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2 - The legal framework

Published online by Cambridge University Press:  22 September 2009

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Summary

As early as 1915 the government was already considering how to improve its control over an oil industry which was still very small. In his annual report for 1916 Manuel Díaz Rodríguez, then the Minister of Development, announced that the first task towards achieving this end was to set up a proper filing system from which the mining titles and all related information could be easily retrieved. He also saw the need, already suggested by the Council of State in 1914, to separate the oil industry and the coal mines from the mining industry as a whole. The present mining legislation had been drawn up as the best way to manage gold and copper mines, but the law did not adequately cover the extraction of oil. In drawing up new legislation Díaz Rodríguez stressed the need to specify the characteristics peculiar to each mining group. Moreover, the Minister alluded to the tortuous and disorganized manner in which mining titles were obtained, and the great delay caused by Congress having to approve them. It was necessary to streamline the whole procedure by allowing the Executive to award concessions without congressional approval. This did not mean that the Executive would be given a free hand because, Díaz Rodríguez argued, the award of an oil concession was merely an administrative measure since the terms of the contract were given in the law itself. As no negotiation of the terms took place, congressional approval was unnecessary because it did not increase any safeguards.

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Publisher: Cambridge University Press
Print publication year: 1983

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  • The legal framework
  • B. S. McBeth
  • Book: Juan Vicente Gómez and the Oil Companies in Venezuela, 1908–1935
  • Online publication: 22 September 2009
  • Chapter DOI: https://doi.org/10.1017/CBO9780511523939.004
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  • The legal framework
  • B. S. McBeth
  • Book: Juan Vicente Gómez and the Oil Companies in Venezuela, 1908–1935
  • Online publication: 22 September 2009
  • Chapter DOI: https://doi.org/10.1017/CBO9780511523939.004
Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

  • The legal framework
  • B. S. McBeth
  • Book: Juan Vicente Gómez and the Oil Companies in Venezuela, 1908–1935
  • Online publication: 22 September 2009
  • Chapter DOI: https://doi.org/10.1017/CBO9780511523939.004
Available formats
×