ALN PLATFORM FOCUSES ON EMPLOYMENT AND ENERGY

UNCLAS MANAGUA 002329 SIPDIS SIPDIS DEPT FOR WHA/CEN E.O. 12958: N/A TAGS: PGOV PREL ECON KDEM SOCI NU SUBJECT: ALN PLATFORM FOCUSES ON EMPLOYMENT AND ENERGY EFFICIENCY ¶1. (SBU) Summary: Nicaraguan presidential candidate Eduardo Montealegre's Nicaraguan Liberal Alliance (ALN) has created a campaign platform that focuses on creating employment -- with specific plans for women, youth, and small and medium enterprises -- and alleviating Nicaragua's periodic energy crisis by developing renewable fuel resources and conserving energy. These proposals dovetail with Montealegre's campaign slogan: "the President of more and better jobs." Beyond the "official" platform, Montealegre has made promises directed to specific audiences, such as Catholics and evangelicals and indigenous groups. The ALN campaign promises have, for the most part, been consistent and uncontroversial, and seem to be swaying certain groups, especially young adults and evangelicals, in his favor. End Summary. ¶2. (U) The ALN has released a new development proposal every two to three weeks for the last several months, ultimately nine in total, in part to help voters associate with Montealegre his assigned "number nine" position on the ballot. (Note: Only seven proposals have been released so far. The final two will deal with health and education and will be summarized in septel. End Note.) The proposals are distinct but clearly concentrate on generating employment and plans to alleviate Nicaragua's dependency on energy imports. A summary of each follows: Creating Employment and Reducing Poverty - - - - - - - - - - - - - - - - - - - - - ¶3. (U) The ALN plan proposes to consolidate or privatize a number of government agencies that deal with development to streamline the bureaucracy and use the savings to offer loans to small and medium enterprises at favorable interest rates, provide technical assistance, promote exports, and build infrastructure. Harvesting Energy - - - - - - - - - ¶4. (U) To deal with Nicaragua's perennial energy crisis, the ALN proposes shift from a reliance on imported oil to renewable resources, especially plant-based sources that could generate additional employment. Specifically, the plan promotes the production of ethanol from sugar cane and bio-diesel fuel from African palm. The ALN claims that Nicaragua's dependence on imported fuel could be reduced by 30 percent by cultivating sugar cane and African palm, the production of which would generate up to 75,000 additional jobs in rural areas. Creating Opportunities for Women - - - - - - - - - - - - - - - - - ¶5. (U) To provide opportunities for poor women, the ALN offers a series of proposals directed to specific demographic groups. To assist rural women, the ALN plans to provide programs dealing with financial services, technical assistance, country schools, product marketing, infrastructure and land titling. The ALN also plans a special program in the cultivation of a variety of fruits and vegetables that would generate employment for 8,000 rural woman. For rural and urban women, the ALN would promote training programs for the administration of small enterprises and technical training directed towards women. ¶6. (U) The ALN also proposes to develop a program to promote of home enterprise through a special micro-finance program that would benefit 20,000 women. To assist women with young children, an ALN government would develop increased access to pre-school and pediatric health clinics. For urban women, the ALN plans to promote micro-enterprises through technical assistance and preferential access to credit. Saving Energy and Jobs - - - - - - - - - - - - ¶7. (U) The ALN proposes to alleviate Nicaragua's recurring energy crisis by exchanging incandescent lightbulbs for florescent lightbulbs. This program would be directed at households that consume less that 150 kw/hour (about 85 percent of households in Nicaragua). The government would provide low wattage florescent bulbs free of charge to low-income families, who would be able to save on their monthly electricity bill. The government would initially need to spend $4.5 million to buy the lightbulbs, but would recuperate the investment in three months through savings on energy imports and subsidies. The ALN predicts the energy savings would prompt the Free Zone factories to hire more workers. Sustaining the Creation of Employment - - - - - - - - - - - - - - - - - - - ¶8. (U) The ALN's fifth proposal follows on the previous proposals plan to increase employment by making the energy sector more efficient. In addition to providing florescent lightbulbs, the ALN would also develop hydroelectric power in the Matagalpa River Basin and create smaller hydroelectric plants in rural municipalities with no access to the national power grid. Creating Employment Opportunities for Young People - - - - - - - - - - - - - - - - - - - - - - - - - - ¶9. (U) According to the ALN, the key to increasing employment opportunities is to increase foreign and national investment and provide young people with the technical training and education necessary to find employment. The ALN proposes to grant tax breaks to companies that hire young people new to the job market, support technical training, and develop a national curriculum for English language instruction. The party would also focus on attracting investment in information technology and work with the private sector to develop physical and telecommunications infrastructure in Nicaragua. ¶10. (U) At the university level, the ALN promises to support new entrepreneurs and match new graduates with employers through a "My First Job" program. To capture young minds in the area of policy development, the ALN would promote student internships at think tanks devoted to public policy research. Generating Employment through Small and Medium Enterprises - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - ¶11. (U) The ALN promises to support small and medium enterprises (SMEs),the primary engines of job growth in Nicaragua. The ALN would create "entrepreneur centers" in the universities, and technological institutes dedicated to developing skills required by SMEs. A National Council of SMEs would coordinate with technical institutes and NGOs to direct training programs. The ALN would also create financial support mechanisms to promote SME development and help SME owners complete the steps needed to found a business. The ALN estimates that the promotion of SMEs could generate 150,000 additional jobs. Other Proposals - - - - - - - - ¶12. (SBU) In addition to the "official" ALN proposals, Montealegre has made other promises on the campaign trail primarily directed at specific geographical/interest groups. A representative selection of Montealegre's pronouncements on key issues follows: - Anti Abortion: Like all of the other candidates except Edmundo Jarquin, Eduardo Montealegre came out strongly against "elective" abortions. He told reporters about his daughter who was born prematurely at 26 weeks, but today is in good health. "My position will always be to defend human life," he said. - Support for the Police: The ALN proposes to increase police presence in rural areas and increase salaries and benefits for lower-ranking officers. - Creation of Religious Liaison: To promote dialogue with all religious groups in Nicaragua, the ALN would create a religious liaison office to meet with members of all denominations. Montealegre acknowledged in a communiquQ that "the government does not treat all religions equally." - Improved Local Transport: Montealegre promised voters in the district of Waspam (North Atlantic Autonomous Region) that the ALN would dredge the Rio Coco and improve roads in the region to alleviate transportation problems. - Indemnification for Sandinista Atrocities: Montealegre told Atlantic Coast indigenous groups that an ALN government would compensate them for atrocities committed by the Sandinistas during the 1980s civil war (he was not specific about what they would receive). ¶13. (SBU) Comment: The ALN campaign platform speaks to the compelling national and social issues of the time (the energy crisis, unemployment) and complements Montealegre's claim to be the "Employment President." The proposals are uncontroversial and have not generated a backlash from the competing political parties, the development community, or civil society. The ALN's focus on employment and specialized training and job assistance for youth has made Montealegre the candidate of choice for many young people. TRIVELLI