An "Economy vs. Environment" Debate

I was reading an article from the New York Times titled "Muddy Road Molds Debate on the Future of Guyana". The article reminded me of that classic debate between the economy and the environment. While this particular example is far more complicated, it illustrates how a country (Guyana) has the opportunity to pave a 300-mile road that connects the capital (Georgetown) to Letham, a boomtown on the border with Brazil.

Investors from Brazil are ecstatic about this because it would allow them to search for a deepwater port near Georgetown, giving northern Brazil a "modern artery to export its goods to the Caribbean and North America".

For Guyana, the project presents an opportunity and a threat. Could the road help provide Guyana with an identity, especially an economic identity? This small country of 753,000 is the poorest in South America, with per capita income lower than Bolivia. The road would help Guyana reap significant benefits from trade and take the country more aggressively forward into the global economy.

On the other hand, Guyana could take the more ecologically sustainable path to its economic development. Indeed, the President, Bharrat Jagdeo (who visited Trent University in October) has demonstrated great leadership on forest protection policies and other environmental initiatives.

Environmentalists are deeply concerned about the potential road. Paving it could damage the forest, disrupt and displace river otters, arapaima fish and jaguars. It is projected that two million acres of rain forest could be affected if the road is paved.

Road proponents have acknowledged that the project could bring about upheaval. But they also see how it could ease Guyana's poverty. But, who's going to pay for it? The Prime Minister of Guyana, Sam Hinds, supports the project, as long as Guyana could find $350 million to finance it. There is no indication as to how much the Brazilian government will pay for the project. Their return on investment would be quite adequate considering their expanded trade routes. While the road would be stretched across the country of Guyana, it would be completely inequitable for this poor nation to finance the project at 100%.

Citizens have come out and expressed their deep concerns. Justin de Freitas, 35, who worked as a porter along the road said "that road is going to end our way of life".

There are others as well (including Indigenous) who could be affected by such a project.

To build or not to build? A looming question with seemingly clear costs and benefits. Does the country risk sacrificing its native species, local ecosystems and forested areas for a paved road that will ostensibly bring economic progress? Does it jeopardize its image as a global leader in forest protection policies? These are just some of the tough battles that Guyana now faces with concomitant pressure from the rising economic power that is Brazil.

Key message: These projects are incredibly complex. Squandering an economic opportunity for environmental protection is always a tough one to swallow. A country like Guyana has ambitions to utilize more renewable energy and continue to protect its pristine forests. However, tough decisions lie ahead about economic opportunities that can potentially bring about more benefits to the country's citizenry and alleviate national poverty.