Brazil’s Lula Says Ethanol Can Solve Nicaragua’s Energy Crisis

Lula and Ortega, presidents of Brazil and Nicaragua Brazilian President Luiz Inácio Lula da Silva offered Nicaragua technical assistance in producing ethanol after talks Wednesday in capital Managua with the country's President, Daniel Ortega. Brazil will seek to contribute to growth, development and "social justice" in Nicaragua, Central America's poorest country, Lula told reporters.

Lula's trip follows three visits to the country by Venezuelan President Hugo Chavez since Ortega took office in January. Chavez is selling Nicaragua cut-price oil and financing construction of the biggest refinery in Central America. U.S. officials and potential foreign investors say they hope the Brazilian president will prove a moderating counterweight to Chavez's influence.

After he arrived, Lula, whose country's economy is the biggest in Latin America, said he's willing to "sign as many accords as needed." Brazil has an annual gross domestic product of 966.8 billion US dollars compared with Nicaragua's 4.9 billion.

The Sandinista leader, who relied mainly on Cuba and Soviet support in the 1980s, has signed agreements with more than a dozen countries to fund social programs and alleviate Nicaragua's external 3.7 billion US dollars debt. Spain was among the most recent, canceling the 31 million Nicaragua owed and contributing 5.5 million for the country's health care.

Ortega said at the news conference that addressing Nicaragua's energy crisis is a priority. The country has experienced record daily blackouts, with power cut for as much as 12 hours a day, since mid-July, despite emergency generators and discount oil from Venezuela. Nearly 80% of Nicaragua's power supply is generated by oil.

"Every country has an energy problem," said Lula, who advocates Brazil's sugar-cane based ethanol as a safe and inexpensive way to power both cars and homes. "We have 30 years experience in making ethanol". Brazil is prepared to invest in ethanol production and in a potential hydroelectric plant.

Mercopress

Tags:

You May Also Like

Lower Interest Expectation Warms Up Brazilian Stocks

Latin American markets were mixed to higher, with Brazilian stocks gaining on expectations of ...

Brazil Puts Pictures of Missing Children on Lottery Tickets

The head of Brazil’s Special Secretariat for Human Rights, Paulo Vannuchi, says that by ...

The Hills Are Alive

He was good, very good. Good all the time and everywhere. His kindness caused ...

Brazilian Industry Hired Less in 2005

Brazilian industry hired fewer workers in 2005 than in 2004, according to the Study ...

This Is Old GDP, Says Minister About Brazil’s Just-Revealed Recession

Brazil's Finance minister, Guido Mantega, when commenting on the Brazilian economy performance in the ...

U.S. Lab Says Brazil Cannot Break AIDS Drug Patent

Merck Sharp & Dohme Laboratory believes Brazil does not have enough conditions to request ...

Brazil Senate Scandal: Secret Bank Account and Private Bunker for Sex

Brazil's Senate – whose president José Sarney, a former president of the nation, has ...

Brazil Is Back to a Bull Market: Stocks Up 33% This Year

The capital market in Brazil is attracting great attention of investors of other emerging ...

3.14 Million in 2009: Brazil Has Never Sold So Many Vehicles

Last year, in Brazil, sales of automobiles, light commercial vehicles, trucks and buses totaled ...

Brazil’s So-called Free Electoral Ad Time Costs Taxpayers US$ 350 million

According to Brazilian law, open television channels and radio stations must set aside a ...