OPEC Cuts Oil Production By 1.2 Million Barrels

[Redman]

it not mantra, it's reality. it's been reality for years. are we meeting that reality?

Those who cant grasp the basic economics of power generation fall for the mantra every time. Hook line and sinker.

The real story of green power iz that its largely a transfer of wealth from the poor to the 1%

Thats the reality.

that's the not point. if other countries stopping on importing oil/gas, then there is less scope for export. this affects T&T and all other countries that are energy-based. What you think the implications are for T&T if oil prices are at $30 for next thirty years?

Excellent...since we import about 100,000 Barrel s of oil every day.
Do the math.

[desifemlove]

it not mantra, it's reality. it's been reality for years. are we meeting that reality?

Those who cant grasp the basic economics of power generation fall for the mantra every time. Hook line and sinker.

The real story of green power iz that its largely a transfer of wealth from the poor to the 1%

Thats the reality.

that's the not point. if other countries stopping on importing oil/gas, then there is less scope for export. this affects T&T and all other countries that are energy-based. What you think the implications are for T&T if oil prices are at $30 for next thirty years?

Excellent...since we import about 100,000 Barrel s of oil every day.
Do the math.

ent the budget based on the oil price? importing...one needs FOREX to import. How does one gain FOREX, or how do WE gainn FOREX? the issue is still diversification, and low oil prices would be good for countries like France or Germany that have little crude oil, not for T&T.

[desifemlove]

it not mantra, it's reality. it's been reality for years. are we meeting that reality?

Those who cant grasp the basic economics of power generation fall for the mantra every time. Hook line and sinker.

The real story of green power iz that its largely a transfer of wealth from the poor to the 1%

Thats the reality.

that's the not point. if other countries stopping on importing oil/gas, then there is less scope for export. this affects T&T and all other countries that are energy-based. What you think the implications are for T&T if oil prices are at $30 for next thirty years?

Excellent...since we import about 100,000 Barrel s of oil every day.
Do the math.

ent the budget based on the oil price? importing...one needs FOREX to import. How does one gain FOREX, or how do WE gainn FOREX? the issue is still diversification, and low oil prices would be good for countries like France or Germany that have little crude oil, not for T&T.

[Redman]

Cheaper oil.means we spend less on importing oil.
100,000 every day.
Lower subsidy.

Every usd we DONT spend on importing oil is available for other use.

So every dollar move in WTI implies a $100,000 USD difference.
Daily.
Or 36.5 M usd per year.

I would say that's significant.

It's contradictory but it's the truth...that we benefit from lower prices

I would also.say that we need to reset from.the massive budgets that the PP ran ...over heating the general economy.
If as many say govt waste and stealing is prevalent...then we don't get the benefit....

Smaller govt...larger private sector.
Less dependence on govt largesse through large budgets.

[desifemlove]

this would have an effect. but then since most growth comes from the energy sector, including most FOREX and FDI, then it stands the country has to diversify. this is key, nothing else. Even still, oil producers won't benefit from lower prices to the degree non-producers do.

[Miktay]

this would have an effect. but then since most growth comes from the energy sector, including most FOREX and FDI, then it stands the country has to diversify. this is key, nothing else. Even still, oil producers won't benefit from lower prices to the degree non-producers do.

Keep on waiting for Big Gubbament diversification by decree.

It coming just now.

Any day now.

Soon come.

Wake mih when it reach.

[desifemlove]

private sector cannot do it alone. why then hasn't the private sector done it? they're in they comfort zone.

[Miktay]

private sector cannot do it alone. why then hasn't the private sector done it? they're in they comfort zone.

Notwithstanding the coca trade...why do we have a small ship repair industry in Chag?

Why do we have the Asa Wright eco-tourist site in Arima?

The market economy creates opportunities for those who seek them. Big Gubbament handouts get in the way of sustainable diversification.

[sMASH]

Self sustainable... u need more entrepreneurs

[eliteauto]

private sector cannot do it alone. why then hasn't the private sector done it? they're in they comfort zone.

Notwithstanding the coca trade...why do we have a small ship repair industry in Chag?

Why do we have the Asa Wright eco-tourist site in Arima?

The market economy creates opportunities for those who seek them. Big Gubbament handouts get in the way of sustainable diversification.

Yes to the first part, yes and no to the second. Concessions and incentives can greatly assist entrepreneurs to get their businesses off the ground, the problem from a local perspective is access to same can be tainted by nepotism, racism,bureaucracy etc. That's why I advocate for non-capital incentives to encourage diversification and entrepreneurship. Such incentives (there are some in place already) also need to have their processes streamlined because the world now works on time and our systems take too long

[Miktay]

private sector cannot do it alone. why then hasn't the private sector done it? they're in they comfort zone.

Notwithstanding the coca trade...why do we have a small ship repair industry in Chag?

Why do we have the Asa Wright eco-tourist site in Arima?

The market economy creates opportunities for those who seek them. Big Gubbament handouts get in the way of sustainable diversification.

Yes to the first part, yes and no to the second. Concessions and incentives can greatly assist entrepreneurs to get their businesses off the ground, the problem from a local perspective is access to same can be tainted by nepotism, racism,bureaucracy etc. That's why I advocate for non-capital incentives to encourage diversification and entrepreneurship. Such incentives (there are some in place already) also need to have their processes streamlined because the world now works on time and our systems take too long

Well u understand part of the problem with Big Gubbament. Who decides which projects/entrepreneurs get incentives and concessions? Based on what criteria?

Even if the selection process iz not tainted with corruption and/or nepotism...it requires State bureaucrats to make a judgement call about the future viability of a product or service.

Thiz iz generally not part of the skill set of a State bureaucrats. Thats why most Big Gubbament handouts fail 2 generate future economic viability.

See ISPAT.

BTW What are non-capital incentives?

[eliteauto]

Non-capital incentives are those which do not require the State to invest significant sums towards the end result. A lot of SMEs and large businesses in T&T seem to link their success to State contracts as such they look to each Budget presentation for economic stimulus via State mega projects, look at the reaction of the various Chambers of Commerce after every budget to see what I speak about. Given the current cash crunch now is the time for the private sector to adapt to more forward thinking and innovative processes where the State's input would be via policy changes not capital injection. Create new products, seek new markets, change methods of production and inputs.

Recently I highlighted the disparity and disconnect between the policies elucidated by the Finance Minster in Parliament vs the implementation in ministries with specific reference to the tourism industry which is my field. What the State needs to do is facilitate entrepreneurship and private sector investment and not be the main driver of the economy especially in these times

[Miktay]

Non-capital incentives are those which do not require the State to invest significant sums towards the end result. A lot of SMEs and large businesses in T&T seem to link their success to State contracts as such they look to each Budget presentation for economic stimulus via State mega projects, look at the reaction of the various Chambers of Commerce after every budget to see what I speak about. Given the current cash crunch now is the time for the private sector to adapt to more forward thinking and innovative processes where the State's input would be via policy changes not capital injection. Create new products, seek new markets, change methods of production and inputs.

Recently I highlighted the disparity and disconnect between the policies elucidated by the Finance Minster in Parliament vs the implementation in ministries with specific reference to the tourism industry which is my field. What the State needs to do is facilitate entrepreneurship and private sector investment and not be the main driver of the economy especially in these times

Am not sure what u mean. Policy changes can affect the private sector as much as monetary handouts and incentives.

Either way it still requires Big Gubbament to be the arbiter of the future viability of projects.

And that generally leads to market distortions which are exploited by those who can.

Caramba. Back to square one.

[eliteauto]

Yes policy changes can affect the private sector, it's intended to facilitate growth without sucking at the the State coffer titties, that is where we need to head instead of the current dependency. There is no way to completely eliminate the States influence, nor should there be, the State has their role even in the most capitalist of countries there is regulatory framework.

[desifemlove]

Non-capital incentives are those which do not require the State to invest significant sums towards the end result. A lot of SMEs and large businesses in T&T seem to link their success to State contracts as such they look to each Budget presentation for economic stimulus via State mega projects, look at the reaction of the various Chambers of Commerce after every budget to see what I speak about. Given the current cash crunch now is the time for the private sector to adapt to more forward thinking and innovative processes where the State's input would be via policy changes not capital injection. Create new products, seek new markets, change methods of production and inputs.

Recently I highlighted the disparity and disconnect between the policies elucidated by the Finance Minster in Parliament vs the implementation in ministries with specific reference to the tourism industry which is my field. What the State needs to do is facilitate entrepreneurship and private sector investment and not be the main driver of the economy especially in these times

Both UNC and PNM been saying that for decades. there has been no progress

[eliteauto]

the onus isn't on any party, it's on the private sector and now more than ever it's on the budding entrepreneurs. Many of you have been conditioned to blame the Government for everything. When I say the biggest CEPEP is the private sector few understand. When the PM says stop depending on the Gov't ppl spin it to mean the PM say dey eh building roads. The longer energy prices remain depressed the more business models gonna have to adapt or die. BTW there exists NCIs already so the Gov't has done their part it's up to persons to seek, identify and exploit them. Certain business elites do and the rest of us grumble bout dem is Gov't financiers

[desifemlove]

Government does have a role though, it should at all times facilitate a sound business environment. the private sector is very risk averse, and only does things in its own comfort zone. it needs a wholly new redefinition of the government's micro-economic strategy (if it has one...) to try and envision how to diversify and rely less on government. It's economic development 101, there needs to be encouragement by the state initially until the private sector can be weened off. The late Manning's 2020 document was a positive step, and we need something similar, since there has to be a plan to create this.

[bluesclues]

Cheaper oil.means we spend less on importing oil.
100,000 every day.
Lower subsidy.

Every usd we DONT spend on importing oil is available for other use.

So every dollar move in WTI implies a $100,000 USD difference.
Daily.
Or 36.5 M usd per year.

I would say that's significant.

It's contradictory but it's the truth...that we benefit from lower prices

I would also.say that we need to reset from.the massive budgets that the PP ran ...over heating the general economy.
If as many say govt waste and stealing is prevalent...then we don't get the benefit....

Smaller govt...larger private sector.
Less dependence on govt largesse through large budgets.

So we importing oil?

This is an interesting turn in discussion... considering... eh redman?

[Redman]

Yes we have been importing for decades.
We also export a small amount and produce some..
It will only be a.surprise to those that think oil is converted to Nat Gas in order to power electricity generation.

[bluesclues]

Yes we have been importing for decades.
We also export a small amount and produce some..
It will only be a.surprise to those that think oil is converted to Nat Gas in order to power electricity generation.

Mmm k i will leave that there. We all cant be expected to know everything. Earth and life is a learning experience. One of these days i have t take a tour of powergen crude oil direct electricity plant yes. That is some real high technolgy there.

[Redman]

High is right...

A co on the East coast has a concession from the MOE to export crude since it is a very high quality crude.
I believe it's a unique arrangement..and a relatively small amount.
Rationale for this is that generally..Petrotrin pays a producer a figure per BBL that is based on WTI.The pricing structure ignores the quality of crude.
The crude that is exported is closer to Brent in terms of quality.
So the operator made a case since at that time the Brent/WTI spread was wide..they could have attracted significantly higher prices outside, and therefore it was more beneficial to ALL to export, and get a higher price,and royalties based on that price.

That's my understanding...if anyone has different information...I would like to hear it...