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Posted on Sustainabilitank.info on July 31st, 2010 “Brazil’s President Luiz Inacio Lula da Silva said Wednesday that the country’s economy would expand by 7% this year. ‘We project an economic growth of no less than 7% in 2010 and we intend to create 2.5 million jobs,’ the President said. According to him, such a high growth expectation is possible due to the growing domestic market, the country’s solid banks and the government’s anti-cyclic policies. The President reaffirmed the need for reforms of the international financial institutions in order to prevent another financial crisis. ‘It is necessary to end lenient standards and repress the financial speculation in the international commodities market,’ the President said.” Brazil: Midyear Economic and Political Outlook. 8:00 – 8:30 AM Registration, Breakfast and Networking Hosted By: Speakers: ———————————————————————————————————————————
If any one figure personifies the New Brazil, it is surely Luiz Inácio Lula da Silva, President since January 1 2003 – and whose Presidency will end December 31, 2010. His childhood journey from rural poverty in Brazil’s hard-scrabble north-east to the industrial rust belt around São Paulo is one that millions of his compatriots have made themselves. His ascendancy from shoeshine boy to lathe operator, from union leader to founder of one of Brazil’s biggest political parties and thence to the presidency, mirrors Brazil’s own extraordinary progress over the past decade and a half. His charisma and popularity – his support in opinion polls has hardly dipped below 70 per cent during two four-year terms – are the perfect symbol for the exuberance and confidence of Brazil’s rising consumer classes. But Lula da Silva’s time is almost up. Four months from now, in October, Brazilians must choose a new president. The FT EDITOR’S CHOICE extends now to four additional articles from that report:South America’s giant comes of age – Jun-28Why Brazil must try harder – Jun-28A nation’s destiny – Jun-28To some, the election makes little difference. “Sincerely, I really don’t think markets are worried,” says Rogério Schmidt of CLP, a São Paulo political think-tank. “There is a sense that whoever wins, there will be a mix of orthodox and heterodox policies.” That view is supported by the fact Brazil has enjoyed broad continuity in macroeconomic policies for the past 16 years. The inflation-busting reforms that laid the basis of today’s prosperity were introduced in 1994 by Fernando Henrique Cardoso, then finance minister and subsequently president from 1995 to 2002. When Lula da Silva was elected to succeed him, Brazil’s borrowing costs soared as investors worried that the former firebrand leftwinger would lose control of public finances and lead Brazil into default. But Lula da Silva moved quickly to calm such fears, by promising no rupture with the past and by installing trusted pro-market figures at the finance ministry and central bank (the former lost to a corruption scandal in 2006; the latter still in office today). Many observers expect similar or greater continuity when the president hands over to his successor in January. Others are less sanguine. They worry that investors take too much comfort from the ease of transition last time around and risk becoming complacent about Brazil’s future prospects. “It worries me that people think this election doesn’t matter,” says Jim O’Neill, chief economist at Goldman Sachs and one of Brazil’s most vocal champions over the past decade. “People are getting carried away.” He says he has no view on who would make the best presidential successor, as long as that person ensures current macro policies stay in place.
The frontrunners in opinion polls are José Serra and Dilma Rousseff. He was governor of São Paulo state (Brazil’s biggest) and she was Lula da Silva’s chief minister until both stood down in April to qualify as candidates.It is often supposed that Serra is the more market-friendly candidate while Rousseff is more inclined to enlarge the role of the public sector in the economy to the detriment of the private sector. Serra was a highly successful health minister under Cardoso who has earned a reputation for managerial efficiency and fiscal austerity, not least as governor of São Paulo. If, as his centrist opposition party, the PSDB, has argued, what Brazil needs most is a dose of good management, he could be the man for the job. But Rousseff is also billed as a master of management, although with the emphasis on central planning rather than a minimal state. Lula da Silva calls her “the mother of the PAC [the government’s flagship growth acceleration programme]” and she is closely associated with what Brazilians call “developmentalism” – a drive for growth and income distribution above all else that pays less attention to the need for fiscal reform and an overhaul of Brazil’s tax system and labour laws. This suggests a broad distinction: Serra more orthodox, Rousseff more populist. Yet this classification does not hold up to much scrutiny. The bastion of orthodoxy in the Lula government has been the central bank, led by Henrique Meirelles, a former head of Bank Boston and a former member of Serra’s PSDB. Although the bank is not independent by law, it has been given operational independence, adjusting interest rates in pursuit of the government’s annual inflation targets, often in the face of fierce criticism from all sides, both inside and outside government. Serra – who was moved to health from the planning ministry under Cardoso after disagreements with the finance ministry and central bank – is among the most vocal critics of Brazil’s high interest rates. It could be argued that he would tackle the fiscal problems that have kept them high for so long. But he has a reputation as an interventionist and in recent interviews has done little to dispel a concern among many economists that he would attempt to reduce interest rates at the stroke of a pen. This, many observers fear, would not only undermine the credibility of monetary policy but also cause a mass walk-out of the central bank’s most competent directors. The impact on investor confidence could be disastrous.
Rousseff has gone out of her way to emphasise that if she wins, the three pillars of stability – inflation targeting, a floating exchange rate and gradual reductions in public debt – will be untouched. She is also close to Meirelles and to Antonio Palocci, the Lula government’s first finance minister who, in terms of economic policy, is probably to the right of Serra.Does this mean that Rousseff is the investor’s choice after all? Perhaps, but perhaps not, for a number of reasons. One is that she is not Lula da Silva, and may lack the political clout to defend the central bank or to hold in check the statist instincts of other leaders of their leftwing party, the PT (and which some commentators say she also shares). Another is that Serra, while erratic on monetary policy, shows every sign of being far more hawkish on fiscal issues – and a dose of fiscal hawkishness would be to Brazil’s benefit as evidence mounts that the economy is overheating, partly due to the exaggerated presence of the public sector. Perhaps doubts such as these will be clarified as campaigning starts after the World Cup. But, again, perhaps not. Orthodox economic policies have been good for the Brazilian people but they have rarely gained much popularity, perhaps because of an enduring belief in the beneficial influence of the state. If the opening salvos in the pre-campaign period have been any guide, the election will come down to a dispute over who is best suited to continue the work of Lula da Silva. With the most popular president in Brazilian history making it the declared priority of his final year to get her elected as his successor, Rousseff has got to be the one to beat. ———————————- What above article is missing is the candidacy of Marina da Silva, the Candidate of the Green Party and also a friend of President Lula. The issue is that though she does not have the votes it takes to win, she does have enough votes to influence who of the two above does win. It seems safe to accept that she will b part of a government established by whoever among the two front runners does win. ——————————- Our last article on deepwater drilling for oil – http://www.sustainabilitank.info/category/latin-america/brazil/#17264 has obviously as well interest to our readers about Brazil. Oil groups view the reality of upcoming tougher US rules on drilling. How will Canada, Brazil, the UK, Norway and Australia react? What will ExxonMobil, Chevron, Total, ConocoPhillips and Shell do? Posted on Sustainabilitank.info on July 22nd, 2010 —————————– From the two days at the Brazilian-American Chamber of Commerce Inc. I will start with the second say – this was the presentation by Dr. Eduardo Giannetti da Fonseca, a San Paulo based economist of high standing who is also an Economic Advisor to Ms. da Silva’s Presidential Campaign – on a Green Party line. Mr. da Fonseca is important and, we will not be surprised if Ms da Silva ends up in next government and so Mr. Gianetti da Fonseca. Marina da Silva’s childhood spent in the rain forest taught her the most valuable lesson anyone can learn: the love for the environment. She says she gets lost in any city in the world, but never in the forest. Already, when she was very young she knew she wanted to save her home, the rainforest, from the destruction by illegal loggers . 2003-08 Minister of Environment Maria Osmarina Marina da Silva Vaz de Lima. She has had to fight hard to reduce deforestation in the Amazon by 75 % and because of her, today, Brazil has the strictest environmental laws in the world. She resigned her position as Minister on May 14, 2008 after losing several key battles in her fight to rein in destruction of the Amazon rainforest. Her resignation was a blow to the Lula Government. If the government had any global credibility in environmental issues, it was because of Minister Marina,” Jose Maria Cardoso da Silva, vice president of Conservation International-South America, told Reuters. She only learned how to read and write when she was 16 years old and moved to the closest town, 70 km away – to Rio Branco. In the forest she was part of rubber trees tappers and worked as a child as there was no school nearby. When she came to Rio Branco she worked all day as a maid, and studied hard at night. She graduated in history in 1985 and soon became involved as a leader in a syndicate, defending workers. She became in 1994 the youngest female senator ever to be elected. When she resigned from her position of Minister of the Environment it was said that “Brazil is losing the only voice in the government that spoke out for the environment,” Sergio Leitao, director of public policy for Greenpeace in Brazil, was quoted as saying by the Associated Press. “The minister is leaving because the pressure on her for taking the measures she took against deforestation has become unbearable.” In Brazil, and internationally, she is a recognized hero – small in stature but long in spirit. She has no chance to win in the elections, but is considered a potential coalition member by either of the two front runners. As we understood from Mr. Giannetti, she might be favored more by Mr. Serra for balancing purpose. Mr. Giannetti himself is not a Paul Krugman, not even a Jeffrey Sachs or Joe Stiglitz. Nevertheless, in the Brazilian context he is is advanced, and we dare to say of exactly the mind-set that put together the Financial Times insert we mentioned above. Mr. Eduardo Giannetti da Fonseca born in Belo Horizonte, in 1957, studied in Sao Paulo, received his doctorate in economics from the University of Cambridge, where he was also a professor from 1984 to 1987. From 1988 to 2001 he taught at the FEA/USP (School of Economics, Business and Accounting of the University of São Paulo). He is currently a full-time professor at IBMEC (Instituto Brasileiro de Mercado de Capitais) São Paulo. He came through as a basically enlightened conventional economist who has serious criticism of the Brazilian government. He said that huge part of the private sector relies on protection, subsidies etc. This helps the government to neutralize opposition. Business leaders will thus not speak up against the government in order not to be excluded from the ongoing system. In this respect it is clearly worse then the US State Socialism as here the lobbies fight for the share of public funding but never stop criticizing the government that feds them. Giannetti has helped shape the intellectual debate in Brazil by pointing at things as I just noted and this is what makes him important in the public discourse. His target is the Brazilian Complacency – and the effects of Growth with Imbalances. In the 90s Brazil used to be hypersensitive to global shocks – now it absorbed the shock without any major effects. Much of this is credited to the fact that it has $250 billion in foreign reserves insurance – this up from $39 billion in 2003. In 1970 it was about zero. How did it happen? This was thanks to a very dynamic export sector that led to the big turn around in current accounts. There is a positive balance also for the Public Sector – no debt. There was an increase in minimum vages and improvement of credit to the lower income masses. The continuity of government public policy and monetary stability – this for 12 years – since the second Cardozo government – created the confidence that things are under control. For Brazil, during the recent crisis – it was a clear first. While the world was in crisis – Brazil reduced interest rates whereas in the past it would have acted the other way around and devalued the currency on top. Now, Brazil has a strong currency – maybe too strong. Even though the public was buying less, there was an increase in expenditures by the public sector and an aggressive program to keep credit flowing – Brazil had a “good” crisis compared to others. Ergo – his optimism for the future of Brazil. But not so fast – he wants us to remember that it was the same during the second half of the 50′s under the Juscelino Kubitschek government’s growth of 10% consistently – but that was not sustained! They tripled the monetary base in 5 years to build Brasilia – this could not be sustained. Similarly – in the mid 70′s, when there was the oil crisis, Brazil was an island of prosperity in a sea of turbulence, but it also turned around This because the external debt that was fueled by OPEC money surplus and it ended in a 80′s-90′s collapse. He is warning of this series of failed stabilization cycles and we must learn from the errors and he proceeded to talk of the threats and the problems. He says we (Brazil) must learn from errors. With 7.5% growth per year expectation of inflation is growing. We face now for the first time since 2007 a current account deficit. It can be managed if it is done correctly. The danger is Overheating the economy. The way the government makes money available as implicit subsidy to the public enterprise. The government does not provide consistent figures but the treasury charges a fraction on this debt. This support for business amounts to $8 billion – more then the expenditures on social problems. His criticism of the government is that the expenditures are obscure and he feels not answering democracy and transparency. That is serious criticism and any next government will have to take a long look at it. On the other hand, the true driving force of growth was consumption. It is by families – this added to private investment and government investment – but we know you cannot do it all at the same time – that causes Overheating and Increased Imports. He went so far as to say that the Brazilian Government is like a brain with two hemispheres not connected – a Fiscal Side part and a Monetary Side part. Then he moved to education. His complaint that there is no number for measuring human capital build up. His estimate is 1.8% in this area and says 5-6% of GDP are needed for the long run. This creates a distortion in ways of long term business in Brazil. 39% of GDP is mediated by the State and the investment capacity of the private sector is extremely low – there is only 2.1% that comes out of this as capital formation. OECD countries statistics covering 57 countries, puts Brazil as 54th – and this is because of the human capital deficit. From her he moved to the Business Environment and pointed out that the Underground Economy in Brazil is 1/3 of the total economy. This is another big problem. In the World Bank estimates of 1`83 countries Brazil is 129th in the complexity of its tax system causing an absurd situation of the labor market. The government rellies on PAY-ROLL TAXES and 9% of GDP comes from this. The result is that hiring in the labor open market is dangerous to businesses in litigation terms. it takes 2600 hours/year to calculate and collect taxes while similarly outside Brazil it takes 138 hours. These labor and taxation laws become prohibitive and push businesses into the underground economy. CONCLUSION – In the Short Term Prospects in Brazil are Good – In the Long Term More Difficult. ——- The elections: Marina da Silva, his candidate, only dreams. Serra – has monetaristic views of the policy. Here, if it gets difficult – interest rates are risen. He thinks the currency is already absurdly overvalued – so you really cannot increase interest rates. Dilma – here he sees as problem that she will just continue the policy as she gets at the end of the Lula Administration. Giannetti thinks the State has infrastructure problems and is afraid that Dilma will start from the belief that the State can provide the way to attract private enterprise. ——- The chair remarked that there is agreement that the tax system must be overhauled but there is no agreement on how to do it. He also mentioned that labor is ready to go along with elimination of the labor courts – how can these things be helped by change of Presidency? A. The political consensus can help in the change. All see that there is a clear need to reduce payroll taxes in order to increase hiring – but then he said education and other things are paid for from these taxes. This is thus counterproductive! You can improve things when you incorporate the informal economy. To achieve this you must mobilize support. The underground economy has no access to credit, to technology – there is need for leadership to reel this all in! —— Question on the structural problems – lack of adequate infrastructure that was answered that the Central Bank has to do changes. The sad thing is that in Brazil – Words replace Acts, and we may have reached a state that a World double-dip helps Brazil. If that is salvation – what is damnation? – Question on the potential growth rate based on May data. A. We again rely on external savings and to some extent they are welcome – but this must be done carefully. —— NOW WE HAVE REACHED THE POINT WHERE I WAS ABLE TO PLACE MY OWN QUESTION, AND THIS WILL ALSO EXPLAIN WHY I STARTED MY REPORTING WITH MR. GIANNETTI FIRST: Based on the presentations of the previous day, where to a question of mine I was told that Brazil need the income from Petroleum in order to pursue things like education, it is that the public in Brazil will not be ready to address the possibility of a blowout like it happened in the Gulf of Mexico. I was left feeling like I was the outside kid who simply said the King is naked. Clearly, we will get back to the above, but let me say that here I started my question from the idea we heard that EDUCATION IS PAID FOR FROM LABOR TAX-ROLLS and mentioned that though Mr. Giannetti also did not touch even in passing the money-making of PETROBRAS, or the Environment, nevertheless, if the money is not really used for the causes he was talking about, then could we take an honest look at the potential damages from deepwater drilling for petroleum? A. The idea is for using the oil money in a fund established outside Brazil to fund the development of Brazil. What he is most afraid of for Brazil is that this money falls into the hands of a populist government that gets hold of Brazil – like it happened in other countries of Latin America. It could even turn Brazil to OPEC. In short – he described the well known “curse of oil.” Giannetti agred with me that the production of oil will become much more expensive in the wake f the Gulf Coast blow-out. —— To another question he answered that there is no clear analysis of the Brazilian economy by private enterprise because of the fact that most are being subsidized by government and they would not want to fall out of line because that would translate in their losing the subsidies – We have a very diligent bureaucracy that enforces its own codes of unanimous opinion-making. There are 40 million pay checks that go to 120 million people dependent on them – and that is the real governing power in Brazil he implied. To the idea of increasing savings in order to create funds for investment – he said it must be all voluntary – he dreads compulsory credit and wants voluntary credit. ============================== June 10, 2008, Mr. Jose Sergio Gabrielli, President and cEO pf Petroleo Brasiliero S.A. – Petrobras - was the speaker at a BACC breakfast at the Mandarin Oriental Hotel in New York City. His line was then: “While some of the world’s largest oil producers, including Mexico and Iran, are struggling to remain exporters, Brazil is moving in the opposite direction. (?? – he said that.) A huge underwater oil field discovered late last year has the potential to transform South America’s largest country into a sizable exporter and win it a seat at the table of the world’s oil cartel …” He was optimistic that the company could develop the oil — “We think we can develop the oil faster than we thought at the beginning,” Mr. Gabrielli said then. “We don’t think we have any insurmountable challenge on the technology side.” At the time it was an oil company CEO making his presentation before a room-full of potential Wall Street investors. We neither heard there the government of Brazil making a political case, nor any other case of national economic significance. Above, the Brazilian ethanol issue, has been swallowed up now by Petrobras which sees in it another good avenue for profits, and is in the process of turning ethanol into feed for large tanker-ships to be moved overseas. Whatever, Petrobras rules by now over Brazilian energy and by its mere size, over the Brazilian economy as well. We are sure that they do not need anymore to come to Wall Street in order to advertise their potential – it is now Wall Street that chases after Petrobras. Nevertheless, it is a bit surprising that speakers on Brazil’s economic and political future manage somehow not to mention Petrobras in their presentations. ============================== Brazil Update: Tight Race for the PresidencyMateo Samper and Valeria Cruz
July 29, 2010, http://www.as-coa.org/articles/2566/Brazil_Update:_Tight_Race_for_the_Presidency/ Brazilians head to the polls on Sunday, October 3, to choose a new president who will lead the country for the next four years. The top contenders are Dilma Rousseff of the Worker’s Party (PT) and José Serra of the Brazilian Social Democratic Party (PSDB). A third candidate, Marina Silva of the Green Party (PV), trails third in the polls but could be a key player in the likely scenario that neither of the frontrunners wins the requisite 50 percent of ballots in the first round. If necessary, the runoff would be scheduled for October 31. However, for the past three months, the two have been technically tied in the polls. One recent survey shows Rousseff ahead by eight points, but another places Serra on top by just one percentage point. Marina Silva, who has been gaining ground, polls at 10 percent.
The Candidates in Brief
President Luis Inácio Lula da Silva handpicked Rousseff as his successor. She worked as a member of his cabinet since the beginning of his presidency in 2002, first as minister of Energy and Mines and then as chief of staff starting in 2005. If elected, she will be Brazil’s first female president. Prior to serving in the president’s cabinet, Rousseff worked for the city of Porto Alegre’s Treasury Department and for the state of Rousseff has never been elected to public office, but she now rides high on Lula’s popularity and promises to continue his policies. As she said: “President Lula left me a legacy—to take care of the Brazilian people. I am going to be a mother for all the Brazilian people.” Observers expect her to maintain market friendly economic policies paired with continued federal intervention in the economy. Internationally, she’s expected to pursue a left-leaning agenda, keeping close ties with Venezuela’s Hugo Chávez and the Castro government in Cuba, as well as to work closely with emerging markets.
Until March 2010, Serra was the governor of the state of São Paulo, the most industrialized state in the country, accounting for over 31 percent of the Brazilian GDP. A U.S.-trained economist with a doctorate, he has been a congressman and a senator, as well as the mayor of São Paulo (2004-2007). He also served as planning minister (1995-1996) and health minister (1998-2002) under President Fernando Henrique Cardoso. Serra disputed and lost the presidency to Lula in 2002. Considered a center-right pragmatic administrator with pro-market views, the PSDB candidate would continue Lula’s subsidy programs targeting the poor but favors less economic intervention. Serra has
been stepping up his criticisms against the Lula administration, questioning Brazil’s alignment with countries such as Venezuela and Iran.
Given the state of the economy and the popularity of the current president, Serra could have a difficult time trying to convince voters that he represents a better alternative to Rousseff’s continuity.
Green Party candidate Marina Silva is a former senator and world-renowned environmentalist. Silva, who stepped down as Lula’s environment minister in May 2008, proposes to cut taxes and social security benefits, urging a reform of the country’s costly pension system. The PV candidate also indicated that she would continue many of Lula’s policies, such as poverty reduction programs. Rather than promoting handouts, she has pledged to encourage mobility through better education and more job opportunities. In little over six months, Rousseff has surged in the polls, increasing the chances that the PT will remain in power. There are two explanations behind Rousseff’s rising support: the economy and Lula’s huge popularity, which is now close to 78 percent. Brazil has been steadily growing in recent years while keeping inflation low, allowing 13 million people to rise out of poverty from 1995 to 2008. In the midst of the global economic crisis, the country recorded only a mild slowdown. Its economy is expected to grow at around 7 percent this year, which could lead to the creation of thousands of new jobs. Moreover, expanded subsidy programs for low-income families, particularly in the north of the country, has made President Lula hugely popular and helped Rousseff boost her numbers as she promises to continue Lula’s policies and efforts.
But Lula’s involvement in the presidential race has raised eyebrows. He has used his political influence to promote and openly campaign in favor of his chosen candidate, earning him several fines from the electoral authority. He is now under the investigation of the deputy electoral attorney general, Sandra Cureau, who is studying the possibility of an action before the Brazilian Federal Election Commission against Lula for abuse of political and economic power. In that case, President Lula would garner additional fines and face sanctions, such as the inability to pursue public posts for as many as eight years.
In Brazil, presidents can endorse candidates, but what seems less clear is to what extent. PT lawyer Márcio Luiz Silva argued that the president can campaign when the event is not financed or organized by the federal government. He has also said that, as an affiliated member of the PT, Lula has the right to participate in campaign events in support of his candidate. Although television debates and radio commercials do not start until August 17, many of the candidates have begun debating online, as well as hosting campaign rallies. However, Rousseff said she would only participate in four of several planned presidential debates on television, prompting opponents and other analysts to posit that she is ill prepared for debates with Serra and Silva. Rousseff countered that her tight agenda limited her availability for debates and she would be open to interviews in Brasilia. In spite of the debate dispute, many analysts forecast that, barring a very poor performance in the debates or a major gaffe in what’s left of the campaign, Rousseff will emerge the victor in October. ————————————————————-==================================———————————————
Backing now into the July 21, 2010 Seminar on Brazil’s Economic and Political Outlook presented Midyear 2010, but in clear view of the October 3, 2010 Presidential elections, we listened to the following two panels: A, The Post-Crisis Election Macro Economy: Policy Challenges and Investment Opportunities. With Marcelo Salomon, Director and Chief Brazil Economist at Barclays Capital B. The Electoral Landscape, Platforms, Likely Outcomes: Lula’s Legacy and Shadow 2012-2016. With Christopher Garman, Director and Head of the Latin America Practice Eurasia Group, The welcome remarks were by host Michael J. Gilespi, Partner of Debevoise & Plimpton, LLP our hosts. ——- From the above, we see that all except Paulo Sotero Marques are economists and as this was going on with a Wall Street audience in New York, it became quite clear from the start that this was more about what Wall Street would like to see happen in Brazil, then what is best for Brazil. The point was that if post crisis – The US, China and the EU all grow, Brazil will have to compete in this capital market. Then, if Brazil continues as now, it will have a two tier money lending market and the formal banking system will be more aggressive in order to be able to accommodate growth. – Kasumovich looked at the young population with good potential for new household formation that will lead to growth. He sees the continuation of Microbased policies to facilitate this. He evaluates the situation as being helped by the crisis in the developed world that helped Brazil to avoid superheating. It regulated the normal cyclic expansion mechanism. POORER COUNTRIES RAISE THEIR STANDARDS AND HELP FINANCE THE US – THAT IS THE TRANSITION IN THE GLOBAL ECONOMY. THE CURRENCY CRISES OF THE PAST WERE I THE FINANCING OF THE US DEBT. This does not impact the foreign investment in Brazil. The likelihood for a vicious cycle in Brazil is low. The above may change if US troubles go away. He further said that Petrobras has growth potential and is hampered by management. I cringed thinking what if Petrobras might not want to grow fast? Actually thet are Brazil Government owned and what does the government think? I promis to get back to this point. – Salomon said the missing link is the challenge of growing with savings. He wants sustainable growth. He finds an excellent monetary policy in Brazil, that eliminated inflation, but does not see the effort to answer: “Where do we get the money for investment.” Will it come from foreign savings only? Internal savings is now 14% but 10% more are needed. He asked: “Where the Wild Things Are? – Who will finance the infrastructure investments for the 2014 World Cup, The 2016 Olympics, the Pre-Salt oil extractive business? —- IS KEYNES REALLY DEAD – OR HE JUST MOVED TO BRAZIL, he asked.” Fiscal spending is increased by BNDES and he does not see things discussed during the present crisis as part of the election process. – Garman said there is more at stake: He sees no macroeconomic policy split between Serra and Dilma, but sector specific industrial policy differences. He specifically noted very different views on how to develop Brazil’s oil sector – with repercussion to growth he said. This will influence utilities, telecom, mining as well. He finds that the main difference between Serra and Dilma is in the industrial area. This gave me the clear feeling why the room was rather in Serra’s corner. – Sotero, as I said earlier, was different. He is a Journalist and had the longest resume of the four speakers. Paulo Sotero was the Washington correspondent for Estado de S.Paulo, the Gazeta Mercantil, for the last seventeen years. He has been also a regular commentator and analyst for the BBC radio’s Portuguese language service, Radio France Internationale, and the Brazilian Rádio Eldorado.He started He is a native of Sao Paulo, stated his career at the Veja weekly in 1968, held positions in Recife, Paris, Lisbon, Sao Paulo, and Brasilia. He is a frequent lecturer on Brazilian affairs at US universities, and think tanks. Since 2003 he has been an adjunct lecturer at Georgetown University, both in the Department of Spanish and Portuguese and at the Center for Latin American Studies of the Edmund A. Walsh School of Foreign Service. Sotero has a BA in history from the Catholic University of Pernambuco, Brazil, and an MA in Journalism and Public Affairs from The American University in Washington, D.C. In 1987, he received the prestigious Maria Moors Cabot Award Special Citation from the Graduate School of Journalism, Columbia University. He is also the recipient of the 1993 Distinguished Visiting Lecturer award from the Foreign Service Institute of the U.S. Department of State. In Brazil, he was awarded the 1978 “Prêmio Abril de Reportagem” for Veja magazine’s cover story on Paraguay and for an investigative report on the assassination of Chilean General Carlos Prats in Buenos Aires, Argentina. The Woodrow Wilson International Center for Scholars in Washington DC and at Princeton University, September 2006, appointed Sotero , as the director its Brazil Institute. He is clearly the kind of person that could evaluate not just the US interest in Brazil, but also what the people of Brazil would want to see happen to them. Dilma is clearly more ideological, and she has Lula’s backing in a country that loves Lula because he leaves the State in much better shape then he found it. Under her, there will be a clear supervision of exchange rates as her advisors will not want to see the currency appreciate – so the make-up of the Central Bank will be at play. Serra on the other hand will rather watch expenditures. 2010 is a dream year to run on a platform of continuity and Lula’s legacy and shadow will extend to the 2012-2016 years. It is clear – there is an enormously popular president, a satisfied population, an impressive economic achievements’ record and a prommissing economic outlook. ———– At Q&A time, and having heard about the reliance on income from oil as a way to fund development projects, while the oil is indeed of deepwater drilling source, and these being the days of the US BP Gulf disaster I decided to ask if in Brazil people read the papers about what can happen with this sort of oil production? From Mr. Garman I got a clear answer that it is of no concern to the Brazilians – specially as the economy is based on this income and people want education and education needs money … In this respect please see why I started the review from the following day’s presentation by Mr. Giannetti who said that education is paid from the taxes taken from labor. So – here goes out the argument that Brazil economy is based on that oil. Further o – Mr. Sotero picked up my question also and said that 25% of all investments in Brazil will go to oil & gas – this is the BNDES (the National Bank) forecast. That would tie down Brazil in many respects. In effect, the choice is to do it slower in order to develop other sectors of the economy – that will bring gains slower. But I clearly felt that this is more sustainable. Further, in private, one of the participants told me that the water currents are such that if there is an accident – the oil will go south to Argentina and will not hurt the Brazilian beaches – Well that is nice to know. We hope the Argentinians read this also. ———– The bottom line perspective of this end of July report of Brazil going to the October 3, 2010 elections, It seems the future may hold a presidency that will try to continue the achievements of the Lula eight years and it will be led by Ms. Dilma Rousseff with the support of Ms. Marina da Silva. We hope that this Brazilian Administration will clamp down on Petrobras and hold back somewhat from the development of oil beyond what is best for the Brazilian economy. The best one can hope for is that they continue to do it by themselves, at low speed, and do not look for outside companies that might be more inclined to lead them to disaster. The government will have to supervise the Petrobras accounting and indeed get the income from this that the government needs in order to build up the consumer society to help in Brazil growth as justified by its effort to grow along China and India. The official campaigning starts August 17th and provided there is no “September surprise” above is our estimate as of today.
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Posted on Sustainabilitank.info on July 30th, 2010 United States-India Agreement for Nuclear Cooperation Conclusion of Reprocessing Arrangements and Procedures.Office of the Spokesman
Washington, DC
July 30, 2010
Under Secretary of State for Political Affairs Bill Burns and Indian Ambassador to the United States H.E. Meera Shankar today signed the Arrangements and Procedures Pursuant to Article 6(iii) of the Agreement for Cooperation Concerning Peaceful Uses of Nuclear Energy regarding the reprocessing of U.S.-obligated nuclear material in India. Upon entry into force, the Arrangements and Procedures will enable reprocessing by India of United States-obligated nuclear material at a new national reprocessing facility to be established by India dedicated to the reprocessing of safeguarded nuclear material under International Atomic Energy Agency safeguards. These Arrangements and Procedures will facilitate participation by United States firms in India’s expanding civil nuclear energy sector. This arrangement, negotiated and concluded under President Obama, reflects the Administration’s strong commitment to building successfully on the landmark U.S.-India Civil Nuclear Cooperation Initiative and is a prerequisite for U.S. nuclear fuel suppliers to conduct business with India. Previously, the United States had extended such reprocessing consent only to the European Union (EURATOM) and Japan. The Civil Nuclear Cooperation Initiative has facilitated significant new commercial opportunities across India’s multi-billion dollar nuclear energy market, including the designation of two nuclear reactor park sites for U.S. technology in the states of Andhra Pradesh and Gujarat. Increased civil nuclear trade with India will create thousands of new jobs for the U.S. economy while helping India to meet its rising energy needs in an environmentally responsible way by reducing the growth of carbon emissions. ### |
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Posted on Sustainabilitank.info on July 30th, 2010 Open letter from Dr. James Hansen, published in Aftenposten, May 19, 2010
As you know, I am fond of Norway, and have great respect for your country and its citizens, as well as for your personal ambitions to protect global climate. Your recent rainforest initiative is a splendid example of leadership the world desperately needs. And your commitment at the Copenhagen climate talks to reduce Norway’s emissions 40 per cent by 2020 was exemplary. However, and especially in light of that, I am disappointed to learn that Statoil, Norway’s state-owned oil company, has taken such backward strides through its strategic decision to invest in Canada’s destructive tar sands industry. As the most energy-intensive source of oil, this project represents the worst of what humans are doing to the planet in a quest to prolong our global addiction to fossil fuels. It is still feasible to stabilize the climate, but only if we leave the tar sands in the ground. The massive greenhouse gas amounts from the tar sands surely would cause the climate system to pass tipping points, while also trampling on the human rights of Canada’s First Nation communities and greatly damaging the Canadian boreal forest. Prime Minister Stoltenberg, the world has reached a critical juncture in the climate debate. We can either move into the production of the most damaging fossil fuel, or we can begin to address our destructive addiction. We desperately need leadership at this time. I am confident that you could provide that leadership. Please do not prove me wrong. In your capacity as owner or more than two-thirds of the shares in Statoil, I urge you to end Norway’s involvement in this dangerous, dirty and destructive project. I ask that you support the resolution at Statoil’s upcoming AGM on May 19th, that Statoil show environmental leadership and pull out of the Canadian tar sands. Statoil may pride itself on being a more responsible company than others, but that will not be enough in the tar sands. If we extract and use the tar sands, there can be no sustainable future for young people. I look forward to my visit to Norway in June. I hope that it can be a time to celebrate Norwegian leadership in responsible environmental policies Dr. James Hansen —————- The answer from the Government: Dear Mr. Hansen, Thank you very much for your e-mail to the Prime Minister, which was forwarded to the Ministry of Petroleum and Energy as the governmental body responsible for Statoil ownership issues. Let me first take this opportunity to congratulate you on being awarded the Sophie-prize for 2010. I know a lot of people are looking forward to your visit to Norway, and I hope you will enjoy your stay here. On behalf of the Government, I am pleased to say that we hold your work on climate change in high esteem, and further, that we appreciate your engagement and your views on Norway’s efforts to find good sustainable solutions to the global climate challenges. As you now know from the results of the Statoil Annual General Meeting, we see Statoil’s oils sands investment as a commercial decision which is within the Statoil board’s area of responsibility. We are of the opinion that such decisions should not be overturned by the AGM. It is our opinion that this is in line with good corporate governance, a view that is also shared by a vast majority in the Norwegian Parliament. I can however assure you that we will continue our offensive stance on climate change issues both at home and abroad, and we look forward to your continued engagement. Fra: Jim Hansen Dear Prime Minister Stoltenberg, I understand that you may have missed my open letter to you published in Aftenposten, so for your convenience I have attached it here. My wife Anniek and I are looking forward to visiting your beautiful country in June. ————– AND THE – Message from Sophie Prize Winner. I am grateful to Jostein Gaarder and the Sophie Foundation for the opportunity to discuss the state of Earth’s climate, the implications for people and nature, and action that is needed. Stabilizing climate requires restoring our planet’s energy balance. The physics is straightforward. The effect of increasing carbon dioxide on Earth’s energy imbalance is confirmed by precise measurements of ocean heat gain. The principal implication is defined by the geophysics, by the size of fossil fuel reservoirs. Simply put, there is a limit on how much carbon dioxide we can pour into the atmosphere. We cannot burn all fossil fuels. Specifically, we must (1) phase out coal use rapidly, (2) leave tar sands in the ground, and (3) not go after the last drops of oil. Actions needed so that the world can move on to the clean energies of the future are possible and practical. The actions would restore clean air and water globally, assuring intergenerational equity by preserving creation – the natural world — thus also helping achieve north-south justice. But the needed actions will happen only if the public becomes forcefully involved. Solution therefore requires a rising fee on oil, gas and coal – a carbon fee collected from fossil fuel companies at the domestic mine or port of entry. All funds collected should be distributed to the public on a per capita basis to allow lifestyle adjustments and spur clean energy innovations. As the fee rises, fossil fuels will be phased out, replaced by carbon-free energy and efficiency. We need a simple honest flat rising carbon fee across the board. It should be revenue neutral – all funds distributed to the public – “100 percent or fight”. It is the only realistic path to global action. China and India will not accept caps, but they need a carbon fee to spur clean energy and avoid fossil fuel addiction. But our governments have no intention of solving the fossil fuel and climate problem, as is easy to prove: the United States, Canadian and Norwegian governments are going right ahead developing the tar sands, which, if it is not halted, will make it impossible to stabilize climate. The Sophie Prize provides a new opportunity to draw attention to the actions that are needed to stabilize climate. Norway may be the best place, with its history of environmentalism. I can imagine Norway standing tall among nations, taking real action to address climate change, drawing attention to the hypocrisy in the words and pseudo-actions of other nations. So I wrote a letter to the Prime Minister suggesting that the government, as the majority owner of Statoil, should intervene in planned tar sands development. I appreciate the polite response, by letter, from the Deputy Minister of Petroleum and Energy. The government position is that the tar sands investment is “a commercial decision”, that the government should not interfere, and that a “vast majority in the Norwegian parliament” agree that this constitutes “good corporate governance”. The Deputy Minister concluded his letter “I can however assure you that we will continue our offensive stance on climate change issues both at home and abroad”. What I can say from the science is this: the plans that governments, including Norway, are adopting spell disaster for young people and future generations. And we are running out of time. Stabilizing climate is a moral issue, a matter of intergenerational justice. Young people, and older people who support the young and the other species on the planet, must unite in demanding an effective approach that preserves our planet. Because the executive and legislative branches of our governments are turning a deaf ear to the science, the judicial branch may provide the best opportunity for redressing the situation. Our governments have a fiduciary responsibility to protect the rights of young people and future generations. I look forward to working with young people and their supporters in developing the legal case for young people and the planet. To the young people I say: Stand up for your rights, for your future. Demand that the government be honest, admit and face the consequences for you from their policies. To the old people I say: we are not too old to fight. Let us gird up our loins and prepare to fight on the side of young people for protection of the world they will inherit. I look forward to standing with the youth of the world as they demand their proper due and fight for nature and their future. ———————— Other Recent Publications by Dr. James Hansen:2010. Obama’s Second Chance on the Predominant Moral Issue of this Century. Op-ed on Huffington Post, Apr. 5. 2010. Only a carbon tax and nuclear power can save us. Op-ed in The Australian, Mar. 11. ### |
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Posted on Sustainabilitank.info on July 30th, 2010 The following is a year old (July 1, 2009) series of two articles by Matthew Russell Lee showing the way the UN Department, that is supposed to provide Information to the Public, does nothing more then glorify the Secretary-General. Frankly – this is the understanding the UN has of the concept of information – that is no different then in China or Egypt – but then, according to today’s article that is based on criticism from OSCE – to be fair – this is the structural problem also in France. We will undertake looking into these issues further, as the UN will release these days its final decision on who is a journalist. Will they allow for the eventuality that true journalism is entitled to criticize the UN, or they will continue on the path of obfuscation and cover-ups. ================= UN Says and Shows It Won’t Cover Stories Countries Don’t Like, Critics Targeted. Byline: Matthew Russell Lee of Inner City Press at the UN: News Analysis UNITED NATIONS, July 1 — The UN runs its own News Service, its own Video and Radio operations. The chief of these divisions, Ahmad Fawzi, was asked on July 1 what the UN does on the story if “a country regards it as not a good story.” “We don’t do it,” Mr. Fawzi. The audience at the UN-TV showcase, mostly comprised of UN staff members, laughed. Inner City Press followed up, asking if the UN would cover news events that trigger criticism of the UN, like the slaughters in Rwanda or Srebrenica. Fawzi replied that the UN commissioned a report on the failures of its member states and peacekeeping operation in Srebrenica. He added, “Are we going to produce a video about it? I don’t know.” Inner City Press has previously interviewed Mr. Fawzi’s colleague Susan Farkas, now the head of UN TV and Radio and present at the July 1 screening, who told the Press, “I find it astonishing that you think there’s a story in the fact that we don’t investigate the UN… The UN pays us. The UN pays us to produce a program which promotes the issues that the UN cares about.” Thus, the first of the videos shown on July 1 concerned children left behind in Moldova as their parents migrate for jobs. The second concerned the genocide in Rwanda, but merely mentioned without explaining that prior to the upsurge in killing, nearly all UN personnel left. It certainly did not mention the UN Development Program staffer who used UN equipment to round up and target Tutsis to be killed. That is not the only story, but it is part of the story. And a stoytelling that is precluded from the beginning from including all pertinent facts cannot be called independent. Inner City Press asked Fawzi about the UN News Service, which churns out relentlessly pro-UN stories, ranging from Ban Ki-moon’s popularity to the UN’s successes in the Congo. Appearing to take the question to be about the UN’s press release service, Fawzi said “we cover what happens in the building [but] it is not gloss, it is not promotional, it tells what goes on in the House.” But UN News Service covers nearly every statement by UN agency, never quotes a critic or even raises a question. It is not unlike the state news agencies of some member countries. And any member state, it appears, can get a story removed from the Service. A story on Nagorno Karabakh, for example, fell under criticism and was quietly taken down. So too a story about Sri Lanka from the affiliated — but ostensibly even more independent — UN humanitarian Relief Web news service. While in the previous interview Ms. Farkas went on to ask, “Do you work for the Heritage Foundation,” on July 1 Fawzi said, “there are others whose job it is to look at us critically and we accept that with a very open mind and an open heart.” It is not clear what “we” he was referring to. Consider a “Dear Colleague” letter circulated to the 435 members of the House of Representatives earlier this week, the text of which is below.
“Angered by past and continuing media reports of corruption, mismanagement and inaction at the United Nations, the UN is again seeking to cover up evidence and stifle freedom of the press. Meeting on May 8 about ‘reporting by the press,’ high level UN officials discussed sending threatening letters to several press agencies and other bodies, as well as complaining to Google News about a small, independent news agency that has uncovered numerous UN scandals. Last year, a similar complaint resulted in that agency’s temporary removal from Google News. In response to a question about that meeting, the Secretary General’s spokeswoman furiously retorted, ‘I don’t have to account to you for meetings I participate in.’ The UN’s Department of Management is also reportedly pushing to obstruct press coverage, seeking to charge media outlets $23,000 to maintain office space, and to move journalists covering the UN into open, un-walled offices — deterring whistleblowers from coming forth and preventing oversight. These UN efforts to restrict press freedom and oversight directly contravene the Universal Declaration of Human Rights, which recognized that ‘Everyone has the right to freedom of opinion and expression… and to seek, receive and impart information and ideas through any media and regardless of frontiers.’ Once again, the UN is actually undermining the principles on which it was founded.” The May 8 meeting, involving Under Secretaries General Angela Kane (Management), Kiyo Akasaka (Public Information — the boss of both Mr. Fawzi and Ms. Farkas) and Patricia O’Brien (Legal Affairs), as well as Secretary General Ban Ki-moon’s speech writer Michael Meyer and Spokesperson Michele Montas, was memorialized in a memo from Ms. Kane to Ban. Inner City Press was shown the memo, wrote and asked Ban’s spokeswoman Michele Montas about it by email, along with the three USGs, none of whom has yet to explain how their participation is consistent not only with the First Amendment, which they say does not apply, but even to the cited Article 19 of the Universal Declaration of Human Rights. While it has previously been claimed to Inner City Press that the UN would not, for example, even consider seeking to have a publication removed from Google News, Ms. Kane’s memo shows different. What was that again, that “there are others whose job it is to look at us critically and we accept that with a very open mind and an open heart”? Some do and some don’t. Footnote: the “Dear Colleague” letter circulated on Capitol Hill states that the UN is “seeking to charge media outlets $23,000 to maintain office space, and to move journalists covering the UN into open, un-walled offices — deterring whistleblowers from coming forth and preventing oversight.” Previously the Department of Public Information, where Mr. Fawzi works and which Mr. Akasaka heads, told UN journalist they would have the same walled free space during and after the fix-up on the UN building. Now that first $23,000 was demanded, then wall-less “whistlebelower free” zones have been offered, no explanation of the change has been offerer, nor how it is consistent with the statement that “there are others whose job it is to look at us critically and we accept that with a very open mind and an open heart.” Watch this site. * * *
UN E-mails Allege Plot to Deny Ban a Second Term, Trick for Supachai at UNCTAD? Byline: Matthew Russell Lee of Inner City Press at the UN: Exclusive UNITED NATIONS, June 24 — Weeks after the filing with the UN investigative unit of emails showing a dirty tricks campaign by staffers of UN Conference on Trade and Development chief Supachai Panitchpakdi to get a second term, on Wednesday UN Secretary General Ban Ki-moon nevertheless announced he is supporting Supachai for another four years. Inner City Press, which exclusively reported the filing on June 22, asked Ban’s spokesperson if Ban had considered its contents, and acknowledged any connection between them and the reappointment. The most explosive part of the emails, being published for the first time today by Inner City Press, are the arguments made in a May 8, 2009 email by Supachai’s special adviser Kobsak Chutikul, that African and other countries were supporting Ivory Coast’s former trade minister to deny Supachai from Thailand a second term in order to set a precedent to deny Ban Ki-moon a second term as Secretary General, due to “his perceived Western backers.” Ban’s spokesperson declined to comment on the filing, saying it is before the UN Office of Internal Oversight Services. Video here from Minute 10:45. But senior Ban officials including Management chief Angela Kane and Ethics Officer Robert Benson have had the complaint since June 4. Meanwhile, the complainant has reportedly been demoted. Inner City Press asked Supachai if his UNCTAD has any whistleblower protection provisions. Yes we will follow those, Supachai answered. He claimed he “never campaigned,” despite what the emails show his special adviser Kobsak Chutikul doing. He claimed he only “responded to some countries’ remarks.” Video here, from Minute 56:18. Given these statement, Inner City Press is today publishing some of the emails at issue, here.
“Gentlemen, please see attached NAM Note Verbale sent out to all NAM Missions today. In light of this new development, it is the assessment of Thai and some ASEAN Ambassadors that the picture has become clear — UNCTAD SG post has become an innocent bystander caught in the middle of a bigger struggle… The goal seems to be to insist on geographical rotation of posts, and undermining the practice / tradition of two continuous terms, with the real target being the UN SG (and his perceived western backers).” This argument raises the issue, for some interviewed by Inner City Press so far: did Ban have something of a conflict of interest in overriding (after working to override and change) African Group resistance and giving Supachai a second term? In fact, that too is laid out in Supachai’s special adviser’s Mach 8 e-mail, referring to telling Team Ban “things like ‘you are the real target’ or ‘you are next.’” The emails point to several other improprieties, and it is extraordinary that Team Ban wants or wanted to ignore them and simply reappoint Supachai. Following Chutikul’s”all hands on deck” e-mail, the press was on to get Ban to announce his referral of Supachai’s renomination to the General Assembly. A Chinese staff member conferred with Beijing, and that asked for evidence of which way Ban was leaning (Attachment G). Another UNCTAD staffer questioned why the African Group targeted the second term of Supachai and not Frenchman Pascal Lamy at the World Trade Organization — “because he’s white”? The e-mails are replete with racial references. Now what will happen? ### |
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Posted on Sustainabilitank.info on July 30th, 2010 C2C Launch Conference! Building a Climate Network, Williams College 9/24/10. |![]()
C2C/The National Climate Seminar Dear friends and colleagues, Amidst the wreckage of climate legislation in DC, one thing is clear. This is not the fight of a day, of a year or of a decade. Even had the Senate acted, changing the future would still have required a vibrant, engaged global citizenry, pushing every day of every year, for the next 40 years, to decarbonize the planet. American social movements—from abolition to civil rights—crest in legislation that changes the direction of the nation, and the world. We hoped this would be the year. We were wrong.
So let’s get back to it. C2C is launching this fall, with a mini-conference at the Williams College Center for Environmental Studies on 9/24, from 3 pm-9 pm. 1. Every year, engage educators at 1,000 colleges, universities and high schools, and 2. Every year, involve 50,000 students in direct video and conference-call dialogue with Congress, with Corporations and with Cities, on clean energy solutions to global warming. Economist Juliet Schor, author of Plentitude, will keynote. To register for the conference, please contact jofrench@bard.edu. There is no charge to attend. Following the launch conference, on 9/29 at 3 PM Eastern, join us for a National C2C Webinar. We need your ideas on how we can build a permanent and growing national network, including tens of thousands of faculty, students and staff, in regular dialogue with key decision-makers on climate. This is the fight of our lives. Thanks for the work you are doing. Eban Goodstein
Director, Bard Center for Environmental Policy
************** The National Climate Seminar, a twice-monthly discussion featuring top scientists, political leaders and policy analysts, is sponsored by The Bard Center for Environmental Policy, and made possible by a grant from The Clif Bar Family Foundation.
The Clif Bar Foundation is our longest-standing National Teach-in partner. Forty Percent of Car Trips are within two miles of your home: Take Clif Bar’s Two-Mile Challenge and ride or walk instead!
Books & Videos For the National Teach-In
Recent books of note: Auden Schendler’s Getting Green Done; Gary Braasch’s Earth Under Fire; and Gary and Lynne Cherry’s How We Know What We Know About Our Changing Climate: Scientists and Kids Explore Global Warming, Michael Mann and Lee Kump’s Dire Predictions: Understanding Global Warming, Amy Seidl’s Early Spring: An Ecologist and Her Children Wake to a Warming World, Eban Goodstein’s Fighting for Love in the Century of Extinction, and Ignition (Isham and Waage)
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C2C is the e-bulletin of the public policy initiatives of the Bard Center for Environmental Policy. ### | ||||||||||||||||||||||||||||||||||||||||||
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Posted on Sustainabilitank.info on July 30th, 2010 An Entire Generation of India’s Brightest Students is Galvanized into Tackling Sustainability, Climate Change, Energy Security and the Environment. IIT Madras to Host The 2010 Al Gore Sustainable Technology Venture Competition™, India, in Chennai, September 30 ? October 3, 2010. —————— The The Al Gore Sustainable Technology Venture CompetitionTM 2010 to be held at IIT Madras
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Posted on Sustainabilitank.info on July 30th, 2010 What makes a good UN story? We hinted at the Kevin Rudd idea earlier but we were still waiting for further developments. Are we seeing here rumors because of infighting in Australia on the way to their National elections August 21, 2010? Are we on the trail of rumors intended to save the Ban Ki-moon reelection to a second term? Are we watching an Obama approach to create a new environment to save negotiations on climate? Kevin Rudd would be an excellent choice to extricate the UN from the hole it created in the “Seal the Deal” charade when every child could have seen that the G192 is no environment to talk about Sustainable Energy options. Australia is no good example either – but Kevin Rudd was ready to step out of his nation’s “is” and aim for a better future. He got punished for this and perhaps is now ready for revenge by working on a global level that will then sweep with him his own country as well. With his experience as Australia’s Prime Minister with-vision that was cut short from bringing his own country into the group of real leaders for tomorrow, he can work with President Obama and perhaps the other four leaders that hammered out the Copenhagen platform that is not dependent on all climate mongers of the UN circuit. As a fresh figure, he could perhaps sit down with the ALBA folks and take the best ideas they have and incorporate them also in a new recipe under the SUSTAINABILITY big sky of the future. Will the UN accept him as a new Super Czar of a combined UNCSD and UNFCCC – or let him form a new structure so these older structures will just wilt away into oblivion slowly? Who knows? But let us follow this new world hype. The subject having slowly boiled in the PRESS has reached also www.UNelection.org – so it is time for us to try out the waters ourselves also. This then reinforced the UNelections interest in the issue as per added - ================================================= http://www.heraldsun.com.au/news/special… Kevin Rudd could be offered UN role before end of election campaign
![]() Kevin Rudd talks with UN secretary-general Ban Ki-Moon / AP Source: AP KEVIN Rudd’s new United Nations post could be announced before the end of the election in what looms as another major embarrassment for Julia Gillard. The Herald Sun can reveal the UN body Mr Rudd is being considered for is being set up under the working title High-Level Panel on Global Sustainability. Mr Rudd is believed to have been backed for the post by the UN’s chief climate adviser, Janos Pasztor, and is odds-on to be offered the job. Diplomatic sources said the decision could be made within weeks, which raises the spectre of an appointment before the election. “It’s on the cards,” a source said of a pre-election announcement. The Herald Sun believes Mr Rudd is favoured in part because he will have direct access to resources paid for by the Australian taxpayer. This is on the assumption that the former prime minister is re-elected to Federal Parliament on August 21, 2010. Climate change reform will be the centrepiece of the panel, virtually guaranteeing conflict with a Gillard government, assuming Labor is re-elected. Sources said it would be created to look at climate change in the context of broader sustainable development, and would be part-time. Mr Rudd has declined to say whether the appointment would be paid. If he were to be paid, this could raise allegations he would be a part-time MP. Mr Rudd’s spokesman directed questions to the UN, declining to say whether he already had accepted the position. Mr Rudd has previously said he would serve a full term in Parliament and that any UN position would be part-time. “It is a matter, of course, for the United Nations Secretary-General to clarify what roles would be played by any individual on such a panel,” Mr Rudd said on July 22. The biggest political risk for the Government is that the UN body clashes on climate change policy backed by Ms Gillard. Mr Rudd previously backed a 5 per cent emissions cut on 2000 levels by 2020 as well as a so-called cap-and-trade scheme, which involves setting limits on carbon emissions but allowing heavy polluters to buy permits to allow them to emit more carbon. Mr Rudd dropped his legislation this year when it was blocked by the Coalition in the Senate and his handling of the issue was considered crucial to him being dumped as PM. —————————————–
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Posted on Sustainabilitank.info on July 30th, 2010 The facts as described in: http://www.charlotteobserver.com/2010/07… Canadian woman is next top UN internal watchdog. By JOHN HEILPRIN UNITED NATIONS The United Nations turned to a Canadian woman on Wednesday who was chief auditor for the World Bank as its choice for the next head of the U.N.’s internal watchdog agency. Carman Lapointe-Young won approval from the General Assembly to become the undersecretary-general for oversight. She will be given the huge task of trying to quickly fix an agency that her predecessor says is in disarray. She will start her job on Sept. 13, the U.N. announced. She will move to New York from Rome, where she has headed the oversight office of the U.N.’s fund for agricultural development since February 2009. The Manitoba native was appointed to the non-renewable, five-year term as head of the U.N.’s Office of Internal Oversight Services by Secretary-General Ban Ki-moon, whose leadership was severely criticized in an end-of-assignment memo by outgoing OIOS head Inga-Britt Ahlenius of Sweden. Ban said in a statement that Lapointe-Young has the “breadth and depth of experience and expertise required for this demanding position.” He said she will be expected to rebuild OIOS and fill its many vacancies as soon as possible. Ban is reviewing Ahlenius’ memo and has ordered a review of the U.N.’s ability to investigate itself, his chief of staff, Vijay Nambiar, said last week. Bea Edwards of the Government Accountability Project, a Washington-based nonprofit law firm, said Wednesday one of the key challenges Lapointe-Young will face is to redirect OIOS investigations onto cases of major financial fraud and corruption. Her firm has represented at least one OIOS investigator who filed a whistleblower complaint against the division’s acting director. “We would just hope that she would re-focus the attention of OIOS onto the more significant cases of fraud and corruption, and there would be less emphasis on these petty, internal investigations,” said Edwards, referring to internal probes that she said were focused on allegations such as improper travel expense claims and pornography on computers. Over the past decade the U.N. has been rocked a series of corruption scandals in its multibillion-dollar spending. The best known resulted from a two-year investigation into the U.N.-run oil-for-food program for Iraq led by former Federal Reserve chairman Paul Volcker. Volcker’s inquiry culminated in an October 2005 report accusing more than 2,200 companies from some 40 countries of colluding with Saddam Hussein’s regime to bilk $1.8 billion from a program aimed at easing Iraqi suffering under U.N. sanctions. As a result of the scandal, the U.N. created a special anti-corruption task force between 2006 and 2008 that found 20 significant corruption schemes. Its work led to sanctions against about 50 U.N. vendors, many of which were permanently debarred, and felony convictions against three U.N. officials, including two senior procurement officials. Lapointe-Young won the nod despite some grumbling among diplomats from developing nations who said her appointment upset an informal understanding that the top accountability post should alternate between developing and rich Western nations. At the General Assembly, several diplomats touched on the issue of geographical diversity. U.N. spokesman Martin Nesirky acknowledged the concerns of representatives of “regional groups” in the General Assembly who were consulted before Wednesday’s approval, but said Ban’s selection was based on “merit,” ultimately. From 2004 to 2009, she was the auditor general of The World Bank Group. It was during that time that Paul Wolfowitz resigned as president of the World Bank amid controversy over a pay package for his girlfriend, a bank employee. She succeeds Ahlenius, who left the OIOS post in mid-July after blaming Ban for blocking her attempt to hire a former U.S. federal prosecutor as permanent head of the investigation division and taking other measures that she said undermined the operational independence her office is supposed to have. Ban and his senior advisers have quickly closed ranks and disputed many of the memo’s assertions while trying to put the dispute quickly behind them. “Where there are lessons to be learned, we will draw them,” Angela Kane, the undersecretary-general for management, said in a statement Wednesday. In a statement labeled “Accountability for a Stronger United Nations,” Kane said Lapointe-Young will inherit “an office with 76 vacant posts” because Ahlenius failed to fill them. —————————- AT THE FAREWELL PARTY GIVEN BY OUTGOING AMBASSADOR H. E. YUKIO TAKASU OF JAPAN, SEEMINGLY MR. BAN KI-MOON EXPRESSED SURPRISE AT REPORTS THAT SOUTH AFRICA WAS PROMISED A SENIOR POST AT OIOS IN EXCHANGE FOR NOT BLOCKING THE APPOINTMENT OF A CANADIAN. so, here we have his commitment to let the new OIOS Chief pick her own Deputy? At UN, Farewell to Takasu Amid Echoes of OIOS, of Human Right to Water and Sushi By Matthew Russell Lee
UNITED NATIONS, July 28 — Japan’s Yukio Takasu held a farewell to New York and the UN on Tuesday night at his country’s East Side townhouse. Secretary General Ban Ki-moon was there — expressing surprise at reports that South Africa was promised a senior post at the Office of Internal Oversight Services in change for not blocking the top spot going to a Canadian - as well as his Under Secretaries General Lynn Pascoe, Kiyotaka Akasaka and Angela Kane. After Mr. Ban and his well liked bride left, much talk turned to the controversy stirred by the damning End of Assignment Report of outgoing OIOS chief Inga Britt Ahlenius. While usually at the UN, the press asks Ambassadors for information and opinion, this time is was the reverse. Several Ambassadors asked Inner City Press, What do you think this means for Ban getting or not getting a second term? Major Permanent Representatives had read the critical Press coverage. “This is not good,” they said. “But will Obama have the decisiveness to act?” Susan Rice was asked and told the media as if by rote that the US supports Ban. Others in the Obama Administration are not saying the same thing. Ban’s USGs worked the crowd. Angela Kane of Ban’s Department of Management bowed, Japanese style, with an outgoing members of the Advisory Committee on Administrative and Budgetary Questions from, where else, Japan. Due to ACABQ’s penchant for anonymity, we will not name her but wish her well. As the UN’s envoy to Darfur said earlier at the stakeout, ACABQ recently visited El Fasher. She noted of Inner City Press, your coverage of ACABQ is always fair. Hey, it’s the only accountability mechanism in the UN, along with the press. Kiyo Akasaka of Ban’s Department of Public Information was in his element, offering food recommendations and this new media news, that the UN is agreeing to a refer in their forthcoming guidelines to a willingness to accredit bloggers — and not only “journalists who write blogs” — although, strangely, confined to a footnote. We’ll see. ——————————- The reality at the UN is that seemingly there is much financial interest by many countries and this includes covering of plain corruption – so – OIOS would have its hands full if it were to go after this plateful of problems. Take for instance all those companies that bribed their way through the Iraqi “Oil for Food” project. Did anyone look at them, i.e. the French bank that was involved? Paul Volcker put it all in the open and the UN pushed it back under the rug by appointing OIOS. Will it finally be picked up? Then, Ms. Alhenius also had a clear conflict. It is a Swedish company that got a non-competitive contract to redo the UN buildings. Some at he UN wanted to see this reviewed – clearly a matter for OIOS – but we heard no action on this. Only some members of the Press kept pointing at the problem. So far we do not know of conflicts of interest involving Canada, will the new Chief start out with her right foot in staking her position – as controller – the buck stops here? Something like the US GAO – US Comptroller General? In what regards her attitude when auditing the World Bank, we found an excellent interview with her: http://findarticles.com/p/articles/mi_m4153/is_3_64/ai_n27504378/?tag=content;col1 that we highly recommend to our readers. Making a difference: the World Bank Group’s Auditor General Carman Lapointe-Young says her team of auditors is playing its part in the organization’s fight to end poverty.Internal Auditor, June, 2008 by Neil Baker———————————— Further, we are gratified that our article was picked up byUNelections.org Canadian Woman is Next Top UN Internal Watchdog (Opinion) – July 28### |
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Posted on Sustainabilitank.info on July 29th, 2010 July Update
Perhaps nowhere is the protracted death of the Gulf Coast more apparent than in Pointe-Aux-Chenes, Louisiana, where decades before the BP oil disaster, the marsh started disintegrating. The Gulf of Mexico became, in effect, the United States’ toilet bowl — known for its seasonal “dead zones,” high erosion rates, dirty industry, ingrained poverty and, now, for the biggest oil disaster in the history of the country. Full story
More on the oil disaster:
After Hurricane Katrina tore through the Gulf Coast, thousands of residents were displaced, neighborhoods were submerged and streets were littered with debris. To mark Katrina’s five-year anniversary, CNN is embarking on an ambitious project to see what the region looks like now. Instead of compiling a simple before-and-after photo gallery, we’re instead asking iReporters to visit the places devastated by Katrina and document the scene today.
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Posted on Sustainabilitank.info on July 29th, 2010 WORLD NEWS – JULY 29, 2010 Climate report shows Earth has heated up over 50 years. Which in the printed Wall Street version was rechristened – “CLIMATE STUDY CITES 2000 as WARMEST DECADE.” This appropriate to the US inward look of New York, while the above title is clear better positioned for the world at large - By GAUTAM NAIK A new assessment concludes that the Earth has been getting warmer over the past 50 years and the past decade was the warmest on record. The State of the Climate 2009 report, published Wednesday as a special supplement to the Bulletin of the American Meteorological Society, was compiled by 300 scientists from 48 countries and drew on measures of 10 crucial climate indicators. Seven of the indicators were rising, including air temperature over land, sea-surface temperature, sea level, ocean heat and humidity. Three indicators were declining, including Arctic sea ice, glaciers and spring snow cover in the Northern Hemisphere. “Each indicator is changing as we’d expect in a warming world,” said Peter Thorne, senior researcher at the Cooperative Institute for Climate and Satellites, a research consortium based in College Park, Md., who was involved in compiling the report. The report’s conclusions broadly match those of the Intergovernmental Panel on Climate Change, a United Nations body, which published its last set of findings in 2007. The IPCC report contained some errors, which further stoked the debate about the existence, causes and effects of global warming. The new report incorporates data from the past few years that weren’t included in the last IPCC assessment. While the IPCC report concluded that evidence for human-caused global warming was “unequivocal” and was linked to emissions of greenhouse gases, the latest report didn’t seek to address the issue. The report said, “Global average surface and lower-troposphere temperatures during the last three decades have been progressively warmer than all earlier decades, and the 2000s (2000-09) was the warmest decade in the instrumental record.” The troposphere is the lowest layer of the atmosphere. The scientists reported that they were surprised to find Greenland’s glaciers were losing ice at an accelerating rate. They also concluded that 90% of planetary warming over the past 50 years has gone into the oceans. Most of it had accumulated in near-surface layers, home to phytoplankton, tiny plants crucial to virtually all life in the sea. A new study has found that rising sea temperature may have had a harmful effect on global concentrations of phytoplankton over the past century. —————————– BUT THE WALL STREET JOURNAL IS VERY ANEMIC ON CONTENT OF ABOVE NEWS – IF YOU WANT TO KNOW WHAT REALLY HAPPENED, AS MOSTLY ALMOST – GO TO THE FINANCIAL TIMES. HERE YOU FIND FIONA HARVEY’S FULL ARTICLE – SHE CONTRIBUTES TO THE EDITORIAL SECTION AS WELL. YOU WILL BE IN THE CLEAR ABOUT THE MACHINATIONS IN WASHINGTON AS WELL. You will also see there the Washington rot as in the following: “Myron Ebell, of the Competitive Enterprise Institute in the US, formerly in charge of energy with the powerful CSIS, said the new report would not change people’s minds. “It’s clear that the scientific case for global warming alarmism is weak. The scientific case for [many of the claims] is unsound and we are finding out all the time how unsound it is.” You will find that there was no doubt about the implication that it is humans who did it except in the words of that outspoken minority of industry lobbyists that hold power over Washington. ————————– NOAA finds “human fingerprints” on climateJuly 28th, 2010 by Fiona Harvey
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Posted on Sustainabilitank.info on July 28th, 2010 Maradona out as coach as Argentina’s soccer coach. “Diego shut himself off to any change,” executive committee member Luis Segura said on Argentine television. “Diego has all the right to do what he wants. But so does AFA.” The federation had offered Maradona a four-year contract through the 2014 World Cup, but Maradona said he would do so only if his entire staff remained. That was unacceptable to AFA president Julio Grondona. He had asked for several assistants to be replaced, including Maradona’s close friend Alejandro Mancuso. The federation said its executive committee unanimously decided to not keep Mardona. AFA spokesman Ernesto Cherquis Bialo called the decision “very painful” but said there was no way to solve the impasse. “This marks the end of a first chapter with Mr. Maradona,” Cherquis Bialo said. “The doors to this house, as always, will be open to him.” Youth team manager Sergio Batista was appointed interim coach for the Aug. 11 exhibition at Ireland, which will be followed by a Sept. 7 home exhibition against world champion Spain. Possible permanent successors include two club coaches in Argentina: Alejandro Sabella of Estudiantes and Miguel Russo of Racing. Asked about the full-time coach, Cherquis Bialo said: “The people who were in the meeting have no name in their imaginations. It has just been announced that the contract with the coach will not be renewed. And so, a new stage begins.” The 49-year-old Maradona became Argentina’s coach in November 2008, replacing Alfio Basile and taking over a team he led to the 1986 World Cup title and the 1990 final. He had little coaching experience, and his team absorbed two of the worst losses in the country’s history: a 6-1 rout at Bolivia in World Cup qualifying and the World Cup defeat to Germany. Argentina attacked with flair in South Africa, with Messi setting up scoring strikes by Gonzalo Higuain and Carlos Tevez. Maradona, dressed on the sideline in a gray suit, was an enthusiastic cheerleader, but that could not compensate for his team’s tactical deficiencies. The loss to Germany exposed frailties on defense and lack of midfield speed. Messi, widely regarded as the game’s best player, left with World Cup without scoring a goal. Maradona never explained why Messi — he was left to roam the field on his own — wasn’t scoring. “Nobody ever told me where to play. So I shouldn’t have to tell Messi where to play, either,” Maradona said. Maradona, who has fought cocaine and alcohol addiction, grew up in a Buenos Aires slum, and his escape from poverty has endeared him to many. But he has worn out his welcome in other quarters. Maradona ruffled the government of President Cristina Fernandez, who twice invited the coach to meet with her. But cabinet chief Anibal Fernandez said Maradona failed to respond or answer the phone, forcing the president’s secretaries to leave messages. Fernandez had been openly supportive of keeping Maradona as coach, and one legislator has proposed building a monument to honor him. Two weeks ago, the federation offered Maradona the chance to extend his contract. But Maradona put off meeting with Grondona to travel to Venezuela at the invitation of a friend — President Hugo Chavez. Still, Maradona had many supporters. “I want Maradona to stay,” Interior Minister Florencio Randazzo said Tuesday in an interview on radio La Red. “We will support his decision. If he leaves we will miss him.” Added team trainer Fernando Signorini: “I have no doubt they didn’t want him. Maradona is like a stone in the shoe of power.” ### |
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Posted on Sustainabilitank.info on July 27th, 2010 A Reality Show – Climate Change is dead in the US this November. A full Opinion Page in The New York Times explains the Spin of the Washington Cowards. The facts are that industry and the people were against it and The President obliged. The Planet does not vote. Op-Ed Contributor from the center – the Rockefeller Family Fund.Four Ways to Kill a Climate BillBy LEE WASSERMAN
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Posted on Sustainabilitank.info on July 26th, 2010 The following is just another example of efforts to keep us do what we are used to do – squander fossil carbon because some interests want us to stay hooked to that stored global poison. Instead of us changing our ways – the idea here is to change the world around us. This is so much hubris and some say a real danger to the planet. We are no proponents of the methods mentioned below. But whatever, it surely lets our imagination wander in new directions. We touched on this last week in our: Bastille Day was celebrated in Rockland County, NY, on Saturday July 17, 2010. We had a great time that started at the Public Library in South Nyack where Eli Kintisch presented his new book “HACK THE PLANET: SCIENCE’S BEST HOPE – OR WORST NIGHTMARE FOR AVERTING CLIMATE CATASTROPHE.” From there I continued to Piermont, NY, where they were shooting in the street and eating cornichons. The Climate Change walls must come down with geoengineering? That is something like a new quantum jump of logic. Posted on Sustainabilitank.info on July 20th, 2010 and we will do the subject better justice based on “HACK THE PLANET” – Science’s Best Hope – or Worst Nightmare – for Averting Climate Catastrophe, the recently released book by Eli Kintish Wiley.com Publishers) that reached us today by mail. ===================================== Climate: ControlledSunday 25 July 2010 by: Jason Mark, t r u t h o u t | Op-Ed Geoengineering Threatens to Save the Planet from Global Warming. The sky would look white, but the sunsets would be an out-of-this world explosion of reds and oranges. The clouds would have a chrome sheen to them. Giant dirigibles might dot the horizon in a kind of Blade Runner set piece – but at least they’d keep the temperatures in check. Such scenes are what we could expect to see if, as some of the world’s top climatologists are warning, we have to resort to what’s called “geoengineering”: large-scale manipulation of Earth to counteract global warming. Worried that global political systems aren’t responding to changes in the planet’s physical systems, some scientists and environmentalists say that we might need to artificially reduce the amount of sunlight striking the globe and/or manipulate plants or the oceans to absorb huge amounts of CO2. Having unintentionally warmed the planet, we may have little choice but to intentionally cool it back down. Since they sometimes sound like science fiction (a space-based mirror umbrella?), geoengineering schemes were, until recently, relegated to the imaginations of the tinfoil hat crowd. But at least two geoengineering approaches are now generating serious discussion. In a planetary version of pulling down the shades, Stanford climatologist Ken Caldeira has proposed sowing the stratosphere with sulfur dioxide to catalyze water condensation that would reflect sunlight away from the planet. This idea enjoys the advantage of a real-world experiment – the 1991 eruption of Mount Pinutabo in the Philippines, which blew 20 million tons of sulfur dioxide into the stratosphere and cooled global temperatures by half a degree Celsius. Caldeira and others envision using massive artillery or a fleet of high altitude blimps to inject the sulfur aerosol into the sky. Another geoengineering strategy – called cloud bleaching – imagines an armada of robotic ships sailing the oceans, equipped with giant fans to kick seawater into the clouds to make them more reflective. This idea has big money behind it. The Times of London reported earlier this month that Bill Gates has invested $300,000 in a firm investigating cloud whitening. The Gates investment is fueling fears of what’s been dubbed a “greenfinger scenario”: that is, a maverick, if well-meaning, billionaire who decides to do an end-run around paralyzed governments and start manipulating the globe’s climate without the consent of the rest of us. That prospect has scientists, NGOs, and governments scrambling to work out a system for governing geoengineering. In March, scientific ethicists met at Asilomar in California to lay out rules for experimenting with the atmosphere. United Nations officials working under the Convention on Biological Diversity meeting in Nairobi in mid-May discussed protocols for global climate control. The British Parliament and the US Congress are looking into the issue. As with any new technology, the tensions surrounding geoengineering come down to the issue of power. Who would decide how, whether, and when to start modifying the entire planet? Or, as Alan Robock, a Rutgers University philosopher with a National Science Foundation grant to investigate geoengineering, put it to me, “Whose hand will be on the thermostat? What if Russia and Canada decide they want it warmer and India wants it cooler? How do you decide those things?” Geopolitical complications aside, there’s no question that geoengineering is tempting. With scientists warning that we are on the edge of serious ecosystem disruptions – and our politicians unwilling to respond to the threat – who doesn’t want some kind of deus ex machina to swoop in and save us? But this is a temptation we should resist, because, in the final analysis, geoengineering isn’t any solution to the problem of global climate change. It’s merely a perpetuation of the same mindset that has led us to this emergency situation. If mitigation (reducing emissions) is the hope of the idealist, and adaptation (preparing for rising waters) is the consolation of the realist, then geo-engineering (call it circumvention) has become the refuge of the cynic. Geoengineering assumes that although we may be able to alter how the planet works, we are incapable of changing the way we run the world. Geoengineering is a great example of the old Albert Einstein aphorism, “We can’t solve problems by using the same kind of thinking we used when we created them.” Geoengineering takes a problem, simplifies its cause, and then exaggerates its solution. It’s like a Rube Goldberg machine, employing eight or nine steps when one or two would do. Instead of pursuing the elegant solutions – trading in our cars for buses, turning off the coal and turning on the wind – we are going to build a contraption to make the clouds shinier. This makes geoengineering (the ambivalence of its supporters notwithstanding) human hubris compounded. It’s like doubling down on self-regard, a bet that we can save ourselves by divorcing our species from the rest of the planet. Bill McKibben warned about just such a fate in his seminal book The End of Nature when he cautioned that global warming would turn us into a “bubble species.” As soon as we put our hand on the lever controlling the weather, we will be in charge in a way we never have been before, knowing that if for any reason we were to cease overseeing the sunlight, global temperatures would shoot upward again, leading to even worse trouble. The new role will force on us an existential anxiety much like the Cold War “strategy” of mutually assured destruction. If we take control of the sky, we will always be fearful of letting our grip slip from the machines that keep the planet in a semblance of balance. Even were geoengineering to succeed, it would nonetheless mark a failure of humanity. Resorting to geoengineering would prove that we can’t act in concert to address collective problems. Worse, it would transform Earth, our home for all of history, into a trap, a place where we are held captive by our own technology. ### |
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Posted on Sustainabilitank.info on July 26th, 2010 http://www.truth-out.org/red-sea-the-oth… Red Sea: The Other Oil Spill.Friday 16 July 2010 by: Jon Jensen | GlobalPost | Report Hurghada, Egypt – When Hamdy Shahat and his four-man crew first set sail from this resort town last month, he expected to return with a boatload full of red snapper to sell at the market later that night. Instead, the 33-year-old skipper came back empty-handed, except for several streaks of thick, brown oil gummed along the hull of his wooden boat. Thousands of miles from the Gulf of Mexico, the site of BP’s massive oil leak, Shahat had inadvertently discovered Egypt’s own oil spill. Now, just like most Americans, Egyptians are asking what went wrong in the Red Sea. For fishermen like Shahat, navigating around small patches of oil floating in the otherwise turquoise-colored Rea Sea is not all that new. Egypt’s portion of the waterway is, after all, home to about 180 oil platforms and heavily trafficked by massive tankers heading north from the Middle East to Europe through the Suez Canal. In an environment like this one, small-scale oil leaks are almost the norm. But this time, the oil was nearly impossible to avoid. “I remember the slick looking like a lot more oil than usual,” said Shahat. “The way the sunlight hit the surface of the water the patch looked so big that we thought it was actually underwater coral.” Last month, Shahat was among the first in Hurghada to discover, like other fishermen who inadvertently sailed through it, what some experts are already calling one of Egypt’s worst oil spills in recent years. Many details regarding the source of Egypt’s latest spill, which washed up on the shores of an area rich in biodiversity and popular with foreign tourists, are still unknown. The leak, initially reported to have blanketed a 12-mile stretch of sea, was first reported on June 18, though many here believe the oil started seeping into the water days earlier. Scientists and conservationists admit that serious environmental damage was limited to only a few offshore islands because of strong currents and winds that quickly pushed the slick to Hurghada’s shoreline, rather than underwater to the coral reefs. And by most accounts, the total amount of oil spilled in Egypt was small when compared to other international incidents, like the BP spill that was finally capped on Thursday. But for many residents in Hurghada, there is little comfort knowing they won’t have to face the huge levels of crude oil that is now washing up on the shores of the Gulf of Mexico. The uncertainty over exactly what happened in the Red Sea in June, coupled with the possibility of larger spills in the future, is enough to keep everyone here on edge. Nearly one month after the spill’s discovery, very few details have emerged regarding the source of the leak and the actual amount of oil released, prompting accusations of government mismanagement from a host of activists, independent scientists and local businessmen. Amr Ali, director of the Hurghada Environmental Protection and Conservation Agency, an organization started by a group of divers, is leading the charge against the government’s handling of what Ali calls a “catastrophic” spill. The parties responsible for the leak, Ali said, did not notify anyone of the spill until Hurghada’s fishermen literally sailed into it — a full three days after it started. “This is not just about the spill — it’s about how crises like this are handled with zero transparency,” he said. “Whoever caused this spill should not get away without a penalty.” Ali said he was surprised to hear Egypt’s government eventually announce that they had sealed the leak, while simultaneously pleading ignorance on the exact location of the source. Video footage shot by Ali’s organization, which was later posted to the group’s YouTube channel days after the start of the spill, shows an oil-like substance floating in the water outside an offshore drilling platform. In the video, a small boat dumps what appear to be chemical dispersants into the water near the rig. The platform is identifiable in the footage as a similar rig run by PetroGulf Misr, a government-controlled oil company based near Geisum Island, just north of Hurghada. For its part, the company has denied any involvement in the spill. Khaled Boraie, a spokesman for PetroGulf Misr, provided GlobalPost only the following statement: “We have no relation with the oil spill in Hurghada.” A sign displayed in the lobby of the company’s Cairo’s office proudly announced that they had gone 107 days without incident or accident. Egypt’s petroleum ministry finally weighed in one week after the incident, issuing a lengthy press release denying that the company’s platform could have caused any spillage and offering several possible alternative sources. “The spill was due to passing oil tankers that discharged their ballasts or spilled oil from their loads and then the wind likely spread it to the beaches,” said Khaled Ismail, a chemist with the government-run Egyptian General Petroleum Corporation, echoing the press release. Another possible source of oil, which only amounted to between 30 and 50 barrels, according to Ismail, was older sludge spilled years ago on nearby islands that had melted under higher-than-average heat and slid back into the Red Sea. Several independent scientists, however, refute those claims. “I cannot accept [the ministry’s account] because the amount of oil found was much more than would come from a passing ship. And it was all crude oil,” said Salah el-Haggar, a professor of energy and environmental studies at the American University in Cairo. “They are aware of the problem but we are not. So we still don’t know how this happened and who is responsible.” Though Egypt’s petroleum and environmental ministries were generally praised for the rapid cleanup of Hurghada’s beaches — thoroughly swept within just three days — many believe it was a cosmetic attempt to rescue only the areas tourists frequent. Mahmoud Hanafy, professor of marine sciences at the Suez Canal University, worries that although the spill was limited in size, lingering pollution may have already disrupted the ecology on the islands off Hurghada’s coast. The uninhabited Northern Islands are home to a variety of species of fish and turtles and also serve as nesting grounds for the white-eyed gull, a “near threatened” species endemic to the Red Sea. The oil washing up during the initially unreported first few days of the spill hit these beaches hard, according to Dr. Hanafy. “The problem is that the spill happened in an area with a sensitive ecosystem. This is a very valuable piece of land for diving, as an ecological site and for oil production,” Hanafy said. “The challenge for Egypt is to figure out how to reach a balance between oil production and conservation of the Red Sea.” Egypt produced an average of 685,000 barrels of oil per day in 2009. About 70 percent of that oil, according to Hanafy, comes from the fragile Red Sea ecosystem. Many conservationists and tour operators saw a minor victory when, in the wake of the spill last month, Egypt’s petroleum minister said he would consider reducing the number of oil concessions granted in the Red Sea area. Egypt’s tourism sector, by comparison, especially around the Red Sea beaches and coral reefs, is one of the largest sources of national revenue. In 2007, over 11 million foreign tourists visited Egypt, earning the country more than $7.6 billion. Several beaches in Hurghada temporarily closed for a few days during the cleanup period last month. Sameh Hwaidak, chairman of the Red Sea Hotel Association, admits that tourism in Hurghada was not significantly affected by the spill. But like many hoteliers here, Hwaidak watches the events transpiring in the Gulf of Mexico with grave concern, worrying that the possibility of an equally devastating oil spill in Egypt — with a similar response from the government here — would cripple the local tourism. “We only found out about this the minute oil hit the beach. We put down booms and cleaned the sand, but that’s not the solution,” he said. “The solution is to stop the oil platforms from operating so close to our beaches.” ### |
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Posted on Sustainabilitank.info on July 25th, 2010 Das Celebrate Life Festival wird von der Sharing the Presence UG und vielen freiwilligen Helfern organisiert. Sharing the Presence UG Kontakt fürs Celebrate Life Festival: welcome at celebrate-life.info http://celebrate-life.info/2010/das-fest… ——————————————————————————————————————————————————– NEW: August 3, 2010: Speech and Workshop with Shlomo Shoham Future Oriented Leadership – From Survival Mode to Future Creation Mode.A Holistic Approach to Leadership Training Talk & Workshop with Shlomo Shoham Practicing Future Imagery – WorkshopWorkshop with Shlomo Shoham Shlomo Shoham, ret. judge, lecturer, author, visionary… As first Commissioner for Future Generations (Israeli Parliament) he was tasked with the difficult work of representing the needs, interests and rights of those not yet born. He understood, that a global transformation with “new” leaders is needed. He founded the “Sustainable Global Leadership Academy”, which will train young leaders with the according potential. At the core of the holistic curriculum is “future intelligence”, which comprises sustainability, visionary thinking and creative foresight. He will present a taste of it at the festival. His new book “future intelligence” is printed at BertelsmannStiftung. www.sustainabilitank.info Our own effort on explaining Judge Shlomo Shoham approach to our own responsibility towards FUTURE GENERATIONS – OUR YET UNBORN DESCENDANTS. This retired Israeli Judge is the essence of Sustainability and his idea of having within each administration a desk for securing the interests of future generations is the essence of true humanity. ——————————————————————————————————————————————————- ![]()
Impressum | Celebrate Life Festival 2010 ### |
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Posted on Sustainabilitank.info on July 25th, 2010 Friday, July 23, 2010, The Japan Times online.
http://search.japantimes.co.jp/mail/eo20… India ignoring Washington as it woos Iran.
By HARSH V. PANT
Special to The Japan Times
LONDON — India and Iran have decided to give new direction to their bilateral ties that have been dormant for some time now.
Ever since the United States and India started to transform their relationship by changing the global nuclear order to accommodate India, Iran has been a litmus test that India has had to pass from time to time to the satisfaction of U.S. policymakers. India’s traditionally close ties with Iran have become a factor influencing a U.S.-India partnership. India-Iran ties have been termed an “axis,” a “strategic partnership” and even an “alliance.” However, the American focus on India-Iran ties has been highly disproportionate to the realities of this relationship, a result more of the exigencies of domestic politics than of regional political realities. Until recently, when the choice emerged between Iran and the U.S., India would side with the U.S. But the Obama administration’s callous attitude toward India is pushing India toward Iran, and that could have grave geopolitical consequences. Ignoring Washington, India recently signed several agreements with Iran, including an air services agreement and a memorandum of understanding on new and renewable energy aimed at increasing trade from $15 billion to $30 billion. Economic cooperation in priority areas such as oil, gas, petrochemicals, pharmaceuticals and textiles is key to this endeavor. Plans are afoot for greater maritime cooperation; Iran has already joined the Indian Navy’s annual initiative, the Indian Ocean Naval Symposium. Moreover, the two sides have decided to hold “structured and regular consultations” on the issue of Afghanistan. America’s Afghanistan policy has caused consternation in Indian policymaking circles. A fundamental disconnect has emerged between U.S. and Indian interests with regard to Af-Pak. The Obama administration has systematically ignored Indian interests in crafting its Af-Pak priorities. While actively discouraging India from assuming a higher profile in Afghanistan, for fear of offending Pakistan, the U.S. has failed to persuade Pakistan to take Indian concerns more seriously. While the U.S. may have no vital interest in determining who actually governs in Afghanistan — so long as Afghan territory is not used to launch attacks on U.S. soil — India does. The Taliban — good or bad — oppose India in fundamental ways. The consequence of abandoning the goal of establishing a functioning Afghan state and a moderate Pakistan will be greater pressure on Indian security. To preserve its interests in this milieu, India is now coordinating more closely with states like Russia and Iran. During Russian President Vladimir Putin’s visit earlier this year, India sought Russian support in countering what it views as a U.S.-Pakistan axis in Afghanistan. India is making a concerted move to reach out to Tehran. India’s deputy national security adviser, Alok Prasad, was in Iran a few weeks back trying to seek Iranian support in stabilizing the rapidly deteriorating situation in Afghanistan. Indian Foreign Minister S.M. Krishna, too, has held discussions with his Iranian counterpart, especially concerning the West’s plans for reintegrating “good Taliban” gathers momentum. Over the last several years, India has repeatedly voted in favor of International Atomic Energy Agency resolutions condemning Iran’s nuclear behavior. Though the Indian prime minister has been categorical in asserting that a nuclear Iran is not in Indian interests, the Indian government has been keen in recent months to emphasize that it favors dialogue and diplomacy as means of resolving the Iranian nuclear crisis. India has underlined that unilateral sanctions on Iran will hurt India, including sanctions by individual countries that restrict investments by third countries in Iran’s energy sector. As Indian Foreign Secretary Nirupama Rao recently made clear, India is “justifiably concerned that the extra-territorial nature of certain unilateral sanctions recently imposed by individual countries, with their restrictions on investment by third countries in Iran’s energy sector, can have a direct and adverse impact on Indian companies and more importantly, on our [India's] energy security and our attempts to meet the development needs of our people.” The Iran-Pakistan-India pipeline project has also been on the agenda as India remains keen to gain access to Iranian energy resources. Not only has Pakistan signed the deal with Iran, China is starting to make its presence felt in Iran in a big way. It is now Iran’s largest trading partner and is undertaking massive investments in Iran, rapidly occupying the space vacated by western companies. India is right to feel restless about its marginalization with respect to Iran despite civilizational ties with the country. The problems with the IPI pipeline remain difficult to overcome. India has differences over the pricing of the gas even as ensuring the security of the pipeline in restive Balochistan makes it difficult for India to accept the deal in its present version. Though problems remain in India-Iran relations, the latest overtures by New Delhi toward Tehran underscore the importance that India attaches to ties with Iran. That this is happening at a time when there has been a significant cooling of U.S.-India ties makes it even more significant. With the Obama administration’s credibility in India at an all-time low, New Delhi is left with few options, which include engaging with states that Washington doesn’t like. Harsh V. Pant teaches at King’s College London.
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Posted on Sustainabilitank.info on July 25th, 2010 The spill in the Gulf of Mexico is prompting questions about environmental impact that once would have been heresy in Louisiana. — http://www.blogrunner.com/snapshot/t/news/national/usstatesterritoriesandpossessions/louisiana/ Voices From the Spill | Patty Whitney, Community Organizer.Topic LouisianaBloggersThe Shrimp and Petrochemical Festival is Still On in LouisianaWhile driving down to Chauvin, Louisiana on Friday morning I saw a billboard confirming that Yes, the 75th annual shrimp and petrochemical festival is still on in Morgan City, La., on September 2-6. – BP’s Oiled Pelicans: ‘They Look Like Dead Angels in the Sand’Alarm bells were going off over a month ago from reputable wildlife rehabilitators and veterinarians. matt buchanan | Gizmodo
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Cleaning Up the Gulf Oil Spill With Dustbusters and ‘Knocking the Socks Off’ BPHow is the scrappy Plaquemines Parish Inland Waterway Strike Force cleaning up BP’s mess as oil creeps into their backyard the wetlands of southeastern Louisiana? With dustbusters. ‘Critical Alarm System’ Disabled Before Gulf Rig ExplosionPiles of dirty oil retention booms await disposal at a staging area in Grand Isle, La., Friday, July 23, 2010. The staging area was being prepared for Tropical Storm Bonnie which is expected to make landfall sometime Saturday along the Louisiana coast. senatus | S E N A T U S
– Louisiana Senate: Vitter Touts Internal PollSoon after “Rep. Charlie Melancon (D) released an internal poll showing he was deadlocked with Sen. David Vitter (R-LA) in their U.S. Senate race, Republicans released their own poll showing Vitter with a 17 point lead, 48% to 31%… The Daily Caller
For oyster clan, just another disaster in a series— As survival stories go, the Voisins have a gem: It goes back more than 200 years ago when the first members of their family to set foot on Louisiana soil weathered a monster storm in spectacular fashion… – Top StoryDaring to Pose a Challenge to the Oil Culture.By AMY HARMONPublished: July 24, 2010DULAC, La. — In this region so threatened by the BP oil spill, it has often seemed to residents that the only thing worse than losing tens of thousands of seafood industry jobs would be to lose their other major job source: the oil industry.
Lee Celano for The New York TimesPatty Whitney at a recent meeting of Bisco, for Bayou Interfaith Shared Community Organizing, in Terrebonne Parish. Gov. Bobby Jindal, a Republican, has called the Obama administration’s moratorium on offshore drilling “a second man-made disaster”; fishermen mourn the destruction of their way of life and defend Big Oil in the same breath; environmentalists call for restoring the battered coastline, not changing the national energy policy. So when Patty Whitney, a community organizer here in Terrebonne Parish, asked a question at a recent conference about the state of the Louisiana coast, it was all she could do to keep her voice from shaking. “We are constantly told, ‘You have to adapt to coastal land loss, you have to adapt because of the oil leak, you have to adapt to the new situation,’ ” she said. “When is our government going to adapt to new energy sources that aren’t harmful to our environment and the people who depend upon the environment?” On the stage, the panel of engineers and environmental policy makers looked at one another. “Who would like to take that question?” the moderator asked. The conference was financed by the state and by private donors — including the oil conglomerate ConocoPhillips, one of the region’s biggest landowners. “You must be very brave,” another attendee, a professor at a local university, told Ms. Whitney during the break. “Or very dumb,” she replied. Born and raised in Houma, one of a family of 10, Ms. Whitney, 58, has long considered herself a closet radical when it comes to oil. Her mission at the grass-roots interfaith group Bisco is to help the disparate and largely disenfranchised groups in this region — African-Americans, Cajuns, American Indians — develop a political voice. As such, she has tried to keep her own mostly to herself. But that is not easy for a Southerner with a gift of gab, a self-taught historian and a mother of three who takes umbrage at how the sugar companies, the fur companies and the oil companies have each come to the region and extracted its bounty. “America needs oil, Patty,” a brother who is an engineer for an oil company told her at a recent family gathering. “Then let them drill,” she retorted. “Let them drill in Yellowstone Park, in the Grand Canyon, in Puget Sound, off Martha’s Vineyard. Let them mess up their own places instead of just drilling in my beautiful Louisiana.” And the spill, whose scope is still unknown, has prompted snippets of surprising conversations on the subject, even as the Senate on Thursday scrapped plans to take up a major climate change bill. Someone in church heard Ms. Whitney talking about the benefits of wind power the other week and signaled his agreement. Same with a woman in one of her community organizing networks. “It’s at the point where people would consider talking about it, where before it was close to blasphemy,” Ms. Whitney said. “Me personally, I really and truly think the time is here, that even though it’s radical for this area, the idea of developing an alternative energy policy has come.” ### |
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Posted on Sustainabilitank.info on July 22nd, 2010 http://www.ft.com/cms/s/0/79a3115c-94eb-… Oil groups resigned to tougher US regulationBy Carola Hoyos, Ed Crooks and Sheila McNulty of The Financial Times. Published: July 21 2010 18:27 | Last updated: July 22 2010 00:06 BP Executive Bob Dudley has said that the company’s oil spill in the Gulf of Mexico “ will change the industry forever.” There is no doubt it has long-lasting ramifications for BP and the US government, whose lax regulators are seen as having contributed to the disaster. But around the world, from Norway to Australia and among BP’s peers, remarkably little has changed, at least on the side of prevention. Company executives argue that the accident was preventable and that their own safety systems were robust enough to need no significant reform. As Pete Slaiby, vice-president of Shell Alaska, told the BBC: “The Gulf of Mexico may have been a wake-up call for some, but not for Shell.” John Watson, chairman and chief executive of Chevron, the US’s second-biggest oil company, testified before the US Congress that soon after the Deepwater Horizon disaster he had ordered a review of the company’s offshore operations. This swiftly concluded that Chevron’s “deepwater drilling and well-control practices are safe and environmentally sound”, he said. Around the world oil companies have been giving regulators the same message. It appears regulators have found the industry’s arguments persuasive and are – at least for now – not insisting that they do any more. The government of the UK, which is about to approve the deepest well ever drilled in the country’s waters, said: “We have conducted an initial?[review] .?.?.?This shows our regulatory system to be robust and we are recruiting additional environmental inspectors to double our environmental inspections, of drilling rigs, to ensure compliance.” While the US quickly ordered a deepwater drilling moratorium, others, including Australia, Greenland, Norway, Canada, Libya, China, Brazil and Angola, have not followed suit. Australia, which had suffered its own major blow-out and spill just months before the Deepwater Horizon accident, was unmoved. Martin Ferguson, Australia’s resources minister, said: “Shutting down the industry and putting the nation’s energy security, jobs and the economy at risk does nothing [to ensure safe oil exploration].” In Libya, not only has there been no moratorium, but the government has allowed BP to go ahead with its deepwater drilling programme. This caused some consternation among Italians and prompted Rome to approve a ban on drilling within five miles of its coast and 12 miles from protected marine areas. This ruling will only apply to future drillings and will barely affect the most promising areas off western Sicily, which Shell believes holds some of Europe’s most important reservoirs. Environmentalists said Italy’s response to Macondo had been little more than a figleaf. In Norway, where, as in Canada, public pressure was great, a moratorium was considered, but in the end the government proceeded with the vast majority of its auction of offshore exploration blocks, and a general moratorium was dismissed. The biggest changes will come in the US, where the industry had for decades resisted any tougher rules. The American Petroleum Institute, the industry’s main lobbyist, whose strong influence over the US regulator was seen as having indirectly contributed to the accident, is again taking a proactive role in trying to help shape the way the new regulation develops. It argues that lawmakers must not forget that the industry is growing and is critical to every sector of the economy. “Any policy changes must bear that in mind,” the API said. “We can protect the environment without jeopardising our economic safety.” One way the industry is demonstrating this is by announcing plans to fund a large response vessel capable of containing spilled oil. Several oil company executives have said the major red line for the industry was the idea a second emergency relief well, like the one being drilled by BP, would need to be drilled at every deep offshore well, just in case of a blow-out. In his testimony, Rex Tillerson, ExxonMobil chief executive, said in response to that idea: “I would say you just doubled your risk.” Another executive noted that such a measure would double a company’s cost. But companies are resigned to the fact that they will have to submit to more rigorous and comprehensive US rules, such as presenting a safety case. This would include thorough information of their drilling programmes and the way they intended to develop their projects, and details about how they minimise the risk of a blow-out. This safety case is very similar to the regulation imposed in the UK in response to the explosion of the Piper Alpha natural gas platform, which killed 167 in the North Sea in July 1988. At the time, the US considered but eventually dismissed doing the same after companies heavily lobbied that such measures should remain voluntary. ———————————————————- Above is only part of the article – the even more important part is the global map with the reactions from Canada, the US, Brazil, the UK, Norway, and Australia regarding: OIL INDUSTRY SAFETY – THE RESPONSE TO BP’S SPILL. Some of it is outright shocking. ———— please see: http://www.ft.com/cms/b476be56-9576-11df-a2b0-00144feab49a.gif ———– Australia‘s Resources Minister, Martin Ferguson, said that “Shutting down the industry and putting the nation’s energy security, jobs and the economy at risk does nothing to ensure safe oil exploration.” On the other hand, a much more attuned Norwegian government minister – Mr. Terje Riis-Johansen, Minister of Energy, said: “It is not appropriate for me to allow drilling in any new licenses in deep-water areas until we have good knowledge of what has happened with the Deepwater Horizon.” In the UK – The government has increased environmental inspections and has asked a new industry group to report on the UK’s ability to prevent and respond to oil spills. In Canada The National Energy Board has launched a review of Arctic safety and environmental offshore drilling requirements, to inform decisions about future applications for permits. The review will look at safety regulations and spill response. And in Brazil, a country we had a close look at these last two days and we will report on this in www.SustainabiliTank.info, we found that contrary to our impression based on what we learned here in new York, The Financial Times found a quote from the National Oil Regulator of Brazil (ANP) the following statement – “It is important to complete a deeply technical investigation before deciding on regulatory changes … We only have a preliminary vision.” If what we heard is true, it seems that Brazil prefers not to be bothered with what happens in other locations. What does the Brazilian voter think on this? Seemingly he/her are busy bettering their lives so they are neither informed, nor interested in change. ———————————————————-
Financial Times EDITOR’S CHOICEGood feedback on spill recovery plan – Jul-21Salmond has ‘no regret’ on Megrahi release – Jul-21—————————————————- We find it quite appalling to contemplate that the American Petroleum Institute is allowed to participate as an advocacy group in the US deliberations on the Gulf catastrophe. Simply said – it was this group and the Cheney hand-picked people from among Big Oil that got the US to its present lack of regulatory capabilities in the area of drilling safety. We trust that there are enough ex-Oil-men and retired personnel, that could act as technical advisers to the US Administration in an effort to create the needed rules and regulations before allowing new drilling activities. The red herring of unemployment cannot be flung on the table in the present situation that might be ready to point out that unemployment benefits are less costly then the results of coverage of the crime of no-regulation. ### |
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Posted on Sustainabilitank.info on July 21st, 2010 Present Dangers: Saudi Arabia’s House Of Cards.Ilan Berman, 07.13.10, Forbes Riyadh, on the road to ruin.How stable is Saudi Arabia? Not very, according to at least one member of the Kingdom’s ruling class. Last month Prince Turki bin Abdul Aziz Al Saud, a prominent dissident now in exile in Cairo, issued an open letter to his fellow royals, urging them to abandon their desert fiefdom for greener pastures. According to the prince, the current social compact between the House of Saud and its subjects had become untenable, with the government no longer able to “impose” its writ on the people and growing grassroots discontent at the royals “interfering in people’s private life and restricting their liberties.” His advice? That King Abdullah and his coterie flee the Kingdom before they are overthrown–and before their opponents “cut off our heads in streets.” Or so the story goes. Reports of Turki’s missive have understandably made a splash in the Iranian press, with Riyadh’s regional rival engaging in some thinly veiled schadenfreude. But the actual letter itself is exceedingly hard to come by, at least in its English translation. Were it not for a report from the country’s official news agency denouncing the communiqué, you might think the entire episode was made up. Real or fabricated, however, the warning is instructive. Seventy-eight years after Abdul Aziz ibn Saud triumphantly carved out his kingdom on the Arabian Peninsula following a quarter-century of warfare against rival tribes, Saudi Arabia is living on borrowed time. And the likely culprit of its eventual undoing is the one commodity that allowed ibn Saud to secure international legitimacy in the years following his country’s founding: oil. The problems start with the Kingdom’s notoriously opaque energy sector. As veteran oil trader Matthew Simmons pointed out in his 2005 book Twilight in the Desert, “What we know about the Kingdom’s oil is pretty much what Saudi Aramco, the Petroleum Ministry and the royal family want us to know.” Indeed, empirical facts about Saudi energy wealth are exceedingly hard to come by. Today, the world’s largest deposit of proven oil resides not in the Persian Gulf, but in North America. That is because, despite its claim to global energy dominance, Saudi Arabia has refused to allow objective, independently verified measurements of its oil reserves. (Canada, by contrast, has permitted both the U.S Energy Information Administration and the Paris-based International Energy Agency to conduct a comprehensive assessment of its energy potential, with spectacular results.) The reasons for Riyadh’s reticence are obvious. No major new energy fields have been found in Saudi Arabia since the 1970s, and the chances of such discoveries are now, in Simmons’ words, “remote.” This means that the Kingdom’s position at the head of the world oil class is fragile; if Saudi reserves are found to be more modest than publicly proclaimed, its status as an energy superpower might be at risk. For the moment, at least, the House of Saud still retains considerable muscle in that department. Saudi Arabia is currently estimated to be capable of producing a whopping 12.5 million barrels of oil daily, an increase of nearly 4 million barrels from just five years ago. (Because of the global recession, output this spring was far short of that–just 8.5 million barrels a day.) And, according to the U.S. Department of Energy, at current production levels the Kingdom’s 264 billion barrels of reserve crude will last just over seven decades. Saudi Arabia’s energy wealth might run out much sooner than that, however, thanks to the country’s ballooning entitlement class. The actual size of the Saudi royal family is subject to some debate, but informed estimates a few years ago placed the number at more than 30,000 members, with some 4,000 princes each afforded a luxurious monthly stipend of tens of thousands of dollars apiece. And because of officially sanctioned polygamy, their ranks are swelling exponentially, projected to reach 60,000 or more by 2020. Needless to say, their allowances, and the attendant extravagant indulgences, are possible solely because of Saudi petrodollars. All of which has prompted an insatiable appetite for ever greater production and consumption of the Kingdom’s lifeblood. Grassroots prosperity, meanwhile, has headed in the other direction. Since the oil boom of the 1970s, per capita income in Saudi Arabia has constricted precipitously, falling from $28,000 in the early 1980s to below $7,000 in 2001. In other words, average Saudis have experienced a devastating reversal of economic fortune, even as the royal cohort that rules over them has become more numerous, indulgent and bloated. In recent years, the House of Saud has begun to get wise to the destabilizing potential of this disparity. King Abdullah’s ascension to the Saudi throne in 2005, following the death of his long-incapacitated half-brother, Fahd, was seen by many as the start of a new era of incremental reform within the Kingdom. Real remedial change has been slow in coming, however. As researchers from Human Rights Watch recently pointed out, the past five years have seen some incremental progress on judicial independence, freedom of the press and gender equality. But glaring disparities–not least in the economic sphere–continue to persist, perpetuating a seething, impoverished underclass. , the Pentagon contemplated contingency plans to secure Saudi oil reserves in the event of sustained political upheaval. Over time, however, military planning took a back seat to political symbiosis. To paraphrase former CIA agent Robert Baer, the United States effectively decided to “sleep with the devil,” protecting Saudi Arabia in exchange for preferential access to its crude. In the process, Riyadh became an essential energy supplier to the United States.Not much has changed, even after 9/11. To be sure, Saudi Arabia’s outsized role in the Sept. 11 attacks–and its subsequent indirect troublemaking in Iraq and Afghanistan–have led many to question the durability, and the advisability, of our historic partnership with Riyadh. But in practical terms, the same old corrosive status quo still obtains. Over the past decade, when adjusted for the war in Iraq and the global economic downturn, the amount of oil America receives from the Saudis has remained largely the same–an average of 1.25 million barrels a day, or 12% of total U.S. oil imports. Which brings us back to Turki’s warning. The prince’s communiqué may have been long on hyperbole, but its admonition was apt. The domestic compact created over the past seven decades by the House of Saud is simply unsustainable in the long run. And its dissolution, when it eventually happens, is likely to be ruinous for the Kingdom. Given America’s deep and enduring reliance on Saudi crude, it could be devastating for us as well. All of which makes a compelling case for serious thinking about the long-term viability of the Saudi state–and what the United States needs to do in order to prevent such a catastrophic collapse, or at least to manage it. Ilan Berman is vice president of the American Foreign Policy Council in Washington, D.C. His column, Present Dangers, appears monthly. ### |
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Posted on Sustainabilitank.info on July 20th, 2010 Eli Kintisch is reporter for Science Magazine and author of “Hack the Planet” released by Wiley April 19, 2010. Bill McKibben, author of “EARTH: MAKING A LIFE ON A TOUGH NEW PLANET” and co-founder of 350.org, an organization that our readers know that we hold in very high esteem, wrote about “HACK THE PLANET:” “Anyone who considers themselves scientifically literate had better get versed in the new discipline of geo-engineering — or planethacking, as Eli Kintisch calls it in his nuanced and useful new account. This discussion is not going to go away anytime soon!” Once the stuff of science fiction, geoengineering has come into the mainstream, with top scientists, the National Academy of Science and Congress investigating this radical concept. please look at www.hacktheplanetbook.com and if you need a contact – the book’s publicity is with Erin Beam of ebeam at wiley.com ———————– I got a few minutes late to the library’s lower level and so a nice size roomful of very mixed crowd – from the young shoeless intellectual in the front row to the spectacled white hair retiree in the back row. They all listened very intent and at the end asked good questions. As my usual way, I went directly to the table loaded with the books for sale, took one and stood next to the wall – leafing from cover to cover. That is how I learned that the book starts with old-time friend Academician Yuriy Izrael from Moscow with whom I shared before the Rio Summit of 1992 two weeks in Fortaleza, Ceara, Brazil, where local Professor Jose Oswaldo Carioca was preparing for a Brazilian submission to the upcoming UN Conference on Environment and Development. Since then I visited with Academician Izrael a couple of times in Moscow – the last time in Moscow during the September 29 – October 3, 2003 World Climate Change Conference where he was the head of the local organizing scientific committee and co-chair of the Conference, with Mr. A. N. Illarionov (Andrey Nikolayevich), the Adviser of then Russia President Vladimir Putin. Bert Bolin of Sweden, a pioneering climatologist and the first chairman of the United Nations Intergovernmental Panel on Climate Change (IPCC), was the foreign co-chair of the event. That was a very important meeting, with participants from over 100 countries, because it dealt with the crucial question – Will Russia Ratify the Kyoto Protocol? At the time Putin was relying on Yu. Izrael and Andrey Nikolayevich, and the world still thought that the KP is imperative for a Multilateral approach to Climate Change. With the US clearly out – Russia became all important in order to reach the magic number of ratifications so the KP gets into effect. Eventually it became Putins decision to say – DA – YES – while his two advisers still said NO! Somehow I still have my stash of papers from that meeting and I was looking now at hints at geoengineering in Russia’s position. But I did find a list of 10 questions Illarionov did put before the conference in his presentation that had the title: “Antropogenic Factors in Global Warming: Some Questions.” It was Bert Bolin, chair emeritus of IPCC, who gave the two answers with the last one answering to “How much will it cost.” This is fascinating history from the days we thought we had a plan – but the Russians seemingly were already convinced then that we really had no plan. Strangely, when I looked up Google I found there on first page for Illarionov - Answers to the questions raised by A.N. Illarionov during his talk …File Format: PDF/Adobe Acrobat – Quick View further: As a senior advisor to Russian President Putin, Illarionov was outspoken against Russia’s ratification of Kyoto. Despite Illarionov’s vocal opposition, Putin ratified the Kyoto Protocol in 2004. In October 2006, Illarionov was appointed senior researcher of the Center for Global Liberty and Prosperity of the US libertarian think tank Cato Institute in Washington, DC. ———— The above was just an aside and I will get back to it after doing full justice by reading “Hack the Planet” as I am convinced that some form of geoengineering will eventually become part of humanity’s effort to put a lid – cap in BP’s language – in order to control the runaway increase of concentration of CO2 in the atmosphere. Yuriy Izrael was talking of placing sulfur compounds in the upper atmosphere – others may have various sun deflectors in mind, Anyway – this is a large topic that serves our attention, so after talking to the great family of presenter Eli Kintisch – he was there with both his parents and kid brother – all knowledgeable in the subject – and to one of the people that asked questions, I continued to Piermont. There it was all fun, but my connection to the book presentation is clear to me. It will eventually take a revolution to break down the Bastille walls of the anti-progress interests when dealing with climate change. I saw in Piermont a friend from the UN, bought two interesting T-shirts and went home. I still visited a great cooperative gallery – The Piermont Flywheel Gallery – that was about half works of Howard Berelson – a colorist with many scenes from East Africa. He has a great painting from the Serengeti Plain in Tanzania – “Death in the Garden of Eden.” Was that bull failed also because of the high heat? Are the colors of the Hudson River Odyssey – another painting – so that we are reminded of the turning of our area into another hot Africa? ———————————— and if someone is interested in contacting Academician Izrael: Yuri IZRAEL and as an appetizer see the following: The journal Russian Meteorology and Hydrology recently published a new kind of geoengineering study whose lead author is the journal’s editor, the prominent Russian scientist Yuri A. Izrael. Izrael and his team of scientists mounted aerosol generators on a helicopter and a car chassis, and proceeded to blast out particles at ground level and at heights of up to 200 meters. Then they attempted to measure just how much sunlight reaching Earth was reduced due to the aerosol plume. This small-scale intervention was effective, the Russian scientists say. And in an accompanying article on geoengineering alternatives, Izrael and colleagues note that “Already in the near future, the technological possibilities of a full scale use of [aerosol-based geoengineering] will be studied.” —————— Above leads to brain storming: Billionaire airline tycoon Richard Branson baldly told the press last year, ‘If we could come up with a geoengineering answer to this problem, then Copenhagen wouldn’t be necesary. We could carry on flying our planes and driving our cars.’
And what do you know – there is already a clear reaction to the geoengineering ideas: But on the eve of this year’s UN-designated International Mother Earth Day, over 60 national and international organizations launched Hands Off Mother Earth (H.O.M.E.). The global campaign, now supported by the Ecologist, includes a website handsoffmotherearth.org) where signatories upload photos of themselves with their hands up in a ‘stop’ gesture. The campaign insists that a halt be placed on geoengineering experiments and that the ‘rights’ of Planet Earth be respected. ‘Not just human beings have rights, but the planet has rights,’ asserts Evo Morales, Bolivian president and host of the recently concluded Cochabamba Climate Change Conference in Bolivia. The first right, he says, is ‘the right for no ecosystem to be eliminated’. The second, ‘for Mother Earth to live without contamination’. The final statement by the 35,000 people attending Cochabamba called out geoengineering as a false solution to the climate problem. ### |

















The New Brazil


Rio Grande do Sul as state secretary of Energy. She was also active in the restructuring of the center-left Brazilian Labor Party after the end of the military dictatorship in the 1980s.


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