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        dir="ltr"> <font size="-2"><a id="reader-domain" class="domain"
            href="https://venezuelanalysis.com/analysis/13132">https://venezuelanalysis.com/analysis/13132</a></font>
        <h1 id="reader-title">Venezuela: a Threat to US Energy Hegemony?</h1>
        <div id="reader-credits" class="credits">By Raul Burbano- Common
          Frontiers, May 18th 2017</div>
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              <p dir="ltr">Since the election of Hugo Chavez in 1999,
                Venezuela has achieved impressive gains in health care,
                education, and reduction in poverty, while at the same
                time wrestled economic and political control from the
                country’s elite. Today, soaring inflation, a shrinking
                economy and a hyper-politicized environment are
                contributing to unprecedented challenges economically
                and politically - threatening to undo some of the
                achievements of the past. These challenges can be
                attributed to many factors, some structural, such as an
                oil-dependent economy, and a complex monetary
                arrangement which has given rise to “<a
href="https://www.caracaschronicles.com/2016/05/13/bachaquero-buy-flip-hustler/">bachaqueros</a>”
                who resell price-controlled items at hugely inflated
                prices  on  the black market. Other challenges are more
                politically driven - they stem from the existence of a
                hardline sector of the opposition aligned with U.S.
                interests who oppose the Socialist government's policies
                of resource nationalism and wealth redistribution.</p>
              <p dir="ltr">The international media with its biased
                coverage of the conflict in Venezuela has failed to
                adequately report on violent actions against government
                supporters by extremist sectors of the opposition. It
                has however, diligently perpetuated the opposition
                narrative that the crisis in Venezuela is the sole
                responsibility of the Maduro  government, a dictatorship
                on the brink of collapse resorting to violence against
                peaceful protesters in a desperate bid to hold on to
                power.  These allegations have little merit, and are
                similar to accusations made against former president
                Hugo Chávez. The hardline opposition has never accepted
                the electoral legitimacy of the Bolivarian governments,
                and its violent demonstrations have had the full support
                and backing of the U.S. government. In 2014 alone, U.S
                government documents show that Obama's administration
                channelled $5M dollars to opposition groups to help <a
                  href="https://www.state.gov/documents/organization/208290.pdf">“strengthen”
                  and “protect”</a> democracy in Venezuela. The Trump
                administration, in turn, has provided unprecedented
                political support to jailed <a
href="https://twitter.com/realdonaldtrump/status/832016501657968640?lang=en">opposition
                  leader,  Leopoldo López</a> , who has been found
                guilty of public incitement to violence and association
                to commit a crime. There has been close coordination
                between opposition-led National Assembly leaders and
                White House national security advisor H.R. McMaster on
                how to address the political impasse in Venezuela.</p>
              <p dir="ltr">The international media also puts the blame
                for the economic crisis facing Venezuela firmly on the
                government's shoulders. They fail to mention the role of
                business producers of goods who regularly hoard basic
                items to create shortages and public discontent. Some
                believe the economic war contributed to the PSUV’s
                defeat during the 2015 parliamentary elections - due to
                the lack of black beans. Black beans are a staple of the
                Venezuelan diet and for some time before election day
                these had disappeared completely but the day after
                voting they were back on supermarket shelves.</p>
              <p dir="ltr">Similar to the crisis that precipitated the
                short-lived 2002 coup against Chávez, leaders of the
                hardline opposition have made it clear that their goal
                is “regime change”. Henry Ramos Allup of the opposition
                Democratic Action party and former National Assembly
                president declared on the first day he assumed that
                position that they would <a
href="http://www.latimes.com/world/mexico-americas/la-fg-venezuela-congress-20160105-story.html">remove
                  Maduro from power within six months</a>.  The
                opposition referred to their march in October 2016 as
                the “Taking of Venezuela” (La Toma de Venezuela), an
                inflammatory title. During that march Jose Alejandro
                Molina Ramirez, a policeman, was killed by opposition
                gunfire and two others injured; which contradicts the
                opposition message that their marches are “peaceful”.</p>
              <p dir="ltr"><strong>Extremist Elements within the
                  Opposition</strong></p>
              <p dir="ltr">The opposition has failed to penetrate beyond
                its narrow base which is predominately wealthy and
                middle-class Venezuelans. Their political demands for
                early elections do little to address the needs of the
                working class poor who are being increasingly affected
                by the economic crisis. A recent survey by independent
                polling firm Hinterlaces indicates that <a
href="http://www.investigaction.net/en/venezuela-does-the-opposition-want-a-remake-of-the-coup-against-allende/">66%
                  of the population</a> does not agree with the
                opposition focus on removing the president and feels it
                lacks any vision on how to solve the economic challenges
                facing the country.</p>
              <p dir="ltr">Julio Borges, the president of the opposition
                controlled National Assembly, has openly called on the
                military to take action by becoming part of “the
                solution” and backing the opposition. He led the 2016,
                constitutionally illegal initiative to open a “<a
href="http://www.aljazeera.com/news/2016/10/venezuela-opposition-votes-put-maduro-trial-161025181844551.html">political
                  and criminal trial"</a> against the democratically
                elected president, Maduro. He has consistently appealed
                to the Organization of American States to <a
href="http://www.huffingtonpost.com/entry/venezuela-and-the-oas-the-logic-of-withdrawal_us_590389c8e4b084f59b49f8b5">intervene
                  in the internal affairs</a> of Venezuela, even though
                this is expressly forbidden by that organization's
                charter, Article 1.  of which states that: “The
                Organization of American States has no powers other than
                those expressly conferred upon it by this Charter, none
                of whose provisions authorizes it to intervene in
                matters that are within the internal jurisdiction of the
                Member States” . </p>
              <p dir="ltr">In a bid to remove President Maduro, the
                opposition triggered a recall referendum which under the
                constitution allows for a recall of any elected
                official, including the president. Due to divisions
                within the opposition, they launched the signature drive
                too late in 2016 to have the recall vote in the same
                year which the opposition demanded.  They also submitted
                a large quantity of invalid signatures including
                signatures from over 11,000 deceased persons and those
                of more than 3000 minors according to The National
                Electoral Council (CNE).</p>
              <p dir="ltr">The hardline opposition inspired street
                protests have intensified in violence over the past few
                weeks, including <a
href="http://www.venezuelasolidarity.co.uk/from-2014-violent-barricades-to-venezuelan-assembly-right-wing/">deadly
                  street barricades</a> , setting of government
                food-storage building <a
href="http://www.latinorebels.com/2017/04/27/venezuela-one-more-dies-in-demonstration-and-national-assembly-threatens-ombudsman/">on
                  fire with Molotov cocktails,</a>  an attack on a
                maternity hospital in the El Valle neighbourhood, <a
                  href="https://venezuelanalysis.com/news/13045">violent
                  clashes</a> with state security forces, and attacks <a
href="http://www.telesurtv.net/english/news/Socialist-Venezuela-Student-Leader-Killed-After-Backing-Maduro-20170506-0022.html">against
                  government supporters</a>.  More than 42 people have
                been killed since April 4th many of them during violent
                opposition clashes with state security forces: eight
                people were electrocuted during a looting incident; five
                killed by state security forces; fifteen have died
                directly or indirectly as a result of the opposition
                protesters and the rest are still unaccounted for.  </p>
              <p dir="ltr">Recently, public workers at the Vice
                Presidency office and National Police Force along with
                others were targeted and their safety compromised when a
                group of far right hackers known as “Sons of Bitches”
                stole their personal data and made it public. This comes
                on the heels of the murder of two government workers
                shot dead by sniper fire while participating in pro
                government rallies, and the assassination of labour
                leader, <a
href="https://www.el-carabobeno.com/asesinado-tres-tiros-dirigente-sindical/">Rexol
                  Alexander Acevedo Navas</a>, member of United
                Socialist Party of Venezuela.</p>
              <p dir="ltr"><strong>A Strong Participatory Democracy</strong></p>
              <p dir="ltr">The opposition has sought to paint Maduro as
                a “dictator” who fears general elections. Venezuela has
                one of the strongest and most active democracies in the
                region having carried <a
                  href="https://venezuelanalysis.com/analysis/11760">out
                  20 elections in 17 years</a> (presidential, regional,
                municipal and referenda). It has a strong direct
                democracy that empowers grassroots groups through
                communes and communal councils. The councils can
                undertake community development projects as chosen by
                the community. Leaders must be elected by the community
                and decisions are made through popular assemblies.
                Currently, there are <a
href="https://www.greenleft.org.au/content/venezuela%E2%80%99s-communes-form-front-line-difficult-revolutionary-struggle">46,566
                  registered communal councils in the country</a>.</p>
              <p dir="ltr">It was expected the country would hold
                regional elections in 2016 but the National Electoral
                Council (CNE) postponed them because of opposition
                demands to deal with the recall referendum. The
                opposition used the postponement to highlight yet
                another example of the lack of democracy in the country.
                Although President Maduro <a
                  href="https://venezuelanalysis.com/news/13048">has
                  called for regional elections</a>, opposition leaders
                have responded with continued street protests.</p>
              <p dir="ltr">During the 2015 National Assembly electoral
                process, the opposition expressed fears of unfair and
                rigged elections. They were joined by the Secretary
                General of the Organization of American States, Luis
                Almagro who condemned Venezuela's electoral process as
                “unfair” and anti-democratic. Yet the opposition
                alliance managed to win a stunning victory taking a
                majority in the National Assembly.   </p>
              <p dir="ltr">The opposition is demanding that presidential
                elections be moved up which some consider a violation of
                the constitution.  A recent poll suggests that <a
href="http://hinterlaces.com/65-esta-de-acuerdo-en-esperar-elecciones-presidenciales-de-2018/">65% </a>of
                Venezuelans prefer to wait and have them in 2018 when
                they are scheduled to occur.</p>
              <p dir="ltr"><strong>National Assembly in Violation of the
                  Constitution</strong></p>
              <p dir="ltr">In January 2016, the opposition controlled
                National Assembly was held in contempt of the
                constitution by the Supreme Court of Justice (TSJ) over
                fraud charges involving opposition deputies from the
                state of Amazonas who were recorded illegally offering
                payment for votes. When the TSJ ordered the National
                Assembly to hold elections to replace the corrupt
                deputies, the legislative ignored the order and refused
                to remedy the situation. </p>
              <p dir="ltr">The most recent political impasse between the
                country's two major institutions took place when the
                Supreme Court ruled in favor of the Venezuela’s state
                oil firm PDVSA, which was seeking to establish a joint
                venture with Russian oil company Rosneft to generate
                investment in the struggling economy. The opposition
                controlled <a
href="http://www.cnbc.com/2017/03/31/reuters-america-update-1-venezuela-court-move-may-facilitate-russian-investment-spook-other-oil-majors.html">National
                  Assembly blocked</a> the investment opportunity, while
                its president, Julio Borges, a leading opposition member
                of the Justice First party sent letters to investors and
                bankers, <a
                  href="https://venezuelanalysis.com/news/13076">lobbying
                  them</a> not to invest or extend credit to the
                government. The TSJ ruling stated that while the
                legislature continues to violate the constitution, it
                would stand in where necessary to ensure the “rule of
                law” or until the situation is resolved.</p>
              <p dir="ltr">The decision generated intense debate among
                many in Venezuela. Some, like c<a
href="http://www.telesurtv.net/opinion/Hermann-Escarra-El-Poder-Judicial-es-el-custodio-del-Estado-constitucional-de-derecho-20170331-0003.html">onstitutional
                  lawyer Hermann Escarra</a> and Ombudsman Tarek William
                Saab denied the courts acted unconstitutionally but
                others like Attorney General Luisa Ortega Díaz strongly
                criticized the ruling. Although the ruling was
                immediately reversed, the opposition still called for
                street protests, many of which turned violent.</p>
              <p dir="ltr">Coincidentally, concerns over Venezuela’s’
                joint venture with the Russian state owned oil company
                aren’t unique to the Venezuelan opposition but also
                shared by the US administration. US senators Marco Rubio
                and Ben Cardin recently introduced legislation entitled
                “the Venezuela Humanitarian Assistance and Defense of
                Democratic Governance Act” to “help” the Venezuelan
                people overcome the crisis and prevent the merger with
                Rosneft. The administration sees the merger as a threat
                to their national energy security and fear the joint
                venture could allow <a
href="https://www.rubio.senate.gov/public/index.cfm/press-releases?id=257C91E2-807B-441B-B671-9CF5A8C72B1A">Rosneft
                  to gain “control of U.S. energy infrastructure</a>”.
                 Venezuela's state-owned oil company PDVSA, owns U.S.
                Oil Company Citgo based in Texas which has refineries,
                gas stations and infrastructure in the US. The
                legislation also earmarks $9.5 million for opposition
                groups working to “defend human rights” in Venezuela. </p>
              <p dir="ltr">Opposition members of the National Assembly
                have begun to threaten Ombudsperson Saab unless he
                agrees to give them the green light to remove TSJ
                judges. The ombudsperson accused Freddy Guevara from the
                opposition Popular Will party of making <a
href="http://www.latinorebels.com/2017/04/27/venezuela-one-more-dies-in-demonstration-and-national-assembly-threatens-ombudsman/">“criminal
                  threats”</a> against his office.  Multiple offices of
                the national human rights watchdog have been attacked
                nationwide and the local Ombudsman’s office in Valencia
                was firebombed by “<a
href="http://www.eluniversal.com/noticias/politica/tarek-william-saab-denuncio-quema-defensoria-valencia_650833">masked
                  opposition militants</a>”. </p>
              <p dir="ltr"><strong>Opposition Lacks Alternatives</strong></p>
              <p dir="ltr">Despite the economic challenges facing many
                Venezuelans, this opposition coalition, the Democratic
                Roundtable, appears to be narrowly focused on removing
                Maduro from office and “<a
                  href="http://nsarchive.gwu.edu/NSAEBB/NSAEBB8/nsaebb8i.htm">making
                  the economy scream</a>”. Since taking control of the
                National Assembly, the coalition has put forward no real
                proposals to address the economic challenges facing the
                country. Instead, it appears they have used their
                legislative control to block economic initiatives
                intended to help the economy, preferring to create a
                climate of regulatory uncertainty to scare off potential
                investors. This could lead to the cutting off of access
                to foreign currency - undermining the economy further
                and forcing Venezuela to default on its international
                payments.</p>
              <p dir="ltr"><strong>On-Going Dialogue</strong></p>
              <p dir="ltr">Last year the intergovernmental regional
                organization, the Union of South American Nations
                (UNASUR) undertook to lead an initiative for national
                dialogue. The opposition set preconditions for dialogue
                with the government. As a demonstration of good faith
                and in stark contrast to the media narrative that the
                Maduro government is dead set against negotiations, he
                agreed to some of the opposition demands. The government
                released opposition leader Carlos Melo and two other
                accused of planning terrorist acts.  The government
                agreed to the opposition’s demand for Vatican
                participation in the dialogue, and that the talks be
                held in Caracas rather than the island of Margarita.</p>
              <p dir="ltr">After several meetings the Vatican sponsored
                peace talks came to an abrupt end when the opposition
                walked out - accusing the government of negotiating in
                bad faith. In an open letter, the opposition made it
                clear that the chapter for dialogue was <a
href="http://www.infobae.com/america/america-latina/2017/01/26/el-comunicado-de-la-oposicion-venezolana-comunico-que-se-baja-definitivamente-del-dialogo-con-el-regimen-de-nicolas-maduro/">closed
                  and would not be re-opened again</a>. They called on
                their supporters to intensify street protests.  </p>
              <p>Most recently, the Pope called on all sides to engage
                in dialogue and to reject violence. He also criticized
                the opposition as “<a
href="https://www.bloomberg.com/politics/articles/2017-04-30/pope-calls-for-venezuelan-negotiated-solution-to-curb-violence">divided</a>”
                 citing their “resistance to dialogue”.</p>
              <p dir="ltr">The opposition coalition has been divided on
                whether or not to engage in negotiations, more extreme
                elements see negotiations with the government as
                treason. María Corina Machado, a former National
                Assembly legislator and founder of the US funded NGO <a
                  href="https://venezuelanalysis.com/analysis/789">Súmate</a> criticized
                 the  opposition coalition for its error in engaging in
                dialogue stating “d<a
href="https://www.el-carabobeno.com/maria-corina-machado-dialogo-gobierno-suspenderse/">ictatorships
                  don’t hold dialogues</a>” and called for street
                mobilizations.</p>
              <p dir="ltr">Maduro continues to call for the opposition
                to resume negotiations and welcomes the Pope’s offer to
                help mediate. The opposition has refused to engage, even
                after the government fulfilled another one of their
                demands for dialogue - calling for the CNE to set a date
                for regional elections. </p>
              <p dir="ltr"><strong>Constituent Assembly<br>
                </strong></p>
              <p dir="ltr">In a bid to address the country’s political
                standoff, Maduro has invoked article 347 of the
                constitution calling for a <a
                  href="https://eliasjauavzla.wordpress.com/2017/05/06/constituyente/">National
                  Constituent Assembly</a> which will be responsible for
                re-drafting the 1999 constitution. The assembly will be
                composed of 500 directly elected delegates, half of
                which will be elected from among the country’s social
                movements.  Part of the goal seeks to institutionalize
                important aspects into the Magna Cara such as building a
                “post-petroleum” economy to address climate change and
                new expressions of local government.</p>
              <p>Opposition leaders criticized the initiative, accusing
                the president of trying to outmanoeuvre them in the
                legislature. Despite the staunch criticism, the
                opposition had in the past advocated for a Constituent
                Assembly as a solution to resolve the country’s
                problems. Opposition leaders like Henrique Capriles,
                Leopoldo Lopez, Freddy Guevara and Maria Corina Machado,
                all signed a joint statement demanding a Constituent
                Assembly be called.</p>
              <p>The majority of people in Venezuela want to move
                forward in a peaceful manner to resolve their
                differences while demanding respect for their
                sovereignty. However, extremist elements in the
                opposition have declared themselves in open rebellion
                against the democratically elected president, rejecting
                further negotiations and calling for street
                mobilizations. The International media and their
                unconditional support for the opposition is fueling the
                fire, telling half-truths and inadvertently condoning
                violence and exacerbating the conflict.</p>
              <p> By making Venezuela ungovernable the opposition
                coalition is betting on foreign interference to pressure
                the government to resign, thus allowing them to regain
                power - something they have failed to achieve
                democratically at the ballot box for the past 17 years.
                 </p>
              <p><em>Raul Burbano is the program director of <a
                    href="http://www.commonfrontiers.ca/aboutus.html">Common
                    Frontiers</a>, a multi-sectoral working group which
                  confronts, and proposes alternatives to, the social,
                  environmental and economic effects of economic
                  integration in the Americas.</em></p>
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