Ecuador: Social Explosion
BY Anibal Arrarte Dutilh
THREE key unfulfilled demands have brought the Ecuadorian people to the point of revolt: the cancellation of the Free Trade Agreement (FTA) being swiftly negotiated with Washington, the withdrawal of the U.S. army from the Manta base – center of operations for the Andean Plan – and the convening of a Constituent Assembly to reestablish the country.
The social explosion in the country occurred when, after a prolonged confrontation with the government of Alfredo Palacio, who replaced the deposed Lucio Gutiérrez, blocked various social sectors’ call for a Constituent Assembly.
The people are charging the current government with not having fulfilled the promises made after the overthrow of Gutiérrez.
The prevailing and increasing instability in Ecuador at the present time, due to regional strikes, is generating great concern and there are signs of the crisis intensifying.
The takeover of oil installations by protesters in Napo province and military intervention, which left three wounded in gunfire and has cost $200 million in losses, is causing uncertainty throughout the country.
PROTESTS AGAINST OXY OIL CORPORATION WORSEN
For more than 20 years the multinational OXY, a U.S. oil corporation, has been robbing the equatorial nation of its natural resources, health, education and means of survival. The protests of these suffering people, the majority of them indigenous, are falling on deaf ears, the dead are mounting and human rights becoming an illusion. No government has ever done anything for the rights of the indigenous peoples or for the protection of their wellbeing and lives. OXY operates 10 wells and one production station that once belonged to the state and was ceded to the U.S. corporation in a totally irresponsible manner.
This maneuver marked the handover of more than 40% of daily production, representing approximately $170,000 in daily earnings, or $61 million annually.
In parallel, the price of oil was fixed at $15 per barrel for the United States many years ago. Compared to current oil prices, which are on the rise, that represents an astronomical difference in Ecuador’s state earnings, calculated at $5 million per day or $1.5 million per month that would be collected by Petroproducción, the owner of the natural resource.
Protest marches by students and workers have occurred in the streets of Quito and have been met with violence by the armed forces.
The protesters are expressing their rejection of what is common knowledge: without transparency and behind the scenes the government is preparing a maneuver to renegotiate with the U.S. oil company, which has violated more than 40 legal and contractual regulations, according to a report by the attorney general.
President Palacio’s government has established a period of time for the offending company to present "its proof." In recent days the belief has spread that what they are preparing is an extra-legal maneuver to declare that the time has expired and immediately renegotiate the oil victory of this transnational.
The majority of the media agree that this conflict arose because the indigenous communities were calling on the Palacio government to provide $40 million for the construction of two roads and an airport promised by deposed President Lucio Gutiérrez. These demands are historical. The indigenous communities are charging the OXY with invading their land, contaminating the environment, destroying biodiversity and building roads in Quechua territory.
That is why indigenous organizations such as Ecuarunari-Conaie, the National Teachers Union, and groups of students, workers, parties, and political movements defending the thesis of national sovereignty have agreed that they will take to the streets if the government proceeds to violate the laws of the Republic in order to satisfy the requests of the Bush administration with regard to OXY and continues its secret negotiations behind the backs of the people regarding the FTA.
The Community of Andean Nations (CAN), the natural market for producers in Bolivia, Peru, Colombia, Ecuador and Venezuela, runs the risk of shattering beyond repair if three countries of the area sign the FTA with the United States. A trade agreement of this type would saturate the markets of CAN with U.S. subsidized products and would put an end to the privileges enjoyed by the Andean producers.
Both parties declared a truce on February 24 given the government’s promise to meet the demands of the indigenous communities.
THREE key unfulfilled demands have brought the Ecuadorian people to the point of revolt: the cancellation of the Free Trade Agreement (FTA) being swiftly negotiated with Washington, the withdrawal of the U.S. army from the Manta base – center of operations for the Andean Plan – and the convening of a Constituent Assembly to reestablish the country.
The social explosion in the country occurred when, after a prolonged confrontation with the government of Alfredo Palacio, who replaced the deposed Lucio Gutiérrez, blocked various social sectors’ call for a Constituent Assembly.
The people are charging the current government with not having fulfilled the promises made after the overthrow of Gutiérrez.
The prevailing and increasing instability in Ecuador at the present time, due to regional strikes, is generating great concern and there are signs of the crisis intensifying.
The takeover of oil installations by protesters in Napo province and military intervention, which left three wounded in gunfire and has cost $200 million in losses, is causing uncertainty throughout the country.
PROTESTS AGAINST OXY OIL CORPORATION WORSEN
For more than 20 years the multinational OXY, a U.S. oil corporation, has been robbing the equatorial nation of its natural resources, health, education and means of survival. The protests of these suffering people, the majority of them indigenous, are falling on deaf ears, the dead are mounting and human rights becoming an illusion. No government has ever done anything for the rights of the indigenous peoples or for the protection of their wellbeing and lives. OXY operates 10 wells and one production station that once belonged to the state and was ceded to the U.S. corporation in a totally irresponsible manner.
This maneuver marked the handover of more than 40% of daily production, representing approximately $170,000 in daily earnings, or $61 million annually.
In parallel, the price of oil was fixed at $15 per barrel for the United States many years ago. Compared to current oil prices, which are on the rise, that represents an astronomical difference in Ecuador’s state earnings, calculated at $5 million per day or $1.5 million per month that would be collected by Petroproducción, the owner of the natural resource.
Protest marches by students and workers have occurred in the streets of Quito and have been met with violence by the armed forces.
The protesters are expressing their rejection of what is common knowledge: without transparency and behind the scenes the government is preparing a maneuver to renegotiate with the U.S. oil company, which has violated more than 40 legal and contractual regulations, according to a report by the attorney general.
President Palacio’s government has established a period of time for the offending company to present "its proof." In recent days the belief has spread that what they are preparing is an extra-legal maneuver to declare that the time has expired and immediately renegotiate the oil victory of this transnational.
The majority of the media agree that this conflict arose because the indigenous communities were calling on the Palacio government to provide $40 million for the construction of two roads and an airport promised by deposed President Lucio Gutiérrez. These demands are historical. The indigenous communities are charging the OXY with invading their land, contaminating the environment, destroying biodiversity and building roads in Quechua territory.
That is why indigenous organizations such as Ecuarunari-Conaie, the National Teachers Union, and groups of students, workers, parties, and political movements defending the thesis of national sovereignty have agreed that they will take to the streets if the government proceeds to violate the laws of the Republic in order to satisfy the requests of the Bush administration with regard to OXY and continues its secret negotiations behind the backs of the people regarding the FTA.
The Community of Andean Nations (CAN), the natural market for producers in Bolivia, Peru, Colombia, Ecuador and Venezuela, runs the risk of shattering beyond repair if three countries of the area sign the FTA with the United States. A trade agreement of this type would saturate the markets of CAN with U.S. subsidized products and would put an end to the privileges enjoyed by the Andean producers.
Both parties declared a truce on February 24 given the government’s promise to meet the demands of the indigenous communities.
posted by Alice at
Friday, March 03, 2006
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