How can the U.S. support Venezuela's oil industry without exacerbating the crisis
The U.S. can support Venezuela’s oil industry while mitigating the humanitarian crisis through a carefully balanced approach that combines targeted sanctions relief with humanitarian aid mechanisms. Here are some key strategies:
Oil-for-Humanitarian-Imports Program
The U.S. could implement an oil-for-humanitarian-imports program, similar to the proposal by Oil for Venezuela. This approach would:
• Allow some Venezuelan oil exports to the U.S. market
• Ensure revenues are used for humanitarian purposes
• Require agreement between the Maduro administration, the opposition, and the U.S. government
• Be governed by a balanced administrative board overseeing oil sales, import procurement, and aid distribution
Targeted Sanctions Relief
The U.S. should consider:
• Expanding the recent easing of oil sanctions to allow Venezuela to pay down other government debts, not just those owed to Chevron
• Implementing an oil-for-essentials program, allowing oil sales to fund basic goods like food and medicine
• Maintaining targeted sanctions on individuals involved in human rights abuses while easing broader economic sanctions
Humanitarian Aid Framework
To support the Venezuelan people, the U.S. could:
• Continue the $3 billion deal reached in November 2022 for health, food, and education programs, managed by the UN
• Expand humanitarian aid efforts, focusing on essential areas such as food, health, protection, nutrition, and education
• Work with international organizations to manage aid distribution effectively
Infrastructure Support
The U.S. could allow for:
• Investments in critical infrastructure, such as clean water supply and stable power generation
• Addressing maintenance issues in gas pipelines to improve electricity production
• Leveraging Western expertise to maintain and rebuild Venezuela’s oil sector infrastructure
Multilateral Cooperation
The U.S. should:
• Engage with regional allies and international organizations to coordinate aid efforts
• Support international mediation efforts to facilitate dialogue between Maduro and the opposition
• Work with neutral parties like the UN to ensure aid reaches those in need
Transparency and Oversight
To prevent corruption and mismanagement, the U.S. should insist on:
• A simple and specific humanitarian program with a narrow scope
• Robust transparency controls and multilateral participation
• Clear duties derived from international humanitarian law
By implementing these strategies, the U.S. can support Venezuela’s oil industry while addressing the humanitarian crisis. This approach aims to balance economic recovery with the well-being of the Venezuelan people, avoiding the pitfalls of broad economic sanctions while maintaining pressure for democratic reforms.
