A Sinking Ship or An Opportunity?

I keep joking that they should start a movie industry in Bahrain.  Currently, there are private filmmakers but here, if something isn't supported by the government and industry, it isn't going to go anywhere.  Bahrain could become the next Sunset Boulevard, the next Bollywood.  It could become Bahrainiwood, and I think it would help the nation find its way into the future.

A general assessment:  Bahrain is a tiny island country that met its heyday at the peak of oil. There are still 7 million barrels of oil left to be mined, but eventually it will be gone.  The Minister of Energy, in a meeting with us, told us that no matter when you would ask-- seventy years ago or now-- authorities say there is enough oil to go on for another twenty years.  He joked that in another twenty years he will be saying the same thing.

In the last decade, one million barrels were mined.  Seven million barrels will not always be there.  You can't find more dead dinosaurs if there aren't already dead dinosaurs there.

In this country, it is impossible to differentiate fully between government and the "private" oil industry.  The government owns the biggest oil company and the oil revenue funds 86% of the nation's economy.

The government sets the vision and plan for everything, and in exchange makes its people happy with subsidies.  Originally, subsidies were intended for the poor, but eventually they became universal-- or at least for all Bahraini nationals.  For the half of the population which is a citizen of Bahrain, healthcare is free, as well as education all the way through college.  For everyone, water is not metered.  This is a desert. The water needs to be desalinated.  That is an expensive process.  But water is basically free.   Gas, oil and electricity are subsidized. Car gas is about $1.20 a gallon here.  (That's more expensive than Saudi Arabia where it is  35 cents a gallon).  Natural gas-- for home energy-- is one cent per Mcf of gas.  In the US, it is about $2.20.   Until recently, even meat was subsidized for people who live here.

When I say "the government" is in charge, I remind you that this is a kingdom.  The faces of the Royal family are EVERYWHERE.  Three or four smiling men are on cardboard pieces that go two storeys high.  They are on walls, windows, doorways.  You cannot go anywhere without seeing Their Highnesses.



Everyone knows that this is not sustainable.  But people don't like change.  And this has moved away from just helping the poor.  Everyone needs gas and water, and everyone has it subsidized.  The culture here is one, historically, of waste.  I wrote about the car engine being left running in the van at the airport.  I don't know if I said that it was left running with the air conditioner on for an hour.   People leave the tap water running, too.  Desalinated water, left running through the tap, can get to be very costly.   This is not a walking or bicycling culture, either.  There are cars, cars, cars everywhere.  

People don't like change, and if the subsidies are pulled out, I am sure the government would fear the response.  This is particularly scary in a society that is not far from Arab Spring nations, and one that had its own civic unrest in 2011.

Therefore, this 2030 plan that everyone keeps talking about is very important.  There is a common language now that "Human Capital is our Best Resource."  There is an understanding that people need to be developing other industries as well.  Furthermore, and I'll write about this another day, there is a desire to diversify and develop sustainable energy sources.  (Note: There is still the hope of finding more oil or natural gas here.)

The Bahraini Polytechnic Institute was designed for preparing students with different kinds of workplace skills in engineering, computing technology, visual design and more.  Students take a Foundations program to move their English skills up to par and the take an Explore program to see which career is most suited to their skills and interests.  Then, they pursue a bachelor's degree in a program that otherwise makes me think a lot of our local community colleges.

Since Bahrain prides itself on being an inclusive culture,  70,000 to 200,000 people from Saudi Arabia come over the causeway to hang out in Bahrain over the weekends. They buy clothes. (Women in Saudi Arabia cannot try on clothes in stores.)  They stay at hotels.  And they watch movies.  (Movies are not allowed there either.)

What if Polytechnic were to develop a program in Screenwriting and Cinematic Design?   Not only would there be a new Arabic center for the entertainment industry and more films for the Saudis to see...they would also have an exportable industry!

I like my idea, but it isn't the only idea.  Diversification, education, and environmental stewardship are key to save Bahrain.

In fact... diversification, education and environmental stewardship are key to save much of the world.