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Archive for October, 2007

Peruvians shell out more for Internet connections

Friday, October 19th, 2007

Peruvians are paying at least 40 percent more for Internet service than their neighbors in Chile, Colombia, and Argentina, according to a report. The “Cisco Barometer of Broadband in Chile, 2005-2010” report says Internet connections between 256 kilobytes and one megabyte cost US$67.52 in Peru, US$39.95 in Chile, US$34.09 in Colombia, and US$16.57 in Argentina.

Compared with international prices, Peru also ranks among the highest for Internet services. A report released in July 2007 by the Organization for Economic Co-operation and Development (OECD) says 10 of its 30 member countries pay less than US$20 per month for a 256 kilobyte connection. Sweden pays the least, at US$10.79, and Mexico pays the most, at US$52.36. The United States pays US$15.93.

There is little competition among Internet providers in Peru. Telefónica del Perú - a subsidiary of the Spanish telecommunications giant of the same name – provides 90.9 percent of Internet service according to daily newspaper Correo. The next four biggest companies provide less than seven percent combined.

Peru rattled by aftershock of corruption following earthquake

Thursday, October 18th, 2007

The magnitude-8 earthquake that rocked Peru’s southern coast last August has been called the earthquake of corruption, as accusations of government mismanagment and profiteering continue to shake out.
On August 20, Peru’s National Police found 76 bags stuffed with 330 pounds of donated food and clothing hoarded in the house of María Rosas García, a civil defense coordinator from La Victoria district in Lima. Shortly after, Juan Enrique Mendoza, the regional governor of quake-devasted Pisco, complained that officials from the comptroller-general’s office were unnecessarily withholding food, clothing and medicine.
Another 15 people from the Seguro Integral del Salud (SIS), a division of the Health Ministry, are currently under investigation for allegedly taking kickbacks on the purchase of overpriced food rations. Among them is Julio Espinoza Jiménez, the former head of the division.
Within two days of the earthquake, the Plamol shoe company overcharged SIS more than US$700,000 for 219,000 food rations. Local media started asking why the bid was awarded to a shoe company.
Espinoza Jiménez says Peru’s Health Minister Carlos Vallejos cleared the purchases. Vallejos denies the claim. During an interview with IPS news service, Congressman Renzo Reggiardo said “the officials who committed irregularities are mid-level. They couldn’t have acted alone, on their own. There must be people higher up who have backed these irregular activities.”

Peru government compensates victim of HIV-tainted blood supply

Sunday, October 14th, 2007

Peru’s health minister handed over a $100,000 compensation check to one of four patients infected last April with HIV during blood transfusions at the Daniel Alcide Carrón National Hospital in the port city of Callao. This is not the first time patients have been infected with HIV at a national hospital in Peru. In 2004, eight people - several of them newborns – contracted the virus during blood transfusions at Lima’s Prenatal Maternity National Institute. According to the Washington-based Pan American Health Organization, up to a quarter of the supply in Peru’s blood banks is not properly screened.

Peru suspends Río Blanco operations ahead of environmental talks

Friday, October 12th, 2007

The Peruvian government has suspended activities at the Río Blanco mining project ahead of negotiations on Oct. 29 to address environmental concerns. The mining project has been at the center of controversy between environmental NGOs and the mining industry since 2003, when it was approved by the Peruvian state.

Proponents argue the mine will bring $65 million annually in taxes to the region, badly needed social services, and over 12,000 jobs after its planned start-up in 2011. But critics say it will contaminate the environment and jeopardize agriculture, which fuels the local economy. Prime Minister Jorge del Castillo, who will attend the meeting in the northern Department of Piura, told reporters, “We are going to look for solutions in order to preserve the environment … then we will see if the mine is possible or not.”

The mine was purchased earlier this year by Zijin Consortium of China from London based Monterrico Metals. Monterrico Metals estimates the Río Blanco project will be one of the largest copper mines in the world during its first five years of operation.