Mark Schneider says Bolivia is facing a "moment of uncertainty.



Mark Schneider says Bolivia is facing a "moment of uncertainty.

South American gas giant in turmoil
The president of Bolivia submitted his resignation on Monday night.
By Bill Faries | Correspondent of The Christian Science Monitor
LA PÁZ, BOLIVIA � The sound of exploding dynamite tossed by protesting miners in Bolivia's capital is reverberating across South America.

For three weeks, largely indigenous protesters have paralyzed the government and its capital, La Páz, demanding nationalization of the country's oil and gas resources and a new constitutional assembly. Two government ministers have resigned, rumors of a military coup have swept the capital, and Monday night President Carlos Mesa offered his resignation - for the second time in three months. Mr. Mesa said he will continue on as president until Congress decides whether to accept his offer.

Bolivia's turmoil is leading neighboring countries to reexamine their energy dependence on this landlocked Andean nation.

With an estimated 53 trillion cubic feet of natural gas, Bolivia holds the continent's second-largest gas reserves after Venezuela. Moreover, Bolivia's location among the surging economies of Argentina, Brazil, and Chile means the country is well positioned to be the fuel supply for the region's engine of growth. But complicated internal politics may push development of those resources far into the future.

"Bolivia is losing a real window of opportunity," says Carlos Alberto López, a former vice minister of energy and a consultant to the oil and gas industry. "Instead of using that window to lock in long-term contracts, we're watching it slip away."

[Excerpt]

Mark Schneider, senior vice president at the Crisis Group in Washington, says Bolivia is facing a "moment of uncertainty."

"At this point, there are no individual leaders in Bolivia who dominate the political spectrum," he says. "You can't keep stretching the social and political fabric of the country to the breaking point without something giving."

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May 28, 2005: This Week's Top Stories The Coyne Column: Love and War in Afghanistan 28 May Sam Farr supports Coffee Growers in Colombia 28 May Elaine Chao wins Woman of Valor award 27 May Nebraska has strong ties with Afghanistan 27 May Arthur Orr to seek Alabama State Senate seat 26 May Murder of John Auffrey remembered in Liberia 26 May Bill Moyers says journalists should be filters for readers 26 May Linda Seyler spent two years in Thailand digging latrines 25 May Chris Shays blasts Bush on stem cell research 25 May George Wolfe to head Loudoun Academy of Science 25 May David Rudenstine heads Cardozo School of Law 24 May Mark Schneider says declaration is "pretty thin gruel" 24 May Robert Blackwill supports seat for India on Security Council 24 May Chris Matthews weighs Thomas Jefferson nomination 24 May Jim Knopf is expert on xeriscape gardening 23 May Mae Jemison receives honorary degree at Wilson 23 May Kenneth Proudfoot says dreams come true 22 May

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