Bolivia nationalizes fuel transport company

[Judi Lynn]

Bolivia nationalizes fuel transport company
Jun 2, 2008, 18:28 GMT

La Paz - The Bolivian government on Monday nationalized the fuel transport company Transredes, a subsidiary of British firm Ashmore and the Anglo-Dutch company Shell.

In the presence of his Cabinet Monday, President Evo Morales signed the decree that stipulated the handover of Transredes to the state company Yacimientos Petroliferos Fiscales Bolivianos (YPFB).

It was the latest in a series of expanding state takeovers of private sectors of the economy being carried out by Morales to finance the improvement of the lot of the country's empoverished indigenous majority.

The policies have provoked resistance in some of the wealthier provinces, as happened Sunday when two provinces passed non-binding referendums seeking more autonomy from the central government.

In the presence of his Cabinet Monday, Morales signed the decree that stipulated the handover of Transredes to the state company Yacimientos Petroliferos Fiscales Bolivianos (YPFB).

The ceremony took place in Santa Cruz de la Sierra, 900 kilometres east of La Paz. Transredes, headquartered in Santa Cruz and which has been operating in Bolivia for 12 years, was initially a subsidiary of US giant Enron.

'On May 1, 2006, we launched the historic decision of basing the sovereignty and independence of the country on our natural resources,' said Energy Minister Carlos Villegas.

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