Venezuela Oil Dispute Spreads
Government Silences Reporting of Second Nationwide Strike
By Fabiola Sanchez
Associated Press Writer
CARACAS, Venezuela –– Venezuela's government all but silenced independent
broadcast news reporting of a nationwide
general strike called Tuesday to support a work slowdown at the state
oil monopoly that has roiled international oil markets.
President Hugo Chavez used a law to force all TV and radio stations
to transmit dozens of government broadcasts insisting all
was normal Tuesday, angering Venezuela's largest labor and business
confederations, which called the 24-hour strike.
In between the broadcasts, the 1 million-member Venezuelan Workers Confederation
was able to declare the strike a success.
Venezuela's Industrial Council reported 80 percent of industry shut
down. Government officials repeatedly took to the air to
say the strike was a failure.
The strike was called to support workers at the Petroleos de Venezuela
oil monopoly who are protesting Chavez's appointment
of a new company board.
Dissident oil executives and workers have cut exports to the United
States and other markets — prompting the Organization of
Petroleum Exporting Countries to warn of an oil crisis after Iraq stopped
exports to demand that Israeli forces abandon
Palestinian territories. OPEC members Iran and Libya reportedly were
considering similar measures.
"After the announcement of Iraq to suspend exports and the effect of
Venezuela's exports, we could go directly to an oil crisis,"
OPEC Secretary General Ali Rodriguez warned Monday.
Iraq and Venezuela jointly export about 4.5 million barrels of oil per
day. Venezuela alone exports nearly 1 million barrels of
crude daily to the United States.
In Venezuela, large industry and commerce shut down nationwide, and
production declined at the country's largest oil refinery
in La Paraguana. Traffic in Caracas, the capital, was light. Many schools
closed. Banks, buses, and some small businesses
operated.
"Throughout the day people are going to notice that the strike was a
complete failure," Vice President Diosdado Cabello
claimed.
Fedepetrol, the nation's largest blue-collar oil union, said it was
joining the general strike — a move that could virtually paralyze
Venezuela's lifeblood oil industry, which provides 80 percent of export
revenue and half of government income.
Venezuela is among the top four oil exporters worldwide and is the No. 3 oil supplier to the United States.
The five-week labor slowdown by Petroleos de Venezuela managers had
already disrupted exports of crude and refined
products to the United States and other markets, refinery and shipping
officials said. Some 20 tankers sat idle outside
Venezuelan ports.
PDVSA's Paraguana complex, which produces 70 percent of Venezuela's
refined products and is an important supplier to the
U.S. market, operated at less than 50 percent capacity because of the
labor turmoil and for security reasons.
"We can't keep running operations at full capacity if there's no loading
taking place. There is real a possibility of a complete
shutdown later Tuesday," a company source told Dow Jones Newswires.
El Palito refinery in central Venezuela was closed, and Puerto la Cruz in the east was running below capacity.
Public workers who participated in Tuesday's stoppage could be fired, the government warned.
Already, Chavez's government has sacked 11 PDVSA executives and forced
another 12 into early retirement since
white-collar workers began protesting Chavez's Feb. 25 appointment
of a new company board. The dismissals failed to deter
angry workers, who picketed PDVSA installations across the country,
chanting, "We are not afraid."
PDVSA executives claim the new directors are unqualified and their appointments
are meant to tighten Chavez's control over
the corporation, which has long cherished its autonomy.
Teachers, doctors, the Catholic Church, Venezuela's largest press association
and countless civic groups endorsed the general
strike called by the 1 million-member Venezuelan Workers Confederation
and Fedecamaras, whose ranks include more than 1
million businesses. Many newspapers didn't publish Tuesday to protest
alleged harassment of news media.
Caracas deployed 5,000 police officers to keep the peace in the capital,
and the National Guard said it would guarantee the
safety of workers reporting to their jobs at Petroleos de Venezuela
installations — as well as that of protesting workers.
© 2002