Nicaragua News Service
A Service of the Nicaragua Network
December 3 - 9, 2001
Volume 9, Number 49
By Paul Baker-Hernández

1. Non-Governmental Organizations Challenge Plan Puebla-Panamá
2. CSE Impasse Seriously Affects Coastal Elections
3. "Austerity" To Be New Government's Watchword
4. Castro Blames US Attacks and Aftermath for Ortega Defeat
5. US Ambassador Praises Police "Drug War" Role  
6. Power Hike Regenerates Renewable Energy Debate
7. "Virgin-Worship" Destroying Rare Tree
8. Education Minister-Elect Vows "Equitable Treatment" 

1. Non-Governmental Organizations Challenge Plan Puebla-Panamá

Representatives of the Autonomous Regional University of the Atlantic and
Caribbean Coast of Nicaragua (URACCAN), the Humboldt Center (HC), and the
Consumer's Defense League (CDL), slammed the Puebla-Panamá Plan (PPP) being
actively promoted throughout the Americas by Mexican president Vicente Fox.
Speaking at a press conference held a few days after their return from an
international forum on the effects of the PPP, held in Guatemala, they
denounced it as imposing "more poverty, less progress, more
under-development and greater loss of natural resources and sovereignty on
Nicaragua," while bestowing "many benefits and millions of dollars in
profits on the huge consortia and monopolistic transnational companies"
which are lobbying hard for NAFTA to be extended throughout the Americas.
The Plan seeks to link Southern México with Panamá by means of an
"industrial corridor," comprising high-capacity freight rail and road links,
"free trade" industrial parks, and population concentration centers.

Marcia Morales (CH), Ruth Herrera (CDL) and César Paiz (URACCAN) concurred
in their assessment that the PPP is essentially an extension of the Free
Trade Area of the Americas (FTAA), and that, as such, the balance of its
effects on Latin America would be negative rather than positive. They said
that there had been no widespread consultation with the ordinary people of
Nicaragua and the rest of Central America on the desirability or otherwise
of the Plan.  Then noted that these countries would be at a major
disadvantage from day one since they would have very little protection from
the actions of the wealthy countries under existing laws governing
international trade.

The three stressed that ventures such as the PPP must take as a fundamental
point of departure the necessity to respect the sovereignty of the countries
which they intended to involve, and in particular their rights to the
appropriate and intelligent management and development of their natural
resources. This applied in a very special way to the rights of the
indigenous peoples of the whole isthmus, since their communities were often
those most at risk of being damaged and even destroyed by such gigantic
projects. (Radio La Primerisima, December 4, La Prensa, 5 December) 

2. CSE Impasse Seriously Affects Coastal Elections

The national elections may be over for another few years, but Nicaragua's
Atlantic Coast, the huge expanse of forest, rivers and lagoons which
accounts for more than half the land area of the country and is home to most
of its remaining indigenous peoples, is just beginning to gear up for its
own elections, scheduled for March, 2002. Although the region is enormous,
it actually contains only about one tenth of Nicaragua's overall population
(566,000 out of 5,100,000), many of whom live in extremely remote locations
in conditions of impoverishment which make travel to take part in election
formalities very difficult. Thus, the budget for carrying out the last
elections included items such as mules, canoes and riverboats, which seem
extremely quaint to Managua bureaucrats but which are vital to for any
wide-reaching distribution of ballots and other materials.

The Atlantic Coast was declared autonomous under the Sandinista government,
but, since it is a treasure house of natural resources, succeeding
governments have been loath to codify the necessary laws to translate that
autonomy into serious practice. However, the recent precedent-setting
decision of the InterAmerican courts, finding for the indigenous community
of Awas Tingni against the interference of the Nicaraguan government in
awarding timber contracts on community land, is seen as the main cause that
the incoming Bolanos administration has already declared it will complete
the land demarcation process on which all autonomy is based. Thus, these
coming elections, to fill the ninety seats of the regional councils of the
North and South Autonomous Regions will be of vital importance.

Already, though, the impasse caused the Supreme Electoral Council (CSE) by
the Sandinista Front's challenge to its proclamation of the winners of the
national elections - still unresolved as yet - is blocking the Coast's
electoral process. Worried officials said that the elections could be set
back permanently since the CSE, which remains without a quorum, has been
unable even to validate the geographical limits of individual voting areas.
They emphasized the complex nature of Coastal elections, where, besides the
enormous challenges imposed by the unforgiving terrain and population
dispersion, there are already six parties in contention: the FSLN, the
Liberal Constitutionalists, the Conservative Party (assuming it holds onto
its legal status, a thorny question also in suspense due to the CSE
confusion), YATAMA, the Coastal Unity Party (PAMUC), and the Multiethnic
Indigenous Party (PIM).

"Neglect of the Coast is nothing new," said one such official, "We are
perpetually being ignored. We only see the Managua politicians at election
time." And, despite its magnificent natural resources, the Coast has half of
the most-impoverished municipalities in the country, 85% of its peoples
living in poverty, and an unemployment and underemployment rate of 90%. (La
Prensa, 3 December)

3. "Austerity" To Be New Government's Watchword

With just one month to go before President Alemán formally hands over the
reins of government to "Don Enrique" Bolaños, the news media are already
declaring with glee: "So Long, Government of Greed!" Bolaños himself has set
the tone for the new times in Nicaragua, announcing that no government
minister, including even himself, will receive more than US$5,000 a month,
that people should not send him and his wife expensive gifts for Christmas
or for their coming wedding anniversary, and that he and she intend to live
just as quietly as they always have. One after another his newly-announced
officials are finding their way into the press swearing allegiance to Lady
Simplicity, despite the fact that Don Enrique back-tracked on his US$5,000
pledge almost as soon as the words left his mouth, claiming it was "a joke,"
and that remuneration recommendations would eventually be made by a special
commission drawn from all sectors of society. 

In what he called, "the end of the party," Norman Caldera, Foreign Minister
Designate, said all state-funded government business trips would be exactly
that from now on, with perhaps as few as just three or four aides
accompanying the president-elect, and no one along for the ride. Contrast
this with Alemán's tradition of touring with entourages often between twenty
and thirty people, many of them family members and most of them connected
with the business in hand in only the remotest of ways.

One of the few carry-over ministers, José Augusto Navarro, of Agriculture
and Forestry (MAG-FOR), waxed positively revolutionary in his zeal for
"justice." "Truthfully," he said, "I hope to see the greatest possible
austerity practiced. The problem we face is that, to improve people's lives
here in Nicaragua, to create the jobs Don Enrique promised during his
campaign, we have to lower the country's fiscal pressure. For that process
not to impact the vast majority of workers - teachers, doctors, nurses,
police - we have to cut salaries where such cuts can be borne, among the
better off. This way, money can be freed up to employ those who work
directly with the people, with peasant farmers in the rural municipalities;
nothing more than doing justice." He felt that many government institutions
had far too much staff receiving too much pay. "If I had my way," he
concluded, "I'd even half the number of National Assembly members, and get
rid of half the judges." 

All agreed the disproportionate burden of "mega-salaries" has to be cut down
to size. "We must lower our overall costs if we hope to compete with our
neighbors, and bring new jobs home," Navarro concluded. (La Prensa, Channel
4 TV, 9 December)

4. Castro Blames US Attacks and Aftermath for Ortega Defeat

Back to something like his old speech-making form, Fidel Castro spent five
hours bringing the tenth session of the Sao Paolo Forum to a close. Held in
Havana, the forum continued the tradition begun in Brazil of bringing
together leaders of progressive, revolutionary and people-centered political
movements from all over Latin America, including defeated FSLN candidate,
Daniel Ortega, and other members of the Sandinista Front. A central theme of
the Cuban leader's discourse was the wide-ranging effects on the
anti-globalization movement of the September attacks on the World Trade
Center and the Pentagon. "The nationalistic wave which has swept through the
United States in the wake of the attacks has been welcomed and used to
maximize the militarism of its previous and current governments. The result
of those attacks has been the dealing of a severe blow to revolutionary and
progressive causes throughout the world." 

Castro made specific reference to Ortega's defeat, maintaining that it had
been assured from the moment the first plane struck home in the morning of
September 11. "The new 'anti-terrorist' world order is now defeating
presidential candidates before the elections are ever held," he continued.
"We have one such candidate here with us today; his name is Daniel Ortega.
These were the worst possible conditions in the world for elections to be
held in Nicaragua. The attacks did a terrible disservice to our
revolutionary movement, to left politics and thought in general, to causes
such as the movement for a genuinely independent Palestine, and to all
those, especially in the US, who oppose neoliberalism and globalization."
(La Prensa, Channel 4 TV, 9 December) 

5. US Ambassador Praises Police "Drug War" Role  

Hard on the heels of a gigantic drug bust, when Nicaraguan police detected
huge quantities of cocaine being transported through the country, cleverly
secreted in lengths of timber, US Ambassador, Oliver Garza, praised the
force, calling their drug-indictment efforts "phenomenal" and claiming that
they had "gained the admiration" of the entire Western hemisphere. 

Garza spoke as he was performing the closing ceremony at the finals of a
youth soccer championship sponsored by the Nicaraguan Institute for Youth
and Sports (NIYS), other government ministries, and the United States
administration. He took advantage of the event ("Youth Without Drugs and
Without Violence") to comment on the "very special place" which Nicaragua
has in the struggle against drug abuse, and to emphasize how the US
government is "completely committed to combating this scourge of society."

He outlined how the US is providing assistance to the government of
Nicaragua in matters of prevention and in coordination with the Nicaraguan
police regarding the application of laws, specialized equipment, cooperation
with the Drug Enforcement Agency, and information interchange. He said he
had been in recent talks with Nicaraguan Defense Minister, José Adán Guerra,
discussing how to step up US support for Nicaragua's naval forces in their
efforts to stem the drug tide, and exactly what type of vessels would be
made available. He reminded his listeners that although the current accord
between the two countries does not envisage US ships entering Nicaraguan
waters under normal circumstances, they can seek special permission to do so
"in order to provide assistance." 

NIYS president, Carlos Garcia, joined Jamileth Bonilla (Secretary for Social
Action) in thanking the US Embassy for its support in the championships,
stressed the role of sport in giving young people other goals besides drugs
and drink. Besides the nearly 600 uniforms it provided for the participating
teams, the Embassy also awarded gold and silver medals to the winners and
runners-up. (Channel 8 TV, December 6, El Nuevo Diario, 7 December) 

6. Power Hike Regenerates Renewable Energy Debate

The hike in electricity rates, which the Spanish-owned distribution company
Union Fenosa has announced is "not negotiable," will come into effect on
January 1st. First leaked as being "maybe 5-15%," it now transpires that the
hike will, in fact, be a whopping 31.4% across the board, a figure which
experts of every stripe claim will provide the death blow to an economy
already reeling from rock-bottom export prices, the global economic
downturn, and falling expatriate income due to layoffs in the United States.
In the midst of the hand-wringing and necessary concern which this new shock
to the Nicaraguan system is generating, voices are already challenging the
incoming Bolaños administration to develop a serious plan to make use of the
country's enormous potential to draw its energy from renewable resources.

At present, Nicaragua depends on five different sources for its power
generation: water, volcanic activity, vegetable waste combustion, fuel wood,
and fuel oil. Despite this apparent diversity, environment ministry (MARENA)
studies claim that in fact the country relies on petroleum derivatives for
at least two-thirds of its energy needs, while the burning of wood and sugar
cane waste brings the overall proportion of contaminating sources to 75%.
"The result?" asks energy economist, Darwin Juárez, "Massive pollution and
an expensive electricity bill which arrives on our doorsteps every month
without fail. The alternative? Cheap power from clean and renewable sources.
Such a strategy would save the country from millions of tons of
contaminants, on the one hand, and millions of dollars in precious foreign
exchange, on the other. And, since Union Fenosa always claims its rises are
due to hikes in oil, they would have to bring their prices right down."

Combining the above sources, Nicaragua currently produces about 500Megawatts
(MW) of power per year, according to MARENA. Yet estimates put the country's
potential power output via geo-thermal sources alone at an enormous 3,000MW,
while hydropower has the capacity to generate a further 1,700MW. "Add to
these the incalculable possibilities of solar and wind generation," said
Juárez, "and Nicaragua could - and should - be exporting electricity instead
of importing oil. Let's hope the Bolaños government will rise to the
challenge."

(In this context, it's important to note that the InterAmerican Development
Bank (IDB) threatened to withdraw project funding last year if the Alemán
government allowed a foreign company to set up wind-power production of
energy in Nicaragua.) (El Nuevo Diario, 3 December, La Prensa, 9 December)
 
7.  Devotion to Mary Destroying Rare Tree

Nicaraguans are proud of their dedication to the mother of Christ,
universally called simply, "The Virgin." With statues in every Catholic
church and innumerable shrines strewn across the land, she often appears to
be more popular than her son. However, this devotion reaches its apogee in
the first days of December during a special nine-day period when houses are
filled with flowers and incense, and her faithful gather before her every
evening in special sessions of song and prayer. In turn, these reach their
climax on December 8th, which, within the Roman Catholic calendar, is the
feast day of Mary's "Immaculate Conception." (A tenet of faith based on the
theory that, since she was to be the mother of God himself, she could not
possibly have been born like every other human being (Christ excepted),
already tainted with the "original sin" of Adam and Eve within her mother's
womb.) 

Traditional and theological niceties aside, these outpourings are having a
devastating effect on Nicaragua's national tree, the rare "Madroño," or
"Strawberry Tree." With unfortunate timing, the Madroño comes into flower
just as Marian devotion is getting into its December stride; in consequence,
its creamy-white flower clusters, beautiful and easy to arrange into
impressive displays, and its rare fragrance, delicate and haunting, have
become indispensable components of the shrine-builder's art.
 
Kamilo Lara, a biologist, expressed the widespread concern for the tree's
survival, reminding Nicaraguans that the Madroño had been so close to
extinction in the early '90s that a special planting campaign was launched
to save it. "People just don't realize the damage they're doing," he went
on. "Instead of taking a few flowers, their fervor leads them to cut out
whole branches and to fill every nook and cranny of their homes with them.
In addition, the seeds are like pinheads, they're so small, too small to be
noticed." Lara called on the faithful to be more modest in their use of the
blossoms, and above all to save the precious seed, often just consigned to
bonfires after the celebrations are over. "People could plant them in their
gardens and have unlimited amounts of flowers in a couple of years," he
concluded. "Either that, or give them to the local school, so the children
can learn to preserve their national tree." Besides its blossoms, the
Madroño is also valued for its timber, especially for making carts and for
us as firewood that is virtually smoker. (La Prensa, 9 December)  

8. Education Minister-Elect Vows "Equitable Treatment" 

Silvio de Franco, chosen by Enrique Bolaños to serve as minister of
education in his 2002 administration, said that, despite the massive
shortfalls the new government would face in almost every area, he was
determined that no child should be denied schooling because her parents
could not afford it. However, he was careful to add that those who thought
he would be able to make such expectations good overnight, should "lend him
their magic wands." "Any child, boy or girl, who shows talent must be given
all the possible opportunities that a government, a ministry of education,
can offer," he continued. "However, to achieve that, we must gather together
as many internal resources as we can, and, at the same time, maximize those
from abroad." "It's really important that people realize our new government
will take office with the country in an extremely delicate macro-economic
state, with massive imbalances in every sector. Equity will be a guiding
principle, but, due to the situation in which the government finds itself,
it'll be difficult to achieve dramatic results quickly."

De Franco, by coincidence speaking just as his counterpart in the outgoing
Alemán government was claiming that absenteeism had fallen in the current
year, maintained that keeping children in school would be his first major
challenge, and that his investigations had shown that most students drop
classes for economic rather than educational reasons. The Bolaños
government, he said, had a variety of measures already prepared to help cut
the dropout rate. These included student vouchers, supplements to needy
families, in-school breakfasts, stopping children working to find money to
attend class, and expanding what support networks already existed. To
develop these initiatives, he stressed again the necessity of finding more
support from outside Nicaragua. "It's vital that everyone understands," he
repeated, "that we're dealing with a dreadful drama which has been harrowing
Nicaragua for decades. It's a situation we simply cannot resolve with the
country's internal resources alone. We have to look to other countries for
assistance. We can never forget that each one of us Nicaraguans has to get
by on just US$1.33 per day - and that's to cover absolutely everything." (El
Nuevo Diario, 7 December)


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