For 18 months, Venezuelan President Hugo Chávez will have the power to “rule by decree”, seeking to fundamentally transform the Venezuelan state and economy from a market-oriented democracy to a one-man, state-run economy.
Rule by Decree
The Venezuelan National Assembly recently passed an “enabling law” that will grant President Hugo Chávez the authority to enact laws without legislative or judicial oversight. The proposed law, for which there is express permission in Article 203 of Venezuela’s 1999 constitution, would allow Chávez to pass decrees that have the legal standing of laws in ten different areas of activity, including energy, telecommunications, finance, and defense. Chávez will have the power to alter laws that regulate government institutions and alter the distribution of wealth at his discretion – likely continuing private land appropriations – and to change existing law so that it will better fit his own definition of Venezuela’s new economic and social model. In addition, he will have complete control over Venezuela’s financial system, overriding any control the Central Bank previously held over the state’s monetary or fiscal policy. His power will extend until mid-2008, giving Chavez two-years to jump-start the next phase of his socialist state (source).
During the presidential campaign in 2006, Chávez vowed to strengthen his “Bolivarian revolution.” The enabling law will help Chavez pursue this goal. Chávez, since becoming president, has extended his executive power twice, in 1999 and again in 2001, passing 49 laws in all. However the 2007 enabling law lies in complete pliability of the National Assembly and the wide range of leftist support in Latin America (source). Critics of the president, including national and international media, in response, have accused Chávez of trying to build an authoritarian regime with all institutional powers consolidated into his hands.
A Step Toward Authoritarianism
Enacting the “enabling law” produces a system in which the executive is given the authority to devise and pass laws on his own volition rather than through discussion and consideration. In doing so, the legislature is systematically giving Chávez the authority to bypass any checks and balances created through debate. The lack of democratic deliberation could generate laws that are poorly formulated while simultaneously introducing fewer social improvements than if laws were formulated in a legislature where deliberation and negotiations were permitted. Social and economic improvements could be hindered in the long term.
A greater risk could lie with reinforcing the populace’s general mindset in Venezuela that laws from a strong leader are better than laws from democratic deliberation. This attitude results in the belief that benevolent dictatorships are the best form of governance – an attitude that would likely be very well received by Mr. Chávez (source).
Additionally, the region’s lackluster reaction to Chávez’s accelerated move toward authoritarianism is troubling. Regional governments have done little to exert regional leadership and publicly question Chavez and the future of democracy in Venezuela despite the constant barrage of disfavor from the media. This regional silence allows Chávez substantial leeway in overcoming the few checks-and-balances that exist in Venezuela.
While Chávez can only issue laws in the areas explicitly named by the National Assembly, within an imposed timeframe, Chavez has expressed a desire to eliminate term limits – technically outside of his proscribed confines. However, this move would likely be ratified by the legislature. At this time it is difficult to see any checks or balances that would stand to legitimately challenge Chávez’s decision making.
It appears Venezuela could be approaching a period of destabilization if Chavez is allowed to make unlimited fast-track decisions.
A Wider Outlook
Latin America and the international community remain perplexed by the populist, enigmatic Venezuelan president (Previous Report), who, with his “authoritarian” reforms, seeks to not only influence domestic policy but appears determined to become Latin America’s power broker. Most nations agree that Chávez poses a significant threat to democracy throughout Latin America, a disquieting fact for the stability of many neighboring states.
