JUMADA-AWWAL 3, 1429 A.H.
FRIDAY, MAY 9 2008
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When you have oil, you don’t need democracy (II)
By Dr. Gary K. Busch
Perhaps due to international pressure, Obiang Nguema initiated some political reforms in 1991. In July he approved the principle of political plurality, while in November a national referendum was conducted to adopt the new constitution; it was approved by 98.36% of the votes, with a turnout of 94.26%.
However, the opposition claimed that "the few human rights safeguards contained in the 1982 Constitution were removed," nonetheless reforms were pursued, with the establishment of a transitional government, and the amnesty for political exiles.
The transitional government included only members of the single and ruling party Partido Democratico de Guinea Ecuatorial (PDGE). Also, the ruling party refused to accept the opposition's demand, that is, the holding of national constitutional conference as was taking place in many other African countries.
The next presidential elections took place on 25, February, 1996. Obiang Nguema won with 97.85% of the votes. As Africa Confidential reported, the elections were completely unfair, since there were "blatant cheating, no secret ballot, a disputed electoral roll and the refusal to allow the opposition candidates to withdraw", Obiang Nguema was thus "elected" for another seven years.
Only eight journalists were present, and 14 electoral observers, including witnesses from Gabon, Cameroon, and the OAU. It also appears that the opposition parties, prior to the elections, were not able to present a single candidate.
The next election was much the same. This weekend Obiang managed to get closer to the 100% mark. Obiang seized power in a 1979 coup and his Democratic Party of Equatorial Guinea (PDGE) has won every election since a multiparty system was introduced in 1991.
One hundred parliamentary seats and 230 municipal councillor posts were at stake on Sunday. Casting his vote, Nguema himself said the most important factor in this election was turnout.
"That would mean that people have understood the concept of 'emerging democracy', which means training people in democratic practices," he told journalists.
He insured this with the carrot and the stick. Polling stations were guarded by soldiers brandishing AK-47 rifles, while international election observers monitored polling.
During the campaign, which does not appear to have aroused much public enthusiasm, large sums of money were handed out in the president's name. Cash and consumer goods, from satellite dishes to flat television screens, were distributed at electoral rallies.
In Ela Nguema, a working class district of the capital, about 20-million African francs (€30 000, $46 000) in banknotes were handed out, according to national radio and television. While money was distributed at election meetings, candidates confined themselves to reading out the president's "message" and policies. State media reported that smaller parties had been given more than €1,1-million ($1,7-million) and luxury cars to campaign for "the expansion of Obiang Nguema Mbasogo's work".
Strangely enough, there were neither protests from a cowed and beaten population nor, street demonstrations. Apathy and disgust were the rules. There was also no protest or demonstrations by the ‘international community’ against this travesty of the political process.
No UN Security Council protests were made. There was more international publicity and fuss when Simon Mann, Nick de Toit and their Merrie Men attempted a coup against Obiang than at this election.
The reason is clear. Equatorial Guinea is awash with oil and natural gas. Equatorial Guinea has experienced rapid economic growth due to the discovery of large offshore oil reserves, and has become Sub-Saharan Africa’s third largest oil exporter after Nigeria and Angola.
According to the World Bank, oil revenues increased in value from $3 million in 1993 to $190 million in 2000 to $3.3 billion in 2006.
From 2002 to 2006 the country experienced an average real annual GDP growth of 15.8 percent. Oil exports currently represent over 90 percent of total export earnings. However, a slowdown in oil production has caused GDP growth to decelerate to 6.8 percent in 2007.
This oil wealth was yet to reach the people despite the rapid growth in real GDP, allegations abound over how the Equatoguinean government has misappropriated its oil revenues. While the government has made some infrastructure improvements to bolster the oil industry, the average Equatoguinean is yet to experience a higher standard of living from the oil revenues, as evidenced by the country’s ranking of 120 (out of 177) on the human development index in 2006.
In January 2005, Equatorial Guinea pledged to increase transparency in its oil revenues and is currently implementing the Extractive Industries Transparency Initiative (EITI). Currently, foreign oil companies are beginning to make development related investments in education (Amerada Hess) and malaria prevention (Marathon Oil and Noble Energy).
According to the Oil and Gas Journal, Equatorial Guinea had estimated proved oil reserves of 1.1 billion barrels as of January 2007. Majority of these reserves are located offshore in the oil rich Gulf of Guinea, since the 1995 discovery of the Zafiro field, Equatorial Guinea's oil production has increased dramatically. In 1995; oil production was 5,000 barrels per day (bbl/d), which increased to 385,970 b/d in 2006. While, there has been some discussion of capping oil production in order to extend the life of the fields and prevent economic instability, the government appears reluctant to implement any measures that would slow development.
According to the OGJ, Equatorial Guinea had 1.3 trillion cubic feet (Tcf) of proven natural gas reserves as of January 1, 2007.
Majority of the reserves are located offshore Bioko Island, primarily in the Alba and Zafiro associated natural gas fields. From 2001 - 2006, Equatoguinean natural gas production increased rapidly from 1 billion cubic feet (Bcf) to 46 Bcf as new projects came online.
The country is currently marketing itself as a regional gas industry hub based on the recent completion of an LNG facility on Bioko Island and plans for its expansion.
A license to drill for oil or process natural gas in Equatorial Guinea is a prized achievement. Certainly it outweighs any concerns about democracy, equality under the law, the end of torture as a method of rule and such fripperies as free and fair elections.
Poor Zimbabwe doesn’t have oil, ergo it can be a target for the ‘international community’. Equatorial Guinea has mass of oil and this buys them immunity from scrutiny and protest. The ‘international community’ is corrupt and morally bankrupt. It is unlikely to change.
Concluded
