Warmth for poor consumers
12/06/2005 08:09:00 AM | Author: baloghblog
From the NY Daily News Juan Gonzalez:
Low-cost heating oil is about to start flowing to the South Bronx under Venezuelan President Hugo Chavez's fuel-for-the-poor program.

Three Bronx groups will announce today an agreement with Citgo, the U.S. subsidiary of Venezuela's national oil company, to receive heating oil shipments this winter at 40% below wholesale price.

[snip]

As soon as he heard about the Chavez offer two months ago, Belle contacted his local congressman, Jose Serrano (D-South Bronx), who has spearheaded talks with the Venezuelan government over the program.

"We anticipate a savings of between $300,000 and $400,000 in our fuel costs for the winter," Belle said. "From a practical standpoint, it's a great program."

[snip]

Unlike a similar program that Citgo launched last month in Massachusetts for thousands of low-income homeowners, the Bronx version targets apartment buildings run by nonprofit groups.

That's because Chavez doesn't want private landlords to pocket the fuel savings.

According to Serrano, Citgo officials insisted that all fuel contracts stipulate how individual residents would benefit.

"We're going to take a portion of the savings and pass it on to each tenant as a credit on their monthly rent," Belle said.

and the kicker:

And that leads us to the big question: If Chavez and Citgo can forgo a small portion of Venezuela's windfall oil profits to make life a little easier for America's poor, what are our own oil companies and our leaders in Washington doing?

(emphasis mine)

Damn Chavez, and his "helping the poor", and "foregoing a profit." Bastard.
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4 comments:

On 12:01 PM , Slant Point said...

you think this is innocent kindness?

 
On 3:17 PM , baloghblog said...

I want it explained to me how this move by Chavez is a negative for the US. I do not agree with Chavez's political philosophy. Nor do I agree with the House of Saud's political philosophy either.

Someone please explain to me how it is ok to buy oil from dictators in Saudi Arabia who stone people to death and cut off their hands for stealing, etc. But somehow Chavez is the worst human being walking.

Seriously, I would love to hear a well thought explanation of this.

 
On 1:57 AM , Anonymous said...

The crucial difference is that there are people in Venezuela who can provide a credible alternative to this guy, who will indeed keep all of Venezuela's oil on sale at market prices and use the profits for the onerous challenges facing that particular country, who will not use their oil to go around fomenting wars in various countries. If Chavez falls, the world breathes more easily.

In Saudi Arabia, however, there is the devil we know, and the devil we also know, i.e. Al Qaeda.

Realpolitik is a real b*tch sometimes.

 
On 8:25 PM , RomeHater said...

Try this one. There are thousands of Citgo stations around the country. They all sell gasoline for about the same price as all the other oil companies. Now, if Citgo cut their prices by about 5 cents or 2%, all the other gas stations would be forced to lower their prices to compete. Why not save millions for American consumers that way? The answer is that it would represent a major loss in revenue for that "bastard" Hugo Chaves. A drop in the bucket puts negative press on the American oil companies and seduces liberals into loving him over Arab nations.

That's the point. The PR of this gesture is worth the million dollars he put into the program.