l

RETURN TOREPQ S TRRESTRICTED

Vol. 3

This report was prepared for use within the Bank and its affiliated organizations.They do no,tc uept responsibility for its accuracy or completeness. The report maynot be published nor may it be quoted as representing their views.

TT'r'-rtDaKj A 1'rl(TM A T D) A \TTV rtC'D fn TTTt9T-TA3ThTT~?

AN APPRAISAL OF THE

DEVELOPMENT PROGRAM

OF GUYANA

(in five volumes)

VOLUME III

TRANSPORTATION

April 21, 1967

Western Hemisphere Department

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CURRENCY EQUIVALENTS

G$1 US $0. 58G$s million = US $583, 330US $1 = G$1.71US $1 million = G$1, 714, 290

VOLUME III, - TRANSPORTATION

TABLE OF CONTENTSPage No.

I. TNTRODUCTION AND SUMMARY . . .. ... e . 1 - 3

II. TRANSPORT COORDINATION . . . . . . . .. . . . o4 - 6

A. Government Organization . 0 . . .. . . 4B. Economic Regulation and Rates . . . . . . 5C. Government Road Costs and User Charges . . . 5

III. RAILROADS . . . . . . . . . . . . . . . . . . . 7 - 12

A. General. . . . . . 7 . . . . . . . . . . . 7B. GnvPrnmPnt Orprani7ation and -Current -

Status ..... ............ 7G= The Garriprs A = = . -- * . 8

Tvest Coast Railroad. . . . . . . . .. . 8-~~- East Goas Railroand. . . . . . 0 . , 9

D. Seven-Year Development Program . . . . . . . 11E, Mission Recommendations. - 11

lT . ROADS . e .c . . . . . . - 22

A. Itr4 -- * *41

B. Existing Roads . . . . . . .. . ... 13~* £jlU ±L1± U d.LiU uAit,1 CU±IOUIjJ U ~LII QU.LL yo * L

D. Design Standards ............. 16P,. RU1MilLbItabZlon of roadu uons'rucnL4ii

and Maintenarne. * . . . . . . . . . . . 17Construction .. 1 7Maintenance . 18Consultants . . . . r . . . . . . . . .- 19

F. Government Road Operations . . . . . . . 19G. Tne Official Development Program . . . . 19H. Suggested Program and Priorities . . .o . . 21

V. PORTS . . . . . . . . . . . . . . . . . . 23 - 28

A. Introduction and Current Status. . . . 23Georgetown Harbor. e arbor..o .o 23New Amsterdam Harbor ......e.o .. 24

B. The Berbice Bar . . . . . 24C. Government Organization and Finance, . . . . 26D. Official Development Prograi . . . . . ' . . 27B. Establishment of a Port Authority . . . . . 27

Page No.

VI. INLAND SHIPPING AND FERRY SERVICES. . . . . . . 29 - 31

A. General . . . . * . . . . . . . . .C 29B. Traffic and-Services e........ 29C. Finance . . . . e . c . o . . .e . 30D. Official Development Programme . . . . . 30E. Conclusions0 . . . . . . . . . . . . . . . 30

VII. AIR TRANSPORT . .. . . . . . . . 32 -

A. General. . . . 32B. Government Organization and Regulation . . 32C. Airnorts - a a a e a - - - ; 32D. Guyana Airways Corporation . . .. . . . . . 32E Official D1evelopmPnt. Progrnm 33F. Suggested Investment Program . . . . . . . . 34

ANNEX I - GOVEREN1fT ROAD COSTS AND USER CHARGES

ANNEX II- COSTS AND REVENUES FOR DREDGING THE BERBICE CHANNEL

ANNEX ITT - ROAD PROJECTS DESCRIPTIONS

STATISTICAL APPENDIX

I. INTRODUCTUUION HiND SUiMVSI'ui

1. Inadequacies and inefficiencies in Guyana's transport network noJ-only occasion a continuing drain on the countrv's economic and financialresources, but they also cause transport to fail to measure up as an adequiatecontributor to eennomi developnment Present nanacities, in combined govern-ment-operated and privately-owned vehicle fleets, rolling stock and coastalvessels, Pppear adequate to) fiilf'ill t.he current dapmnds for transport. Butexisting roads especially do not provide either cheap and efficient transport,nor do theyr as yt+ opn uiph i nte+ ir to serve npw agriultuirarfl Iands or to

tap potential mineral resources, to the extent these may exist.

2. Government-owned and operated transport services include two ra.,l-roads, a transport. service over onJo1.nand andA Ioasta sipping a nda

ferry services, a domestic airline and a harbor service. Traffic carriedon 4these --- p sevie inK 1961 land 196 is -rsne in -h - -4- 4table.L.JI 1u±C:O1= J Du V ±LVO "11 ..L;~%.L d.Lutu ~ ./ ± LO I L' 4.11 L ~ ± .'.-

(th-ousar.ds)

Freight Tons iNu. uo Passengers1961 1966 1961 1966

Railroads 76 51 3,822 3,127Coastal & River Shipping ii8 109 4,241 5,000Road Transport (Government) 2 1 6 11Air Transport a/ 718 o/2,210 b/j 12 27

b/ ton/kilometers

Source: Ministry of Communications

3. Freight carried by rail shou a large and continuing declineiMovements by coastal and river shipping also show a decline but at a lowerrate. In contrast, air freight has burgeoned and the trend9 is sharnply 7ward.Passenger traffic on both rail and ships, on the other hand, has remained

fary --- stay. As in freight, so inpasnetrfi,herndnaltransport indicates vigorous growth. While figures are not available forthe over-alL volume of road traffle , it is safe t C, aslm. tha+ freight 'r1ier

carried by rail and ship has been diverted largely to truck transportation.AIll government-operated services except the harbor services lose substantialsums of money each year - over G$2 million in 1966. The tariff increase ofover 30 percent in railroad± an±d S,4--.!-- -5 efective in Mac, 1966,

has improved the financial position of government-operated transport some-what b-Ut did n.ot e'-minate continued deficits L TLhe folon Z' asoperating losses on government transport services for 1961, 1965 and 1966. 1/

1/ Except for air transport it is additionally worth noting that none ofthese government services charge off any depreciation on their fixedicanital.

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(G$ thousand)

1961 1965 1966

Railroads 1,195 1,636 1,272Coastal and River Services 1,056 1,217 748Road Transport (Government) 90 133 115Air Transport 176 184 166

Sub-total 2,517 3,170 2,301

4. As with government-operated transport services, so with publicroads, users appear to be heavily subsidized. Based on the mission's owncalculations, presented below, indirect subsidies in 1965 amounted to aboutG$5 million. This is a very rough estimate. However, using this figure, thegovernment's total annual transport subsidy thus may be running over G$7million a year. l/

5. Some limited and specific subsidization of air transport, penetrationroads and inland waterway services is probably justified in Guyana on socialand economic development grounds. But the transport system as a whole prcperlyshould, over the longer pull, essentially finance most of its costs out ofearnings, instead of being a continuing drain on-limited government finances.In the light of this criterion, there appears to be no future role for therailroads; the one road transport service operated by the government should,if possible, be turned over to private operators; losses on ferry and shippingservices should continue to be drastically reduced, both through rate in-creases and lowered operating costs; and future investments should be con-centrated on roads, domestic air transport, and perhaps a modest portmodernization project in 1971 or 1972.

6. The government's official Development Proaramme; 1966-725 allotsG$64.8 million or over 22 percent of total planned public investments tothe transport sector. The program tentatively sueeeted by the missonnlaces even greater stress on roads and on air transport, and would reducethe plan investment in harbors, shipping and railro5ads

(G$ mililion)Investment 1966-1972

Official nevelopnment Mission SuggestedProgramme Programme.

Roads 37.8 58 67.5 79Railroads 2.0 3 0.9 1Shipping 5.3 8 3.8 5Air Transport 5.1 8 7.0 8Harbors and Stellings 14.6 a/ 23 6.1 7

64.8 100 85.3 LO0

a/ This includes G$8.2 million for Berbice river bar dredging.

1/ This conclusion is questioned by the chief road engineer, who uses adifferent method of calculation to show that there is no indirect subsidyto road users.

7. The most salient feature is the near doubling of the proposed

road investments over those recommended for 1966-72 in the official plan.

Carefully worked out by the mission with the government Roads Division,

the newly proposed nrogrm in parrt simply reflects higher and more realistic

costs for several roads, in part the addition of some high priority projects.

The mission has satisfied C tself th+a +this program wold meet the main

economic needs for roads over the next few years, would be administratively

leasible for he 1n t-o execute - s + r.rv however to

greater use of large-scale contractor services - and should be financially

manageable under the fiscal and external aid prospectives for Gt r nn set

forth in the Main Report (Volume I).

8. After the most careful consideration possible at present 1/ the

mission has concluded that, certainly -nider terms of thle present agreementwith an expatriate mining company, there would be no financial warrant for

the government to undertake to dredge and maintaiin open a deep-water channel

over the Berbice river bar. Although the mission is less certain, it at

least seems probable that there would likewise be no early economic Justi-

fication for the project.

9. In sum, the program recommended by the mission suggests that the

Government's overall transport policy should provide (a) a combination

road-ferry system as the main communications facility for the coastal and

river bank areas; (b) expanded air transport as the main communications

facility for the interior and (c) supplemental marine services, largely

cargo, only when absolutely necessary or economically feasible.

1/ See Annex II.

II. TRANSPORT COORDINATION

10. More than in many developing countries, some attention has beengiven to transport eoordlnation in GiiyrnaB This is pecause only onedepartment of government is responsible for the operation of the railroads,ferry n steamer serices, harbor services and the one small road transportservice. Conspicuously divorced from overall transport considerations,however, have beer. road building and air transport. F A'd rschedules and fares have been coordinated to provide through passenger anifr-ei.ght, se~rvic~e from N11ew 4-ted 4in, the 4 east toSueamonte west bankof the Essequibo river. Efforts at transport coordination included, untilJuly l, L;.196, CZ different,ialUU_ _license1Zt; fee= PtnaliUL.Z..V trucks and buseso proin

on roads paralleling the railroads. However, this did not prevent a sub-4 A 11a::_ -_ .1_ s__ _ _ ___Z ___m____:__tT __stantiLal diVeSO ft -fi rmralU) '4t Uvcs. .U1wt -PLi:W ±~bUGLADaz I W1UI bUL~1i ±rLf 1U LrU '1 ruau ucrVl±Ce . W ±b1 UL Iu lUe

decline of the importance of rail traffic in recent years, the need fortransport coordination has become less urgent. STill, shifting the re-maining rail traffic, especially commuter traffic, from the railroads toroad services, wii be a necessary and scmewhat difficult undertaking.

A. Government Organization

11. One weakness in past attempts at transport coordination has derivedfrom the di5ffusion of responsibility of transport policy among a number cfministries. The Department of Transport and Harbors in the Ministry ofCommunications has been responsible for rail, coastal and riverine shippingand one road service, but not for external shipping or aviation. Theselatter two categories were housed in the Ministry of Trade, Shipping andCivil Aviation. External shipping and the Department of Civil Aviation havenow (early 1967) been returned to the Ministry of Communications where tl-eybelong. This includes responsibility for the Government's supervision ofGuyana Airways, a semi-autonomous government corporation. Although respon-sibility for the economic regulation of road transport, including licensing,is in the Ministry of Communications, the responsibility for road planning,construction and maintenance, is vested in the Roads Division of the Ministryof Works and Hydraulics. This division also constructs and maintains air-strips at the request of the Department of Civil Aviation.

12. The mission recommends that all matters pertaining to transport;policy be the responsibility of the Ministry of Communications which mightbe redesignated as the Ministry of Transport and Communications. Roadplanning and priority policy would now also be included as a responsibil!'tyof this Ministry. Whether the Roads Division should be transferred phys'-callyto the Ministry would depend in part on arrangements made with the Ministry ofWorks and Hydraulics for the maintenance of road equipment and an equitablesharing of the time of District Engineers for road construction and main--tenance. Another possible sugeestion is to convert the Roads Division illtoa semi-autonomous authority, reporting on policy and planning matters to theMinister of Transnort and Commumnications. This annror-nh merit.s fnirther studiy.

B. Econcmic Regulation and Rates

13. By law the government has the authority to grant franchises,establish routes, regulate schedules, and prescribe maximum and minimumrates for all commercial road vehicles. It also approves and regulatesrailroad, ferry, shipping and air fares and rates, routes, etc. The usual.criteria of public interest, public safety and convenience are incorporatedin the Motor Vehicles and Road Traffic Statute. There is evidence that inpractice inadequate consideration is given to effective implementation ofsome of these criteria. Thus, there appears to be considerable illegalpicking up of passengers at random by for-hire cars. For-hire cars, by lawsupposed to serve passengers from a prearranged point to a prearrangeddestination, are in fact being used as small buses. Thus pickup is atrandom and as many as 6 or 7 people are crowded into one small car. Thepractice thus is not only illegal and unfair to the regulated buses, butalso probably leads to excessive imports of motor vehicles and parts,gasoline, etc. This illegal competition, not being policed, cuts intorevenues of buses whose routes, schedules and fares are set by the govern*-ment. The largest bus line operating outside of Georgetown, the East BankCompany running between Georgetown and Atkinson Field, ascribes its annualoperating losses to such cutthroat competition of for-hire cars, but isafraid to raise its below-cost fare sufficiently to earn a modest nrofitbecause of danger of diverting an even greater percentage of passengersto for-hire cars. This is obviously an uznhealthy situation and the govern-ment should seek effective ways to eliminate it.

C. Government Road Costs and User Charges

14. To obtain an approximate order of magnitude of the indirectsubsidy to road users, the mission has attempted to estimate the annualcosts of the road system to the government and to compare them with therevenues collected from road users in the form of duties and license fees.These calculations are shown in detail in Annex I and may overstate some-what the amount of indirect subsidy.

15. Considering only the national paved and all-weather roads, theestimate of government costs in 1965 is just over G$7 million. Revenuecollections in 1965 allocable to intercity road users were G$2.1 million.The resulting indirect subsidy of about G$5 million to intercity road usersis more than all other existing cash transport subsidies combined.

Costs $ muiMll on) nevenues

Annual Depreciation of Road System 4.0 Gasoline and oil duties 0.8Interest on Investment Capital (10%) 1.7 Vehicle and tire duties 0.7Maintenance of Roads 1.3 License Fees o.6Administration of Roads 0.2

Totals: 7.2 2.1

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16. There are other methods of calculating the indirect subsidyinvolved, all somewhat arbitrary. Most woull d how some mount of subsidy.Even if all revenues collected from duties on gasoline, diesel oil,lubricant- vehiePle and T sn'cz andl tires we r- to 'be treated as.intercty

road user charges, the annual subsidy, given the above annual costs, would.still amount to a bit over G1 mnillion. What is clear and most importantis that the increase in road investment recommended over the next few yearsby the mission in conJunction with the Roals ivi-s-on will result in someadditional subsidization of road users unless user charges are increased,either through higher taxes or higher vehicle ard license fees. Tne govern-ment might, however, as a matter of policy, prefer to have some part ofroad costs per-manently paid for out of the general tax system.

III. RAILROADS

A. General

17. The government has owned and operated the two public railroadssince 1922. Other short-haul railroads are captive to private mining andsugar companies and do not operate as public utilities. Only the two govern-ment railroads are considered here.

B. Government Organization and Current Status

18. Both railroads, operated and maintained directly by the Departmentof Transport and Harbors, have a long history of heavy deficits and eachhas suffered because of lack of funds for proper maintenance and modernequipment. It is doubtful that such short-haul railroads operating alongthe coast between the estuaries of large rivers could ever have been madeself-supporting in the twentieth century. The loss of bu'lk traffic - sugarand rice - only underscores the difficulty of ever making these operationsprofitable.

19 Maintenance for both railroads and for all other equipment ownedby the Transport and Harbors Department is combined in one government work.-shop onerated hy it. Wonders are accomplished in maintaining obsoleteequipnent in operating condition, but costs are high. Maintenance tools,especially mach-ine tools, are the-mselves obsolete and inadequate to cope

with the increasing flow of broken-down transportation equipment. The shopsare poorly laid out, crowded and intirhr The main+enance workshop badlyneeds thorough reorganization and new equipment.

20. Whether to abandon the railroads has been a decision facing thegovernment for the past decade. It is time to face up to the issue and

plan systematically for abandonment as soon as alternative transportationis assured. W1ith the fate of the railroads in doub,t evsen less has beenspent on maintenance and on new equipment than might otherwise have beenthe case. A maor investlent- would now be required to rehabilitate the twc

railroads. The cost per mile for renovating the roadbed and laying newrails alng 4.E es.+tmted at G$57 = or a tota investment of G+4, 3n n 2 ,000A. ±. O O.L.44

51S .0 IAflU V a. I.9 . ..JL.L .k .- I 4 - I . --

before new equipment requirements are considered. Neither carrier con-I..1 ~ ~ 4.-.. 4- 4.~4P 1l4 .f-4,A P rrff~lluribu.tes enoua'gh± to the economy t)o LLs U.L this UIL smagnitude of investm nt.

Yet scme renovation has become a matter of safety as well as one of economicsif tlhe lines are going to be operated longer at all. BDul'k shipments of sugaronce served by the railroads now, move to Georgetown for export entirely bytruck (120,000 long tons in 1965) or by coastal vessel or Uarge (lQ8,000long tons in 1965). More rice is now shipped by road and water than byrail. Based on mission interviews with shippers, there are no prospectsof attracting this bulk traffic back to thhe railroad for reasons both ofcost and convenience. in consequence, both railroads serve primarily daily-commuter traffic, including sizeable numbers of school children, at con-siderably less than cost.

21. Faced with declining traffic and ever mounting deficits, in March1966 rates and fares (except for school children) were increased by just over30 percent. The results of the tariff increase appear to be an accelerationl

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of the shift of traffic to trucks and buses. Neither railroad can comeclose to covering its o-ro -ng costs uith current revenues at the preenttime. An added complication is the fact that because of reduced rates fcrschool c-i1ldren and commuters it is esti-eated that soe eo percent of totalpassenger traffic produces only about 15 percent of total passenger revenue.

22. The two railroads together employ between 600 and 900 people. Ifteailroads are L`au~xdcned, the gover~nmeni wouu± 'e ob±u ged .

I'lle r-u t.tit UwttlUG1U t11C LUUrSI WUUU UU vU -L. 6U to ret@a.L1 aw

many employees as possible for other employment. One obvious area of employ-~~~ " ~ ~ ~~4.1ment wo-uld be the new bus services that would be re-ulred 'Lo hiandle te

movement of passengers now using the railroad. Any remainder that cannotfind gainful employment would have to be provided with pensions. Howevexr,these measures would probably cost the government less than the continual.and increasing drain on the Treasury that will result if the railroads arekept in operation.

C. The Carriers

West Coast Railroad

23. This 16 miles of narrow gauge (3 61') line operates betweenVreed-en-Hoop on the West Coast of the Demerara River and Parika at themouth of the Essequibo river. It is paralleled by an unimproved roadrunning along the coast and by a government-operated coastal shippingservice. Its schedules are coordinated with the ferry services operatedby the government across the estuaries of both rivers.

24. Between 1961 and 1966 freight traffic declined by 26 percent - anaverage annual rate of 5 percent. In all of 1966 the railroad lifted on:Ly17,000 long tons of freight. By weight, molasses was the most importantcommodity hauled. Passenger traffic failed to increase over the 5 yearperiod since 1961. Most passengers were commuters and school childrenmaking daily trips from their homes to Vreed-en-Hoon and Georgetown in themornings and returning in the afternoons. Over 80 percent of total passengertraffic is moved during the morning and afternoon rush hours.

Traffic 1961 1962 1963 1964 1965 1966

Passengers (000) 1,720 1,775 1,284 1,451 1,914 1,713Freight (000 long tons) 23 20 18 16 17 17

25. The financial results of the railroad present a bleak picture.Operating costs, which do not include any charges to depreciation reservesto finance new enuipment- are eontinuing to rise. while revenues tend towardsa slight decline. Continual large deficits are thus forecast for 1967.

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West Coast RailroadFinancial Data

1961 1962 1963 1964 1965 1966

Receipts 454 464 339 403 449 482F-Ependitures excluding depreciation 683 6 559 676 796 705Interest 57 54 54 51 38 48DefPicit4-oc 28 23 074, 324 , 425 271

Operatir,g rcatio exc-luding-

depreciation 150 140 165 168 177 146DUeficits as percentage of' receipts u6 51 81 80 9

Source: Transport and Harbors Department

26. The West Coast railroad is in poor condition in every respect.Fauipment is old and increasingly expensive to maintain; the roadbed lacksballast; ties are rotting; structures are weak; the 70 pound rail is badlyworn. For a'Ll practical purDoses, the railroad todav is nothing more thara short-haul, multiple-stop commuter service. Provision for reconstructirngthe Parika-Vreed-en-Hoon road is made in the 1966-1972 development program.In close coordination with the completion of this project, the missionrecommends that the West Cot ilrnoad 'hp nhnndnna: nprepnrations for this

should be initiated now. Transferring the freight from railroad to road isnot expected to be a problem. Ten eight-ton trucks or 20 four-ton trncksworking one round trip 200 days a year could handle the freight.

27. The passenger traffic will be more difficult to transfer. About.15) Uises, eachl with a cappaciy o 45 paseges - ---- - a+v 80 percent

load factor 200 days out of a year and making two round trips a day wouldue required to har,dle a. c.LUleLL passee shil rail t'o ra J.Uif t.e

traffic were dispensed evenly throughout the day. However, to handle the

peak rusl Lhour traffic twice a day, and estmating that o- +he aerage 20

percent of the fleet would be out of service for maintenance, it is estimatedth1at i n lact U , to u i1.. u e n be needed n I do h e the West Coast passenge

traffic. Table 8A presents landed bus costs both for imported and locallyrbuilt uus bUUoes*. WLtfl eWliacehL bus Ucotin.Lg aboU UG2U,0U0 UtUoa.L ±inveusutent in

new buses would range between G$400,000 and G$500,000. Table 8A presentsbreakZdow-ns of. bus cosIbs UbUoI W.LI Ubodles bUU±.LU ±locally andU UbUIUi 1i4kPUJe.

No additiona'l new investment would be required on the road since its re-| I * n 1 | * n 2 | 1 1 n L s- i m 41 _constructLion and improvement is planneu to take place whether 'te railroadU

is abandoned or not.

East Cost Railroad

28. Operating 60.5 miles of standard gauge between Georgetown on thniDemerara rive and Rosignol on the Berbice river, this is the oldest railroadin South America. Construction on it was begun in 1848. It was originallyconstructed to transport sugar, and later rice, to Georgetown for export.Today all of the sugar and most of the rice is transported by truck or by

coastal vessel or b-ge too Georgetrm.. Between 19O1 and 19,66, tnhe vo11-of freight traffic carried by the railroad declined markedly; passengers

4redAA de c 1ined teven more . v- half of _ re ght; - ared196,a

molasses in bulk, moved by special tank cars. In the same year the railroadcarried 1.i.4 lUion passenges. USm 5 1 p 'ercnU of.L utiese moveA ov- the

30 mile stretch between Mahaicony and Georgetown during rush hours. Of some3.5 thousand passengers carrie' daily in 16 only - rabou--t 5 4us

easternmost segment of the railroad between Rosignol and Mahaicony. Therest were commuters and school children traveling daily to an'u fromGeorgetown.

Traffic 1961 1962 1963 1964 1965 1966

Passengers (000) 2,102 2,269 1,174 1,641 1,672 1,424Freight (000 long tons) 53 55 35 36 29

29. The financial picture of the east Coast Railroad is particularlydisturbing. As revenues have declined, expenditures have risen. In 1965the deficit amounted to more than G$1.2 million. This was reduced toG$l.0 million in 1966.

East Cost RailroadFi±4nancial Daat

(G$ thousand)

1961 1962 1963 1964 1965 1966

Receipts 898 965 687 716 740 797Expenditures, excluding depreciation 1,696 1,593 1,464 1,60g 1,875 1,702Interest 114 108 108 102 76 96Deficit 910 736 885 1,005 1,211 1,001

Operating ratio (excludingdepreciation) 189 165 213 225 253 214

Deficit as percentage of receipts 101 76 129 140 164 126

Source: Transport and Harbors Department

30. The condition of the East Coast Railroad is if anything worse thanthat of the Wiest Coast Railroad. An investment of quite uneconomic propor--tions would be required to rehabilitate the ra±lroad. Safety alone requireshigher maintenance expenditures but these are not budgeted. The roadparalleling the railroad between Rosignol and Georgetown is now beingreconstructed and is scheduled to be rebuilt completely by the end of 1968.This, plus the March 1, 1966 increase in rail tariffs, shou-.d speed thediversion of freight and passenger traffic from rail to road carriage.Because of its increasingly uneconomic operations, continuing declines inrail traffic and the large investment required for its rehabilitation, themission recommends the abandonment of the East Coast Railroad in two stages.

Tne rIahaiconry-Rosigrnol segment, now carrying little traffic, should beabandoned as soon as possible after the road is reconstructed - perhapssome time in l9b6 or early in 1969. Tle more heavily traveled segmentbetween Mahaicony and Georgetown should be continued as a passengerccmmuting operation until the access road to Georgetown is improved andwidened, or a new lane constructed, to handle all of the East Coast truckand bus traffic generated by closing down the railroad. Im-proving theaccess by road to Georgetowm from the East Bank is a project of highpriority even without the phasing out of the railroad. The governmentmay have to encourage actively the organization of one or more bus companiesto handle passengers now using the railroad. As in the case of the West Coastrail traffic, shifting the freight volume to trucks presents no difficulty.Less than 20 eight-ton trucks or 40 four-ton trucks operating 200 days outof the year would handle the same volume of freight as that carried by therailroad in 1965. Shifting passenger traffic - especially the concentrat:Lonof commuters and school children between Mahaicony and Georgetown - would bemore difficult. From 45 to 50 buses operating two round trips per daybetween Mahaicony and Rosignol, for 200 days annually, would be reouiredto handle all traffic, including rush hour traffic. This number is basedon a load factor of 80 percent with about 20 percent of the bus fleet outof service for maintenance and repair. The landed cost of the required newbuses would come to between G$900,000 and G$1,000,000.

31. Two large diesel locomotives are being supplied to Guyana in 1967as gifts under the Canadian Aid Program. It would be more in keeping withthe short term future fole of the railroad to furnish self-propelled diesel-operated commuter cars for the Mahaicony/Georgetown run, or to furnish partof the new fleet of buses that will be reauired when the railroad ceases

operation.

D. Seven-Year Development Program

32. Recognizing the likelihood of scrapping the railroads, the Seven-Year Development Program recommended the following investment plan:

(G$ tnousand)

Rehabilitation of Permanent Way Bridges 1 000Gang Trolleys and other Permanent Way Equipment 100W.J.orkshop Equipment 275Rolling Stock for East Coast Railway 250T occmctives for ',-,es+ Coast Railway 1 75Rolling Stock for West Coast Railway 150

Total 1,950

E. Mission Recommendations

33. With the phasing out of the railroads as a matter of economics andof safety, the mission recommends that even this modest investment program

be reduced to an absolute minimum consistent with safety. No new rolling

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stock or motive power should be purchased, and expenditures for the re-habilitation of way and structures, particularly buildings3 should bereduced. The mission has suggested investments of the following order:

(G$ thousand)

Rehabilitation of Permanent Way Bridges 525 1/Gang Trolleys and other Perman,ent Way Equipment 100Workshop Equipment 275

Total 900

34. Currently there is no bus service paralleling the West CoastRailway and only scme 20 private buses operate on segments of the roadparalleling the East Coast Railway. The service presently provi.ded byprivate buses is neither very reliable nor efficient. To replace therailroads it wou'ld be necessary either to substitute a government-operatedservice or encourage the formation of several public companies similar tothe two now operating within Georgetown and on the East Bank of the Demerarariver. Ihe mission recommends that the government encourage the organizationof public bus companies that would issue timetables, publish fares and se:rveregular stops along the route. They should be regulated by the governmen-tto the same degree that other existing bus companies are regulated.

1/ Subject to review depending on the timing for abandoning the railroads.

IV. ROADS

A. Introduction

35. Tn 1Q53 a World Bank General Economic Survey Mission to thenBritish Guiana found that "a greatly improved road transport system isimpera-tive for further eronomie development of British Guiana." That

statement appears to be at least equally true of Guyana in 1966. Theprese.n.t limTi+cA nna innaequate rond network suffers from nast inadeauatefunds for construction and maintenance. There is also need to strengthenroad planninc and r-earch action+tres cn ac be.ttenr tn keenp phepd of' growi:ngroad needs.

B. _isting Roads

36. There are 1227 miles of road in the national system but of theseonly 561 miles are declared public roads. The remaining 666 miles comprise80 miles of laterite surfaced roads, 189 miles of graded and drained all-weather roads and 397 niles of unimproved fair weather earth roads. Of thedeclared public roads, 219 miles are paved but of these only 100 miles maybe considered to be in good condition. The rest have suffered severely frcminsufficient anrroDriations both for initial construction and for slubsequentmaintenance; they are now in poor condition. In the provincial system thereare about 302 miles of road of which 16 miles are paved, 144 miles are im-proved all-weather roads, and 142 miles are unimproved fair weather roads.Tn the urban system there are 113 miles of road of which 88 miles are pavedand in good condition with the remaining 25 miles constructed of crushedstnne nr bulrnt earth s-rfaces. Over the 1last 10 years- the onlr slgnificantincrease in road mileage has been the 22 miles of paved road for the BlackBush Polder irrigation and drainage scheme east of New Amsterdam: these roadsare now in lamentable condition. Recent reconstruction of the coastal readschiefly includes 141, n 0miles of the Georgetown-osign.ol roand P mnil.e of theCorentyne Road, 2 miles of road in W4est Demerara and 3 miles of the EssequiboCoast Road. Current construction embraces mainly 45 miles of new roar from

Atk.inson Field to Mackenzie and the reconstruction of a further 6 miles cfUlhe Georgetouwn RosignUol boaUd and 3LU miles of) thl.DCe Essequibo Coast Road.

7. Tmle reconstruction. of-' t-he coastal and r venrin roads 4ci ong

overdue. Considerable savings in vehicle operating costs would result.k.L 1a±LL1UhUtLLn and11 Lt=M.L4.U,1 theCLr roadsto dou ut awaj wit.h wth m igh --

turns would further reduce road time and thus costs. As the roads haveuetteriorated anid trafficl has rIsen, the acciden't rt'e has m iplied. Re-construction and better access control would reduce road accidents andcontribute to further savings.

C. Road Traffic and the Transport industry

38. A sampling of traffic counts has been conducted twice a year at27 countina stations- for a number of vears, although no origin and destinationsurvrey has ever been undertaken. A review of these indicates that traffic hasineressed ranid1ir in recent years.

39. The following table shoVs the increase of vehicle traffic per day onselected key road segments.

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prfT _ Par/n+-

Road Segments and Census Point Location 1961 1965 Increase

Corentyne RoadSpringlands 4'I miles ±t±rum

New Amsterdam 2,471 2,976 20Port Mourant h4-i/2 miles from

New Amsterdam 5,o66 7,093 4bGeorgetown - Rosignol Road

Fort Wellington 57-1/2 miles fromGeorgetown 1,239 2,261 82

Buxton 12 miles fromGeorgetown 3,862 4,330 12

Bel Air 4 miles fromGeorgetown 6,672 7,896 18

East Bank Demerara RoadRuimveldt 1 mile from

Georgetown 9,448 18,315 94Diamond 7 miles from

Georgetown 4,64o 6,9D4 49West Bank Demerara Road

Bagotville 4-1/2 miles fromVreed-en-Hoop 2,679 4,285 60

Stanleytown 6-1/2 miles fromVreed-en-Hoop 1,550 1,936 25

Vreed-en-Hoop - Parika RoadVreed-en-Hoop 1/2 mile from

Stelling 2,172 2,922 35Uitviugbt 12 miles from

Vreed-en-Hoon 5,637 9,746 73Essequibo Coast Road

Anna Re2ina 12 miles northof Suddie 2,059 4,776 132

Snmerset anda Benks 26 miles north

of Suddie 1,518 2,346 55

n. PCIT i nulnm-ber of nasspnaer car units. using the following conversionfactors:

Type of Vehicle Conversion Factor

Lorries, buses, heavy tractors weighing morethan 30 ctt * P mntv 3

Cars, light vans, jeeps, station wagons andmotorcycles weighing less than 30 cwt. empty 1

Bicycles 1/2

Source: Roads Division, Ministry of Works and Hydraulics.

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40. The above 13 samplings of traffic counts together reveal an in-crease of 55 nprppnt over the 5 year period - an increase of some 11 nercentper year on the average. For all 27 counting points, the increase in trafficover the 5 years was 36 percen.t, or œust over 7 per-cnt annually.

41. Another pa-.+4s- indication of traffic growt+h is t he increase in thenumber of vehicles registered each year. For the 10 year period 1956-1965,tota-l' 4aa w1hCeeledd vehicles ir,creaseOAd by about 15 p nt. the exparsior.

was in cars which increased by over 60 percent during the period (see

tT1: _t __ : C/Vt:A e1. C.Llz ]In UPt=. -ut'.LUL _l >;U 7Wv'Ij'.

Cars 6,396 10 ,463Trucks 2,110 1,762vans 340 985Buses 109 143

Total 8,955 13,353

As is to be expected, the heaviest traffic is to be found in and around thetwo largest cities. The number of persons per vehicle dropped from 83 in1954 to 38 in 1963. This figure is probably between 30 and 35 in 1966,which is still relatively high. Trinidad, for example, has 14 persons forevery vehicle.

42. A special feature of road traffic in Guyana is the intense bicycletraffic not only on city streets but also on the coastal and riverain roads.These cause traffic slowdowns and traffic Jams and are a significant factorin the growing accident rate. In the road reconstruction program, con-sid9erationn shounl 'he givyen to speei bievylce lanes. -narticularly on the

access roads to Georgetown and New Ansterdam.

43. Guyana's road transport industry is small and predominantly owr.er-operated, both in passenger and in freight serviees. Of' the two bus companieswith multi-vehicle fleets, one operates only in Georgetown and the other onthe East Bank of the Dteme-rar Rivr- btween Georgetown and Atklinson TrielL.-

Other trucks and buses are owner-operated and are not regulated by thegovernement except for the issuing of licenses and the setting of a- maxmimurfare of 3G¢ per mile for passenger traffic. Freight rates are not regulated.

Thr~r-, ,v., ~, " , ~ 1 ,4nn,rnrl,14 +,r + ' h,r n r,~Ry vo5e, ice is the -- laretcmoiycridbyonroeae-rcunder seasonal contracts between the growers and the truck owners. All ofthe- sugar hauled byr road is carried 1 ,r..3-all- 1 + h hopprnptrucks designed for efficient loading and unloading. These are owned andoperated by the sugar estates. T"he road fleet appears adequate to meetcurrent demand for transport but would have to be increasd as indicated

'earler -when th. e ra4lroadL s are disconti.1nued.

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D. Design Standards

44. The structural design for pavement is based on a maximum singleaxle load of 18,000 pounds. 1/ However, few roads have been designed andconstructed to these standards. The legal weight restrictions limit theaxle load to 8,400 pounds for a two wheel axle and 11,200 pounds for a fourwheel axle. The load on each wheel is not to exceed 400 pounds per inchwidth of tire. These legal limitations should be enforced but they are notbeing at present. The Police Department is the responsible enforcementagency and has plans to purchase several portable vehicle scales for thispurpose. The mission cannot overstress the importance of effective enforce-ment of weight limitations in order to reduce road damage. Current roadconstruction plans lend added urgency to enforcing weight limitations.

45. Geometric design standards for two categories of roads are adheredto in most road construction; these are "secondary roads" and "rural primaryroads." The "secondary roads" design standards call for pavement widths offrom 16 feet for under 100 vehicles average daily traffic (ADT) to 22 feetfor ADT of from 1,000 to 4,000 vehicles, and shoulder widths of from 4 to8 feet. The desirable road right-of-way reserve width varies between 80and 100 feet. The "rural primary" road design standards are somewhat higher,with a desirable land width nf 10 to 12 feet.- ghnld ers between b and 10 feetand a desirable right-of-way reserve of from 80 to 130 feet for two - laneundivided rnnds. These appear adequate to serve current and fnreseabh1etraffic and are shown in Tables 12A and 12B.

46. Basically, Guyana's peculiar terrain and the overwhelming con-centratin-n of -1oplation and produ,ctio4n i c--sta' areas nrere4 +two +tof road design standards; coastal and interior. In coastal areas, the roadlbase is difficult to stabilize because of groi-n conditions stering in partfrom the fact that most of the area is below sea level. Drainage problemsarenu,ua ll"y complicated owi ng lo th hg le-vl of~ the- grun--atrab-~4 1- 10 t&1 .L4 mp.-LJaL.u. LJWUE LI. ULICU ilL(li ILC VCJ. u VI ±± I JULIC UVLU Wauet± ~'L.dLZ.Lt.

Irrigation ditches for sugar and rice plantations usually parallel coastalroads and tend to erode the embankmen. Hea-vy truck traffic sIubJects roadsurfaces to substantial wear and tear. Interior roads present a quitedifferent series of problems. Cut through heavy juungles, foliage requiresremoving for a relatively wide stretch to permit the penetration of sunlightand air. The bro-wn or whie sand base is far more stable than the coastalmud base; heavy rains, however, tend to wash away surfaces in hilly countr-Y.

Lnterior roads are mairnly penetration roads and construction standards neednot be as highl as those required for coast-al roads because traffic isexpected to be light.

47. A probiem common to both types of roads is the scarcity and highcost of crushed rock for road building material. Methods for overcomingthese difficulties are being worked on, both in the M4aterials Laboratory ardat the quarries, with technical assistance from U.S. AID. Burnt earth, onceutilized throughout the coastal road network, is costly and has proven to bepoor surfacing materials. It is pulverized with only moderate traffic anderodes into dust rapidly. Most technical and engineering reports recommend.its use only for shoulders.

1/ The AASHO Method is employed.

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IL. UAU.Li.Ln Ustrat.ion of 1Road Construction and Main

'48. ile prirncipa' agenicy resporsle for the construction and ma n enan,ce

of national and provincial roads in Guyana is the Roads Division in theMifnistry of Works and Hy-draulics. 1/ It was established in 1957. * eadeciby a Chief Engineer reporting to the Permanent Secretary of the Ministry,the proposed 1967 organization chart shows a work force of 234 people in9 sections as shown in Chart I. Not included are maintenance and con-struction laborers or clerical, accounting, stores or mechanical personne.in the field. The full time professional engineering staff numbers only :L5although 21 are called for in the 1967 table of organization. 'hese men arestretched to the limit and the division is suffering acutely from a shortageof trained engineers. Especially needed are planning and cost estimatingengineers. The division employs no economist and has never undertaken athorough feasibility study of any road project. Because of the lack oftrained staff and insufficient budget support, no comprehensive program forconstruction, rebuilding or maintenance over the next 2 to 5 years has asyet been prepared. Detailed engineering plans in the past have often beenlprepared only a month before the actual reconstruction of a particular segmentof the road. Obviously, this is insufficient lead time if road constructionis to be performed under contract. Unless major rapid improvement can beeffected on this front, the execution of the road investment program proposedin this report will become impossible.

49. With much increased activity in road construction work in 1966,the budget for administration was increased. Annual administration expendti-tures, about G$126,000 in 1962-63; were over G$180,000 in 1966. Considerablylower expenditures in 1964 and 1965 were apparently the result of salaries ofsome of the staff being charged to specific projects.

Construction

50. Except for three experiences with foreign contractors, all con-struction and major road bettermen,t has been handled by force acco.nt hvthe Roads Division. Some years ago a foreign contractor was engaged toconstruct the Parika/Urisirima Point Road=n l Thp firm went bankrupt. theroad has never been completed and the matter is currently under litigation.The 22 miles of road for the Black Bush Polder were also eonstructea hv a

foreign contractor. With U.S. AID assistance, a contract was let earlierthis year to a foreign firm for cons+rnction of the new AtkJr.sAnrMackeniteRoad. The contractor has had difficulties with equipment deliveries but,with these now resolved, +he pro4ect i f-nally b+.g to r sho s+l4act

progress.

51. The Division contracts out for the construction of bridges andcul kr, transporL'tation of materials, clearing, grubbing and some grad ng,all of which are performed by local contractors. However, there is no local

1/ Other minor road-building agencies are the local authorities, privattemining and sugar companies, and the Housing Ministry.

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Cont-rnptr Wth the ffnane q n or ew perlpnre to perform f'ill road

construction. Considerable attention has recently been given to the needof building up a capable local contracting industry w7hicht t is felt willbe required if the projects recommended in the seven-year program are tobe cmpl tted.

52. Hislorical dat-a are meagre be4--- 1965 on cots4r oceacon

construction and major betterment. When the government was constructingthie Parik-ri.Lca RUoa iU L1 er cnrIUaUt, cost1sL dA 3 ~ UU l.a, WereC C Uei atedOa

G$200,000 per mile but proved to be more like G$127,000 per mile withoutcharging anything to overhead or equipment depreciation. Current coastalroad rehabilitation costs, on the same basis, are estimated at betweenG$150,000 and G$180,000 per mile depending on soil and terrain. Construc=tionof the Atkinson/Mackenzie Road is costing about G$300,000 per mile. Theforeign exchange costs for road construction apparently vary between 60 anad75 percent, depending on the use of foreign contractors. Rough estimatesof approximate unit prices for various activities performed by force account,local contractors and foreign contractors are givren in Table 12.

Maintenance

52. With the rapid increase in traffic on coastal and riverain roadsand stringent budget limitations, the maintenance of existing roads hassuffered severely. All minor maintenance is performed under the directionof the District Engineer. In connection with other duties these officialsperformed, report to five other senior officials of the Ministry in additionto the Chief Roads Engineer. Time and effort needed for road maintenancecompete with such alternative claimants as seawall defense, maintenance ofirrigation sluice gates and the construction and maintenance of covernmentbuildings in the district.

54. Except for 1964, annual budgets for road maintenance have decreasedsince 1961 despite slowly increasing costs. Maintenance expenditures since1960 are as follows:

(G$ thousand)1960 1,5411961 1.7381962 1,7091Q63 1,6491964 1,8931965 1,6051966 1,260

The cost of maintaining a bituminous-surfaced road is estimated at aboutG$3,500 per mile and for an earth road on the coast, G$2,200 per mile.Taking only the paved and gravelled roads of the national system, theseper mile estimates for adequate maintenance would require all of theG$1.5 million budget spent in 1965 on the entire road system.

55. Until recently, practically all road maintenance (and much ofconstruc+ion) ws erformed by hand labor, even in the surf.a.. ... p chr

of bituminous roads. With assistance from U.S. AID and the Canadian Aid

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Program, the PRoard Division hs niirchased US$3.8 million of constructionand maintenance equipment. Thus the equipment situation has in factim.proved markedly in 1965 and 1966, needing aonlv anniiate fuinds tokeep it working effectively.

Consultants

56. It is the mission's judgment that the development program for roadscannn be accompl4shed Without he-,,t relia. . . r,vg cslting rrn

which should be carefully selected and whose carefully-drawn terms ofre.erence shLlo u 1d cll f ILor techinicaIl. advice on (a) planning desi-g

4s

vision and assistance in executing construction; (b) planning, organizing-4--4-!. * 4--~~~~~~-~ … - l.A f-N -anu assistance in C e-ecuting a. maintenance program; a,I 1L A vC =iIln4i a 'L.0

training program.

57. At the present time the UN, the U.S. AID program, the U.K. andCanada are all providing technical assistance to the Roads Divislon. Ltheste

efforts are useful but their ob4ectives are limited to training in techniques.There is no provision under these arrangements for any tecnnicai assistanceon the engineering and economic aspects of road planning, nor do the advisershave any operating responsibilities. Training programs provided by the aidagencies have produced good results and should be expanded. What the govern-ment needs and wants is consulting advice and assistance in operations.

58. The suggestion has also been put forward to retain a managementconsulting firm to reorganize the entire Ministry of Works and Hydraulics,including the Roads Division. In the mission's view this should be pursuedactively, perhaps through the UN team on government organization. Anyconsulting firm retained should have had experience in reorganizing a roadsdepartment in a newly developing country and should be emp½oyed in helpingto establish any new organization over a period of years.

F. Government Road Onerations

59. For many years the Transport and Harbors Department has operateda iLd±±L LUI U U)ti -e~Lt ~WtiUIJ4 i'd W L UU LLJ,.U. %Uasmall 4truck- arnd 1bus servic-_e 1.Jee 4atc Cn oao ompetiin fo

private operators has cut into traffic and in recent years freight carriedhas been about 1,000 long tons per year while passenger trraffic totaled lessthan 8,000 in 1965. In recent years costs have increased and revenues havedropped, resulting in a growinig deficit. Expendibures Go not incluue depre-

ciation, yet in 1965 the operating ratio rose to 281. The mission recommendsthat this service be terminated as soon as possible and an effort be made toattract private operators to carry the light traffic now being served by thegovernment operation.

G. The Official Development Program

60. ThIis program for 1966-72 earmarks the sum of G$37.8 million overthe e 4ntir peri na fovr the rcntructn ovf rcoastal, vi Iatg nrl (aPeoretrwn

roads and for the construction or survey of new roads, as follows:

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2XISUILIS ~ ~ ~ ~ ~ C- million) .

C.ubastal and Rivler ain 1U6.

Georgetown 1.0Village Roads 4.5

New Roads 15.9

Atkinson/Mackenzie 11.0Internal Road, Abary Scheme 1.0mara/Torani 1.8Cratwood Creek South 1.5ituni Survey 0.4Wismar/Rockstone Surveys 0.2

Total 37.8

61. The ulan does not phase the proposed expenditures over the seven-year period, nor does it assign priorities to specific projects. Theamounts are not based on engineering cost estimates and are considerablybelow the more recent estimates of the Roads Division presen+ted below. Theplan recommendation that one mile of road be constructed for each of the 99local authorities is uneconomic and in fact is proving to be administrativelyinfeasible.

62. In 1966, the Roads Denartment had a budget of rust abhut CG$

million for road bu-ilding and reconstruction, distributed among thefv. vnl11nwin nFrrni1 r±A

Coastal Roads 5.4Atkinson-Mackenzie l/ 2.0Vrllage Roads 0.3Surveys 0.1Equipm.^nent 0 .2

iLiAS uuget is Ju:3L over eu percenm OI Gne oiiJciai seven-year deveLopmenGprogram. The proposed budget for 1967 calls for G$13 million which wouldcover an additional 34 percent of the program. over 60 percent oI theproposed 1967 funds would be for the Atkinson-Mackenzie Road.

1/ As of late October it was expected that onlyr G$500,000 would in factbe spent.

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H. Suggested Program and Priorities

63. As a result of joint work by the Roads Division and the mission,and with valuable collaboration from the Mlinistries of Agriculture, Com-munications and Economic Development, the Mission has developed the prioritycategories shown in paragraph 64 below for the roads construction andreconstruction program. The Roads Division has phased the program overthe periodu 16-17 or a total suggested investment of G$82.1 million(Table 10). For reasons mainly of fiscal constraint, combined with con-siderations of alternative priority uses of capital, the mission suggestsa more modest investment program of G$67.5 million over the same period.The suggested phasings are compared in the following table:

G$ million

1966 1967 1968 1969 1970 1971 1972 Total

Roads Division 7.8 10.0 18.8 14.6 10.7 10.1 10.1 82.1Mission 7.8 9.5 11.4 10.9 9.3 9.3 9.3 67.5

64. Priorities suggested by the Mission are only in minor degreedifferent than those suggested by the Roads Division. They are based on ajoint tentative evaluation of existing and potential traffic volume andtransport costs and, in scme cases, of agricultural development prospects.The actual priorities and time phasing to be assigned to the various roadsitill of course have to be resolved by the government itself in the light ofits development criteria and its financial situation.

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EstimatedInvestment

Cost 1/

Road Segment Length (G$ million) remarks

Priifltv Categorv T.. .

-Atkinson.-M!ackenzie 45; 15 0 Under construction byforeign contractor

Georgetown-Rosignol 68 124 UInaer construction byforce account

Par ika-Vre e d- en-iioop 21 7 .3 As sumes forei gncontractor

T.West Bank Demerara 13 2.5 Under construction hyforce account

- Charity-Supenaam 38 6.043.2

Priority Category II

New Amsterdam-Crabwood Creek 51 11.0 Assumes foreigncontractor

Crabwood Creek-Little Molasa Creek 10 1.0

liew Amsterdam-Mara 25 3D . v CUomltinL U after CL. 1 Is;7 197

15.8

Priority Category III

East Canje Road 11 1.5Parika-Bartica 36 11.0 Assumes foreign

contractor

Canals Polder (West Bank Demerara) 14 1.0 Mostly for ccmpletionafter 1972

13.5LPriority Cate-L-,y T e l

after 1972)

Wismar-Rockstone 17 1.4Essequibo, TIslands TeL-an

and Wakenaam) 31 2.5Georgetowni-Atk4nson I4 eld 21 2.5Ituni-Ebini-Kwakwani 56 5.0BOartiLca-Pot'aro-IssDano ---161 11.0M4ackenzie 220 16.0 Assumes foreign

38. cotaco

Grand Total 110.9

1/ See Table 10 for the proposed detailed government Roads Division Program.It is neither cast explicitly in such priority groupings, nor is itsofficiel acceptance by the government definitely indicated. The missionis sure however that there is broad agreement with the priority schemeset out above.

V. PORTS

A. Introduction and Current Status

65. There are no deep water ports in Guyana. This is largely becausethe Amazonian sling mud (thick mud in a fluid state) flowing from East toWest has formed bars at the four major river estuaries (the Corentyne,Berbice, Demerara, and Essequibo) that limit severely the draft of shipsthan can enter the estuaries. These conditions not only increase the costsof exports and imports, but also contribute to the fact that Guyana is noton any major shipping lane.

66. Only one of Guyana's ports is significant in the handling of itsinternational commerce - Georgetown on the East Bank of the Demerara river.In 1965 this port handled 92 percent of all imports and 79 percent of allexports of the country. In contrast, the port of New Amsterdam on the EastBank of the Berbice river 65 miles east of Georgetown handled only 6 percentof the country's imports (mainly petroleum products). Fifteen percent of'Guyana's exports, all bauxite, are shipped via the Bervice river estuarybut require no handling at the port of New Amsterdam. The private bauxitebulk-loading terminal at Everton is 5 miles up river from the New Amsterdamport itself.

67. Sugar and rice produced in the New Amsterdam area are shipped bybarge and coastal steamer, or go by truck, to Georgetown for transshipmentoverseas. The wharves handling international trade at Georgetown areprivately owned and operated. With few exceptions, these have deficienciesin their layout and are not well maintained. Labor output is extremely low -

between 5 and 7 long tons per hour per hatch for general cargo when 12 tc 15tons per hour per hatch could reasonably be expected with existing facilities.

Georgetown lIarbor

68. Stretching some 2.5 miles on the East Bank of the Demerara; thisharbor has four relatively large private wharves, a government jetty, modernbulk sugar l=oading facilities; netroleum imnort. facilities, a molasses ex-porting wharf, small timber transfer wharves, a rice exporting wharf andseveral fish and shrimp exporting wharves. Sixty-five miles up river atMackenzie the Demba Mining Company loads up to 7,000 long tons of bauxiteand alumina into snecially-designed shallow draft shins for shipment downriver and across the Demerara Bar. Partly because of their investment invessels that r'nn ro_s tha RAr, none of tfhp nrivntp romnpnies Pngaged inGeorgetown shipping would be willing to invest in converting the port toa deepn-ater facility at the present time. The depth in navigation channelacross the Demerara is 9 to 10 feet at low tides. 1/ The ships plow throughseveral fet. of semi-liquid mud kent in a fluid state by propeller action.Tidal range is about 9 feet and ships with a draft Just over 20 feet can crossthe Bar at high tide. The anchorage depth in the harbor is 20 feet at lowtide and the depth alongside the berths varies from 14 to 20 feet at low tide.

1/ Mriean LTo WnJater Spring Tide (MTLS)

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The maximum size of ships that Georgetown can handle is 520 feet in leng;h,3C16- in draft, with 16,000 deadweight tons but not loaded deeper than20-22 feet.

69. The table gives 1965 export through Georgetown by major commod:Lty.It is clear that the port itself handles only half a million tons.

TonnageCommodity (Thousands of Metric Tons)

Bauxite -/ 1,64oSugar 300Rice 90Molasses 75Timber 30

Total 2,135

1/ Shipped across the Demerara Bar but loaded at M4ackenzie.

Source: External Trade Statistics

New Amsterdam Harbor

70. New Amsterdam's port facilities are used only for goods shippel toor from Georgetown. In 1965 almost 400,000 tons of bauxite were shipped overthe Berbice Bar but these have no relation with the port of New Amsterdam.Apart from petroleum products handling facilities and a few small privatejetties, there is a small government wharf and a ferry terminal. Becauseof the Berbice Bar, the entrance channel is limited in depth to 7 to 8 feetat low tide (MLWS). In 1965, 230 ships called at New Amsterdam with netregistered tonnage of 3.5,924.

B. The Berbice Bar

71. Because of the shallow entrance channel the draft of vesselsentering the Bervice river is limited to 18 feet at high tide. This limitsthe tonnage of bauxite carried across the bar to 6,000 tons carried inspecial barges. This reouires stocktiling and the reloading of ships atTrinidad or Puerto Hierro, Venezuela, before bulk shipments are made toUnited States ports.

72. Under the agreement between Reynolds Metals Company and theGovernment of Guyana, the company undertook to pay an increase in harborfees and fin in-come taxes for various increases in the depth of the BerbiceChannel, should the government dredge and maintain the channel. Theessential terms of the agreement are detailed in Annex II. Reynolds isnow committed to plans to expand bauxite exports from 400,000 tons to 1.6million t.ons annuallv nvpr the next few vears, annarently indenendently of

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whether channel dredging is undertaken or not. But the Company has clearlyfated that it needs the deeper ^hannel both to cut its transport costs -

and thereby increase its net income position and tax payments - and tonprmit. s+ill fuirthe'r expnsion off pcn9,ar'tinn for Pynert.

73.'Tv- InO~ 1962, nder TT.S AIT auiic s ,z +he TI Gorpsq of FngineersP

dredged a test cut in the Berbice Bar to a depth of 17 feet at low tidein, th-e form- of a- ch-a-nel1 onn feet ,iAe for the~ oute a- mllesc and inn feet.+

wide for the inner 4 miles to Everton. The test cut proved the engineeringfe.asibDility of deepening and widening the ehanr.eland susqun obserat

provide data on the degree of siltation of the channel. However, the studymad1 eA no5A anlAi of.^ th cost AAnoA_A r ofA thAAGe 1-o-0i fec4si Dility of A-oSedg;ng<C LiL X LSVC].&.Lj .XO LJ V t C I..LJ t/O *S'.J4 V;J V±4t W¼.tASi.,U.L1t.U l J b

and maintaining a deep water channel.

74. Annex II provides details of a financial analysis essential aspart of such an ecoUomiic stud-y. Potential ugovernment revenues are basedon the terms of the current Reynold's Agreement with the government andare defilned as the additional revenues accruing tou te goven-mI-ent at variou,slevels of shipment over what present charges and prices would yield at thepresent depth of the bar. Quantilies oI cubic yardage to De moved are basedon data provided by the Ministry of Works and Hydraulics. Costs include theestimated annual amortized capital costs of dredging the bar, interest on.invested capital and annual maintenance dredging costs. Although the UnitedStates Corps of Engineers recommended an overdepth dredging of 4 to 5 feet,an overwidth cut of 25 percent and semi-annual maintenance dredging, thecosts used in this analysis do not include overdepth or overwidth dredgir:gand make al:Lowance only for annual maintenance dredging. They are thus cnthe conservative side so far as these factors are concerned. The mainresults of the financial benefit/cost analysis made by the mission arepresented in the following summary table, showing the probable net lossesto the government under the agreement, at the various depth and volumes ofshipments shown.

NET GOVERNMENT REVENUE LOSS(G$ million)

Volume of Shipment of Bauxite 19 feet 22 feet 24 1/2 feet 27 feet.(millions long tons) depth depth depth depth

1.6 2.4 3.2 4.1 4.42.0 1.9 2.5 3.2 3.22.5 1.2 1.5 2.1 1.73.0 0.5 o.6 1.0 0.2

75. No matter the depth of the channel or the volume of bauxite sh-ip-ments (at least up to 3 million tons), under the terms of the present Agree-ment the dredging of the channel would involve the government in substanltialannual losses. Firm data for making a corresponding overall economicbenefit/cost analysis are as yet lacking. What real effect it would haveon bauxite transport costs, and thus company profits, is not at all clea:r.A cursory examination of possible additional economic benefits from the side

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of lower transport costs for rice, sugar, lumber, etc. and additionalinvestment costs in terms of better port facilities at New Amsterdam

strongly suggest that there would also probably be no net positive returnto the economy warranting any reversal of the findings obtained from thefinancial side.

76. The mission has concluded that the dredging of the Berbice Channelwould be financially unwarranted under the present Agreement and probably,

at least for several years ahead, would be uneconomic. The mission recor-

mends, therefore, dropping this project from the investment program of 1972.It also doubts the utility of any further immediate technical or economic

feasibility studies unless a showing can be made either for substantiallylower costs or for higher financial benefits to the government.

C. Governmen-t rOrgan-;zati-on ana Finance

177 In the absence of an autonomous port authority, responsibilitV for

operating the ports is vested in the Transport and Harbors Department of theMinistry of Communications and Lin he Comptroller of Customs. Responsibilityof customs is limited to assessing and collecting import and export dutiesand collecting statistics. T'he Harbors Branch of the department is headedby a Harbor Master. The functions of the branch include pilotage, naviga.-

tion aids, dredging of verths for the privatle -wharves, hydrographic survers

and charting, surveys of seaworthiness, marine examination, the promul-gation of harbor regulations and the collection of tonnage, light and pilotdues. These duties are carried out through four subdivisions of the branch:Pilotage, Navigation Aids, Dredging and Hydrographic Survey. Equipment to

carry out these functions includes 5 pilot launches, 1 small buoy tender,

2 grab dredgers - one of 500 and one of 50 tons capacity and 1 survey la-unch.Most of the equipment is obsolete.

78. The Harbors Branch is the only government transport operation that

produces an annual cash operating surplus l! which is turned over to theTreasury. The following table presents the financial picture of the Harbors

Branch over the past 5 years:

(thousands of G$)

1/ Cash OperatingYAear Receipts Expendit,_res - Rlrs Ratio

19761 888 553 336 . 621962 1,012 592 420 .581963 788 519 268 .6

1964 1,035 651 384 .63l965 1,333 660 678 .50

1966 1,524 655 86g .43

1/ As noted earlier, no depreciation is charged on the canital assets ofthis or other transport facilities and services run by the Department.

- 27 -

D. Official Development Programme

79. The Development Programme provides modest amounts for the replace-ment of equipment of the Harbors Branch and for navigation aids, as follows:

(thousands of G$)

Ntew Suvey Ship 150Buoy Tender 250Grab Dredger 1,750Diesel Tug 3202 z.adio 'Navigational Bleacons 3

Pilot Offshore Station 400

Total 2,900

No phasing of these purchases over the 7 year period is shown. In themission's judgement, the investment program is sound although question israised as to whether the G$400,000 earmarked for an offshore pilot stationis necessary or desirable, The detailed protect amounts recommended by theDevelopment Program and those suggested as adequate by the mission are asfollows:

(Thousands of G$)Development Mission

Program Suggested

Demerara Ferry Terminals 700 700Berbice Ferry Terminals 1,000 1,000Kumaka and Morawhanna Stellings and Bonds 400 -Mazaruni Dockyard Stelling 30 -Minor Works at Stellings 500 500Pile Driving and Other Equipment 200 200Equipment for Stellings 600 600)ilachinery and Equipment for Mazaruni Dry Dock 100 -

3nnr

E. Establishment of a Port Authority

80. Current conditions at the port of Georgetown are disorgan5zed andinefficient and result in low productivity. The Netherland Engineering Con-sultants (NIDECO) report on harbors in 1963 recommended the establishment ofa National Prn-t Autthority, ultimately to control and rebuild both theGeorgetown and New Amsterdam ports but initially to deal only with George-town. Pursuantto thi report5 the Tovernment appointed a high level PortsAdvisory Committee composed of representatives of business and governmentto consider the form and functions of a port authority. The mission wasinformed thEat the committee would soon recommlend that such an authority be

- 28 -

established. The mission supports this recommendation, considering it infact as a matter of high priority. The authority would take over all ofthe harbor functions now performed by the Harbors Branch of the Transportand Harbors Department. One of its first tasks would be to rationalize theport labor practices in accordance with modern collective bargainingprinciples.

81 It is anticipated that such a Port Authority would develop acomprehensive but probably modest project for the modernization of theGeorgetown Port provided that labor output could first be increased.Particularly to be stressed in the pro,ject should be better access tothe wharves, already badly congested and likely to become even more sounless the proposed improvement is made. Any investment in such a nro.sectwould probably not be made before 1971; it might well be a project potentiallyattractive to an external financing institution. Althouah nrivate firmswould probably continue to construct and operate wharves, these would besubJect to a master plan that would be drawn up by the new Port Authority;based upon careful zoning criteria.

VI. INLAND SHIPPING AND FERRY SERVJICES

A. General

82. For many years the Transport and Harbors Department has operatedthree ferry services across the Essequibo, Demerara and Berbice RiverEstuaries plus a series of coastal and inland vessel services to remoteareas of the country. Subsidies for these services were required until1966 when the ferry services showed a slight profit. The ferry servicesare considered to be essential extensions of the coastal road system. Tneyare here treated together with inland shipping only because they are sotreated in the official development program.

83. In 1965 the net deficit arising from steamer and ferry servicesamounted to over G$l million even without depreciation reserves set asidefor the replacement of equipment. The financial picture improved markedlyin 1966 with the deficit reduced to some G$700.000.

B. Traffic and Services

84. Along the east and west coasts, government-operated ships are incompetition not only with rnads and (decres.aingly) the railroads buit alsowith privately operated ships. This is not the case for remote inlandareas. The mTa.ir rivers of the country n e -navigahle for consi9erahle

distances and of the following services, most of the inland waterwaysservi;cs are perfortmedW on ascheduled c 1 }lr go-ri nent opships.

Navigable Furthest Navi-Service~~~~ ~ ~~~~~~~~~~~~~~~ Piv ilag gbe P oinn _

Georgetown-Mackenzie Demerara 67 MackenzieGeorgeto-wL,-PiLJersOiLl Pomeroon 3le Picberi.LJ

New Amsterdam-Paradise Berbice 110 EberoaboarGeorget owt, T---t Ase4 d=Coasta

Parika-Adventure EssequiTo Estuary and Coastal

85. Freight traffic using government shipping services declined someiL percent, bet-ween 1906j1 LU 16uu - ain avere annIiual raUe ol some 2 perceul.

In 1965 the services carried 105 thousand tons of cargo. Passenger traffic,on the Other hand, increased by some 2 percent per year over the swme periodand. totaled over 4.5 million in 1965.

1961 1962 1963 1964 1965 1966

Passengers (000) 4,241 4,205 3,384 3,762 4,699 5,175Freight (long tons) 118 110 7t 107 105 109

- 30 -

C. nance

00. All of the runs operated by the Iransp r and naVr t,

including the ferry services until 1966, showed deficits. As operating cDstshave risen revenues have declined. On March 1 tariffs for both passenger3and freight were increased by more than 30 percent except on the ferryservices. These will not produce sufficient revenue to cover operatingexpenditures. 1/ The following table gives the financial data for thetotal combined ferry-steamer services operated by the government.

(G$ thousand)1961 1962 1963 1964 1965 19D6

Receipts 1,526 1,472 1,209 1,617 1,862 2,2;60Expenditures -' 2,529 2,435 2,273 2,713 3,048 2,960Interest 53 59 59 49 31 48Deficit 1,056 1,022 1,123 1,145 1,217 748

Operating Ratio 166 165 188 168 164 131Defilcit as percenrtage

of receipts 69 69 93 71 65 33

Source: T ransport and Harbors Department

D. Official Development Programme

87. The development plan recommends the following investment projectsfor the Coastal and River Shipping Services:

Re-engineering M. V. Barima iOOAuxiliary engines for M. V. Pomerson, Northcote and Barima 130New vessel for Canje river services 300Tugs and barges 1,000Demerara Car Ferry 1,800Improvement and expansion of stores 20Office equipment and vehicle replacement 150Replacement of S. S. Tarpon 1,845

Total 5,345

88. As the financial figures attest, the Transport and Harbors Depart-ment in 1966 succeeded in reducing the operating deficit of the inlandshipping and ferry services. In fact, as has already been observed, theferry services showed a slight oneratirng profit. Before 1970, combined

1/ No depreciation is charged on ea ital assets.

- 31 -

road and ferry traffic will justify a second car ferry for the DemararaRiver crossing. With the present thrust by the Ministry of Communicationsto concentrate on freight traffic and to phase out most passenger runs, anadditional investment of G$600,000 for tugs and barges appears necessary,but a replacement for the S. S. Tarpon is not required until after 1972 ifat all. The Government should be commended for reducing the deficit forthe steamer services in 1966. Sustained effort is required in order toreduce the deficit still further until at least the break even pointbetween operating costs and revenues is reached.

VII. AIR TRANSPORT

A. General

89. Domestic air transport in Guyana has a long, pioneering historythat has Droduced a much needed network connecting the nopulation centerof Georgetown with otherwise isolated points in the interior. In 1965scheduled and ehartered flights using Taknta_ froTm Atkinsron Field - themain airport 21 miles up the Demerara river from Georgetown - served 24interior ai rstrips= For the same year scheduled and chnrtered flightsusing Grummans served an additional 15 points operating from the ramp inGeorgetown to "pools" in the interior. For most of the p nt +artr nsport

is the only transportation medium serving them. This will continue to be thecase for maryT years to come+ given. +the slow pace of penetrat.on road 1building

that would be Justified economically. Thus air transportation plays anessenti-al rol-e in the deelpmn 4of -h44ooyofGynasineirswt± a~~~ V ~ ~ U ~~j±L Laic =,_LUItuI,Y Jj.L SUAj L1jC LIJ ±1 U± A' W .1

the domestic airline deriving more of its revenue from air cargo than frompassengers.

B. Government Organization and Regulation

90. The Department of Civil Aviation has been returned to the Ministryof Comn-unications and is responsible for the regulation and development cIcivil aviation. It maintains and operates Guyana's only international air-port, Atkinson Field, and is responsible for the maintenance and operationof air navigation aids and of airstrips in the interior. Construction ofnew airstrips is performed by the Roads Division at the request or theDepartment of Civil Aviation.

C. Airports

91. Atkinson Airport, constructed by U.S. forces during World War I,is Guyana's principal airfield. Six international airlines operate scheduledservices into Atkinson and the field serves as operational headquarters forthe land-based aircraft of Guyana Airways Corporation. Under a U.S. AID grantof US$1.5 million, the field is being rehabilitated and strengthened forservice by large jet aircraft without weight limitations. Included in thegrant are funds for a new terminal building. In 1965 there were over25,000 arrivals and a similar nimber of departures at Atkinson; over 3,OCOtons of air cargo were set down and 2,800 tons of air cargo picked up.

92. The interior airstrips are unsurfaced sod on dirt fields with nocontrol towers or navigation aids. Maintenance appears adequate. Sixteenof these strips are served by scheduled flights as are five water airdromes.

D. Guyana Airways Corporation

93. Taken over by the government in 1961, Guyana Airways Corporaticn(G.A.C.) is wholly owned by the government and operates as a semi-autonomous

- 33 -

corporation. Its fleet consists of four Dakota C-47's, two Grumman Goose2lAt's and one ressnn 310G. The total staff of the corporation has inerpeasegradually from 203 in 1961 to 226 in 1965. Revenues, operating costs 1/ and

(rnt +rr>11nTea-

1961 1962 1963 1964 1965 1966

Receipts 1/ 1,430 1,222 1,026 1,467 1,766 2,0070-eratlng co 1,606 1 1,409 1,795 1 72 2 J

Interest - - 22 65 78 65

Operating Ratio 112 122 137 122 106 105Deficit as percentage

of receipts 12 37 39 27 10 8

Source: Guyana Airways Corporation

94. Combined passenger and freight traffic increased by 25 percent ineach of the years 1964 and 1965 and continued to increase substantially in1966. (See Table 21.) Total passenaPr/kilometers filo'.n inereased from Iust

under 2 million in 1961 to 4.3 million in 1965. Over the same period,freight. t.on /kilcmetersr ariost nquaidnrl rle,l nat.tining almost 2R3 millinn in1965. Although the average daily utilization of the planes in 1965 wasrather low in terms of hours, the weight load factors for both types ofaircraft were high - over 75 percent and almost 70 percent respectively.

95. Several factors, however, combine to make the operations of theairlir,e *inefficient. nOne is tile need to maintaii-n t-wo bwuaseW s off operation,

one at Atkinson for land planes and the other at the ramp in Georgetown forsea-pl.anes. TLlhis results in duplicatlion of persoiine'L andU equipment. Anotherfactor is the operation and maintenance of three types of aircraft, two ofthem obsolete. LI1 le Grummans are especially Pinfi ent. -4 e ± e -, - -4--nt -

subsidizes the annual deficit of the corporation.

E. Officlal Development Program

96. r± rie 1i l icial de-velopmenrt program recosmiend's capital expenditurtlsof G$5.1 million for civil aviation facilities for the period 1966-72. 'Phiswould go entirely for airfields and air navigation aids, plus consolidat onof Guyana Airways operations at Atkinson Field. No provision is made in thegovernment program for replacement oI the obsolete air fleet. (See the tablebelow for details.)

1/ Including a charge for depreciation.

- 34 -

F. Suggested Investment Program

97. The corporation is now evaluating the replacement of the existingfleet of aircraft by two medium-load, short-range aircraft. These have ELseating configuration of 40 to 48, a payload of some 9,000 lbs. and wouldcost US$1 million each. The corporation would sell the Cessna and removethe Grummans from commercial operations, reserving them for emergencyair/sea rescue work. l/

98. Under the Canadian Aid Program, two twin engine Otters with aseating capacity of 19 each will be given outright to the corporation in1967. The mission recommends that consideration be given to the purchaseof 3 additional Otters instead of buying larger and more expensive aircraft.This would require an outlay of just under US$1 million (US$321,150 perplane with spare parts) instead of the US$2.6 - 2.7 million that purchaseof two of either of the other type of aircraft would require. Maintenan-ecosts would be reduced considerably by having only one type of aircraftin the fleet.

99. Consolidation of operations at an airport close to Georgetown isultimately going to be essential not only for reasons of operating efficiencybut also better to serve domestic traffic. Ogle airstrip, six miles from thecenter of Georgetown, now partly owned by a private sugar estate, recommendsitself as a possible site for the new, consolidated base for Guyana Airways.The corporation estimates that combining domestic operations at Ogle Airportwould resu]-t in annnua1 saving6 of some G.?773)000. Preliminary pre-investment surveys indicate the Ogle airstrip could be converted to theair bhns fcrr nl IPmm-re'inI dompst-er onpertions at a cost of about G$2

million, including a modest terminal building. The mission recommends,however, that the operationns Of the airline be consolidtd for now at

Atkinson Field and that the question of a possible shift to Ogle closerto Georgetown be deferred.

lOO. T utill,ze -Ul.ly a modern -l and-based fleet wlll.I require t new

airstrips at Mabaruma and Tumereng and two rebuilt airstrips at MathewsR;-Ldge anA Lwaw am . According to -.A.C., existing airstrips also equire

improvemen-t averaging G$50,000 each at Kamarang, Imbaimadai, Wicabai,Orinduilk, l1`raraM4ta , Apoter-i andA Ai;sbha-lton.

101. The investment program recommended by Guyana Airways Corporat:Lonfor new equipment is G$7 million. Such a large amount cannot be Justified.A more modes1t sLu of- G$1L.u M1LL4l±on woudU, however , enaeLLL te corporat4L4ion

to become more efficient and thus reduce the annual subsidy, for which -theDevelopmentt Program has earmarked the much enlarged s-um of' G$900,000 ,u

is need also to explore the need for and possible effects of rate increaseson net revenues. To utilize efficiently any investment program in domesticair transport, the management of the airline needs to be strengthened,especially in the engineering and technical departments.

l/ They were reportedly grounded at the end of 1966.

- 359 -

102. Some investment additional to that recoimmended in the DevelopmentProgrmr appears necessary to maintain comminications efficiently withremote interior points and to enable air transport to play its full rolei ni _.^.. n.r. Ai A _trol ^-,mcn TlnT ; tnar +mrvi+ 1 ^or_l c f 'r,v' r -ni-; ~rmn+ nl^Airstrip, consolidation of G.A.C. operation at Atkinson, and airstripsrec m.d d irn thne Development Progrnam -- A -suggestedA te- mission

compare as followqs:

(G$ thousand)

Official Suggested

A4.1--' A .3 /-'~~~~~~~~~~~~~ n Z1-,-'Progr&,,__ Pr.uuraif

At-knson,-. Iried- ,767 2,IConsolidation of G.A.C.

OperauioUrI ab At.kLInson 7uu 750Communications 220Interior Airports 630 1,850Ogle Airport 786 -New Aircraft - 1,800

Total: 5,103 7,000

103. It will take years and considerable investment to build penetrationroads to the points in the interior now served by air. The continued pro-

o-P -; - - -; - -Q - l; -T - - -4--- WAA; AA1E I -;- 4-1 4 4 - 4*1)4Jt .J± V .4 U± o.4pW J 1)aU.t.Jkt{V Vl...L >IUtJLt± CLU.1JJ4Lk '._lIVll U V 1 ±14 1 J ±11 X1 4 .4±'S

and will provide for more rapid extension of essential governmment service:3in health11, agriculture, euducatluion, fore:k6tL andI min-ingAI to these isoUlatedpoints. The sooner the new airstrips are built or existing ones improved,egle soor0er can passenger steamer service) be curtaid .t Utghl deficits(e.g., G$200,000 for the Bartica service) be curtailed.

AiLIEX I

GOVERIZvENT ROAD COSTS AND USER CHARGES

Governmentts Road Costs

1. Road costs include estimated annual depreciation of the roadsystem, interest on capital invested in roads and the costs of annualmaintenance and administration. The total estimated capital investmentin the road system is based on the estimated current replacement costof the roads to their present standard. Maintenance and administrationcosts are conservatively taken as the amounts spent for these purposesin 1965.

2. Most of the investment of the government is made on the Nationalsystem and it is the replacement costs for the 562 miles in the nationalsystem that are calculated here. Per mile construction costs vary betwieenG$120,000 for coastal road rehabilitation and G$300,000 for the Atkinson/Mackenzie Road now being constructed and vary further from an average ofG$160,000 for paved roads to G$100,000 for all-weather gravelled roads.The costs used are clearly conservative.

1eplacement Cost of Existing National Roads

Type of Length Unit Construction Total. ConstructionRoad _Liles Cost per Ifile Cost

(G$ million) (G$ millonT

Paved 205 0.16 32.8Gravelled 357 0.10 35.7

Total 562 68_5

4. Annual depreciation costs are applied on a straight-line basisover an economic life of 20 vyars for naved roads and 1 years forgravelled roads.

Type of Economic Total Replacement Annual DepreciationR___. T;ife (years) ost _ Gnot

(G$ million) (G$ million')

Paved 20 32.8 1.6Gravelied 15 35.7 2.h

Total 68.5 4.0

ANNEX 1

rcge 2

AibL[Ii-LLlg 10 peicent as a proper oppOitUIit, costL 01 capitaiand applying this rate to the undepreciated balance _ of the roadin.vest,ment, and taking 80 percent -' of the ly65 road mnulteuance andadministrative costs as properly chargeable to intercity road users,tle gUvermenItus annuiual road costs alocable to intercity road users 1Sestimated at G$7.2 million.

G$ million

Anniual depreciation of road system 4.0Interest on invested capital 1.7Maintenaiice of roads 1.3Administrative costs 0.2

Total 7.2

Tevel of Road users Tax Con.tribution

6. Revenues collected ln4 1 a portio,- ofP which are deri-edfrom road users, include duties on gasoline, diesel oil and lubricants;duties on vehicles, parts and tires; and road vehicle license fees.

7. Actual '4cense fees co'" ecteu -1 z 196 aro-arnte' 'o -L--$700,000LU uuu ' IV VI.

Effective July 1, 1966 new license fees were put into effect that will.;ncrease revenues from this source by an estimated G$4-00,000 anIually.

The new rates are used in the mission calculations.

8. Cnly a portion of the duties collected from imports of petro--leurn products, venicles and parts, and tires is a located to road users(including the interurban and urban traffic). The rest is attributedto general public revenues. The proportion assigned to all road usersis derived, somewhat arbitrarily, from the excess of the specific advalorem tariffs applicable to the above products over the average generaltariff rates applying to imports as a whole, respec,tvely for the Common-wealth preferential area and the rest of the world tL/. These lattergeneral import duty rates are 20 percent for the Commonwealth preferencearea and about 30 percent for other areas.

1/ Judged by the mission to be a minimal rate on the hbsis of its overalleconomic evaluation of Guyana.

2/ Taken conservatively as one-fouirth of the tot.al replacnemPen+ cost.3/ Based on discussion with the Roads Division.hI The rationale for this in aenernl would be that road users are also

citizens deriving general benefits from the tax system. It is alsotrue on the other hAnrd that the general public derives irect orindirect benefits from the road system.

ANiNEX 1

Page 3

5. In Guyana, with its limited and generally poor road system,a large percentage of the total traffic is actually in, rather thanbetween, the three major cities - Georgetown, New Amsterdam and Mackenzie.Since only intercity roads are the subject of this analysis, revenuescollected from users of city streets should not be regarded as road usercharges for intercity traffic. There is no reason why city street usersshould subsidize intercity traffic. In Guyana, intercity road trafficis estimated at only 70 percent of the total vehicle miles travelled in1965. This ratio is thus applied to all the import duty categories toobtain intercity road revenues.

10. Application of the annroach outlined under the existing struc-ture of tariffs in Guyana for gasoline and lubricants, motor vehicles andparts. and tires leads to the estimates for intercitv road users given inthe table for 1965.

1965

((114 rn i II irn ̂± (^.Yt~~~~~~~s ti ion)i pr

Estimated IntercityTotal Road RoadA User

Collections User Revenue Revenues

U|bo~~~~- v- -t*s w V w s

Dutie-s on gassoline, iJeSe_l

oil and lubricants 2.14 1.7 1.2.tiUJes on veiclesUj1 ani ajparts 2.3 1.1 0.8 -

Duties on ti.-es 0U4 0.1 ,1l aRoad Vehicle License Fees 1.1 1.1 0o1 -

Total 6.14h.0 2 u

n / Roclin~~deup

11. Theu 4st,S .atedZ `otiution froml nect odueso s.

1±1w~ LL.aL,e t~IconLLUrL ±LJIi.L -LiI11 t±i U~.LU.YI ±UdLU UOUL.~ (-L. UV4J _L

million is almost one-third of the government's annual road costs ofG$7.2 I ,millimon. As a result intercity road users receive currently anestimated annual subsidy from the government of about G$5 million. Themiethod employed probably overstates somewhat the size oI the annualindirect subsidy for intercity road users.

AMNEX II

COSTS AND REVENUES FOR DREDGING THE BERBICE CHP.NNEL

Thn Prohlpm anrd Stuieiis to Dnte

1. The princo of +hc) B1e-ric- anr 1imits+. the rarqft of shinp to18 feet at high tide. This restricts the tonnage per shipment oftJaL4Ji.. per k3 specitJL rJshllow drf baerge 6,ooo ts n-reuires acostly off-loading, stockpiling and reloading operation in Trinidad orte Venezuelan port of hierro w.hr..e ships .-,-e f,l ir ld bfore sil; ngfor United States ports. The use of larger ships, facilitated by audeepper, channel, 4oldreuc ---- -4-4taio cst i4-cnty~..ieJJJ. ~iO 1LL1=.L, ~VUULL_L I LUU L._ O'~U.A~J.Lt E dlJCIU. 4.ilC..'.

T.. ,Cvt:,-1 ._ __ 4.Lt.. --. P TT Q' AiM 4WL... TT C~ A - r-

L. .In 1962I u2nder the ausjJpices of U, S. ±LLU the U.IC . _.LJ C.oof Engineers made a test cut of the Bar using a boom-type dredge. J TheBar was dredged to a depth of 17 feet and a width of 200 feet for theouter 9 miles and 100 feet for the inner 4 miles. Except for one hardridge a-1out one mile wide encountered about -idway in the 1 ±,ile chann'which would require a cutter-head hydraulic dredge, the test proved thatdredging the bar was feasible with a boom dredge from an engrleer ingstandpoint. The study did not however deal with economic feasibility.Observation after the dredging showed that the shoaling rate for thedredged area was high. The U.S. Corps of Engineers recoraiended an over-depth dredging of 4 to 5 feet, an overwidth cut of 25 percent and asemi-annual dredging cycle to maintain the channel The analysis whichfollows is directed essentially to the financial viability of theproposed project from the viewpoint of the government fisc. This isonly one, though a major, aspect of a more general economic feasibilitystudy which ultimately would need to be carried out. Cursory attentionis also paid to the probable results of an economic study.

Revenues

3. The Reynolds Metals Company, which handles all Berbice bauxiteexports, now pays the government G$1.15 (US$0.67) per ton of bauxiteexported consisting of the following river and harbor fees and taxes(in G$): lighthouse dues (0.05); harbordues (0.30); royalties (0.25);export duties (0.45); import duties, average (o.08); and acreage fees(0.02).

4. The income tax paid by the company is at the rate of 45 percent

lJ Technically, Mean High lWater Spring Tide (MHJWST)

2/ An overboard disposal type of dredge which pumps dredged materialthrough a discharge pipe extended on a boom from the side of thevessel.

ANNM IIPage 2

of the difference betfeen presuned production costs and the FOB baseprice negotiated for income tax purposes. The present base price is

U5$10.28 2-10.io) per ton. No data on actual production costs areknown to the mission, but the company is reporting positive net income.

5. In 1965, Reynolds signed a 25-year agreement with thegovernment in which the comipanly agreed to expand production to 600,000tons per year for the period 1965-70, to 850,000 tons in each of thenext 5 years and 1,000,000 tons for each year thereafter. The companyalso agreed to pay minimum income taxes of US$250,000 for each year1965-69; Us$400,000 for each year 1970-74; and US$500,000 for each yearthereafter. The government in turn agreed not to increase dues, feesand taxes in a discriminatory way against bauxite and products. Theagreement provides for a graduated increase in harbor and other dues ofthe kind shown above, and an increase in the FOB base price (with thegovernment taking 45 percent of the increase in additional income taxes)on the condition that the channel be dredged and maintained for vesselsof various drafts as follows:

EquivalentNecessary Increase

Vessel Draft Depth of ,. In harbor Increase inMLWS Dredging:L/ Fees/ton FOB Base Price/ton

~feet) 7(US$) - :ET:

17 19 0e20 0.8520 22 0.26 l1.O22.5 24.5 0.31 l.8525 27 0.36 2.85

6. The total additional income to the government will thus varynot only with the volume of bauxite shipped but also with the denth of thedredged and maintained charnel. The company is now engaged in aninvestment program to expand production up to 1.6 million tons a year ifneed be independently of anydecision to dredge the channel; it isapparently profitable to do so even under present transnort conditions.Additional incorne to the government at various levels of production from1.6 to 3.0 million tons and denths nf a drlopp channenl frnm 19 Q I +.n 97,would range from a low of US$0.8 million at 19 feet and 1.6 million tonsto nearly US$h.5 million at 27 feet and 3 million tons (see Table below).

Costs

7. The costs of dredging and maintaining the Rerbice Bar are afunction of the volume moved by initial dredging, the volume moved forannual maintenance dredgrng +hereafter and the nnit costs respectively

1/ Assessed by the mission in consultation with the Ministry of Worksand H-4trA-l , -.

AN1TEX IIPage 3

of each type of dredging. In dredging the channel to 17 feet MLNST anda width of 200 feet for 9 miles and a width of 100 feet for h miles, theU.S. Cores of Engineers moved 5.0 million cubic yards in order to achievean effective removal of 2.8 million cubic yards from the channel.Observations by the Ministry of Niorks and Hydraulics after one year haveshoim the volume of siltation for this depth and cross section to be2.52 million cubic yards. Excluding any overdredging or overwidth clltas recommended by the U.S. Corps and allowing only for annual maintenancedredging, the following volumes are estimated for various depths:

TLenpth nrf (Tha-nnel VollYme of Volume offrom Everton initial Annual Siltation

Dpf-Ph beplonwr tO Se A"edging (Redred6ging)ILWTST (Statute miles) (miilions of cubic _ards)

- 19 19.6 8.7 6.2=22 20,7 130 7-Q

- 2 1/2 21.3 18.8 9.5- 07 01 0 2h.h 11.3

Source: Ministry of Works and Hydraulics in response to'LLssiffon req-uest.

8. The cost of initial dredging is estiated to be TJS$O,55 percubic yard of credited dredged material. This appears to be conservative;higner costs are being experienced in other recent dredging jobs aro-unrdthe world, or alleged lower costs turn out to reflect conditions farmore favorable than those met with in Guyana. Tne capital cost of initialdredging is assumed to be depreciated over a 20 year period and theopportunity cost of capital is assumed to be 10 percent. 7ne cost ofmaintenance dredging on an annual basis is also conservatively estimatedat US$0.35 per cubic yard of credited material. The following tableshows the estimated combined annual costs of initial dredging andredredging.

(US$; million)

AnnualCapital AmortizationCost of and Interest Annual Total Annual Cost

Depth below Initial on Invested Cost ofY17T]S Dredging Capital Redredging in US$ In G$

19 4.8 o.6 2.2 2.8 [.822 7.7 0.9 2.8 3.7 62324 1/2 10.3 1.2 3.3 4.5 7.f27 13.h4 16 4.o 5.6 9.6

Pa-ge 4'~

Net Financial Losses to the Government

9. The following table now summarizes the c.4mparison of annualcosts to the government with the annual "benefits" to it in the form ofadditional gross tax revenues.

ANNUAL NET REVENUES FROM DREDGING BERBICE BAR(US$ million)

Depth of Dredging19 feet 22 feetTotal

Annual Volume Total Annual Net Benefits Total Annual Yet BenefitEof shipments Annual Revenue Annuial Revenue(millions L.T.) Costs Benefits US$ G$ Costs Benefits US$ G$

1.6 2.80 .79 -2.01 -3.h5 3.70 1.24 -2.46 -4.222.0 2n80 .98 -1.82 -3.11 3.70 I = -3692.5 2.80 1.23 -1057 -2.69 3.70 1.93 -1.77 -3-033.0 2.80 l.h8 -1.32 -2.27 3.70 2.32 -1.38 -2.37

_ 24 -il// feet 27 fee+

_1 , Ar._W __o A A. ._ . .

2.0 h.5o 2001 -2.49 -4.,28 5,6o 2.96 -2.64 *-4,3h0. ffn ' I i nM n i AX r, e Yn -I on 2 )A4 A) j U L e. J E ±*.77 ).14L v)L *J' - )* J V -..LA.7J v J*). L

3.0 4.50 3.01 -149 -2.56 5.60 4h44 -1016 -1.99

10. fib ±Bfiajb up -u d e ixi±pine1o a sipmen -volume of 3 " r on sonsb wouldclearly take either substantially lower annual dredging costs or higheruA n geVtellUt u _UI' rvt1te rUVrftI Iflui bO U 't a VCl, tfl 0I'i1 Li liildLllldl V_±eWPjJOLu.

The use of a lower interest rate - say 6 percent - for the cost of capitalemuplo-yed would have only margina± influence on the annual co+sts withou+vchanging the conclusions. In all other respects, as noted, the missionfeels its cost estimates are conservative.

Changes in Agreed Base Prices Necessary to Avoid Fiscal Losses

11. Tne analysis set out above permits a simple calculation of theupward adjustment in base prices, under the government agreement with thecompany, that would be required iZieach case if the government weremerely to break even financially. / The results are as follows:

1J This is given by: Required Increase in base price = -e bo:,

AT!EX IIPage 5

Annual Increase Required in FOB Base Price per L.T.Volume (US$)ofShipments 19 feet 22 feet 21 1/2= feet 27 feet

1.6 2.8o 3.42 4.0 2 4.492.0 2.02 2.39 2.77 2.932.5 139 1.57 1.77 1,693.0 .98 1.02 1.10 .86

12. Even in the best of cases. with a volume of 3 million tons. anadditional adjustment of nearly US$l per ton wiould be required in theagvreed base nrice. It is of course assmmed in all cases that the additionsto base prices would be reflected in company net profits and thus inai-nrHintns to reenu-es=

Con siderations in Estilating Economic Benef its

-. 1. J -¼.Uj5

~ , 4L ~~ t/LI C ~ Jt - -L ~ - - J --J..L

the beneficiary of a dredged and maintained channel and they deal onlywith +1 he f-C-nclal costs anA rever.ues 4to 4the governm,en+. rN-, oth-er b.E5L"-

VV .J. vJ. 1t 4..JlII.,.a. .'t U'Cl .L4 aiU.CO LA QllAC E' V CLIU ItL1U 5 VJ ' UJC. L5 L

exports, sugar and rice, would benefit as would perhaps lumber shipmentsandU LbUik oi:L J1iJU.VoUO. ±I1e 1B)erb±LceL: arled.a prodUULo, L4U jJt U1LU e-Lc ofLLGyara's

sugar. This is shipped to Georgetown at a cost of about G$5 per ton.rI n 196 rn-a e d 300,00 vo--n -o sugMar. d-III ±Y'U ~ UL1dl Yi fBU UU,UUU UUI1,' Ul JUA1. ll ULLr:~ L' gruvcj OCLV4J1t:

in shipping costs would be 120,000 tons time G$5.00, or G$600,000. A newbulK loading sugar terminal would nave to be built in New Amsterdam aindheavy losses would result from the reduction in handling at the presentmodern G$o13 million sugar terminal now in operation at Georgetown, theinvestment in which is still being paid off.

14. The Berbice area produces about 45 percent of total riceexports. These are now shipped to Georgetown at a cost oI approximatelyG$4.00 per ton. Gross direct savings would be 40,000 tons at G$4-00 orGl$160,000 per year. Again, heavy losses would result from a reductionof tonnages handled by the new Georgetown rice blending and packing and eventhe older trading facilities that are yet far from amortized.

15. In 1965 some 44,000 tons of petroleum Iroducts were offloadedat New Amsterdam. The mission does not have information on any savingsthat might accrue to petroleum imports from a deeper channel or improvedport facilities at NeTg Amsterdam that would have to be built. Petroleumimports in 1965, however, totaled only 44,000 tons and it is obvious thattotal benefits would be minor. Similar conclusions are reached asregards the small volume of lumber shipments even potentially involvedfor the area.

16. The above sketchy analysis - for present lack of more adequate firmdata - appears to show that under its present agreement with Reynolds, aniydredging of a Berbice channel would cost the government substantial sums

I>nL'^ II

Page 6

annually. hne analysis also suggests tnat in all probability there isequally no present over-all economic justification for the project. Itappears that this conclusion could be reversed only if a convincingshowing could be made that bauxite transportation costs would be loweredenough by a deeper channel so that the comparny would be ready to re-negotiate the agreement with the government on a more adequate basis.There is also no evident immediate justification nor economic urgencyfor additional major technical or feasibility studies concerning theBerbice channel.

Table 3: GUYANA - INTEREST CHARGES ON GOVERNf14ENT OPERATED TRANSPORT SERVICES(Ithoulsands of (lyiana dollars)

A C T U A L ESTIMATE

Rai 1 'wrav 169 162 161 1'2 11r 1)46 1)46- I. I~~-L11- 394I7~- 10Steam,er Service 535 5 9 3 68

Harbo h~S±Aer-,ces 3 4 4 2 3 3 3

Bartica/Potaro inRoad 2 2 2 1 1 1 1

Air Ser-vices - 22 22 65 78 65 65

TOTAL 227 226 248 269 228 261 261

Sources: Accounts Offices of Transport and Harbors Department and GuyanaAirways Corporation

Table 2: GUYANA - FDIANCIAL OPERATION OF GOVERNMENT TRANSPORT SERVICESEXCEPT IN'TERZ'ST CIRRGES

(thousands of Guyana. dollars)

A c t u a 1 Estimate

EAST COAST RAILWAY: 1961 1962 1963 1964 1965 1966 1967Receipts 898 965 687 716 740 784 879Expenditure 1696 1593 1464 1609 1875 1714 1951Deficit 798 628 777 893 1135 930 1072

IAEST COAST RAILWAY:Receipts 454 464 339 403 449 504 559Expenditure 683 650 559 676 796 718 8324Deficit 229 184 220 273 347 214 275

STEAv1M SERVICES:Receipts 1526 1472 1209 1617 1862 2252 2446Expencditure 2529 2435 2273 2713 3048 2929 3233Deficit 1003 963 1064 1096 1186 677 787

HARBOR SERVICES:Receipts 888 1012 788 1035 1338 1288 1290Expenditure 553 592 519 651 660 71L 832Surplus 335 420 269 384 678 574 458

ROAD: B"'ticaa/Potaro:Receipts 133 125 100 94 73 90 123

penxdi-are 221 189 219 203 205 226 296Deficit 88 64 119 109 132 136 173

AIR SERVICES:a/Re_eipts 1430 1222 10269# 6 A 1766 196'7 2179Expenditure 1606 1496 1409 1795 1872 2092 2363Def icGit 176 2724 383 328 166 125 18A4

TOTAL DEFICITS (NET) 1959 1693 2294 3083 2964 15o8 2949

a/ Unlike the other services depreciation and interest on capital areincluded in the Expenditure Items.

Sources: Annual Report of the Transport and Harbors Department, 1961-64,and Return Sheets from the Accoint-n±ants of the T. &. HW D. nndGuyana Airways Corporation.

ANMEX IITPage 2

West Bank Demerara

is. This road not only serves two large sugar estates but alsoprov'des access to over 55,000 acres of fertile riverain land oncefully cultivated but partially abandoned in the 1930's. Realignment,widening and surfacing 4ill reduce transportation costs.

New Ansterdam-Crabwood Creek and Crabwood Creek South

5. Now in poor condition, this road fron the Berbice River eastof the Corentyne serves tlLree large suganr estates, the large Blac-k BushPolder rice scheme and considerable acreage devoted to truck farmingand livestock grazing= The Proposed extension of the road south along,the Corentyne River from Crabwood Creek will provide access to the bestvirg;in lands left in Gluyana0 A-p-cst half of the sugar and '-IA percentof the rice grown in the country comes from the zone of influence cfthiS entire route, plus tvhe Cane Creek area where a new road s planedand the lNew Amsterdam/Mara area where the road is slated for reconstruction1

Charity-S enaam

6. Largely unsurfaced and in poor condition, this road along thecoast west of the Esseq-aiuo River connxects numerolus viilages and serveslarge areas of cultivated lands improved by the TapakiLma drainage andirrigation scheme and devoted to the production of rice, coconuts,tropical fruits and livestock. Cultivated land within the zone of in-fluerce of the road covers almost 50,000 acreas and includes the manyfarms ealong the banks of the Pomeroon River. The proposed new construc-tion would reduce high road maintenance costs and cut the transportcosts of agricultural production shipped to Georgetown by coastalvessel and by truck.

Parika-Bartica

7. This proposed new road will not only provide Bartica with aland transport link to coastal areas, but will speed the development ofriverain lands on the Essequibo River. It would also provide a trunklink with numerous timber trails and provide an alternate route for th.eextraction of forest products. The road would also reduce the costs cftransporting crushed rock from the Makouri.a Quarry.

Bartica-Potaro-Issano

8. This road, now constructed only to Potaro would be Guivanalssecond penetration road to the interior0 It would serve gold and diamondmining activities, as well as tap new and extensive ti.mber lands. Itwould also serve the potential hydroelectric development at Tibcku,although the road can probably be justified on economic grounds withoutthe hydroelectric possibility.

Table 1: GUYANA - TRAFFIC ON GOVERNlMENT OPERATED CARRIERS EXCEPT AIR

A-- -1l

% Increase Averageor 1% Increae

Decroase or Decrease1961 1962 1963 1964 1965 1961-1965 1961-1965

1~~~t1 c~~~~~rp ('C)AA> Q '1 -I (I' PP TTTJAV .A~ I ( - Q

E-A-T CW.T PDA T7^TVAV-

Plassengers(00) 2310° 2269n 11714 -I6411 -16f72 -1 21LUUI r.L'JL. f- LL7 .L.L- IL4 J.AL4JL .L~j I c - -4.1 4

(Long tons)

WEST COAST RAILWAY:

Passengers(300) 1720 1775 1284 1451 1914 + 11 + 2

Freight (000) 23 22 18 16 17 - 26 - 5

C' r ,nr' -. - t rrnn.-

STz-- ANDFnR

SERVICES:

Passengers(OOO) 4241 4205 3384 3762 4699 + 10 + 2

Freight (000) 118 110 76 107 105 - 11 2(Long tons)

ELRTICA/POTARO ROAD:

Passengers(OOO) 6 6 7 7 8 + 33 + 7

Freight (000) 2 2 1 1 1 - 50 - 10(Long tons)

So-rce: 1Annual Report of the T -,ort- &YHarbors Department 1961-61, andDraft of Annual Report, 1965.

STATISTICAL APPENDIX

Table No.

1. Traffic on Government Operated Carriers Except Air2. Financial Operation of Government Transport Services

Except Interest Charges3. Interest Charges on Government Operated Transport Services4. Selected Passenger Fares on Government Operated Services5. Financ-ial Operation of Government Ferry Services6. Reil Vehicles7. Selected Rail and Shipping Freight Rates8. Number of Passengers Carried from each Station on the

East Coast RailwTay during the Year9. Road Classification

10. Guyana Roads Tn-,stme2nt Pro-ram.11. Unit Prices on Road Construction

liA. Geor,etrc Design Standards for Secondary RoadsllB. Geometric Design Standards for Rural Primary iighways

12 Vehicles in >`rculation13. Road Construction Costs by Item, Foreign and Local Currencyi4~. Veh-cle L-.cense Fees Effecti-e July 1, 196615. Duties and Collections of Notor Vehicles and Spare Parts

Ir,mports16. Ports: lharf Characteristics17. Port Cargo Statistics18. Traffic at Ports19. Guyana Airways Corporation, Traffic StatistiCS, 196L-L965

Chart I: Proposes Roads Division, 1967

MANEX IIIPage L

Georgetown from Lethem would not have to bear high air transportrates. Potential trade and commerce with Northern Brazil would beencouraged. However, before this road is constructed, it shouldbe the subject of an intensive economic feasibility study to deter-mine whether sufficient traffic would be generated to warrant itsconstruction. This appears to be at least several years off (after1972).

ANNEX III

ROAD PROJECTS DESCRIPTIOINS

Atkinson 'i eld-Mackenzie

1. As the first main road to penetrate the interior, this roadrepresents the first stage of a road that ultimately is supposed toconnect Lethem in the Rupununi savannahs and on the Brazilian border,with the capital city of Georgetownx By itself, it will connectMackenzie, the largest mining community in the country:J./ with thedensely-populated cost. It mill permit access to moderately fertileriverain land, some of which is already earmarked for the productionof bananas. citrus and small animal husbandry. Serving perhaps 50,000acres of arable land, it is estiimated that potentially this road couldstimulate an appreciable increase in agricultural production in thearea, although its near-term benefit/cost ratio does not appear to befavorable. owing to overdesign for Dresent needs. However. no definitivecost/benefit or rate of return analyses have been made as yet for thisroad or the nrolpnts twhir.h follotw

r,eorgetow^n -Posignol

2. Connecting the estuaries of +the nemernra and the BerbinGRivers, this road parallels the coast and serves the most densely-pop.~jJ ul-.afed.4. araL Or O the uA Its presen coFnr.Ltinn is poo -fCr nnri

parts need realignment to eliminate right-angle curves. The newAS % _ r _L A A A ±j U; _ A v A .1h_. 1 , t U T J .-nt e + .4. .

6 feet. The reconstruction will reduce significantly the high costof m<vatn Indc 1 (G$4,00 e ML) ,,. ric larAs wihi thezonVi L kI~.c1~~ U1P4,UV'.J Pt..L' 11LL..t± *I. lUe r.JAAL ±d.±iA .L NLUS.LJ..1 A.iSC 144

of influence of the road (over 260,000 acreas) are planted mainlywith s-ugarcare arld rice. The reconstr-uced road will reduce thecosts of transporting these major comnodities to Georgetown0

Parika-Vreed-en-Hoop

3. Linking the estuaries of the Demerara and the Essequiborivers, this road serves an area of intensive agricultural activityof some 56,000 acres that includes two large sugar estates and theBoeraserie irrigation and drainage project, In poor condition, itsreconstruction to a width of 20 feet with h to 6 foot shoulders uillreduce maintenance costs and high vehicle operating costs. The roadalso will serve as the first link of Bartica in the interior.

1/ It is not expected that the mining company itself (DviDMA) willhave any significant economic use for the road.

Table 4: GUYANA - SELECTED PASSENGER FARES ON GOVERNMENTOPERATED SERVICES

Guyana Dollars

First Class Second ClassMode Schedule Single Return Single Return

Ferry Demerara./ and Berbice .15 .30 - -

Steamer Georgetown-Pickersgill 6.60 9.90 h,26 6.39

Steamer Georgetown-Charity 5.95 8.93 3.81 5.72

Steamer New Amsterdam-Kwakwani 8.60 12.90 5.66 8.49

launch New Amsterdmm-hnmruma 2.95 A _A 2.0o 3.75

Rail roPnrrtnTwn-NPw Am9terdnm QF9 6.71 27 5 3- 0

RAil Vre-en-Hoop-Pnri1a 1.62 2.23 1 47

Ferry-RailSteamner Georgetown-Bartica 4.74 6.91 3,00 h44o

V^c,+ fare cue callc~'Iated ffor f-Ust- class at dq,2 per m11ile

for first 60 miles and 51 per mile for additional mileage; for secondc'lass a4 lf. per mlle for -firstj-Kn- 60 ,,le -ar. 3.5 per r.lle f or additi- ;--1onalIL ' .., )Y Y~. L Li -. L± L U UV~ JILL-LD 111U ).) J± III±±-Lt .iJ. clULL L UUJL

fares. Return tickets are calculated at 1.5 times the single fare. Canjereek laurch service f.ares are calculauRecd at sbtraighnt r- per mile. On zasu

Coast Railroad second class fares are calculated at 5¢! per mile for first22 I es and d pe-r mile for UTatadditional mileage. rot.aro Road obUservice is calculated at 69 and 3.5! per mile for first and second class.

1/ Reduced to 0.06 on two schedules per day each way for Demerara Ferry

Source: Transport and Harbors Department; Revised Fares and Freight Rates,March 1, 1966.

Table 5: GUYANA - FINANCIAL OPERATION OF GOVEI9N14NT FERRY SERVICES(thousands G$)

1961 1962 1963 1964 1965 1966

Demerara Ferry

Operating Costs 585 h99 512 538 598 '593Revenue 407 406 344 429 506 622Tnterest charges. etc. 17 19 19 16 10 12

Nef-t. neficit1 195 112 187 125 102 17(siirplus)

Operating Costs 294' 22)i I18) 237 251 212Revenue 190 173 148 180 192 268I.nterest Charges, etc 11 12 12 10 6 10

Net Deficit 115 63 )h8 67 65 __6

(surplus-)

Source: Accountant:s Oiiice, TranspUoU aUU i-Saroors vepartmexm.

Tnale 6: r.TTYVA\TAA = PATT. UTTTT.'

V, s4 roaS4 D,4 I--

U ~ yp '.M UI 1iL± Id.

uarriages

Vans (including postoflice) 17

Steam Engines 6

Diesel Electric Engines 3

Diesel Mecharical Engines 4

Power Cars (Gasoline Mechanical) 2

West Coast Railroad

Type Number

Carriages 22

Vans (including postoffice) 4

Diesel Mechanical Engines 8

Source: Transport and Harbors Department.

Table 7: GUYANA - SELECTED RAIL AND SHIPPIi-IG FREIUHT RATES

(G dollars)

PARCEL RATES

Up to 4-12 12-28 28-42 42-56 60-8L4 8-112Distance 4 lbs. lbs. lbs. lbs. lbs. lbs. lbs.

1-12 miles .25 .25 .38 .48 .59 .78 .9612-33 miles .25 .25 .39 .59 .78 96 1a.633-50 miles .25 .33 .48 .68 .98 1.07 1.35Over 50 miles .30 .48 .59 *78 1a07 l1.6 1.35

Cattle - 7 cents per head per mile.

There are Live tariff classifications, Class A through Class E(Pe to.-n in4. I I Lad lrs )

Miles Class A Class B Class C Class D Class E

1 2.13 2.50 25 2.6o10 2.64 3.00 3.36 3.84 4.32)20 2.88 3.60 84,32 5.28 6.21430 3.03 4.01 4.90 6.15 7.4C)

140 3.1e u.37 5.38 6.87 8.36'50 3.27 4.73 5.86 7.59 9,3L60 o.3v 5.09 6c34 8.31 10.28

CLASSES OF SELECTED COITIODITIES

CCI',F1ODITIES CLASS

Ballast, stone, clay, earth ACh-arcoal, fLne clay, rice, coconuts BCement in bags, canned goods, bricks CBatteries, plows, machinery DGlass, firearms, cameras E

Source: Transport and Harbors Department

9. L: GUYANA - 7N1,D<2- OY .A'.SENCE-RS CAflTRIfD E';lp,C EACH ST1O *uN THEL' ' iST COAST BAIL-AY DURLIG TH±n YriB. 1965

OUTDO UM3 -

Gsorge- PlLai- Beterver.- Golden Fort NewStation town Kitty sance wagting Buxton E&unore Grove Belfield Clonbrook Manaica 1 3.haicncy Ourna Welliagi- Rosignol Amsterdam TotLal

ton

Georgetown - 5,069 70,003 95,631 90,D01 15,875 12, i31 9,763 22,248 66,,:L2 9,915 2,:310 4,291 ",000 110,4DD 523,149

::itty 5,410 - 46,0ool 8,005 5,607 9,805 3,021 2,017 12,673 6,713 5,660 3,170 3,001 2,1o0 20,100 133,793

.rlaisance 94,285 40,003 - 12,791 18,705 2,405 500 100 3,011 2,/411 320 90 4D 400 2,507 177,568

Beterven4agting 26, 111 8,173 7,093 - 6,001 1,091 2,104 611 5,t697 3,484 421 201 200 201 2,506 63,t94

hLxton 60,003 4,062 18,561L 6,001 - 3,501 3,568 3,005 6,091 2,06i0 5,621 250 10D 300 2,101 115,224

*rurore 1, 611 2,501 921 900 3,591 - 700 13,003 3,000 5,/410 3,000 200 30D 209 2,600 35,246

Golden Grove '7,703 1,510 2C0 1,191 3,D00 700 - 700 16,023 11,3:L2 4,310 71 91 500 820 48,131

]3elfield 7, 51-1 1,563 3C0 700 3,200 11,521 800 - 10,i0O 5,003 4,291 100 59 190 810 46,548

Clonbrc,ok 16S231 17,001 2,010 3,000 4,531 2,700 13,014 1C,103 -- 10,L4O 600 300 147 300 1,993 82,070

14ahaica. 28,153 6,305 931 1,000 1,505 3,507 9,415 3,821 4,100 _ 3,201 :L60 83 400 6,001 68,592

IEhaiccony 6, 509 3,510 5CO 500 411 80 197 101 300 1,9L20 - 563 150 489 2,810 17,240

Ruama 1L,510 1,306 4,703 398 300 150 90 100 200 195 987 130 311 1,007 11,887

Fort Wlellington 1,000 S91 6 30 50 80 30 30 80 40 60 30 - 200 5,020 7,547

Rosigncl '7,005 1,600 300 301 399 300 287 150 2'00 723 1,023 250 2,208 - - 14,746

New Amaterdan 109,021 22,313 2,911 :1,810 2,700 3,210 999 900 3,006 6,3:L1 4,891 950 3,343 - - 162,'64

Total 372,063 116,807 154,439 132,258 140,501 54,925 47,356 44,404 87,130 121,6:33 41,600 8,4.45 14,143 15,110 158,675 1.,508,799

znource: Transport and Harbors Departmsnt

Table c9: GrUYANA - ROAI) CLkSSIFICATION(Miles)

Earth, Roads U[nimprovedStone or graded & drained Roads

Total Pavied Burnt-earth (all weather) (Fair weather)

National System 129'7 219 254 357 397

DecleLred Public Roads 561 2:19 174 168 -Other Roads * 66 6 - 80 189 :397

Provincial System 302 :16 144 1L42

Local Authority Roads 300 :16 142 1L42W,.anna - Yarabita 2 - - 2

UrbaLn System 11,3 88 25

Greorgetown 53 53 _ _New Amsterdam 17 2 15 -Govt. Housing Es-tate Roads in

Suburb's of Georgetown L13 33 10

TOTAL 1612 323 279 501 t,39

* Kumaka -- nuebanna 22 lismar-Rockstone 20Rupununi. Savannahs 1469 A.4akouria-Sandhills 20Atkinson-Macken2ie 'Konawaruk Trail Road. ]

trail (RoaIds 2) L20 Total

Source: Roads Division.

Tahle 10; GUYANi, ROALDS I'TVFS7TIT'IT PORO(RAM- ~ (rJt million'

Total PercentEstimated Foreign Actua:L

Proj-ect Mdiles Cost Exchange 1966 1967 1968 1969 197'0 1971 1972

Atkinson Field - Macrkenzie i05 15.0 85 1.l 7.0 4,.9 - - -

Vreed-en-H0oop -- Parika 21 7.3 66 0.2 0.1 3.1 L.0 .- - -

Georgetowr - Rosignol 66 12.0 0 .3 1A . 2.0 1.8 - -

;ireater Georgetown (Stage i) 9 1.9 n.a. C.2 C.1 o0,O o.6 0.6 - -

Charity - Supenaam 38 6.o 67 C.8 o.8 1.5 1.5 1i. -

New Amstardam - Crabwood Creek 50 11..0 77 0.4 - 3.l 0.1 3.5 - _

Crabwood Creek - Little Mola Sa Creek 9 1.0 n.a. - - - 0.3 0.7 - -

Plack Bush Folder 22 1.0 n.a. - - - 0.0 0.6 _ _

Georgetown - Atkinson Field 32 2.5 50 0.3 0.1 0. 5 0.5 G.C C.6 _

Vreed-en-Hoop .- Vreed-en-Stain 15 2,5 77 0.2 - - - 0.8 1.0 o.6

Canals Polder I0 1.0 56 - - - - - 0.5 0.5

Branch Roads (Stage I) 10 1.0 n,a. - - 0.2 0.2 0.2 0.2I 0.2

Greater Georgetown (Stage II) 6 1.6 n.a. - - - - 0.8 0.8

East Canje 9 1.5 61 - - - - - 0.5 1.0

New Amsterdam - Mara 25 3.8 60 _- - - 1.3 1. 3r

Essequibo Islands 31 2.5 60 - - - _ _ 0.5 1.0*

Parima - Bartila 36 ll.0 63 - - - _ _ 0.1 0.>

Bartica - Potaro and other Interior Roads 703 2L.0 n,a. 0.1 - -- -_ll

Surveys and Equipment - 2.6 _ 0.2 0.5 0.6 o.6 o.6 O.6D 0.6

Total to full completion 109.6 7. 8 10.0 18.8 :W.6 10.7 l.' 10.1

Total 1966-1972 only 82.1

Additiona,l Roads After 1972

Branch Roads (Stage II) 00 2.59

Greater Georgetown (Stage IIT) 07 9.2

Wisrar - Rockstone 17 1.0L

MarxL - Tcrani 20 3.6

Onsverwagt - Abary 7 1.0

Mackenzie - Lethem 260 16.0)

Ituni - Ebini - Kwakwani 70 5.0

Bartica .- Potaro and other Interior Roacls 703 2L.0

Village Roads 100 5.0

Sub-total 68.1

our-ct Tonads becompleond Manfatry of 1972 rks. nd

tiTo be, completed afte:r 1972 .

Iable 11: GJYANA - UNIT PRICES OF ROAD CONSTRUCTION

1. Direct labor on Force AccountRate

I te Unit (G$)

Enbankment and subgrade yd3 1.50Side Slopes (clay) yd3 0,80Berms (clay) yd3 0.40Sub-base (mechanizally stabilized) yd3 4.30Base (sand asphalt - in situ) yd3 11.30Base (sand asphalt plant mlx) ton 17A36Shoulders (burnt earth) yd3 8650Surface (asphaltic concrete) ton 21.50

2. Local Contractor

Item Unit Rate

Cleaning and grubbing acre 120.00Subgrade (grade and level) yd2 0.63Sub-base (sand) yd.i 4.00Base (mechanically stabilized) yd3 5.50Prime Coat (bituminous) yd2 0.90

3, Foreign Contractor

Item Unit Rate

Clearing acre 755.00Grubbinz acre 458.00Excavation (swamp) yd3 1.02Excavation (foundation for structures) vd3 2019Sub-base (stabilized) yd3 1hl4Embankment yd3 1.02Base Course (5-1/2 plant hot mix) yd2 4h,15Surface (2-1/2 asphalt concrete) yd2 2-72

Source: Roads Di vison

Table? JiA: GUYA1M

___ GEOMETRIC DE'SIGN STANDARDS FOR SECONDARY ROADS-___ANN UAL DESIGN MAX Im (J MAXIMUM S 2'OPPI NG WIDTH OF NOTES.AVERAGE SPEELI DEGREE OF IPERCENT SIGHT SURFACING I INCLUDES 2 FLUSH NMEDIANI, 6' PARKING LAN4ES.DAILY TERRAIN M P.H CUi PVATURE OF GRADE Di ST ANCE OR PAVEM7NT ;2 INCLUDES 2' FLUSFI MEDIAN OR TRAFFICTRAFFIC--

- -.- _- -VOLUME DES. Ml)N. DS. AkBS. DES. ABS. DESE. 'VMN. DES. MIN SEPARATOR

0'V~~ 70D F L AT 60) 50 _ ( 4* 3) 5010 350' 58', 46r'z(s uJB (R BA N) ROLLING 5C) 50 30 160 5 0/ 7% N 350' 5 8' 4.6'2.

2500 TO 71 F LAT 60_ _5 0 I0 40 3 0/ 50/ 3!50' 4 4' _ 6'(SUBURBAN R.LING 50 '5 0 30 6B 1 5% ll~ 1% -__350'j 44' 361_~__________

ANNUAL D E SIGN MAXIMUM MA X.MUM S [OPPNlG PASSiNG WIDTH OF wiDTH ROA DAVE'RAGE- SPFE ED DEGREE OF PERCENT SIGoHT SIGHT' SURFACING OF RESERVE'DAkILY TERRAIN M4.~ H CJRVA TIJRE OF GRADE DISTANC.E DISTANCE OR PAVEME-NT SHOULDER WIDTHT R AFF IC___VOLUME __ ___ DES NMIN DES. ABS DES ABS. DES. MIN M4IN. DES MIN CUT. FIL.L. (ES. MIN.-

FLAT 70, TO (0 40 30O/C 3% 600', 3000' 2 2' 20O' 6' 8' (00'ROLLING 70I 650 30 60 3%I/C 6 % 475' 21 00' 22' 20' 6 8' (00'1000 TO 40 0 C. - - ------.

_ _ _ _ _ _ _ _MOUNTAINOUS LIGHT 60 ~4560 fill 5% 71% 3"50' (5 00' 2 2' 20' 4' 6'1 00'____ ____ ~~~HCAVY 45 :35 n0 2D0 5oI/C, 7% __ 2,40' I Ioo' 2 2' 20' 4 6' (00'-FLAT 6.0 !50 60 90 5 % 7% 475' 350' ( 700' 20O' [ B' 4' * 400 T'O 1000 ROLLING 50') 4 0 90 (40 6%. ~8% 350' 27 5' (300' 20' (8' 4' 'f 80'I 50'MOUINTAINOUS 40 C :30 (40 25" 7%1/ 10% 2 75' 200) ' 800'C) 20' (8'3 4 ' 5 80' 50'FLAT 55 45 76 1(0 5%, 8 % 415'- - 20'-(6' 4 ' -' 80' 50'100 TO 400 ROLLING __ 45 -35 II6 80 7% (%/ 315' 20' 6' 4' 4' s0' 50'IMOUNTAINO0US 35- 25 180 360 90/6 (120 2 40" _ 20' 113' 4' 4i 80'50FLAT 50 40 _(40 5% 1 8% 16' 6 ' 4 0 40'0~ TCI 100 ROLLIN_G _ __40_ 30 250 70/o 12% I6' (6' 4' 4' 80' 40'MOUNTAINOUS 30 j 20 T 51 04(5 I 6 {o ('6'T4 80'l 4C0

Table JiB: GU YANA

GEOMETRICD DESIGN STANDARDSi FOR RUIRAL. PRIMARY HIGHWAYYS!) E S ! GN MAXIMUM MAXIMUM 'MINIMUM MIN r!r,u I)' DR A D

FIOAD SPEED DEGREE OF PERCENT STOPPING PASSN c: LANE SHWUDER MENIA RESERVETERRAI M-P- CURVNTUREOF GRADE SIGHT jSIGHT CD4 WIDTH W W DTH WIDTH

CLASSIFICATION TERRAIN MPH CURVATURE Of |DISTANCE! DISTANCE CD ___ _ _ _ . WITCLASSIFICATION -- ____ ____ ___ ____ ____ ___ -~~~~~~~~~~~~~~~~~~~~ -- ES NDES( M_IN. IDES AABS IDES ABSI DE ABS DES I - O DES. MIN CUTIL MIN DES MINF ____ I-AT 70 - S 4° SA% I (;g$ 1 - I_ --- ___ 4 _ -D I I E AIMS 4 30 A 16(

C 40 A I RL NG70 ;0 I6° 3 / I6% ;oo 75' - _I_ , 8 L 'r I 0' LT. |0 LI(

DI VI DE D M0UNTAIN0US LIGHT 6 ~~0 74 _5~ 6° 3I ' 1° 609I7 7 351-I- 4 1 P|6'L 'E|3 6FLAT 70 70 13 3% 600 600' 3 11' 1 8 1 I _ - I 1 4 _ _ _ _ _ - __

CLASS I R)OLLING _70 E; 0 -30 6° 3I 6 % 600 -475' 4°2C 2 I 1 II 8' _ IO_D 4__' 30' - 16_0I-j 6'LT. ~~~~~~~Th7

UN DI V IDE D M0TAINOUSLIGHT 60 40 5 6 °I0 5/O 70% 475' 325' - 4 II' I I_6 _ED. 30 4' 160 I

.____ _ ___|__HEAVY 45 35 5 I 200 5% 7% 325' 2 5 0' 4__ i' II I'MED 6'MED 30 4 - 160 F L A T 7 0 '70 ° 0 4 0 35 % 3 0/ 600' 6 00' 30C 30 00' 2 I' II' 8' 1' T - |130 I I O '

FtA 70 _ _ _ -_ . _ . _ S|_

CLASS I ROLLINIG 70 60 30 6o 0 3% /o % 500' 47517300 2100' 2 I I' 8 ' 10 -| - - I lC,UNDI VIDE D LI G HT 6 0 4 5 6 0 1_10 5_ 9 7_/ 475' 325'I2100 -500- 2 II' II' 6' '- IMOUNTAINIOUS HEV 53 I 205 2 2 I K' ' - - - 10

______ ______~~~~ EAVY 5 3 ___ 20_ 59o 7% -52 ' 50''1500 1100' 2__I_II 4_ -6 I-o

FL-AT _____ 60 5 0 6 0 9 0 50/Y 70/a 475' 350' I2100' 1700' 2 1 I' 9' '6 ' - 110' 80O'

CLASS 11 ROLLING 50 4 0 9 0 14 0 6%Yo 8 % 350' 275' 1700' 1300O' 2 L8 94 6 6 8 ' - of80

. MOUNTAINOUS 40 0 3 140 250c 7 yIO 0%| 2 75' 200' 1300 800' 2 1 9 8 4' 6 ' o - 0' 8

__ _ _ _ _ __ ___ _ _ __ __ _ -_ _ '__ T ' --

FL-AT 60 5 0 60* 9 0 5% 7 % 475' 350' 2100' 1700D ' 2 10 8' ' 8 '6-_- 80' 5 0'CLASS IIII ROLLING 50 40 90 1401 6%9 8 % 13 50' 275' 170 0113 00' 2 10' 8' 4' is ' - - 80

_______ ~~~~~MOUNTAINOUS -4-0 3 0 140 2 50 7% c10 IC, 275' 200O' 1300'I 800' - Io'8{ ~4' 6' 80c' 5C)'

N 0 TE E.1 FPASSING ZONES lTO BE PROVIDED AT INTERVALS NOT GREATER

THAN 2 MILES APART AND PREFERABLY I MILE APART.

2 MINIMUM MEDIAN 8 RIGHT OF WAY WIDTHS SHALL NOTNECESSARILY APPLY WHEN PHYSICAL CONDIT IONS MAKETHEM EXCESSIVELY COSTLY.

Table 12: GUYANA - VEHICLES iN CIRCULATION

Year Cars Vans Trucks Buses Total

1956 6396 340 2110 109 8,9;51957 7333 394 2267 116 10,1101958 8228 450 2425 101 11,20)41959 9063 528 2533 119 12,2)431960 10297 631 2687 138 13,7531961 :11486 733 2917 149 15,2851962 :10812 781 2891 133 14,6171963 8060 623 1373 118 10,174196)4 9121 873 1434 126 11,55541965 :10463 985 1762 143 13,353

Source: Roads Division.

Table 13: GUTYANA - R(An GC)NSTRUCTION GC(YTS BY

ITETYI, FOREIGN AND LOCAL CURRENCY

Unit Dollars Dollars Guyana Dollars

Clearing acre 75.00 4000.0 755.00

Grubbing acre 67.00 230.00 458.00

Excavation (swamp) yd3 0.17 0.50 1.02

Excavation (foundationand structures) yd3 0.25 0.85 2.19

Sub-base (stabiMlized) yd3 0.22 0.70 1.41

Embankment yd3 0.17 0.50 1.02

Base Course (5-1/2 inchplant mix hot bitumen) yd2 0.75 2.00 .15

Surface (2-1/2 inchasphalt c:oncrete) ydc 0.51 1.30 2.75

Source: Roads Division

Note: The foreign currency component, including equipment costs, variesbetween 60 and 75 percent of total costs.

Table i4: GUYANA - VEHICLE LICENSE FEES EFFECTIVE JULY 1, 1966

GuyanaPrivate Cars Dollars

Under 2240 lbs. 4522h0 - 3000 lbs. 60Eyceeding 3000 lbs. 75

For Hire Cars

Under 2240 lbs. 602?40 - 3000 lbs. 75Exceeding 3000 lbs. 90

Motor Bus (nrivatp)

Under 1)[ nerso,ns 10014 persons and over 200

Motor Eus (for hire)

Georgeto<n & New Amsterdam 120TTn-a.- 1)4 1 120

14 persons & over 300

Goods Vehicles

Payload up to 10 cwt. 100Pay.LudU ubuewuli ' cu . & 2 Uoris 200

Paylcad between 2 - 5 tcns 300Payload o-ver 5 UWs 4°°

to tor c ycies

Less than 200 lbs. 10Exceeding 200 lbs0 15Having 3 wheels 20

Source: Budget Speech of Finance minster 1966.

rabl( 2 $1 GuYANA - 'DUTIES AOD COLLECTIONS GIN MC)TOR VEHIE.CLESAND SPARE PARTS IMPORTS

Rates of Duty DNLty PaidPreferential General General Pre!ferential Total

G$ 000

Motorcars under 3,000 lbs. 40 60 26.2 318,9 3145,0

Motorcars over 3,000 lbs0 40 6c0 6,9 12.3 :9o2

Station wagons, ambulances, etc. 40 60. 27.9 27.9

Motorcycles under 75 cc. 30 50 30o.4 lo L31.5

Motorcycles over 75 cc. 40 60 90.4 24.8 .34.2

Trucks, lorries and vans 30 50 8.1 55.6 63.7

Trucks, lorries and van parts 30 5C 2.4 47.2 149.6

Trucks, lorries, vans and parts foruse in the interior or in industry 3 el 12.2 2,9 1501

Buses 30 50C - 9, 6 9.6

Chassis oif certain ve'hicles 40 60 - 68. 3 68.3

Motorcar parts and other parts 40 60 12.6 66.7 79.3

Motorcycle parts 4o 60 8.4 5.3 13.7

Totals 116,6 64o.5 757.1

Source: 'Stat.istical Office

Table 16. GUYANA - PORTS: WHMARF CHARACTERISTICS

DepthFrontage MIWS

Georgetown Feet Feet

Owners

Bookers La Penitence 680 16Sprostons No. 2 6o 18Bookers No. 1 and J. P. Santos 414 16Sanbach Parker °4 15Sprostons No. 1 372 19Wieting and Rischter 280 -18ABookers No. 2 282 18Gfover'ment (T.D.H. Goods) 420 18.5Sugar Terminal 420 20Rice TAJ'harf 315 1Molasses Terminal 60 17Tim-ber .Tharf 200 16

New hAmsterdam

%Jwllers

T & H. D. 342 11Blairmont Estate 152 11.5Rice 'vnarf 39 5Providence Estate 67 8Oil 'Mharf Heathburn 60 20Wrefords Esso Oil 30 7.5

Source: Transport and Harbors Department.

Table 17: GUYANA - PORI' CARGO STATI:STICS"tThousands of Metric Tons)

Year All Ports George town __ _ _ -New AmsterdamLoaided Unloaded Loaded Percent Unloaded Percent Lozaded Percent Unloaded Percent

1'956 25,24 402 2306 91 321 95 216 8 20 5

1957 2L1i9 431 2139 87 C6 94 310 13 25 6

1958 18o% 398 1,636 91 373 94 169 9 ;'5 6

1'359 1987 402 1,821 92 380 95 166 8 22 5

1960 2615 524 2396 92 483 92 207 8 l41 8

1'961 23,38 599 1985 85 557 93 340 14 141 7

1962 28652 594 2125 75 553 93 479 17 140 7

1i963 2274 565 1767 78 523 93 315 1.4 140 7

1964 2261 667 1798 79 612 92 324 14 4h4 7

1S'65 26.35 783 2077 79 724 92 394 15 44 6

Source: Comptroller of Customs and E:xcise

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Table 19: GUYAWA - GUYkNA AIRWJAYS CORPORATION , TRI]FFIC STATISTLCS, 1961-1965

1961L 1962 1913 1964 19t65

DAKOTAS]

Passengers Carried,point to poi nt 5,925 5,660 8,174 15, 302 18,560

PassengerAKilometers :1,17 6,27 C 1,162,888 1,571,515 2,817,804 3, 164,481

Freight Ton/Kilometers 706,42)0 494,169 720,275 1,191, 080 1,359,257

Weight load Factor 58. 5% 58.8% 67.8% 71-7% 7507

Passengers Carried,poirlt to poi nt 6,696 6,901 5,471 8,592 7, 960

PassengerA/ilometers 764, 189 805,237 651, 240 1,028,151 908,572

Freight Ton/Kilometers 11,178 12,082 11,316 18,586 4I ,867

Weight load Factor 71.0% 66.3%1 61.8co 71.7% 65'5%

11 Does not inclucde local and overseaS charter flights

Source: Guyanet Airways Corporation