Chavez Proposes OPEC Sell Cheap Oil to Poor Countries

Venezuelan President Hugo Chavez is proposing that OPEC should sell oil to poor countries at dramatically lower prices than those paid by wealthy nations, says the International Herald Tribune.

Chavez will ask members of OPEC to consider a plan to aid poor countries struggling with rising oil prices, as a summit this weekend. “I would sell oil to a rich country at US$100 (€68.50), and to a poor country perhaps at US$20 (€14)” a barrel, Chavez said. “That breaks with the schemes of capitalism”

“We’re going to try to obtain the support, if not of all OPEC countries, of some of them, and of other major producers to design a formula thinking of the coming years,” Chavez said. OPEC supplies about four out of every 10 barrels on world oil markets.

Chavez said he believes it is time for the cartel to “raise its level of political action.” How about investing in renewables?