petro-resistance

Peru: indigenous resistance defeats oil contract

Canadian oil firm Frontera Energy Corp has failed to secure a new contract for operating Peru’s biggest oil bloc because of a lack of "adequate conditions," state company PetroPeru announced Oct. 11. Frontera has operated Bloc 192 in the Amazonian region of Loreto for the past two years, but control of the oilfield will revert to PetroPeru once its contract ends in 2019. PetroPeru gave no further details on the decision, but it comes two weeks after Frontera applied to state regulator PeruPetro for an official declaration of force majeure over protests by indigenous communities living within the oil bloc. The declaration would allow the company to legally suspend contractual obligations due to an event outside of its control. Indigenous protesters seized oil wells in Bloc 192 to demand that their communities be consulted before a decision was made on renewing the contract.

San Francisco sues fossil fuel companies

San Francisco on Sept. 20 filed a lawsuit against five fossil fuel companies due to expected expenses the city will incur from global warming. The companies named in the suit are BP, Chevron, ConocoPhillips, ExxonMobil and Royal Dutch Shell—chosen because they are "the largest investor-owned fossil fuel corporations in the world as measured by their historic production of fossil fuels." The suit claims the companies knew of the effects of fossil fuels on global warming since the late 1970s or early '80s, but nonetheless "engaged in large-scale, sophisticated advertising and public relations campaigns to promote pervasive fossil fuel usage." The suit seeks an order that the defendants fund an abatement program for the building of seawalls to protect San Francisco from rising sea levels.

Peru: pending law threatens indigenous lands

Indigenous rights advocates in Peru are protesting a law being prepared by the administration of President Pedro Pablo Kuczynski (PPK) that would allow the government to abrogate the land titles of indigenous and peasant communities for development projects that are deemed "high-priority." This power, long sought by the oil and resource industries, was announced as a goal by the PPK administration shortly after taking office last year. The measure was first promulgated in January as Legislative Decree 1333, during a 90-day "honeymoon" period when Peru's Congress granted PPK special powers to enact laws by fiat, with only after-the-fact review by legislators. One of 112 decrees issued during this period, DL 1333 instituted a process entitled Access to Predios for Prioritized Investment Projects (APIP), allowing the government to "sanear" (literally, cleanse) titles to rural lands. Critics assailed this as a euphemism for arbitrary expropriation, and in May lawmakers  voted to overturn the decree. But on July 28, PPK submitted Law 1718 to Congress, essentially recapitulating the text of DL 1333—only this time, legislators will have to vote to approve it. The responsible agency for overseeing the saneamiento process—ProInversión, a division of the Ministry of Economy and Finance—says it has identified 33 projects around the country that could fall under the rubric of APIP. A watchdog on indigenous land rights, the Secure Territories for the Communities of Peru Collective, has joined with Peru's alliance of Amazonian peoples, AIDESEP, in dubbing Law 1718 the "Law of Dispossession," and calling on Congress to reject it. (AIDESEP, Sept. 12; Servindi, Sept. 3; El Comercio, Aug. 17; La Mula, Aug. 16; El Comercio, May 26; Bonds & Loans, May 22; Instituto del Bien Común)

Colombia: government seeks to restrict 'consultas'

Community leaders throughout Colombia have spoken out against a proposal by the central government to limit the power of consultas populares, or popular referenda, to bar oil and mineral projects at the municipal level. Some are questioning the constitutionality of the government's plan to "fast track" a sweeping reform of the Organic Law of Territorial Ordering (LOOT) that would strip municipalities of the ability to restrict subsoil exploitation. Jaime Tocora of Comité por la Defensa de la Vida accused the government of "going over the heads of the communities and territories," and added: "The public good is with a clean environment, not the multinationals." (Contagio Radio, July 25)

Control of oil at issue in NAFTA re-negotiation

As "NAFTA 2.0" negotiations open, a provision that essentially locks in Canada's current levels of oil exports to the US is drawing opposition from unlikely allies across the Canadian political spectrum but winning staunch support in the "Oil Patch," as the country's petroleum industry is colloquially called.  The "proportionality clause" originally appeared in the US-Canada Free Trade Agreement of 1988 and became a major issue in that year's national election that returned Prime Minister Brian Mulroney to office. It was replicated six years later in the North American Free Trade Agreement—although Mexico won an exemption. The clause can be invoked if a government in Canada reduces US access to Canadian oil, natural gas, coal, electricity or refined petroleum products without a corresponding reduction in domestic access to those resources.

Victory for Inuit sea rights in Canadian high court

The Supreme Court of Canada ruled unanimously July 26 in favor of the Inuit community of Clyde River, Nunavut, which has for the past three years fought to stop seismic testing in their Arctic waters. The Court found that the Inuit were not properly consulted on the oil exploration project off Baffin Island. The decision nullified a five-year seismic testing permit issued by the National Energy Board (NEB) in 2014. The justices wrote that the NEB's consultation process with the community was "significantly flawed," paying little respect to the aboriginal rights of the Inuit and their reliance on local marine mammals for subsistence.

Colombia: more 'consultas' reject extractivism

The latest in a series of popular consultas (consultations, or referenda) on local extractive projects took place June 4 in the municipality of Cumaral, Meta department, with residents voting overwhelmingly (7,475-183) to reject oil exploitation within their territory. The Chinese-owned company that hopes to drill in Cumaral, Mansarovar Energy, immediately challenged the legitimacy of the consulta before Colombia's Council of State, the supreme tribunal with jurisdiction over administrative issues. In a surprise ruling just two days after the vote, the Council of State found that the results must be binding. The ruling is still subject to review by Colombia's Constitutional Court. (El Espectador, June 6; Semana, June 5)

Colombia: courts uphold local power over mining

Colombia's Constitutional Court announced a decision Feb. 16 upholding the power of municipalities and "territorial entities" to block mining on their lands. The decision cited Law 685, which modified the Mining Code in 2001, bringing it into conformity with constitutional provisions on regional autonomy. (Contagio Radio, Feb. 16) The ruling clears the way for Ibagué, capital of Tolima department, to hold its planned consulta or popular vote on mining operations within the municipality, seen as model for similar votes around the country.

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