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India Energy Strike - 12 December 2000

vieuxcmaq, Thursday, November 30, 2000 - 12:00

David Boys (david.boys@world-psi.org)

PSI calls on all affiliates and friendly organisations to support the national strike on 12
December called by all of India's energy unions. The strike is to protest the restructuring
and privatisation of the energy industry in India as imposed by the Electricity Bill 2000, under
pressure from the World Bank and the IMF. This action follows on from our previous request
for action on 6th October.

The dispute in India is over issues that affect many other countries.

Public service unions in many countries have experienced the impact of these restructuring and privatisation programmes imposed by the Bank, in energy and other sectors. They override democratic policy-making processes, destroy jobs, increase service costs and prices to consumers, and can have dangerous effects on quality of
services, health and safety and environmental protections.

Electricity privatisation has started in many countries with independent power producers - relying on power purchase agreements (PPAs) guaranteed by governments, regardless of demand. In Indonesia, these pushed up prices to unaffordable levels; in Pakistan, they led to the collapse of the electricity authority and the subsequent military takeover, which reacted by banning the electricity workers union. In Hungary and Dominican Republic, PPAs have been declared illegal for being so anti-competitive; a PPA was torn up in Croatia because it was unsustainably expensive.

Distribution companies have also been badly affected - major blackouts occurred in Rio de Janeiro and Buenos Aires after the distributors were privatized. In Orissa, India, the cyclone that killed tens of thousands in October 1999 also destroyed the power lines - just after they had been privatized. But the multinational, AES, insisted that the state should pay to rebuild its network.

PSI suggests that affiliates mobilise energy workers on 12 December to send a powerful message to the World Bank and to their own governments of the dangers of these flawed policies. Unions can consider a range of options for actions on 12 December.

Send messages of protest to the World Bank offices in India, with copies to the strike co-ordinating committee in India.

Send letters to the editors of your leading newspapers, including technical journals relating to energy, to public policy, etc.

Consider handing out fliers/pamphlets in front of the Indian embassy or consulate and in front of the World Bank offices in your country.

Consider rallies or demonstrations regarding the developments in your own energy sector, with reference to the policies of the World Bank, the dangers of privatisation, etc.

Consider engaging in a work slowdown or stoppage in energy on 12 December, both in solidarity with Indian workers and to express your opposition to energy policies in your own country.

PSI contact: David Boys email:david.boys@world-psi.org, phone: (+) 334 50 40 11 65, fax: (+) 334 50 40 73 20.



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