PROTESTS IN SOUTH HIT TWO REGIONS

C O N F I D E N T I A L LIMA 001046

SIPDIS

E.O. 12958: DECL: 06/17/2018
TAGS: PGOV REL PINR PE CASC
SUBJECT: PROTESTS IN SOUTH HIT TWO REGIONS

Classified By: Amb. P Michael McKinley for reasons 1.b and d.


1. (C) Summary: Thousands of protesters in the southern
Moquegua region have blocked two major transportation
arteries and temporarily took police hostages in a dispute
with the neighboring region of Tacna over the distribution of
mining canon moneys. The Council of Ministers (PCM) on July
16 successfully negotiated an agreement between regional
authorities of Moquegua and Tacna to end the protests and
resume dialogue over the distribution of the canon, but
protest leaders so far have refused to disband. Some
observers say the Moquegua government instigated this protest
as a political stunt but has since lost control. Activity in
Tacna and Moquegua has slowed to a crawl, and the central
government is helping stranded tourists evacuate. The
Embassy has been in touch with the leader of a group of
archeologists stranded in Moqeugua from Chicago's Field
Museum who were reportedly flown to Arequipa out of harm's
way mid-afternoon June 17. End Summary.

Thousands of Protesters Block Roads, Take Police Hostages
-------------- --------------

2. (SBU) Some 5,000 to 7,000 protesters in the southern
Moquegua region since last week have blocked two major
transportation arteries in support of Regional Government
demands that the central government adjust the distribution
of mining tax canon between Moquegua and neighboring Tacna.
Our contacts in the area say that events took a turn for the
worse June 16 when protesters confronted a police force sent
to clear the area and temporarily took sixty hostages,
including the regional chief of police. (Note: Press reports
indicate all were released as of Tuesday evening, June 17th.
End Note.) Police forces subsequently retreated and appear
unwilling to force the issue and risk serious casualties.
Representatives from the Human Rights Ombudsman ("Defensoria
del Pueblo") office have traveled to the area to attempt to
free the hostages. According to a Defensoria contact, news
articles reporting up to 20,000 protesters are exaggerated.

Negotiations Advance
--------------

3. (SBU) The Council of Ministers (PCM) on June 15
successfully negotiated an agreement between leaders in the
regional goverments of Moquegua and Tacna to end the protests
and resume dialogue over the distribution of the mining canon
moneys. Moquegua authorities have since called on the
protesters to disband but without effect. Maria Cristala
Constantinides, leader of Moquegua's Defense Front and a
former Regional President, said publicly that the protests
will continue until the negotiatiors reach an agreement on
the canon or at least through Tuesday June 17. Prime
Minister Jorge del Castillo told the press that he has
offered a compromise over the distribution of mining canon
moneys between the two regions while also promising that the
central government would not reduce resources going to Tacna.
(Note: Changing the law that describes the calculus by which
the mining canon is distibuted regionally is, theoretically
at least, the prerogative of the legislative rather than the
executive branch. End Note.)

Moquegua Government Sought to Distract Attention
-------------- ---

4. (C) The Foreign Ministry representative in the two
regions, Efrain Saavedra, says he believes that the Moquegua
government instigated this protest as a political stunt but
has since lost control. The distribution of mining canon
between the two regions has been the same for the last four
years without provoking complaint, he argued. Now the only
difference is that the regional government faces a possible
recall election and wants to distract the populace. Saavedra
fears that the thousands of campesinos and miners the
regional government brought in to lead the protests will be
much more difficult to demobilize. Echoing the claims of
other observers, an NGO leader familiar with the dispute told
poloff that Moquegua officials have been asking the
government to negotiate an adjustment to the canon
distribution for about a year and resorted to protests in
frustration.

Impact on Tacna and Moquegua
--------------

5. (C) Activity in Tacna (Peru's southernmost region
bordering on Chile) has slowed to a crawl due to a lack of
natural gas used in vehicles, according to Saavedra. The
central government has flown in fuel and supplies and is
contemplating sending further shipments to avoid a
deterioration of the situation. The government also assisted
the evacuation of various international tourists that had
been stranded at the bus terminal. Saavedra told poloff that
Tacna leaders are threatening to call a counterstrike if the
conflict is not resolved soon. The Regional President of
Tacna, Hugo Ordonez, has publicly called on central
government authorities to end the road blockades. Activity
in Moquegua has also halted, and the Peruvian National Police
have assisted the evacuation of international tourists,
including three Americans. An archeological group of 10
AMCITs from Chicago's Field Museum has been in contact with
the Embassy's Consular Section, and by mid-afternoon June 17
were reportedly flown to neighboring Arequipa out of harm's
way. According to estimates cited in the press, the strikes
could cost the two regions millions of dollars in economic
losses.
MCKINLEY