The Washington Post
Sunday, December 29, 2002; Page A23

Venezuela Aided by Imported Gasoline

Fuel Is Scarce as Chavez Claims Progress on Strike's 27th Day

By Christopher Toothaker
Associated Press

CARACAS, Venezuela, Dec. 28 -- Venezuela received some desperately needed gasoline from abroad today as President Hugo Chavez claimed he was winning
the battle against striking workers who have paralyzed the world's fifth-largest petroleum-exporting country.

The Brazilian tanker Amazonian Explorer arrived off the coast of the northern state of Anzoategui with 525,000 barrels of gasoline, Globovision television reported.
Smaller tankers were scheduled to ship the cargo -- little more than a normal day's demand of 400,000 barrels -- to several ports.

Fuel shortages continued, and hundreds of drivers sat in long gas lines in Caracas, the capital, today -- the strike's 27th day. Strike leaders called for more protests
in cities and towns throughout the nation in their drive to force Chavez from power.

The shutdown has forced Venezuela to turn to other countries for fuel and food. Still, Chavez said Friday that "we are emerging from the critical situation into which
the country fell."

He awarded medals to troops participating in efforts to reactivate the state-owned oil monopoly, Petroleos de Venezuela. Chavez has sent soldiers to take over oil
facilities and commandeer trucks to distribute gasoline. His government is seeking replacement dockworkers, tugboat and tanker crews, field hands and executives.

Opposition groups, including the largest labor union, business leaders and thousands of workers at the oil company, began the strike on Dec. 2 to demand Chavez
call a nonbinding referendum on his rule.

Juan Fernandez, a high-ranking oil executive who was fired for joining the strike, accused government officials of misleading citizens by repeatedly telling them the
energy crisis, which has cut oil exports from 3 million to 160,000 barrels a day, would soon be over.

Opposition leaders accuse Chavez of bringing on Venezuela's worst recession in years and trying to impose a Cuban-style revolution. Chavez insists he wants to
distribute Venezuela's oil wealth to the poor, who make up the majority of the population.

Chavez has balked at his opponents' demands, saying they must wait until August, when a binding referendum may be held.

Venezuela supplied 14 percent of U.S. oil imports before the strike. Concern that the strike could continue well into 2003 and fears of war in Iraq have pushed oil
prices above $32 a barrel.

A small black market in gasoline emerged, with vendors selling gas at five to 10 times the normal price of 26 cents a gallon.

David Pena, 45, a taxi driver, said he bought five gallons from speculators for $7. "That's a robbery, but what else can I do?" he said. "I have a family to feed."

                                               © 2002