TERMS OF REFERENCE
GUYANA PETROLEUM RESOURCES GOVERNANCE AND
MANAGEMENT PROJECT
(P166730)
CONSULTING SERVICES FOR PETROLEUM COMMISSION NEEDS ASSESSMENT
1. BACKGROUND
As Guyana moves into a new chapter of history as an emerging petroleum producing nation, sustainable development lies at the core of the Government of Guyana’s goals for the sector. Being keenly aware that petroleum is a non-renewable resource, considerations related to its extraction and conversion into financial capital highlight the requirement and responsibility to ensure that the resource is prudently managed, from the time petroleum ‘appears’ at the wellhead, for the long-lasting benefit of Guyana. In developing the policies, legal framework, institutions and systems to oversee and manage the sector, the Government of Guyana is committed to ensuring that this framework allows both present and future generations to reap the benefits.
Guyana’s petroleum sector is progressing swiftly with first oil expected in 2020. This planned petroleum development, coupled with ongoing assessment of new discoveries, has led the Government of Guyana to focus on ramping up preparations to oversee the upstream sector (exploration, development and production); to develop policy and legislation, to build up internal capacity building, to promote governance and transparency, and to undertake financial and economic planning.
The proposed Guyana Oil and Gas Capacity Building Project (the ‘Project’) is supported by the World Bank and aims to enhance the Government’s capacity to achieve its management goals for the petroleum sector through interventions focused on enhancing legal and institutional frameworks and strengthening the capacity of key institutions to manage the oil and gas sector in Guyana.
2. OBJECTIVE
The objective of this assignment is to support the Department of Energy, and other key government stakeholders by providing detailed advice towards the establishment of an independent upstream petroleum regulatory authority – Petroleum Commission – in Guyana.
3. SCOPE OF WORK
1. Background review: The Consultant will review the Constitution, the existing petroleum legal and regulatory framework – including the Petroleum Commission Bill, the Petroleum (Exploration and Production) Act, and Petroleum Production Sharing Agreements (PSAs) – and the existing public services legal and regulatory framework – including Public Service Rules, Labour Act, and Pensions Act.
2. Benchmarking: The Consultant will analyze and summarize the experience of new producing countries in establishing a new upstream petroleum regulator. The countries selected for study should include those with similarities to Guyana in terms of the level of economic and social development, political and institutional structures, and the future size of the petroleum sector.
3. Organizational plan: Upon completing the background review and benchmarking, the Consultant will recommend an action plan for the institutional design of the future petroleum regulatory authority in Guyana and its operationalization, including:
a. Organizational structure and design (including the rationale);
b. Key business functions;
c. Staffing numbers, job profiles and reporting lines, competencies, salary band widths and recruitment schedule, categorized and phased in Tiers (minimum 3 – reflecting short, medium, long term);
d. Petroleum data management requirements;
e. Estimates of capital and operating costs;
f. Options for revenue sources, including recommendations for gap closure, if any;
g. Develop human capacity building strategy utilizing sources from diaspora, temporary seconded staff, training and formal civil servants’ transfers and make recommendations
h. Provide an internal and external communication protocol facilitating due diligence process of investors and a grievances handling mechanism.
i. Roadmap showing how the business functions, organization, staffing, data management capacity, and budgetary requirements of the regulator would develop as the petroleum sector and governance structures mature.
4. Implementation support: The Consultant will assist the client in the initial implementation of the institutional development plan. This will involve recruitment of staff, organizing training, developing job descriptions and terms of reference, etc.
5. Stakeholder capacity building: The Consultant will provide training and capacity building support to the Department of Energy and other government stakeholders regarding the development and operationalization of an upstream petroleum regulator.
4. DURATION OF ASSIGNMENT
The Consultant’s work is expected to require 120 days over a period of six (6) months, commencing ……. 2019, during which time the Consultant is expected to be physically present in Guyana for at least 10 days per month.
5. DELIVERABLES
The Consultant shall submit the following deliverables both in soft copy and hard copy in English in accordance with the following tentative time schedule, to be defined in consultation with the client:
1. Inception report on the methodology, data requirements, detailed work plan to be delivered within two (2) weeks upon contract effectiveness.
2. Draft report. Within (2) months from commencement date. Draft overall action plan for the institutional design and operationalization, including benchmarking analysis.
3. Final Report: Finalized overall action plan for the institutional design of petroleum regulatory authority and its operationalization.
In addition, the Consultant may be requested to provide presentations at workshops and other ad hoc deliverables needed to achieve the objectives of the assignment.
The Consultant’s recommendations must be consistent with the World Bank’s safeguard policies. The Consultant is expected to maintain regular communication with the client, and other relevant officials. The advisory services shall be carried out with a participatory approach and involve the Client’s staff in all stages of the activities to discuss, analyze, and validate the progress and conclusions of the work.
The Consultant shall make its own arrangements for carrying out its services, including accommodation, transport, health insurance, document(s) translation/reproduction.
6. EXPECTED EXPERIENCE AND REQUIRED QUALIFICATIONS
To be eligible for the assignment the Consultant should exhibit:
1. At least 15 years’ relevant experience, including experience in providing advisory services in emerging economies on petroleum sector policy, petroleum sector institutional development and operationalization, petroleum regulations and governance.
2. Prior experience working as an upstream regulator is a plus.
3. In-depth knowledge of financial and operational business process and procedures enabling an effectively functioning of an upstream petroleum authority.
4. Master’s degree or higher in Economics, Business Administration, Law, Public Policy, or other relevant discipline;
5. Excellent drafting ability and presentation and communication skills, both oral and written in English; ability to explain complex technical issues.
6. Excellent organizational and management skills and ability to complete deliverables in an efficient and timely manner
7. Good understanding of the requirements of the consultancy, ability to work independently with minimum supervision.
8. Strong interpersonal and communication skills
7. CONFLICT OF INTEREST
The Consultant is required to disclose any potential conflicts of interest arising out of other assignments. Where the Consultant currently represents any party or potential stakeholders that would create conflict of interest or to the extent any conflict of interest would arise in the future, the Consultant shall detail any measures that may be required to avoid conflicts of interest in connection with the implementation of this assignment.
8. CONFIDENTIALITY
The Consultant shall be required to keep confidential all information received, gathered or communicated, directly or indirectly, from relevant authorities, agencies, ministries, the World Bank or other stakeholders as well as all copies or analyses that the Consultant has made, or that have been made by third parties, on the basis of such information (collectively, the Material). The Consultant shall use the Material exclusively for the purpose of providing the services described in these Terms of Reference. The confidentiality obligations shall not apply to information in the public domain.
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