LIMA, June 17 (UPI) -- The Peruvian government sent troops into the southern city of Arequipa on Monday in an attempt to curb the serious riots that have disturbed the region since Friday.
The disturbances began in the south of Peru on Friday after the government confirmed that it had privatized regional electricity providers Egesur and Egasa.
Protesters immediately took to the streets to protest the decision, which they argue will lead to job losses at the companies and higher consumer prices.
Demonstrators erected barricades and took over key buildings in Arequipa, Peru's second-largest city, and declared a rebellion against the government of President Alejandro Toledo.
"The violence in Arequipa hurts all of us and injures the national soul," Toledo said.
Hundreds of people have been injured in violent clashes in Arequipa and nearby Tacna, although only one death has been confirmed to date. Edgar Pinto Quintanilla, 29, died of wounds sustained when a police tear gas canister hit him on the head.
Some of the most serious incidents took place as police battled protesters for control of Arequipa airport over the weekend. Police fired tear gas at the crowds and some gunfire was also reported.
In response to the violence in Arequipa, the Peruvian government declared a 30-day state of emergency in the region Sunday and placed Gen. Oscar Gomez in charge of restoring order.
In a speech to the nation Sunday night, Toledo described the violence as unacceptable and urged protesters to express their disagreement with government policies peacefully.
"As president of the republic, I call for serenity, calm and responsibility," he said.
Toledo said the riots had already cost Peru around $100 million in damage to infrastructure and in lost economic activity, and he defended his unpopular privatization policy, which he said was in the region's best interests. Other officials have estimated the damage at around $15 million.
Belgian company Tractebel has agreed to buy the two electricity companies for $167.4 million, and Toledo said the money would be used to develop infrastructure and basic services in the south.
The government plans to spend $85 million of the proceeds of the privatizations on improving services, while Toledo said Tractebel had also promised to invest $90 million in the region.
"Our aim is to provide more highways and schools as well as improving the provision of health services, electricity and housing for the benefit of the poor in the south and in the rest of Peru," the president said.
Arequipa's Civil Alliance immediately rejected the president's arguments and condemned the introduction of a state of emergency as a sign of Toledo's "fascist tendencies."
The alliance's president, Luis Saraya, urged the government to hold a referendum in the region on the fate of the electricity companies. He warned that otherwise the demonstrations would continue across the south of Peru.
The Civil Alliance says Toledo had promised not to privatize the companies during his electoral campaign. The group accuses the president of lying to voters and of imposing privatization against the will of the people.
The unrest in Arequipa, which has left dozens injured, comes in the wake of another controversial government decision, namely the Peruvian Cabinet's call for the extradition of former President Alberto Fujimori for his role in two state-sponsored massacres during the 1990s.
Fujimori resides at his parents' home in Japan, where he has maintained his residence since fleeing the country following his administration's November 2000 collapse due to a corruption scandal.
The former president is charged in connection with the massacres of guerilla sympathizers by paramilitary death squads in 1991-92.
He denies the charges and maintains he would not received a fair trial in Peru.
Japan will most likely not allow his extradition, as Fujimori was granted citizenship upon his arrival. Tokyo maintains that its citizens cannot be extradited for crimes committed in other countries.
(With reporting by Owain Johnson in Santiago, Chile, and Carmen Gentile in Sao Paolo, Brazil)
