[Onthebarricades] PERU: Protests over mining royalties, November 2008

[global resistance roundup]

Protests over distribution of mining royalties
Police station attacked, police taken hostage






http://www.livinginperu.com/news/7746

31 October, 2008 [ 17:51 ]
Peru riots continue as citizens protest distribution of mining royalties

Living in Peru
Israel J. Ruiz

Affirming the fight is far from over, the governor of Tacna Hugo Ordoñez 
has stated his region will continue protesting a mining tax bill 
recently passed by congress.

With violent protests taking place in several regions across Peru, some 
of the worst have been in the southern part of the Andean nation, in the 
regions of Tacna and Moquegua.

Unable to agree on the distribution of millions of dollars in mining 
royalties, protestors have blocked roads, fought police and set 
government buildings on fire for the past four days.

Protests worsened on Thursday after congress passed a law which is to 
reorganize the way taxes paid by mines are distributed.

In an effort to push congress to reconsider, riots continue to break out 
in Tacna.

Only receiving 20 percent of royalties, citizens in Moquegua are 
demanding a change while protestors in Tacna have blocked access to 
Chile and cut water supply to Moquegua protesting this change.

It is expected that Alan Garcia will sign this bill into law. Once 
ratified, it would change the way royalties are distributed to all 
provinces in hundreds of mines.








http://www.mathaba.net/rss/?x=610320

Peru mining law triggers huge protest
Posted: 2008/10/31
From: Source

Thousands of angry protesters in Peru`s Tacna province have blocked the 
region`s main road after congress approved a bill that would redirect a 
portion of mining royalties to neighbouring Moquegua.

The protests on Thursday marked the third day of demonstrations in Tacna 
and Moquegua, which have been at odds over how millions of dollars of 
taxes from local mines should be distributed.

The law, which can still be amended ahead of a second round of voting, 
was provisionally passed on Thursday and reforms how mining royalties 
are split in provinces across the country.

Juvenal Ordonez, a congressional representative for Tacna, said: "They 
have tricked us. We are ready to fight."

The current system levies taxes based on how much earth is moved at a 
mine, while the new law would shift the focus on how much mineral wealth 
is produced.

Mining wealth

Alan Garcia, Peru's president, who has seen his approval numbers drop 
following allegations of corruption in congress and perceptions he has 
not done enough to address widespread poverty, backed the bill.

Yehude Simon, Peru's prime minister, had previously said congress would 
not hold a vote until protests were halted, but he appears to have 
backed down.

The law has been most controversial in the south of Peru, where most of 
the mines are run by Southern Copper, one of the world's largest mining 
companies.

Southern Copper operates the Cuajone mine and Ilo smelter in Moquegua 
and the Toquepala mine in Tacna.

Moquegua expects to get 20 per cent of the revenues from Southern Copper 
this year, while 80 per cent is set to go to Tacna.

Politicians in both provinces say they need the funds to develop basic 
services.

About 40 per cent of Peruvians live in poverty and have seen little 
relief despite seven years of economic growth in the country, largely 
driven by booming mining exports. #







http://www.alertnet.org/thenews/newsdesk/N31361487.htm

Protests over mining law rock Peru for fourth day
31 Oct 2008 21:41:14 GMT
Source: Reuters
By Diego Ore
LIMA, Oct 31 (Reuters) - Protesters in Peru's southern province of 
Tacna, who have cut the water supply to neighboring Moquegua, blocked 
roads on Friday, hoping to make Congress reconsider a law that would 
redistribute mining royalties.
It was the fourth day of protests in the two provinces, which have been 
locked in a dispute over how to share millions of dollars in mining 
taxes paid by Southern Copper Corp <PCU.N>, one of the world's largest 
mining companies.
Protesters broke an underground water pipe that supplies Ilo, a city in 
Moquegua, authorities said late on Thursday, while two bridges and parts 
of the Pan-American highway remained blocked by boulders, sticks and 
steel bars.
"The struggle of Tacna is far from over. We are calling on everyone to 
keep fighting," said Hugo Ordonez, Tacna's regional president.
The legislation, which passed on Thursday, overhauls the way royalties 
are distributed to all provinces in a country with hundreds of mines. 
The bill was approved by a big majority in Congress. President Alan 
Garcia is expected to sign the bill into law.
The legislation would assess taxes based on how much mineral wealth a 
mine produces, rather than on how much dirt a mine moves, as the system 
does now.
The bill has been most controversial in southern Peru. Under the current 
system, Moquegua will receive 20 percent of taxes paid by Southern 
Copper that are distributed to provinces, while 80 percent will go to 
Tacna. The new law would direct more money to Moquegua.
Southern Copper has the Cuajone mine and Ilo smelter in Moquegua and the 
Toquepala mine in Tacna. A company official said all operations were normal.
Politicians in both provinces say they need the revenue to pay for basic 
services like water, electricity and education.
Some 40 percent of Peruvians live in poverty, despite seven years of 
fast economic growth, and critics say Garcia has not done enough to 
bring the boom's benefits to the poor. (Writing by Dana Ford)






http://www.voanews.com/english/archive/2008-10/2008-10-30-voa65.cfm?CFID=150969028&CFTOKEN=47461124&jsessionid=6630a7d7982c4aee0591704569602a5b6315

Peruvians Stage Protests Over Change in Mining Law
By VOA News
30 October 2008

Angry Peruvians have demonstrated in the southern Tacna province to 
protest the government's adoption of a bill that will mean fewer mining 
revenues for the area.
Officials say some demonstrators Thursday blocked the Pan American 
highway linking Peru and neighboring Chile, while others set fire to a 
government building or hurled rocks at Chilean authorities at the 
border. As many as seven Peruvians were arrested.
Earlier this week, protesters rallied in Peru's Moquegua province near 
Tacna to demand a bigger share of regional mining revenues. Authorities 
say the demonstrators blocked a bridge and took at least three police 
officers captive.
At least 10 people were reported injured during clashes between 
protesters and police.
In June, protesters in Moquegua took about 60 police officers hostage, 
after overpowering security forces trying to clear their week-long 
roadblock in the mining region. The officers were later released.
Those protesters said the Tacna province has received a larger share of 
the tax revenue generated by Southern Copper, Peru's largest copper 
producer.






http://www.usatoday.com/news/topstories/2008-10-30-764735790_x.htm

Peru mob torches police station as protests spread
Posted 10/30/2008 12:54 AM | Comment | Recommend

LIMA, Peru (AP) — Angry villagers in Peru's northern jungle have torched 
a police station a day after 71 people were hurt in a clash between 
police and protesters in the south.
RPP radio says a 1,000-strong mob set fire to the station and took 25 
officers captive in San Martin province. They reportedly were angered 
when police threw tear gas near a school and several children were affected.
Mounting unrest has spread to five provinces as demonstrators press a 
variety of demands with local authorities or the central government.
On Tuesday, police and protesters clashed violently at a blockaded 
bridge in the province of Moquegua. Authorities raised the toll of the 
injured to 71 on Wednesday and protesters still held the bridge after 
routing police.






http://www.signonsandiego.com/news/world/20081029-1036-peru-protests-.html

Protests sweep Peru, rattling Garcia's new cabinet

By Diego Ore
REUTERS
10:36 a.m. October 29, 2008
LIMA – Thousands of people demonstrated in five provinces in Peru 
Wednesday, threatening politicians and torching a police station, in a 
crucial first test of President Alan Garcia's new cabinet.
In unrest that began earlier this week, dozens have been injured in 
clashes with police who shot tear gas into crowds, and three police were 
released early Wednesday in Moquegua after being taken hostage.
Protesters in the provinces of Tacna and Moquegua demanded a fair share 
of taxes generated by local mines. In Cuzco province, they hoped to 
prevent a mining company from taking water for a power dam, and in 
Cajamarca crowds surrounded local politicians to press for a new 
highway. In San Martin, they set fire to a police station, RPP radio said.
Garcia overhauled his cabinet this month in a bid to end a wave of 
protests that has plagued Peru this year, quell a corruption scandal and 
lift his popularity rating from around 20 percent.
His new prime minister, Yehude Simon, a prominent leftist, was named to 
dissuade the opposition from taking to the streets and make sure social 
programs reach the poor, who have been left behind during a 7-year 
economic surge.
But Simon, a former left-wing activist who was imprisoned for 8 years in 
the 1990s over ties to the Tupac Amaru insurgency, has so far failed to 
prevent conflicts.
Simon said he would not tolerate violent protests and threatened to 
prosecute people who block roads. He said talks could start once the 
protests stop.
“If they want to talk, they can come talk. We aren't closing any 
democratic space,” he said.
He told protesters in Moquegua they will need to give up control of a 
bridge they took over before Congress will vote on a bill they want 
passed that would give their province a bigger share of mining royalties.
Defense Minister Antero Flores said the government would not be forced 
into making concessions.
“I think discipline must be imposed. Dialogue is important but not when 
a gun is aimed at your head,” Flores said.
Despite nearly a decade of fast economic growth, some 40 percent of 
Peruvians live in poverty. Critics say Garcia has not done enough during 
two years in office to spread wealth from a boom in mining exports to 
the poor.
(Additional reporting by Teresa Cespedes; Writing by Terry Wade; Editing 
by Cynthia Osterman)







http://www.alertnet.org/thenews/newsdesk/N30323132.htm

Thousands protest as Peru cuts mining royalties
30 Oct 2008 17:01:28 GMT
Source: Reuters
By Diego Ore
LIMA, Oct 30 (Reuters) - Thousands of protesters in Peru's Tacna 
province blocked the Pan-American highway on Thursday after Congress 
approved a bill that would cut mining royalties for the province and 
give them to neighboring Moquegua.
It was the third day of protests in the two provinces, which have been 
locked in a dispute over how to share millions of dollars in mining 
taxes paid by Southern Copper <PCU.N>, one of the world's largest mining 
companies.
The law, which overhauls how the royalties are distributed to all 
provinces in a country with hundreds of mines, was approved in a 
first-round vote in Congress and could be amended in a second-round vote 
that is pending.
"They have tricked us. We are ready to fight," said Juvenal Ordonez, a 
member of Congress who represents Tacna.
President Alan Garcia has supported the bill, which would assess taxes 
based on how much mineral wealth a mine produces. The current system 
levies taxes based on how much dirt a mine moves.
The bill has been most controversial in the south of Peru. This year, 
Moquegua expects to get 20 percent of taxes paid by Southern Copper that 
are distributed to provinces, while 80 percent will go to Tacna.
Southern Copper operates the Cuajone mine and Ilo smelter in Moquegua 
and the Toquepala mine in Tacna.
Politicians in both provinces say they need the revenue to pay for basic 
services.
Despite seven years of fast economic growth, some 40 percent of 
Peruvians live in poverty and critics say Garcia has not done enough to 
make sure that a boom in mining exports trickles down to the poor. 
(Writing by Terry Wade; Editing by John O'Callaghan)





http://www.alertnet.org/thenews/newsdesk/N29477467.htm

Protests sweep Peru, rattling Garcia's new cabinet
29 Oct 2008 18:37:09 GMT
Source: Reuters
By Diego Ore
LIMA, Oct 29 (Reuters) - Thousands of people demonstrated in five 
provinces in Peru on Wednesday, threatening politicians and torching a 
police station, in a crucial first test of President Alan Garcia's new 
cabinet.
In unrest that began earlier this week, dozens have been injured in 
clashes with police who shot tear gas into crowds, and three police were 
released early on Wednesday in Moquegua after being taken hostage.
Protesters in the provinces of Tacna and Moquegua demanded a fair share 
of taxes generated by local mines. In Cuzco province, they hoped to 
prevent a mining company from taking water for a power dam, and in 
Cajamarca crowds surrounded local politicians to press for a new 
highway. In San Martin, they set fire to a police station, RPP radio said.
Garcia overhauled his cabinet this month in a bid to end a wave of 
protests that has plagued Peru this year, quell a corruption scandal and 
lift his popularity rating from around 20 percent.
His new prime minister, Yehude Simon, a prominent leftist, was named to 
dissuade the opposition from taking to the streets and make sure social 
programs reach the poor, who have been left behind during a 7-year 
economic surge.
But Simon, a former left-wing activist who was imprisoned for 8 years in 
the 1990s over ties to the Tupac Amaru insurgency, has so far failed to 
prevent conflicts.
Simon said he would not tolerate violent protests and threatened to 
prosecute people who block roads. He said talks could start once the 
protests stop.
"If they want to talk, they can come talk. We aren't closing any 
democratic space," he said.
He told protesters in Moquegua they will need to give up control of a 
bridge they took over before Congress will vote on a bill they want 
passed that would give their province a bigger share of mining royalties.
Defense Minister Antero Flores said the government would not be forced 
into making concessions.
"I think discipline must be imposed. Dialogue is important but not when 
a gun is aimed at your head," Flores said.
Despite nearly a decade of fast economic growth, some 40 percent of 
Peruvians live in poverty. Critics say Garcia has not done enough during 
two years in office to spread wealth from a boom in mining exports to 
the poor. (Additional reporting by Teresa Cespedes; Writing by Terry 
Wade; Editing by Cynthia Osterman)







http://www.mineweb.com/mineweb/view/mineweb/en/page504?oid=71654&sn=Detail

DEMANDING BIGGER SHARE OF MINING TAXES
Protesters take police hostage in Peru
Protestors on the Pan-American highway in Peru have taken police 
officers hostage, demanding a larger share of mining taxes from Congress.
Author: Diego Ore
Posted: Wednesday , 29 Oct 2008
LIMA (REUTERS) -
Thousands of protesters in Peru's Moquegua province took three police 
officers hostage and blocked a bridge on the Pan-American highway on 
Tuesday to demand that Congress give their province a bigger share of 
mining taxes.
The protesters snarled traffic along the main road to the neighboring 
province of Tacna, and to Chile.
Moquegua and Tacna provinces are locked in a dispute over how to share 
mining taxes, paid mostly by Southern Copper Corp , a unit of Grupo 
Mexico and one of the world's largest mining companies.
Four policemen were wounded, and three of them were taken hostage, said 
Emilio Contreras, a police colonel. Community leaders said at least 10 
people were injured when police fired tear gas into the crowd.
Southern Copper, which operates the Cuajone mine and Ilo smelter in 
Moquegua and the Toquepala mine in Tacna, said its operations were not 
affected.
Tensions have simmered since June, when protesters in Moquegua took 60 
police officers hostage to urge Congress to pass a bill overhauling how 
taxes are shared among provinces.
President Alan Garcia has supported the bill, but he lacks sway in 
Congress to pass it. The bill would assess taxes based on how much 
mineral wealth a mine produces, and scrap the current system, which 
levies taxes based on how much dirt a mine moves.
This year, Moquegua expects to receive 20 percent of taxes paid by 
Southern that are distributed to provinces, while 80 percent will go to 
Tacna. Politicians in both provinces say they need the revenue to pay 
for basic services.
Despite seven years of fast economic growth, some 40 percent of 
Peruvians live in poverty and critics say Garcia is facing protests 
because a boom in mining exports has yet to trickle down to the poor.
This month he named a prominent leftist, Yehude Simon, as his prime 
minister in the hopes of averting more protests, which have been held in 
at least three other provinces this week as Peruvians demand better 
access to water, taxes and infrastructure. (With additional reporting by 
Miguel Zegarra; Writing by Dana Ford, editing by Philip Barbara)