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48 | SERGIO C. TRINDADE oil, gas, and ethanol matters is again being handled with patience and diploma- cy. Brazil’s experience demonstrates that when a country is significantly larger than its many neighbors, sustainable peace and cooperation in exploring resources of joint interest is best achieved via diplomatic negotiation. NOTES 1. See José Miguel Insulza, “Energy and Development in South America,” in this volume. 2. Canambra Engineering Consultants Limited is a consortium of international engineer- ing companies whose experts were tasked with carrying out a survey of energy resources in Brazil in the 1950s. [Eds.] 3. Furnas is the largest power utility company in Brazil. 4. The Group of Three (G-3) is a Free Trade Agreement involving Mexico, Colombia and Venezuela, signed on June 13, 1994, which entered into force on January 1, 1995. 5. To understand this episode, one must recall that there were long-standing disputes between these four countries over their boundaries and navigation rights on the large rivers of the region and mutual interference into the internal affairs of each other, and that Solano López had great ambitions to extend power and influence in the region. Energy and Bad Luck in Bolivia Humberto Vacaflor INTRODUCTION In the Jiangsue province of China, there is a city with an odd name. It is called Wuxi, which means “without tin.” As a young journalist coming from Bolivia—a country with many tin mines, tin miners, and tin cities—I was surprised to hear that 3,000 years ago, people living in Wuxi were sure that bad luck reigns anywhere that there is tin. The idea in that part of China appears to have been that in every place where one found tin or any raw material, people had the money to buy every- thing they needed and therefore forgot to work the land or to produce food. Therefore, the name Wuxi became something of an amulet to ward off bad luck. In Bolivia, miners used to link not only tin but any metal to the devil. In 1946, Augusto Céspedes, a Bolivian writer, wrote a historical novel about the corrosive influence of tin—the country was once a global leader in tin production—in Bolivian economic and political life. The title of the novel is El metal del diablo, or The Devil’s Metal. I would like Bolivia to become a Wuxi country. That is, a country that is not plagued by the deindustrialization, instability and overall bad luck that accompanies an abundance of natural resources such as tin.1 A BRIEF HISTORY OF NATURAL RESOURCES IN BOLIVIA Bolivia’s history is replete with disasters related to minerals. The last two inter- national wars fought by Bolivia broke out because our neighbors, the Chileans, decided to appropriate Bolivian territory rich in raw materials. In the first of these wars, which took place between 1879–1884, Chile wanted to exploit the sulfur and nitrate deposits found in the former Bolivian province of Atacama. At the time, sulfur and nitrates were used for explosives and fertilizer. When sul- fur lost its value, Bolivians thought that the territory would be returned toPDF Image | Energy and Development in South America
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