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Violence and secession threaten Bolivia's unity

Monday, May 30th 2005 - 21:00 UTC
Full article

Bolivian president Carlos Mesa warned of an impending coup by “minority groups” who want to oust him and prevent Congress from resuming work this Tuesday.

The capital La Paz has been virtually shut down by thousands of protestors who are demanding a constitutional convention and an outright nationalization of the country's rich hydrocarbons resources.

"The closing of parliament is a coup d'état. There is no democracy without parliament, and any person, institution or group that forces the closure of Congress, is indeed mounting a coup", underlined Mr. Mesa whose weakened administration has been constantly battered by pressure groups.

Congress after a twelve day recess must consider a proposed referendum on regional autonomy sponsored by the energy rich provinces headed by Santa Cruz which the poorer provinces centred in La Paz reject point blank, a conflict that threatens the country's unity.

Another controversial issue is calling a constitutional convention which President Mesa promised on taking office from ousted president Sanchez de Lozada in October 2003.

President Mesa said that protestors demanding nationalization of the oil and gas industry have no right to ignore the democratic process and last summer's referendum when a majority of Bolivians voted for a watered down energy bill that basically does not reverse 1996 legislation which opened the country's rich resources to foreign corporations and billions of US dollars in investments.

Mr. Mesa also made a point of praising the Armed Forces for their contribution to preserving democratic order just days after the high command sacked two officers who on a national broadcast called for the naming of a civilian-military junta.

Before adjourning the Bolivian Congress enacted -without Mesa's signature- a bill imposing immediate higher taxes and royalties on oil and gas extracted by the mainly foreign-owned corporations that make up the country's hydrocarbons' industry.

President Mesa favoured a gradual increase in the oil and gas tax burden, but was overruled by the left wing opposition in Congress that is demanding even heftier taxes.

However radicals who have taken to La Paz streets are calling for an outright nationalization.

Meanwhile separatist-minded leaders of prosperous Santa Cruz province, which contains a big chunk of Bolivia's more than 52 trillion cubic feet of natural gas, are increasingly tempted to secede if La Paz were to nationalize the energy and are sponsoring the regional autonomy referendum.

Categories: Mercosur.

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