Demand for EPC in Trinidad’s hydrocarbons sector

Trinidad and Tobago

Mala Baliraj, CEO of Massy Wood Group (Massy Wood), talks to The Energy Year about trends in the Trinidadian oil and gas sector’s demand for EPC services and key challenges in the country’s energy transition. Massy Wood provides project, engineering, maintenance and construction execution services to industrial, energy, process, utility and clean energy markets around the world.

What trends have you observed in the demand for EPC services in the oil and gas sector?
We have noted that there has been a reduction in major capex projects in Trinidad and Tobago. A healthy EPC portfolio is usually a good balance of major projects, minor modifications and operational scopes. Currently, this balance is slightly off as a result of reduced capex spending. Over the last few years, we were fortunate to be able to support some major capex projects in Trinidad to successful commissioning. The expectation is that we will see an increase in activity based on global and national investments.

How has partnering with Wood PLC helped in developing Massy’s energy division?
Massy Wood is a 50-50 joint venture between Wood PLC and the energy division of Massy Holdings. A key advantage of this type of partnership is our access to proven knowledge systems, procedures and technology from two reputable, global organisations in the energy sector. This not only affords us a strong, competitive advantage in the industry, but also provides a sturdy platform for knowledge transfer and capability building in Trinidad and Tobago. Massy Wood currently employs over 1,000 employees at 99% local capacity.

Which sector of the energy industry are you most active in and where could you diversify?
Currently, most of our work lies in the upstream and midstream sectors in the energy industry. However, there is an opportunity for us to diversify more into the downstream sector. Having a clear strategy and an understanding of this sector and where we can add the most value will ensure that the right adjustments are made to succeed.

What is Massy Wood’s current involvement in the frontier oil and gas sector in Guyana?
We are very excited and focused on the opportunities in Guyana. Massy Wood’s commitment to local content and local community development is aptly aligned to Guyana’s local content priorities. We therefore continue to seek avenues where we can positively contribute to the country’s growing oil and gas sector.
Currently, we are supporting small projects in Guyana that are offering us the opportunity to collaborate with local Guyanese subcontractors to learn and share knowledge, particularly on our safety and quality management systems, which are central to all our operations.

How would you assess Trinidad and Tobago’s capability to transition toward cleaner and renewable energy?
I would say that Trinidad and Tobago is still at an early stage as it pertains to the energy transition. We are still learning as a country and seeing greater commitment at the national and governmental levels. From my perspective, it is taking time because this is all new to us. Trinidad has intellectual capacity, knowledge base, resources and information that allow us to be well placed for a successful energy transition.
There needs to be a balance between the current reality of maintaining assets for oil and gas production whilst shifting to an energy transition – it certainly is a planned approach. Massy Wood is able to provide strong support to our sector as we move towards cleaner and renewable energy.
Our parent company, Wood PLC, is involved globally in decarbonisation and energy transition, and so we can see ourselves playing a key role in supporting the national landscape.

What are some of the key challenges the country has to face to achieve an energy transition?
I do not believe that our challenges are unique to us and they may resonate with many nations at our level of development. We may require a bigger legislative push to be able to implement a robust energy transition. We have the technical capacity in the country and we must ensure that we are utilising this to set up the legislative and policymaking infrastructure that is required.
When it comes to Trinidad and Tobago’s energy transition, it is not just the responsibility of the oil and gas companies. We should be talking about this as a nation. As a country, we need to do more by actively seeking opportunities to incorporate sustainable energy into all sectors while educating the public. We need to share the long-term benefits and advantages of sustainable living, even from our preschool level, if we are to reduce our carbon footprint and improve our environment. The energy transition needs to happen with every citizen involved.

What challenges are there with getting the public to contribute to decarbonisation efforts?
The average person may need to be incentivised to make the initial investment into renewable energy, whether it is solar panels or battery backup power. This is largely because we have benefitted from subsidised electricity for many decades. A mindset change is needed for us all to take responsibility for our carbon footprint.
As an example, there are opportunities for us to improve our emissions within our public and private transportation services. Moving towards international standards in this regard will require a full review of our value chain, from vehicle options to technical maintenance.

Why is it important to see more women in senior roles in the male-dominated energy industry?
Diversity and inclusion are among the key elements of sustainability. Women have the intellectual capacity to make meaningful contributions to the energy sector and to positively impact the energy transition. Additionally, there is now a corporate social responsibility for organisations to improve decision-making by having a more diverse and inclusive workforce. This means we are allowing women to bring new perspectives in problem solving and decision-making.
A strategic approach is required to support better integration of women into senior roles through succession planning and talent management.

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