Following the money in Latin America — Oxfam America

Following the money in Latin America — Oxfam America: "Nearly half of the social conflicts in Peru right now are related to oil, gas and mining projects, according to Jose de Echave of the Peruvian organization Cooperacción. De Echave says that Peru’s booming economy, led by major investment in oil, gas, and mining, is outpacing the capacity of the government to control and regulate the industry. He says conflicts arise when communities are not consulted and citizens do not see revenues from these projects going to schools, hospitals, and other improvements in poor communities. Speeding up implementation of the voluntary Extractive Industries Transparency Initiative (EITI) in Peru, and including more company participation, would be an important step, de Echave said.

De Echave's remarks came during a conference held by Oxfam America and the Revenue Watch Institute in Washington, DC titled 'From Conflict to Consensus: Extractive Industry Transparency in Latin America.' The conference included speakers from citizen organizations in Bolivia, Ecuador, Mexico, and Peru, as well as the Peruvian Ambassador to the US Luis Valdivieso and Anwar Ravat, the World Bank’s manager of the Extractive Industry Transparency Initiative.

Patricia Diaz, Oxfam America's program officer in South America following the hydrocarbon industry, says conflicts erupt in Peru and other countries as “communities express frustration with what they perceive to be significant social and environmental costs associated with extractive industries, and only limited social benefits. These conflicts not only destabilize Peru but create a difficult operating environment for American and other companies.” She also said that conflicts flare up when mines and pipelines are set up without the free, prior, and informed consent of local people."