April 26, 2005
Balaji Reddy
Daily Snow
Chavez of oil rich Venezuela is a strong critic of American policies and American President George Bush. He has recently taken steps to eliminate American oil companies influencing Venezuelan oil repositories. Venezuela has reached out to Brazil, Russia, India and China (BRIC alliance) for help, support and has offered its energy reserves to these countries. Chavez oppositions operate from neighboring Colombia and a string of misunderstanding has taken place between Colombia and Venezuela. Venezuela has decided to create million person militia directly under Chavez to confront any coup or foreign aggression.
The United States, which has concluded that normal relations with Venezuelan President Hugo Chavez no longer are possible, is considering a long-term strategy to oppose Chavez, The New York Times reported on April 26. The article cited U.S. officials as saying that a multi-agency task force has been working on developing a more confrontational approach toward Venezuela that could include increasing Washington's support for anti-Chavez groups in Venezuela and pushing neighboring countries to isolate Caracas.
According to sources, China and Russia both are keen on supporting Venezuela and have enormous interest in the Venezuelan Energy resources. India and Venezuela have started working on joint projects on the energy sector.
We may be looking into another Iraq where American Oil companies force the American Government to take some action. But this time it may be a little different. The energy world war that started in 1991 never manifested its teeth so badly till America invaded Iraq and Oil prices reached $55 per barrel.
Brazil, Russia, India and China (the BRIC alliance) may not let another Iraq happen so easily. India and Brazil have a lot of influence on the American policies being close allies to Washington. China and Russia possess enormous geopolitical strength. In the coming energy world war, the Europeans will side with the Americans but with a lot of reservations. They may not support unnecessary confrontation with Venezuela.
However, the energy crisis will take a nasty turn for one simple reason in the next one-year. India and China have not increased the domestic oil prices for their own citizens although energy prices have gone up 60% over one year period. People in India, for example, enjoys 2003 oil prices. The Indians and Chinese keep buying cars and other equipments that need more energy. With more than two and a half billion people in India and China, the energy crisis will spike. At that moment all hell will go loose. Countries will go after energy resources by force and with all fiscal reserves they have.
http://www.indiadaily.com/editorial/2447.asp