Chavez set to receive decree powers in Venezuela

CARACAS (Reuters) - Venezuela's Congress delayed by a day on Tuesday its vote to give President Hugo Chavez decree powers enabling him to nationalize oil and utility assets and press his drive to turn Venezuela into a socialist state.

Congress, which has no opposition lawmakers due to a boycott of elections in 2005, had been set to approve the measure on Tuesday but postponed action until Wednesday to hold an unusual open-air voting session in Caracas's central square -- increasing public exposure.

If passed as expected, the vote will empower Chavez for 18 months to issue decrees expected to overhaul the OPEC nation's economic landscape by imposing state controls over such sectors as energy, mining and banking.

Condemned by the opposition as an abuse of power by a dictator-in-the making, the powers would consolidate the anti-U.S. leader's control over Venezuela after he won a landslide re-election last month.

The move is part of a strategy to centralize power around Chavez, who is closely allied with communist Cuba. He has vowed to use his mandate to strip the central bank of its autonomy, eliminate presidential term limits and form a single party from the dozens of groups supporting him.

"This 'Enabling Law' transforms the president of the republic of Venezuela into an emperor -- Emperor Chavez," said Teodoro Petkoff, a leader of an often-divided opposition that has failed to stop the president amassing power.

Previous presidents won such powers to steer Venezuela through financial turmoil. Despite an economic boom, Chavez says he needs the approval to accelerate a "socialist revolution" he began when he first took office in 1999.

AS MANY AS 60 DECREES

Aides predict he could implement up to 60 measures through decrees.

He plans to take a majority stake in multibillion-dollar oil projects run by some of the world's biggest companies and nationalize the country's flagship telecommunications and electricity companies.

Chavez has also pledged to change the constitution to redraw electoral districts' in a nation of Andean mountains, Caribbean islands and Amazon jungle, and to fire provincial authorities. The opposition says these moves will emasculate regional leaders.

With the president increasingly in control of institutions, there has been little debate among lawmakers about granting the powers.