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Showing posts with label PSUV Venezuela. Show all posts
Showing posts with label PSUV Venezuela. Show all posts

Friday, July 16, 2010

Bolivarian Venezuela at a Crossroads, Part 2: Debate and Contradiction in the PSUV

By Eric Toussaint


Part 2: Debate and Contradiction in the PSUV [1]


During the 2007 constitutional referendum, one might have thought that the party created by Hugo Chávez in 2006 was stillborn since fewer people voted ‘Yes’ than the number of people officially enrolled in the party.[2] But this impression was partially belied in the following months. Grassroot meetings multiplied, which resulted in the nomination of candidates for the municipal elections and for governors of the 23 states that make up Venezuela. However, the process is contradictory. While participation from the party’s rank and file was active and effective and while grassroots members did appoint candidates for the elections, the fact stills remains that when it came to the party’s executive board, ordinary members could not vote for all the leaders and Chávez himself put his government’s ministers in the party’s key posts (for example, the eight vice-presidents of the PSUV). This creates a regrettable confusion between the state, the government, and the party.


In this respect some voices have been raised within the PSUV to challenge the fact that the party’s management and coordination are left to the ministers who are already overloaded with their governmental mission. Moreover their position as ministers gives these leaders the power to disproportionately influence the decisions taken by the party. It is also easier for them to influence some party members when the latter are called to the polls. A critical view, shared by a substantial number of activists, was expressed by Martha Harnecker as follows: “One of the things that surprise us and, I imagine, must shock people abroad, particularly in Europe, is that the state is the instrument with which the party is built. It is in clear contradiction with our vision of the party.”[3]


Gonzalo Gómez, a PSUV activist and co-founder of Aporrea, also shows concern regarding the relationship to be built between the party and popular power (which he also calls “the constituent player”): “The party can seek to propose and give direction, accompanying social movements in the building up of popular power, but it cannot subjugate popular power; in other words subjugate this constituent player by the constituted power.”[4]


Communal councils: when “constituent power” challenges constituted power


The law entitled Ley de los Consejos Municipales (LCC)[5] was voted without any genuine debate on 7 April 2006. Its article 3 states: “The organization, functioning, and action of communal councils must meet the principles of co-responsibility, cooperation, solidarity, transparency […], honesty, effectiveness, efficiency, social responsibility, social control, equity, justice, and gender and social equality.”


A citizens’ assembly (asamblea de ciudadanos y ciudadanas), “the grand decision-making body of communal councils” according to Article 6, must consist of at least 20% of inhabitants from the age of 15 and over. The communal council defines its jurisdiction, and its members are not paid, according to Article 12. Its various areas of intervention are defined as follows: “Health, education, land management in towns or rural areas, housing, social protection and social equality, popular economy, culture, security, communication and information, leisure and sports, food, technical guidance on water, technical guidance on energy and gas, services, and any other matter the community may decide useful to proceed with,” according to Article 9.


President Hugo Chávez set up communal councils back in 2006, as a way of introducing participation in the drafting and implementing of local policies. The government sets great hope in these councils, which it sees as “territorial grassroots units of popular participation and self-government.” As the president said, this “revolutionary explosion of popular power” must be the realistic and sustainable basis for a new type of state, for “a socialism of the 21st century.”


Talking about the 15,000 councils already extant in June 2007, Juan Leonel M. of FONDEMI, the Microfinance Development Fund, does not hide the fact that relationships with municipalities are sensitive: “Actually the mayors, or at least many of them, are opposed to this new mode of election and way of organizing communities. They see the communal councils as organizations in competition with their own administrations. But the idea today is that the established power must move hand in hand with the constituent power of communal councils. The state is initiating a revolution within the state system. The people’s constituent power must be the motor of change. Communal councils are the cornerstone of municipal self-government where the people have direct access to power.”[6]


The 2006 law on communal councils is currently being changed. It is likely to be replaced shortly by a new law that is being drafted.[7] To know more about this experiment, read Martha Harnecker’s books on the subject. She lives in Venezuela and has devoted much time in the last few years to the experiment with communal councils.[8]


The PSUV Congress was held in several sessions from November 2009 to April 2010. The 772 delegates who took part in the Congress were elected in a secret ballot by rank-and-file party members (according to official figures, half of the 7,253,691 party members turned out for these internal elections). There were very few workers and company trade unionists among these delegates. On the other hand, many delegates were employees who are answerable to the party or to local authorities and are therefore easily influenced. Even though Hugo Chávez, as president of the party, called on delegates to act in Congress as spokepersons for the popular base and social movements, with Congress composed as it was, it is hard to see how this could really lead to positive results.


In June 2009, the PSUV was the center of attention and debates, when thirty of the most eminent intellectuals invited by the Miranda International Center (CIM) discussed the progress of, and remaining obstacles to, the revolutionary process currently taking place.[9]


The CIM published a summary of these days for reflection entitled “Intellectuals, democracy and socialism: dead ends and paths to follow.”[10]


Here are some extracts from the summary which give an idea of what is at stake in the party itself and beyond, if a genuine revolutionary project is to be implemented.



“What is the future of a party whose base rarely gets the opportunity to have their say? (…) Is this non-separation between state and party merely repeating a mistake of the 20th century socialist model? Was the PSUV created as a top-down structure out of a political necessity felt by the government, rather than a necessity felt by the base? Another important aspect that came up several times was the need for collective leadership of the party, which is effectively based on grassroots social movements (and which does not merely use them as the government’s communication channel during election periods), thereby putting an end to harmful, partisan vote-catching. This would create the base of a true revolutionary party which recognizes the right to express criticism and which fosters greater democracy within the party.”



Another issue debated was the nature of the new revolutionary state. If the state was the instrument used by neo-liberalism to implement its own agenda, should it also be used to free us from neo-liberalism? Can this state put us on the path to socialism or, on the contrary, is it an obstacle to socialism? Other issues debated were the role of the media, both pro- and anti-Chávez; the characteristics of the revolution – it was said that it contained “many types of revolutions within it: student, farmer, worker, socialist, feminist, military and popular,” thus the need for a constant dialogue between these groups; the definition of 21st century socialism; popular participation, especially through communal councils (see section above), which were described as “a prime example of participation” but “not [playing] a sufficiently participatory role” in practice because “they run the risk of being co-opted by the party.”


The final issue considered during the meeting concerned the place and role of criticism in a revolutionary process, and the main question discussed was the following: “Is it possible for a revolution to succeed if it does not make criticism one of its main driving forces?” It was acknowledged that “criticism has lost some of its rightful place. In media that are sympathetic to the process, it is not difficult to find reactions reminiscent of 20th century socialism where those who openly criticize are accused of being “counter-revolutionaries” or “CIA agents”. This considerably weakens the process as it prevents the government from implementing changes when things are not working.” At the same time, the intellectuals said they “were pleased that the executive had given them a space for criticism - something which had not happened in ten years. They also stressed the fact that this event proved that fear of criticism was unfounded. The claim made by the anti-Chávez opposition that there is a lack of freedom of expression in Venezuela is equally false.”


The controversy raised by this meeting showed how relevant these questions are. These days were broadcast live in full on a public channel (TVES) and then re-broadcast over a period of some 10 days. Important sectors of the government strongly criticized the CIM initiative as well as the content of these meetings. Among the critics were the Minister for Oil Rafael Ramirez and Minister of Foreign Affairs Nicolas Maduro, both of them important political figures in the PSUV. One of the pro-Chávez daily newspapers, VEA, published several articles condemning the CIM initiative and stating, “they convene meetings amongst intellectuals whose positions are confused, whilst allowing them to let off steam at Chávez’s leadership which they describe as a “hyper-leadership” or “progressive autocracy”. Without a doubt, these are pro-Chavista supporters without Chávez, ashamed to show their true colors and get on the other side of the fence.”[11]


After ten days of controversy, both in the pro-Chávez and the opposition press, Hugo Chávez, in his televised programme Aló Presidente of June 14, seemed to agree with those who criticized the International Miranda Centre (CIM). That merely served to increase public interest in the event: different trade union worker leaders as well as the Communist Party of Venezuela and “Homeland for All” (two parties which support the government while refusing to join the PSUV) have defended the CIM and stated that the critical contribution of revolutionary intellectuals was a positive event. It was feared that at some point the CIM would be brought to heel or even shut down but nothing of the sort has happened. This shows once again the complexity of the changes taking place in Venezuela, whose government cannot be considered as totalitarian.


Notes


[1] The first part of this series ‘Bolivarian Venezuela at the crossroads’ was posted on the CADTM website on 14 April 2010 under the title ‘Venezuela. Nationalization, workers’ control: achievements and limitations’ http://www.cadtm.org/Venezuela-Nati...


[2] Officially, six million Venezuelans joined the PSUV at the time of the referendum on 2 December 2007. And yet the ‘Yes’ won only a little more than four million votes, some of which certainly did not come from PSUV activists since the PCV (Partido Comunista de Venezuela, Communist Party of Venezuela) and the PPT (Patria Para Todos, Homeland For All), among others, called for a ‘Yes’ vote. In fact, during the phase when the party was launched, ministries were given membership targets, which resulted in a flawed process and an artificial inflation of membership figures.


[3] Speech of Martha Harnecker on the occasion of the meeting “Intellectuals, democracy and socialism: dead ends and paths to follow” organized by the CIM http://www.rebelion.org/noticia.php...


[4] Speech of Gonzalo Gómez on the occasion of the meeting “Intellectuals, democracy and socialism: dead ends and paths to follow” organized by the CIM http://www.aporrea.org/actualidad/n...


[5] http://www.tecnoiuris.com/venezuela...


[6] Quoted in « Les conseils communaux au Venezuela : un outil d’émancipation politique ? », by Anne-Florence Louzé, in Olivier Compagnon, Julien Rebotier and Sandrine Revet (eds), Le Venezuela au-delà du mythe. Chávez, la démocratie, le changement social, Editions de l’Atelier/Editions Ouvrières, Paris, 2009, 238 p


[7] See the project of the new law: http://www.alcaldiagirardot.gob.ve/...


[8] See Martha Harnecker “De los consejos comunales a las comunas” http://www.rebelion.org/docs/83276.pdf. This 61 page study includes a bibliography of Martha Harnecker’s 21 books on the subject of popular participation. Read also, by the same author, “Las Comunas, sus problemas y cómo enfrentarlos” http://www.rebelion.org/docs/90924.pdf


[9] The Miranda International Center (CIM) is an official institution created by the Venezuelan presidency and financed by the Ministry of Higher Education.


[10] The complete summary (in French and Spanish) is online on the CADTM website at http://www.cadtm.org/Venezuela-prem... and http://www.cadtm.org/Primera-sintes...


[11] Published 6 June 2009 under the collective signature Grano de maíz.


Translated by Francesca Denley, Judith Harris, Stéphanie Jacquemont and Christine Pagnoulle.


Eric Toussaint, Doctor in Political Science (University of Liege and University of Paris VIII), is president of CADTM Belgium (Committee for the Abolition of Third World Debt, www.cadtm.org). He is the author of A diagnosis of emerging global crisis and alternatives, VAK, Mumbai, India, 2009, 139p; Bank of the South. An Alternative to the IMF-World Bank, VAK, Mumbai, India, 2007; The World Bank, A Critical Primer, Pluto Press, Between The Lines, David Philip, London-Toronto-Cape Town 2008; Your Money or Your Life, The Tyranny of Global Finance, Haymarket, Chicago, 2005.


July 14th 2010


Bolivarian Venezuela at the Crossroads, Part 1: Nationalization and Workers’ Control


Bolivarian Venezuela at the crossroads, Part 3: The Venezuelan economy: in transition towards socialism


venezuelanalysis


Thursday, July 1, 2010

Bolivarian Venezuela at the Crossroads, Part 1: Nationalization and Workers’ Control


By Eric Toussaint - CADTM:


The economic, social and political situation in Venezuela has changed a lot since the failure of the constitutional reform in December 2007, which acted as a warning to the Chávez government.[1] This failure had the effect, however, of reviving the debate on the need to have a socialist perspective. The debate revolves around several key questions: further nationalization, workers’ control, the place of the PSUV (United Socialist Party of Venezuela), and people’s participation.


On Sunday 15 February 2009, 54.36% of the country’s citizens voted ‘yes’ to the amendment to the Constitution that allows political representatives to stand for successive mandates without any time limit.[2] Up to then the Constitution had only allowed two successive mandates; there had to be a break before the candidate could apply again.[3] In 2013, at the end of his second mandate, Hugo Chávez will have the possibility to run again for president. If he is re-elected, his mandate will end in January 2019. This is why some Chavist activists are now concerned about what changes may occur by then that could consolidate the progress achieved since Chávez’s accession to power.


Nationalization and workers’ control: achievements and limitations


In April 2008, after 15,000 workers at the SIDOR steel plant, part of the Argentine group Techint, had been on strike for nearly two months, Hugo Chávez announced that the company was being nationalized. The workers’ main demand was for 9,000 temporary contracts to be converted into unlimited duration contracts. Given the employer’s refusal, nationalization was the best way for the government to guarantee that the workers’ demand was met — a decision workers perceived as a great victory.


SIDOR was founded as a State-owned company during the 1950s and then privatized and sold to foreign capital in 1997 under Rafael Caldera’s presidency. The April 2008 re-nationalization takes on particular significance since this modern and efficient company is a production tool that Argentinian capital, and Techint in particular, wished to hold on to.


It should be noted that the Chavista government of the state in which SIDOR is located had ordered the police to repress the strike as soon as it started. In addition, the minister of labour had done nothing to support workers’ demands. As a consequence Hugo Chávez’ decision to nationalize the company and to remove the minister was perceived as a shift in the workers’ favour. All the more so as, at about the same time, he announced an increase in interprofessional minimum wages and public sector salaries as well as the nationalization of the cement industry, which so far had been in the hands of three transnational corporaions (TNC) (Lafarge – France, Holcim – Switzerland, and Cemex – Mexico).


In the following months and during 2009 the government made further nationalizations in the food industry [4] (which affected both national capital – Lacteos Los Andes – and the grain TNC Cargill). The government justified these nationalizations as being essential for improving the population’s food supply. Finally the Bank of Venezuela, one of the largest private banks in the Santander group (one of the two leading banking groups in Spain) was also taken over by the State.


All these nationalizations, as well as those that had occurred earlier (in the electricity sector, telecommunications, the Orinoco oil fields, etc.), led to generous compensations for the former owners. Venezuela uses part of its oil revenue to regain control of certain strategic sectors of the economy. The main objective of such compensation is to avoid legal penalties for not abiding by bilateral treaties on investments signed by Venezuela. International law makes it possible for States to nationalize companies provided they give reasonable compensation to owners. Venezuela could proceed in a more radical way if it withdrew its signature from bilateral treaties on investments, left the ICSID (International Centre for the Settlement of Investment Disputes, the World Bank’s tribunal on investment issues), and secured its liquidities and other assets abroad so as to avoid seizure. This of course would further increase the hostility of the establishment in industrialized countries and of the TNCs within the country (all the major transnational oil companies are present in Venezuela as well as General Motors, Mitsubishi, Daimler-Chrysler, etc.).


The rather cautious way chosen by the government did not prevent a company like ExxonMobil from trying to have 12 billion dollars belonging to PDVSA (Petróleos de Venezuela Sociedad Anónima) seized by Dutch and British courts in 2008. This is one good reason for Venezuela to enter into an alliance with other countries of the South so as to repudiate bilateral treaties on investments that include clauses that could be detrimental to the nation’s interests, to withdraw from the ICSID and WTO, and to set up a multilateral body in the South to settle disputes – in other words, an ICSID that would be a Southern alternative to the World Bank’s ICSID, which serves the interests of large private TNCs.


In 2009, further nationalizations again raised the issue of workers’ control. Left-wing trade unions and workers’ collectives are in fact demanding the implementation of control mechanisms through which workers can control the boards of nationalized companies. They want in this way to ensure that the original objectives of such nationalizations will be adhered to; they also want to prevent bad management, waste, embezzlement, corruption, and misuse of company assets by insisting on the opening of ledgers, transparent commercial and industrial strategies, and the periodic submission of balance sheets and accounts. They rightly voice their distrust of many of the private executives who stayed on after nationalization, but also of some new executives who look after their personal interests rather than seek what is good for the community. Achieving and indeed demanding control increases workers’ self-confidence and their capacity to collectively contribute to a socialistic kind of management and labour relations on the one hand, and, on the other, create a counter-weight within companies in the hands of private capital.


We see instances of workers occupying private companies and demanding their nationalization. Inevitably the issue of workers’ control will have to be raised again in the oil industry. It first flared up during the oil lockout (December 2002 - January 2003), when workers, who wanted to resume production, had called an oil conference. Later Hugo Chávez rejected the idea of workers’ control in this key industry because of its strategic importance, whereas of course it would be a good reason to go for it. The same applies to the production and distribution of electricity, which were also nationalized. Workers in this sector started demanding control in September 2009. Electricity supply in Venezuela is critical since over 50% of its production [5] is ‘lost’ or diverted (meaning stolen) during distribution. Losses are mainly due to the use of old equipment because before they were nationalized by the Chávez government, certain companies like Electricidad de Caracas (owned by AES, a U.S.-owned TNC) were almost systematically deprived of the necessary investments to buy new machines. On the other hand, large private industrial companies steal and squander large quantities of energy. There are also unauthorized electric hook-ups in residential areas but in the case of working class households, which are not big consumers, such piracy is limited. Workers in the electricity sector are in the best position to solve the issue of supply and to fight squandering and bad management by senior executives – and thus avoid power cuts. These are the arguments being developed by trade union leaders to demand workers’ control. Ángel Navas, president of the Electricity Sector Workers’ Federation (FETRAELEC), told the media during a demonstration by some 3,000 workers in Caracas on 25 September 2009: “We the workers are in touch with users in the neighbourhoods. We know how we can solve the crisis... We have to change the bureaucratic structures and the structures of capitalist management into structures with a socialist vision. We must change production relations and do away with all this bureaucracy which is killing the company.” [6]


During the first half of 2009 Hugo Chávez stated at a public meeting with worker managers that he was favourable to a law on the election of managers of nationalized companies [7], but nothing has happened since then to put this commitment into practice.


This struggle for workers’ control of company management is essential. Its outcome is decisive for the ongoing process in Venezuela. [8]


Notes


[1] On 2 December 2007 51% of voters said ‘No’ to Chávez’ constitutional referendum as against 49% voting ‘Yes’. This is Chávez’ only electoral setback between 1998 and 2009. See Éric Toussaint, “The failure of 2 December 2007 can be a powerful lever for improving the process currently unfolding in Hugo Chávez’ Venezuela”, December 2007, http://www.cadtm.org/The-failure-of...


[2] It should be remembered that article 72 provides for the possibility of citizens recalling the President of the Republic and all other elected officials half-way through the term of office.


[3] The campaign depicting Hugo Chávez as a “despot for life” played on the scandalous nature of unlimited re-election. Yet several European democracies work in the same way. This is the case in Spain, Italy and the United Kingdom for the post of Prime Minister, and in Germany for the post of Chancellor (in all 4 countries, it is the head of government who really holds the reins of power). In France, up to the adoption in July 2008 of the constitutional law on the modernization of institutions, there was no limit on the number of consecutive mandates. Since then, the number of consecutive mandates is limited to two.


[4] http://voixdusud.blogspot.com/2009/


[5] We should also note, however, a very positive structural feature in Venezuela: electricity is very largely produced from dams and rivers. Fossil fuels are only rarely used and there are no nuclear power plants.


[6] See a very interesting video of the demonstration with interviews of several TU leaders on the Marea Socialista website: http://mareasocialista.com/


[7] This was the case on 21 May 2009 during a meeting between Hugo Chávez and 400 delegates from the steel and aluminium industries held in the State of Guayana. A meeting to consolidate other commitments made during this important assembly took place on 21 August 2009 in the context of the “Plan Guayana socialista”. See Marea socialista, no.22, p. 3.


[8] To know more about initiatives or position statements on workers’ control in Venezuela, read issues 19, 20, 21 and 22 of the magazine Marea Socialista, July-August 2009, which discuss the situation at SIDOR, CorpoElec, Cadafe, cement works, Cafeaca, Alcasa, Carbonorca…See http://mareasocialista.com/


Translated by Christine Pagnoulle and Judith Harris, in collaboration with Francesca Denley and Stephanie Jacquemont. Next part: Debate and contradiction in the PSUV (United Socialist Party of Venezuela) (Part 2).


Eric Toussaint, Doctor in Political Science (University of Liege and University of Paris VIII), is president of CADTM Belgium (Committee for the Abolition of Third World Debt, www.cadtm.org). He is the author of A diagnosis of emerging global crisis and alternatives, VAK, Mumbai, India, 2009, 139p; Bank of the South. An Alternative to the IMF-World Bank, VAK, Mumbai, India, 2007; The World Bank, A Critical Primer, Pluto Press, Between The Lines, David Philip, London-Toronto-Cape Town 2008; Your Money or Your Life, The Tyranny of Global Finance, Haymarket, Chicago, 2005.



Source: Committee for the Abolition of Third World Debt



Bolivarian Venezuela at a Crossroads, Part 2: Debate and Contradiction in the PSUV




venezuelanalysis




June 30th 2010