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Sempra Energy: The Real Winner in Mexico’s Energy Reform

 This report was written by Santiago Navarro F. for Avispa Midia with support from the Investigative Reporting Initiative in the Americas, an International Center for Journalists (ICFJ) program, in partnership with CONNECTAS.

Spanish Version: published on September 5, 2019 Los “Ventajosos” beneficios de Sempra Energy en México

In 1995, the structural reform of the Mexican natural gas sector opened the door for Sempra Energy to become one of the first private companies to invest in gas transportation in Mexico. Two decades later, Sempra, based in San Diego, CA, has positioned itself as the second most important company in the industry. Its main springboard was a second energy reform, implemented in 2013, which has allowed its subsidiary IEnova to make over 8.7 billion dollars.

Five years after this reform—one of ex-President Enrique Peña Nieto´s signature programs—IEnova’s assets have grown to such an extent that by the end of 2018 it owned 17 gas pipelines, six storage terminals, five solar energy complexes, three wind power complexes, and a thermoelectric plant. It owns six of the 16 interconnection points for gas exports from the US into Mexico.

Although several of the Sempra gas pipelines were disrupted by social movements, the company has not lost a single peso. It has charged for services it never provided through the legal chicanery of “force majeure” and “fortuitous case” clauses in its contracts, which have resulted in a multi-million dollar debt for the Mexican government.

At the beginning of 2019 the current president of Mexico, Andrés Manuel López Obrador, described these agreements made with prior governments as “unconscionable” and requested their voluntary renegotiation.

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The thermometer can climb up to 95° F on a spring day in the Sonoran Desert, northern Mexico. This is the homeland of the Yaqui people, made up of eight different indigenous groups. In 2012, IEnova entered into a contract with the Federal Electricity Commission (CFE) for the construction and operation of the Gasoducto Sonora transport system, which crosses Yaqui territory.

IEnova’s 2018 financial report states that this project, one of the 17 gas pipelines in the company’s portfolio, has been completed and in operation for two years. However, we discovered that, roughly 300 meters from the community of Loma de Bacum, this pipeline remains unfinished and has never provided any kind of service.

Loreta Vázquez Molina, a Yaqui tribe member, guides us through the desert vegetation until we reach an excavation site where we see that a fraction of the pipeline is exposed to the elements. Its two unconnected sides, which have begun to rust, are only separated by a few meters. On either side of the trench where the pipe lies, one can see yellow, metal gas pipeline signs, some already demolished and others pierced by bullets, signs of the conflict the gas pipeline has brought to this community.

Construction began in 2013, and it was supposed to enter into service in 2014. The company failed to inform the towns of the Yaqui Tribe, as stipulated in government regulations, and the town of Loma de Bacúm resisted. Local leaders headed to the Sonoran courts, which ruled in their favor and suspended pipeline construction in June 2017.

Although construction was halted by the legal system, IEnova told its investors that the suspension had been for acts of “sabotage.” IEnova’s contract with CFE stipulates that “sabotage, as with natural phenomena, commercial embargoes, and civil disturbances”, among other reasons, will be considered “fortuitous or force majeure events”. This means that the CFE is required to pay for the use of non-functioning pipelines. These clauses were the ones that guaranteed ongoing payments to IEnova until the beginning of 2019, disbursements that led the state into millions of dollars of debt. Avispa Midia asked the CFE how much IEnova and other companies were paid for these non-operational pipelines, but the agency responded that this information was confidential.

IEnova is not the only company that has benefitted from this: 17 pipelines throughout Mexico have received payment due to “force majeure”, as reported by Unidad de Transparencia de la Auditoría Superior de la Federación (Transparency Unit of the Superior Audit of the Federation). Five of them belong to Sempra Energy. Some have been completed but do not receive the gas they're supposed to transport because other pipelines remain unfinished. These have cost the CFE 16 billion dollars, according to the CFE’s 2018 financial report. These payments were legally valid, though dubious, because they are stipulated in contracts approved by the Energy Regulatory Commission (CRE).

Sempra’s subsidiaries have been the greatest beneficiaries of these loopholes, since the five of their pipelines that have received these payments are all high capacity and strategic. Faced with a growing debt, the CFE went to international courts in London and Paris to demand the review and renegotiation of contracts for seven pipelines, including two involving IEnova: the Sonora Gas Pipeline (Guaymas-El Oro fraction) and the Gasoducto Sur de Texas-Tuxpan, where it has investments with TC Energy (formerly TransCanada).

Toeing the political line laid down by President López Obrador, the state, through these legal remedies filed in international courts, claimed that the clauses were invalid since they go against public policy and the greater social good.

However, on August 27, 2019, the Mexican president declared that his government had reached an agreement with three companies that owned four unfinished gas pipelines, including Carso, TC Energy and IEnova. These new agreements extend the lease terms and establish a fixed payment for the rent of private pipelines.

Carlos Salazar Lomelín, president of the Business Coordinating Council (CCE), said that these agreements were established on the condition that companies would return the amounts paid for “force majeure” to the state. This would be "in exchange for a longer contract term or for another set of conditions", the president of the CCE communicated at a press conference.

Under these new agreements, the return of the amounts paid for “force majeure” will only concern these four contracts, which include two of the five pipelines in which IEnova has investments. For the remainder of the gas pipelines, no further information is available.

Concerning the communities that have risen up and prevented the completion of the pipelines’ construction, specifically Loma de Bacúm, the president of Mexico said that the Ministry of the Interior (Secretaría de Gobernación) is working to resolve these conflicts and ready the pipelines, but also said that any further “stoppage of these projects would mainly affect the country and not the companies themselves”.

López Obrador continued: “If pipeline construction stops, it’s the Mexican people who lose, because it is the CFE, not the company [who is investing]”. But the contracts go much further: even though the CFE has invested large sums in the construction of these pipelines, the contracts stipulate that they become the property of private companies. They also require this parastate agency to pay for 100% of the gas transportation capacity, even if only a portion of this capacity is used.

The contracts that the CFE has signed were mainly for the transport of gas en route to various points of energy generation in Mexico, but this transport capacity is not exclusive to the parastate agency, since these companies also use the pipelines to transport the gas they sell to industrial and urban sectors.

At the beginning  of 2019 López Obrador argued that the CFE was a successful company which supplied 100% of the national demand until before the 2013 reforms, but today, only 50% of the demand is met nationally. "What happened? Business deals were made with state protections; unconscionable and abusive contracts have been awarded to favored individuals”, the president proclaimed on February 11, 2019 at his morning press conference.

Today it seems that the problem is being resolved, but issues remain with the Guaymas-El oro project, a piece of the Sonora Gas Pipeline that has encountered strong social resistance. One of the main parties involved in the Sonora Gas Pipeline contract is the current president of IEnova, Tania Ortiz López Negrete, who is also the legal representative of the Aguaprieta company, another of Sempra Energy's subsidiaries.

Tania Ortiz Mena, CEO of IEova

Tania Ortiz Mena López Negrete was the foothold that Sempra Energy maintained within the Energy Regulatory Commission (CRE) during the Energy Reform period. While she was part of this public body as an advisor (2015-2018), she was simultaneously an executive at IEnova (2014-2018).

The CRE deals with oil, natural gas, petroleum, petrochemical, and biofuel issues. It regulates natural gas, both in its price and in terms of new facilities, operation, maintenance, and private security across all activities except production. It collaborates with other administrative bodies to produce contract models and bidding rules.

Tania Ortíz, who has had a wide-ranging energy career in both the public and private sectors and comes from an important family linked to Mexican politics, opened the door for Sempra’s advance in Mexico via its subsidiaries. She took her position in the company after IEnova suffered a million dollar loss due to the fall in the prices of electricity and natural gas (from USD $4.55 in 2014 to USD $2.88 in 2015). She immediately began lobbying for a price adjustment, which helped almost double IEnova's revenues, from $613.41 million in 2015 to $1.368 billion in 2018.

The CRE’s rules of operation are clear in stipulating that members should “avoid making use of their roles as advisors for benefit of themselves or external agents.” But Tania Ortíz promoted annual gas price adjustments that benefited Sempra Energy's gas pipelines in Mexico at the same time that she was part of the Council that oversaw the exercise of these powers. An example? In December 2015, the CRE approved new rates for the Aguaprieta Gas Pipeline, which served as the baseline for the service payments on the non-operational IEnova pipelines.

Several members of her family were part of strategic sectors of the Mexican government during the same period, such as her brother Antonio Ortiz Mena López Negrete, who was Minister for Economic Affairs of the Mexican Embassy in Washington D.C. during Peña Nieto’s administration. Among other things, this agency drew up energy agreements with the United States, mainly concerning oil and gas.

These multiples roles, certainly representing a conflict of interest, were overlooked by Peña Nieto’s administration, but also by that of López Obrador, who appointed Tania Ortiz’s cousin Josefa González Blanco Ortiz Mena as Minister of the Environment. Ortiz Mena was then called out for her own obvious conflicts of interest.

In public at least, President López Obrador has denounced such actions by Sempra Energy and its officials: “How is it possible for a foreign company to hire a former official, in this case from the energy sector, where the company operates? That is totally immoral”, said the president. He also declared that a law would be implemented requiring officials to wait before working for a private company in the same field.

Although conflict of interest is not a crime in Mexico, it could be an act of corruption. According to the Ministry of Public Function (Secretaría de la Función Publica), “A conflict of interest arises when a person may have the opportunity to put their private interests before their professional duties. That is, a conflict of interest has the potential to become an act of corruption”.

Tania Ortíz both managed and lobbied for gas prices and tariffs and permits for export and import between Mexico and the United States for Sempra Energy's subsidiaries. In February 2016, for example, she received authorization from the Environmental Protection Agency to change the land-use designation of a forest for the development of the Rosarito gas pipeline. The permits were also approved by the CRE.

While Tania Ortíz simultaneously worked for IEnova and CRE, she also chaired the Mexican Association of Natural Gas (AMGN), an organ that brings together more than 80 companies, national and foreign, that develop activities in the natural gas sector. In a presentation she gave in July 2016 as part of the AMGN, Ortíz stated that “due to an oversupply of low-cost natural gas from the United States from shale gas production, Mexico opted to build a network of gas pipelines. All those gas production surpluses that we are seeing in the US, the ones that are driving such low prices, all that gas we are bringing to Mexico”.

In addition, Tania Ortíz ventured into other areas while continuing to work for the CRE. On August 16, 2017, as a legal representative of the subsidiary ESJ Renovables III, she signed a contract for the partial transfer of rights to the Integral Port Administration (API) of the state of Veracruz.

In this document, Sempra’s subsidiary was assigned rights to a ​147,381 m2 area with a 300-meter waterfront to use, build, equip, operate and exploit the port terminal. This port area is one of the most strategic in Mexico due to its geographical position, its capacity, and its rail connections to the rest of the country. 

“In regards to our new business ventures, we currently have three terminals under construction for receiving, storing and delivering refined products at the new port of Veracruz”, Tania Ortíz announced in 2019 with great pride when leaving CRE and assuming her new position as CEO of IEnova.

Even though the former official had access to privileged information, IEnova lost two tenders, No. LPSTGN-004/15 and No. LPSTGN-006/15, for the Villa de Reyes Guadalajara and La Laguna-Aguascalientes gas pipelines, respectively. During the ruling, Transparencia Mexicana documented that representatives of Sempra Energy's subsidiaries had already prepared their response to the invalidation of their offer, arguing that “it complied with the requirements established in the bidding framework”. This was recorded by the Supply Management (Gerencia de Abastecimientos) of the CFE which presided over the event, where the winner of the tender, Fermeca, also requested that the record reflect prior contact between CFE staff and IEnova.

Tania Ortíz assumed her new position amidst a complicated context. On February 12, 2019, IEnova suffered one of its worst days on the Mexican Stock Exchange (BMV). Having closed the day before at 77.04 pesos, their stock fell to 69.93. The cause was President López Obrador’s announcement that IEnova was one of the companies that had received payment without providing service.

It appears that it is common practice for Sempra Energy to hire former government officials. Luis Téllez was a non-employed shareholder and independent director of Sempra Energy since 2010. Carlos Ruiz Sacristán was also a member of the Board of Directors and shareholder since 2007. These two leading investors are responsible for building IEnova’s financial architecture for participation in the Mexican stock exchange. They also have another thing in common: they were once government officials. Téllez, however, had to give up on the stock market because of the scandal unleashed by his controversial actions during the energy reform period.

According to researcher Claudia Ocaranza, a member of the Project on Organization, Development, Education and Research (PODER), individuals such as Ortíz and Téllez jump between strategic sectors of the government and private companies. “Public officials who are in Pemex, CFE, or CRE open the doors for some transnational private company, then jump into the ranks of these private companies, and they get promoted, as if it were a prize,” says Ocaranza. She continues: "Mexican regulation is among the most lax in Latin America".

Perhaps for all these reasons, the FBI in 2011 opened a bribery investigation concerning Sempra and Mexican officials for the authorization of the installation of the Costa Azul gas pipeline in Ensenada, Baja California. During this investigation Tania Ortíz and Carlos Ruiz Sacristán emerged as spokespersons for the company, the very individuals who have benefited from this revolving door.

Ruiz Sacristán was CEO of IEnova from 2012 to September 1, 2018. At the end of 2019 he was promoted to CEO of Sempra North American Infrastructure. He previously served as CEO of Pemex, Secretary of Communications and Transportation and Director of Public Credit from 1992 to 2000, during the Carlos Salinas de Gortari and Ernesto Zedillo governments. In the private sector, he owns shares in and is a member of the Boards of Directors of Grupo Creatica, Constructora y Perforadora Latina (a Mexican geothermal exploration and drilling company), OHL Concesiones México, and AMAIT (an international airport in Mexico).

The Energy Reform period was the catalyst for Sempra Energy to move into strategic areas of Mexico's energy sector. And it did so: to the extent that from 2012 to 2018, its assets almost quadrupled from $2.5 to $ 8.769 billion, according to its annual financial reports.

Sempra Energy’s acquisitions during the implementation of the Energy Reform have positioned IEnova as one of the largest private energy companies in this country, along with BlackRock and Trafigura.

Growth of the assets of the subsidiary of Sempra Energy, IEnova. In millions of dollars

Militarization in Mexico Advances with a Red Zone in the South-Southeast

Militarism in Mexico is increasing. President Andrés Manuel Lopez Obrador, along with the commander of the National Guard Luis Ramirez Bucio, at an August 13th press conference shared a document titled “The Situation of the National Guard” detailing the process and deployment of troops within the newly created National Guard.

More than 230,000 total troops 

Federal officials announced that the new military police has been deployed throughout the entire Mexican territory, with 58,602 troops under the command of the new force, distributed to 150 General Coordinations.

In addition to these troops are 123,465 military troops from the Secretariat of National Defense (SEDENA), 13,461 from the Marine Secretariat (SEMAR) in permanent deployment for public security tasks, 14,852 troops from the Federal Gendarmerie Forces and 20,584 troops from the Federal Police in “voluntary” transition to the National Guard.

The total amount will be 231,964 troops which will be patrolling throughout the entire nation.

Read also ⇒ The neoliberalism of Mexico´s new government continues to dispossess and kill

Military Training 

The training received by the troops within the National Guard is being conducted with the guidance of the Army and the Marines. “SEDENA and SEMAR are taking lead of the National Guard, accompanying its strengthening.” Declared the Mexican President during the press conference.

In terms of training, Luis Rodriguez Bucio clarified that a course for veterans entering the National Guard has been designed, as well as a course for new personnel. In addition they informed the public that in order to train new troops courses are being developed by the Heroric Military College, as well as in the Military Sargeants School.

With regards to the course materials covered, Bucio clarified that it would be “Primarily Human Rights, attention to victims of crimes, gender perspective, and culture of legality”. With this information the officials assure that the government in turn intends for train troops who can guarantee peace and security for the Mexican population.

Many organizations and divers sectors of civil society however have little confidence in the initiative.

“The country’s armed forces are created for war, not for public security, and they have committed serious civil abuses with generalized impunity” affirmed the organization Human Rights Watch in a communique.

“They have also not accomplished reducing violence in Mexico and it is possible that in fact, they have been a key factor which has contributed to the drastic increase in homicides these past years.” Added the international organization.

According to a study conducted between January 2007 and June 2017 by the Mexican Commission for the Defense and Promotion of Human Rights (CMDPDH), the armed forces, the Army and the Marines were the security institutions which had participated in the most serious violations to human rights such as torture, disappearances, and executions.

Luis Ramirez Bucio U.S. Army School of the Americas Graduate

It is important to note that the now commander of the Nacional Guard Luis Ramirez Bucio is a graduate of the U.S. Army School of the Americas (today named the Western Hemisphere Institute for Security Cooperation) located at Fort Benning in the state of Georgia in the USA.

This school has trained tens of thousands of troops from throughout Latin America in tactics for counter insurgency, torture, espionage, and intelligence. Its graduates have participated in all of the counterinsurgent operations carried out in Latin America during the last 8 decades.

More state and municipal police with military training

Lopez Obrador declared that the 150 coordinations with reach their total complete amount of 266 by next year.

He also clarified that in addition to the National Guard at a federal level, the government wants to increase the the number of state and local police in the entire country. The new recruits will receive training by the Army and the Marines.

“There is a funding packet which is for security, and what we are proposing is that this fund, which is approximately 10 billion pesos for States and municipalities be used to contract additional recruits and that we reach and agreement so that SEDENA and SEMAR help us in the training of these new recruits. So that this way in act together in a coordinated fashion, and we strengthen the presence of security elements.”

CLARIFIED THE PRESIDENT.ZONE IN THE SOUTH-SOUTHEAST

In terms of the distribution of the troops throughout the national territory, Luis Ramirez Bucio clarified that the bulk of the of the General Coordinations are located in the south and the southeast of the country as well as in Mexico City and the State of Mexico.

In Chiapas there are 11,958 troops distributed within four coordinations; in guerrero there are 10,732 troops in seven coordinations; in Oaxaca there are 10,445 troops in nine coordinations, and in Veracruz there are 13,702 troops in eight coordinations.

Read also ⇒ Militarization Increases in Zapatista and Campesino Territories in Chiapas

We can also see that in the Yucatan Peninsula which includes the states of Tabasco, Chiapas to Campaeche, Yucatan and Quintana Roo, which represent relatively low crime rates a total of 27,052 troops have been deployed.

In comparison, states with much higher crime rates, which are experiencing open war situations within criminal organizations received a much lower amount of troops: 4,053 arrived in Durango, 6,401 arrived in Sonora, 7,279 arrived in Chihuahua, 5,550 arrived in Baja California, and 4,535 arrived in Nuevo Leon.

All of this indicates that the newly created National Guard will be used more to ensure the development of mega-projects driven by the current administration, as well as to surveil the indigenous communities who are resisting to conserve their territories rather than to protect citizens.

In fact in Chiapas, the Zapatista National Liberation Army (EZLN) announced this past 17th of August that they have created 11 additional Centers for Autonomous Resistance and Zapatista Rebellion (CRAREZ)

“Regardless of military patrols, regardless of the National Guard, regardless of the counter insurgency campaigns disguised as social programs, regardless of the oblivion and devaluation, we have grown and become stronger.” Assured the EZLN.

The trans-isthmus corridor in Oaxaca and Veracruz, they Tren Maya in the peninsula of Yucatan are priorities within the current president’s agenda, as well as hundreds of other mining, hydroelectric, wind energy, and other development projects throughout the South-Southeast of the country.

Indigenous Nasa People of Colombia are on Maximum Alert after Two More Murders

The Nasa, an indigenous people who live in the north of Cauca, Colombia, were once again attacked by an armed group that left five wounded and two dead. This event brings the murder count so far in 2019 up to more than 30.

Very early in the morning of August 10, the Indigenous Guard of the San Francisco reservation in the municipality of Caloto (one of the centers of collective property) were taken by surprise. One of the more than five armed groups that operate in the area attacked the guards with gunfire. Kevin Mestizo Coicué and Eugenio Tenorio were killed, while Leonel Coicué, Sandra Milena Pilcue, Aurelino Ñuscue Julicue, Julio Taquinas, and Edinson Edgardo Rivera, 7 years old, have been wounded. All are indigenous.

Prior to this attack, a pamphlet menacing the indigenous communities and signed by an organized crime group had begun to circulate on social media: "They were warned nicely, but these Indian sons of bitches don't understand, we're going to finish them".
"Who did it? It's an armed group that's trying to control and manage the drug trade and this has us very concerned, because the threats continue to be very frequent in our territory", said one of the traditional leaders of the Nasa people, who spoke anonymously for security reasons.

This scenario occurs in the midst of a transition process from a war that lasted more than 50 years between the many administrations that have governed Colombia and the ex-guerrilla organization known as the Revolutionary Armed Forces of Colombia (FARC). During this war, the Nasa people were considered an enemy by both sides.
"The war was very aggressive with us, because the government said that we were collaborators with the FARC, who said that we were collaborators with the government. But to us, the war is a business and we don't collaborate with anyone. The land dispute always existed from both sides. In 50 years, we strengthened our traditional guards and we rose up with our command staffs for the defense of territory and life", commented a Nasa man, who introduced himself just as José.

For the Nasa, "the war that the armed groups has declared on our community, especially the Indigenous Guard, attempts to silence our voices, exterminate life, and take over our territories", stated a communique (link in Spanish) from the 126 traditional authorities organized in the Regional Indigenous Council of Cauca (CRIC) and the Indigenous Guard, as defenders of life in all of its manifestations.
There is intensive industrial sugarcane production in this area, principally for ethanol fuel for cars. This production is backed by the government. Add to this the FARC dissidents who are still armed, and "additionally there are organized crime groups that want the land for poppy and marijuana production", said a member of the Nasa people, who decided to remain anonymous for security reasons.

Since 2005, the Nasa have carried out direct actions for the liberation of their lands from monocrops and exploitation. They cut and dismantle cane plantings with the goal of letting nature itself return to cover the land with its vegetation, but also for the families that make up this people, who cultivate organic food. With the crops that they grow, the Nasa have undertaken other direct actions in which they give away food in the poorest neighborhoods in cities like Cali.

"It's time to liberate and defend the land because they're killing it. And who's killing it? The sugarcane, mining, hydroelectric dams, soy, palm oil. Uma Kiwe, our Mother Earth, is enslaved just like our peoples and we have to liberate ourselves along with her", says José.
While the members of the Indigenous Guard of Caloto were being murdered, the Third International Encounter of Liberators of Mother Earth was being held in the liberated zone called La Albania. People from the diverse geographies of Colombia participated, as well as those from other countries such as Chile, Brazil, Peru, and Mexico, from which pain and rage were shared in one same sentiment.

The authorities present in this space made themselves heard with a call to solidarity to the international community and to other peoples who resist and struggle for the defense of their lands. "From this liberated space, today we say that as indigenous communities, we find ourselves in assembly and on maximum alert to defend and care for our territory. We hope to count on the peoples of the world in their solidarity and their rejection of these actions", they expressed.

Growing Surge Joining May 31 Global Action Against the Militarization in Zapatista Territory

Photo by Antony Guerra

Translated by Scott Campbell

With a sense of urgency, several collectives, organizations and adherents to the Sixth Declaration of the Lacandón Jungle, as well as support networks for the Indigenous Governing Council (CIG), met on May 9 to agree upon actions against the increased military and paramilitary presence in Zapatista territories.

The collectives also spoke out against the recent increase in attacks, including the killings of members of the National Indigenous Congress (CNI), particularly in the states of Guerrero and Oaxaca.

For these reasons, the organizations agreed to hold a Global Action on May 31 against the militarization in Zapatista territory and in defense of the land, territory and autonomy of the indigenous peoples and communities of the CIG-CNI.

With the action a few days away, several organizations and collectives in France, Greece, Austria, US, Italy, Spain, Brazil, and multiple states in Mexico have joined onto the call.

One of the main demands is the immediate departure of the army from Chiapas, particularly from territory liberated by the Zapatista Army of National Liberation (EZLN). On May 2, the Fray Bartolomé de las Casas Human Rights Center (Frayba) reported the Defense Ministry (SEDENA) made 14 incursions in the month of April alone around the Caracol of La Realidad, one of the headquarters of the EZLN in the Lacandón Jungle.

The same report from Frayba states that “on four occasions, soldiers made incursions into the community and on another four they carried out helicopter flyovers”.

“The military incursions constitute acts of intimidation and harassment against the indigenous Zapatistas in resistance. They signify an attack on their right to autonomy and represent a risk to the life, well-being and security of the entire population”, the organizers of the Global Action said in a statement.

Along with the harassment of communities in Chiapas, there have also been the assassinations in Guerrero of José Lucio Bartolo Faustino and CNI delegates Modesto Verales Sebastián, Bartolo Hilario Morales and Isaías Xanteco Ahuejote. In Morelos, Samir Flores, an indigenous Nahua, was murdered in February. He was well-known as an opponent of the Morelos Integral Project (PIM) and a member of the CNI.

From the first day of this new government, baptized by President Andrés Manuel López Obrador (AMLO) as the “Fourth Transformation”, the CNI-CIG has documented the following: increased harassment by the Navy against the autonomous process in the community of Santa María Ostula in the Aquila municipality of Michoacán; harassment of the Community Assembly of the indigenous Binniza community of Gui’ Xhi’ Ro’ in Álvaro Obregón, Oaxaca; persecution and arrest warrants against Mateo López Cruz and Juan Sánchez Torres from the community of Suclumpa in the Salto de Agua municipality in Chiapas; threats of displacement from lands reclaimed by the Chol people in 1994 in the community of San José El Bascan in the Salto de Agua municipality in Chiapas; forced disappearances of five members of the Guzmán Cruz family, P’urhépechas from Tarejero, Michoacán; disappearances and murders of members of the Committee for the Defense of Indigenous Rights (CODEDI) in Oaxaca, among many others.

During the May 9 assembly, attendees categorically condemned the killing of their compañeros, “who were murdered for defending life and for defending Mother Earth”. They demanded of the Mexican president, “truth and justice for our murdered compañeros. We demand the punishment of those responsible, since organized crime, the political class, and the owners of power and money, as well as federal, state, and municipal authorities enjoy full impunity in the face of these events”.

Those joining these actions have also staked a firm position against the megaprojects that Mr. Obrador will implement with his new National Development Plan, such as the so-called “Maya Train”, the “Trans-Isthmus Corridor”, the “Morelos Integral Project”, the “planting of a million hectares of fruit and timber trees”, as well as extractivist mining and oil projects, dams, wind farms, tourist complexes, and the airport in Santa Lucía, among others.

Given all of the above, the organizers stated, “We reject the militarization of the country through the creation of the National Guard, we reject [the government’s] complicity with paramilitarism and its collusion with organized crime, we reject the continuation of a war against the people who oppose the neoliberal capitalist system, and above all, because it responds to the interests of Trump, offering itself as a new government of well-being and development”.

The Global Action, in the case of Mexico, will happen on May 31 at 7 a.m. in Mexico City in front of the National Palace.

Lastly, they reiterated the call to solidarity, for it to be known that the EZLN is not alone, and offered an “invitation for all those who fight against capitalism and whose heart beats from below and to the left, that according to their calendars and geographies, their ways and their very forms, to hold similar and/or simultaneous actions in support of the Zapatista Army of National Liberation and against the militarization in Zapatista territory”.

Conservation Perpetuates the Plunder of Forests in Guatemala

Behind financial institutions' and NGOs' plans to “combat” the climate crisis, a project aims to generate profits through the indiscriminate sale of forests. This is the case of the Protected Areas of Guatemala. This model is being used to green capitalism, through local territorial reorganization policies that were implemented after the peace accords were signed in 1996.

In the department of Petén, in the north of this Central American country, the emergence of Protected Areas (PAs) was inspired by the traditional conservation models that the United States invented to colonize the “wild west”—areas where human presence or intervention is not allowed. This model, propagated by conservation organizations, set the “environmental” standard in tropical countries after the Second World War. It is responsible for expelling millions of peasants and indigenous people from their lands worldwide, for destroying ancestral systems of common goods management, for impoverishing and uprooting communities, and for imposing colonialist methods of territorial management.

Nearly 70% of the department of Petén has been declared as a Protected Area through the Maya Biosphere Reserve (RBM, by its Spanish acronym). This territory houses invaluable cultural wealth and biodiversity, including the most important archeological sites of Mayan culture, as well as Guatemala's largest reserves of oil, water, forests and fertile lands.

These resources place Petén at the center of “sustainable development” plans—which are based on the exportation of commodities alongside conservation projects. These plans were developed in the 21st century and stem from what appear to be contradictory ventures: The Mesoamerica Plan for infrastructure and economic-energy integration through extractive projects; and its green version, the Protected Areas of the Mesoamerican Biological Corridor. Both of these land management models are financed by the World Bank (WB) and the Inter-American Development Bank (IDB).

Protected Areas in Guatemala are managed through an alliance between weak state institutions and NGOs maintained by global financial institutions—such as the United States Agency for International Development (USAID), the Ford Foundation and the German Society for International Cooperation (GIZ). These financial institutions—working with The Nature Conservancy, World Wide Fund, Conservation International, Wildlife Conservation Society and Rainforest Alliance, among other NGOs—advertise “sustainable forest management” projects as conservation success stories. These projects are made possible through mechanisms that seek to shape national regulatory frameworks to include a new commodity for export: carbon credits.

In this way, they seek to consolidate the territories of Petén—which will allow them to manage ecosystems with strategic value for transnational capital, while providing “ecosystem services” alongside hydrocarbon extraction, mega-tourism ventures and the expansion of agribusiness plantations. It is the same story of dispossession. Their objective is to preserve a kind of museum of what is being destroyed in the world, while developing an economic project to generate money for themselves in the Protected Areas. The latter entails extracting profits from counter-insurgency ecotourism; export-driven logging; and, above all—the flagship program of the green economy—Reducing Emissions from Deforestation and Forest Degradation (REDD+).

This approach to territoriality, in an increasingly militarized context, intends to continue the forced displacement of populations that have been living in Petén for decades. It blames them for deforestation, and accuses them of working in collusion with criminal groups. This is manufactured discourse to justify stripping communities of their territories, in the name of conservation.

Mexico: At the roots of migrant caravans, protest against massive kiddnapping

By Amelia Frank-Vitale and Arelí Palomo Contreras

Mariela[1] was jostled violently as the train moved forward. She was sitting atop a rusty wagon, with few places to get a good grip. A small, brown-skinned young woman in her early twenties, Mariela looked as though her hair was dyed long ago and its color is now a kind of burnt black-red. She has a big smile and sparkling eyes. On top of the train, in the middle of the night, Mariela was exhausted, having only slept a few hours in the last three days. The rhythmic motion of the train was hypnotic, adding to the fatigue that almost overwhelmed her. I have to stay awake. If I fall asleep, I’m dead.

For many migrants like Mariela from Central America, traveling on top of freight trains to try to make it to the United States, staying awake is the last line of defense. People who fall asleep are more liable to fall off the moving train and get sliced to pieces by the blade-like steel wheels. Migrant advocates have a saying: if the train gets a piece of you, it wants to eat the rest of you. Though it isn’t death itself that necessarily frightens migrants. For many of them, the fear of losing an arm or a leg is what keeps them awake on the train. This would mean not just failing to cross the border, but it would be the end of all chances to succeed. All of this was in Mariela’s thoughts as she arrived, her sparkling, tired eyes kept open only by inertia, to Coatzacoalcos, Veracruz.

At two o’clock in the morning, along with another 25 migrants - 3 women and 22 men - she climbed down from the freight car as the train stopped near a dead-end street. She could hear cars driving across the bridge above. In spite of the weariness, everyone managed to make conversation, look around and laugh a bit about the journey. Laughter and camaraderie are some of the things that make this trip bearable.

See also What does the Central American exodus have to do with Europe’s ‘migrant crisis’?

Two young Central American men, one skinny and tall and the other short and pale, were already there when the train stopped. They started to talk with the forming groups of migrants. Everyone was nervous, waiting for the next train to come through, as this was the train that would take them northward to Tierra Blanca, Veracruz. The stories and myths about this next town were many, but they all contained the same basic information: Migrants were being kidnapped by men with guns and fancy trucks. People were taken into big deserted houses, placed deep in the mountains. By torturing the migrants, these men obtained the phone numbers of the migrants’ relatives in the United States. Then they made the migrants call their families and beg for the ransom money that would save their lives.

“…But we will help you, we know how to avoid them”, said Flaco, the nickname given to the skinny one. Mariela was smiling thankfully. They were Central Americans, like her. She could tell by their accents.

So far, I have met people willing to help me, point me in the right direction, or warn me about checkpoints. Maybe with their help, I can make it through Tierra Blanca and to the US border quickly.

The darkness of the night seemed to stop the course of time, but soon enough the next train arrived. All the migrants, including “Flaco” and “Shorty”, scrambled to the tops of the wagons and the engine screamed its departure. The train advanced slowly and suddenly it stopped. Two black trucks appeared with armed men inside them. Flaco and Shorty, clearly not surprised by this turn of events, climbed calmly down the wagon’s ladder, while the rest jumped down, running in panic as gunfire broke the early morning silence. Mariela stayed paralyzed as she watched those who tried to escape get shot.

It’s them. Los Zetas used to be a group of elite soldiers in the Mexican armed forces that deserted from the military and became the heavily armed “enforcement” wing of one of the country’s most powerful drug cartels, The Gulf Cartel. They were hired by Osiel Cárdenas Guillén, the cartel’s leader from 1998 until 2003, to protect, gain and control territories for drug trafficking through sophisticated tactical operations. In the few years since, Los Zetas have become the most violent and diversified of Mexico’s transnational organized crime groups.

In 2008, five years after Guillén’s detention, los Zetas broke their ties with the Gulf Cartel and became an independent group, battling the Gulf Cartel for control of Mexico’s eastern territory.They quickly became a powerful new entity, consolidating control of every illegal market within their territory, which ensured them economic stability. Whether it was calculation or luck, the brilliance of the Zeta Corporation, as they call themselves, was to diversify their business to include any illegal market where they could turn a profit. The Zetas operate like a business, motivated solely by the bottom line. They combine an indiscriminate use of brutal violence with a pure capitalist corporate structure, making them a powerful force within the unregulated markets of trafficking.

As shockingly violent as they have proved to be, los Zetas are a product of modern society; they occupy a space made for them by political corruption, decades of neoliberal economic reforms, and the resulting deterioration in social cohesion. They are not simply a transnational company of drug trafficking like the drug cartels. They are a well-structured organization of mercenaries that seeks to control and paralyze those social structures necessary to allow them to master illegal markets: the police corporations and the justice system. War against them is not a war

against drugs, it’s war against uncontained free-market violence. They are a reflection of our own system: pure unfettered capitalism where the capacity for violence has market value. To date, the drug war in Mexico has an official death toll of nearly 50,000.

The violence of los Zetas against migrants is now famous, after the discovery of 72 executed bodies in a ranch in San Fernando, Tamaulipas in August 2010.

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This case became well known, but it was not anomalous. Los Zetas have capitalized on the flood of undocumented migrants making their way across Mexico. Mostly Central Americans, many of the migrants cross Mexico by riding on top of a series of freight trains. The tracks pass through remote, Zeta-controlled areas, leaving little possibility for migrants to escape when los Zetas decide to stop a train. Other times they simply round them up when the train stops in the train yard; their power in the territories they control is so absolute that they fear little recrimination should someone notice the mass kidnappings. They hold migrants for months in their ironically termed casa de seguridad, or “security houses”, torturing them until they finally give up the phone numbers of relatives in the United States. They collect ransom money from these relatives, only after breaking the migrants, body and soul.

Mariela realized Chiqui and Flaco were standing in front of her. She didn’t remember when they appeared there. She had been watching the gunfire fixedly, memories of stories of los Zetas flashing through her mind while she saw her fellow migrants fall to the ground. Chiqui and Flaco picked her up and put her with the rest of the survivors. They counted them. Nineteen. How many had we been? Twenty five at least. What was her name? The Honduran girl, younger than me, we all just called her Morena. Someone should tell her family…

One of them, showing off a large gun, approached the group and told them, boldly, “don’t try to escape. You won’t be as lucky as your friends there”, pointing into the void of darkness where everyone knew the bodies lay. Someone might find the bodies of the two women and four men killed that night, but no one would claim them or recognize them, they were all unknown immigrants, shadows of another place.

At gunpoint, the men ushered the migrants back onto the train. During the whole trip, Mariela couldn’t tell how long they traveled; Chiqui and Flaco never took their eyes off her. Eventually they arrived at a small crowded town, one of the many that have seen corruption grow within its population, houses and streets. In Mexico, corruption has been one of the essential components of the endurance of the political system and drug trafficking.

A cattle truck was waiting for them in this town, and the kidnappers forced everyone to pack inside. After half an hour they arrived at a big, white house. It had no doors or windows, but a fortified fence at the entrance. Entering with her group of migrants, Mariela realized there were already more than a hundred people there. Most of them were sitting on the floor with their heads down, others were being interrogated, getting beaten, or making uneasy phone calls.

Mariela didn’t fully understand what was happening. She followed the others through the house, terrified by the bloody faces, the scared, weeping voices speaking on cell phones, and the prayers and screams. Then, all of a sudden, she heard nothing. As she collapsed to the floor, she barely managed to break her fall. She grabbed her right ear, ablaze with pain, hearing nothing but a long beep. She turned up slowly and saw Chiqui’s face. He was saying something, screaming at her like a mad dog, but she couldn’t hear. Flaco pulled her up, as she started to regain hearing.

“Mind your own business, you fucking whore, or I’m gonna rip off your ear the next time!” Flaco dragged her down a corridor, everybody looked at her as she passed. She was still dizzy from the hit, and she could barely keep her balance. Where am I?

Finally, they stopped outside an empty, dirty room. Flaco tossed her to the floor and left. The pounding in her ear was all she could focus on, and then Chiqui was there again, barking like a dog.

“We want the phone numbers of your family members in the United States!”

Mariela gave them a false phone number. For a while nobody answered, as both Chiqui and Flaco tried to reach Mariela’s family. After three days, a woman answered, and she said she didn’t know Mariela, but she managed to fool them, telling them that she probably didn’t remember her very well because she wasn’t direct family. This lasted almost a week. Meanwhile, they ate once a day, their hands were tied, and they could stand only to go to the bathroom. Each day that passed, Mariela invented something that kept Chiqui and Flaco believing that they were dialing the right number. Mariela knew they would find out sooner or later, but she couldn’t let herself think about what might happen then. I’ll kill myself before I let them rape me. But how?

Flaco stepped into the room with some food; he threw it to the others, looked at Mariela, grabbed her, and dragged her to an empty room. Her worst fears were coming true. They knew. She could handle the beating, but she didn’t know if she could endure being raped. When Flaco was done with her, Chiqui came in and took his turn.

“We are going to take you to Reynosa to meet the boss. There you will give us those numbers”.

Mariela woke up because of the pain. Slowly she opened her eyes, she saw the others getting up, scared but moving. What were they doing? A sharp pain pierced her leg, it reminded her of the pain in her ear and the many bruises she now had. She moaned just a bit but was too tired to move. They had been there more than a week, with almost no food or water, confined in that room, sweating all day and night because of the unbearable heat.

She felt a hand pulling her hair.

“Move, you fucking whore, move!” said the now-familiar barking voice. Chiqui pushed her outside. After a week indoors, the sunlight was blinding. Flaco and six armed men pushed her group back into that cattle truck.

The cattle truck went fast. Sometimes it pulled over to the side of the road for 15 or 30 minutes, while the driver waited for his partner to see if the road was free from military checkpoints or to pay off any authority checking the road. Sometimes, while they waited, Chiqui and Flaco seized the moment to rape Mariela again, in plain sight of everyone else. It took two days get to their destination: Reynosa, Tamaulipas. Mariela vaguely remembered something about a boss.

By the middle of the year 2009, mass migrant kidnappings were already a national concern. The statements of victims declaring that immigration officers, federal and local police agents were accomplices of los Zetas were rising in number. The federal government mostly denied it all, like any dependent addict. Corruption is like a drug, it makes you feel invincible just when you are about to crumble. Despite the accusations made about the federal police and its connections with los Zetas, in the name of the “drug war” these same police forces were getting brand-new, powerful weapons, high-tech vehicles, and special training to fight against organized crime.

Especially troubling to human rights organizations was the deal struck between Mexico, The United States, and Central America in 2008, the Merida Initiative. According to the March 2011 Mérida Initiative factsheet from the US Department of State, this agreement provides 1.5 billion dollars to Mexico, Central America, and the Caribbean to fight the war on drugs in Mexico and Central America. It provides training and equipment to the Mexican armed forces to conduct counternarcotics operations.

Technically the Merida Initiative does not give weapons or cash directly to Mexico. Rather, it provides funds to buy helicopters, planes, and other high-tech military equipment from private US defense contractors. It also funds US security firms to train police forces and the Mexican military. There have been widespread and well-documented reports that this training includes the controversial “enhanced interrogation techniques” developed for the “War on Terror”.

Human rights violations by the army and police forces have more than doubled since the launch of the drug war. Many of these incidents are things like illegal searches, but the allegations also include rape and torture at the hands of authorities. This is not surprising when the police forces are so heavily linked to the organized crime groups against whom they are supposed to be fighting. A 2011 report by Human Rights Watch details the human rights abuses committed by the Mexican government in the name of fighting organized crime.

While the Merida Initiative does not officially provide arms to this conflict, most of the weaponry used by all parties in the drug war can be traced back to the US, whether obtained illegally or legally. In fact, according to the US Congressional report “Halting US Firearms Trafficking to Mexico”, some 70% of firearms found at crime scenes in Mexico came from the US.

***

In Reynosa, Mariela and the others were taken to a big house with two floors. Things moved faster here than in the other house: there were guns everywhere, people coming and going, cell phones ringing, the particular sound of the radios from the top floor. Mariela and the rest of the group were taken to a room where they were photographed, and a woman named Marleny wrote down their names. There were also two big televisions, announcing news from all over the country and the United States, and three fat guys who watched their every move.

There were women who had bandages on their hands; some of them were crying, others were silent, their eyes betraying that they were gone, absent.

“They cut their fingers off because they didn’t want to give the phone numbers”, said Marleny, with a familiar accent.

Mariela glared at her, her pain turning to rage, built up from all the beatings, the screams, the useless begging to God and then to merciless men … that accentshe is from Honduras like mehow dare she!

“Traitor!” Mariela screamed as she lunged at Marleny. She hit her as hard as she could before the three fat men grabbed her and took her out of that room. They beat her so badly she lost consciousness. Later, when she could barely open her eyes, she recalls hearing Marleny say, “Rape that whore”.

She was too weak to realize what was happening. Some men took her to a room and then more men came and raped her. She doesn’t remember how many; she lost count.

It felt like needles in her face. It was ice-cold water. She woke up, she was still there, trapped in that house. She stood up, Chiqui was barking at her again. He took her up stairs to see Echevarria, the boss.

A tall, white, skinny man with an eagle-like nose appeared at the top of the stairs.

“So first you tried to fool us, and then you tried to beat up Marleny. You are going to give us those numbers or I’m going to cut your fingers off. You see, those women really didn’t have any numbers to give. They proved it with their fingers”.

Mariela’s heart was beating fast. She started to cry. She was lost. She was broken. She gave her sister’s number.

“I’m sorry Yesenia…” she said, when her sister answered the phone.

“They got me you know…” she sobbed. Chiqui took the phone away. That would be the last time she would speak with her sister for a long time. They demanded $5000 for her. It doesn’t matter if she pays; they will never let me go.

Three days after that phone call Yesenia paid, but, once again, Mariela’s fears were warranted. They did not let her go. Mariela couldn’t remember the last time she took a shower. It could have been months.

She had lice and painful, itchy sores on her body. She decided to die, the only way she could think of. She stopped eating.

A guy from the kitchen, another man called Flaco, tried to help her. Even dirty and broken, Mariela was a beautiful woman, and perhaps because of this Flaco took pity on her.

“I’m going to help you, but you have to be able to stand up. So you have to eat”. So she did. Maybe he wanted something from her too, but she would do anything to escape this hell.

The sunset was the sign for the group gathered at the shore of the Río Bravo, that they would soon cross the border and into the desert. Mariela watched the coyote talking with the Zeta lookouts guarding the river. In all the stories she’d heard about them, she remembered someone saying, “Nobody crosses the border here without their permission, every person must be reported and the fare paid”.

“You are going with that group,” said Flaco.

She mingled with the group, crossed the river and walked for hours. She was thinking about her sister when the U.S. border patrol started to chase them. She tried to run, but she fell immediately. She was still too weak. After being apprehended, Mariela was hospitalized for seven months, slowly recovering physically from months of beatings, malnutrition, and inactivity. Once she was deemed well enough to be released, she was deported back to Honduras on March 3rd, 2010. She couldn’t quite calculate how long she had been held captive, but she knew it had been well over a year since she left.

The chatter in the bus fell silent as the Caravana participants realized they were entering Tierra Blanca. Unlike in the other cities the Caravana had passed through, there were no crowds of supporters waiting to greet the buses. There wasn’t a welcoming parish with a simple hot meal prepared for the tired travelers. There was pouring rain, a chill in the air, and a cold, damp gymnasium offering a concrete floor for people to sleep on.

Mariela was nervous. There was something powerful about hundreds of people, migrants, victims, their family members, and supporters, pulling into Tierra Blanca. But the hush that fell over the crowd came from a mix of awe and anxiousness. This was Zeta territory. The notoriety of the priests leading the Caravana and the gaggle of press following its every step had kept everyone safe until now, but Mariela knew that there are no guarantees with the Zetas.

Because of Tierra Blanca’s infamy for Zeta kidnappings, the meeting had to happen here. The special rapporteur for the rights of migrant workers and their families from the Interamerican Commission on Human Rights, Felipe Gonzales, was coming to Mexico in July of 2011. He was invited in by the Mexican government, according to protocol, and his preliminary itinerary consisted of meeting with the now-famous Mexican priests who defend migrants and run shelters, heads of NGOs, and government representatives from various states. The many different organizations that make up the Caravana knew that this would not be sufficient to really understand the violence migrants face in Mexico. Gonzales had to come to Tierra Blanca and he had to hear from victims themselves. He had to hear from Mariela.

The Caravana Paso a Paso Hacia La Paz (Step by Step towards Peace) had a symbolic importance and a practical purpose. It combined public action, calling attention to the violence and injustice migrants face, with a private meeting, giving direct testimony to a representative of an important international organization. There had been marches and vigils in each city the Caravana passed through, making its way from Mexico’s southern border to Veracruz. In Tierra Blanca, though, the presence of the Caravana held more weight, bringing light to the very place where migrants travel in the shadows and the Zetas rely on the darkness to carry out their kidnappings.

For a few hours, the Caravana occupied the train tracks in Tierra Blanca, holding a press conference in the very place where migrants are kidnapped while officials look the other way. Then, those who had been victims of kidnapping or family members who had had loved-ones disappear while trying to make their way through Mexico had a private meeting with the Rapporteur. This meeting had to be strictly confidential. The organizers suspected that the Caravana had at least a few Zeta infiltrators.

As person after person described in detail to the Rapporteur the horrors suffered in Mexico, the Rapporteur and his team were sickened.

He heard a dozen testimonies, each more emotional than the last. Mothers described the heartbreak of losing their children who had left home to try and help the family financially. A young man broke down in tears as he recounted being kidnapped only a few months earlier in Tierra Blanca. Mariela shared her story.

Shell-shocked from the testimonies, the Rapporteur and his team thanked the organizers for bringing them to Tierra Blanca, for making them listen to these testimonies straight from the people who had lived them first hand.The Rapporteur has yes to issue its full report on its visit to Mexico, but its preliminary observations were released almost immediately, based largely on the testimony it heard from migrants like Mariela in Tierra Blanca.

Mariela was exhausted, depleted, but she spoke about a reality that for most people, even many migrants on top of a fright train, was unimaginable. She was proud of herself for telling the truth. Maybe if people know the truth, they will put a stop to this.

Before sunset could heighten the dangers of Tierra Blanca, the Caravana moved on, headed towards Mexico City to lobby the Mexican legislature for immigration reform, including demanding a temporary visa for the Caravana participants. For a day, at least, Tierra Blanca had not belonged to the Zetas.

 Mariela is not this woman’s real name. Throughout this article we will use pseudonym.

This article was originally written in 2012.