Government expected protests following the end of the diesel subsidies but insists it won’t back down

Following a day of highway closures by truckers, Transportation Minister Roberto Luque said the government will stand firm in its decision to end the subsidy for diesel fuel. The price of a gallon of diesel increased from $1.80 to $2.80 Saturday morning following a decree issued by President Daniel Noboa.

National Police arrest a man Monday who refused to move his truck from a Cuenca-Azogues autopista roadblock. The man was part of a protest of the price increase of diesel fuel.

“We are open for discussions with representatives of the transport and freight sectors regarding details of the change, but rescinding the president’s decree is non-negotiable, Luque said. “Ecuador can no longer afford the luxury of subsidizing the price of diesel.”

Luque and presidential spokesperson Carolina Jaramillo said they expected the roadblocks erected throughout the country on Monday. “We anticipated there would be protests so the attempted closure of some highways is not a surprise,” Jaramillo said. “As of 5 p.m. this afternoon, most of the roadblocks have been dismantled voluntarily or by police.”

Jaramillo added that blocking public roadways is a crime and those who disobey police orders are subject to arrest.

In Cuenca, the Azogues autopista was blocked by trucks for more than three hours Monday morning. When police ordered the road cleared, most drivers moved their trucks voluntarily but several refused and were arrested.

Late Monday, truckers blocked the Pan American highway at the Tarqui intersection south of Cuenca for about an hour before police arrived.

Trucks blocked the Cuenca – Azogues autopista for several hours Monday morning.

Although public transport bus companies threatened to suspend service, most decided against it following discussions with transportation ministry officials. “Many of the bus operators did not fully understand the compensation package we are offering that will offset additional fuel costs,” Luque said in a news conference. “We are continuing talks with the transportation companies and will resolve other issues soon.”

According to the plan announced Friday night, the government will compensate owners between $400 and $1,000 a month per unit for local and long-distance buses. Under the plan, bus companies are prohibited from increasing fares unless those are part of the normal schedule of fare adjustments. The compensation will continue for 12 months, according to the ministry.

Compensation is also being offered to freight transporters, school bus and tourist van owners, according to the government.

In addition to protests by bus and truck companies, workers’ unions, indigenous and student groups said they plan to protest the end of the fuel subsidy. “This outrageous increase will create a cascade effect that will increase in the cost of living for all Ecuadorians, with the poorest population suffering the most,” said Edwin Bedoya, president of the United Workers’ Front (FUT).

He warned that “this is just the beginning” of the elimination of subsidies, and that the government will target the subsidy for domestic gas next.

Bedoya said FUT plans protests in Quito and other major cities on Wednesday and Thursday and will join a national strike with other organizations on September 23.