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Oil Hungry: Spanish Government Plan Controversial Drill in Canaries

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The global energy company Repsol has finally obtained permission to begin drilling for oil next May near the Canary Islands, amidst protests and failed attempts to halt the project. Victoria Medina assesses the Canary Islands government’s referendum request to ask citizens whether they approve or reject the initiative.  

There has been nothing but controversy since the Spanish Conservative Party led by Mariano Rajoy announced it would be allowing Repsol to explore the seabed in hopes of finding oil, less than 70 kilometers from the coasts off the Canary Islands. Politicians and experts have warned of the devastating effects oil spill could have on the Islands economy and how it would also be harmful to the rich wildlife that inhabits the area.

Plans to extract oil were first announced in 2001 when then president, José María Aznar, also  Conservative, put forward a motion to claim the valuable fuel that allegedly lies underground between the Islands and the African continent. Repsol was to be the sole beneficiary and the only company that would have the right to drill for oil, but the Canary government was quick in appealing to the Supreme Court and achieved a suspension due to the inexistence of an environmental impact report.

More than a decade later and still without the pertinent report the Minister of Industry, Energy and Tourism, José Manuel Soria, born and raised in Gran Canaria, reopened the case and set the final date. Years of dispute will end in less than three months when the work finally begins without a general consensus.

Referendum proposal
The Canary Islands has the highest rate of unemployment in Spain, 33% versus the nations average of 26% that equates to a total of more than 4.800.000 people. Furthermore, the seven Islands are one of the most attractive holiday destinations in Europe and depend enormously on the tourism industry to sustain their unsteady economy. According to the Canarian Institute of Statistics (ISTAC) in 2013 more than 12 million tourists visited, one million more than the previous year.

The regions president, Paulino Rivero, recently argued during an interview on the public news channel ’24 Horas’ that he had followed proper procedure when presenting the Spanish president Mariano Rajoy with his plans to summon a referendum. He also defended his actions against claims issued by Soria stating it was illegal to request such a referendum.

On the same news channel and during the same program aired on the 12th of February, ex TV presenter Cristina García Ramos shed light on the existing dilemma between oil and tourism. She said it would be significant to control such an energy resource but “at what cost” would it come if it meant serious environmental issues and conflict.

According to the Spanish Constitution, article 92.1, “political decisions of special importance may be referred to a consultative referendum of all citizens”. However, it is still unclear whether the Canarian population will have a say about the matter.

The population is divided, as there are still those who believe oil drilling could generate thousands of jobs for the unemployed. Repsol claimed in 2012 that it would create 5.000 jobs, but experts say that these would only be for the extremely qualified and would not help significantly reduce the local unemployment statistics.

A national issue
The Balearic Islands have also been dragged into the spotlight regarding the same issue since the government decided to search for oil near their coasts using seismic tests. This has been met with protests that it could affect the fishing industry and eventually result in an environmental hazard if any oil were to spill into the ocean. Both national authorities and oil companies say that this rejection is based on a “profound lack of understanding” and that there is no risk involved.

The Spanish government long ago set out to reduce its oil dependency that currently generates the importation of 1.4 million barrels of oil a day to satisfy the high demand of the product. Furthermore, Soria has stated this week before the Senate that if the Canarian Islands proved to be rich in oil it would mean a 10% reduction of all imports from other countries. Environmentalists, however argue that there are far more valuable energy sources that are not being exploited to their maximum potential, such as solar energy and wind power amongst the many renewable and clean resources that the islands have to offer.

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