Chavez’ Bolibanana Revolution marches on

The Bolivarian Revolution in South America continues to drive the region further into Banana Republic status as the Associated Press reports (by way of the Wall Street Journal) that Evo Morales, Hugo Chavez’ own personal Mini-Me, moves to nationalize the Bolivian railroads;

President Evo Morales announced plans to nationalize Bolivia’s railroads, continuing his administration’s campaign to extend greater state control over key sectors of the Andean nation’s economy.

Speaking at the inauguration of a restored steam train for tourists outside La Paz, Mr. Morales said Sunday he intends to recover control of former state rail company Empresa Nacional de Ferrocarriles, or ENFE, privatized in 1996.

“We must begin the rehabilitation of our railways,” Mr. Morales said, after traveling from the Tiwanaku ruins to Lake Titicaca on the new line. “This inspires us, this obligates us, this is the start of the nationalization of ENFE.”

Yeah, cuz the nationalised industries in the region have been doing so well – take a look at the chart from The Devil’s Excrement in regards to Venezuela’s oil production over the past 17 years. Keep in mind that Chavez has been intervening in oil production since he rose to the Presidency in 1999.

The Houston Chronicle sees no new money for Venezuela’s production development;

But many independent experts caution that the pullout of the two U.S. oil giants could further harm the investment climate in Venezuela. They also question whether its state-run energy company, Petróleos de Venezuela, also known as PDVSA, and its new suitors have the expertise, money and technology to exploit the tarlike heavy oil in the Orinoco basin, which may hold upward of 300 billion barrels of petroleum.

“They’ve got a problem, because new money isn’t coming in,” said David Mares, an expert on Latin American energy issues at the University of California at San Diego. “PDVSA is confident, but I would say it’s based on blind hope.”

Venezuela, like some other countries, is raising taxes and royalties in a time when the oil producers are looking for different ways to maximize revenues.

Taiwan’s CPC oil company is seeking to protect it’s rights in Venezuela;

The state-owned oil company CPC Corporation, Taiwan is going all out to defend its oil exploration rights in Venezuela, CPC Vice General Manager and Spokesman Tsao Ming said Monday.

Daniel at Venezuela News and Views continues to report food shortages of staples like pasta, beef, chicken, milk and sugar. The good news of course, is that there’s plenty of Corn Flakes – is Jerry Seinfeld in charge of food distribution there?

From Venezuela Llora, Venezuela Sangra, we learn that one of the games of the Copa Americana in Caracas was cancelled to prevent a reoccurance of the protests in the first tournament game – on international television. can’t let the world see that the Revolution is failing, can we? 

Chavez’ power grabs continue with his new plan for “community councils” which bypass local governments (which are more than likely opposed to Chavez’ vision of a strong central government);

The discussion was part of a meeting of one of the country’s several hundred new community councils, President Hugo Chávez’s latest, and one of his more controversial, initiatives on the road to what he calls 21st-century socialism.

The councils are small citizen-run groups that theoretically will eventually take the place of mayors, governors, and other municipal and regional representatives and promote grass-roots democracy. Their money comes from various government institutions that fund their small projects; their power is supposed to come from their local roots.

”All power to the community councils,” Chávez said recently. “Power to the people.”

Not all local officials like that idea, and critics say the Chávez government is trying to use the councils to gain even more power in a country of 27 million people where he already controls the courts, congress, and the military.

Similar councils are being launched by Chávez leftist ally in Nicaragua, Daniel Ortega. Saying they are nothing but a Sandinista Party power-grab, several opposition parties have announced plans to strike down the law that created them.

“Grassroots democracy”? How did the governors, mayors and other municipal representatives get into their offices? They were elected by the people they serve. Who are these new “Community Councils” beholden to? Chavez. Chavez appointed them and Chavez can fire them. So what’s “grassroots democracy” about the community councils?

As I predicted months ago, Reuters is now reporting that Venezuelans are seeking exile in the US from Chavez in record numbers (h/t Steve Shickles);

“I have no doubt that the middle class and those with some stake in the old Venezuela have legitimate concerns regarding their future livelihood and in some cases safety as the regime hardens and the state moves into every sphere of economic and social activity,” said Riordan Roett, director of Latin American studies at Johns Hopkins University.

“If you have young children, you want out. If you have assets that have been seized, or may be seized, you want out as quickly as possible,” Roett added. “If you have land that will be expropriated, leave sooner than later. As the alta (upper) bourgeoisie becomes more and more of a target, you want to leave before Hugo Chavez shuts the door.”

The number of U.S. asylum grants put Venezuela in 11th place, well behind nations such as its neighbor, Colombia, and deeply impoverished Haiti. But more Venezuelans were granted asylum last year than were natives of trouble spots like Iraq, a country reeling from nightmarish levels of violence.

All the while, the rest of the world turns a blind eye. I guess it’s just easier to complain about George Bush than it is to try and stop the dismantling of Latin American Republics and headoff the impending enslavement of the Venezuelan people.

Category: Foreign Policy, Hugo Chavez