Building a Lawful Foundation for a U.S.–Venezuela Energy Reset

Recent communications from the United States government regarding a potential comprehensive energy agreement between the United States and Venezuela represent one of the most significant policy shifts in the Western Hemisphere in decades. While the United States possesses the economic, political, and technical capacity to promote a framework of this nature, such capacity alone does not guarantee its success. Historical experience demonstrates that any sustainable reconstruction depends, above all, on its legal foundation, institutional legitimacy, and constitutional continuity.

Sovereignty as an indispensable legal foundation

The Venezuelan Constitution unequivocally establishes that natural resources belong to the Republic (Article 12) and that the hydrocarbon industry is reserved to the State, with PDVSA maintained as a wholly state-owned company (Articles 302 and 303). These provisions do not prohibit foreign investment or international commercialization; on the contrary, they require that such participation be structured through legally and constitutionally compliant mechanisms that respect national sovereignty and institutional order.

Legally authorized structures.

Disregarding this framework renders any reconstruction process vulnerable to misappropriation, thereby weakening both domestic legitimacy and international confidence.

The central role of legislative authorization

Article 150 of the Constitution requires the approval of the National Assembly for contracts deemed to be of national public interest. This requirement is not a mere administrative formality; it constitutes the primary legal safeguard against future nullities, arbitrations, and international litigation. Venezuelan history indicates that agreements executed without legislative backing remain vulnerable to political reversals and protracted legal disputes, therebydirectly affecting investors and international partners.

Emergency powers within constitutional limits

Articles 337 to 339 provide for states of economic emergency that permit the adoption of temporary measures to stabilize production and ensure the provision ofessential services. However, these powers operate within clearly defined constitutional limits and require judicial oversight and legislative ratification. When properly applied, they offer legal flexibility; when misused, they constitute evidence of institutional breakdown.

Toward a defensible legal architecture

A sustainable energy framework between the United States and Venezuela should rest on five fundamental pillars:

• Recognition of a Venezuelan transitional authority grounded in constitutional restoration.

• Issuance of an Economic Emergency Decree in accordance with the Constitution.

• Approval by the National Assembly of a Special Hydrocarbon Recovery Law.

• Contractual structures centered on PDVSA.

• Trust or custodial mechanisms with Venezuelan ownership, transparency rules, and sunset clauses.

The United States can play a constructive role in Venezuela’s recovery. However, lasting success will not be measured by speed or control, but by the legality and legitimacy of the process. Power may open the door; law is what allows a nation to walk through it and remain standing.