FEATURE - Turkmen autocracy lives on as market reforms bite

By Olzhas Auyezov

ASHGABAT (Reuters) - Almost three years after the death of the "Leader of all Turkmens", Turkmenistan's people find their new leader comes with a similarly autocratic cult of personality, but a new readiness to carry out painful reforms.

President Kurbanguly Berdymukhamedov has not taken down the golden statues of the horse-loving Saparmurat Niyazov from the streets. But his own portraits, some of which show him riding a horse, feature prominently on the white marble buildings of the capital Ashgabat.

Gas, electricity and water are still free in Turkmenistan, which sits on the world's fourth largest gas reserves, but gasoline has gone up eight-fold and a decision to use market exchange rates is causing pain.

Ordinary people frequently complain about rising prices and low pay, and a hotel guard says his family of four can barely get by on a salary of $200 a month. But mutterings of discontent are muted at best, since Berdymukhamedov has shown himself no more tolerant of political dissent than his predecessor.

Turkmenistan remains closed and reclusive, and citizens are reluctant or afraid to speak to journalists.

But Western human rights groups say opposition politicians are either persecuted, imprisoned or forced into exile, and no independent political parties can operate openly.

"(The government's position is:) You have food, you have free utilities, what more do you want?" said a foreign executive doing business in Turkmenistan who asked not to be named.

It was a formula that worked for Saparmurat Niyazov, who proclaimed himself Turkmenbashi or Leader of all Turkmens while running the country with an iron fist for 21 years until his sudden death in 2006.