29.06.2009
Position of the Movement of Dam Affected People
on the Parliamentary Commission of Investigation on Aneel

Last week there were high expectations in the national congress for the installation of the Parliamentary Commission of Investigation-CPI of Aneel (National Electricity Agency). However, when the companies, government and parties realized that they were risking making public central issues of the current energy model, they swiftly agreed to suspend the investigation and the majority of the parties participating in the commission withdrew from it. This invalidates the function of the CPI which was created to investigate the definition of the values of energy tariffs in Brazil and the operation of Aneel regarding tariffs readjustment.

Facing this development, the Movement of Dam Affected People (MAB) wants to stress that an investigation should investigate with seriousness and bring to light all the irregularities permeating the Brazilian energy sector. Those irregularities frequently denounced by MAB and other social movements, such as the high electricity tariffs charged by the distributors, the irregularities in the operation of state and private energy companies, fraudulent licenses obtained by the dam construction companies, the funding by BNDES etc.

However, once again the groups and interests of big private companies have prevailed and the people continue paying energy tariffs that constitute robbery, as we have demonstrated with the Campaign against High Electricity Tariffs. We want to reaffirm that the price of electricity is a robbery given that since the privatization of the sector, energy has become a strategic commodity for the profitability of national and international capital. Energy is one of the few goods that remain extraordinarily lucrative even at times of crisis like the current one. This is clearly demonstrated by the R$ 103,035 billion (€39 billion) profits of the sector last year, just from energy distribution services.

We all know that the current energy model punishes the Brazilian people, appropriates their natural resources and the research done by the public sector and favours the interests of multinational companies and electro-intensive industries. In addition, the lobbying of these companies with authorities and agencies has been very intense, fact that has applied extra pressure to the members of the CPI. Also the financing of electoral campaigns by the so called “energy owners”, as revealed by the operation “Sandcastle” of the Federal Police was one of these cases. It rests with the president of the Chamber of Deputies, Michel Temer, to decide the future of the CPI. However, by his statements to the press so far, we cannot be very optimistic: “I think there is no political will for the continuation of this investigation”.

Considering this developments we declare that:

• the installation of the Parliamentary Commission of Inquiry on Aneel, is urgently needed, and if conducted properly it can be an extremely useful instrument for the clarification of issues related to the energy tariffs in Brazil and the role of Aneel in the authorization of tariffs readjustments;

• the interests of the Brazilian people should always come first to any electoral or financial interests of private companies and their representatives in the federal congress;

• the price of energy for residential consumers should be based on the real production cost and not on speculative interests. Also, the price should not be controlled by big international economic groups;

• the Brazilian civil society and social movements should be alert for developments on the CPI and monitor the positioning of deputies regarding the issue;

• we will continue our struggle against high electricity tariffs and against all injustices committed by the current energy model;

• energy sovereignty should be established as a democratic and decentralizing principle, along with protection of the environment and popular participation in the planning and decision making for the production, distribution and management  of energy;

• finally, we declare that water and energy should not be considered commodities since they are essential goods for the wellbeing and sovereignty of Brazilian people.

National Direction of the Movement of Dam Affected People