President Daniel Noboa has declared a 60-day Ecuador state of emergency across seven provinces following widespread protests on Tuesday sparked by the removal of a long-standing diesel subsidy.
Protests Erupt After Diesel Subsidy Removal
The Ecuador social unrest began after the government announced the elimination of the diesel subsidy on Friday, with the change taking effect Saturday. The move caused the price of diesel to increase overnight from $1.80 to $2.80 per gallon.
In the capital city, demonstrators clashed with the national police during the Quito protests, dismantling fences. Law enforcement responded by firing tear gas into the crowds to disperse them.
Details of the Ecuador State of Emergency
President Noboa issued the decree to address a “severe internal disturbance” and mobilized the armed forces and police in the seven affected provinces. This is the government’s primary Daniel Noboa protest response to the unrest.
According to the U.S. embassy in Ecuador, forces were mobilized in order “to prevent the interruption of public services and maintain freedom of movement for the general population.” The U.S. State Department currently advises Americans to “exercise increased caution” in the country.
The embassy clarified that the declaration “does suspend the right to freedom of assembly at all times for any gatherings that seek to interrupt public services.” However, it does not restrict public movement or establish a curfew.
Government Cites Fiscal Burden for Policy Change
The government defended the Ecuador diesel subsidy removal, arguing the policy disproportionately benefited higher-income individuals. The subsidy had been in place for decades, and previous administrations faced public opposition when attempting to remove it.
“For decades, the diesel subsidy represented a $1.1 billion burden on fiscal accounts, without truly reaching those who needed it,” the government stated. Many Ecuadorians remain concerned that the removal will directly impact the nation’s poorest.
Funds Redirected to Social and Transport Programs
Officials plan to redirect funds saved from the subsidy elimination toward social programs. The government will also allocate $220 million to the transportation sector to prevent fare increases in public transportation.
A price stabilization mechanism is scheduled for implementation on Dec. 11 to protect consumers from global price swings. Details of how the mechanism will work have not yet been clarified.
