Total’s Action Is An All-Out War Against Somaliland’s Economy

[Fyr]

Total’s Action Is An All-Out War Against Somaliland’s Economy

 

Somaliland Times, Issue 176, June 4, 2005

 

Total’s Action Is An All-Out War Against Somaliland’s Economy

 

Berbera, Somaliland, June 4, 2005 (SL Times) – TOTAL, the oil company that provides oil to Somaliland, suddenly stopped selling oil to its customers on June 2nd 2005. Gas stations in Berbera and around the country and individual customers complained about TOTAL’s behavior, and the absence of any information to explain their sudden decision to stop selling oil to the public.

 

A source close to the oil company, who wanted to be anonymous explained, how the company was busy lately to root out any competition from other companies. For instance, he mentioned how TOTAL demanded from RED SEA Company; a small privately owned oil company will be allowed to use the fuel tanks only, if they paid $500,000 or deposited oil of equal amount in the fuel tanks.

 

At the beginning of March this year, RED SEA Company decided to bring a tanker to the Port, in order to use the fuel tanks, following TOTAL’s initial demands. TOTAL refused to allow the tanker to use the fuel tanks. According to our source, the Port Manager, Mr. Ali Xoor-xoor intervened and gave permission to the tanker, after two days.

 

Another bizarre act by TOTAL was to dismantle five sophisticated, state-of-the-art oil pipes, built by the Soviet Union during the late seventies in Berbera for refueling purposes and later rebuilt by the United States military to refuel, during the 1980s, when they used Berbera as a military base. The pipes were built to provide quick supply of fuel to tankers, vehicles and aircraft all at the same time.

 

According to some political analysts, the EU advised TOTAL and its government sponsors about the high cost of repair and maintenance of oil pipes. In addition the EU estimated that Somaliland uses only 2000 tons of oil each month and that small amount of oil can be used by only one pipe, they argued.

 

TOTAL decided to dismantle the sophisticated system, in order to use an old system, built by the British Shell company in the 1950s.

 

Other analysts, call the dismantling of the 5 pipes high noon robbery. They accuse TOTAL of selling the five sophisticated oil pipes to the Arab Financiers of the Port in Djibouti for the amount of 90 million dollars. How else can you justify the elimination of such incredible oil pipes and replace it for an old pipe that has to be maintained once every five years, they say. Many intellectuals call TOTAL’s action an economic war, geared towards hurting the Ethiopia – Somaliland agreement on May 28. According to these groups, TOTAL, which is based in Djibouti has an economic stake in the area. They argue that TOTAL was the only oil company serving Ethiopia’s oil needs from Djibouti, during the past decade, and that Ethiopia will be free to deal with other oil companies, if it uses Berbera as her main port of entry. . Therefore, when Ethiopia decided last week to use Berbera port, TOTAL began to sabotage the agreement between the two countries, by destroying the main oil pipes and, essentially forcing Somaliland's government to use its oil fuel tanks for local consumption purposes only. Furthermore, Somaliland’s inability to handle Ethiopia’s economic needs, will force her to use Djibouti facilities. This will in turn, force Ethiopia to use TOTAL as its main source of oil, they maintain. TOTAL will not only dominate Ethiopia’s oil needs but the company’s aim is to control Somaliland’s economy by becoming the only company that owns both the wholesale and retail of the oil in the country, the intellectuals conclude.

 

According to reliable sources, TOTAL rented several gas stations around the country already. They are also in the process of eliminating the competition entirely through their refusal to use the fuel tanks. If they succeed in doing that, they will become the only source of oil, which makes them a monopoly. In a free market economy, monopoly is not allowed, because it cripples the economy which leads to stagnation and political instability. The economic ties between Ethiopia and Somaliland will come to a standstill, if TOTAL gets away with its sinister moves, many analysts argue. It also reminds many people of the economic and political hurdles that Somaliland went through during her recent past, including the international ban of Somaliland livestock, and the role EU played. It was the EU’s research claims about Somaliland’s livestock trade, which was published on March 1997 that led to the livestock ban on November 1997. Many people are wondering if TOTAL’s war on our economy is a result of EU’s advice to limit Berbera Port for local consumption only.

[Sky]

Good news and bad news. There is a fierce competition between the Red Sea coast ports; Port Sudan (Sudan), Djibouti (Djibouti), Berbera (Somaliland) and Bossasso (Puntland). And it looks like Berbera has a tough time keeping its head above the surface of the water, because the port of Berbera is simply, badly run, badly managed, badly maintained and riddled with corruption.

 

Djibouti and Bossasso were initially the only threat to Berbera. Djibouti has made its port partly private and is being upgraded extremely. Bossasso plays the lower tariff & lenient regulation card. And its working quite well, cuz both are prospering whereas Berbera goes down the drain.

 

But now it seems that Port Sudan in Sudan doesnt mind taking advantage of all the opportunities and chances that Berbera is squandering. They became the final choice after big player Ethiopia (a large growing market of 70 million people!) were turned off at what they saw in Berbera.

 

Calaa kuli xaal, good news that Berbera is losing in the red sea ports battle. Bad news that Sudan enjoys the missed opportunities of the dirtpoor Somalis.

[wind.talker]

Originally posted by Sky:

 

good news

that Berbera is losing in the red sea ports battle.

Bad news

that Sudan enjoys the missed opportunities of the dirtpoor Somalis.

What the hell are you talking about man? How could the issue of the port of Berbera - an economic lifeline for many Somali people - loosing money be classified as good news? Also, how could the economic success (according to you) of Port Sudan be bad news?

 

The way I see it, both these facilities are economically important aspects of life in those regions. Their success or failure reflects accordlingly upon the concerned populace - which, in this case, means Somalis or Sudanese. Try to be happy for all people's hard-won successes -not just Boosaaso people's success.

[Nomadic Activist]

Originally posted by Sky:

Good news and bad news. There is a fierce competition between the Red Sea coast ports; Port Sudan (Sudan), Djibouti (Djibouti), Berbera (Somaliland) and Bossasso (Puntland). And it looks like Berbera has a tough time keeping its head above the surface of the water, because the port of Berbera is simply, badly run, badly managed, badly maintained and riddled with corruption.

 

Djibouti and Bossasso were initially the only threat to Berbera. Djibouti has made its port partly private and is being upgraded extremely. Bossasso plays the lower tariff & lenient regulation card. And its working quite well, cuz both are prospering whereas Berbera goes down the drain.

 

But now it seems that Port Sudan in Sudan doesnt mind taking advantage of all the opportunities and chances that Berbera is squandering. They became the final choice after big player Ethiopia (a large growing market of 70 million people!) were turned off at what they saw in Berbera.

 

Calaa kuli xaal, good news that Berbera is losing in the red sea ports battle. Bad news that Sudan enjoys the missed opportunities of the dirtpoor Somalis.

Do you think before you write? Seriously, how can you say its good news if the berbera port lost the econimical battle, are you driven by hate for your fellow Somali brothers that much?

[Sky]

Listen! Ports are vying to be the prime lifeline of vast amounts of people. But you make it sound like if Berbera port collapses, than the Somaliland people are in trouble. They can still use Djiboutis and Bossassos ports. And of course Port Sudans success is not bad news, but if its at the expense of a Somali port, than yes it is. Call me a patriot if it makes you feel better! :cool: Marka haa iswaalin. Im not the one obsessed about Somaliland and posting articles of which no soul understands your goal.

 

This is strictly business. There is a competition out there and Bossasso port is my team. Always coming with the: "youre so tribalist card!". Say whatever you want, but Im real and consistent. Something totally opposite to your character.

[Gabbal]

^^Walahi you're honest to goodness a xaasid. Call you a patriot :confused: Whose patriot? Caadi baaba ka dhigatay dabeecada ehlu-naarka. :eek:

[General Duke]

This is strictly business. There is a competition out there and Bossasso port is my team. Always coming with the: "youre so tribalist card!". Say whatever you want, but Im real and consistent. Something totally opposite to your character

I agree with the brothers analysis, why is Berbera a big port[ relative in Somali terms] a symbol of Somaliland falling behind? Thats the question brothers fro, Somaliland need to answer.

 

There is competition and it wontr change anything by getting all emotional.

[Gabbal]

I agree with the brothers analysis

Who thought you wouldn't? :confused:

[SOO MAAL]

Shame on Somali leaders and people

War ma maantaa lakeenay in Ethiopia loo kala dheereeyo

 

By wind talker “hard-won successesâ€

I don’t think that is success, but a complete failure of Somali people, the fact that Ethiopia uses Somali ports one against the other. Although Ethiopia is land-locked but I suspicious that Somalis are brain-locked.

 

By Sky “ This is strictly business. There is a competition outâ€

I don’t call these competition, I call these humiliation of all Somali people, why Berbara and Boosaaso competing for Ethiopian trade at any cost.

[Sky]

There is competition and it wont change anything by getting all emotional.

Exactly walaal, the ports on the Red Sea coast are competing to become the busiest ports. Fact is: Berbera port is losing this tartan to the ports of Djibouti, Bossasso and even as far away as Port Sudan. I can only see wind.talker and sidekick hornafrique politicizing the whole topic. Like I said, its business! Its very odd that a port with such high potential is doing so badly and nobody is doing anything about it.

 

By Sky “ This is strictly business. There is a competition outâ€

I don’t call these competition, I call these humiliation of all Somali people, why Berbara and Boosaaso competing for Ethiopian trade at any cost.

Bro, we would be brainlocked if we wouldnt take advantage of Ethiopias big market. Its even to Somali advantage and Ethio disadvantage if Ethiopia uses Somali ports. They will become dependant on us and we profit from hard currency and employment opportunities from their import/export.

 

 

Even now the smaller Bossasso port is eating Berbera port alive against all the odds. All the merchants prefer Bossasso port, while Berbera port has more capacity. Now Berbera is still not waking up and Bossasso port is heading towards an expansion programme.

For the clarity, Berbera ports demise is not the demise of the Somaliland people, but the demise of the Somaliland government and the famous and historic port itself.

[wind.talker]

Originally posted by Sky:

 

...you make it sound like if Berbera port collapses, than the Somaliland people are in trouble. They can still use Djiboutis and Bossassos ports

Why should they? Berbera has a viable port and should be serviceable to the people of all the surrounding areas. But, because of some Red Sea port competition, you rejoice in the current loss of momentum at Berbera port because you presume the Somaliland business community will pour their goods in from Bossaso and Djibouti ports. As you clearly stated, in the war of the Red Sea ports, you're team Bossaso the whole way:

 

This is strictly business. There is a competition out there and Bossasso port is my team.

Ah, the jibes. How I cherish the jibes.

 

...Im not the one obsessed about Somaliland and posting articles of which no soul understands your goal...Say whatever you want, but Im real and consistent. Something totally opposite to your character.

Really? What have I been 'inconsistent' about?

 

I can only see wind.talker and sidekick hornafrique politicizing the whole topic. Like I said, its business!

True, but even business should come with some measure of integrity. Like I said, the success of ANY of these ports (Sudan, Djibouti, Berbera & Bossaso) holds equal footing in my view because they're economic lifelines that benefit the concerned communities (Muslims).

 

Sidekick? HornAfrique? :confused: You must not really know the guy. We'll see what he says, though.

 

Originally posted by SOO MAAL:

 

but a complete failure of Somali people, the fact that Ethiopia uses Somali ports one against the other.

Ethiopia's use of Somali ports creates revenue for Somalis (how that's distributed and spent is a whole different matter). That's the bigger picture I look at, bro.