Portuguese 
English 
Spanish 
3 min of reading 
0 comments 
Despite The Resources Generated, Producing Regions Suffer From Lack Of Basic Services, Environmental Degradation And Low Transparency In The Use Of Public Funds
The port of Mazán, in the Loreto region of the Peruvian Amazon, is a portrait of neglect. Even being a route for the oil extracted in the area, the city faces serious deficiencies. Corroded ramps, debris piled up on the banks of the Napo River, and barefoot children playing among the trash make up the daily scene.
Precarious Infrastructure Of Mazán
Mazán lacks adequate urban infrastructure. The city has electricity only for a few hours a day. Potable water arrives two or three times a week.
The majority of the population relies on fishing and agriculture, but more than half of the families cannot afford even a basic food basket per month. In 57% of households, there is no bathroom.
-
90 billion barrels of oil, 1.669 trillion cubic feet of natural gas, and 84% of probable reserves in offshore areas are under the Arctic, and the melting ice that opens maritime routes and exposes this energy treasure is turning the North Pole into a strategic dispute between the USA, Russia, China, and Canada for oil, gas, navigation, and military power.
-
IBS and CBS regulations change credit reimbursement and raise financial alert in the oil and gas industry
-
China puts into operation the largest shallow lithology offshore field in the country, with 79 wells, heavy oil, and a production of 20,000 barrels per day.
-
Petrobras announces an investment of R$ 2.8 billion in Amazonas to expand natural gas production in Urucu and modernize the river fleet, boosting energy, logistics, and the regional economy with new vessels adapted for operation in the Amazon.
The precariousness contrasts with the volume of resources that should be available. More than R$ 22 million is expected for the municipality by 2025.
This amount represents 64% of the entire municipal budget. The transfers come from oil exploration in Loreto, but the resources do not effectively reach the population.
Promise That Is Not Fulfilled
Oil extraction began in the region in 1971, with the state-owned Petroperú discovering the first reserves in the Corrientes River basin.
Over the years, several national and foreign companies have started operating in Loreto. Today, the activity remains intense, but social benefits are still not visible.
There are two main revenue collection mechanisms concerning natural resources in Peru. One of them is the “royalty,” a direct payment from companies to the government. The other is the “canon,” a transfer of part of the oil companies’ income tax to states and municipalities.
Mazán has been receiving the petroleum canon for about 20 years. Still, the reality remains stagnant. Other cities in Loreto have also not recorded social or structural improvements. Instead, areas previously occupied by forest now serve as makeshift garbage dumps.
Precarious Situation Of Mazán: A Pattern That Repeats
The report, produced by the team from OjoPúblico in October 2024, is part of the series “Until The Last Drop,” which investigates the impacts of the oil industry in the Amazon. The content has also been reproduced by InfoAmazonia and Colabora.
According to the report, the case of Mazán is not an exception. The oil industry promises prosperity, but delivers social and environmental impacts. The majority of the profits benefit a few, while entire communities face the negative effects of the activity.
The series compares the Peruvian situation with similar scenarios in Brazil. Juliana Aguilera from ClimaInfo highlights issues in cities like Macaé and Maricá in the state of Rio de Janeiro, as well as municipalities in Maranhão.
Journalists André Borges and Ruy Baron identified the same pattern in Coari and Silves in the Amazonas, referred to as the “Amazonian Dubai,” where the resources did not result in development for the local population.
Indigenous Communities Are Left Behind
In Peru, there is a requirement that 5% of the revenues received from oil exploration be invested in affected traditional and indigenous communities.
However, according to economist Roger Grández Ríos, director of the Socioeconomic Development Institute of Peru, the implementation of this rule has been a “failure.”
The indigenous populations continue to lack adequate support, despite being among those most impacted by the activity. Furthermore, environmental damage continues to accumulate.
Oil Spills And Environmental Emergencies
According to the National Human Rights Coordinator, the government of Peru recorded 1,460 emergencies due to oil spills between 1997 and May 2023. Of these, 831 cases — equivalent to 57% — occurred in the Amazon territory.
The series “Until The Last Drop” also revealed the actions of oil companies in Brazil seeking IBAMA’s license to operate at the mouth of the Amazon, as well as showing the environmental impacts caused by Exxon in Guyana and the damage to indigenous communities in Colombia.
With information from Climainfo.
Be the first to react!