Re: Any opinions on the importance (or lack thereof) of having...
posted on
May 21, 2008 04:35PM
I don't believe that this is about MOA renegotiation or the environment, at least not from Chavez' perspective. If it was about money, either Grz or Kry would renegotiate in a microsecond if it meant getting the projects going. Heck, a large portion of Vz income is going to come from the 34% income tax anyway. They don't have to change the MOA, just increase the tax rate on gold mines. If it was an environmental thing, and Chavez cared, he would rescind his 2004 Presidential decree allowing mining in the Imataca forest. He has until the end of July to do it. He won't. If he does, he loses control of that asset (unless the NA subsequently reverses the decision in which case he looks like an idiot). Ortega might care about the environment, but unless Chavez changes the law she only buys some time. The next Env Minister could just as easily approve it. I still think this is as much about her not wanting the potential liability associated with signing off on these projects. With the whole issue out in the open, the powers that be might simply be trying to figure out how best to move her along, and what lacky to replace her with. Hopefully, with elections approaching, it will be of political value (votes) to get the project moving relatively soon -- JMO.