Oct 17, 2013

Oil: The Great Pitfall

By John Saxe - Fernández
Americas Program Original Translation 

Diego Valadés, of the Institute of Legal Research of the UNAM, warned the Senate about the risk involved in opening Pemex when Mexico is part of NAFTA and could be forced to give preferential contracts to companies (U.S.), or risk involvement in an international controversy if they refuse. The matter takes on unusual importance and urgency if we consider that since October 2012 Mexico has been negotiating their participation in the Trans-Pacifc Partnership Agreement (TPP) which, according to leaked documents, grants rights and privileges to corporations in investment, land, natural resources, and industries in order to disable state enterprises, with the intention to reverse the vast and dynamic geo-economic and political projection of the Chinese state sector.

The notion of renegotiating the Mexico’s petro-electric clause in NAFTA protected by Articles 27 and 28 of the Constitution, had been placed in Peña Nieto’s agenda by John D. Negroponte ( JDN ), U.S. ambassador during the negotiation of NAFTA and former director of the National Intelligence Council , governing body of imperial espionage . In October 2010 Negroponte said from Toluca that it was time to seek new ways of working through the negotiation of a second phase (NAFTA) and that the... delicate matter ... needed to be put on the table. He was referring to the energy sector, a key card in the presidential succession processes for plundering the nation. EPN came to Los Pinos at the culmination of the intentional weakening of Pemex started in 1983, so that by the end of 2011 and to the delight of the White House and the greats (ExxonMobil, Chevron, etc.) during their U.S. tour, offered to open the energy sector, endorsing U.S. business design and national security.

JDN knew that negotiations were underway for the TPP, which includes the EU - the member with the most powerful and largest number of corporations - Australia, Brunei, Canada, Chile, South Korea, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam. Mexico knew that this was precisely the second phase of NAFTA and once it clears constitutional obstacles, the control of oil and business will fall like ripe fruit into the hands of the greats, thanks to TPP. Qualified as a NAFTA Plus, critics call it a NAFTA on steroids for his chapter on investment.

Despite the secrecy there are known drafts obtained by Public Citizen and analyzed by Lori Wallach (review of TPP ) confirming that TPP enhances the powers of corporations with the authority assigned to nations and contains 29 chapters of which only five are about trade . The text is developed by the U.S. government with 600 corporate directors , including Monsanto , Bank of America , Chevron , ExxonMobil , in addition to Halliburton, the leading provider of hydraulic fracturing or fracking that devastates human and animal health, the environment and atmosphere to extract oil and gas shales. They also advise on environmental regulation of state enterprises, capital flows, new prerogatives in terms of investments, derivatives, permits, public health and safety, Internet, drug costs, patents and intellectual property and international courts the type managed by the World Bank, MIGA, etc., but less transparent as it will consist of three judges, lawyers of three of the signatories of TPP, depending on the judge and / or part as appropriate.

The TPP enables direct investors to sue governments for unlimited compensation against environmental, labor, and consumer protection laws that in its discretion limit their ability to make profits. So far, according to UNCTAD, ExxonMobil and Dow Chemical have released more than 450 lawsuits against 89 governments, with tens of billions of dollars at stake. From a sample of 675 million dollars, 70 percent were in favor of oil and mining.

TPP limits state capacity to regulate foreign investment, including land acquisition and control of natural resources, giving priority to investment banks like Citigroup and Morgan Stanley. These courts will be in charge of contracts between governments and foreign investors (textual) in relation to natural resources controlled by a national authority , such as exploration, extraction, refining , transportation , distribution or sale, or provision of public services ... as well as the generation and distribution of electricity, water or telecommunications management , or the development of infrastructure projects: construction of roads, bridges, canals , dams , pipelines , that will not be for the exclusive or predominant use of the government.
Valadés Diego reassured that touching the 27 and 28 clauses of the Constitution will unleash the lions lions.


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