The Government will analyze freezing fuels at the price raised by Conaie. They remain in permanent assembly until the answers are known.
After 6 hours of analysis and dialogue between the Government and Conaie, no agreements were reached but ‘coincidences’, as mentioned by the Minister of Government, Alexandra Vela.
From 6 o’clock demands presented by the social organizations, only 3 were accepted for review by the Executive, among them, according to Vela, what was related to the moratorium on loans from the productive sector; the management and control of prices for agricultural inputs and control of smuggling; and the strengthening of bilingual and intercultural education.
While to analyze what refers to prices of fuels, mining and oil, it will take the Executive a period of 15 to 21 days to give a answer.
Faced with this, the Minister of Government assured that proposals on fuel prices were raised, however, a revision. “I cannot say figures or prices because they are subject to consensus,” Vela said.
For his part, Leonidas Iza mentioned that there was an important advance but not an agreement and reiterated that they will be pending the responses of the Government, which will be compromised to deliver results in a period of time. Iza and the representatives of the Social Organizations They proposed that the price of fuel be frozen at $ 1.50 for diesel and $ 2.10 for gasoline.
Although initially, the President’s response to this proposal was that “he understands the problem, but the country’s circumstances do not allow it”, finally it will be a request that will analyze.
However, keep the fuel subsidy it would cost the country around $ 560 million, in 2022; an amount equivalent to four months of state contribution payments to the Ecuadorian Social Security Institute (IESS).
Weak political support and lack of strategies
In addition to the economic issue, political cards are played here. For the political analyst and professor, Edgar Zamora, the President would give in, in a certain way, to the issue of fuels “in exchange for having the support of Pachakutik in some decisions within the Assembly and that this political organization does not ally itself with UNES, to make a lot of noise with the Pandora Papers issue and neutralize it ”, explains Zamora
It also emphasizes that the President and his Government are politically weak to make decisions, which is why they seek support in the political forces of the Assembly and from the street.
Agreements or coincidences?
Leonidas Iza, president of Conaie, began by saying that they reached an agreement on a review of the price of fuel. However, after the interventions of his colleagues, he retracted and said that, “there are advances but no agreements.” With this, Eustaquio Tuala, president of FEINE, agreed, who indicated that they remain vigilant to the Government’s response, in 15 days.
Iza finished by saying that there will be no consensus, in no sense, “while the issue of fuels is not resolved” and he mentioned that Conaie and social organizations remain in permanent assemblies in all territories.
During the statements, it could be observed that, although there were points in common between these two sectors, the leader of the Conaie dedicated his speech to the issue of fuels, leaving aside the other two points of agreement that the Minister of Government highlighted. A next meeting is expected between social organizations and the Executive where responses will be defined regarding the issues of greater social scope. (MFU)
Within an hour of the talks, there was already a first hit between Conaie and the Government. Carlos Jijón, official spokesman, in his statements said that there was a positive atmosphere at the dialogue table.
“The president of the Conaie, Leonidas Iza, has insisted that credits with the productive sector enter a moratorium. The President accepted and said that he is in favor of the condonation of the credits of small farmers with BanEcuador ”, concluded Jijón.
The Communication Secretariat of the Presidency, through a statement, said that “the Executive is taking the necessary actions so that, from January 1, 2022, credits at 1% interest are available.”