Page 4 - LatAmOil Week 42

LatAmOil COMMENTARY LatAmOil

President-elect Luis Arce stands at right (Photo: Ruptly)

Bolivian gas sector awaits

the country’s new leader

President-elect Arce is not likely to push for major changes in the near future

NEARLY a year ago, Bolivian President Evo the benefits of outside investment, despite the
Morales resigned his position and left the coun- objections of Finance Minister Oscar Ortiz.
WHAT: try amidst widespread public protests. He did so
Former President Evo after his left-wing Movement Toward Socialism Similarities and differences
Morales’ MAS party has (MAS) party was accused of using fraudulent Arce, for his part, appears to be looking to
returned to power, though means to secure his re-election to a fourth term, carve out his own path. His party’s plan for the
without Morales himself. and he was replaced by Interim President Jea- 2020-2025 period does bear some similarity to
nine Áñez, a member of the right-leaning Dem- Morales-era policies, in that it focuses on devel-
WHY: ocrat Social Movement (MDS) Party. oping the domestic gas market. That is, it calls
The new president-elect And now MAS is poised to return to power. for treating locally produced gas as a means of
played a crucial role in The party’s candidate, Luis Arce, has been building up the Bolivian economy and ensur-
engineering Morales’ officially declared the winner of the presiden- ing adequate domestic energy supplies and not
economic policy regime, tial election held on October 18. He is due to merely as a commodity to be sold for foreign
which promoted domestic take office sometime between October 31 and currency.
gasification.
November 14. It also provides for concrete actions such as
WHAT NEXT: The change is certain to have implications resuming production at a fertiliser plant that
Arce is not likely to for Bolivia’s natural gas industry. Morales made processes locally produced gas. The facility,
pursue legal reform in the energy one of his administration’s top priorities, which the Morales administration built at a
gas sector any time soon. renationalising the country’s oil, gas and power cost of around $900mn, has been idle for some
generation sectors and promoting domestic time – to the dismay of the national oil company
gasification projects. Áñez took a different (NOC) YPFB, which provided the gas used as
approach, calling for privatisation and touting feedstock.

P4 www. NEWSBASE .com Week 42 22•October•2020