[Marxism] Bolivians force Mesa to back down from fuel price increases

["Fred Feldman" <ffeldman@xxxxxxxxxxxxxxxx>]

The title below is Oread's, not mine.  I can't get enough Bolivia news
these days.
Fred



MORE NEWS THAN YOU ASKED FOR ABOUT BOLIVIA - Oread Daily

Bolivian President Carlos Mesa bowed to protesters' demands
Wednesday for a second time in two weeks, backtracking on fuel price
increases he imposed recently and which triggered a massive
opposition movement demanding his resignation. In a move to defuse
the crisis, Mesa announced a 6 percent reduction of gasoline and
diesel prices, partially offsetting the 10 percent and 23 percent
increases he had decreed nearly three weeks earlier. Mesa said in a
speech to the nation that the decision was made after consultation
with various parties involved, and he hoped the compromise could win
back people's understanding.  "We are capable of listening and
compromising," he said, adding that he was glad that so far protests
have not spiraled into violent conflicts.

Protest organizers welcomed Wednesday's announcement. "It's a good
sign. It shows a different attitude of humility and flexibility,"
said Carlos Dabdoub, spokesman for the Santa Cruz civic group. But
the group said it will not call off protests immediately because it
needs more time to watch the government's next move and judge the
whole situation.

The government decreed a 10 percent increase in the price of
gasoline and a 23 percent rise in diesel price on Dec. 30
to "balance the budget". The move triggered a wave of protests in
major cities and paralyzed the capital La Paz and the eastern
department of Santa Cruz, as streets were blocked and public
transport was grounded.

Demonstrators occupied three local government offices Wednesday in
Santa Cruz, Bolivia's richest department. The main roads to the
Santa Cruz airport have been blocked since early last week, when big
protests started. Some people even went on a hunger strike. In El
Alto, the combative city that overlooks La Paz, residents had also
taken to the streets to drive out a French-owned water utility for
failing to provide drinking water to thousands of poor homes.  In
response to the protests in El Alto, Mesa canceled the water
utility's contract.

The latest events have completely polarized Bolivia. The
mobilizations in El Alto and other areas of the country by the poor
on the one hand, and the increased calls for Mesa's resignation on
the other hand by the ruling elite are clear evidence of the growing
polarization in Bolivia today.

In the poorest nation of South America, the simple request of
Bolivia's poor that their gas reserves be used to benefit the people
has brought them into direct confrontation with international
financial institutions and oil transnationals as well as the
national financial oligarchy, the pro-business civic committees of
Santa Cruz and Tarija and Mesa.

On December 31, as a result of demands imposed by the International
Monetary Fund and the World Bank, the prices of gas, kerosene and
diesel were increased by between 10% and 23%. The IMF had recently
suspended its agreement with Bolivia under the pretext that it
believed Bolivia had not done enough to increase its earnings.

[snip]
Evo Morales, coca grower leader and head of the Movement Towards
Socialism (MAS) has called for elections to be moved forward,
saying: "MAS is not asking for [Mesa's] resignation, we are
proposing structural changes. MAS is proposing the annulment of the
[price rises] and if he doesn't want to do it, then it would be
better that the president move the national elections forward."

Following the December 5 municipal elections, MAS has been able to
establish itself as the main political party in Bolivia. It had
maintained an important alliance with Mesa, providing him with vital
support both inside and outside parliament. However, a gradual split
has been evolving as Mesa has continued to show himself faithful to
the gas transnationals.

.

[snip]
Oscar Olivera, head of the organization that led the campaign to
regain control of water in Cochabamba, Bolivia in 2000, says the
issue is not simply private versus public but rather the
establishment of participatory local control of resources. "The
people want to participate in the management of all that affects
their daily lives," says Olivera. "The people want to construct a
new model. Sources: Epoch Times, East Day (China), Green Left
Weekly, Rabble

To view the Oread Daily go to
http://groups.yahoo.com/group/OreadDaily/
Subscribe to the Oread Daily at OreadDailysubscribe@xxxxxxxxxxxxxxx
Contact the Oread Daily at dgscooldesign@xxxxxxxxx








_______________________________________________
Marxism mailing list
Marxism@xxxxxxxxxxxxxxxxxxx
http://lists.econ.utah.edu/mailman/listinfo/marxism