Independent Senator: Special Economic Zones Bill disregards THA

Independent Senator Dr Maria Dillon-Remy has said the Trinidad and Tobago Special Economic Zones Bill 2021 conflicts with the duties of the Tobago House of Assembly as it relates to Tobago.

The act provides for the designation, development, operation and management of special economic zones (SEZs), the establishment of the SEZ Authority, the repeal of the Free Zones Act, Chap. 81:07, the regulation of SEZs and matters related thereto.

Speaking during debate on the bill on Tuesday, Dillon-Remy said she was concerned about the categorisation of the THA in Clause 3 of the bill.

“It disregards the THA. Clause 3 lists the THA or its divisions as a public body. Clause 34 of the bill says public bodies can apply for an operator licence.”

She said under the THA Act, Section 25 (3) said: “Where a statutory authority or a state enterprise provides services in Tobago, that authority or enterprise shall, in exercising its duties in relation to those services, act in accordance with the policies or programmes of the assembly and to this end may enter into a memorandum of understanding with the assembly."

Dillon-Remy said according to her interpretation, this meant that if the THA wanted to open an Exclusive Economic Zone, it would have to apply to the SEZ Authority, a corporate body.

“The self-government bill for Tobago is under debate in the other place. We know the bill is not yet passed, but why should there be a bill being presented asking Tobago to apply to a corporate body for permission for a licence to develop an exclusive economic zone in Tobago?

"I’m asking the Attorney General to consider an amendment that this bill does not apply to Tobago.”

She said she would put the amendment in writing, to be submitted during the committee stage.

Opposition Senator David Nakhid said the government had not done enough research in creating the legislative framework for the bill, as there needed to be more tailoring to TT’s special circumstances.

“In many countries, when SEZs are located in residential communities, the people in the community experience adverse health benefits. Could there be relocations of existing industries to SEZs to take them out of residential communities?

"Also, why is there no mention of mandated corporate social responsibility, where companies in SEZs have to contribute to a fund to assist sports and other programmes in surrounding communities? Normally fenceline communities around SEZs benefit from the companies, but this is not so in Trinidad.”

Nakhid said the concentration of businesses in SEZs could mean a loss of business units in non-SEZ areas.

“Would these zones contribute to the loss of small to medium-sized businesses that are not included?

"The bill should make it mandatory for these businesses to be included. In some countries in the Middle East, larger foreign companies have to partner with small local companies to train workers. Why is there an invisibility of things to uplift the communities that need something like this? The vision of the policy should be to take the sub-class of workers from employees to entrepreneurs.”

Nakhid also asked if consultation was done with trade unions, labour unions, and the business chambers, especially when it came to educating foreign companies about local labour laws.