NGC's Focus on Profits Raises Concerns Over Long-Term Strategy

The National Gas Company of Trinidad and Tobago (NGC) has been instrumental in maximizing the value of the country's natural gas resources over its 51-year history. Both major political parties have aligned on NGC's value-adding role, but each party claims to have done better under their stewardship.

NGC has fulfilled various roles throughout its history, including purchasing, compressing, transporting, and selling natural gas to commercial and industrial users. In the 1990s, it transitioned into a prime mover in gas-based development, playing a pivotal role in constructing liquefied natural gas (LNG) trains and attracting international investors.

However, NGC's focus on short-term profits has raised concerns. The company has signed shorter-term supply agreements with downstream companies, which may not be the best strategy for long-term success. The recent closure of downstream facilities at Point Lisas will have a devastating impact on employment and the local economy.