the Euro-
pean Commission.


In compiling this
Final Report the
Study Team of Ex-
perts and project
office staff have
been assisted by
many persons in
Guyana and other
countries. We
would like to thank
all these persons
for kindly giving
their time, efforts
and support.
Whilst we cannot
acknowledge all of
these people per-
sonally, we are pleased to acknowledge with thanks those whose thoughts, information,
opinions and suggestions were given during professional interviews and Workshops.

Please visit our Project Website at www.guvanatransportstudy.com

Guyana: Transport Sector Study i11

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Final Report: Overview

List of Abbreviations


Association of Civil Aviation Authorities of the Caribbean
Area Control Centre
Association of Caribbean States
Aerodrome Control
Aerodrome Flight Information Service
Aeronautical Information Publication
Aeronautical Information Regulation and Control
Aeronautical Information Service
Air Navigation Services
Air Navigation Service Provider
The Aircraft Owners Association of Guyana
Approach Control
Air Traffic Control
Air Traffic Control Centre
Air Traffic Control Officer
Air Traffic Management
The Art Williams/Harry Wendt Aeronautical Engineering School
Build Operate Transfer
Civil Aviation Authority
Civil Aviation Department
Caribbean Community
Caribbean Development Bank
Chief Executive Officer
Cheddi Jagan International Airport
Cheddi Jagan International Airport Corporation
Communication, Navigation and Surveillance system
Caribbean Single Market and Economy
Canadian International Development Agency
Community Transport Policy
Caricom Single Market and Economy
Central Planning Transport Unit (at the MPW&C)
Department of Civil Aviation

iv Guyana: Transport Sector Study

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Final Report: Overview

NA or n.a.

European Commission
European Civil Aviation Conference
Environmental Impact Assessment
Economist Intelligence Unit
European Union
Environmental Management Plan
Environmental Protection Agency
The European Organisation for the Safety of Air Navigation.
The Federal Aviation Administration (of the USA)
Fire, Crash and Rescue
Flight Information Region
Free Trade Agreement of the Americas
Guyana Civil Aviation Authority
Guyana Defence Force
Government Information Agency
Guyana Land and Survey Commission
Global Navigation Satellite System
Government of Guyana
Global Positioning System
General Transport Law
Inter-American Development Bank
International Civil Aviation Organisation
Inter American Development Bank
Integration of Regional Infrastructure in South America
Interim Management Committee
International Monetary Fund
International Organisation for Standardisation
Maritime Affairs Department
Medical Evacuation
Municipal Governance and Management Programme
Ministry for Local Government and Regional Development
Ministry of Public Works and Communications
Ministry of Transport, Communications and Tourism
National Authorizing Officer
Not available

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Final Report: Overview




Neighborhood Democratic Council
National Development Strategy
National Long Range Development Scheme
Ogle Airport Inc.
Organisation of Eastern Caribbean States
Ocean Going Vessel
Regional Economic Partnership Agreement
Poverty Reduction Strategy Paper
Public Private Partnership
Public Private Sector Infrastructure Programme
Regional Aviation Safety Oversight System
Regional Economic Partnership Agreement?
Regional Democratic Councils
Runway. Note that a runway is designated two digit numbers (e.g. 06/24)
each of which when multiplied by ten gives the centre line bearings (from
magnet north) for each direction of approach.
The European (ECAC) Safety Assessment of Foreign Aircraft programme
Standards and Recommended Practices (of ICAO)
Third Border Initiative (of FAA)
Transport and Harbours Department
Terms of Reference
Towards Sustainable Transport Infrastructure (a transport sector approach
by the EC)
Aerodrome Control Tower
United Nation Development Programme
Vehicle operating costs
Vehicle weights and dimensions
Working Paper
Work Services Group (MPW&C)

vi Guyana: Transport Sector Study

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Final Report: Volume I Executive Summary / Contents

Table of Contents


0 Executive Summary .....................................................................................................I

0.1 B background ...................... ..... ......................... ................ I.... .... ....
0.1.1 Economic Development Thrust..................................... ......................I
0 .1.2 T traffic P rospects......................................................................................... ...II
0.1.3 T transport Policy ................................................ ............................... III

0.2 Features of the Sector .......................... ......................................................... III
0.2.1 Roads and Bridges and Road Transport ................................................ III
0.2.2 Ports, Rivers, Ferries and Shipping ........................................ ................ V
0.2.3 Air Transport and Aviation ........................................... ... ................VII
0.2.4 R ailw ays ......... ............ .......................... .. ............. .......... .. .. .............. V III

0.3 K ey Sector Issues .................................................... .................... .... ................. ..... V III
0.3.1 Prom otion of Com petition ................................... .............. .................. .. IX
0.3.2 Transparency Measures ................ ........................... .................. IX
0.3.3 E efficiency M measures .................................................................................. IX
0.3.4 Sustainability M measures ................................... .......................................... X I
0.3.5 Transport Infrastructure Demand ..................................... .............. XIII
0.3.6 Public-Private Partnership .................................................... ................. X V II
0.3.7 Improvements in Rural Access ...................................... ...................... XVII
0.3.8 Support to the Tourism Industry..............................................................XVII
0 .3 .9 R ail P o licy .......................................................................................... .....X V III

0.4 Strategy P roposals............................................................................................. X V III
0.4.1 G overnm ent Finance ..............................................................................X V III
0.4.2 Prom otion of Com petition ........................................................................ X IX
0.4.3 Transparency Measures ................................. XIX
0.4.4 Efficiency M measures ........................................... .................... ....... X IX
0.4.5 Sustainability M measures .................................. ...........................................X X
0.4.6 Safety Prom option ................................................................... .....................X X
0.4.7 Environmental Protection ................................... ................................XX
0.4.8 Regional Integration ............................ ................ XXI
0.4.9 Infrastructure Rehabilitation and Construction ....................................... XXI
0.4.10 Promotion of Rural Access.. ....................... .. ...................................... XXI
0.4.11 Promotion of Tourism (Transport Sector Support) ...............................XXII
0.4.12 Linkage to the NDS and PRS ..................................................................XXII

0.5 Im plem entation Program m es ................................................................................X X II
0.5.1 Monitoring and Evaluation.............................................................. XXVI

0 .6 C on clu sion s............. .................................. ... ................ ...... ... .. ............. X X V I

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Final Report: Volume I Executive Summary / Contents

List of Tables

Table 0-1: Summary of Indicative Investment and Maintenance Implementation
Programme ('Scenario 1 Heavily Constrained Budget)............................ XXIV

Table 0-2: Summary of Indicative TA Implementation Programme Components,
Inputs and B budget .............................................. ............................. X X V

11 Guyana: Transport Sector Study


Final Report: Volume I Executive Summary

0 Executive Summary

0.1 Background

Guyana is a small country, with a land area of some 215,000 sq. km, about the size of Idaho,
and a population of approximately 740,000, about the same as Cyprus. Approximately 85%
of the country is covered by forest, and the settled areas are all found in the north of the
country within 50 to 100 km of the coast in the Coastal Region. Some 20% of the total popu-
lation lives in Georgetown and its suburbs.

0.1.1 Economic Development Thrust

Economic growth has been much affected by political developments. Immediately after in-
dependence (in 1966) Guyana chose a socialist type, centrally controlled economic model.
This strategy failed and resulted in low or negative growth combined with large fiscal defi-
cits, high inflation and the accumulation of foreign debt. GDP fell from 1970 value to about
US$ 300 per capital in 1989, and has been recovering since then.

A new comprehensive strategy addressing poverty-oriented growth has been designed with
the support of donors. The Poverty Reduction Strategy (PRS) develops the ideas contained in
the National Development Strategy. It also addresses the missing reforms, namely the trans-
formation of public institutions.

The National Development Strategy (NDS) places great emphasis on development of an
adequate transport infrastructure. The Overview to the NDS document of 2000 states in part
'We attach the highest ... importance ... to the establishment of a road network over the
length and breadth of Guyana over the next ten years ... This road network ... will ... assist
in the penetration of our interior, in the opening up of new lands ..., and in the facilitation of
eco-tourism. Above all, it will contribute immensely to the social and physical unification of
Guyana'. The Overview also highlights 'two deep-water harbours ..., ... improvement of ...
airports, and rehabilitation of ... interior airstrips.

The future development of the economy depends upon the success of the PRSP programme,
together with the identification of new sources of growth in the non-traditional sectors.
Should the current pace of reform continue, economic growth will continue to be around 1.5
% p.a. up to 2010, if Guyana relies on commodities almost exclusively. As the Government
continues to be more successful in reforming and in developing new sources of growth, the
growth rate can be expected to increase gradually up to c. 2.7 % p.a. to 2020.

To close the possible gap in the macroeconomic projections, new sources of growth in the
non traditional sectors have to be developed. In Guyana, these sources are seen in the devel-
opment of other non-traditional sectors in agriculture, in particular the aquaculture, beef and

Guyana: Transport Sector Study I

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Final Report: Volume I Executive Summary

poultry sectors, in eco-tourism, and in information and communication technology (ICT). (It
is noted that some external events (such as current high fuel price levels) are adversely af-
fecting the operations/performance of some agricultural sectors: for instance, the fishing in-

The potential for developing these areas and thus achieving the "debt sustainability scenario"
(of the World Bank/IMF) is clearly there. However, a vigorous private sector, willing and
having the means to test the opportunity windows, is necessary. In this context, the intensifi-
cation of the reform framework turns to be of first importance.

During the next ten years several regional integration initiatives will open the national and
regional markets. The EPA, FTAA, WTO driven tariff reductions, and above all the full Car-
ibbean Single Market and Economy (CSME) is scheduled to come on-stream in 2008. There
is also the strategic vision of physical integration of South America developed by IIRSA as
submitted for discussion to Governments and Regional Organisations. Under such an opti-
mistic scenario, average growth rate increases could be slightly higher during 2006-2015 and
above 4% towards 2020.

0.1.2 Traffic Prospects

The major export traffic by far is Bauxite, at nearly 2 million tonnes per year, and this traffic
is forecast to rise, in the coming 10 year period, to some 3 million tonnes per year. Output is
expected to grow from the 2 million tonnes p.a., largely from the existing mine areas.

Exports of traditional agricultural products are unlikely to increase substantially, but there is
expected to be some growth of exports of sugar. (However the non-traditional crops sector
has experienced good growth in recent years. The necessary animal heath systems infrastruc-
ture is currently being developed to facilitate the exports of beef and poultry and potential
markets in the Caribbean have been identified. The MOA has also proactively been promot-
ing the development of the aquaculture sector in Guyana with a view to becoming a competi-
tive exporter of this product).

The implications for transport infrastructure are not yet completely clear. There appears to be
no shortage of capacity to handle the traditional exports of bauxite from Berbice River, ex-
cept that a second mid-stream loading basin would be required off New Amsterdam. It is
noted also that, in future, refractory bauxite is expected to be shipped from Linden Port, in
shipments between 5,000 t to 10,000 t, provided that maintenance dredging is undertaken on
the Demerara River. A new bridge crossing the Berbice River is planned; a floating toll
bridge. A new slurry pipeline is being considered to transport bauxite in the Pakaraima's to a
port on the coast.

No major transport infrastructure constraints are expected in connection with the new sugar
factory at Skeldon.

II Guyana: Transport Sector Study


Final Report: Volume I Executive Summary

0.1.3 Transport Policy

The Government has gradually been moving towards a systematic separation of transport
policy, regulatory and operational activities and is committed to liberalizing the sector and to
increasing the role of the private sector in transport provision. However, in practice, there
has been some protection of the commercial positions of, and employment levels in, such
agencies as the THD and the DHBC.

0.2 Features of the Sector

0.2.1 Roads and Bridges and Road Transport Road Infrastructure

The road network is very small, totalling some 2,600 km of which only some 500 km are
paved. The MPW&C, the MOLG&RD and the urban councils have all had chronic problems
in maintaining their networks, caused by both organisational and financial problems.

The roads are, with the exception of those that have been recently rehabilitated, in poor con-
dition. This is often blamed on heavy trucks: though the fleet of large trucks is quite small,
there being only some 10,000 goods vehicles (mainly 10 ton, 2-axle Bedford type trucks) in
Guyana. These vehicles however carry a single rear-axle with twin wheels, or single rear-
axle with balloon tyres. Either axle configuration can lead to exceptionally high axle loads, if
the vehicle is overloaded. The principal reasons for road failure are believed to be vehicle
overloading and neglect of maintenance, including in particular, poor drainage.

Guyana has fallen into a cycle of neglect of maintenance leading to road failure, followed by
rehabilitation, a further period of neglect and the inevitable need to rehabilitate again. The
cycle is costly and wasteful and adds to the country's debt burden.

Creation of both an autonomous roads authority and a dedicated road fund has been carefully
considered in the final phase of the study. The problem stressed in Phase 1 was that without
an institutional set-up which can help both to secure finance and to maintain the present im-
proved technical capacity, there is danger that the primary road network will once again fall
into the unacceptable condition of the past.

The Demerara Harbour Bridge is a 1.8 km pontoon crossing of the Demerara River upstream
of most of the Georgetown port facilities. In 2003 the DHBC was established as a public
corporation, with a Board of Directors appointed by the Minister. A floating Berbice River
Bridge is planned for construction in the near future, by means of a pontoon crossing of the
Berbice River, in the vicinity of New Amsterdam.

Guyana: Transport Sector Study III

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Final Report: Volume I Executive Summary Road Transport

Bus services are run by privately owned minibus operators. There appears to be considerable
competition within the sub-sector; however some identified problems that need to be re-
solved include poor location of bus stops and terminals, and a need to provide some incen-
tives to increase the size of the vehicles. Measures to improve the safety of minibuses ser-
vices should be introduced.

Trucking and other commercial vehicle services are in the hands of the private sector. Axle
loads are limited by law to 10 tonnes; low by international standards and inconsistent with
the limit in neighboring countries. However, enforcement is poor.

There is very little cross-border freight movement at present, but as regional integration pro-
gresses, and the trade grows (particularly with Brazil), it will be necessary to start to coordi-
nate legislation on vehicle weights and dimensions with that of neighboring countries, and
to establish the rules under which foreign trucking companies can operate in Guyana.

Over the whole network, fatal accidents average about 100 p.a. with a total of 2,800 recorded
road accidents p.a. Though not high in absolute terms, these numbers are very large relative
to population and the amount of traffic. As the roads are improved, speeds will increase.
Higher speeds combined with growth in the vehicle fleet means that the number of fatal ac-
cidents is bound to increase. The technical capacity of the Police and the MPW&C to ana-
lyse accidents and to improve road layouts needs to be improved. Urban Traffic Problems

Traffic in Georgetown is approaching saturation at certain times of the day, with flows of up
to 15,000 vpd, on some roads. Appropriate traffic management measures and application of
sound urban transport planning principles could make significant improvement in traffic
flow, road safety and public amenity in the central area.

Around 2,800 minibuses are licensed to operate as public transport. Some 2,200 of these
minibuses operate from Georgetown, with 3 routes entirely within the City and a further 9
routes travelling out through to the city to suburban and distant destinations. The three city
routes [routes 40-41-45] have 445 authorised vehicles, whilst the nine other routes from des-
tinations beyond Georgetown have the residual 1,777 vehicles. Curiously, the three city
routes comprise 9 variant destinations, whilst the other 9 routes comprise 30 variant destina-
tions. This is an unusual feature, as most cities would identify separate route numbers and
route characteristics for each individual route. It is assumed that the current arrangement
serves the interest of the operators, in that they can individually decide which one of the vari-
ant routes is the more profitable for their hour-by-hour operations. However, this arrange-

IV Guyana: Transport Sector Study


Final Report: Volume I Executive Summary

ment is less than helpful to passengers, who need to enquire each time which variant of the
route the bus will be travelling along.

The three city routes operate at very high frequency during peak periods. Operations [to-
gether with those from outside the City] are distributed on the streets around the Stabroek
Market area in central Georgetown. However, this area is also a major market for traders, is
close to the Cross-estuary fast ferries, is shared with building trade wholesalers and is trav-
ersed by heavy container lorries passing to and from the port. There are no purpose built pas-
senger waiting areas, nor are there orderly loading arrangements. In short, the area and facili-
ties are far from ideal for public transport.

0.2.2 Ports, Rivers, Ferries and Shipping Ports

The main ports are the Port of Georgetown, and the port of New Amsterdam. The Port of
Georgetown handles general cargo, sugar, grains, petroleum products and other goods for the
general population and consists of a number of separate facilities scattered along the east
bank of the Demerara River.

Linden, some 56 nm South of Georgetown, handles calcined bauxite, while import cargoes
are fuel oil and diesel fuel and other commodities required for the bauxite industry. New
Amsterdam, situated on the Berbice River, is the largest port in Guyana in throughput terms.
The major facility is a multi-buoy mooring (MBM) for midstream transhipment of bauxite
from river barges to bulk carriers. A vehicle ferry operates between Rosignol and New Am-

About 50 vessels are dispatched each month on average in Georgetown, whereas at New
Amsterdam about 10 vessels call per month. In Georgetown, all types of vessels were re-
corded; in New Amsterdam mainly vessels with bauxite were loaded and a few tankers for
petroleum product supply were discharged. It is noteworthy that the majority of vessels call-
ing at Georgetown consist of container vessels, although there is no dedicated container ter-
minal The port traffic for 2003 in Georgetown Harbour amounted to some 1.0 million tonnes
of exports and some 0.9 million tonnes of imports.

Navigation services, such as pilotage are provided by the MARAD. Although MARAD has
made an operating surplus in its first two years of operation (2003/04), it has been required
to pass most of this surplus on, in an effective cross-subsidy to the Transport and Harbours

Guyana: Transport Sector Study V

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Final Report: Volume I Executive Summary Rivers

Guyana has an extensive and very important river system, much used for north-south freight
transport to the interior, particularly to provide access to the Ports on the Berbice and Dem-
erara Rivers. On each River, however, rapids and other navigational obstructions limit navi-
gational possibilities, particularly on the Essequibo.

From East to West, Guyana has four main rivers that flow into the Atlantic Ocean, namely
the Corentyne, Berbice, Demerara and the Essequibo River. There are many other rivers in
the country; these are navigable only for a short distance, because of rapids, cataracts, is-
lands, sandbanks and shoals. Also, there are many canals, used mainly for water conservancy
purposes and locally for transport of sugar cane, fertilizers and produce on small craft. The
total length of rivers navigable for vessels and barges drawing no more than 2.0-2.5m is
about 450 nm. Ferry Services

Government ferry services are presently provided by the Transport and Harbours Dept.
(THD) across the mouths of the Essequibo and the Berbice rivers, and by Canawaima Ferry
Services across the Corentyne River. THD also operates a coastal service between George-
town and Mabaruma in the far north -west. Besides the government services, there are also
private sector river services. Speedboats operate as water taxis especially on the Essequibo
River. A vehicle ferry also operates where the Linden-Lethem road crosses the Essequibo at
Kurupukari. A private operator provides a vehicle ferry service near Monkey Jump on the
Essequibo, which gives access via Linden from Georgetown to Bartica.

The ferry boats are relatively obsolete and side-loading operations are inefficient. They
should be replaced by more modem vessels in the short-term according to the traffic fore-
casts. Any new ferries should ideally be of the roll-on/ roll-off type (vehicles get in and out
through the stem or the bows) to offer a high level of productivity (fast loading and unload-
ing process). Wooden stellings, themselves in an advanced state of decay, should be rebuilt
to accommodate such 'Ro-Ro' vessels. Ramps are normally built in concrete.

VI Guyana: Transport Sector Study


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0.2.3 Air Transport and Aviation Air Transport

Although there are more than 200 airstrips in Guyana, only about 24 have frequent scheduled
services. A further 73 are said to have frequent non-scheduled services and are considered to
be airports. Part of the country's south, south-west and south-east have large areas that are
only accessible by air. The 24 airstrips are used for tourism, general aviation associated with
gold mining, and to serve isolated communities in the interior.

The main international airport is Cheddi Jagan International Airport (CJIA), situated at
Timehri, south of Georgetown. In 2003, there were some 200,000 passenger arrivals and de-

In late 2001, the Government leased the management and operation of the Ogle aerodrome to
Ogle Airport Inc (OAI). The lease is for a minimum period of 25 years with extension peri-
ods of 25 years on request of the lessee. The objective is to develop Ogle Aerodrome into a
Regional Municipal Airport, to full international standards. In 2003, there were 8 companies
operating 34 aircraft and transporting some 50,000 passengers annually.

CGIAC is now managed by a Chief Executive Officer (CEO) reporting to the MPW&C
through a Board of Directors. Its remit is to be a self supporting business (the Cheddi Jagan
International Airport Corporation or CJIAC), although break-even is not expected to be
achieved until the end of 2005.

The Civil Aviation Authority is organised on classic modem lines in that the Director Gen-
eral (DG) reports to a Board of Directors which in turn answers to the Minister for Public
Works and Communications.

Regional Air Access
As Guyana now has no national airline, consideration will need to be made of the services
provided by BWIA and LIAT as major operators near to Guyana. BWIA is in financial diffi-
culties, and was taken into Government (Trinidad and Tobago) ownership, whilst restructur-
ing takes place. LIAT are also in financial trouble.

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0.2.4 Railways

There were railway services in Guyana in the past; indeed the first railway in South America
is reported to have been constructed in Georgetown in 1846. At independence in 1966, gov-
ernment railways ran from Georgetown east to Rosignol and from Vreed-en-Hoop west to
Parika. These lines were closed completely in 1974, and there is no prospect that they will
reopen. At least two private railways have also operated in the past. A narrow-gauge line was
used by the Linden bauxite company to carry ore from Ituni to Linden. There was also a pri-
vate mineral line in the far north-west from Port Kaituma to Matthews Ridge, which is no
longer operating.

0.3 Key Sector Issues

The Government is gradually moving towards reducing its direct involvement in transport
operations and concentrating on policy and regulatory questions. However, at the same time,
there are state owned transport sector entities such as, for instance, the DHBC and the
CJIAC. This will become increasingly difficult as the provisions of the Revised CARICOM
Treaty of Chaguaramas, which envisages an open market in transport services, become ef-

The Government has made some significant moves towards creating a liberal economic envi-
ronment in the transport sector. In air transport, for instance, there have been significant
changes following the Civil Aviation Act of 2000. Since 2000, two new corporations have
been established to perform functions previously undertaken by departments of the ministry.
These are the Cheddi Jagan International Airport Corporation (CJIAC) and the Guyana Civil
Aviation Authority (GCAA).

In the maritime sub-sector, a new statutory board has been established, namely the Maritime
Administration Department (MARAD), while the Demerara harbour bridge administration
has been reconstituted as the Demerara Harbour Bridge Corporation (DHBC). The Govern-
ment is committed to the general principle that the costs of transport infrastructure and ser-
vices should be paid for by the users and that subsidies should be reduced.

There is a general acceptance that the sector needs to become more efficient. In particular, it
is clear that some Government departments are failing to maintain the transport infrastruc-
ture and equipment for which they are responsible. Long-term sustainability will require
even greater private sector involvement in transport operations and infrastructure, and
greater efficiency will require the spur of competition. There is therefore a need for the Gov-
ernment to take further action on further expanding the role of private investment in the
transport sector.

VIII Guyana: Transport Sector Study


Final Report: Volume I Executive Summary

0.3.1 Promotion of Competition

Separation of Roles
The Government has not yet made a formal commitment to the separation of the roles of op-
eration, regulation and policy making for all modes within the transport sector. This is a po-
tential problem in the development of air transport, particularly domestic aerodromes, al-
though it is understood that a private sector operator has offered to manage rural aerodromes
under a concession arrangement. This is a potential problem also for ferry transport and for
the DHB operations. Further, the protection of the market position of (and employment lev-
els in) such sectors/entities is not identical to the promotion of the public interest.

0.3.2 Transparency Measures

Transport Sector Indicators
Transport statistics are collected by the Bureau of Statistics, but have a relatively restricted
scope, which makes the long-term monitoring of transport sector performance difficult. The
MPW&C (through the CTPU) should coordinate an effort to improve the collection and
analysis of transport statistics, but the BS would require technical assistance to implement
the new systems, which should be computer based. The Government should audit and pub-
lish for public domain annual financial data for all public transport bodies (including MA-
RAD, THD, GCAA, CJIAC, DHBC also a Roads Authority, when established), covering
all major income and expenditure items. The Government should compile and publish key
operational data for all transport modes, including roads, ferries, shipping, port operations
and air transport.

0.3.3 Efficiency Measures Public Service Oblio,, i, i

Government is spending substantial sums of money on providing subsidized transport ser-
vices (principally by ferry) to remote areas on the grounds that the private sector might not
be prepared to do so. However, the provision of such services appears to be determined on
grounds of custom rather than an objective assessment of need. The lack of an explicit public
service obligation (PSO) makes it difficult to establish whether the level of subsidy is justi-
fied and whether the service could not be more efficiently provided by the private sector.

It will be necessary to develop explicit PSO's for coastal shipping services (with the Kimbia)
to Region 1 and possibly for certain Essequibo River ferry operations, to counter the accessi-
bility constraint.

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Final Report: Volume I Executive Summary Future of the THD

It is desirable that THD be established as a fully autonomous and independent entity with
clearly defined responsibilities. The question of raising fares will have to be considered, and
even then subsidies may have to be paid on some of the services. THD, or any succeeding
operator, should be enabled to provide for normal maintenance requirements out of operating
revenues as a matter of course. The practice of transferring a large element of the MARAD
surplus to THD should cease, as it is ultimately harmful to both organizations. Employment Practices and Human Resource Development

Restructuring some Government transport entities, such as the THD, would inevitably in-
volve reducing the numbers of people employed. Modem practice elsewhere is to offer re-
training and placement assistance, and it would be reasonable to extend such practices to
such restructured entities within Guyana.

There is also a lot of scope for modernisation and improvement, through the introduction of
formal job descriptions and training programmes properly adapted to the commercial needs
of the organisation, as well as to the needs of the individual employee. Urban Transport Planningfor Georgetown

The level of congestion in Georgetown is becoming unacceptable. There is a case for a com-
prehensive transport and traffic management study which incorporates many important
cross-cutting legal & institutional issues of a strategic nature, and takes into consideration
recommendations in respect of the future location of a modem container terminal and rec-
ommendations in respect of longer term solutions for the DHB. Public Transport in Georgetown

The informal nature of current operations have served the city well for some years, but with
increased traffic congestion and increased private motoring, with demand for central area
parking exceeding demand throughout the working day and with higher aspirations for good
service delivery, there is justified pressure for change and a better quality of transport for
regular commuters.

Best practice delivery of good quality public transport is dependent on providing a network
of convenient and popular transport links based on up to date knowledge of the demand for
transport in the city followed by the planning of networks to meet that demand. This does not
reflect the existing arrangements in Georgetown. It is a relatively small capital city and any

X Guyana: Transport Sector Study


Final Report: Volume I Executive Summary

solutions must reflect the capacities of staff and other resources available and the ways in
which change can be made.

0.3.4 Sustainability Measures RoadMaintenance n,,this l ,, and Funding

It seems clear that funds provided historically for road maintenance have been inadequate.
Available data show that current expenditures on roads approximately doubled between
2001/02 and 2003/04. Even then, however, they reached only about G$ 60 million (rather
more than US$ 300,000) per annum, a figure far below international norms for a primary
network of over 400 km, and specifically well below the US$ 4.9 million, formerly sug-
gested as an appropriate target by road maintenance consultants (Bodely, 1995).

Expenditure on road maintenance is still financed from general taxation through the Con-
solidated Fund. While a road maintenance fund appears to have served as vehicle for some
annual expenditure in recent years, it has not acted as the sole source of road maintenance
funding, nor has it been operated (as is now the practice in many countries) independently of
the Consolidated Fund. Government accounting record is sometimes confusing, and ought to
be clarified.

From analysis of Guyana Energy Authority (GEA) data for 2004, it may be crudely esti-
mated that road users currently pay around G$ 7,000 million per annum in consumption tax
on fuel. It is worth noting that G$ 2,500 million (or approximately US$ 12.5 million) per an-
num should be sufficient to fund routine and periodic maintenance, at an average cost of say
US$ 10,000 per annum, over a network of 625 km, corresponding quite closely to the exist-
ing 'declared' network plus the presently undeclared Linden-Lethem highway, leaving a
similar annual amount for maintenance of additional 'undeclared' roads or urban roads, or
for construction of new roads. Vehicle Weights and Dimensions

The current axle load limit of 10 tonnes is probably too low and should be reviewed, giving
attention to the need to coordinate legislation with neighboring countries. Consideration
should also be given to increasing taxes on heavy vehicles of certain axle configurations, to
help recover the costs of the damage they cause to roads. Fares RegulIation

It is proposed that tariff setting for minibus and ferry fares be brought under the responsibil-
ity of the Public Utilities Commission, which already holds generally similar powers for

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other utility providers. Similarly Demerara Harbour Bridge tolls would be brought under the
responsibility of the Public Utilities Commission.

The objective would be to protect the interests of consumers-passengers, so that tariffs re-
main sufficient for operators to remain viable [to cover operating costs, capital costs and a
reasonable profit] yet remain affordable and socially acceptable. A Study should be under-
taken to review user fees in the transport sector. SafetyPromotion

Improving road safety is a technical matter and is normally uncontroversial. There is a case
for technical assistance to the Police and MPW&C, to improve their capacity for accident
analysis, road layouts, control of minibuses and traffic rule enforcement. Improving mari-
time safety includes replacement of missing navigation aids and markers, and ensuring that
all are in working order. A review whether additional navaids are required should be under-
taken, and dangerous wrecks should be removed. Environmental Protection

Guyana lacks the technical capacity for carrying out, or even evaluating, such studies done
under the implementation of the "Environmental Protection Act". Experience shows that
road maintenance is a weak area in the transport sector. Inadequate maintenance or improper
practices may lead directly to environmental impact. Training in monitoring and inspecting
of transport projects for environmental and social-cultural impacts and for implementation of
mitigation measures are important. It may be necessary to procure equipment, vehicles and
an operational budget and to develop defined standards and to create a special monitoring

XII Guyana: Transport Sector Study


Final Report: Volume I Executive Summary Regional Integration

Increasing regional integration will require modifications to Guyanese law, to facilitate road
freight and passenger transport connections with neighboring countries. The legal changes
could include:
* Coordination of vehicle weights and dimensions legislation;

* Modification of insurance arrangements to facilitate cross-border movements;

* Changes to customs procedures to facilitate cross-border movements, in particular tran-
sit movements; and
Permitting foreign trucking and bus companies to operate commercially inside Guyana,
either to carry passenger or cargo to neighboring countries or to compete directly with
domestic carriers on domestic routes.

The Revised Treaty of Chaguaramas, which has been both signed and ratified by Guyana but
not by all signatories envisages the creation of a regional common market in transport ser-
vices. All member states are committed to preparing to remove all the obstacles to opening
up the market. In particular, Guyana will need to negotiate a transport agreement with Suri-
name, under CARICOM auspices, to set the conditions under which Surinamese transport
companies can operate in Guyana, and vice-versa.

Consideration also needs to be given to a general regional customs agreement, involving
Guyana, Brazil and possibly Venezuela, that will permit and facilitate transit traffic. Guyana
will continue to work to promote IIRSA Group 2 and 3 corridor investment projects with
partners from Brazil, Venezuela and Suriname.

0.3.5 Transport Infrastructure Demand

In general terms, because the population is so concentrated, transport infrastructure is more
or less adequate for the demands placed on it, with certain key exceptions, which can be ad-
dressed through the committed projects, plus some other 'pipeline' investments that will
need to be evaluated through formal Feasibility Study.

A summary of the assessment of the priority investment requirements, by mode, is provided

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Final Report: Volume I Executive Summary Roads and Bridges

Traffic flows outside Georgetown are quite low. There is no immediate requirement for up-
grading/extending the road network, although the paved network requires introduction of a
priority periodic maintenance programme.

There is a problem with the urban road capacity in Georgetown, which could most probably
be handled by traffic management measures in the short to medium terms, for which a de-
tailed study is recommended2.

In the medium term, attention may need to be given to the possibility of developing a ring-
road system to improve traffic flow and to avoid congesting the central area. The future
planning requirement in respect of the City Port operations and the DHB River crossing will
be investigated through further Feasibility study.

The road between Lethem and Linden will, in time, require funding for bridge replacement
and road upgrading. Further studies should been undertaken to determine the possible size,
timing and funding source, for such investments. Please refer to Annex 1, WP 26 Road Net-
work Development.

The Inter- American Development Bank is financing the rehabilitation of the key roads and
bridges on the core network, and the main infrastructure problem thus is to ensure that ade-
quate future financial provision is made for maintenance. This is a pressing and obvious
problem in the road sector.

Road transport infrastructure to support the further exploitation of bauxite, gold, diamonds,
and forestry, should be provided by means of a continuation of the present well-tried model
of concession contracts with the principal mining and forestry companies.

The Demerara Harbour Bridge, a 1.8 km pontoon crossing of the Demerara River, currently
makes only a small operating surplus. Ideally the bridge should be operated as a self-
supporting commercial operation free of price controls. If this is not possible on grounds of
customers' capacity to pay, or for other political reasons, then financing responsibilities
should be clearly set out, with open definition of regular subsidy arrangements if these are
considered necessary. (A ToR is available at WSG for a donor assisted Feasibility Study to
investigate the future cross Demerara River bridging options).

2 The Study should investigate improved road access to airports, the establishment of a modem con-
tainer terminal operation, etc.

XIV Guyana: Transport Sector Study


Final Report: Volume I Executive Summary Ports

Port capacity appears to need some enhancement. In the immediate future, a second mid-
stream berth is indicated on the Berbice River for bauxite operations. This will be funded by
the private sector.

No modem and efficient container terminal has yet been constructed in Guyana. Provisional
planning measures should be taken to enable such a container terminal to proceed, once de-
mand warrants it. A multi-purpose berth is suggested. Eventual investment funding would
most likely be a PPP arrangement. River Transport

There is a substantial backlog of construction, rehabilitation and maintenance in respect of
Navigational Aids. River maintenance dredging programmes should also be undertaken, if
economically viable. Furthermore, a priority wreck clearance programme3 needs to be im-
plemented, in order to ensure adequate maritime safety.

It is however noted that, whereas the comprehensive programme for the refurbishment,
overhaul and/or replacement of existing navigational aids consisting of buoys and beacons
could be funded by public sector, dredging works could be funded by the private sector, as
on the Berbice River.

Some financial provision should be made for maintenance of river transport assets. The in-
vestment needs and the method of funding for this project will be investigated when the
River Transport Study is implemented. The investment needs will vary according to the
mode of shipping selected, e.g. barge transport to Mother-ship at Georgetown, versus part-
loaded OGV transport direct from the docks in Linden.

Channel depth restrictions in the Demerara River and the approaches limit the size of vessel
which can be used for the export of calcined bauxite. It is thought to be technically feasible
to dredge the channel and to maintain the depth, though maintenance dredging would need to
be continuous. There is a prima facie case that the costs of dredging could be recovered in
substantial savings in shipping costs, and the question should probably be subject to a formal
feasibility study. The major, probably the only, beneficiaries would be the bauxite mining
companies at Linden. (The dredging analyses showed that the annual cost of maintenance
dredging for the originally dredged depth of -6.9m CD, is much in excess of the savings).

This could be an entirely private sector venture if barge transport were to be re-introduced,
although the bauxite company may press for a state contribution for river dredging and navi-
gation aids, if continued use is made of OGV's. In any event, the Government will have to

3Twelve wrecks have been recommended by MARAD for removal, as highest priority.

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decide how large a role, if any, it wishes to play in the provision of transport investment for
this venture.

If the project proved feasible, the Government would have to resolve whether to treat the
project as a public sector or private sector venture, and what contribution, if any, it would
make to the costs.

Terms of Reference are prepared under SS2. For a further description of the options between
Linden and Georgetown, see Technical Appendix V-13: Ports and Shipping Development in
the download area of the Website. Ferry Transport

A series of immediate operational actions are required on the Berbice to support (a) cross
Berbice ferry operations in the heavily trafficked period leading up to the opening of the
fixed river crossing of the Berbice, and (b) possibly the testing of a re-introduced river ser-
vice between Stanleytown and Ituni.

A series of immediate operational actions are required on the Essequibo to support cross
river ferry operations, and these can be directed separately at passenger and freight services.
The latter measures will include new stellings for passengers at Supenaam, and adaptation of
stellings for (Ro-Ro) system.

A series of medium-term investment actions are required on the Essequibo to support cross
river freight and passenger operations. Measures will include new stellings for the new Ro-
Ro and 60-80 passenger vessels. A series of immediate maintenance/rehabilitation actions
are required on the existing vessels used for ferry and coastal services. These include imme-
diate introduction of anti-fouling painting, review of fire extinction systems, provision of
lifeboats, and modifications to accommodation on the Kimbia.

A series of medium term investment actions are required on the Essequibo to support cross
river ferry operations. The latter measures will include purchase of up to 3 passenger vessel
(s) with a capacity of 50-60 passengers and a speed of 20-25 kph. Such vessels can currently
be bought second hand at a very attractive price, (for example ex. Russian market; alterna-
tively passenger vessels could be assembled from kit forms, in Guyana).

A series of medium term investment actions are required on the Essequibo to support cross
river ferry operations. The latter measures will include purchase of up to 2 Ro-Ro vessels for
service on Leguan Parika Wakanaam Supenaam route and the Parika-Bartica route.
Crude estimates would be some 2.0+ m euros per Ro- Ro vessel, plus associated Stelling in-
frastructure works. The highest priority would be for the introduction of the Ro-Ro vessel on
the Leguan- Parika route.

XVI Guyana: Transport Sector Study


Final Report: Volume I Executive Summary Airports

Airport capacity seems to be adequate into the medium term. At both of the main airports,
investment programmes currently under way appear adequate to cater for demand in the me-
dium term. At CJIA, Inter-American Development Bank funds have enabled improvements,
whilst at Ogle airport, private investor funds have been utilised. Some rationalisation or pri-
oritisation of rural aerodromes is suggested.

0.3.6 Public-Private Partnership

The Government is committed to the idea of public-private partnership. Guyana has a long
historical tradition of public private partnership (PPP) in the construction and maintenance
of road infrastructure and also of river / maritime port facilities. More recently, the concept
of public private partnership by way of "concession contracts" has gained increased atten-
tion in the state machinery. The maintenance of highways or the management of airports (for
instance, at Ogle) are the areas where maintenance concession contracts or management con-
cession contract are now rather common legal tools. Government should take steps to further
enhance their commitment to working with the private sector. The entry into force in Guyana
of legislation such as a "multipurpose concession law" or "model contracts" would not guar-
antee the passing of PPP agreements; but, at least, this may facilitate it.

0.3.7 Improvements in Rural Access

The main priority apparently is to introduce cost effective rural area accessibility improve-
ments within the Hinterland (Amerindian) areas.

Terms of Reference have been prepared under SS 3. Pilot Studies are proposed in this com-
ponent, in order to assist to assess how best to solve the problems of poor accessibility in
these areas. The enhancement of some key rural hub airports is also envisaged.

Furthermore, there is a need to introduce rural transport accessibility improvements within
selected agricultural areas in the Coastal Strip (Secondary and Farm-to-Market roads).

0.3.8 Support to the Tourism Industry

There is a need to promote tourism and to develop the necessary transport sector support to
the industry through, inter alia, the enhancement of nascent cruise shipping and yachting in-
dustries, encouragement of road transport services for major touristic events, such as the
cricket World Cup in 2007. Further TA support is envisaged.

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0.3.9 Rail Policy

There seems no rational basis for building new railway lines unless new and substantial
sources of traffic materialise. The possibility of the use of rail transport should be done as an
integral part of the industrial development, and should be designed, built, paid for and oper-
ated by the potential users, such as mining companies. Government involvement should
therefore be limited to ensuring that environmental, safety and other planning rules are ob-

0.4 Strategy Proposals

The strategy proposals outlined below are designed to address the problems identified above
and provide Guyana with a modem, efficient and flexible transport system that will help the
country to compete effectively in the global market place. The key to the effective imple-
mentation of this package is to ensure sustainable development in the transport sectors.

The strategic analysis presented here is directed at the transport sector, but there is one major
national issue, which affects all sectors, and which underlies many of the problems facing
the transport sector. This is the relatively poor state of government finances.

0.4.1 Government Finance

It is quite likely that the current situation will prevail and revenue will continue to cover
only the current expenditure, so that the Government will depend upon foreign resources
with regard to investment. The difficulty that the Government faces is that budget problems
limit the possibilities for additional government spending in the sector, and make it difficult
for the Government to sustain its existing commitments.

One consequence of these budgetary constraints is that there will be increasing use of user
charges, and there will be an increasing pressure to sell-off, commercialise or restructure,
state enterprises, in order to raise money and to reduce future demands on the budget.

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Final Report: Volume I Executive Summary

Key elements of the Strategy are:

0.4.2 Promotion of Competition

* Establish modernised licensing systems for ferry transport services, and for associated
infrastructure and maintenance; and
Foster competition in air transport between CJIAC and Ogle by permitting market
forces to prevail.

0.4.3 Transparency Measures

* Audit and publish for the public domain annual financial data for all public transport
bodies (including MARAD, THD, GCAA, CJIAC, DHBC also Roads Authority when
established), covering all major income and expenditure items; and
Compile and publish key operational data for all transport modes, including roads, fer-
ries, shipping, port operations and air transport.

0.4.4 Efficiency Measures

* Set deadline for financial autonomy of CJIAC;

* Set deadline for implementation of Civil Aviation Act regulations;
* Define Aerodrome Public Service Obligations;

* Establish a Port Council for Georgetown and strengthen MARAD corporate planning;

* Establish THD as a more autonomous and independent entity with clearly defined re-
Establish explicit Coastal Shipping Service (Kimbia) and Ferry Public Service Obliga-
Encourage provision of large bus services which can reduce fares on busy routes;

Rationalise urban bus routes /terminals in Georgetown; and

Improve enforcement of traffic regulations (leading to better road safety standards and
traffic management). Introduce better signing for road safety and clearer parameters for

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Final Report: Volume I Executive Summary

0.4.5 Sustain ability Measures

* Ensure regular and adequate funding for maintenance (routine, recurrent, periodic main-
tenance) of the maintainable road network;
Install Weighbridges and operationalise them at strategic locations operated by public/
private sector;
Revise appropriate legislation and road traffic regulations to define permissible gross
vehicle weights and axle loads (for modem axle configurations);
Modemise vehicle weights and dimensions legislation;

Increase taxation on heavy vehicles;

Undertake comprehensive review of fees, user charges and subsidies, especially in road
and ferry sectors;
Bring Minibus, Ferry and Bridge crossing fares under control of the Public Utilities
Commission; and
Establish River Transport Authority, as part of MARAD. Rehabilitate the main river in-
frastructure and enhance operations.

0.4.6 Safety Promotion

* Introduce institutional improvements in areas of Air Transport Safety and Air Naviga-
tion Services;
Ensure use of seat belts and limits on driver use of alcohol and drugs;

Increase effectiveness of regular vehicle inspections;

Increase technical capacity of police and MPW&C; and

Replace missing navigation aids and markers, and ensure all are in working order. Re-
view whether additional navaids are required. Remove dangerous wrecks.

0.4.7 Environmental Protection

* Monitor air quality in Georgetown;

* Set legal limits on vehicle emissions;
* Establish and control environmental standards in ports;

* Reduce congestion in urban areas and improve traffic flows on roads of all categories.
Regulate (reduce and control) speed limits in rural settlements;

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Final Report: Volume I Executive Summary

* Organise the disposal of car wrecks and waste oil. Introduce respective legal require-
ments; and

Conduct further research into Alternative Fuels.

0.4.8 Regional Integration

* Secure and implement international transport agreements; and

* Foster IIRSA links to Brazil, Suriname and Venezuela.

0.4.9 Infrastructure Rehabilitation and Construction

* Improve road access to airports. In particular consider alternatives for ensuring regular
un-delayed access to CJIA and Ogle;
Rehabilitate remaining parts of the main road network;

Strengthen Road Maintenance;

Improve crossings of Berbice and Demerara Rivers;

Rehabilitate parts of the Georgetown road network;

Strengthen the 'Concessionaire model' for mining and forestry roads;

Move towards establishment of a modern container terminal operation;

Construct a Second Mid Stream Berth on Berbice River for Bauxite Operations;

Rehabilitate Navigation Aids and implement viable river maintenance dredging pro-
Rehabilitate NW Coastal Service and Essequibo River Ferry Infrastructure; and

Introduce new River Transport and Ferry Vessels

0.4.10 Promotion ofRuralAccess

* Assess functionality of regional aerodromes and determine which should be prioritised
for investment, which maintained for social development, and which closed down. De-
termine how best funding arrangements can be made for each of these categories. Also
determine whether regional aerodromes should be maintained through CAA or through
Introduce Rural Area Accessibility Improvements in Hinterland Areas; and

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Final Report: Volume I Executive Summary

* Introduce phased rural transport improvements in coastal strip (Secondary & Farm-to-
Market roads).

0.4.11 Promotion of Tourism (Transport Sector Support)

* Enhance support to nascent cruise shipping and yachting industries through a focused
TA programme; and

Encourage road transport service development for events such as the cricket World Cup.

0.4.12 Linkage to the NDS and PRS

The TSS has therefore sought to build upon, and complement wherever possible, the two
major preceding policy documents (the NDS and PRSP). At the same time, the TSS has
aimed to add much greater specificity to the embryonic Transport Strategy within the NDS.
Through elaboration of several variants of its indicative investment and maintenance pro-
grammes (see TA.28 in the download area of the Website) the TSS points to the need to
achieve an improved rate of GDP growth, (see TA 5 debt sustainability / macro-economic
constraints in the download area of the Website) if Guyana is to benefit from an improved
and enabling transportation environment. The evolving linkage to the NDS and the PRSP are
indicated in WP30 (Figures 7.1 to 7.3, inclusive).

A Policy Matrix, which summarises the relevance, feasibility and sustainability of each
component of the proposed policy, is shown in Table 2-1.

0.5 Implementation Programmes

In order to implement the Strategy, an Indicative Investment and Maintenance Implementa-
tion Programme has been drawn up in three scenarios.

The 'Scenario 1 Heavily Constrained Scenario' shown in Table 0-1 consists of 31 individual
projects and the total cost is c. 160.0 million and the Programme will take some 10 years to
complete. The 'heavily constrained budget' programme could be considered as the minimum
level of investment that is needed in the sector (far below what is believed to be ideal). TA is
some 4.5% of the programme total.

An 'Unconstrained Investment and Maintenance Implementation Programme' as per Table
4-1 in the main report, which would fund all or most of currently identified transport sector
projects (37 items), would have a total cost of c. 380.0 million.

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Final Report: Volume I Executive Summary

The 'Moderately Constrained Scenario' shown in Table 4-2 in the main report has been
based on adjustments to the Unconstrained Scenario. The asterisked items have been reduced
in value, either by choice of a lower-cost option, or because the proposed programme will
now no longer be completed by 2015.

Further details are given in Chapter 4 and Technical Appendix V-28 in the download area of
the Website.

An accompanying TA Implementation Programme is included with donor assistance re-
quired, with consulting services and technical assistance. The total cost is some 7.0 million
and the Programme will take at least 5 years to complete. Further details are given in Chapter
4 and Technical Appendix V-28 in the download area of the Website.

Although the programmes have been drawn up as a coherent whole, which attempts to bring
a consistent direction to all aspects of transport sector strategy, the successful implementa-
tion of any of the components would, by itself, be beneficial. However, the success of the
Programmes will depend critically on the Government's commitment to carrying them out.

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Guyana: Transport Sector Study

Table 0-1: Summary of Indicative Investment and Maintenance Implementation Programme (Scenariol Heavily Constrained Budget)

Aci tiT, C 3I.gory

Sub C 31gory

In,,-|lm ni Funding

Poilnnai ol3 ICi Po .l .... O .
Donor Euro [Miill I

Core Maintenance Programme

Linden Lethem Highway IIRSA Group 2

Venezuelan FS IIRSA Group 3

Rural Transport: Amerindian Areas

Farms to Market Roads: Core Areas

Development Roads: Non Core Areas
Multi -purpose Terminal

Second Midstream Terminal Berbice

Transshipment/ Small Ports on Other Rivers

Navigation Aids

Wreck Clearance

Vessels for River Transport Authorityl MARAD
Vessels: Essequibo Ferries and Kimbia


Stelling Infrastructure
Air Transport
Rural Aerodromes Hub and Spoke

Provision for an upgraded runway at Timehri
Navigational Aids and Radar, Timehri
Extension of Ogle Airport Runway
Urban Transport
Provision for Traffic Management Improvement

Minibus Terminal Areas/ Parking Areas

Provision of Urban Roads



Comments on TOR Preparation



Maintenance/ Construction

Study (Pre-Feasibility)
Study (Full Feasibility)






Replacement of Old Ferries

Deferred Maintenance (Immediate


Rehab/ Construction of Hubs

Installation of Equipment





Government (Acrow Stockpile)
Public (together with Brazil)
Joint Funding with Private Investor

Joint Funding with Private Investor



Private (with some Public Sector Support)

Public (with Private Sector consultation)
Public (with Private Sector consultation)
Public / Private
Public / Private


Private/ Public
Some Private/ Some Public







Public/ Private





Undertake HDM4 Programming of Periodic Maintenance
Implementation of Periodic Maintenance Programme
Indicative planning and execution of follow-up programme

Immediate Replacement of Timber Bridges
Research Component A Lower Cost Construction Works
Research Component B Maintenance Practices
FS for Road Rehabilitation/ Construction, with Safeguards
Implementation of Constuction, with Safeguards

Transport Sector Study to provide guidance
Undertake FS for Road Construction
Implementation of Constuction, with Safeguards

PRSP Support
Small Scale Interventions, on Pilot Basis

PRSP Support
Small Scale Interventions on Pilot Basis

Develop Schemes led by Private Mining/Forestry Investors

Evaluation of Alternative Sites and Approximate Costs
Site Selection & Feasibility Study /Technical Support MARAD
Implementation Infrastructure
Implementation Superstructure and Equipment

Site Selection

Preparation and Analysis of Sites
Corentyne/ Essequibo/Mabaruma/Berbice (Demerara)








Implementation (Indicative Timing)
Implementation (Indicative Timing)



Definition of roads, feasibility studies

- -





- -



- ----m


- -

- -


- -




- -


- -

12 80

(See notes in the main text)

Total Investment and Maintenance (Excluding FS) Million Euro

Guyana Transport Sector Study


Final Report: Volume I Executive Summary

Table 0-2: Summary of Indicative TA Implementation Programme Components, In-
puts and Budget

Ref. Description Lead Agency Donor Total Cost
Assistance (Euro)
1 Regulation of Public and Urban Road Transport GCC Y 259,520

2 Waterways development (Restructuring of THD/ MARAD THD/MA- Y 2,427,000
Support) RAD
3 Rural Transport Study MOLG/RDC's Y 398,500
4 Legal and Regulatory Support MPW&C Y 410,500

5 Transport: Tourism Support Programme MPW&C/ Y 74,750
6 Demerara Harbour Bridge Study MPW&C Y 531,000

7 Development of Computerised Intermodal Transportation CTPU/WSG Y 451,750
System, Planning and Data Management including hard-
ware & software
8 Evaluation and Development of Transport Policies CTPU/WSG Y 236,000

9 Inter-institutional and Inter-disciplinary Coordination (Ca- CTPU/WSG Y 225,750
pacity Building Measures)
10 Enforcement of Road Traffic Laws and Regulations (Ca- GCC GP-TD Y 156,500
pacity Building Measures)
11 Flight Operations and Safety (Capacity Building Measure) GCAA Y 77,000

12 Redundancy Retraining Package (Capacity Building THD Y 21,250
13 Conceptual Urban Transport Plans for Main Cities CTPU/WSG Y 528,125

14 Support to Road Safety Unit WSG Y 662,000

15 Review of RMMS/Establishment of RA WSG Y 519,000

16 Support to Institutional Quality Control and Assurance WSG Y 102,250
17 Social and Environmental Monitoring of Investment and WSG Y 140,825
Maintenance Projects
Total Cost (Euro) 7,221,720
MPW&C Ministry of Public Works and Communications
MINTIC Ministry of Tourism,, Industry and Commerce
MOLG&RD Ministry of Local Government & Regional Development
RDC Regional Development Council
GCC Georgetown City Council
GP-TD Georgetown Police: Traffic Department
GCAA Guyana Civil Aviation Authority
WSG Work Services Group
MARAD Maritime Affairs Department
THD Transport and Harbours Dept.
CTPU Central Transport Planning Unit
Note: the Indicative TA Implementation Programme Components shown above should be regarded as
provisional, and would be refined further by Donors/GoG.

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Guyana: Transport Sector Study

Final Report: Volume I Executive Summary

0.5.1 Monitoring and Evaluation

The progress of the physical works implementation aspects of the Programme (such as road
maintenance, Stelling construction) and supply contracts (such as vessel and navigation Aids
supply) can be monitored by conventional cost and budget monitoring systems. Monitoring
policy impacts is more difficult and will require careful (and possibly expensive) baseline
studies to establish the initial basis of comparison. Indicators of impacts will include meas-
urement of road conditions and long-run operating costs of the transport entities. Indicators
of impacts will include, for example, measurement of road conditions and traffic, and the
long-run operating costs of the transport entities such as the DHBC, CJIAC, etc.

0.6 Conclusions

The transport strategy outlined here are designed to address the problems of the transport
sector through a mixture of regulatory reform, measures to encourage competition and meas-
ures to ensure the long-term sustainability of transport sector infrastructure and equipment.
The policy also incorporates measures to reduce the environmental impact of transport op-
erations and to ease traffic congestion in Georgetown.

The proposals are in line with the general direction of government policy, but will need to be
ideally endorsed by Parliament and in respect of detail by the Ministry of Public Works and
Communications. In this respect, it is noted that MoF is currently negotiating with the IDB
the capability to borrow money for infrastructure maintenance. Implementation will involve
an extensive programme of institutional strengthening. The donor community can assist this
process with the provision of technical assistance and consulting services.

There is also an evident need to rehabilitate some elements of the transport infrastructure and
to construct some missing elements. The construction of the Berbice River Bridge is already
committed, but a portion of the main road network also requires some rehabilitation and it is
also necessary to carry out some Stelling infrastructure works and vessel replacement within
the ferry sector. The donor community may wish to consider funding some key elements of
the rehabilitation, construction and maintenance components; provided they are satisfied
both that progress is made on strategy implementation and that the institutional and financial
capacity to maintain the rehabilitated infrastructure is in place.

Regarding the Brazil and Venezuela roads, for instance, it is understood that, while govern-
ment would support studies (in the case of Venezuela to be done together with Venezuelan
private sector interests next year); GoG would also expect construction of both the Brazil
and Venezuela roads to be financed largely by the private sector.

XXVI Guyana: Transport Sector Study.....

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Guyana: Transport Sector Study

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