PENA SPEECH TO HEMISPHERIC BUSINESS LEADERS IN CARACAS
USIA
USIS Washington File
20 January 1998
TEXT: PENA SPEECH TO HEMISPHERIC BUSINESS LEADERS IN CARACAS
(Says private sector essential to economic growth) (1150)
CARACAS -- Private sector investment and commitment is essential to
achieve the energy development and overall economic growth sought by
the Americas, says Energy Secretary Federico Pen~~~~a.
"It is widely recognized that governments alone simply do not have the
financial means to address future energy infrastructure needs. And we
will be relying on you to help us meet those needs," he said to the
Caribbean/Latin American Action Breakfast of business executives
January 15. Pena was in Caracas to attend a meeting of Western
Hemisphere energy ministers.
"One of the primary goals that we will be advocating over our meetings
of the next two days and at the Santiago Summit in April is
encouraging private sector investment in the hemisphere," he said. "I
believe that you -- the private sector -- are the key to achieving our
sustainable development goals in the Americas."
Following is the text of Pena's speech:
(begin text)
Good morning. Thank you all for being here. And, on behalf of the
Department of Energy, let me thank the Caribbean Latin American Action
for hosting this breakfast. I appreciate all of the hard work and
effort that went into planning today's events. I would also like to
offer my thanks to (Venezuelan Energy) Minister (Erwin) Arrieta for
his leadership in organizing this Caracas Ministerial. I am sure that
the next two days will be extremely productive.
As many of you are aware, the United States and Venezuela have served
as co-chairs of our ongoing hemispheric energy cooperation since the
1994 Summit of the Americas in Miami. As co-chairs, we have developed
a very positive relationship that has succeeded in spreading the
spirit of cooperation throughout the hemisphere. As we head toward the
Santiago Summit in April, I am confident that we will continue to
build upon our record of success.
Over the past three years, we have been working together to share
strategies on how best to implement the goals of the Summit of the
Americas, while also strengthening our energy security. One of the
best ideas that came out of these discussions was the idea for a forum
where the region's public and private sectors could meet regularly to
engage in a dialogue.
Over the past two days, we have seen this idea come to fruition. And I
want to thank all of those who worked so hard to make this happen. The
U.S. Department of Energy team, working with the Venezuelan Petroleum
Chamber in Caracas, the Caribbean Latin American Action headquartered
in the United States, and others throughout the hemisphere, deserve
the highest commendation for the establishment of the Energy Business
Forum for the Americas.
I have heard from many of you that the discussions which took place
over the past two days were extremely productive. I and many of my
counterparts look forward to hearing your recommendations that will be
presented to us later today.
I would like to take this opportunity to state that I unequivocally
support the proposal to include the full participation of the private
sector in our Western Hemisphere cooperative activities, and I further
support the establishment of a Western Hemisphere Business Forum. It
is my hope that the declaration we will sign on Friday will formalize
that participation of the private sector in all of our future
discussions.
One of the primary goals that we will be advocating over our meetings
of the next two days and at the Santiago Summit in April is
encouraging private sector investment in the hemisphere. I believe
that you -- the private sector -- are the key to achieving our
sustainable development goals in the Americas. It is widely recognized
that governments alone simply do not have the financial means to
address future energy infrastructure needs. And we will be relying on
you to help us meet those needs.
But we know that government has a responsibility, as well. It is up to
government to enact policies so that the private sector can make the
investments capable of meeting these needs. Because the private sector
provides the investment, governments should be in constant dialogue
with them as policies are debated and implemented. And the private
sector benefits from this dialogue, since conditions and priorities
will vary from country to country and any reform will have to take
these specific conditions into account.
Up until now, dialogue has been taking place on an informal basis.
Although the private sector has been involved in the implementation of
Summit related activities through various mechanisms, such as the
Steering Committee, it is not until now that we finally have a formal
method of involving the private sector.
It is our belief that your participation greatly enhances the dialogue
because of the perspective that you can provide on issues such as:
Integration between energy sectors -- such as natural gas and electric
power. And integration within sectors -- such as cross-border energy
trade; tax and fiscal policies; environmental regulation; and
investment regimes.
We all know that industry and government often have different
organizational approaches and philosophies, and effective
collaboration depends on understanding and compromise between both
sides.
As we build toward the Santiago Summit in April, events of this week
clearly demonstrate that we are all moving in the right direction, and
that cooperation between the public and the private sector is not only
possible, but necessary.
This cooperation will become critical as Latin America's emerging
markets are expected to grow more than twice as fast as the economies
of advanced industrial nations. But I want to emphasize to all of you
that for us, this is about more than economics.
When I accompanied President Clinton on his visit to South America in
October, he stated that, "We also want to be genuine partners in
seizing all the opportunities and meeting all the challenges of this
new age. It's about far more than just trade figures; it's also about
political partnerships, the preservation of democracy, the
strengthening of the social contract to include all people who aspire
to better lives, the ability to fight drugs and crime and terrorism,
the ability to build a future that is consistent with the dreams of
those who founded all our nations.
Thank you all for coming. Thank you for your wise counsel. Thank you
for your demonstration of confidence shown by the investments you are
making throughout the hemisphere. And thank you for the partnership
that we have forged in the past, and will continue to forge in the
future. I believe it is that kind of close partnership that will
ensure that the dreams we have had for so many years, not only for
ourselves but for our children, will become reality. I look forward to
working with you to build that future.
(end text)