Londoners to benefit from Venezuela fuel deal

LONDON (AFP) - Up to a million Londoners are set to benefit from reduced-price transport on buses thanks to a deal between London's mayor and Venezuelan President Hugo Chavez, the mayor's office announced yesterday.

The accord was reached in February with Venezuelan state oil company Petroleos de Venezuela, and details revealed yesterday showed that London's fuel costs for its buses would fall by nearly 20 percent.

The deal means that London would save about 16 million pounds (24 million euros, 32 million dollars) on its 100-million-pound annual fuel payment to run its approximately 8,000 buses.

With the additional savings mayor Ken Livingstone, nicknamed "Red Ken" for his leftwing past, announced plans to halve the price of a bus ticket for low-income Londoners.

The deal makes it "cheaper and easier for people to go about their lives and get the most out of London," Livingstone said.

In exchange, Venezuela receives free expertise in public transport, urban development, tourism and environmental protection.

Not everyone applauded the deal, however, with Angie Bray from the opposition Conservatives describing Chavez as "a dictator with a monstrous human rights record" and that it was "morally indefensible" to take Venezuela's fuel at a reduced price.