http://wikileaks.ch/cable/2006/04/06PORTAUPRINCE758.html

28 April 2006

WikiLeaks: DOS: Haiti Ambassador Sanderson to Washington

VZCZCXRO8395
OO RUEHQU
DE RUEHPU #0758 1181620
ZNY CCCCC ZZH
O 281620Z APR 06
FM AMEMBASSY PORT AU PRINCE
TO RUEHC/SECSTATE WASHDC IMMEDIATE 2911
INFO RUEHZH/HAITI COLLECTIVE
RUEHBR/AMEMBASSY BRASILIA 1024
RUEHSA/AMEMBASSY PRETORIA 0869
RUEHQU/AMCONSUL QUEBEC 0451
RUCPDOC/DEPT OF COMMERCE WASHDC
RUEATRS/DEPT OF TREASURY WASHDC

C O N F I D E N T I A L PORT AU PRINCE 000758
 
SIPDIS
 
SIPDIS
 
STATE FOR WHA/CAR
WHA/EPSC FOR FAITH CORNEILLE
IB/IFD
STATE PASS TO USAID FOR LAC/CAR
INR/IAA (BEN-YEHUDA)
TREASURY FOR JEFFREY LEVINE
COMMERCE FOR SCOTT SMITH
 
E.O. 12958: DECL: 04/26/2011
TAGS: EAID ECON EFIN ENRG HA VE
SUBJECT: PREVAL WILL SIGN PETROCARIBE DEAL ON MAY 15
 
REF: CARACAS 1104
 
Classified By: Ambassador Janet A. Sanderson for reason 1.4(b)
 
1. (U)  President-elect Rene Preval on April 25 announced
that that Haiti will join the PetroCaribe Program on May 15,
the day after his inauguration.  Preval explained that Haiti
will pay for 60 percent of the oil from Venezuela up front
and that 40 percent will be payable over a period of 25
years, at one percent interest.  Preval explained that
joining PetroCaribe does not mean gas prices will be lowered
at the pump.  The government will continue to sell petroleum
products to the private sector at market prices and redirect
the 40 percent that would have been spent on fuel to
"special presidential" development projects.  (Note: gas
prices went up by 12 percent at the pumps last month,
following a rise in world market prices.  End note.)
 
4.  (C) Comment: As Preval,s inauguration date approaches,
he is feeling increasing pressure to produce immediate and
tangible changes in Haiti,s desperate situation.  Preval has
privately expressed some disdain toward Chavez with Emboffs,
and delayed accepting Chavez' offer to visit Venezuela until
after he had visited Washington and several other key Haitian
partners.  Nevertheless, the chance to score political points
and generate revenue he can control himself proved too good
an opportunity to miss.  We are wary of the creation of a
special presidential fund.  There have been waves of
corruption in Haiti.  We will encourage Preval to channel the
money through existing programs.
SANDERSON