Coup in Paraguay by Rio Tinto

As evidence of the perpetrators of the coup in Paraguay emerges I’ll be presenting them one by one.

Rio Tinto Alcan (RTA), the Canadian mining company, has been after a deal in Paraguay for three years.

RTA propses to invest $3,500 million ($3.5bn) to built an aluminum plant. RTA requires a subsidy of $14,000 million ($14bn). This subsidy consists of a 500Kv power line and a price of $60 per Mv for 30 years for which Paraguay currently has to pay $150-$200/Mv. The plant consumes about 50% of the entire electricity consumption of Paraguay.

The deposed president Lugo had rejected this deal on grounds of environmental concerns and the fact that a country with a budget of $5bn cannot pay subsidies of $14bn without having to borrow this on the international financial markets, paying interest and going bust as a result. Currently Paraguay has a balanced budget (slight surplus even) and no debt.

Today, Monday 16th July 2012, the usurper and de facto president Franco has announced the deal with RTA, presented as the largest inward investment the country has ever had.
Job creation is minimal, less than 0.1% of the working population.

These figures indicate that the 39 senators approving the deal were well paid, the same 39 out of 45 that impeached Lugo. If and when Lugo returns this deal will be declared void, if he does not Paraguay is bankrupt and will have to reverse Lugo’s social programmes including a free healthcare system for all, so Paraguayans no longer have to go to Argentina for free operations and treatments.

A delegation of members of the European Parliament has arrived today. They have been discussing the situation with Lugo, details of who these members are are on Lugo’s website:

These members are all from parties that are not in power in Europe.

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