Commercial petroleum drilling began in the early 20th century on Trinidad, and oil production subsequently expanded to offshore exploration as well. Large natural gas reserves off the coasts of Trinidad and Tobago are also exploited. Although oil production has declined from its peak in the late 1970s, both oil and natural gas contribute substantially to the country’s economy. Liquefied natural gas is a major export commodity. In addition to the large quantity of natural asphalt in Pitch Lake, Trinidad also has deposits of coal, gypsum, limestone, sand and gravel, iron ore, argillite, and fluorspar.

Manufacturing

Oil production and refining and the production of liquefied natural gas (LNG) are the major industries, but government policy has encouraged economic diversification to reduce dependence on imports and on petroleum and LNG production. Industrial plants are engaged in the manufacture of chemicals and iron and steel products and in the assembly of consumer durables, including motor vehicles and radio and television receivers. Trinidad has chemical and fertilizer plants and a steel mill. The large-scale production of liquefied natural gas began in the 1990s. The government started fostering intensive industrial development in several areas in the late 20th century, notably in the central and southern area.

Services and taxation

While petroleum and natural gas continue to make the most substantial contributions to the national economy, services are a growth area, especially in the tourist sector. Tourism is based particularly in Tobago and on Trinidad’s northwestern peninsula. The beaches and the annual Carnival celebration are tourist draws. Yachting is expanding rapidly, with several marinas and related service activities, especially in the Chaguaramas area. Income and other taxes make up about one-third of government revenues.

Transportation

The islands are served by a fairly well-developed network of highways and main and local roads, but there is heavy congestion in urban areas. State-owned shipping lines and airline services connect Tobago to Trinidad. Piarco International Airport in Trinidad and Crown Point International Airport in Tobago have interisland connections and links to elsewhere in the Caribbean, North and South America, and western Europe. Port of Spain is the chief commercial port; petroleum exports are handled in ports in the south, such as Point Fortin, Pointe-à-Pierre, and Brighton. There are extensive port facilities at Point Lisas.

Constitutional framework

The first constitution of independent Trinidad and Tobago, promulgated as a British Order in Council (1962), provided for a governor-general appointed by the British monarch, a cabinet, and a bicameral Parliament, consisting of a Senate and a House of Representatives. Under the constitution adopted in 1976, Trinidad and Tobago is a republic. The head of state is the president, who is elected by the Parliament; the prime minister is the head of government. The president appoints the prime minister from the House of Representatives—almost always the leader of the majority party.

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The members of the House of Representatives are elected by universal adult suffrage every five years; the members of the Senate are appointed by the president on the advice of the prime minister and the minority party leader, except for a number of independent senators appointed at the president’s sole discretion. Senators serve until the dissolution of Parliament or upon the request of the president that they vacate office. The voting age is 18.

Since 1980 Tobago has had a separate House of Assembly consisting of 12 members elected by district at a primary election, four appointed councillors, and a presiding officer, who may or may not be a member of the assembly. In January 1987 Tobago was granted full internal self-government, insofar as such self-government does not conflict with the unitary state as provided by the constitution. The legislation provides for a measure of devolution of executive powers in areas such as revenue raising and collection, agriculture, industry, tourism, environmental conservation, and social services.

Trinidad is divided into 14 local government authorities: 2 city councils (Port of Spain and San Fernando), 3 borough councils (Arima, Chaguanas, and Point Fortin), and 9 counties.

Health and welfare

Demand for housing in the urban areas is high, but construction has been hampered by population movement, high construction costs, shortage of land, and inadequate long-term financing. State provision for social security consists of noncontributory old-age pensions, noncontributory government employee pension plans provided out of public revenues, and workers’ compensation compulsorily paid by employers. A national health insurance program has been established. There is a network of public clinics and hospitals where treatment is free or low-cost, but concerns about the quality of the care they offer have led to a proliferation of private, fee-paying hospitals and clinics.

Education

Education is free at the primary and secondary levels and compulsory between the ages of 6 and 12. The government offers generous tuition grants to students at higher-education institutions. A campus of the University of the West Indies, offering courses in engineering, business administration, law, medicine, social science, natural science, education, agriculture, and humanities, is located in St. Augustine, about 10 miles (16 km) east of Port of Spain. The University of Trinidad and Tobago (established 2004), with campuses throughout the islands, provides technical and professional training in the sciences, technology, education, and other fields. The Academy for the Performing Arts, the University of Trinidad and Tobago’s multidisciplinary arts program, is housed in the National Academy for the Performing Arts in Port of Spain. The University of the Southern Caribbean (1927; Seventh-day Adventist) is a private degree-granting institution near St. Joseph, Trinidad. There are also technical and vocational institutes and several nonuniversity tertiary-level institutions, both public and private.