Cuba on Wednesday moved to open several key crisis-ravaged sectors of its state-run economy to private firms, as the government tries to ease acute shortages resulting from a US energy blockade.

In a lengthy decree, the authorities lifted restrictions on a swathe of sectors including petrol distribution, electricity generation, rubbish collection and the manufacture and sale of medicines.

For months, daily life in Cuba has been upended by rolling blackouts, water cuts and shortages of necessities like food and medicine.

The reforms – decreed on July 22 but detailed on Wednesday by state media – seemed to target sectors linked to the most affected parts of daily life.

With piles of rubbish lining the streets of Old Havana, private firms will be able to operate waste collection and recycling services.

And with few buses or cars on the roads due to petrol shortages, private firms will also be able to import and construct electric vehicles.

Oil and mining operations will also be liberalised.

Details of reforms emerged as Cuba's National Assembly met, with delegates denouncing imperialism and chanting "socialism or death!"

The new regulations "considerably broaden the scope for entrepreneurs and private companies on the island," state controlled media reported.

The government, however, stressed its tight control over sectors key to retaining power: education, telecommunications, media and defence.

Tobacco sales will also remain under government control.

The United States has effectively blockaded fuel imports to the island for almost six months, leading to an acute shortage of fuel for transport and electricity generation.

The US took control of Venezuela energy assets in late January, effectively cutting off Cuba's main source of supply.

Washington threatened sanctions against other countries that exported oil to Cuba.

There have been at least five nationwide blackouts this year and countless localised cuts.

Most parts of the capital have electricity for only a few hours each day.

Cuba's state electricity provider said it would be able to generate only about 27 percent of expected peak demand on Wednesday, leaving the grid facing a 2,380-megawatt shortfall. (AFP)



Edited by Robert Kemp