The Costa Rican Oil Refinery (RECOPE) will oppose the opening of its current monopoly of fuels.
This was announced by Sara Salazar, executive president of the company, who indicated that such possibility would be “inconvenient and contrary to national interests.”
In Salazar’s opinion, opening the monopoly to competition would put the country at a disadvantage and the institution, created 50 years ago, in a state of vulnerability.
According to the hierarch, the investment that has made RECOPE in infrastructure, which is estimated at about $691 billion since its inception, is not appreciated either.
We are concerned that all this development is put at risk by a legally ambiguous bill,”
said Salazar.
According to Mayid Brenes, legal director of the state entity, the proposed project for a possible referendum does not establish conditions for stakeholders to participate in the supply chain nor does it guaranteed operation in free competition.
In addition, according to RECOPE, the supply of domestic demand would not be guaranteed.
Brenes also questioned the creation of a “superior body of the expropriating entity,” which would have the power to impose easements and expropriations. Neither does the project clarify which will be the administrative organ of the entity.
According to Luis Carlos Solera, under the current conditions, this would favor another monopoly or oligopoly in the hydrocarbons market.
RECOPE authorities also claim that the opening would not be accompanied by a process of strengthening the institution, as it happened with the Instituto Costarricense de Electricidad (ICE) and the National Insurance Institute (INS), during the opening of mobile telephony and insurance monopolies.
They also insist that the main criticisms come from opponents of the entity’s collective agreement, an item that represents 1% of the sale price of hydrocarbons.