Why Venezuela’s Wealth of Energy Resources Can’t Stop Blackouts

[naaman fletcher]

She said that the lights often go out for five to six hours, or for the entire day. But even when there is electricity, Dematorc can’t always get the raw material it needs to make nuts and bolts, because power cuts at Venezuela’s main steel plant have led to periodic steel shortages. As a result, Dematorc’s output and workforce have been reduced by half.

“If this situation continues,” Nuñez said, “the company may have to close down.”

Dematorc is one of thousands of companies, hospitals, schools and neighborhoods affected by years of blackouts and energy rationing. The socialist government of President Hugo Chavez completely controls the power sector — it’s even named a minister of electrical energy. Yet the government downplays its own role in the crisis.

Officials first blamed a spike in demand amid rapid economic growth. Then came a 2010 drought that reduced water levels at the country’s hydroelectric dams. But lately the economy has slowed down and torrential rains have filled the dams.

http://www.theworld.org/2011/06/venezuela-energy-blackouts/

[Bacchus39]

1. essentially, horrible administration is the reason n/t

s

[naaman fletcher]

2. No its sabotage

Chavez is for the people, so that can't be the reason.