Page 7 - NorthAmOil Week 26 2021

NorthAmOil COMMENTARY NorthAmOil

The administration of
Venezuelan President
Nicolas Maduro is
taking steps to load the
dice in its favour.

The statement also came out shortly before processing and distribution facilities.
Venezuela’s state-run electoral commission As such, lifting the sanctions would allow the
revealed that the country’s main opposition NOC to reverse the decline in oil output that has
group, the Democratic Unity Roundtable deprived the country of revenue and also allevi-
(MUD) bloc, would be permitted to participate ate the petroleum product shortages that have
in the elections scheduled to take place later this compounded the misery of Venezuelan citizens.
year. MUD is one of 20 political parties that have Moreover, it might also entice international oil
been authorised to put candidates forth for the companies (IOCs) to return to the country after
vote in November, representatives of the com- years of mostly avoiding it so as not to fall foul
mission stated. They also noted that the election of the US sanctions regime.
would be the first one certified by the body’s new
electoral board, in which two of the five seats Loading the dice
will be filled by members of the opposition. It’s also important to note, though, that Maduro’s
administration is not exactly giving up its hold
Genuine signs of change on power just yet.
It seems, then, that there are genuine signs of Instead, Caracas is taking steps to load the Maduro’s
change in Venezuela’s political climate. dice in its favour. For example, it is making sure
The EU, at least, seems to be taking these signs that the president’s allies form a majority on administration is
seriously. Officials in Brussels said recently that the new electoral board. It is also maintaining not exactly giving
they intended to send a technical mission to rules that will prevent more than a dozen prom-
Venezuela to determine whether the circum- inent members of MUD – including Henrique up its hold on
stances warrant assembling an electoral obser- Capriles, who served as the bloc’s candidate
vation team to monitor the vote in November. in the presidential election of 2012, and Juan power just yet.
Bloomberg commented earlier this week that Guaido, the opposition leader who was named
this move was “an important step toward legiti- interim president in early 2019 amidst com-
mising the election.” plaints that Maduro had rigged the 2018 vote
If so, it would also represent an important – from running in any election for public office
step towards normalisation of conditions in for at least another decade.
the oil industry, which has been significantly As such, the US (along with Canada and
affected by the US sanctions regime. The the EU) ought to consider the matter care-
trade restrictions imposed on PdVSA in early fully before coming to any conclusions about
2019 have curtailed the country’s ability to the outcome of the November elections. They
explore, develop and export its oil resources by have time to do so, since there are more than
restricting access to investors, financiers, ser- four months left until the vote, and they should
vice providers, trading partners and suppliers spend that time paying close attention to what
of the parts and equipment needed to main- the Maduro administration does, as well as
tain and repair its production, transportation, what it says.™

Week 26 01•July•2021 www. NEWSBASE .com P7