“We believe that the exploitation of block 43 should not be banned. With this statement, the Chamber of Commerce of Guayaquil (CCG) expressed its opinion on the public consultation related to block 43 ITT (Ishpingo, Tambococha and Tiputini), convened for the following August 20.

A little more than two months before the early elections for the President and Vice-President of the Republic and for members of Parliament, voters will have to answer yes or no to the question posed in this consultation: Do you agree that the Government should keep ITT. of oil, known as Block 43, indefinitely underground?

Petroecuador will not advocate for either the yes or the ITT issue, but it has an information strategy

Through the press release, the CCG presented five points in which it considers in different ways the economic situation in which the state does not have enough resources to meet the needs of citizens.

First, he indicated that it is a “multimillion-dollar dilemma with multiple repercussions,” which is why the consultation “has the potential to change the economic future of Ecuador.” He assured that the area produces about 55,000 barrels per day, which is equivalent to 14% of the country’s total production.

“Stopping 14% of oil production and losing $1.2 billion a year will be a severe blow to the economy,” the union said.

He added: “Ecuador is facing a key decision that would affect fiscal sustainability. In addition, lower oil revenues would limit the ability to maintain, or worse increase, the item earmarked for investment in public works.

The union argued that not using it would mean that subsequent governments would have less revenue. “If the Ecuadorians decide to keep oil from block 43 underground, the next government will face significant fiscal challenges,” the chamber warned.

Collectives and unions are already preparing Yes and No campaigns within the Yasuní ITT consultation

On the other hand, they pointed out that “public consumption will continue to increase”, and in support of this thesis, they explain that the Constitution establishes annual budget increases for health and education of 0.5 percent of gross domestic product (GDP). , except Therefore, it must be taken into account that Ecuador will have to make significant payments for amortization and public debt services. “It is not possible to have lower income and higher expenses at the same time. If one is reduced, the other must be reduced. Coherence must prevail,” the union pointed out.

About $16.4 billion in less revenue would hit the state treasury if the case for leaving crude oil on ITT soil prevails, officials say, while the area’s indigenous population supports oil extraction

At another moment, he pointed out that “the medicine could be worse than the disease.” Under this argument, they said that they look with concern at the proposal to increase taxes in order to compensate and cover consumption, when “what the state needs is a lower tax burden”.