Prime Minister, the Hon. Philip Davis defended the arbitration decision handed down in a case brought by the government against the Grand Bahama Port Authority (GBPA) in a national address on Tuesday.
Mr. Davis deemed the decision an historic win for the country. This came after the GBPA also claimed victory in a statement released earlier on Tuesday. He said, “I prefer collaboration but I have never feared confrontation when that’s what is necessary to stand up for our people. We are the first government to take such an action and we wanted our legal claim to deliver a warning.”
In May 2024, the government gave notice that it would seek reimbursement of $357 million from the GBPA associated with the management of Freeport. Mr. Davis said, “the tribunal ruled that the Grand Bahama Port Authority has an obligation to make annual payments to the government and the people of The Bahamas for the remainder of the entire Hawksbill Creek Agreement until 2054. That means the Port Authority can’t just collect license fees they have to live up to their responsibilities too.”
The GBPA also brought eight claims against the government for interfering in the management of Freeport in areas such as customs, immigration and development. Seven of the eight claims were rejected by the tribunal. Mr. Davis said, “they argued that the Port Authority instead of the government, elected by the people, should control business licenses for non Bahamians, immigration, customs, utilities like electricity and foreign land purchases and environmental and development approvals. They even said they should be awarded $1 billion of your tax dollars.”
The Prime Minister said the government went through the arbitration process because they refuse to believe that Bahamians should continue to pay the bills while other reap the benefits. “Many people told us we would never win. We were told to back down but we did win, not with noise or threats but with the evidence and a seriousness of purpose that matched what is at stake.”
The two parties are expected to continue the arbitration process to determine payment. The partial decision was released to the public in full on Tuesday and laid on the table in the House of Assembly on Wednesday.
