Politics or Not, Bronx Warmly Receives Venezuelan Heating Oil

By Michelle Garcia
Washington Post Staff Writer
Thursday, December 8, 2005
http://www.washingtonpost.com/wp-dyn/content/article/2005/12/07/AR2005120702245_pf.html

NEW YORK -- A green Citgo tanker truck chugged up a hill with a grim view of tenement buildings, elevated subways and treeless sidewalks to deliver Venezuelan heating oil, a "humanitarian" gift from Venezuelan President Hugo Chavez.

Moments before the orange-gloved worker snaked the hose to a Bronx tenement, Eartha Ferguson, a manager and resident of a low-income building, said: "I call it a gift of survival. It comes at a good time, a very needed time."

Chavez's gift, which arrived on Tuesday and is being distributed this week, may be nothing more than a chance to tweak the nose of the Bush administration, which has long opposed the South American leader. But few residents in the South Bronx, where 41 percent live on incomes below the federal poverty line, are inclined to worry about international politics.

Citgo Petroleum Corp., which is controlled by the Venezuelan government, signed a deal with three Bronx housing nonprofits to sell 5 million gallons of heating oil at 45 percent below the market rate, an estimated savings of $4 million. The discounted oil will heat 75 Bronx apartment buildings, housing 8,000 low-income working poor and elderly tenants.

Officials with Mount Hope Housing Co., Fordham Bedford Housing Corp. and VIP Community Services -- which have organized tenants and rehabilitated low-income apartments for several decades -- say savings from the cheap oil will allow them to reduce rents temporarily and invest in neighborhood social programs.

"A lot of families are struggling," said Lenice Footman, who hopes her $600 monthly rent will be reduced. Neighbor Dionne Morales agreed, saying she is overlooking the criticism directed at Chavez. "If he can give oil to my country and help the lives of my community, I'm impressed," she said.

Chavez has sold the discounted oil in two U.S. markets, New York and Massachusetts. Citizens Energy Corp., a Boston-based nonprofit cooperative, bought 12 million gallons at a steep discount after U.S. oil companies ignored its written plea for help. Similar oil deals are in the works for other parts of New York and some New England states.

Americans face record prices for heating oil this winter, with a gallon selling for $2.41 -- a 38 percent increase from this time last year. Congress declined to provide additional funding for the federal Low-Income Home Energy Assistance Program, and Citizens Energy and other housing advocates expect that families, especially in the Northeast, will exhaust their benefits by Christmas.

White House spokesman Scott McClellan said in a recent briefing that the Bush administration expects the recently passed energy bill and efforts to expand capacity to help address the shortfall. "All of us have a role to do to help address high energy prices," he said. "And we are taking action to do so."

But on the second snow day in the Bronx, where scrawled graffiti warns pedestrians of rats, fleas and maggots, it did not escape the notice of tenants that a foreign government stepped in after Congress did not.

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