Commercial arbitration is included in Bill Petroquímica


Caracas, Jun. 05 ABN .- The President of the Commission of Energy and Mines of the National Assembly, Angel Rodriguez, said the draft Organic Law for the Development of the petrochemical assets, and Carboquímica Fosfoquímicas includes national commercial arbitration as a means to resolve questions and disputes of any nature.

"However, the Law, whose ultimate sanction is scheduled for next week, specifically specifies that claims foreign and international arbitration are discarded since Venezuela will not give jurisdiction in such disputes, so they may be decided only by the competent courts of the Republic, "he said.

He added that in Venezuela there are competitive advantages to attract investors in this area, among them is the guarantee of supply of raw materials due to the condition of the oil-producing country.

Moreover, the legal instrument is the National Executive shall issue special conditions that may be agreed with the productive sectors, to stimulate the development of downstream industry.

"This provision was included to take into account that these operations require very diversified and specialized technology, in addition to highly qualified human resources. Besides the capital injections are large, since in the next 14 years we aim in our territory for more than 40 billion dollars for this purpose, "he said.

Rodriguez explained that the national government has a special interest in promoting the petrochemical industry, because it is a fundamental platform to transform basic inputs such as oil, sophisticated products, which have a very diverse and essential to the existence of the modern human being.

"It's hard to imagine modern life without plastics, textiles, cosmetics, fertilizers, medicines, construction materials, solvents, paints, adhesives, cleaning products, detergents, automotive components, among others," he reflected.

He added that if proper incentives are created, all these products will be manufactured in Venezuela on a massive scale, which will give our people a better quality of life. In this regard, Article 11 of the Bill stipulates that the Ministry has competence in the area will dictate policy to supply the domestic market.

The congressman said that in determining that the State must have a majority shareholding in the joint ventures engaged in such activities petrochemical, coal and primary and intermediate fosfoquímicas, was reconciled to the need to create attractive to private partners with the policy of exercising sovereignty in areas basic operation of our natural resources.

"Without public control of these assets, the operation of these companies would be governed mainly by wild free-market lines, leaving the passing interest of the Fatherland," said Rodriguez