NDP Administration moves to privatise the TB Lettsome Airport!
Word of this has come from this news site’s traditional senior NDP sources who often call our news room to provide us with information.
Background to this decision
It is our news room’s understanding that many of the recent bids that came in to extend the runway of the Terrance B. Lettsome International Airport were between 150 to 195 million US dollars.
Many in the administration saw this price tag as too costly; however, an alternative was offered to the Cabinet of Premier Dr The Honourable D. Orlando Smith to have a new formula whereby companies are now asked to bid to Build, Own and Operate (BOO) the entire facility for an undetermined number of years.
The details are yet to be worked out as there are three companies with bids due to be opened and finalised by April 2015.
It could mean that all departure taxes, assets and revenue of the airport will be owned and controlled by a private overseas company for years to come. It could also mean that all employees under the new arrangement could be let go, as the new owners could have the right to hire whoever they want. It remains unclear what would be the cost of this to tax payers in this new arrangement.
The airport runway expansion is a pet project of Deputy Premier and Minister for Natural Resources and Labour Dr The Honourable Kedrick D. Pickering (R7) who holds the portfolio of Airports.
Critics of runway expansion
Hon Pickering often updates the House of Assembly on progress made on the Airport. Since taking office, the NDP Administration has described the project as a “done deal” meaning, regardless of the people’s views, it will happen.
Critics of the new airport runway extension claim that we do not need a runway extension, as the money could be used to build a mini-hospital on Virgin Gorda and not just an upgrade to the clinic as the current government is proposing to do. They also said that money could be better spent helping and subsidising the ferry services to improve sea transportation between the Virgin Islands (VI) and the United States Virgin Islands (USVI) as many of the travelers and tourists still go through St Thomas in the USVI to get to the VI.
The many critics of the airport expansion also spoke to the environmental issues and closing off the Trellis Bay area on Beef Island which are prime fishing grounds.
Controversy also erupted when one of the first orders of business done on the concept for the Airport Project runway extension was to hire Trinidad and Tobago national and former Public Works Department Boss Winston C. Wilson who was making half a million dollars a year. It remains unknown if he is still assigned to the project.
However, Dr Pickering has pushed back criticism on the project by saying it is time the VI has direct flights to mainland USA.
Privatisation of airport worse than Biwater
Many persons who were told of this new direction to have a private company own and operate the airport asked openly what is the difference between this deal and the Biwater one? They claimed that if a private company is given the right to Build, Own and Operate the Airport it will be far worse than the Biwater deal because the cost to the company could be close to 200 million dollars, which means they will own the airport for about 99 years.
Janet K. Williams, a resident of Spy Glass Hill on the Western side of Tortola, said “this issue needs public discussion and we need to know more about the details even before the tenders are opened.”
Ms Williams, who is from the Midwest USA but has been living in the VI for over 30 years, told our news room “we could be giving away our children’s future for generations to come….in fact the government has no more credibility to talk about the Biwater agreement as this one sounds 100 times worse.”
Others who did not want their names to be used for fear of victimisation said “this stinks but it’s typical NDP giving away the country to their rich friends.” According to information obtained by our news room, the three bidders are all foreign companies who had originally bid to expand the airport runway.
Feedback from Officials
Calls to Minister Pickering went unanswered up to post time. Permanent Secretary in the Ministry of Natural Resources and Labour Mr Ronald F. Smith Berkeley, when contacted by this news site said, “That is something I cannot reply to…the Minister has made certain statements and I cannot reply to that.”
Our news room will bring your more details as they become available.
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81 Responses to “NDP Administration moves to privatise the TB Lettsome Airport!”
The airport expansion cannot happen without a BOOT (build, own, operate, and transfer, not BOO) type arrangement. At the end of the agreement, the airport transfers back to the people of the VI
However, the one thing that the NDP just cant seem to get right is timing and PR. Even though important why bring these things forward during an election year, especially if you had 3 years prior to do it
- this proposed BOOT arrangement
- NHI
- HSA fee increases
Sounds like a death knell.
Biwater is not the only no tender water agreement, not a single water agreement in the territory was ever tendered. Why this is news, is because of NDP propaganda
- competitive tendering so that we can have the best deal (because another project was not tendered, that does means that this one shouldn't, especially for a vital service. Look how transparent bviec is, with their contracts)
- the govt itself investing in the water infrastructure (distrbution pipes, storage tanks) as that is a major part of the problem even when OC was providing the service.
Instead of cherry picking an external company and providing it with more than favourable terms, if you were going to bypass the tender route, we already have 3 water companies (OC, Hydro Management and Acqua Design), why not negotiate with one of them?
Simply put, Biwater was brought in to destroy OC. (BTW, I am neither NDP, VIP, PEP, PPA or whatever).
your fined $500.00 for this grammar offence.
NDP do not discuss anything with the public. They do as they please. Whatever they say.... goes.
Again. Money is fiat. Real estate is real. Why do you think it is called 'real' estate?
Darn, it 's not easy living in the BVI anymore.
It looks like you are totally clueless to happenings and trends in the world. So before you get off calling people illiterate, you should go do some research and read up and learn what is happening out there in the real world and take your head out of the sand. This is a smart move!! So I sincerely hope the other 8 people in your household are independent thinkers and do not subscribe and latch on to the stupidness you are spewing out here. That would truly be a disgrace.
Do the people of the BVI have eyes? Can they see? Is their vision? For to have eyes to see and then to do nothing is pathetic and foolish.
Wake up people, stop daydreaming,contemplating, making big talks and evetually accomplishing nothing. We ought toknow by now where we want this country to go, if it is FORWARD then we need to chart a course and get up and get moving in that direction. Action and vision.
One does not have to look to far or hard to see that the driving force behind this venture has nothing to do with what really matters, it has to do with satisfying the wishes of the wealth few who own a number of our islands and who travel by way of their private jets from Europe and the U.S.A. to the BVI. To achieve their objective, which is, non stop flights in their private jets between the above mentioned points, additional fuel up lift will be necessary. This increases the weight of the aircraft, hence a lengthened run way without which the aircraft's insurance policy becomes an issue.
I am deeply disturbed by this proposal since with a little more thought, our air transportation services can be satisfied without plunging the Country into deeper debt or giving away our children inheritance.
Why Fatten St Thomas Port Authority pockets when the money could come here from landing fees etc.
a lot of folks don't like to travel on those ferries when waters rough too.
It's quite feasible to assume that landing fees, surcharges, franchise fees, parking fees and similar, and an array of other creative fees will be created in order to create a revenue stream to service the debt. As a result, the cost of air travel is highly likely to increase for a long time to cover the debt service and for the private entity to turn a profit.
Additionally, one must consider the strategic significance of a non-government entity controlling the only airport. This risk must be assessed as part of the overall discussion.
Just some food for thought.
So it is admitted that the Water agreement itself was pretty bad in its own right, eh? And since there is something "considered even worse", the water agreement gets a free pass, hmmm?