Introduction
The quote, “Sometimes not making noise is not being quiet,” by an anonymous author, encapsulates the current situation in Ciudad del Carmen, Mexico. Despite over 40 years of oil exploration and exploitation in the Campeche Sonda, this city has become entangled in a web of broken promises and unfulfilled expectations.
The Oil Industry’s Impact on Ciudad del Carmen
The harsh reality of the social situation in Ciudad del Carmen is marked by frustration, exhaustion, and a sense of being abandoned. Local suppliers have invested their capital to provide services to PEMEX, a struggling state-owned company. However, the company has failed to pay its debts to these suppliers, leaving them in a precarious position.
A History of Unfulfilled Promises
Ciudad del Carmen’s story is one of unkept promises, with various Campeche governments acting as mere spectators to the indiscriminate oil extraction, benefiting neither the local population nor neighboring countries that have recently received oil gifts. The Ixtoc explosion in the late 1970s and subsequent minor spills have had minimal environmental impact, with little to no compensation despite the existence of a commission in the Chamber of Deputies.
The Current Economic Crisis
Today, the challenge is immense. The debate is no longer about whether there is an economic crisis in Campeche’s most important municipality, Ciudad del Carmen, which is drowning in despair and neglect. PEMEX has not paid property taxes or potable water bills to the municipality for years, leaving little to no benefit for those who do not rely on the oil industry.
Tourism: A Potential Solution
Tourism is the key to Ciudad del Carmen’s revival, yet it remains an elusive prospect. There are no investors due to the lack of infrastructure and incentives to sustainably develop long-term tourism benefits for service providers, hotels, and restaurants.
Educational and Infrastructural Investments
To become a tourist destination, Ciudad del Carmen needs to invest in education and infrastructure. When the Mexican oil company arrived 40 years ago, it was acknowledged that oil is a non-renewable resource. The question now is whether the oil exploitation will be enough to pay off creditors, considering the current situation.
Population Growth and Oil Dependence
The population has grown from 37,000 to nearly 300,000, with many more floating in and out. The aspiration to earn money as an oil platform employee continues to attract people to the area.
Declining Oil Production
In October 2021, Mexico produced 1.64 million barrels of oil daily, with more than 60% coming from the Campeche Sonda. However, this number is on a downward trend, with production at over 3 million barrels daily in 1981-1982. The excessive exploitation has finally caught up, leaving Ciudad del Carmen in an economic quagmire.
Unanswered Questions
- When will PEMEX pay its debts to the struggling suppliers in Ciudad del Carmen? The lack of payment has left many local businesses in a precarious position, unable to sustain their operations.
- What measures will be taken to stimulate tourism in Ciudad del Carmen? The city lacks the necessary infrastructure and incentives to attract investors and develop a sustainable tourism industry.
- How can Ciudad del Carmen’s population transition from an oil-dependent economy to a more diversified one? With the declining oil production, it is crucial to invest in alternative sectors such as education and tourism.