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Azerj bai an Page 28 Page 03 KASSANDRA Page 32

GuessFixed what would happenstatistics if the debt of burden Greek debt a number of public enterprises is sud- denly transferred to a state’s accounts before returning these enterprises back to the private sector where they belong. interview Page 16 Of course it’s a recipe for disaster and one that most countries would obvi- ously try to avoid. For obvious reasons, it is also strictly forbidden in the European Union. So, N ow you see it, Schulz beats nobody why was this regulation not enforced in The PES attempt to have a transparent and crisis-stricken Greece? How can the Eu- democratic process to select a commission ropean Union continue to treat one of its now you don’t! president candidate produced only one nomi- core members (Greece) so unjustly? nation and silence from the left.

By Marietje Schaake MEP Page 09 A digital future needs real net neutrality TroikaDon't say everyone blame else made mistakes us ur successes were much more With Luigi Gambardella Page 11 than the failures, agreed the European Central Bank (ECB) Oand the European Commission (EC) Dial M during the hearing on Troika’s work in the bailout countries held on Tuesday in the European Parliament. Despite for market academics’ and MEPs’ strong language about the false forecasts in the beginning consolidation of the programmes, Servaas Deroose from the DG ECFIN and Klaus Masuch from the ECB presented Troika’s opera- Page 05 tions as both legitimised and useful for Romania the countries that they visited. Some of the metaphors used by The last the MEPs to describe the Troika’s ope- rations as well as the representatives’ presentations are the following: IMF fail to turn up on European parliament to defend Troika record autocrat “Your forecasts are worse than the AFP PHOTO / LOUISA GOULIAMAKI worst weather channel”. “Listening to of Europe the ECB and the EC talking about Tro- “it is important to remember that the we had no idea of the country’s struc- ika, it is almost like hearing the spokes- Eurogroup is the body which actually tural problems”, said Masuch. men of Alice in Wonderland”. “Your decides whether to grant financial as- timing is a bit like your forecasts". sistance and under what terms”. “We On the successes Page 07 By Sri Sri Ravi Shankar IMF’s absence was criticised by never act alone”, Deroose agreed. “The good news is that there is the MEPs, whereas the ECB and the light at the end of the tunnel”, stressed EC did not want to take any position. Begging for understanding Masuch to receive many objections Business “It is very difficult to make fore- from the part of the MEPs. “All coun- On democratinc legitimation casts. What we need is your understan- tries under economic adjustment pro- and Society “The European Commission is al- ding and not your criticism”, said Dero- grammes have made very significant ways accountable to the European Par- ose, whereas Masuch acknowledged: progress in reducing their economic liament”, said Deroose while stressing “We were wrong about Greece, but imbalances, addressing structural that “EC’s role is to help the commu- we were right with Ireland”. In Gree- rigidities –especially in labour mar- nication between ECB and IMF”. Re- ce, he explained, some things should kets- and ensuring financial stability”, garding ECB’s role in the Troika, Klau have been done differently but it was added Mesuch. From his side, Dero- Masuch explained that the ECB acts not Troika’s fault. “Delays and shortco- ose stressed that “unemployment in in liaison with the Commission in or- mings from the Greek side sabotaged Eurozone has finally stabilised and it is der to provide technical advice, based our cooperation. When we arrived in important that the adjustment proce- on its expertise”. He also stressed that Greece the figures were inaccurate and dures are fair”. NEWEUROPE 02 www.neweurope.eu ANALYSIS 10-16 November, 2013

The Shooting Gallery MM

The sanguinaryA warnew in Syria, among otherbreed? surprises it has in store for our European civilisation, has also uncovered one more: the thousands of European citizens who are joining Syria’s rebels fighting against the coun- try’s President Bashar al-Assad. These “modern Jihadis” are nothing more than Muslims themselves, the sons and grandsons of Muslims. In other words, they are the second and third generation of immigrants who settled in Europe many years ago. These young fighters were born in Europe and they grew up here. They studied at European schools where they were taught European values. Their fathers did what they could to assimilate into the local society and they struggled to become accepted and to gain respect. So what happened? Why are young men from Norway, the Netherlands and other countries flying to Turkey and jumping the border into neigh- bouring Syria to join these warlords? What happened to the European values they learned in school? Have European values been lost on these second and third generation immigrants? What! You want a job you silly boy? BELGA PHOTO POOL JAVIER BERNAL REVERT For decades, serious differences have divided immigrant policies in Euro- pean with those in the New World. In the United States and in Australia, for example, the society is multicultural. This means every different eth- nic group enjoys its own space and is able to develop its own identity. In Europe, however, our system has been pluralistic. Here, different cultures ARS have always met under the presupposition that European values are ac- e 10 YE cepted and respected in order to secure the permanent enrichment of our n society. AGO But this situation has changed. European society isn’t pluralist anymore. It has become multicultural. But even when angry young Muslims started rioting in the streets of Eng- A decade ago, Israel was the number one bad land, we didn’t realise that things had started to change. It started becom- guy, when a poll showed that 59% of Europe- ing clear after riots erupted in the Muslim immigrant suburbs around ans considered them the biggest threat to world Paris several years ago. peace. The US tied with North Korea and Iran So we should not be surprised by the fact that a growing number of young at 53%. On the financial side, there were prob- Europeans today are feeling more inclined to fight a “holy war” in another R lems over the stability pact, where the French country than to live a peaceful life at home. were pledging ‘credible’ action to reduce their But why is this? The answer is that European societies have failed to in- budget deficit. tegrate the second and even the third generation of immigrants. Instead, Meanwhile in Chechnya, the EU was pleading they have allowed the creation of invisible ghettos in their neighbour- with Putin to uphold the rule of law at a sum- hoods and inside their secularist schools and universities. They have mit where Commission President Prodi was ac- companied by Putin and Berlusconi. stood by as huge social and cultural walls were built between “us” and There were rumblings of a trade war between “them”. the EU and US after American exports were The harsh reality of the economic crisis that is facing Europeans today judged by the WTO to be an illegal subsidy. is something the second and third generation has been struggling with many years. The social frustration and feeling that there is little hope for a better future is exactly what is sending them right into the hands of mod- EDITOR Director Brussels headquarters ern Jihad warlords. Basil A. Coronakis Alexandros Koronakis [email protected] Av. de Tervuren/Tervurenlaan 96, This is not something new in history. One needs only to remember how [email protected] 1040 Brussels, Belgium Nazism thrived on people’s social frustration. This is even true in most Managing EditorS Tel. +32 2 5390039 Konstantin Tsapogas von Taube Executive layout producer Fax +32 2 5390339 European Union countries today as regards the ascent of far-right parties. [email protected] Suman Haque [email protected] For the growing number of second and third generation Muslim immi- Theodoros Benakis (Print ed.) [email protected] [email protected] Publishers grants in Europe, there are two deciding factors: they are the sons of im- Subscriptions & Distribution Brussels News Agency SPRL Senior Editorial Team [email protected] migrants and they belong to other religions. Kostis Geropoulos Avenue de Tervueren 96 Subscriptions are available worldwide 1040 Etterbeek Belgium (Energy & Russian Affairs) u Properly prepared on the “ideological” level, they find money - paid by [email protected] Tel. +32 2 5390039 n INDEPENDENCE the Muslim countries that are financing many of the oppositionist groups Andy Carling (EU Affairs) [email protected] [email protected] New Europe is a privately owned in Syria. They also find respect among other Muslims. And they find a independent publication, and is not Alia Papageorgiou (Business) External contributions ISSN mber: 1106-8299 new world which is inviting and which claims to give them an identity, [email protected] subsidised or financed in any way by Ariti Alamanou (Legal Affairs) any EU institution or other entity. Signed Contributions express solely the despite the fact that, after all, death is on the daily agenda. [email protected] views of the writers and do not necessarily But more than anything else, they find something that European society - Louise Kissa (Fashion) reflect the opinion of the newspaper. NE is [email protected] printed on recycled paper. their society - has failed to give them: an identity and hope for the future. Contributing editors If the leaders of EU countries fear the growth of the extreme right in their Dan Alexe © 2013 New Europe all rights reserved. No part of this publication may be reproduced, stored in Christina Vasilaki a retrieval system, or transmitted in any form by any means, electronic or otherwise, without ex- countries, they should also take into serious consideration the ascent of press permission. The Publishers accept no liability for third party views published, nor damage caused by reading, viewing or using our content. All information is correct at the time of going European young jihads as well. to print, we accept no liabilities for consequent changes. NEW EUROPE NEWEUROPE www.neweurope.eu 03 10-16 November, 2013 inside EU

Eurostat’s failures greatly increase the size of Greece’s debt An astonishing revelation of unjustly fixed statistics want to admit it. This is proved by an By Basil A. Coronakis impressive sleight of hand: now you et us think for a moment what see it, now you don’t. The trick: imme- would happen if, all of a sud- diately after the public sector was sad- den, the debt of the French dled with these companies’ debt, sav- Ltransport system, covering buses, ing this way the German banks from trams, the metro, the RER and OP- bankruptcy, these same companies TILE and the PAM network for dis- were moved again back into the pri- abled people and so on, were all trans- vate sector, where they belonged since ferred to the government’s accounts. 1993. Such actions are strictly forbid- After all, the French transport system den by the European Regulations, is heavily subsidised by the state. Well, which require that the initial transfer the disaster one can only imagine did to the public sector might be justified not happen in France, and rightly so, only if it was judged that it had been in but it did happen in Greece! Greeks force for several years before and after and all other European citizens have its initial transfer. the right to know what happened in Eurostat’s mistakes towards Greece and why it happened. Greece bring to memory the sponta- All of us in Europe have agreed neity, with which Mr Joaquin Almu- to comply with certain terms and nia, then Commissioner for Economic conditions called European Regula- and Monetary Affairs (now Commis- tions and the first to do so is, alas, the sioner for Competition), reacted on European Commission. Therefore, if Now you see it, 21 October 2009, when he heard a public transport companies provide revised forecast for Greece’s 2009 pub- a service, because of a governmental lic deficit. Almunia said: “We want to or European socio-economic policy, now you don’t! know what has happened and why it then these public companies must be has happened. Serious discrepancies compensated or subsidised for losses will require an open and deep inves- incurred as a result of charging prices tigation”. The investigation never took lower than what they would have oth- place, but four years later, on October erwise charged. This compensation or 21, Almunia said: “The EU’s problem subsidy does not entail the transfer is unaccountability”. of their debt to the country’s public Since Autumn 2009, Eurostat has Saying he is right is not enough. debt. Well, an answer has not yet been By their unaccountable attitude to- provided by the European Commis- massaged the figures to greatly ward fiscal statistics, the European sion as to why, after two decades of Commission and Eurostat have led to applying the common rules, Greece increase the size of Greece s debt the silencing of responsible voices at was suddenly in 2009-2010 treated ’ Greece’s ELSTAT, which is now left differently from France or any other ernment’s finance was in the form of and deficit for the year 2009, which ger count”, contrary, alas, to what the without its seven-member board and EU member state. shares thus increasing the property since then has been carried on and on European Commission reply asserts. under one man’s authority – the same Looking into the complexity of rights of the government as a share- forcing the country to stagger under Third, if the Greek law covering the man who is under felony charges and the Eurostat criteria required to be holder on these companies. This is an unjustified extra burden, which is public passenger transport companies who is supposed to manage both the fulfilled in order for a public company the common practice in the rest of souring its relations with the rest of was not in agreement with the corre- country’s statistical system and its to be moved into the public sector, it the European countries, according to Europe. sponding European Regulations, then statistical office: a unique phenom- seems that, in the case of Greece, the European Regulations agreed by all The issues were brought to the Eu- the Commission would have acted to enon in Europe. As described above, job was done with a hasty disregard European partners. ropean Parliament and the European secure harmonisation of provisions the 2009 false public deficit and debt for normal procedures. There is an ap- In April 2010, an estimate of the Commission, which have recently re- affecting competition in transport, have created a horrific whirlpool parent breach of European Law in the 2009 deficit was published by Euro- plied in writing by distorting the truth. according to the treaty establishing swallowing European taxpayer’s bil- application of the so called 50% cri- stat, which guaranteed that Greece’s Without referring to all the reported the European Economic Community. lions – whose destination is unknown terion defined as the institutional re- final public deficit figure was not go- issues, their answer claims that the Such actions never occurred. – and a debt death-spiral of a country, quirement that the revenue from sales ing to undergo further changes by Greek law covering passenger trans- In its answers, given in fact under which has been among the 10 first of products or services of the public more than 0.5% of GDP either down- port companies is different from the pressure from the European Parlia- EC member states, with a proven companies cover at least the 50% of wards or upwards. On this basis, in European Law because the formula to ment, the European Commission has hard-working population, who lost their production cost. By not treat- May 2010, the Eurozone countries calculate the amount of compensation resorted to other outrageous claims 7% of its population in the Second ing the above compensation as “rev- and the IMF supported Greece with is not based on the produced output by even providing a small footnote World War and who can hugely con- enue from sales” and at the same time €110bn of financial assistance. Six of OASA (a holding company like the reference reported in the 2013 Euro- tribute to the construction of a more lumping commercial depreciation of months later, Eurostat scrapped the French STIF). This is profoundly un- stat Manual, which, first, did not exist democratic European Union. The 100 years into the 2009 one-year ex- 0.5% and raised the final public deficit true for three reasons: OASA is a hold- before February 2013, and, second, is question is: How can the EU go on penses, Eurostat was able to justify the by 2 percentage points, despite such ing company acting as an umbrella of misleadingly reported without the ac- with one of its core members being non-conformity of the public compa- major revisions being contrary to the the passenger transport companies in tual date. We also note the following so unjustly treated? The 2009 statisti- nies with the 50% criterion. commonly accepted Code of Statisti- one of Greece’s regions, Attica, and as fact: in 2010, Eurostat moved a num- cal events need an in-depth, serious There are additional instances of cal Practice. a consequence OASA does not have ber of public enterprises to the public investigation and not interventions breach of Law. Until 2009, Greece’s Eurostat’s totally unexpected and transport output of its own, as is the sector, and, one year later, in 2011, Eu- to block Greece’s judicial procedures, Statistical Authority (ELSTAT), to- unexplained action was based on the case exactly with STIF. Second, if one rostat moved them again, back into the as Eurostat is doing. Things have to gether with Eurostat, had decided that transfer of 17 public companies from reads the Greek law with open, un- private sector. Thus, we observe that be put right and Greece’s reinstate- the debt of public enterprises (public the private to the public sector. The prejudiced eyes, they will easily learn the Commission has recognised the ment must ensue. Public debt is not utility companies) could not be part end result was a devastating false aug- that the Greek formula is based on unjust and felonious augmentation of refused, what is refused is its untrue of the public debt, because the gov- mentation of the country’s public debt “the produced output and the passen- Greece’s public debt, but they do not and felonious part. NEWEUROPE 04 www.neweurope.eu inside EU 10-16 November, 2013

“Troika’s role in bailouts problematic” By Christina Vasilaki he European Parliament launches on Tuesday an inquiry into Troika’s opera- tions in bailout countries. TAs Troika returns to Greece for the continu- ation of the negotiations on the 2014 fiscal gap, the European Parliament launches an inquiry into the Troika’s so far work in the bailout coun- tries. According to MEP Sven Giegold (Germa- ny, Greens), the aim is to expose to a wider -than the crisis countries- public, Troika’s problematic function system. ECB’s role in the Troika will be one of the first controversial issues that will be examined. At the same time, there are voices that criti- cise the initiative as “limited to advisory and not legislative function”, noting that the first idea was to create an EP subcommittee with more powers, but this did not advance. Sven Guigold was one of the MEPs that pointed out the necessity of this inquiry and pushed repeatedly for a parliamentary control of the Troika’s work. “We receive many letters from citizens asking questions about the legality of Troika’s operations in the bailout countries and we believe that they deserve a response, a responsible response. Indeed the results of the What the troika sees when on a visit. AFP PHOTO / LOUISA GOULIAMAKI Troika’s work were not as expected”, he told New Europe. in the decisions, the minimum salary in Greece ing in the Troika system. We should not under- money to de facto insolvent banks, whereas this “We should not underestimate the conse- would probably not have been decreased.” estimate the consequence of the reputation loss, is clearly prohibited”. In that way, he continues, quence of the reputation loss” Discussing the efficiency of the EP investi- especially when it comes to the IMF and the “the private debt becomes public and creditors According to the inspirers of the inquiry, it gation, Giegold stresses: “I agree with Mr Karas ECB. Their reputation is already harmed in the receive their money finally from the taxpayers. It will look into the transparency of the reforms that the purpose is not to condemn the Troika. crisis countries, but with the EP’s work this ef- will be much more difficult to sustain this action requested and the democratic legitimacy of the In any case, national governments were always fect will be much wider”. when people will be aware of it”. programmes imposed in crisis-hit countries. part of the negotiations and they should take IMF and ECB not happy about the inquiry As regards the so far reactions of the three The aim is to establish stronger parliamen- their own blame for the austerity policies they “The composition of the Troika is first of all parts that will be subject to EP’s control, Giegold tary control over the emissaries of the donors implemented. If, for example, taxes were raised something that worth discussing. The combina- told New Europe: “The IMF refused to appear in Greece, Cyprus, Portugal and Ireland, as well for those that could less pay is under the respon- tion of the EC, the ECB and IMF to advise on in tomorrow’s hearing, saying that it is not ready. as to propose changes to the functioning of the sibility not only of the Troika but also of the the economic policies, which need to be applied The IMF never comes in public parliamentary Troika. However, “this is going to be an evalua- Greek, Cypriot, Spanish, Portuguese and Irish in countries that receive help, seems a bit pecu- hearings, which I think is very problematic from tion, not a condemnation”, as the MEP Othman government. The aim here is to analyse and im- liar”, says Giegold. “And especially, we should a democratic perspective. The ECB is not very Karas (EPP, Austria) stresses. prove the Troika’s work. And also, we want to look into ECB’s role. The ECB is for a good happy about all this, but this cannot stop the EP Karas will head the inquiry along with his so- draw public’s attention, because we often see a reason independent and it does not fit well to from doing its job. cial-democrat colleague Liem Hoang Ngoc. “The split public when it comes to the Troika. take political positions. This controversy in the The inquiry will be discussed on Tuesday way the emissaries of the donors impose reform The debate about its role and function is structure of Troika needs to be discussed”, he during a public hearing with the participation and austerity measures is unclear so far. It can’t very strong in the programme countries but underlines. of representatives of the European Commission happen that all decisions are taken by civil serv- rather modest in countries like France, Germa- According to Giegold, one example of the and the European Central Bank. The results will ants only,” explains Karas and continues: “If the ny or Belgium. That can be changed and people suspected breaches in Troika’s operations could be published on a report, which is to be finished European Parliament had been more involved can be more aware of the problems of function- be “the fact that the ECB continues to lend before the European elections in May 2013.

EPSchulz: President ontroika visit to Athensdid moresays its time evil for accountabilitythan good the one forecast and did not succeed in re- international lenders appear to be at odds long wait can finally begin,” he added and By Maria Kagkelidou conquering investors’ confidence. It slowed with Athens about the size of the fiscal gap for explained that first the EP Economic Com- The troika in bailed out countries “did more down economic recovery and undermined 2014. mittee and then the plenary will look into the evil than good” European Parliament Presi- confidence in Europe,’ Schulz wrote in an ar- The two sides’ figures reportedly differ by troika’s work in Greece, Portugal, Ireland and dent Martin Schulz said on November 4 dur- ticle for Greek daily To Vima. some €1.5 billion. Cyprus to understand why so many mistakes ing a visit to Greece. Someone has to be held Schulz, who visited Athens to give a speech Since Greece was bailed out in 2010 its GDP were made and why so many statements made accountable he added and pointed out that for an EP-organised event entitled South for has shrunk by about a quarter while unem- three years ago, at the beginning of the crisis, the EP has started an investigation into why Growth, spoke in the same spirit during the ployment has sky-rocketed from around 11 to have proved mistaken. so many mistakes were made in the bailout. event and in meetings with Greek political nearly 30 percent. The so-called troika, made up by the IMF, ‘The IMF report shows, among other things, leaders including the government Vice Presi- “Someone has to take responsibility for the the EU and the European Central Bank, has that the troika’s structure proved inconclu- dent Vangelis Venizelos. failed attempts and the huge disappointment drafted bailout terms and has been monitor- sive in solving problems and did more evil His visit coincided with the arrival of the troi- the caused. Someone has to be held account- ing eurozone bailouts since the beginning of than good. It produced more recession than ka in Athens for yet another review. Greece’s able…Democratic control, after a three-year- the crisis. NEWEUROPE www.neweurope.eu 05 10-16 November, 2013 ANALYSIS

Basescu: The last autocrat of Europe By Dietmar Bergtahl early a quarter-century after the fall of the Iron Curtain, the painful cries for “Freedom” can still be heard from Npeople demonstrating in Europe. In Romania, a member of the European Union since 2007, people are still searching for democratic values that have been buried under the despotic regime of the country’s controversial president, Traian Basescu. Exactly one year ahead of the next Roma- nian presidential elections, Basescu is regaining his autocratic rule that was weakened by the last year’s referendum in which 87% voted in favour of his impeachment. Engaged in an internal war against the new government and the political majority, Bas- escu is now setting his sights outside Romania – maybe in Europe, maybe even across the At- lantic Ocean. There are rumours he will try to Romanian President Traian Basescu arrives in Brussels for an EU summit. BELGA PHOTO BRUNO FAHY secure his political future with the help of his old connections who had helped him remain country’s free press institutions. regards the independence of the members of the since their vote won’t count and their opinion in power one year ago despite the result of the Essentially, there were two constitutional Constitutional Court, who are in fact political doesn’t matter and their freedom doesn’t really referendum. It is maybe the strangest story of a infringements that led to the parliament’s deci- appointees. exist. comeback in Europe and one that is more likely sion to suspend Basescu - not once, but twice, Last year, thousands of Romanians took to in a country like Belarus (Europe’s last remain- and to eventually call a referendum. But what the streets calling for “Freedom, Freedom” - 23 Monopoly over the ing unreconstructed Communist dictatorship) happened last summer was a typical case of vol- years after the collapse of the communist re- external messages than in a European Union Member State. Only a untary servitude of the state institutions towards gime. Many of them feel that Basescu’s Romania tyrant can so openly defy the people’s will (7.4m one single person – the president. is more and more similar to Nicolae Ceausescu’s Ahead of the referendum, the media deliver- of 8.4m Romanians voted for his impeachment) The sweeping majority vote for the im- Socialist Republic of Romania, according to ing the messages from Romania to the other Eu- and return to office. peachment of the suspended Basescu was quite opinion polls and reports in the local media. ropean Union members and the United States This is how Basescu managed to return to simply rendered null and void by the Constitu- One official statistic speaks volumes about were controlled by people close to the Basescu. the Presidential Palace following his three-week tional Court - one of the institutions that is un- Romania’s current regime and it is one that In fact, countless pro-Basescu messengers suspension from the parliament. der his direct control. should worry everyone. According to official fig- were banging on the door of members of the Eu- Basescu also rallied the support of his allies ures, there were more than 3,000 orders (in just ropean Parliament and governments and institu- Building an autocratic regime across the Atlantic. The United States Ambassa- one year) for phone tapping in Romania on the tions outside the country. dor in Bucharest, Mark Gitenstein, for instance, grounds of national security. Also in Romania, Critics say this was an attempt to disseminate It was not by chance that Basescu managed is viewed as an unequivocal supporter of Bas- the press is considered a “vulnerability” for the only the “appropriate” information approved by to regain power after his own people told him to escu. In an unprecedented intervention from an national security of the country, as written in the the president and his regime. They came in the leave. It was a carefully constructed, self-serving American diplomat in the past decade, Ambas- national strategy document. form of cultural institutions – mainly designed system that saved him. sador Gitenstein spoke out against the referen- After nine years of Basescu’s mandate, many to promote the Romanian culture to the world Basescu’s regime is characterised by a net- dum. He said he is “deeply concerned about any people are whispering instead of talking. They – or non-governmental organisations (NGOs) work of institutions, which are all under his attempt to threaten the independence of demo- fear their phone is being tapped and that one close to the presidential regime (like Freedom personal command. By appointing his loyal sup- cratic institutions”. single word or phrase might become evidence in House Romania). Their aim was to give higher porters in key positions and by keeping those It should also be noted that Ambassador a criminal case built exclusively on compilations credibility to the so-called information about who show gratitude, Basescu has even managed Gitenstein, strangely enough, also serves on the and incomplete wiretapping. This is a conclu- the coup d’état that was supposedly organised to take total control of Romania’s secret services board of Romania’s Property Fund. sion that can be drawn from the independent by Romania’s parliament, the government and and to pursue his own prerogatives as president As regards the emissaries sent from Wash- reports on the judicial system of Romania that by the 90% majority of Romanians. All these over the Supreme Council of National Defence. ington to publicly support Basescu, they readily shows most of the cases against political and efforts to deliver fake information to the rest of Using information provided directly by the and without any hesitation embraced the wildly business leaders were built exclusively on phone the EU and to the United States was aimed at secret services and its good monitoring system, inflated figures presented in relation to an im- tapping, without any other evidence. obtaining an external support for the suspended it is said that Basescu has managed to yield sub- aginary election fraud. They presented these al- Meanwhile, the preventive detention for president and compensating for the lack of inter- versive pressure on most of the heads of the key leged figures as facts even though it has been one more than one year before a court hearing has nal support. state institutions. year since the referendum and no one has been become a common method and one that re- Step by step, through more appointments able to find any hard evidence of some two mil- minds Romanians of the oppressive regime of Who’s got the future? and mandates, he has managed to prolong his lion votes against Basescu’s impeachment. Stalin. But beyond their growing feelings of fear personal control and extend it further over the This can only be described as a deliberate at- and anxiety, Romanians also feel frustrated and In 13 months, Romania will likely have a heads of the chief prosecutors as well as the lead- tempt on the part of Washington and Brussels to betrayed as expressed by their vote last year in new president since Basescu cannot run for a ership of the Supreme Court of Justice, the Su- misinform the public. A scandalous theory was the referendum - a vote that was ignored. third term in office. But he hasn’t given up. Bas- perior Council of Magistracy, the Constitutional even invented as regards the intention of the new As president, Basescu’s attempts to remain in escu recently launched a hilarious idea that he Court of Romania and the National Agency government to… arrest some of the judges of power have created a paradox: the vote of more could prolong his constitutional term with at for Integrity, to name but a few. Using all these the Constitutional Court. The truth was either than seven million people didn’t count as much least two more months. influential institutions, including the National hidden from the European political elite or the as the choice of those who were absent. This re- His way of thinking combined with his Agency for Fiscal Administration and the Audio reality distorted: Basescu and his few supporters sult will probably affect the future elections and, methods used until now and with the network Video Commission, throughout his nine years in communicated to Brussels and Washington false furthermore, the democracy of Romania. of institutions under his command makes us office, Basescu has succeeded in compromising information that Romania’s Constitution makes Actually, this is the dream of any autocrat all believe that anything can happen. Event the and eliminating his political rivals, his ex-allies, no mention to any impeachment procedure, leader: to replace the people’s will with his own worst-case scenario: to exchange his presidential the voices of the trade union movement and of accrediting their thesis of a coup d’etat. What is and to disenchant citizens who start to believe chair for an official chairman position within a the civil society. He has also openly attacked the more, confusion was deliberately maintained as there is no point in manifesting their opinions European or NATO. NEWEUROPE 06 www.neweurope.eu ANALYSIS 10-16 November, 2013

Crushed by the crisis: the EU Liberals Unpredictable future When they come to power, Liberals don’t represent the protest vote anymore.

By Dan Alexe for Serbia and Kosovo The recent electoral disaster of the German Liberals, who didn’t make it past the 5% threshold and were left out of the new parliament, brought into light one ideological effect of the economic crisis: the decline of the Liberal parties in Europe. In Germany, allied with the Christian Democrats, and sometimes with the Social Democrats, the Liber- als held systematically, after WWII, key positions like the foreign ministry, through figures such as Hans- Dietrich Genscher or Klaus Kinkel. It is ironic that Angela Merkel has managed to successfully divert the austerity gospel, emptying the Liberal discourse of its very essence. The same ideological shift happened all across Eu- rope, as transnational parties start preparing for next year’s European elections. Presently, the Liberals hold only 85 seats in the EU parliament, the most numerous being the German and the British Liberals, with 12 MEPs each. Analysts expect these figures to be halved next year. Like the Germans, the British Lib Dems seemed un- til now to be privileged: 12 MEPs, while their chief, Nick Clegg, is no. 2 in Downing Street. In 2010 Lib Dems obtained 23% of the national vote. That is unlikely to happen again. Nick Clegg has lost An electoral official arranges ballot boxes at a counting center near Pristina on November 5, 2013. AFP PHOTO / ARMEND NIMANI all influence and is being marginalised by Cameron, who uses a discourse as liberal as the one practiced by Angela Merkel. triots to vote. This points out at the deep gap can easily conclude that the Brussels agree- As for the Italians, who now hold 5 seats (the same as By Lana Blagojevic between the Serbian government and the ment for Serbia and Kosovo has been seri- the Romanians, Bulgarians or Belgians), their group hen Catherine Ashton, the Serbs in Kosovo, which causes the collisions ously threatened lately. This fact has urged Italy of Values could totally disappear next year. Like EU High Representative who among the Kosovo Serbs themselves. The a new session of negotiations in Brussels their German brethren, Italy of Values went through chaired the negotiations be- leading political party with the vice-premier immediately after the local elections in Ko- a total debacle back home in this year’s general elec- tweenW Serbian and Kosovo representatives Aleksandar Vučić, the Prime Minister Ivica sovo had failed, so that Serbian Minister tion. in Brussels this April, announced that Ser- Dačić and the Minister responsible for Ko- Ivica Dačić and his Albanian counterpart Very important for the repositioning of the EU Liber- bia’s Prime Minister Ivica Dačić and Ko- sovo, Aleksandar Vulin, claim that voting for Hashim Thaçi met with Catherine Ashton als will be to determine who will lead the grouping. sovo’s Prime Minister Hashim Thaçi had local authorities in Kosovo by Serbs who to discuss further steps toward normaliza- Inside the EU parliament, the chief of the formation reached a breakthrough agreement, this live on that territory means an opportunity tion of relations between the two nations. is the former Belgian prime minister Guy Verhof- was felt as a chance to open a European for them to establish their own government. Ashton said that both leaders are deter- stadt, who would like to become chief of the trans- integration future for both nations. On However, by some Serbs from Kosovo mined to continue with the implementa- national ALDE (Alliance of Liberals and Democrats this occasion, she said: “It is very impor- it is understood as if the Serbian govern- tion of the agreement reached last April in for Europe). The present chief, the British Graham tant that now what we are seeing is a step ment had already accepted Kosovo as an Brussels and agreed about future steps to Watson, is strongly criticised inside the party for his away from the past and, for both of them, independent entity since it allows them finalize the election process. failure to maintain an ideological coherence. a step closer to Europe.” However, the ray to hold their own local elections. It seems The Central Electoral Commission in One strong contender of Verhofstadt’s is the former of hope for successful negotiations seems that the latter attitude has been the driving Kosovo said that the elections in three mu- German foreign minister Guido Westerwelle, pres- to have faded after this November elec- force for the Serbian extremists in Kosovo nicipalities in northern Kosovo including ently of of job. Verhofstadt has the support of the tions in Kosovo. Namely, the November to prevent voting. This event is strongly Mitrovica, will be repeated on November Dutch Liberals of Mark Rutte, who are in power in local elections were planned to be a proof criticized by Aleksandar Vulin, who says: 17. The political campaign has stated and Holland, while the Belgian Liberals can boast other for normalization of the relationship be- “Today, the Serbs were beaten, spat on and again the Serbs from Kosovo are asked by influent members, like the EU Trade commissioner tween Serbia and Kosovo, but they turned threatened. They destroyed their city and Serbian politicians to join the elections. Karel De Gucht, or the former commissioner Louis to be fruitless. The elections were spoiled also send a bad image in the world”. He The Serbian Prime Minister warn Michel, while Guido Westerwelle has lost all influ- by low turnout of Serbs and the violence adds that unsuccessful elections are only them by saying: “If Serbs do not vote again, ence back home. which happened in Kosovska Mitrovica, good for Hashim Thaçi, Democratic Party we will have an Albanian mayor in Mitro- But the Belgian Verhofstadt is enfeebled by his left- the second big town in Kosovo, which is of Serbia, right-wingers and parachurch or- vica. It can be a cause for future conflicts, ist leanings and incomprehensible (for some) ap- unlike Pristina, the Serb-dominated area. ganizations, because the Serbs missed the maybe even armed conflict.” However, petite for a federalist Europe. Verhofstadt is openly Some masked extremists started smashing opportunity to choose their local authori- there is not a guarantee that the forthcom- in favour of the pooling of debt and has published a ballot boxes in the primary school St Sava, ties. ing elections will be regular this time. It is “manifesto for a post-national and federal Europe”, so that 16 out of 33 polling stations had to The Serbian government looks for evident that the politicians have only con- together with that colourful figure the Green Daniel be closed. the reasons for unsuccessful elections in fused the Serbs from Kosovo so far, so that Cohn-Bendit, who is anathema for the right. It is obvious that the international rep- Kosovo among Albanian politicians too, they are bewildered and uncertain who to In essence, the problem with the Liberals is that when resentatives in Kosovo did not do their job claiming that they support some Serbian trust and which party sincerely represents they come to power, they do not represent the vote well and allowed extremists to enter the political parties, contributing to the con- their interests. Thus, the success of the lo- of protest anymore. Their discourse has been stolen, northern part of Kosovo. However, it is fusion further on Serbian political scene cal elections in December remains to be while their ideology, successfully used by others, is known that the extremists were Serbs them- which is directly mirrored by the disagree- uncertain, causing an unpredictable future seen as one of the causes of the crisis. selves who wanted to prevent their compa- ments among the Serbs in Kosovo. So, one for the Brussels agreement as well. NEWEUROPE www.neweurope.eu 07 10-16 November, 2013 ANALYSIS

A member of New Europe’s Knowledge Network

By Sri Sri Ravi Shankar World Forum for Ethics in Business Business and society Economy is the most vital aspect of any society. Not only do busi- nesses provide livelihood to many, they are also an expression of creativity in solving real world issues. A business idea becomes successful and profitable when it serves a genuine need in soci- ety. Every experienced businessman knows that the real wealth is the trust that they build in their customers. It is this trust that gets translated to financial prosperity and sustainability. Business could never run without trust and retaining the trust of late has been a challenge. Unfortunately, due to the numerous scams that we have seen in the past years, this trust among people in society has turned to mistrust. It is the responsibility of business enter- prises to bring back trust in the minds of people and that requires a sustained effort to establish integrity and ethics. When creativity, experience and expertise are put to use to benefit people at large, a viable working model evolves on its own. The Commissioner, I can see light at the end of the tunnel. AFP PHOTO / GEORGES GOBET Art of Living Foundation is collaborating very closely with a few corporates for some of our rural development programs. For ex- ample, the Light A Home project of the Art of Living brings solar lights to areas that are still without electrical connection. The pro- ject has sustained itself well and has illuminated thousands of rural EU’ autumn economic forecasts: homes as well as promoted entrepreneurship by skill development programs. Likewise, there are many non-governmental organisa- tions working closely with the corporate sector. This sense of con- tributing to society has to be re-awakened. Businessmen in society signs of a sluggish recovery have to come forward and reinforce the message that you can still Growth is forecast to be slower in the Eurozone than in the EU at large be prosperous without resorting to corrupt or unethical means. It is to provide a platform for this message to come through that the slower in the Eurozone than in the EU the case of the Netherlands : “muted re- World Forum for Ethics in Business was founded. By Dan Alexe at large. Inside the Eurozone, Cyprus covery in sight after two years of nega- Corruption is an issue that ails all societies all over the world. It conomic recovery in the EU will and Slovenia are singled out to remain tive growth”. happens because of lack of connectedness among people. One be slow but steady over the next the only countries in recession in 2014. A separate section is devoted to cannot indulge in corrupt practices if you feel connected. It is two years, although there are no The lowest unemployment will re- the candidate countries, as well as to much more difficult for an individual to fight corruption alone Egrounds for excessive optimism. The main, as today, in Austria (4,7%) and the USA, Japan, China, Russia and the while collective efforts have always paid off. It is time for well- European Commission released on Germany (5,1%), while in some coun- EFTA countries (Norway, Switzerland, established businesses to promote ethics in business so that the Tuesday, 05 November, its Economic tries like Romania it will stay constant: Liechtenstein). young entrepreneur finds a hope of doing business without cor- Forecast encompassing the whole year 7%, practically the same as in all Scan- When compared to Europe, two rupt practices. 2013, as well as projections and pre- dinavian countries. other major economies, the USA and Business institutions can also help mould the education system dictions for the period 2014-2015. Unemployment in Romania has Japan, are foreseen to go in opposite in which they are also direct stakeholders. Often, students go The conclusion, when comparing the been constant in the last decade, rough- directions. The USA seems to promise through years of expensive courses only to be re-oriented by their evolution of all the economies of the ly at 7%, the explanation being not the to almost double its growth, from 1,6% employers before they begin work. EU countries, as well as those of the state of the economy, but mostly the this year to 3,1% in 2015, while growth Businesses can play a key role in ensuring that the curriculum associate and candidate countries, is a massive emigration, temporary or per- in Japan could decline from 2,1% in stays relevant and also provide students exposure to elements of prudent and modest one : a slow recov- manent, to other EU countries, of large 2013 to 1,3% in 2015. professional life while they are still studying, making them better ery has set in, but the situation is still numbers of workers who otherwise The employment growth in the prepared for their new roles after college. fragile. would have constituted an unsustain- EU will also be only half the one in the In all this, one should not forget that the happiness factor plays a Commissioner Olli Rehn was very able burden for the economy. USA, 0,7%, as opposed to 1,5%. As for direct role in the increase of productivity and success. careful when presenting the results Inflation in 2015 will stay the same the unemployment rate in the EU, it is The fear and insecurity that accompanies an attitude of ‘How can of the forecast : “There are increasing in the EU (1,6%), but it will grow more supposed to stay in 2015 at an extreme- I get more?’ vanishes with an attitude of ‘How can I help?’ signs that the European economy has rapidly in the US (2,1%, up from to- ly high 10,7% (11,8% inside the Eu- Prosperity in society is sure to follow when in business, passion is reached a turning point. But it is too day’s 1,5%) and Japan (1,2%, up from rozone), compared to 6,5% in the US balanced with fairness; profit with service; and the feverishness to early to declare victory: unemployment today’s 0,3%, after passing through and 3,8% in Japan. In Spain and Greece get things, with a compassion to give back to the society. remains at unacceptably high levels. 2,6% in 2014). unemployment is foreseen to stay at That’s why we must continue working The report offers also a country by roughly one quarter of the active popu- Born in India in 1956, H.H. Sri Sri Ravi Shankar is a revered spiritual to modernise the European economy, country assessment, identifying each lation (24% in Greece, 25,3% in Spain). leader and humanitarian. His mission of uniting the world into a violence- for sustainable growth and job crea- country’s hypothetical evolution with a All in all, the forecast doesn’t leave free global family has inspired millions of people worldwide to work towards tion.” catchphrase : Germany - “steady expan- much ground for optimism, while in sustainable peace. Sri Sri is the recipient of numerous awards, including Sluggish recovery would be a more sion”; Greece - “economic recovery in many areas it disguises stagnation un- honorary doctorates and state honors. appropriate term. Growth in the sec- sight”; Italy - “from recession to a mild der formulas like “recovery in sight”, or In 1997, he founded the International Association for Human Values ond half of the present year is expected export-led recovery”. (Some of these “muted recovery ahead”. (IAHV) to identify and foster the fundamental human values on a global scale. IAHV is working with marginalized communities to promote at 0,5% compared to the same period catchphrases are almost poetic : Malta With 11% of the active population sustainable development, and has so far benefitted over 30,000 villages and in 2012. Economic growth is expected - “the wind in the sails gains strength”.) still in search of a job two years from trained more than 65,000 local youth on three continents. to gather pace to 1,4% in the EU and At the lower end of the spectrum now, recovery would rather be labelled Sri Sri is also the founder of the International Art of Living Foundation 1,1% in the Eurozone in 2014, reaching one finds Cyprus - “recession deepens” as “sluggish”, and growth as “slow”, (1981) dedicated to uplifting humanity and bringing peace at all levels 1,9% and 1,7% in 2015, respectively. It and Bulgaria - “muted recovery ahead”, which is politically better sounding of society. Both IAHV and IAOLF are volunteer-based charitable NGOs, is revealing that growth is forecast to be although we find the same formula in than “negative”. active in over 151 countries. NEWEUROPE 08 www.neweurope.eu INTERVIEW 10-16 November, 2013

Telecoms: Dial M for market consolidation

Industryegulatory interventions urges on wholesale widespread reforms from EU and retail prices, like roaming caps, have been at the centre of EU policies for Rlong, but now there is much more that needs do- ing if EU telecoms are to regain their leading role, Luigi Gambardella, Chairman of the European Telecoms Network Operators (ETNO) Execu- tive Board, told New Europe in an interview.

Luigi Gambardella, Chairman of the Euro- pean Telecoms Network Operators (ETNO) Executive Board. Neelie Kroes, Vice-President of the EC in charge of Digital Agenda, at a press conference following the adoption by the European Commission of what it labelled the most ambitious plan in 26 years of telecoms market reform Cr edit © European Union, 2013

Q.: What are the main elements that an A.: The market is clearly signaling that this is ing Methodologies and Non Discrimination, the Furthermore, measures such as those on ambitious reform of the EU telecoms rules the road to follow, in order to achieve investments Communication, and of course the draft Regula- roaming and international calls further erode should have, from your point of view? and growth. Investors are already anticipating tion, which is the most important element of the revenues and cash flows in the short term and A.: The answers to this question are in a these changes. Let’s take the example of healthy package. won’t help operators in raising cash for more in- study by the Boston Consulting Group which has consolidation. Over the past months, investors vestments. Some other measures, however, are been recently released. It points out why Europe, have started to show some signs of confidence Q.: What is ETNO’s opinion on the Rec- successful in harmonizing and strengthening the once a leader in the technologies that comprise in the European telco sector: since June the telco ommendation? EU telecom rules. This is good. the backbone of the digital economy, is currently stock index has gone up by 30 %. Many investors A.: The Recommendation aims at harmo- Having said that, we are ready to collabo- lagging behind many markets in Asia and North have abandoned their negative positions and are nizing access costing methodologies, providing rate with the European institutions and all other America, and how it could turn back to growth. ready to become more positive about our indus- all operators with the needed level of regulatory stakeholders to improve the package and achieve The study underlines three major paradigm try. predictability. We have welcomed the Recom- more ambitious goals. changes to be adopted, in order to create the It is widely recognized that these signs of con- mendation as a meaningful contribution to re- In the coming months we should try to get ground for a newly competitive telecoms sector fidence are due to positive expectations about a store the investment climate in Europe, provid- the best possible outcome from the Regulation in Europe. likely new phase of consolidation and a more in- ing regulatory certainty and predictability. This in order to push as much as possible investors’ Firstly, we need to move away from sector- vestment-friendly regulation. The German case assessment is shared with conviction by investors confidence. specific regulation, enacted at Member State is seen as a positive sign, of course depending on and we are very satisfied with that. However, it level, and aim for a fully harmonized – and sub- approval and remedies to be imposed. is crucial that harmonization on paper translates Q.: And finally there is the Communica- stantially reduced – pan-European regulatory The message is clear: change the regulatory into harmonization into practice. For this it will tion on the Telecommunications Single Mar- approach, relying mostly on established competi- framework along the roadmap we are proposing, be important that the new rules be adequately ket. What’s the role of this piece of “soft” leg- tion law. and the market will positively react. implemented by the NRAs. Inadequate imple- islation? Secondly, we need to put consumer benefits mentation at the Member State level is already A.: The Communication can be considered into perspective: industry moves such as merg- Q.: What would be the impact of such re- seen as a major possible cause of concern by in- an important piece of legislation as it identifies a ers must be evaluated with a holistic, longer- forms on the European economy? vestors. It would be particularly worrisome for us number of key areas that still need to be addressed term view. Market consolidation which leads to The roadmap outlined by the Boston Con- if some national regulators would not follow it, as with a long term view of driving the growth of the improved investment conditions in the medium sulting Group would pave the way for EU citizens it would hamper regulatory harmonization at the EU digital economy. In particular, the Communi- term should not be seen as a taboo, but as an in- to get the leading global communications net- European level and create legal uncertainty. cation rightly addresses: strument to reverse decline and favor both opera- works that they need and want. The study affirms the need for market restructuring (by means tors and consumers in the long run. that it would help close the gap towards meeting Q.: Are you as positive about the draft of market consolidation) the creation of a level Thirdly, we need regulators to look at the the EU Digital Agenda targets, and substantially Regulation? playing field for all actors in the ICT value chain whole value chain: narrow and rigid definitions contribute to the growth of the EU economy, A.: When it comes to the draft Regulation, and the need for further steps to deregulate the of networks, services, technologies, and national with up to 750 billion euros of GDP growth and it becomes more complex to formulate a general sector as markets become competitive. borders are old and outdated. The new paradigm 5,5 million new jobs generated by 2020. assessment, as negative provisions coexist with We have appreciated the focus of this piece must embrace a full view of the value chain, in a positive ones. of legislation, and hope it can provide the technologically agnostic manner and with a dif- Q.: Does the package on the Single Mar- The draft Regulation, the cornerstone of the guidelines for a much needed further review ferentiated geographic lens based on the service ket adopted by the Commission in September package, even if it foresees relevant changes of the of the EU Telecoms Regulatory framework, to provided. meet the needs of the industry? rules governing the sector, often provides new be undertaken during the next Commission’s As for the measures proposed, the package is regulation layers instead of simplifying the rules, mandate. ETNO will work hard to make this Q.: How would the market react to such a complex one, and we have to assess its single ele- and fails to provide the strong pro-investment review a priority in the political agenda of the reforms? ments separately, the Recommendation on Cost- measures that the industry badly needs. next Commission. NEWEUROPE www.neweurope.eu 09 10-16 November, 2013 ANALYSIS

By Andy Carling Constructive Ambiguity

Going downhill slowly

The cashier was carrying the unconscious English girl out of the supermarket. I could relate to that because I too nearly fainted when I first saw what looked like a goddess operating the checkout a few minutes before. We’d walked from the mountains to the fleshpots of one of the small coastal villages, now a tourist hotspot. There are fewer things finer than a gravity assisted walk and the long descent through the small villages was fascinating. Cyclists say that you see more on a bike than in a car, but you can only really notice what’s around you if you travel at human speed. The road flattened out along the coastal plain, with the heat suddenly coming on strong. The first sign of what lay ahead, strangely enough was on a telephone pole, giv- ing the town’s name, and arrow pointing the way and the For a successful digital future, the EU should have a real net neutrality and single digital market. EPA/OLIVIER HOSLET word ‘Laundry’. Then a series of apartment blocks, small mini-resorts for around a hundred people, with a pool and promises of hundreds of delights within. Only one was open, with a couple of people by the pool and a couple more inside A digital future needs the Irish pub next door, with Sky Sports on a dozen screens. Feeling the heat, we stopped at a supermarket and sat in the shade with a long cold drink. There was a large res- real net neutrality taurant across the road called ‘Nemesis’. I toyed with the By Marietje Schaake MEP Through its open nature, the internet has offer faster service. These provisions can lim- idea of opening up one opposite called ‘Hubris’ but bank become an increasingly important enabler it the possibilities to enter the market for new loans are hard to get in this corner of the world. Marietje Schaake of human rights. Freedom of expression in players whose pockets are not as deep. This Walking further into town, past rows of places offering MEP, Group of the particular, but press freedom, access to infor- would stifle innovation. We already see more ‘Full English Breakfast’ a short right turn saw us on the Alliance of Liberals mation and freedom of association as well. At and more internet service providers and con- beach, with the aquamarine sea fading into the blue sky and Democrats for the same time the internet boosts economic, tent providers making these deals. We need beyond. It felt like looking towards the edge of the world. Europe social and political developments. In fact, it to ensure that consumer choice and access to The beach itself wasn’t too overdeveloped and there would be hard to imagine a world in which information are not hurt in the long run. were few people around, so we walked along until decid- we are not connected anymore. It is essential that major market players ing to enter a beach side bar for a drink and to gobble up To ensure access to information, inno- cannot abuse their power and that the pub- some wifi. ommissioner Kroes’ recently pub- vation and a level playing-field for the next lic interest is not forgotten. When hospitals, It’s easy to scoff at there types of resorts and the peo- lished proposals to harmonize the decades, legal guarantees are needed. Until libraries and universities cannot afford to ple who come to them, but the island markets itself European telecoms markets are recently the assumption was that competi- pay for higher internet speeds they risk being as guaranteed sun with a mixture of traditional and Can important step towards the long over- tion and transparency would offer sufficient crowded out. To give new services and in- home comforts. That’s what people want and that’s due completion of the European Digital safeguards for internet users’ connectivity. novative start-ups a fair chance, incumbents what they get. Single Market. Everyone that has ever However, research by the board of European should not be favoured over newcomers in Speaking to the Greek owner, the season had been rea- used their cell phone in another member telecom regulators, BEREC, has shown that the market. sonable, but no more. Visitors to the isle had dropped by state for calls or mobile internet knows hundreds of millions of European consum- The EU should therefore take the lead around 25% since the crisis and the season had shrink that eliminating roaming costs in the EU ers do not have access to all information or on actually enshrining net neutrality in law. from eight months to six. The prices were dropping and would indeed be a major improvement services online. This will require an approach that is ambi- the tax was rising and worse still, being collected. Every for consumers. However, the proposed Practices such as throttling or blocking tious, principled, and puts users first. The till in the land bears a notice pointing out, in English and clauses that are labelled ‘net neutrality’ of data or the blocking of specific services public value of the open internet is too often Greek that customers did not have to pay for anything in the regulation are cause for concern. such as Skype or Whatsapp are occurring overlooked. ISPs have to treat all data equally, unless an official receipt was given. They risk compromising the public value widely. These practices often require in- cannot block any content, and must allow for The visitors were mainly British, mainly from the eco- of the open internet and stifling innova- trusive techniques such as deep packet in- fair competition on the internet. This would nomic fringes, coming when the end of season prices tion. In the coming months the European spection, where internet service providers protect users from the abuse of power of ma- begin, often elderly or families. Parliament has a historic opportunity to look at the content that is being transferred jor market players. Seaside towns often look tatty and sad after the sea- correct this and lay the foundations for an in order for them to identify and prioritize A digital single market free from unnec- son ends, this looked far nicer than when the madding open internet by enshrining true net neu- or throttle certain data packets. Would we essary barriers, with a solid infrastructure crowds come in waving money, beer and vomit. Where trality in law. accept it if the mailman opened our letters and modern regulations has an economic so many fall to heatstroke it appears that there’s a Heav- Over the last 20 years the internet and in order to decide which he would deliver potential of 800 billion euros. Net neutrality enly sniper picking off targets at random. information technology have developed at first? is an essential condition in order to unlock For the owners, it’s time for the reckoning; have they an extremely rapid pace, giving rise to huge Although the good news is that Commis- this potential to the fullest. The European made enough to see them through to next year? They economic and social benefits. The key driv- sioner Kroes’ proposal puts an end to these Parliament now has a historic opportunity might just squeeze through, but there’s no money for er of this unprecedented innovation has practices, the risk of deals between major to get net neutrality right. Implementing net investment, it’s make do and mend until the banks have been the simple fact that all information market players continues to threaten net neutrality legislation in the EU is not only had their dues. flows and services are treated equally, with- neutrality. So-called Assured Quality Service important today, but will be increasingly es- Waiting for the bus back, there was a huge sign opposite out discrimination; conform the principle provisions would allow content providers to sential tomorrow. In a legal vacuum, we risk a saying, ‘Authentic Greek Taverna’. The arrow was point- of net neutrality. make deals with internet service providers to race to the bottom. ing in the opposite direction we were heading. NEWEUROPE 10 www.neweurope.eu ANALYSIS 10-16 November, 2013

By Carol Cosgrove-Sacks

The 2013 Award of the Ethics in Finance-Robin Cosgrove Prize The prestigious Ethics in Finance Robin organized by l’Observatoire de la Finance, Geneva, Cosgrove Prize will be awarded this year to two and by Robin’s family. The global Prize was young finance professionals working in London: awarded in 2007, 2009 and 2011 and by 2013 Prabhay Joshi, born in India, and Rafael Gomes, nearly a thousand papers had been submitted a Portuguese national. Together they will share from young people under 35 years old from the 2013 global prize for $20,000 which will eighty countries. be awarded on 14th November in Geneva. Since 2008 a regional Ibero-American Prize, [For details of the Award Ceremony see www. supported by MAPFRE of Madrid, a major Spanish robincosgroveprize.org] insurance company, encouraged contributions The still-continuing saga of manipulation of to the ethics in finance debate from young the benchmark interbank lending rate, Libor, is professionals writing in Spanish or Portuguese. The the focus of Prabhay Joshi’s paper. In the aftermath prize of $15,000 was awarded in 2009 and 2011, and of the scandal and the resulting penalties the 2013 prize will be divided between three young imposed, he examines why cultural practices professionals: Beatriz Cuevas Fernández of Spain overshadowed ethical decision - making, leading who wrote about Banking, ethics and sustainability: Renewable energy tas taken off in Italy, even in traditional business, such as this solar panels to one of the biggest financial scandals of recent the need for a self-critical look at corporate social for Rocadin. The company has produced the first pizza baked in industrial ovens using solar times. He suggests that structural regulatory responsibility strategies; Guadalupe del Carmen energy only. EPA/STEFANO LANCIA reforms in these cases represent only one part of Briano Turrent of Argentina who examined how the remedy. In exploring the dynamics of how ethics in finance could stimulate a new dimension corporate, team, and individual ethical values are in corporate governance in Latin America; and formed in a large bank, he proposes that the key Ángel López Ortega of Spain, who proposed an focus going forward should be to instil ethical Online Interbank Funding Platform for social- Italy’s Zanonato on Europe’s standards at all levels of a financial organization impact projects. by encouraging individuals to form their personal A further initiative in 2012-3 was the vision of ethical integrity. launch by the Polish Bankers Association of a renewable future Rafael Gomes develops a concept of Polish language edition of the Prize. The best The regassificators are essential, especially if corporate responsibility for the wider financial paper chosen by the global Jury was from Ewa By Federico Grandesso in the future we will be going to import the system. He analyses the failure of markets to Kruchoska, who addressed the prospect of In between meetings at the European Parlia- shale gas which is a gas with one-third lower defend themselves from unscrupulous and changing the meta rules of the game in finance. ment and the Commission in Brussels, Italy’s the price of what we pay now our normal gas. unethical behaviours and the chronic need The mission of the Prize to stimulate a Minister for Economic Development Flavio This new resource has brought about the re- for responsible compliance practices and the global reflection on ethics in finance through Zanonato spoke to New Europe about renew- industrialisation of the United States, which development of ethical competence throughout the competitions and the website has made a able energy and why regassification is impor- was able to bring back home some industries. the financial system. He calls for recognition of significant contribution to the sustainable future tant for the future. In the future, if we don’t catch this train, this “corporate market responsibility”, proposing of international finance based on stronger ethical issue is going to be an important factor as re- that financial firms must help to ensure a fair and awareness and commitment to integrity among New Europe: What is your strategy on re- gards lowering EU competitiveness against stable financial system, adopting robust ethical all stakeholders. The International Monetary newable energy? the United States. norms for business conduct, above and beyond Fund (IMF) promotes the Prize through its Flavio Zanonato: First of all, we have to carry If we want to buy the gas at a lower price and legal regulation and profit maximization. training programmes, the principal Accountancy, out actions in which Europe is pushing to- have competitive industries, we must have the The Robin Cosgrove Prize, founded in 2005, Banking and Insurance institutes across Europe gether in the same direction. possibility to import this gas from the United launched a global debate on the role of ethics and promote awareness of the prizes and some major Then, we have to ask the non-EU countries States and this will be possible when the Free integrity in all aspects of finance. Well before the financial enterprises encourage their staff to take that are exporting to Europe to better respect Trade Agreement between the EU and the current financial crisis swept across the world, the an interest in the global ethics in finance debate. all our parameters. After that, we have to push United States enters into force. Prize has been dedicated to a global reflection on The Prize works to reinforce greater confidence on renewable energy, on the green economy So, we have to open some regassificators be- the role of ethics, integrity and trust in financial amongst stakeholders- investors, shareholders, and finally on energy saving. We have to take cause otherwise somebody will have to ex- transactions. The goal is to use the fresh ideas customers, regulators – and hopefully contributes into consideration three objectives. plain to me why in Italy we can’t have low cost and discussion that result from this dialogue to to more dynamic corporate cultures based on The first is that we have to become independ- energy. For the moment, we selected some inspire younger staff in the world of finance and honesty, mutual respect, and the added value of a ent from an energetic point of view. You all areas available because we want to expand na- to re-inspire the broader finance, regulatory and clear commitment to ethics in finance. know that we import 80% of the energy we tional autonomy and diminish the gap of 80% academic communities to respond in more [Copies of the best papers submitted for the need. of imports from third countries sustainable ways to promote a healthy finance 2013 Prizes are published by the Observatoire de Secondly, saving is another important ele- sector, so essential to economic growth and la Finance, Geneva, in its Journal, Finance & the ment that goes in the direction of a minor cost Based on the recent data we have for Italy, stability. The Prize reflects the ideas of Robin Common Good/Bien Commun, see www.obsfin.ch with fewer emissions. And finally, we have to almost all the indicators like the gross do- Cosgrove, a successful young investment banker, and are also available on the website of the Prize. reduce the impact of the cost of the renewable mestic product and the debt and employ- who sadly died at age 31. The bookTrust & Ethics in Finance-Innovative energy. ment rate are negative. Are you worried The first global Prize was launched in 2006, Ideas from the Robin Cosgrove Prize edited by Carol My proposal, without compromising the in- about this situation? with money from Robin’s family, friends and Cosgrove-Sacks & Paul Dembinski published terests of the producers of renewable energy, Yes, of course. These are the effects of a global former employers, with the goal of prompting the best papers from 2007-2011, available from is to issue some bonds which could dilute the negative performance. focused debate among young finance Amazon.com] costs of this expensive technology because in At the moment, our first objective is to re- professionals and advanced students of financial the past we wanted to pay these costs in a pe- start the productive engine to regain growth issues, encouraging them to submit their ideas for Dr Carol Cosgrove-Sacks is a director of the riod that was too short and not sustainable. momentum. This means we have to lower the “Innovative Ideas for Ethics in Finance”. Papers Ethics in Finance Robin Cosgrove Prize; she is an unemployment rate and open new industrial were submitted in either English or French, and international policy consultant based in Geneva and Do you think regassificators are an inter- areas because the negative fact is that Italy lost adjudicated by a distinguished international Jury a Visiting Professor at the College of Europe, Bruges. esting option? the 10% of its GDP in the last four years. NEWEUROPE www.neweurope.eu 11 10-16 November, 2013 ANALYSIS

A member of New Europe’s Knowledge Network Is a living economy possible By Francisco Jaime Quesado for Greece and Europe? The School

The Schoolof will playthe a central Futurerole in the future of society. A real collaborative and participative space where teachers and students share a common strategy towards knowledge and creativity as the key drivers of growth and competitiveness. ICT and modern content matrixes give the real old school a new frontier of capability that helps students to answer with more efficiency to the demandind and complex challenges of a new society. The new old school is the right platform for making strategic education as the central competence for a new order in society. The School of the Future will allow people to know who they are and have a strong commitment with the values of freedom, social justice and development. This is the reason to believe that a new standard of society, more than a pos- sibility, is an individual and collective necessity for all of us, effective global citizens. Habermas is more than ever present – the difference of this new world will be in the exercise of the capacity of the individual participation as the central contribution to the reinvention of the collective society. The School of the Future will be an open space where col- laboration and participation are the drivers of a new way of communication. In this way it´s essential to learn the lessons A shop employee writes a slogan at the entrance to the Athens Traders Association reading ‘ work on Sundays-shame!’ in Athens that more than ever emerge from a world that is trying to re- AFP PHOTO / LOUISA GOULIAMAKI build its competitive advantage and to reinvent its effective poor, suggests that the current develop- primarily the EU which appears indiffer- place in a complex and global network of relations. In the By Theodota Nantsou ment paradigm does not promote well- ent to serious sustainability and environ- New Global Economy and Innovation Society, people and he shadow of the global crisis being in an equitable manner and cannot mental concerns arising from the fiscal companies have a central role to play towards a new attitude shed light on the weaknesses of be sustainable, in social terms. reform and adjustment programme. connected with the creation of value and focus on creativity. the fragile modus operandi of At the environmental level, the A living economy is indeed possible The School of the Future will be a permanent commitment Tthe dominant development paradigm, expected impacts of climate change, for Greece. In a country so abundantly between the local and the global. The School of the Future within which the crippled Greek econo- primarily on coastal and island areas, endowed with a unique natural capital, must confirm itself as an “enabler actor” in a very demand- my is called to recover. the constant loss of natural wealth, the the way out of the crisis needs to be sus- ing world, introducing in the society and in the economy a At the economic stage, many coun- uncontrolled environmental crime, tainable and not consume the very basis capital of trust and innovation that is essential to ensure a tries, including Greece, continue to sink the deterioration of the quality of vital of its economy. central leadership in the future relations betwen the differ- deeper in the crisis, with significant fiscal natural resources and the lack of basic Horizontal policy reforms are ur- ent social and economic players. These new actors should deficits and stagnation. Recovery and the environmental infrastructures, seriously gently needed: good and efficient gov- be more and more global, capable of driving to the social creation of new jobs are still being sought undermine the resilience of Greece’s ernance; clear, equitable and effectively matrix a unique dynamic of knowledge building and selling via obsolete economic tools, on the cha- natural capital and its regenerative capac- monitored laws; taxation that boosts it as a mobile asset on the global market. otic basis of attracting any type of invest- ity. With a national ecological footprint job creation and makes polluters pay; The School of the Future will be also an effective actor of ment, anywhere, without key social and being equal to almost three times the policies that favour ecologically sustain- permanent social integration. The School of the Future must environmental filters. planet’s capacity to replenish its natural able investments; a participatory and know how to integrate in a positive way most of the citizens Greece however is called to face pri- resources, and a constantly falling bioca- solutions-driven society; a vibrant social that want to develop new ideas. Social cohesion is done with marily its deep, idiosyncratic structural pacity, it is evident that the current de- economy. This “politeia” for sustain- the constructive participation of the citizens and it is more problems caused by an inefficient eco- velopment paradigm is not sustainable, ability should set the basis for a living and more necessary an effective attitude of mobilization for nomic model of introvert consumption, in ecological terms. real economy, which will be based on a this effort. A positive integrative policy is a signal that the based on ineffective governance and a WWF believes that these two crises, dynamic revival of the primary sector, in- different actors have a common road to follow in the future. myopically designed, natural resource- economic and ecological, are deep and dustry, energy and certainly tourism. The School of the Future will face a very exciting challenge. intensive and unproductive real econo- interconnected, and should be addressed We need to rethink development. The School of the Future will be effectively constructed by my. This model, which is aggravated by jointly and not through myopic and frag- Not just for Greece, but for the entire all the actors in a free and collaborative strategic interaction. the fiscal adjustment and austerity meas- mented policies. An ecologically viable world. We need to plan for equitable de- The School of the Future will be the answer of its teachers ures dominating current EU policies, is and socially equitable economy requires velopment and economic activity that and students. unsustainable, in economic terms. ambitious reforms in order to set off. provide for sustainable livelihoods, with- An active commitment, in which the focus in the participa- At the social level, the widespread lack In October, WWF Greece launched in the planet’s finite boundaries. tion and development of new competences, on a collabora- of transparency and accountability, a seri- for the first time in Greece, a dialogue There is a solid, robust business case tive basis, must be the key of the difference. This is purpose ous democratic deficit, the environmental about development and the socioeco- and a promise for better life in the pro- of the School of the Future. crime that remains unpunished and the nomic future we want. In a detailed posed plan. However, the most impor- absence of a vibrant social economy are proposal, WWF Greece defines a vision tant reforms will not be easy. The hard- Francisco Jaime Quesado is the General Manager of the characteristics of a profoundly problem- and roadmap for a living economy in est part is the fundamental shift from Innovation and Knowledge Society in Portugal, a public atic and unjust model. In a planet that is the crisis-stricken country. The call for the business-as-usual scenario, which agency with the mission of coordinating the policies for not actually limited by national bounda- dialogue is addressed to all Europe, since favours only marginal reforms and resists Information Society and mobilizing it through dissemination, ries, the impacts of climate change and Greece is not alone in deciding for the fu- real change. qualification and research activities. It operates within the the loss of common natural heritage and ture: concerned society, the private sec- Theodota Nantsou Ministry of Science, Technology and Higher Education resources, which are primarily felt by the tor, decision makers, and the Troika, but Head of Policy, WWF Greece NEWEUROPE 12 www.neweurope.eu Energy & climate 10-16 November, 2013

Japan’s risky nuclear clean-upfacility, compensates evacuees and pays for de- By Kostis Geropoulos contamination. he operator of Japan’s crippled Fuku- After months of denials, TEPCO confirmed shima nuclear power plant is soon to in July that contaminated water from the plant begin the daunting process of remov- was flowing into the Pacific Ocean. It has also Ting 1,534 nuclear fuel rods from a storage pool found that 300 tonnes of highly radioactive water at the site. It will mark the first time since the leaked from one of hundreds of quickly built stor- March 2011 meltdowns that Japan has removed age tanks, among numerous other problems. fuel from any of its wrecked reactors. “If the management that run this nuclear “I hope they do it safely and it goes ac- plant did not do a good job and are convinced cording to plan. These people usually do their they are incompetent or did something that homework; they are meticulous at what they was not correct, obviously they will get some- do so they will take all the necessary precau- one else. But to conclude that they are stuck tions to make sure it is going to be done safely,” and there is no way out that is definitely not the Fadel Gheit, an analyst with Oppenheimer in case,” Gheit said. New York, told New Europe on 8 November. Meanwhile, inspectors from the UN’s In- “Having said that, Japan cannot survive without ternational Atomic Energy Agency (IAEA) ar- nuclear power,” he added, stressing that nuclear rived in Japan last week to monitor the ongoing power is very important into Japan’s energy mix cleanup and look into the continued leaking of and the country’s economy. contaminated water at the Fukushima Daiichi Japanese engineers will begin extracting the nuclear power plant. A team from the IAEA No. 4 unit’s fuel rods, in what the plant opera- is expected to sample water from around the tor calls a delicate but groundbreaking step in a plant, including seawater off the Japanese coast cleanup that is expected to take decades. An official of the Tokyo Electric Power Co. (TEPCO) checks a wall along the coastline at in an attempt to better gage the level of radioac- Three reactors at Fukushima suffered core the Fukushima Daiichi nuclear power plant in Okuma, Fukushima Prefecture, Japan, 7 tive contamination. meltdowns after a massive earthquake and tsu- November 2013. AFP PHOTO/KIMIMASA MAYAMA/POOL Japan has pledged a full cleanup in advance nami compromised containment and damaged The operator had been scheduled to start sustained ocean leaks of contaminated water. of the 2020 Olympic Summer Games, which cooling systems in March 2011. the actual removal on 8 November, but the The utility, known as TEPCO, has floun- were awarded to Tokyo. At the time of the earthquake, the reactor at Japan Nuclear Energy Safety Organisation last dered in the 32 months since the plant was dev- Gheit told New Europe that there will be re- No. 4 had been emptied for maintenance, but week insisted that Tokyo Electric Power Co. astated by the magnitude-9 earthquake and the sistance and opposition to Japan’s nuclear power its active fuel and decades of older spent fuel (TEPCO) carry out a test to ensure that every tsunami, struggling to get to grips with it and plants but realistically nuclear power is critical to rods were stored in essential pools of water sus- part of its plan goes smoothly, delaying the op- clear up the site of the worst nuclear disaster Japan’s economy. “They have been in debate since pended above the core, inside the reactor build- eration for some two weeks. since Chernobyl in 1986. the tsunami hit them two years ago. They never ing. The quake disabled the cooling systems, If it goes smoothly, the extraction of the TEPCO has lost $27 billion since the disas- stopped debating it but they know there are not also leaving the structure holding the pool dan- rods will reduce one of several risks that work- ter at the plant on the coast north of Tokyo and too many viable options, especially in the near gerously weakened. ers at the plant are contending with, including faces massive liabilities as it decommissions the time,” the Oppenheimer analyst said.

Gazprom, SIBUR to build joint gas processing complex Russia’s SIBUR and gas monopoly Gazprom release added. have signed a joint venture agreement on the The Memorandum outlines general pric- construction of a gas processing plant and ing mechanisms for ethane supplies, projects petrochemical complex in Belogorsk, in the synchronization and a synergetic effect assur- Amur region in Russia’s Far East. ance. On 1 November, Gazprom Chairman “The efficient and reasonable use of all Alexey Miller and SIBUR CEO Dmitry the valuable components of natural gas from Konov signed the memorandum at the eastern fields is a priority of Gazprom’s com- Gazprom headquarters in Moscow. prehensive activities in Russia’s East. The According to the document, the parties partnership with SIBUR is a sample model of will join their efforts as part of the potential Gazprom’s co-operation with other investors creation of a powerful complex for processing within the Eastern Gas Programme: Gazprom multi-component gas from fields of the Ya- creates a resource base and facilities for pro- kutia and Irkutsk gas production centres be- duction, transmission and initial processing, ing currently formed by Gazprom within the while our partners construct capacities for Eastern Gas Programme. chemical processing and manufacturing of Gazprom is planning to construct a gas value added products. The joint activities processing plant in Belogorsk with the an- will result in a considerable economic effect Gazprom Chairman Alexey Miller, right, and SIBUR CEO Dmitry Konov sign a Memorandum nual capacity of up to 60 billion cubic metres, and become an extra incentive for developing of Co-operation at the Gazprom headquarters in Moscow, 1 November 2013. where ethane and other valuable components Eastern Siberia and the Far East,” Miller said. will be stripped from natural gas, a press re- Konov said SIBUR constantly looks into stock into valuable petrochemical products. Irkutsk gas production centres being a part of lease said. new possibilities of developing the petro- The implementation of such large-scale pro- the state-run Eastern Gas Programme. The For its part, SIBUR, which is a vertically chemical sector to enhance its leadership po- jects in new gas production regions requires Programme was approved in September 2007 integrated gas processing and petrochemical sition in Russia and enter new target export accurate synchronisation and detailed study by Russia’s Ministry of Industry and Energy. company, intends to create a gas chemical markets. “The co-operation with Gazprom of all parameters,” the SIBUR CEO said. In order to convey gas from the Yakutia complex technologically connected with the will make it possible to unlock the potential The Chayandinskoye and Kovyktinskoye and Irkutsk gas production centres via Be- gas processing plant for the purpose of pro- of interaction among manufacturers and pro- fields with gas reserves amounting to some logorsk to Vladivostok Gazprom is planning cessing ethane, obtaining monomers and sub- cessers to create highly competitive capacities 1.2 and 1.5 trillion cubic metres of gas respec- to construct the Power of Siberia gas trans- sequent manufacturing of polymers, the press for advanced processing of hydrocarbon feed- tively are the cornerstones of the Yakutia and mission system. NEWEUROPE www.neweurope.eu 13 10-16 November, 2013 Energy & climate

By Kostis Geropoulos Chevron deal boosts Energy Insider Ukraine’s shale gas hopes Eager to reduce its reliance on Russian Volatile Iraqi Oil Industry gas, the Ukrainian government signed on 5 November a 50-year agreement with US energy major Chevron to develop oil and Won’t Catch Saudis gas in western Ukraine. Chevron will spend $350 million on Iraq, which is heavily dependent on oil exports, is facing an the exploratory phase of the project and uphill battle as the violence-torn country is seeking to dra- that the total investment could reach $10 matically ramp up its sales in the coming years to fund the billion, the government said. reconstruction of its battered infrastructure. Over five years, Chevron hopes to Iraq is now the OPEC’s second-largest oil producer but it is conduct seismic surveys and to drill ex- far behind Saudi Arabia, which is the highest producer in the ploratory wells on the Oleska Block, the Organization of Petroleum Exporting Countries. company said. The effort is likely to in- Fadel Gheit, a New-York-based oil analyst with Oppenhe- clude hydraulic fracturing, or fracking, of imer, told New Europe on 8 November that the Iraqi gov- the shale rock to see if oil and gas can be ernment’s hopes are greatly exaggerated. “Iraq is producing produced in commercially viable amounts. about 3 million barrels per day. Even if they double that, On 5 November, Ukraine’s President they are still 30% below Saudi Arabia,” he said, adding that Viktor Yanukovych said in a statement Saudi Arabia produces over 9 million barrels a day. “The big- that the deal with Chevron and one that Chevron officials and the Ukrainian government sign a shale gas agreement, Kiev, Ukraine, 5 November 2013. AFP PHOTO/PRESIDENTIAL PRESS-SERVICE POOL/MYKHAYLO MARKIV gest hope for Iraq is to double production in the next 5 to 10 the former Soviet republic signed this year years,” Gheit said. with Royal Dutch Shell will let Ukraine Iraq has potential but boosting oil production is difficult as satisfy its gas needs completely and, under for companies like Chevron. The shale gas revolution in the US has the country is plagued with violence. With over 7,000 civil- the optimistic scenario, export energy re- The country is trying to reduce energy boosted hopes in many countries of in- ian casualties so far, 2013 has already become the deadliest sources by 2020. consumption, boost oil and gas explora- creasing energy independence. But size of year in Iraq since 2008. In 2012, Ukraine consumed about 50 tion in several areas, including the Black reserves is unclear and opposition to shale Iraq has been with each day plunging deeper into inter- billion cubic metres of natural gas, most of Sea, and use reverse flow of gas from Euro- gas extraction methods is still strong. High it imported from Russia, while producing pean countries like Poland. hopes for shale reserves in neighbouring ethnic violence, prompted by ever-growing tensions mostly about 19 billion cubic metres, according to Production from the Chevron and Poland have been very sharply downsized. between the country’s majority Shiite community and the the BP Statistical Review of World Energy. Shell tracts has the potential to substan- Chevron pulled out of a shale exploration Sunni minority. “There are more casualties in Iraq than any Ukraine pays exceptionally high prices tially narrow the gap between Ukraine’s tender in Lithuania and has suspended other part in the world in terms of sectarian war,” Gheit said. for natural gas, making the economics of domestic output and demand, according work at a shale gas well in Romania after “A country like that cannot advance at all. It becomes very shale gas extraction even more attractive to government estimates. local protests. difficult and capital spending will dry up. The more and more violence, the less and less capital spending will go into these countries,” he added. Gheit said that companies are more attracted to the autono- Minister: Foreign investors, Romanians must partner up mous Kurdistan region than Iraq. The government of Iraqi On 6 November, Romania’s Minister must be more active when it comes to Ro- Romania’s largest gas producer, had the Prime Minister Nouri Maliki is at odds with the Kurdish- Delegate for Energy Constantin Nita said manian resources. capacity to participate in major energy run enclave over control of oilfields and revenue sharing. foreign investors must partner with Ro- “We cannot keep Romanian compa- projects. The minister hoped that the ne- Kurdistan plans to build a second new oil export pipeline to manian companies for any energy projects nies anonymously, we cannot expect other gotiations would be finalised next year for Turkey within the next two years as it ramps up output in- involving local resources, Xinhua reported. companies from abroad to come to invest the projects at the country’s only Cerna- dependently of Baghdad. “More and more capital spending, “There should be no foreign company and we should assume the role of the poor voda nuclear power plant and in Tarnita more and more companies are willing to leave Iraq to go to who comes here without having a Roma- relative,” the minister added, stressing that hydropower station, with a cumulative in- Kurdistan,” Gheit said. nian partner,” the official told a local con- “it is not a matter of nationalism”. He said vestment of over €7 billion. Both projects “Exxon is backing away from the whole venture and Occi- ference, adding that Romanian companies Romanian companies such as Romgaz, have been stalled for years. dental [Petroleum] is getting cold feet. The only country that is battling it out is BP and they are not making any pro- gress,” Gheit said. “The reason oil companies are going back to Iraq is that Iraq China’s oil demand to rise rapidly to 2020 has known huge amount of oil reserves. This is the biggest China’s oil demand by 2020 will be over world’s traditionally largest auto-market, to significant increases in oil demand attraction but everything else is in total disarray, in sham- 2.8 million barrels per day higher from expects vehicle sales to reach 16 million which will offset any gains in fuel effi- today’s level (12.5 million barrels per units in 2014, it said. ciency of new vehicles. “The market for bles; the corruption apparently is unbelievable,” Gheit said. day in 2020 versus 9.8 million barrels “Given the huge size of the Chinese trucks and buses will grow in line with He noted that the security issue is very, very big concern for per day in 2012), the Centre for Global population and the low levels of car own- economic activity and public transport the Western companies mulling operations in Iraq. Energy Studies (CGES) in London said ership today, it is evident that in the vehi- planning and in any case at a much lower “The West wants and welcomes Iraq’s oil but let’s not exag- on 5 November. cle sector China will not reach saturation pace compared with the lighter-vehicle gerate what Iraq is capable of doing. If the major integrated “This steep increase will be primar- levels for years to come. The current rate market. oil companies finally decided that they are willing to give up ily the result of a steep rise in oil demand of Chinese car ownership stands at 70 Our forecast suggests that oil de- on Iraq, Iraq would never be able to increase oil production. for road transportation and to a lesser cars per 1,000 people and it is estimated mand in the transportation sector by Even if they get the Chinese and the Russians, they are not extent due to increased demand for the that will take more than 20 years to reach 2020 will reach 6.6 million barrel per will be able to do the trick,” Gheit said. “The problems in industrial, household and other sec- 400 units per 1,000, a mark considered day, whereas for all other sectors it will Iraq are insurmountable,” he said, noting that the two fac- tors,” it said in a report. Car, truck and an upper level for the Chinese society,” be 5.9 million barrels per day. This com- tions have been killing each other for more than 10 years. bus sales in China continue to soar and the CGES said. pares with 5.3 million barrels per day are expected to reach 20 million units It noted that the exponential growth in the non-transport sector and 4.5 for [email protected] this year. The United States, which is the of the car and truck fleet in China leads transport in 2012,” the report said. follow on twitter @energyinsider NEWEUROPE 14 www.neweurope.eu EU-WORLD 10-16 November, 2013

By Seth Berkley Seth Berkley is CEO of the GAVI Alliance. Learning from Rwanda

GENEVA – How is it that Rwanda, among the world’s poorest countries – and still recover- ing from a brutal civil war – is able to protect its teenage girls against cancer more effectively than the G-8 countries? After just one year, Rwanda reported vaccinating more than 93% of its adolescent girls against the human papil- lomavirus (HPV) – by far the largest cause of cervical cancer. Vaccine coverage in the world’s richest countries varies, but in some places it is less than 30%. In fact, poor coverage in the world’s richest countries should come as no great surprise, es- pecially when one considers the demographics of those missing out. Where available, evidence suggests that they are mainly girls at the lower end of the socioeconomic spectrum – often members of ethnic minorities with no health- care coverage. This implies that those who are at Life and hoipe for Rwanda’s children. BELGA PHOTO BENOIT DOPPAGNE greatest risk are not being protected. It is a familiar story, one that is consistent with the global pattern of this terrible disease, than 20 times higher than in France, Italy, and Alarmingly, in some of the wealthy coun- pre-cancer rates will increase. which claims a life every two minutes: those the United States. That is not just because vac- tries, where both screening and treatment In countries like Rwanda, people know this most in need of protection have the least access cines are not readily available; it is also because should be readily available, vaccine coverage only too well, which is why they have been so to it. Of the 275,000 women and girls who die of women in these countries have limited access to now appears to be declining, raising a real dan- eager to tighten the net on HPV. They have cervical cancer every year, 88% live in develop- screening and treatment. Without prevention, ger that socioeconomically disadvantaged girls seen the horrors of cervical cancer, with wom- ing countries, where mortality rates can be more they have no options if they get sick. there will face a similar fate. If it turns out that en in the prime of their lives presenting with ADVERTISEMENT girls at risk of not receiving all three doses of the late-stage disease and suffering slow and pain- HPV vaccine are also those with an elevated risk ful deaths. Without changes in prevention and of being infected and missing cervical screen- control, deaths from cervical cancer worldwide ings as adults, they may be slipping through not are projected to rise almost two-fold by 2030, to one but two nets. more than 430,000 per year. It is still not clear why this is happening. And now, with help from my organization, What we do know is that HPV is a highly in- the GAVI Alliance, a public-private partnership fectious sexually transmitted virus, which is re- created to improve access to new vaccines for sponsible for almost all forms of cervical cancer. the world’s poorest children, other low-income HPV vaccines can prevent 70% of these cases countries are following Rwanda’s lead. As of this by targeting the two most common types of the year, Ghana, Kenya, Laos, Madagascar, Malawi, virus, but only if girls have not yet been exposed Mozambique, Niger, Sierra Leone, Tanzania, to the virus, which means vaccinating them be- and Zimbabwe have all taken steps to introduce fore they become sexually active. Yet efforts to HPV vaccines, with more countries expected to EUR O PE AN PAPER WEEK 26-28 NOVE M B E R 2 0 1 3 E U THON HOTEL BRU SSELS communicate this to the public have been met follow. with skepticism from some critics, who argue G-8 countries’ generous contributions to that the vaccine gives young girls tacit consent organizations like mine show that they under- to engage in sexual activity, ultimately leading to stand the importance of childhood immuniza- an increase in promiscuity. tion. But, while HPV infection rates may be fall- However, quite apart from the evidence to ing in some of these countries, are they falling the contrary, intuitively this makes no sense. To fast enough? In the US, for example, the G-8 suggest that giving girls aged 9-13 three injec- country for which we currently have the most tions over six months gives them a green light to data, infection rates have halved in the six years engage in sex and sets them on a path to promis- since the vaccine was first introduced. Yet fail- cuity is utter nonsense. It is like saying that peo- ure to reach the 80% coverage mark means that ple are more likely to drive dangerously if they 50,000 American girls alive today will develop wear a seat belt; in fact, the opposite is more cervical cancer, as will another 4,400 girls with often the case. each year of delay. EuROpEAN pApER WEEk Whether such attitudes and misinformation So it is worth remembering that even in 26-28 November 2013 account for poor vaccine coverage in places like wealthy countries, there is an urgent need to France and the US is still not known. It may sim- overcome challenges in protecting the hardest- eu ThoN hoTel, brussels ply be that some parents or girls mistakenly be- to-reach girls, who often are at high risk of HPV Sign up for our event newsletter at www.cepi.org/epw lieve that one shot of the HPV vaccine is enough infection. Overcoming these challenges is es- or follow us on Twitter @EUPaperWeek and use #EPW13 to provide protection, or that some socially sential to reducing cervical cancer and pre-can- disadvantaged girls lack sufficient access to in- cer rates in the coming years. Rwanda’s success DEADLINE: 10 NOVEMBER! school vaccination services. Or perhaps the should be the norm, not the exception. cost of the vaccine is a barrier in some of these countries. Whatever the reason, unless coverage Copyright: Project Syndicate, 2013. for all three doses increases, cervical cancer and www.project-syndicate.org NEWEUROPE www.neweurope.eu 15 10-16 November, 2013 ARTS & CULTURE Budapest squares in the holiday spirit he enticing aromas of traditional Hun- the historic Gerbeaud building - home (since garian delights like langos (deep fried 1858) to the city’s most famous pastry shop. bread served with sweet or savoury Hungarian tourist guides never miss a Ttoppings), traditional kurtoskalacs pastries chance to refer to the Budapest Christmas and other holiday foods like roasted chestnuts Market. It is described as a truly unforgetta- will soon fill the air, along with the sound of ble and magical experience for the young and the street vendors hawking their treasures, at young at heart. this year’s annual Christmas Market in the The Christmas Market will open daily heart of Budapest. between 10am and 8pm and until 2pm on From November 15 until the end of De- Christmas Eve and Closed on Christmas Day. cember, the city’s famous Vorosmarty Square Another Christmas fair - this one at the (named after the early 19th Century Hungar- open square opposite the city’s famous Saint ian poet Mihaly Vorosmarty) will once again Stephen’s Basilica - is also a popular attraction welcome thousands of visitors from near and during the holidays. There’s an ice rink in the far. The Christmas Market features more than middle of the square, which is surrounded by 100 stalls selling unique Christmas-themed numerous street vendors selling Christmas- arts and crafts, as well as live entertainment, themed arts and crafts, as well as mulled wine food and wine and daily festivities. There is fried sausages and other treats. Advent candles Visitors stop at a jug stall after the opening of the Christmas market on Vorosmarty Square, in also a giant Advent calendar on the facade of will be lit each Sunday beginning December 1. downtown Budapes. EPA/BALAZS MOHAI HUNGARY OUT

ject is flawed because it focuses only on tourism Zamperla said his project will enrich tourists’ and doesn’t propose ideas to attract residents and experience and knowledge, but added that the A theme park for Venice the kind of varied and vibrant economy that cen- amusement rides are necessary to pay for the cul- turies ago made Venice a center of trade. tural exhibits. By Colleen Barry, Associated Press “We need the opposite of what they are do- “In order to sustain the cultural investment, VENICE, Italy — An Italian company that built ing, the possibility to make Venice a living city,” we need the attractions,” he said. “Otherwise, it Coney Island’s latest attractions and an amuse- she said. “We are always hostage to tourism.” wouldn’t pay for itself.” (AP) ment park in a never-activated nuclear plant in Germany few days ago unveiled plans to invest €80m for a theme park in Venice. Antonio Zamperla, whose company special- izing in amusement park rides generates revenues of €60m a year, envisions a 55-meter-tall Ferris wheel, a rollercoaster and other rides, alongside installations illustrating the Venetian lagoon’s fragile ecology and the city’s history. An earlier theme park drew interested visitors “We are arriving on tip-toes, as if entering a crystal store so we don’t cause any damage,” Zamperla’s park, dubbed L’isola San Biagio Zamperla said.The project, which is pending ap- for now, could be open in two years “if things go provals, is planned for an uninhabited island that smoothly, with no major opposition,” he said. once housed an incinerator. Zamperla is promis- Zamperla emphasized the project’s focus on ing to clean up a toxic site and create 500 jobs, but Venice’s history. He is loath to call it an amuse- Venetians aren’t so easily won over. ment park — an easy target for detractors who Just this summer, French designer Pierre say the city already has been reduced to a sort of Cardin, who was born nearby, canceled plans Venice-land, under the crush of tourists on the to build a €2.4bn luxury tower on a disused one hand and the exodus of Venetians to cheaper site facing Venice due to bureaucratic snags, af- housing on the mainland on the other. ter spending more than two years and unspeci- Lidia Fersuoch, president of the conservation fied millions of euros. group Italia Nostra’s Venice chapter, said the pro-

Industrial town has more than cars The Czech town of Mladá Boleslav is home Further north is the town’s technical school, to Skoda Auto - the town’s chief employer. It is which was built in the 1920s. There is also a where SKODA manufacturers the Fabia, Rapid school that resembles a European palace, a bank and Octavia model lines. fronted by impressive classical columns and But Mladá Boleslav has a lot more to offer several other noteworthy buildings such as the than just cars. Aside from the town’s impressive Municipal Theater. Built in the early 1900s, it has car museum, its chief attraction is the Town Hall, been described as an Art Nouveau masterpiece. which was built in the 16th Century while the It’s he work of two famous Czech architects: Ru- nearby Assumption Church of the Virgin Mary dolf Krizenecky and Emil Kralík. is known for its Gothic architecture. Last, but definitely not least, is the town’s cas- Also dating from the 16th Century is the tle. Dating back to the mid-1200s, it was founded Church of Bohemian Brethren, which was de- by King Boleslav II. The castle, which is now a signed by Matteo Borgorelli, an architect from museum, features the most valuable collections Milan. He also designed the Town Hall. of the regional museum. NEWEUROPE 16 www.neweurope.eu ARTS & CULTURE 10-16 November, 2013 Billy Bragg’s personal and political revolution Age and family enrich his beliefs I think that’s OK. An album is a format that is By Andy Carling changing all the time. If you see the latest figures, illy Bragg started out in the heady days of Katy Perry’s album went straight to number one 1977 and has continued to play the guitar in America, selling 300,000 copies. It may be that and take part in political activism. Ahead the album as a format is declining. Those of us Bof playing at Brussels’ Ancienne Belgique, Bragg still using them might say this is a set of songs on spoke about his music, politics and the EU. a theme.” He has released a new album, ‘Tooth and And Bragg’s theme is not just politics, but as Nail’ which features more ballads than biting he ages and is now a husband and father, he has comment. It includes ‘Handyman Blues’. a new challenge, “The struggle, not to change the “It’s about my inability to fix gutters, repair world, but to maintain long term relationships, sinks,” he says. “We should resist the pressure to which I think is just as important a struggle.” become a DIY demon, as good as our dads, just as “I was always writing love songs, not just po- women have resisted being turned into domestic litical songs,” he adds. goddesses.” He has also been changed by the death of his He may be laughing as he speaks, but gender mother in 2011 and sees his latest album “as a and identity have been central to his beliefs. But way of moving on” but “she didn’t think being in a CREDIT: Anthony Griffin why so many ballads? It’s the internet, says Bragg. band was a proper job! ” “Since the digitalisation of music, if I write a But “she kept my feet on the ground, you seen in the same line as Woody Guthrie, Bob Dy- define themselves as in opposition to all forms of political or topical song, I can record it and make it need someone like that. She used to come to my lan, but Bragg has a simpler explanation, “I would discrimination.” available for a free download immediately. So I’ve gigs and there was one song I wrote, Tank Park describe myself who writes songs about things “When I went back to work on Monday I tended to do that with my topical songs. Before I Salute, about the death of my father (in 1976) that piss me off. Then I go out onto the dark stage, knew I was not alone. But it wasn’t the Clash that had to wait until I was working on a new album to and she always asked me to play that song. Then sing them and people clap. Then I don’t feel as gave me the confidence in my convictions, it was make that statement. afterwards my nephews would come and say why pissed off. It’s like therapy. It’s a really good way to being in the audience that gave me the courage to “What this means though, is that my albums do you play that song that makes Grandma cry?” deal with things. I encourage anyone to do this… go back to work and stand up for what I believed have fewer angry songs and more love songs, but With time and maturity, Bragg can clearly be as a living!” in.” The young punk is now a middle aged father

ADVERTISEMENT But where is the next generation’s Billy Bragg? to a son, who is studying songwriting, Bragg says “The world has changed since then. When I with a confused shake of his head, but he has been was 19, there was only one medium available to banned from watching the young Bragg from per- me to express myself. There was only one social forming. When he objected to a fatherly presence, media – music, so I learned to play the guitar. A the son asked ‘Did your dad come and watch you 19 year old now has many other ways to get their play?’ Bragg replies, “No, but he wasn’t paying for message out there. Not everyone wants to get on my damn amplifier, was he!” a stage. The internet has made it easier for people Bragg is sensible enough to step back, know- to be heard, to engage.” ing that having a reasonably famous father brings He pauses. “But I predict that nobody will additional pressures to a teenager, but his pride ever invite you to travel to Belgium to read your and love are obvious. tweets. Nobody is going to spend 10 weeks on the “There will never be another punk rock. But I road in America going through Facebook posts would like every 19 year old to feel like I did when on stage. We have something you can’t get on the I saw the Clash, so that 35 years later, they’re still internet and that is communion. People coming fired up.” together in a space to react to songs and have a With the European elections coming up, what communal experience, to walk home and say I does he think of the EU? was not the only person to be moved by that.” “I’ve got positive thoughts about the Euro- “Singer songwriters can’t change the world, pean Union. I’m in that privileged generation but they can help to inspire people who want that never had to put on a uniform to because of change to become active in their community. trouble in Europe and if sharing sovereignty with Tomorrow, I’ll be in another town with the same other European nations means that my son never message. You’ll still be here. It’s not my responsi- has to storm any beaches I’ll be very happy about bility to change your world, that’s your responsi- that. Because it was a very negative experience for bility. It’s my job to make you feel that you’re not my father and grandfather. I think we should think the only person that cares about things like that. “ about that next year with the anniversary of the It was a sense of community, or not being start of the Great War.” alone that started Bragg on his musical and politi- “The EU isn’t perfect. Look at the USA, cal voyage. which is much more integrated, federalised, with He mentions Rock Against Racism, a move- one language, one currency and they are pulling ment that began after some very high profile mu- in opposite directions, sometimes bringing their sicians made statements that appeared to suggest government to a halt. These things don’t happen Britain would benefit from a fascist government. overnight.” With the punk movement taking off, the two “Overall, in a globalised world, it makes more trends combined with a major concert in Lon- sense to be multinational, working together to don. Bragg was in the audience. deal with things like bankers bonuses, workers “I used to work in an office where there was rights, the environment. It makes much more a lot of casual racism, sexism and homophobia sense to pool sovereignty to do this.” and I never spoke out, because I was the youngest But in Braggs’ world community builds better person in the office. I went to see the Clash on the places but it is the ‘other struggle’ of building and first Rock Against Racism march and there were maintaining long lasting relations, between part- 100,000 kids like me. I realised that day that our ners, families and across generations that builds generation would be the generation who would communities. NEWEUROPE www.neweurope.eu 17 10-16 November, 2013 Arts & Culture

Facing the Modern: The Portrait in Vienna 1900 exhibition, National Gallery, London

All images Courtesy of the National Gallery, London Fin debut alsosiècle of composers like Arnold Vienna Schoenberg (1874-1951), who was equally a painter, and Gustav Mahler (1860-1911), as well as famous sci- entists like psychoanalyst Sigmund Freud (1856-1939). Avant-garde Viennese painters rejected academic tradition and teach- ing, as well as its historicisms and insti- tutions to promote Expressionism, a new art form born in Germany, which built upon Edvard Munch and Vin- cent Van Gogh’s work on colour. Their portrayal of distorted bodies and elon- gated faces were meant to express the repressed sexuality and anxiety caused by the threat of an increasingly reac- tionary, misogynist and anti-Semitic society, as seen in Egon Schiele’s work. Although Gustav Klimt con- tinued to paint portraits of wealthy Jewish socialites and patrons of the arts like Hermine Gallia (1904) and Amalie Zuckerkandl (1917-18) in a relatively classical Viennese manner, other artists like Oskar Kokoschka chose to depict their Jewish sitters’ Gustav Klimt disquiet uncompromisingly. As Elana Portrait of Amalie Zuckerkandl, 1917-18 Egon Schiele Shapira writes in ‘Imaging the Jew: A © Belvedere, Vienna Self Portrait with Raised Bared Shoulder, 1912 Donated by Vita and Gustav Künstler Clash of Civilisations’, in the exhibi- © Leopold Museum Private Foundation, Vienna tion catalogue: “(Kokoschka) con- ortraiture can reveal alienation destabilized by nationalist unrest and sciously used Jewish subjects in order that accompanied the decay of the old Finally, fin de siècle Viennese paint- and identity issues in a certain eventually collapsed with the First to offer a more critical contribution order in Austria.” ing foreshadows Expressionist artist society arguably better than any World War. Cultural mixing along to the Viennese culture of debate… This is especially visible in Ko- Otto Dix’s extreme portrayal of out- Pother art form. That’s undoubtedly with a tolerant and liberal rule which (They) accepted his artistic claim koschka’s portrait of famous Jewish Art casts in Berlin’s 1920s disintegrated what one discovers when visiting the had favoured the assimilation of a large because – as he noted – their special historians Hans Tietze and his wife Er- society, not long before the rise of Na- ‘Facing the Modern: The Portrait Jewish community, had produced a historical experience had taught them ica Tietze-Conrat (1909) whose inner tional Socialism. in Vienna 1900’ (till 12th January, remarkable intelligentsia, made up of to be discerning in their judgement.” conflicts and tensions are expressed Louise Kissa [email protected] 2014) exhibition at the National Gal- not only famous modernist painters In his own words: “They felt less se- through their oversized, awkwardly in London. Vienna of the Secession movement, like Egon placed red hands. The couple sold the lery Fin de siècle cure than the rest of the Viennese Es- Watch Louise’s new, mockingly was the capital of the Austro-Hun- Schiele (1890-1918), Oskar Kokosch- tablishment and were consequently painting to the MoMA in New York in Hitchcockian short film ‘Shoe Fright’ garian Empire, this multi-ethnic and ka (1886-1980), Gustav Klimt (1862- more open to the new and more sen- 1939 when fleeing to the United States made in collaboration with shoe brand multi-faith state, which was constantly 1918) or Richard Gerstl (1883-1908), sitive to the tensions and pressures to escape Nazi persecution. ‘Irregular Choice’ on Youtube.

Oskar Kokoschka Children Playing, 1909 Gustav Klimt Lehmbruck Museum, Duisberg (573/1965) Egon Schiele Posthumous Portrait of Ria Munk III, 1917-18 © Courtesy of Lehmbruck Museum, Duisberg/photo: Bernd Kirtz/Fondation The Family (Self Portrait), 1918 © Property of The Lewis Collection Oskar Kokoschka/DACS 2013 © Belvedere, Vienna NEWEUROPE 18 www.neweurope.eu BRUSSELS AGENDA 10-16 November, 2013

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Karni bharni-gouache on paper – 18th C – Ajit Mookerjee | National Museaum of Delhi

ture as well as a role in shaping the perception of Europalia India. The main themes are: – India Bozar Body, Indomania, India tomorrow, Living Since September, Bozar’s visitors have a chance to traditions, Water, Bollywood and Beyond, and explore Indian civilization trough the series of ex- Diaspora. These themes explore India from both hibitions that are being held till January next year. inside and outside aspects; while body and water India is this year’s guest country of Europalia, an are themes that present the inner aspects, since art festival founded in in 1969 in Belgium. Since they can be linked to Indian traditions and cus- its humble beginnings, the festival grew bigger toms, Indomania investigates India trough per- over the years, expanding its idea and the mission spectives of Western travelers who created great outside the Belgium borders. works of art inspired by this country. Europalia’s goal is to educate people about Jamaica, the album was inspired by Win Butler’s, a certain country, enrich their views and under- Arcade Fire the front man’s reflections on Haitian culture, standing of the country’s culture and tradition, 20:00, 24 November, Greek mythology, the movie “Black Orpheus”, as well as to enable cultural exchange. Moreo- Halles de Scharbeek and an essay by Danish philosopher Søren Ki- ver, the festival can play a crucial role in exposing Arcade Fire have just released their 4th studio erkegaard: “The Present Age”. the country’s artwork internationally for the first album “Reflektor”, the first after the internation- These influences are carefully and subtly time, which can represent a great cultural and eco- ally successful one “The Suburbs”, awarding intertwined trough 18 songs recorded for the nomic opportunity for many countries. them with Grammy for the best album in 2011. double-album. In order to capture this specific This year’s Europalia explores a vast period of As part of their strastegy, they are touring under sentiment of the album visually as well, the band Indian civilization: from 16th century to nowa- the name of the Reflektors. collaborated with directors Spike Jonze and An- days, presenting Indian culture trough many art Since the band’s establishment in 2001, their ton Corbjin, finding their past work and persona mediums such as: painting, cinema, photography, line-up has often been changing, encouraging compatible with their own understanding and literature, music, and even gastronomy. Some of the band members to adapt, improvise and ex- ideas. Moreover, the carefully crafted album was the most remarkable artists such as: Rembrandt, periment with various music themes and genres accompanied with a carefully chosen, and again, Durer, Le Courbusier, Rossellini, Forster, Wagner, such as: new wave, baroque pop, post-punk etc. atypical promotion tool. The Beatles were Indologists which masterpieces Except for this jazzy element atypical for most of Instead of focusing on social media as the about India can be seen on numerous exhibitions indie-rock bands, the band members are known most commonly used promotion tool nowa- in Bozar. Europalia India examines Indian culture also for being multi-instrumentalists, often days, the band explored the guerilla marketing in depth; the exhibitions are separated in themes, swapping instruments during the shows, while strategies by creating graffiti all over the world. each having an enormous impact in Indian cul- adding an interactive and visually compelling These graffiti present simple cryptic logos, dimension to the listening experience. Besides which incorporate the word “ reflektor” and are using the basic instruments such as guitar and inspired by Haitian drawings. keyboard, the band uses wide range of others The band’s experimental nature, ability such as: viola, cello, harp, mandolin, xylophone, to juggle with many instruments as well as to glockenspiel etc. incorporate different spheres of cultural influ- With the new double-album ”Reflektor”, ences into an organic whole, make valid reasons Arcade Fire embarked on yet another interest- to consider this concert “a must-go event” this ing journey. Recorded in an abandoned castle in month in Brussels. NEWEUROPE www.neweurope.eu 19 10-16 November, 2013 TASTE

Azerbaijan French grape varieties Azerbaijan, France sign Italian vintners look abroad viticulture agreement The seedlings of French grape varieties will be planted in the village of Mikhailovka in Azerbaijan as part of a new viticulture agreement between the two countries. as home sales slump A Memorandum of Understanding in the field of viti- culture was signed in Ganja, Azerbaijan’s second-largest city, during the local Wine Festival on November 1-2. The agreement is aimed at boosting economic relations between the two countries. The festival and the ceremo- nial signing of the agreement were attended Ganja Chief Executive Elmar Valiyev, Azerbaijan’s deputy ministers of economy and industry and agriculture, as well as the country’s ambassador to France, Elchin Amirbayov. Azerbaijan boasts the natural conditions (a mountainous terrain and proximity to the Caspian Sea) ideal for win- emaking. In fact, Ganja, Nagorno-Karabakh, Shirvan, and Nakhchivan are four of Azerbaijan’s most famous win- emaking cities. The vineyards in these cities account for 7% of the country’s cultivated land. Most of Azerbaijan’s award-winning wine (27 international prizes) is exported to Russia and European markets.

Italy Barolo Italian court extends Barolo’s most famous vineyard Cannubi is arguably the most famous of all Barolo cru in It- aly. And now, it doesn’t even have to come from the historic Barolo vineyard. Italy’s Council of State ruled that wines made from four vineyards neighbouring Cannubi can also be labelled as such. The court’s decision has effectively ex- tended Cannubi from 37 acres of vines to 84 acres. But it Virginie Saverys owner of Avignonesi poses for a portrait in the cellars of winery ‘Le Capezzine’ at Vagliano di Montepulciano near is not without controversy. The court’s ruling has outraged Siena. AFP TIZIANA FABI the producers (there are 11 of them) who own parcels in the 37 acres of Cannubi. They had been fighting against the That leaves it more exposed to short- means, and therefore those who suffer the extension of the Cannubi label, which dates back to 1752. By Francesco Sportelli, term fluctuations in economic conditions. crisis the least,” said food and wine expert The ruling, however, is good news for Barolo’s larger and Michele Barbero, Associated Press The two-year recession was like “the flu Daniele Cernilli. most historic wineries, like Marchesi di Barolo, which had helped bring the case to the court. The 37 acres in Barolo TORANO NUOVO, Italy — It’s harvest that arrives when one’s defences are al- Emidio Pepe is one such example. were officially designated as Cannubi back in 1995. This season at the family-run vintner Emidio ready low,” Fino said. Sofia Pepe, who is in charge of produc- designation was challenged by Ernesto Abbona, president Pepe in central Italy and workers are wad- Italians’ change of attitude is going tion and sales, said the company had been of Marchesi di Barolo, in 2009. He had argued that his win- ing into the vineyards, hand-picking grapes hand in hand with the increasing popular- able to weather the recession by securing a ery and others in the area had also historically used grapes and pressing them under their boots in gi- ity of other, more casual alcoholic drinks loyal customer base abroad that is willing from Cannubi. “This ruling does justice to the work led by ant wooden vats. — above all, beer, particularly among the to pay its high prices. Its bottles go from my family, which for decades has grown grapes and made The seasonal ritual has brought to- young. While the average Italian’s consump- €15 for a 2011 Trebbiano to €300 for the Barolo produced from estate vineyards in Cannubi and was the architect of the promotion of this extraordinary gether generations of rural communities. tion of wine is only a third of what it was in 1964 Montepulciano. hill,” Abbona told local reporters. But those who disagree But the final product, the highly-rated the 1970s, beer drinking has doubled. Sofia says Emidio Pepe relies on its with the court’s ruling warn that consumers will be the Pecorino white, is now more likely to be “We like beer because it’s more refresh- reputation for producing organic wines ones paying the price for the new designation. “I think the enjoyed in New York or Beijing than in the ing, lively, soft and lighter,” said Francesco made with traditional methods. No weed customers lost,” said Luca Currado from the Vietti winery, local village of Torano Nuovo, in the Abru- Rizzo, a 30-year-old hanging out with killers, filters or purifiers are used in the “because there are now Cannubi wines and secondary zzo region. That’s because wine-drinking friends one night in Campo de’ Fiori, one production process. Demand has held up, Cannubi wines, and now the customers will not be able to in Italy, one of the world’s biggest produc- of Rome’s nightlife hotspots where beer is with some 45% of production exported, judge from the labels.” ers, is hitting record lows, forcing many a top choice. up from 20-25% in the 1970s. vintners to seek buyers abroad. Other traditional wine-producing “We’re lucky because recently people France Romanée-Conti Consumption is at its weakest since countries in Europe, such as Spain and have been rediscovering unadulterated Italy was unified as a country in 1861, ac- France, have also seen a drop in wine con- wines, genuine wines, so we’ve not really Police uncover Domaine de la cording to Coldiretti, the main farmers’ as- sumption. But the shift to other drinks been affected by the crisis,” Pepe said. Romanée-Conti counterfeiting ring sociation. The most immediate cause has is less dramatic. In Spain, people already Incarnating that foreign interest was It all started with a suspicious-looking bottle of Do- been the economic downturn, which has drink twice as much beer as they do wine. Chris Leo, a 39-year-old American who maine Romanée-Conti, the most expensive wine in the pinched incomes. But that has just acceler- With interest ebbing at home, more participated in the vintner’s harvest this world with vintages that need decades to mature. And ated what has been a decades-long slide in than 50% of Italian wine is currently ex- year. Leo, who decided to fly over from it ended with a Europe-wide police investigation and consumption. ported, up from 28% in 2000. The biggest Los Angeles after tasting an Emidio Pepe the arrest of two men - a father and son - in Italy. The Italians are expected to drink 40 liters a buyers are the United States and Germany. wine back home and loving it, argued that investigation into fake Domaine Romanée-Conti bot- tles was launched when a winery in Burgundy informed head this year, down from 45 liters before But sales are rising quickly in many new interest in wine, would endure the slump police about two wine connoisseurs who had tried to the financial crisis began in 2007 and just markets. In China, for example, they grew in Italy. sell them rare bottles of this world-famous wine. Al- about a third of the 110 liters seen in the by almost a fifth from 2011 to 2012. “In good times you can drink wine though the knock-offs looked real, there was something 1970s, according to Assoenologi, the main But it’s mainly top-end wines that find in an expensive restaurant, in bad times suspicious about the numbering on the bottles. The enologists’ association. a way on foreign markets, meaning many you can have an incredible dinner in your two men arrested in Italy face charges of fraud after po- In the past 25 years, wine “has become Italian producers of low- and mid-range house with a bottle of a wine on the table,” lice discovered evidence in their home suggesting they a hedonistic product, which is not part of wines are still suffering. he said. “I think there is always a need for were bottling their own Domaine Romanée-Conti in their basement. If convicted, they face up to 10 years Italians’ basic diet anymore,” said Michele “Paradoxically, the wines that do best wine.” in prison. French authorities are also searching for Fino, law professor and wine expert from during an economic crisis are the most ___ other suspects in what is being described as a Europe- the University of Gastronomic Studies in expensive ones because those who buy Ciaran Giles in Madrid contributed to wide counterfeiting ring that traded in fake Domaine Pollenzo. top-end wines are those with economic this report. Romanée-Conti bottles. NEWEUROPE 20 www.neweurope.eu SCIENCE 10-16 November, 2013

Environment were previously believed to be the Environment direct source of the virus, but evi- dence suggested that civets were not The invasion the original hosts. Bats are also hosts to several other of the lionfish viruses, including Hendra and Scientists look to forecast The Atlantic Ocean is under attack. It’s being invaded by lionfish - the Nipah, but the chances of human venomous, fast producing fish that infection by these viruses are slim, threaten to wipe out native fish and researchers said. Bats play important role in natural smog more precisely endanger the environment. Experts predict the lionfish invasion ecological systems, and the best could be the worst environmental way to avoid pathogenic infections disaster the Atlantic has ever faced. from bats and other wild animals is The lionfish population has grown to protect their habitat, according to quickly, producing 30,000 to 40,000 the researchers. (Xinhua) eggs every few days. Ecologists blame pet owners from Florida for Archaeology releasing the lionfish into the Atlan- tic Ocean. Lionfish are native to the Indo-Pacific. Ancient Chinese Now it’s up to humans to wipe them out by hunting and killing them. wrote with Unfortunately, researchers at the brushes National Oceanic and Atmospheric Archaeologists have discovered that Administration (NOAA) of the ancient Chinese who lived 3,000 United States Department of Com- years ago mainly used brush pens to merce, have concluded that invasive write, rather than using sharp tools lionfish populations will continue to to carve characters. grow and cannot be eliminated us- Sharp carving tools were once most ing conventional methods. Marine commonly believed to be the earli- invaders are nearly impossible to est writing instruments in China. eradicate once established. The recent discovery marks the first How lionfish will affect native fish time archaeologists have said openly populations and commercial fishing that ancient Chinese actually used industries has yet to be determined. brushes to write. A toll booth is shuttered as heavy smog spreads on a highway as vehicles are forced to wait due to heavy smog in What is known, according to the “Although today all we can see are Jilin, northeast China. AFP PHOTO NOAA, is that non-native species oracle bone inscriptions, there is can dramatically affect native eco- enough evidence now to prove that hinese scientists are re- consumption reduction and im- especially if it is for a period of three systems and local fishing econo- the daily common writing tools in mies. Experts are carefully studying the Shang Dynasty (about 1600 BC searching how to forecast provement of energy structure,” he consecutive days,” according to these invaders to better understand to 1046 BC) were brushes instead of the intensity of smog more said. Wang. The National Meteorological their role in, and potential threat to, sharp carving tools,” said Tang Jigen, Cprecisely to issue warnings and help According to Wang, a domes- Center’s smog forecasting system, Atlantic Ocean ecosystems. head of the Anyang Station of the control pollution more effectively. tically-designed simulation system which began operation in 2012, can Institute of Archaeology at the Chi- Speaking to Xinhua News Agen- could display where pollutants come forecast three days in advance. Virus nese Academy of Social Sciences, cy, Wang Zifa, a researcher with the from. For example, it would show A research program to upgrade during an interview with Xinhua on Institute of Atmospheric Physics of whether they are produced by mo- the system is underway, according Wednesday. Study confirms The archaeological discovery of ora- the Chinese Academy of Sciences, tor vehicles or coal burning, or they to Zhang Xiaoye, vice president of cle bones and oracle bone script at said, “Currently, the abilities to fore- are local pollutants or come from the Chinese Academy of Meteorological Chinese bats Yinxu, the ancient ruins discovered cast heavy pollution weather and is- outside. Science. source of SARS near Anyang in Henan Province, sue early warnings are insufficient. Under a national air pollution The system will be much more A species of Chinese bat has been resulted in the identification of the Big cities such as Beijing, Shanghai treatment plan unveiled in Septem- precise in forecasting smoggy weath- confirmed as the source of the earliest known Chinese writing. The and Guangzhou have such capabili- ber, construction of monitoring and er and provide timely data about the deadly SARS virus that broke out in archaeological remnants at Yinxu ties but precision is needed.” warning systems for heavy-polluted places and percentages of emission are the remains of the ancient city of 2002. Technological support is re- weather will be completed in the cuts needed to reduce pollution, An international study group, led Yin, the last capital of China’s Shang Dynasty. quired in tracking down the sources Beijing-Tianjin-Hebei region, the Zhang told Xinhua. by Chinese researcher Shi Zhengli, of pollutants and the causes of how Yangtze Delta and the Pearl River “For example, if we forecast vis- have isolated a SARS-like coronavi- Ancient Chinese characters carved rus from the rufous horseshoe bat, on oracle bones were used to record pollution is formed, said the expert. Delta regions in 2014. Other major ibility will be about three kilometres a species widespread in China and divination in ancient China. “Research in these respects is cities should complete projects in three days later, can we lift the vis- southeast Asia, the Chinese Acad- Tang said that certain characters in urgent both for the short-term re- 2015. ibility to 10 km through pollutant emy of Sciences revealed on Thurs- the oracle bone scripts indicated sponse measures and the middle- to “It is still rather difficult to carry reduction measures?” Zhang asked. that people in the late Shang mainly day. Shi is a researcher with the Wu- long-term solution goals in energy out high-level pollution forecasts, (Xinhua) han Institute of Virology under the used brush pens to write. Chinese Academy of Sciences. “’Book’ in oracle bone inscription is the pattern of bamboo strips held to- The latest study results in the Oct. Archaeology 30 online issue of the journal Na- gether by strings,” Tang said. “Strips ture, confirm a 2005 research that of bamboo clustered with strings says bat species are natural hosts made a bamboo slip, and the exist- of coronaviruses closely related to ence of a bamboo slip indicates the Fifth century pagan road discovered in Uppsala presence of brush-written characters SARS. Diverse SARS-like coronavi- Archaeologists digging in old Upp- seen anything like it in these parts be- the site of the ancient road, which will ruses (CoVs) have now been report- on it.” “Also, the characters for “history” sala, about an hour’s drive from Stock- fore,” Robin Lucas, archaeologist at soon be covered up by Sweden’s new ed from other bats in China, Europe holm, have made a rather unexpected Uppland Museum, told Sweden’s Eng- East Coast Railway, was built as a dis- and Africa, but none is considered a and “pen” deciphered in oracle bone direct progenitor of SARS-CoV. The script both look like a hand hold- discovery. They unearthed huge posts lish language news site, The Local. “It play of power of a wealthy chieftain. two novel coronaviruses isolated ing a brush pen instead of pinching that had once been used to mark a fifth appears to be a processional road lead- “The rulers of the time are really from horseshoe bats in southwest a sharp tool -- a knife, for example,” century road. ing to Old Uppsala, which was the seat just mythological that far back,” Lucas China’s Yunnan Province are far Tang added. The discovery of 144 post-holes of the early Swedish kings.” told The Local. “This was before the Archaeologists have unearthed a more closely related to SARS-CoV two metres wide a one metre deep - in Many of the holes are filled with birth of Sweden as a nation state, and than any previously identified, and jade tablet with brush-written cal- ligraphy from the tombs of nobles a straight line stretching one kilome- massive stones, remains of pine posts, before the Vikings. We have no writ- can infect cells of humans, pigs and tre - was made during the excavation and even animal bones, which suggest ten sources from that time. The first monkeys, the researchers said. at the Yinxu site, according to Tang. The SARS virus killed about 800 Some characters on the oracle bones of the area in preparation for the con- the site may have had religious signifi- real written Swedish documents are people during 2002 and 2003. Palm were even written by brush, not struction of a new railroad. cance. But one question remains un- rune stones, which date from the 10th civets sold at live animal markets carved, Tang said. (Xinhua) “It’s exciting because we’ve never answered: who did it? Lucas believes century.”

Tumblr founder David Karp and Yahoo CEO Marissa Mayer | MARIO TAMA/GETTY IMAGES/AFP NEWEUROPE www.neweurope.eu 21 10-16 November, 2013 EUROPEAN UNION

GERMANY |Nuclear Energy Germany|Culture Azerbaijan’s Heydar Aliyev Foundation goes to Germany Germany reacts to Azerbaijani culture will be showcased in Germany this month by the Heydar Aliyev Foundation, a charitable foundation headed by Azerbaijan’s First Lady Mehriban Aliyeva, and the local consulate of Azerbaijan. The first event will be held at GermanyUK’s has reacted againstnuclear the UK’s dreams Stuttgart’s famous Theaterhaus on November 14 and will recent decision to build its first nuclear include a concert featuring works by Azerbaijani composers. power plant at Hinkley Point in Somerset, Together with Farhad Badalbeyli (a well-known Azerbai- a rural county with rolling hills and apple jani pianist and composer), German musicians will perform orchards. works of great Azerbaijani composers such as Gara Garayev, The news that France’s EDF Energy Fikret Amirov, Jovdat Hajiyev and Tofig Guliyev. A painting will lead a consortium, which includes exhibition featuring young artists from Azerbaijan will also Chinese investors, to build the plant, has be organised. A special exhibit will be held to showcase the angered many German politicians. In the photographs taken by Azerbaijani photographers living in UK, however, the government says the Germany. new plant will help take the UK towards low-carbon power and lower generating costs in future. Poland|Investigation But following the 2011 meltdown in Fukushima, Japan, Germany decided to EU investigates Polish shut down all of its 17 nuclear reactors by 2022. Eight have already been shuttered. state aid for LOT airline This is why the UK’s decision to build a AMSTERDAM — European Commission regulators say new nuclear power plant has angered Ger- they have opened an investigation into whether support man politicians. Poland has given to its flag carrier LOT Polish Airline is per- British Prime Minister David Cameron delivers a speech to workers in the Charge Claudia Roth, the deputy speaker of missible under European competition rules. In June, Poland Hall at Hinkley Point B on October 21, 2013 AFP PHOTO / POOL / TIM IRELAND the German parliament and former co- notified the Commission it had given the struggling airline a chair of the Green party, for instance, €200m injection to help it survive and restructure. The Com- called it a “crazy” idea. “How can one But not everyone in Germany agrees but on politics. mission said it has multiple concerns about the aid, includ- build new nuclear plants when all the with the government’s decision to spend Many others are starting to complain ing that forecasts the company will be viable in the long term world understood, or should have under- tens of billions of euros to shut down its about their soaring bills. A green energy “may not be realistic.” It also said the airline’s offers to reduce stood, that Fukushima was not an excep- nuclear power plants especially when the tax being used to fund the government’s its capacity may not be enough of a sacrifice to create a level tion but a part of the industry?” asked country has yet to invest in alternative en- nuclear shutdown has increased fivefold playing field for rivals that find themselves forced to compete Roth, adding that if Japan cannot guaran- ergy sources. since 2009 and will reach 6.24 cents per with a company that enjoys a state backstop. LOT has been tee safety that it is “totally irresponsible” According to Nicolas Wendler, a kilowatt-hour next year. German energy loss-making since 2008. (AP) to build new plants. spokesman for the German Nuclear Fo- bills are already the third-highest in the EU “I don’t understand why Britain is do- rum (the industry trade body), describes after Denmark and Cyprus. ing this… the government is really crazy,” the government’s decision to go nuclear- According to Roth, however, this is a Sweden|Health she added. free as “illogical” and not based on safety small price to pay for safety. Bleeding cow worries FI NLand |Investment Sweden about anthrax A farm in Orebro, central Sweden, has been cordoned off by officials after a heifer did not stop bleeding after death - blood Google invests €450m in Finland that fails to coagulate is a clinical sign of anthrax (the deadly a high-tech cooling system that uses sea- ager Anni Ronkainen said. “As demand bacteria that can spread from cow to human). According to By Matti Huuhtanen, Associated Press water from the Baltic Sea to reduce energy grows for our products, from YouTube to Katharina Gielen, a spokeswoman for the Swedish Agricul- HELSINKI — Google is investing €450m usage and help keep computers running Gmail, we’re investing hundreds of mil- ture Board, it is unclear why the cow had anthrax and officials to expand a data center in southern Finland smoothly. In 2015, the plant will be pri- lions of euros in expanding our European are not sure where the bacteria came from. She was also quick as part of Europe-wide development plans marily powered by wind energy and there data centers.” to stress that no person who had been in contact with the cow totaling hundreds of millions of euros. are plans to meet future energy needs with Finnish Prime Minister Jyrki Katainen, has contracted the disease. The last case of anthrax reported The investment comes on top of the “100% renewable energy.” who attended the announcement in Hami- in Sweden was three years ago and before that it was in 1981. €350m it spent on converting an old paper The company says the expansion will na, welcomed the investment. No one has died from anthrax in Sweden since 1965. Taking mill, bought from paper maker Stora Enso employ up to 800 engineering and con- “Finland needs more foreign direct no chances of an outbreak, officials decided to vaccinate doz- in 2009, into one of its centers serving cus- struction workers at the plant and that new, investments in order to enhance our econ- ens of nearby cattle. tomers in Europe and worldwide. It started permanent jobs will be created once the omy, growth and employment,” Katainen operations in 2011, and currently employs extension opens. said. “Google’s investment decision is im- some 125 people in Hamina, 150 kilom- “This investment underlines our com- portant for us and we welcome it warmly.” Finland|Society eters east of Helsinki. mitment to working to help Finland take Google has 19 data centers worldwide, Google Inc. says the Hamina center is advantage of all the economic benefits with 70 offices in more than 40 countries Fewer Finns are smoking one of its most advanced and efficient, with from the Internet,” Google’s Finland man- employing some 30,000 people. An increasing number of Finns is butting out, according to the findings of a new survey that suggest fewer people are smok- GERMANY |Bank ing cigarettes these days. The research suggests that smoking is less prevalent among men, women and children under the age of 18 compared to 2011 when one in five Finns smoked Deutsche Bank announces sub-branch in Shanghai FTZ daily. Only 21% of men and 14% of women smoke on a daily BEIJING -- Deutsche Bank (China) Co., to the needs of corporate and financial in- bank. Deutsche Bank said that it has re- basis today, according to the research. Last year, there was a Ltd. announced on Thursday that it will set stitution clients in the area and offer a wide ceived approval from the Shanghai Bureau slight drop (about 1%) in the sale of cigarettes. The sale of up a sub-branch in the China (Shanghai) range of corporate banking services with a of the China Banking Regulatory Commis- tax free cigarettes has also dropped by 9% compared to the Pilot Free Trade Zone (FTZ). It will cater focus on cross-border transactions said the sion to set up the sub-branch. (Xinhua) previous year. NEWEUROPE 22 www.neweurope.eu EUROPEAN UNION 10-16 November, 2013

Czech Republic|Society UNITE D KINGDOM |EU Middle class growing in Czech population Staying in the EU makes PRAGUE - The middle class has been growing in Czech population, according to a Unicredit Bank survey released on Tuesday, which focused on Czech population’s life style and consumer habits. Compared to the 31% in 2006, households goodBritain’s main business businessgroup has con- sense with a declared net monthly income of 30,000-40,000 crowns cluded the benefits of staying in the (about $1,600-2,100) formed 38% of the Czech population, European Union outweigh the costs, which means the middle class represents 3.5 million people though reforms are urgently needed for in the 10.5-million country. The number of firm owners and that to remain in the national interest. entrepreneurs among Czech middle class is falling, mainly be- The Confederation of British In- cause the people who started their businesses in the 1990s has dustry released research showing reached retirement age. Now, the Czech middle class mostly EU membership was worth between represents persons from the lower and middle management, £62bn and £78bn annually - about 5% clerks paid by the state and in the financial sector, owners of of the country’s GDP. But the business smalls firms and successful self-employed people and highly group warned about mission creep in qualified manual workers. (Xinhua) the 28-nation bloc, particularly in the areas of health and safety and welfare legislation. UK|Defence “There is a growing unease about the creeping extension of EU authority,” BAE announces CBI Director-General John Cridland said. “Europe has to become more open, competitive and outward-looking if we hundreds of shipyard cuts Britain’s relationship should be closer argues business . AFP PHOTO / ANDREW COWIE DANICA KIRKA, Associated Press are to grow and create opportunities and LONDON — British defense contractor BAE Systems an- jobs for all our citizens.” inside,” Cridland told local media. According to the latest official fig- nounced plans to cut some 1,775 jobs at three shipyards Still the organisation concluded that Should his Conservative Party win ures released by the Office for National Wednesday, ending the building of warships in England for the Britain is better off in a reformed EU a majority in the next election, Prime Statistics in London, the UK’s economy first time in hundreds of years. BAE told unions it was starting than “outside with no influence.” The Minister David Cameron has pledged grew by 0.8% between July and Septem- the legal process to stop shipbuilding at a yard in Portsmouth group said membership is worth £3,000 a referendum on the UK’s relationship ber with “fairly strong” performance in England and eliminate jobs at Govan and Scotstoun in Scot- annually to every British household. with the EU by 2017. seen in all sectors of the economy. land once work is completed on two aircraft carriers in 2015. According to Cridland, however, the According to Cridland, with growth The cuts will have political ramifications ahead of a Scottish EU must modernise and secure trade A growing economy comes confidence even though the re- independence vote in 2014. Critics charge Scottish ship- deals with the United States, Japan and Following a strong third-quarter per- covery “won’t be spectacular” but slow yards got preferential treatment at the expense of the Eng- others. formance, the CBI lobby group predicts and steady. lish one to prevent independence leader Alex Salmond from As regards businesses in the UK, the growth this year of 1.4%, up from the More good news: the rate of unem- arguing that Scotland was punished for seeking independ- CBI lobby group said most would prefer 1.2% forecast in August. It also expects a ployment is also expected to come down ence. Gerald Vernon-Jackson, a local government leader in to stay in Europe and reap the benefits growth rate of 2.4% next year. and to stay at record lows for another Portsmouth, told the BBC on Wednesday that closing the rather than leave. “On balance, British “The recovery that started in the ser- two years. According to the latest un- Portsmouth shipyard raised the prospect that no advanced business believes it’s better to be in the vice sector has fanned out to manufac- employment figures, the jobless rate was warships would be built in England — potentially forcing European Union and reform it from the turing and construction,” Cridland said. 7.7% last summer. Britain to turn to France or Germany for ships. Ships have been built in Portsmouth for hundreds of years, since Brit- UNITE D KINGDOM |Banking ain first became a naval power.

Ireland| Society UK’s Co-op Bank bankto and shut remain its50 largest branches shareholder. bank thatin delivers rescue great service plan to retail and By Danica Kirka, Associated Press The bank pledged to retain its ethos, and small business customers, underpinned by I reland gay marriage LONDON — Co-operative Group, the took out full page advertisements in British the values and ethics of the Co-operative U.K.’s biggest mutual business, said Mon- newspapers to underscore its commitment movement,” Sutherland said in a statement. referendum in 2015 day it had agreed on a revised rescue plan to its values. Shareholders must still approve the Ireland on Tuesday announced that it would hold a referen- to plug a £1.5bn hole in its finances. The company said its values will be plan in the coming weeks. dum on same-sex marriage during the first half of 2015. “The The ethical lender’s plan will result in “legally embedded” in the new rules that Worries about Co-op emerged af- government today considered the Third Report of the Con- the loss at its banking unit of 50 of its 324 govern the bank. That’s an important point ter it backed out of a deal to buy some vention on the Constitution, amending the Constitution to branches by the end of 2014. It was not im- because many of its customers — such as 630 branches from another U.K. lender, provide for same-sex marriage and agreed to the holding of a mediately clear how many jobs would be charities — chose it over other institutions Lloyds Bank. The bank’s problems re- referendum during the first half of 2015,” said a government lost. because of its values. sulted from poor commercial loans taken statement. Ireland’s Justice Minister Alan Shatter said his de- Group Chief Executive Officer Euan “The bank will be what its customers on in a merger with the Britannia building partment will be engaged over the next 12 months with the Sutherland said it will retain 30% of the expect of it - a fair, responsible and trusted society in 2009. attorney general on “the framing of the specific amendment to the Constitution,” and on “the drafting of the Bill required CZECH REPUBLIC |Economy for the referendum on this important matter.” “I will shortly report to the Dail (lower house of parliament) on the govern- ment’s positive response to the Constitutional Convention’s Most Czechs still think their economy is in bad shape Third Report,” Shatter said. Ireland has witnessed growing The findings of a new poll in the Czech institute last month, found that less than than a third of respondents said they think discussions on the legal recognition of same-sex marriage. Republic suggest that nearly two-thirds of one-fifth of 1,000 respondents think the their standard of living is good. According to a poll in late 2012 by Millward Brown Lans- Czechs still believe the economy is bad, situation of the Czech economy is very bad, The most satisfied group, according downe for Marriage Equality, 75 percent of people would even though the number of people feel- while 7% think it’s good and more than a to the poll, is made up of students, entre- vote yes in a referendum to extend civil marriage to same-sex ing this way has slightly decreased since quarter said it is neither good nor bad. preneurs and freelancers, as well as the couples. In 2008, 63 percent of respondents said they would September. The survey, which was carried As regards living standards, the highly-skilled and those in managerial vote yes. (NEOnline) out by the CVVM public opinion research Czechs are a bit more optimistic. More positions. NEWEUROPE www.neweurope.eu 23 10-16 November, 2013 EUROPEAN UNION

HUNGARY |Energy Hungary|Politics PM woos Diaspora V4 countries sign new energy deal ahead of 2014 vote Hungary’s Prime Minister Viktor Orban, who is seeking re- election next year, is taking his campaign across the border to tens of thousands of his potential voters living abroad. “I count on your support just like you can count on the support of the Hungarian government and my personal support,” Orban told representatives of the Diaspora during a recent meeting in the parliament. Several million ethnic Hungar- ians live abroad, mainly in neighbouring Romania, Serbia and Ukraine. They are the descendants of Hungarians who found themselves outside their homeland when the borders were re- drawn at the end of the First World War. Orban’s government recently changed citizenship rules so that up to a half-million ethnic Hungarians would become eligible for Hungarian citizenship. According to Hungary’s National Election Of- fice, at least 50,000 ethnic Hungarians abroad will be granted

Radioactivity is in the air for you and me. | AFP PHOTO / ATTILA KISBENEDEK citizenship and the right to vote in time for the country’s next election in April or May 2014. Hungary, Poland, Slovakia and the The four heads agreed that the Orbán told reporters after the meeting Czech Republic, the countries that energy burden on consumers, in pro- that they expect the European Union form the informal regional group called portion to wages, was too high in all to “help rather than hinder the in- Croatia|Society Visegrad Group (V4), signed a new four Visegrad countries and that steps crease of nuclear capacity” in Central declaration aimed at tightening energy- should be taken to relieve this burden. Europe. “This area must not be over- Going poor in Croatia regulation cooperation. Last month, the V4 leaders met regulated and the issue of state aid for Pensioners struggling to make ends meet and young profes- The deal was signed by the heads of in Budapest to discuss the European energy investments should also be re- sionals emigrating to escape the country’s crippling economy. the energy authorities in all four coun- Commission’s nuclear safety regula- viewed, because we think that nuclear This is the current situation in the European Union’s newest tries at a special ceremony on Novem- tions, which they oppose. energy is being discriminated against member state where three in 10 reportedly face poverty. Ac- ber 6. Hungary’s Prime Minister Viktor here,” he said. cording to the latest data released by Croatia’s National Statis- tics Office, the number of poor (earning less than 60% of the average income) is on the rise. It has reached 32%. This figure Croatia|Cooperation also includes a new generation of working poor - Croatians who are poor even though they are not unemployed. They Chinese FM calls for closer cooperation with Croatia make up 4.9% of the population facing poverty. Pensioners Chinese Foreign Minister Wang Yi held well as abundant tourism resources. She called for more cooperation with account for another 20%. As regards the rate of unemploy- talks with visiting Croatian Deputy China attaches great importance to China in areas such as economic and ment, more than 320,000 people are jobless in Croatia. The Prime Minister Vesna Pusic on Tuesday, the relations with Europe, said Wang, trade, tourism, culture and education, situation has reached breaking point. Even the country’s re- calling for closer cooperation with the expressing the hope that Croatia could adding that Croatia is willing to push ligious leaders have sounded the alarm bell. The leaders of newest EU member state. inject new vitality to the relations as an forward cooperation between China and the Catholic and Serbian Orthodox churches issued a joint Wang said China and Croatia enjoy EU member state. central and eastern European countries. statement in July. They said: “The poor at our doors and the broad prospect for mutually beneficial Pusic, who is also minister for For- Croatia is the second of six former people around the refuse containers indicate that some of cooperation, as Croatia occupies impor- eign and European affairs, said it is a for- Yugoslavian member states to join the Croatia's people are no longer on the brink of starvation but tant geographical position with great de- eign policy priority of Croatia to develop European Union in July, after a 12-year literally starving". mand for infrastructure construction as relations with China. negotiation process. (Xinhua)

The Netherlands|Culture SLOVENIA |Schengen State to fund local films Dutch filmmakers will become eligible for state funding in the Slovenia strongly supports supports Romania's ef- ing theRomania's country would back Romania's Schengen The Schengen bidvisa-free area com- form of a cash rebate should they decide to shoot their next fort to join the Schengen area, Foreign Schengen bid at the December summit prises 22 out of 28 EU member states film in the Netherlands. Culture Minister Jet Bussemaker an- Minister Karl Erjavec told reporters after of the EU. and four non-EU states, namely Iceland, nounced the government’s decision to earmark some €20m meeting with his Romanian counterpart Romania, which joined in the EU in Norway, Liechtenstein and Switzerland. to invest in the local film industry. Production companies will Titus Corlatean here on Tuesday. 2007, had already met "objective crite- Since their accession to the EU, Ro- be able to apply for a cash rebate for a percentage of their ex- "We share similar views when as- ria" for accession to the Schengen area, mania and Bulgaria have been trying penses. According to the government, film production can sessing the situation in the region, the and the majority of EU members are in to be included into the Schengen area, work to stimulate economic activity and create jobs. Western Balkans, we both support full- favour of Romania and Bulgaria's admis- but failed due to resistance from some fledged membership for Western Balkan sion to the Schengen area, according to powerful Schengen members, including countries in the EU," Erjavec said, pledg- Corlatean. France and Germany. (Xinhua) The Netherlands|Market Build largest online shopping THE NETHERLANDS |Asylum Seekers distribution center in Europe Dutch Mail Order Company Wehkamp is going to build TheAsylum government has decidedseekers to require will'It's no goodwork to me to havewhile them star- theyThe majority wait of asylum seekers today one of the largest mega distribution centers in Europe, in asylum seekers to volunteer at commu- ing out of the window,” he told report- are fleeing the civil war in Syria. A large the Dutch city Zwolle, Dutch media reported Monday. The nity centres or local football clubs while ers. “They become depressed. You need number of Eritreans and Somalis are also company said it wanted to be ready for a new future in which they wait to hear the outcome of their to keep them as active as possible so applying for refugee protection. Goat the ordering and delivery of packages occur on the same day. application. So said Jan-Kees Goet, the they have the strength for the next step, said the number of asylum applications The new center will have room for 4 million articles. The new director of the asylum seekers centres or- whether in the Netherlands or back in this year will probably reach 17,000 - the system that runs with 468 automated trains is expected to ganisation COA. their own country.” highest figure in more than a decade. send 80,000 packages per day. NEWEUROPE 24 www.neweurope.eu EUROPEAN UNION 10-16 November, 2013

ITALY|ENVIRONMENT GREECE|ECONOMY Venice to limit cruise ship numbers Podimata Urges Troika, In an effort to protect Venice’s fragile lagoon, the Italian gov- ernment has announced it will begin to limit the number of large cruise ships that pass through the city. From January 2014, the number of cruise ships allowed through Venice Greece: Come Together will be cut by 20%. Ships of more than 96,000 tonnes will be banned from the centre of the city from November next By Kostis Geropoulos year. Protests by Venice residents and environmentalists ATHENS – As Troika inspectors began concerned about the damage caused by increasing cruise arriving in Athens on 4 November for ship traffic to the fragile city, one of the world’s most popu- another evaluation of the programme im- lar tourist destinations, have been on the rise in recent years. plementation in Greece, European Parlia- Italian Prime Minister Enrico Letta met the transport and ment Vice President Anni Podimata told culture ministers as well as the governor of the Veneto region New Europe that “both sides should dem- and the mayor of Venice, and approved plans to limit or shut onstrate good faith and constructive atti- down cruise ship traffic in parts of the Venice lagoon and tude and look for the convergence points near the city’s famous Saint Mark’s Square. and not collision points”. On 5 November, representatives of the Commission, the European Central Bank SPAIN|LABOUR and the International Monetary Fund (IMF) started a new round of talks with Jobless numbers members of the Greek government. A day earlier, Greek MEP Podimata Police secures the car carrying the European Commission Director Matthias Morse increase in October noted that one of the big problems that as he leaves the ministry of Finance in Athens, 5 November 2013. Spain’s registered jobless rose in October as tourist season the European Parliament highlighted over AFP PHOTO/LOUISA GOULIAMAKI hires were laid off. The number of registered jobless rose by the past three years is “the lack of transpar- 87,028 people, leaving 4.81 million out of work, adjusted ency and substantial evaluation methods” mented if the citizens of the countries suf- south and the countries of north, she said, data from the Labour Ministry showed on 5 November. The concerning the planning and implementa- fering economic problems “have the sense adding that leaders in the north have often increase was especially pronounced in the services and agri- tion of the Greek programme but also the that these measures are forced on them” misled their constituents with nationalis- culture sectors. Year on year, jobless numbers fell for the first other programmes that are been enforced and there is no democratic process, no tic rhetoric full of stereotypes that put the time since May 2007, data the government said showed the in various countries that have economic parliamentary process in the national and blame on the countries in the south. economic recovery was gaining a foothold. Spain’s economy problems. European level. The eurozone is safe, but there is an grew by 0.1% between July and September after contracting “The experience accumulated over “Citizens have to have a role in that equal problem of lack of trust from many for nine quarters. three years shows that in many points – not process,” she said, adding that it is their groups of European citizens, Podimata all of them obviously – these programmes representatives’ role to protect the citi- said, adding that this happens at a time failed. In other points, the national author- zens’ interests. Podimata, who spoke to when Europe needs greater political and ROMANIA|ENERGY ities are to blame for delays or failures in New Europe at an event at the European economic integration. Turing to Greece Greece or elsewhere,” Podimata said. Parliament office in Athens where Martin taking over the rotating EU Presidency EBRD buys 1.9% She called for constant evaluation of Schulz participated in a roundtable dis- on 1 January 2014, Podimata said Greece the programmes with flexibility and the cussion, said the EP President has always is taking over at a very important moment of Romgaz for €50 million possibility of readjustments. believed that fiscal discipline alone would because of the upcoming European elec- On 5 November, the European Bank for Reconstruction and “We should have foreseen to create never Greece out of the crisis, calling for tions but also key European legislation in- Development (EBRD) said it has acquired a 1.9% stake in a structure of evaluation and implemen- a balance between fiscal discipline com- volving the banking union and European Romanian natural gas producer Romgaz for the equivalent tation of these programmes,” she said, bined with planned specific policies for system of guarantee of deposits. in lei of €50 million, SeeNews reported. The EBRD bought adding that correcting initial mistakes or employment positions and growth and “I think Greece has a big interest dur- the shares during the initial public offering (IPO) of a 15% wrong estimates would improve efficiency. development. ing its Presidency to move fast and effi- stake in Romgaz, which was carried out last month, the The European Parliament from the “We may stabilise the markets, but ciently these portfolios and in doing so it EBRD said in a statement. “The purpose of the project is to beginning, Podimata said, has put a huge when we have 20 million unemployed will benefit in two levels: Firstly, we will assist Romgaz in its efforts to improve its corporate govern- emphasis on this, using the example of the people the eurozone is not stabilised. This contribute in changing our image abroad. ance, internal control systems and environmental manage- IMF, which has a process of evaluation for is something we should realise. And we We will show that we’re a responsible Eu- ment practices,” the EBRD said. “Additionally, the floating its own part in Troika. also have European elections this year,” ropean country, a eurozone country that of Romgaz through the largest IPO on the Romanian capi- The European Parliament Vice Presi- Podimata said. works for the common interest. Secondly, tal market to-date is a test case for future listings envisaged dent said that even if these programmes She noted that there is a growing wave it will implement a European package that by the Government of Romania for 2014 as part of its pro- were superbly planned, which they of euro-scepticism and euro-denial. There will primarily benefit the countries of the gramme of partial sell-off of state-owned companies.” weren’t, they cannot be successfully imple- is misdirected anger in the countries of south,” Podimata said.

ROMANIA|ENERGY BULGARIA|ENERGY Romania may sell 15% KozloduyBulgarian nuclear power plant nuclear Kozloduy dia statementplant of BEH, seeks as cited by loan,inves- for thecontractor construction of the Belene NPP in Hidroelectrica on bourse is seeking to borrow 30 million levs (€15 tor.bg. An opportunity will be sought was frozen by the centre-right GERB Romania may sell a stake of 15% in hydropower producer Hi- million) for a period of one year, a notice to implement the investment plan as an government. The government headed droelectrica on the bourse next year instead of 10% planned in the EU’s procurement journal indicat- international project. by former Prime Minister Boyko Bo- initially, local media reported on 4 November, SeeNews re- ed, news agencies reported. In early October, Bulgaria’s Ministry risov stopped the implementation of the ported. The increase in the offered stake is being requested by Meanwhile, the Bulgarian Energy of Environment and Water issued a posi- project over its high cost and decided to the International Monetary Fund (IMF), financial daily Ziarul Holding (BEH) has opened a proce- tive statement on the environmental im- mount the reactor produced for the pur- Financiar said quoting unnamed sources. Romania will sell the dure for the preparation of a roadmap pact assessment (EIA) report on the pro- pose at the Kozloduy NPP site. stake via a capital hike. Hidroelectrica will be listed on the Bu- for building new nuclear capacity at Ko- ject for a new unit at the Kozloduy NPP. Bulgaria is also striving to get an ex- charest Stock Exchange by the middle of 2014, Ziarul Financiar zloduy. The procedure will be awarded The issue of a new unit at the Ko- tension of the life of units 5, 6 of the Ko- quoted Romania’s Energy Minister Constantin Nita as saying. by direct agreement, according to a me- zloduy NPP came up after the project zloduy NPP. NEWEUROPE www.neweurope.eu 25 10-16 November, 2013 ENLARGEMENT

T Urkey |EU Turkey|Energy Turkey, Norway sign MoU Turkey opens one more chapter on energy cooperation ANKARA -- Turkey and Norway signed a memoran- dum of Understanding (MoU) on energy cooperation on Tuesday. “We very much pay attention to our relations, in accession negotiations particularly at energy sector. Norway is very successful es- Turkey is now one step closer to a potential pecially in alternative energy resources,” Turkish President accession to European Union (EU) after Abdullah Gul said at a joint press conference with visiting on 5 November the country managed to Norwegian King Harald V in the Turkish capital of Anka- open one more negotiation chapter after al- ra. Norway procures 95% of its electricity from hydroelec- most fourth years of waiting. At the end of tricity and has the richest natural gas reserves of the world, the 10th accession conference at ministeri- said Gul, noting that there is a potential to cooperate in al level in Brussels, Turkish chief negotiator these areas. The Turkish president and the Norwegian and minister for EU affairs Egemen Bağış king also discussed developments in the Middle East and announced that negotiations on Chapter Syria, and decided to increase cooperation on these issues, 22 on regional policy and coordination of Gul added. For his part, King Harald V stressed that the structural instruments have been opened. partnership in economy could make easier rapprochement This chapter covers one of the core between Norway and Turkey. Norway works to increase EU policies, supporting jobs creation, eco- investment in Turkey in the area of marine, said he, adding nomic growth and competitiveness. that “We seek for opportunities in fishing. “ (Xinhua) “Even though dealing with regional development, the opening of Chapter 22 shows that Turkey is not coming to the Albania|Bilateral Cooperation EU to become a burden, but rather to take some of the existing burden,” said Bağış. Albania, Greece committed According to the minister, this will def- initely have impact on Turkish internal and to promoting cooperation Turkish minister for European Union Affairs Egemen Bagis (L) talks with EU commis- external policies and will mean a new jump TIRANA -- Leaders of Albania and Greece vowed to sioner for Enlargement and European Neighbourhood Policy Stefan Fuele as they give a start in EU-Turkey relations. Turkey’s chief press conference following their working session of the EU/Turkey accession conference promote cooperation between the two countries as the negotiator pointed out that “opening of on November 5, 2013 at the EU Headquarters in Brussels . AFP PHOTO GEORGES GOBET Hellenic-Albanian Economic and Energy Roundtable was Chapter 22 is just part of a chain of positive held here few days ago. Albanian President Bujar Nishani developments recently - democratization in Brussels see the opening of negotiations not entirely sure that the right moment for said that the presence of the Greek minority in Albania package launched in end of October by the on Chapter 22 as “the beginning to a new their opening is close. and of the Albanian community in Greece “has helped Turkish authorities and the progress report spring in Turkish-EU relations”, still two In its progress report released in Oc- further develop the relations between peoples of the two published on 16 October”.“Turkey is and key chapters remain closed. Negotiations tober, the EU Commission said that there countries.” “Greece holds an important position in for- remains an important partner for the EU,” on Chapters 23 and 24, dealing with basic is a pressing need that Turkey develops a eign investments in Albania, with an average of around said EU’s Enlargement Commissioner EU values, fundamental rights and free- truly participatory democracy and ensures €550m,” he said, adding that some 300 Greek companies Štefan Füle and added that recent develop- doms, remain under blockage in the Coun- respect for fundamental freedoms. operate in Albania in key economic sectors, such as tel- ments stress the importance of continuing cil mainly due to Cyprus. Today, once again, Commissioner Füle ecom, banking, construction, services, industry, etc. He EU’s engagement in Turkey. Although Commissioner Füle con- stressed that “to sustain the moment, Tur- expressed the will of Albania to cooperate with Greece for “We need more engagement, not less,” firmed that negotiations with Cyprus on key has to do its part” and wished that there the implementation of the Trans Adriatic Pipeline (TAP) pointed out the Commissioner. opening chapters 23 and 24 are continuing, is less waiting for the opening of the next project. Greek President Carolos Papoulias, who was on Even though many both in Ankara and it seems the European Commission is also chapter. (NEOnline) an official visit to Albania, said that the forum testified to Greece’s objective to strengthen bilateral cooperation. He considered the TAP project a special and significant T Urkey |Reforms development. “The Greek minority and entrepreneurs in Albania are powerful bridges of friendship and coopera- tion between our two peoples,” he said. “I am optimistic of the future of our relations. Our relations can and should Turkey must stay on the to path ofjump reform, ac- velopment on newprogramme includesround plans to ofGül said reforms the country needs a “second gen- be strengthened,” Papoulias said. (Xinhua) cording to the Turkish Development Min- increase the national income per capita eration” of reforms and stressed the need to ister Cevdet Yilmaz, who said the country to $16,000. Turkey also wants its annual improve the quality of education. In other must continue with a “second jump” in exports to surpass $227bn and tourism in- related news, the European Union has de- Turkey|Defence reforms. Addressing the fifth annual Izmir come to reach $41bn in the next five years. cided to restart stalled membership talks Economic Congress, the minister said: “Our latest development plan also re- with Turkey in what observers say is an at- Turkey hosts Eastern “We need to continue to make reforms in veals our country’s willingness to change tempt to boost the prospects of democratic the new decade. Our 2023 targets are of and reform,” Yilmaz said. reform in the country. EU heavyweights Mediterranean military exercise great importance here”. Also speaking at the Izmir Economic Germany and France, however, are still op- ANKARA -- The Invitex-Eastern Mediterranean military ex- Turkey’s new five-year economic de- Congress, Turkish President Abdullah posed to Turkey joining the EU. ercise for 2013, joined by NATO, the United States and Tur- key, kicked off on Monday, according to a Turkish military ALBANIA |Strategic Cooperation statement. NATO, the U.S. Navy and the Turkish Navy-Air Force-Coast Guard platforms are participating in the 10-day exercise, the statement issued by the General Staff of the Albania inks agreement with Germany Turkish Armed Forces (TSK) said. The exercise aims to give TIRANA -- The agreement of strate- that Germany has played in the Albanian ergy, privatizations and reforms, but also in participant units the opportunity to engage in various types gic cooperation between the Albanian gov- economy recovery throughout 26 years of the field of basic services such as education, of naval operations in a scenario envisioning the handling of a ernment and the German government was bilateral relations. employment and infrastructure, especially regional crisis, in order to enhance co-operation and mutual signed on Tuesday in Tirana in the prem- “Germany is the second biggest dona- in water supply and sanitation,” said Peleshi. training between participant countries, the statement said. ises of the Council of Ministers of Albania. tor of Albania for 2000-2012 with €715m. “German Development Bank has been Turkish Armed Forces recently finished a military exercise Albanian Deputy Prime Minister Niko German aid consisted mainly in the priori- one of the biggest investors in the country with Balkan countries that took place between Oct. 20 and Peleshi appreciated the important role ties of the Albanian government such as en- for water supply,” Peleshi said. (Xinhua) 26, according to the statement. (Xinhua) NEWEUROPE 26 www.neweurope.eu ENLARGEMENT 10-16 November, 2013

BOSNIA-HERZEGOVINA|TRANSPORT MONTENEGRO|DEVELOPMENT Sarajevo Airport passenger numbers increase EBRD adopts new development Bosnia Herzegovina’s Sarajevo Airport has seen its passen- ger numbers skyrocket this October, with growth reach- ing 23.6%, news agencies reported. Bosnia and Herzego- vina’s busiest airport handled 64.387 passengers during strategy for Montenegro the month. So far this year Sarajevo Airport has welcomed On 6 November, the Board of Directors 584.432 travellers, an improvement of 15.5% on the same of the European Bank for Reconstruction period last year, and has surpassed 2012’s annual result and Development (EBRD) has adopted a which stood at 580.058 passengers. “Passenger numbers new strategy for Montenegro, setting out should soon surpass 600,000 which will mark an all time the Bank’s priorities in the period of 2013- record since Sarajevo Airport opened its doors,” the Sara- 16, the Bank said in a press release posted jevo airport said in a statement. on its website. In this document the EBRD reaffirms its commitment to support the country’s SERBIA|ENERGY sustainable development and defines sev- eral priorities, including enhancing the Fintel Energia starts country’s competitiveness, supporting sutainable tourism and promoting energy building wind power plants security. Italy’s Fintel Energia Group said its Serbian unit, MK- The EBRD said expanding the eco- Fintel Wind, has started construction works on two wind nomic base through enhancement of power plants with a combined capacity of 16.5 mega- competitiveness is a priority. “The EBRD watts (MW) in the northern Serbian towns of Kula and will support moves to a more balanced Vrsac, SeeNews reported. The 9.9 MW plant in Kula and growth path through targeted support for the 6.6 MW plant in Vrsac should be completed by No- small and medium-sized enterprises in all View of a tourist resort in Budva, Montenegro. The EBRD plans to support vember 2014, Fintel Energia Group said in a statement sectors with growth potential and through sustainable tourism, property and associated environmental and infrastructure issued on Monday. They will generate a total of 46.2GW further strengthening of the financial sys- needs. NEW EUROPE hours of electricity annually. In October Fintel Energia tem,” the Bank said. Group said that the wind park project to be developed The Bank also plans to support sus- be sought,” the EBRD said. market,” the EBRD said. near Vrsac would require capital expenses of around tainable tourism, property and associated The EBRD also highlighted energy The Bank also noted that it will seek €200 million. MK Fintel Wind is a 46/54 joint venture environmental and infrastructure needs. security and efficiency and regional inte- to align its operations with the priorities of between Serbia’s MK Group and Fintel Energia Group. “Montenegro’s tourism sector is likely to gration of energy markets as priorities for the government of Montenegro, will work It was set up in 2008 to invest in green energy projects in be a major growth driver for the country. its strategy in Montenegro. “Montenegro closely with other international financial Serbia and the region. However, the institutional and infrastruc- has the potential to become a regional en- institutions and multilateral and bilateral ture requirements to unlock this potential ergy hub in the medium to long term. The donors, including the European Union, are not yet in place. The Bank will support EBRD will support important intercon- and promote regional co-operation. “The SERBIA|DIPLOMACY sustainable practices with strong emphasis nections with countries in the region and EBRD will engage in active policy dia- on environmental sustainability. Where will invest in projects that improve energy logue and continue to provide technical Belgrade, Algiers to appropriate, private sector solutions, in- security, advance energy efficiency and assistance to maximise transition impact cluding Public Private Partnerships, will lead to greater competition in the energy in Montenegro,” the Bank said. develop economic ties On 6 November, Serbia’s First deputy Prime Minister BOSNIA-HERZEGOVINA|CENSUS Aleksandar Vucic and Algerian Minister of Water Resourc- es Hocine Necib said the two countries plan to develop economic co-operation that would mirror the high level of political relations, news agencies reported. Vucic extended BosniaPreliminary census population results show that during shrinks its census last month.13% In the in last 2returned, decades but nobody knew how many thanks to Algeria for supporting the territorial integrity of Bosnia’s population shrunk by half a mil- census, in 1991, Bosnia had 4.37 million people live in Bosnia after the war’s end Serbia and not recognising the independence of Kosovo. lion people over the country’s past two residents. in 1995. He thanked the Algerian people and President Abdelaziz turbulent decades, AP reported. The war that broke out between Data showing how wartime ethnic Bouteflika for their principled stand, underscoring that On 5 November, Statistic Agency its three ethnic groups a year later took expulsions and killings have changed the “Serbia will know how to appreciate that”. It is Serbia’s head Zdenko Milinovic said authori- over 100,000 lives and turned almost country’s ethnic composition are expect- greatest economic and political interest to improve rela- ties registered 3,791,622 in the country two million people into refugees. Many ed at the beginning of next year. tions with Algeria, Vucic stressed. SERBIA|DIPLOMACY BOSNIA-HERZEGOVINA|ID LAW

Lawmakers pass law Belgrade,On 7 November, Serbia’s ParisMinister of En ink- told aadministrative press conference. agreementThe projects will also address climate ergy, Development and Environmental This will help Serbia prepare for the change, waste management, soil protec- on identity documents Protection Zorana Mihajlovic and France’s opening of EU accession negotiations un- tion, air monitoring and other issues, the On 5 November, Bosnian lawmakers passed a law on iden- Ambassador to Serbia Francois-Xavier der Chapter 27, dedicated to environmen- minister said. tity documents, ending a dispute between ethnic groups, Deniau signed the bilateral Administrative tal policy, she stressed. France has supported Serbia in the Reuters reported. The law bowed to the demands of Bos- Agreement, which will help Serbia prepare Mihajlovic stated that through en- process of accession to the EU. Senate of nia’s autonomous Serb Republic in splitting ID registra- for the opening of environmental negotia- vironmental protection Serbia strives France member Simon Sutour has said tion districts along the territorial lines laid down with the tions with the European Union, news agen- to increase employment in the country. the Western Balkans should be a part of end of the Balkan country’s 1992-95 civil war. Months of cies reported. Based on the document, working groups the EU, and after Slovenia and Croatia, it is ethnic political bickering over how to issue the 13-digit The agreement will enable Serbia to will be formed comprising experts from Serbia’s turn to join the EU. Serbia is going identity number had united Bosnians in protest. A baby share experiences with France in the area of both countries, who will define the key towards the EU, said Sutour, who is also the girl died in June after her parents were denied travel docu- environmental protection and promotion points and projects aimed at promotion head of the committee on European affairs ments for the child for surgery abroad, Reuters reported. of sustainable development, Mihajlovic of environmental protection, she said. of the French Senate. NEWEUROPE www.neweurope.eu 27 10-16 November, 2013 PARTNERS

NORWAY |Congo Gold Greenland|Investments Greenlandic minister woos Chinese investment Swiss probe metals refiner The Greenland government hopes to attract Chinese in- vestment to its mining industry, an official from the world’s largest island said on Tuesday. Jens-Erik Kirkegaard, Green- land’s Minister of Industry and Minerals, said the island has over Congo gold large amounts of mineral resources while China’s economic By John Heilprin, Associated Press development needs such resources to maintain growth. GENEVA— Swiss prosecutors confirmed “There is big room for Greenland and China to jointly ex- Wednesday that a criminal investigation plore commercial opportunities,” said Kirkegaard, who led has been opened against one of the world’s a delegation of Greenlandic companies to China to attend largest processors of precious metals over the China Mining 2013 conference, held in Tianjin on Nov. allegations that it laundered gold obtained 2-5. In October, Greenland’s parliament narrowly agreed to through war crimes. lift a ban on uranium mining, paving the way for the Arctic Earlier this week, the Geneva-based island’s financial independence from the Kingdom of Den- campaign group TRIAL filed a criminal mark, which still has a say in its foreign affairs, defence and complaint against Swiss refiner Argor-Her- monetary policies. The move will not only allow the mining aeus, claiming the company processed three of uranium deposits, but also make the mining of rare earths tons of gold ore between 2004 and 2005 possible as uranium is often found mixed into rare earths, a that was obtained by an unlawful armed cluster of minerals widely used in modern technologies from group through pillaging in the Democratic wind turbines to hybrid cars and smart phones. Greenland is Republic of the Congo. Argor-Heraeus, thought to have a large reserve of rare earths. During his stay which is privately-owned, denies the allega- in China, the minister also visited a copper mining company tions. Smuggling gold and other resources is said to have financed rebel groups in the in Jiangxi to seek business. Jiangxi, in east China, is also a key The TRIAL group said in a statement Congo. AFP PHOTO/PHIL MOORE rare earth production base, where 36% of the country’s mid- that “the refinery knew or should have as- dle and heavy rare earth deposits are estimated to be in the sumed that the gold resulted from pillage, a gan when she worked as a U.N. investigator cusation.” It said previous investigations by province’s Ganzhou. Greenland’s latest decision on uranium war crime,” and helped to finance an unlaw- in the Congo nearly a decade ago. Congo Swiss authorities already cleared the com- mining has led to concerns from environmentalists about ful armed group in a brutal conflict, which suffered back-to-back civil wars starting in pany of all the allegations, which date back the consequences for the island’s eco-system. (Xinhua) under Swiss law is a crime for “aggravated 1996 that drew in the armies of eight Afri- to a U.N. report that Austin worked on. laundering.” can nations in a scramble for the country’s The company said the report analyzed The Federal Prosecutors’ Office in vast mineral reserves of diamonds, gold, gold shipments it received from a British Norway|Cooperation Bern confirmed it has examined the com- copper, cobalt and tungsten. The conflicts company, and that in 2005 Argor-Heraeus plaint and said it decided to open a formal had their roots in Rwanda’s 1994 genocide. took “a further precautionary measure” of N igeria gets a world-class probe against the company over “suspected Some 5 million people died before the sec- cutting ties with the British company and money laundering in connection with a war ond war ended in 2003. But much of the deciding not to accept any more materials maritime simulation centre crime and complicity in war crimes,” but de- fighting and lawlessness has continued in from Uganda, through which the Congo The Nigeria-based marine service provider PEM Offshore clined to provide more details, according to the competition for minerals coming out rebels could send shipments. has signed a strategic partnership deal with Norway’s Kongs- a statement. of eastern Congo, including the gold mines Argor Heraeus, as a founding member berg Maritime for the creation of a world-class Simulation At a news conference, Kathi Lynn that soldiers and armed group leaders use to of a joint initiative by private companies and Innovation Centre. It will be the first of its kind in Ni- Austin, executive director of the Conflict gain guns and power. and the Swiss economic agency to increase geria and West Africa. According to Norway’s Ambassador Awareness Project, outlined how TRIAL Argor-Heraeus said in a statement that transparency in the gold business, said it to Nigeria, Rolf Ree, his country will help promote technol- based its complaint on research into “rebels it was greatly surprised to learn of TRIAL’s also would cooperate with authorities on ogy transfer and drive local content in Nigeria’s maritime supported by the gold pipeline” that she be- complaint and “firmly refuses any such ac- the probe. and petroleum sector. Even though Norway’s efforts to help advance Nigeria’s maritime industry over the years have not been successful, the ambassador said he is confident that ICELAND |Economy the new partnership with PEM Offshore will sail to future success. The new world-class simulation centre in Nigeria, which is expected to open in March, will eliminate the need to send personnel for training overseas. Capital controls imposed controls following the However, may no date has soonbeen set for the beer, according lifted to Skulason. country’s banking collapse in 2008 may removal of the capital controls. Before The controls were imposed after soon be removed in order to allow more winning the May election, Prime Minister Iceland’s Glitnir Bank and Kauþhing Switzerland|Business than $7bn of assets to exit the country, Sigmundur Davíð Gunnlaugsson, how- Bank defaulted on $85bn and created according to Johannes Skulason, who ad- ever, had said it would likely be a couple of the country’s worst recession in post- N estle sells Jenny Craig vises the prime minister. years. But it will probably be much soon- war years. in N. America, Oceania GENEVA — Nestle, the world’s biggest food and drink ICELAND |Society company, says it has sold off its weight management business Jenny Craig in North America, Australia, New Zealand, and the Pacific Islands. The Vevey, Switzerland-based company LifeIceland continues is to begood at the top of the forthe list. Afterwomen Iceland, came Finland in (sec- Iceland18th) and Canada (up one to 20th). The says the business was sold to North Castle Partners, a U.S. rankings in The Global Gender Gap Index ond) and Norway (third) and Sweden United States comes 23rd, also down one private equity firm based in Greenwich, Conn., focused on for the fifth consecutive year. It is the coun- (fourth). Other Northern European coun- place since 2012. After South Africa, the companies that promote health, wellness and active living. try where women have the most equal op- tries in the top 10 include Ireland (6th), next highest BRICS nation (the five major Nestle’s statement Thursday said the Jenny Craig business in portunities in economics, politics, health Denmark (8th) and Switzerland (9th). emerging national economies: Brazil, Rus- France was not part of the transaction. Jenny Craig, founded and education. Elsewhere, Germany ranks 14th sia, India, China and South Africa) is Russia in 1983, had been part of Nestle’s nutrition portfolio since The Global Gender Gap Index, which and is the highest-placed individual G20 (61st), followed by Brazil (62nd), China 2006. Nestle says the new owners will take over the busi- was introduced by the World Economic Fo- economy, although it dropped one place (69th) and India (101st). At the bottom nesses and offer employment to Jenny Craig staff, but the rum in 2006, ranked 136 countries this year. from 2012. Next is South Africa (17th, of the ranking are Chad (134th), Pakistan financial details of the deal — subject to “customary closing Northern European countries topped down one), the United Kingdom (level on (135th) and Yemen (136th). conditions” — will not be disclosed. (AP) NEWEUROPE 28 www.neweurope.eu EASTERN PARTNERSHIP 10-16 November, 2013

AZERBAIJAN|TRADE AZERBAIJAN|DIPLOMACY Baku, Canberra to boost bilateral relations Azerbaijan eyes new markets Azerbaijan’s Foreign Minister Elmar Mammadyarov and his Australian counterpart Julie Bishop have discussed prospects of bilateral relations. The foreign ministers after WTO accession met during a democratic forum in Indonesia, the Azer- baijani Foreign Ministry said on 7 November. Accord- ing to the report, during the meeting Bishop appreciated the opening of the Azerbaijani embassy in Australia and expressed confidence that the activity of the diplomatic mission will contribute to the development of bilateral co-operation.

AZERBAIJAN|HEALTH Some $540 million allocated to health care programmes In recent years 423 million manat was allocated from the Azerbaijan’s state budget on implementation of targeted programmes in health care sphere, Azerbaijan’s Deputy View of Azerbaijan’s capital Baku. The next round of negotiations on Azerbaijan’s accession to the organisation is planned for the first Minister of Health Elsever Agayev told a meeting of the quarter of 2014. NEW EUROPE/FILES Social Policy Committee of the Milli Mejlis (Parliament) of Azerbaijan on 7 November. He added that the targeted On 6 November, Azerbaijani Finance Sharifov said all WTO members are pected to help increase the country’s non- programmes have demonstrated their effectiveness. “To- Minister said that his country’s entre- looking for new markets and Azerbaijan oil exports. day for the implementation of the specific programmes preneurs must be ready to compete with is a great market for them. “We have to be The next round of negotiations on the state budget allocates as much as to the whole sphere World Trade Organization member states ready to compete with them, so that at the Azerbaijan’s accession to the organization of health care seven-eight years ago,” Agayev said. The after Azerbaijan’s accession to the WTO, end of the day we’re not faced with a situa- was postponed to the first quarter of 2014. draft state budget for 2014 considers increasing health news agencies reported. tion where imports replace domestic prod- Work is underway to bring Azerbaijani care costs by 14%. “I disagree with the opinion that the ucts and local businesses do not grow. Rus- laws in line with the WTO regulations. long process of Azerbaijan’s accession to sia and Ukraine are members of the WTO. The number of WTO member states the World Trade Organization creates ob- Look at the trade wars they engaged in seeking to start bilateral talks with Azerbai- AZERBAIJAN|TRANSPORT stacles for the development of domestic with each other,” he said. jan is growing. Azerbaijan held consulta- business, export growth, and so on,” he Azerbaijan has been in talks with the tions with 12 countries in bilateral meet- Azerbaijan Railways can said at a discussion session of the draft state WTO since 2004 to join the organisation. ings, including Argentina, Indonesia, and budget for 2014. Azerbaijan’s accession to the WTO is ex- other countries of the region. lower oil transit by 20% CJSC Azerbaijan Railways (ADY) has summed up the results of activity for the first three quarters of 2013, AZERBAIJAN|STURGEON reporting that oil transit still does not exceed 60% of last year’s index and fell by 21.1%, news agencies re- ported. ADY Chairman Arif Asgarov has stated that for First sturgeon farm to open in Azerbaijan January-September of the year the railroad handled 10 The Zoology Institute of the Azerbaijan and, if successful, will be applied to other black and red caviar sold all over the world million tonnes of cargo, including 6.1 million tonnes National Academy of Sciences (ANAS) regions as well. comes from the Caspian Sea. Sturgeon may of crude oil and refined products, including 3 million announced a proposal to create an experi- There are about 141 fish species reg- be artificially bred in the Caspian Sea and tonnes of transit oil. “Cargo transportation by rail to- mental farm for the cultivation of sturgeon istered in the resource-rich Caspian Sea, the Kura River as part of this project, Ale- talled 17.1 million tonnes, including 4.4 million tonnes fish at the former Soviet republic’s Min- shared by Azerbaijan, Kazakhstan, Russia, kperov said. of domestic carriages, 2.6 million tonnes of export gachevir laboratory, local news agencies Turkmenistan, and Iran. These kinds of farms already exist in cargo, 5.2 million tonnes of import cargo, 4.9 million reported. The main fishery in the region, the other Caspian countries, he said. There are tonnes of transit,” Askerov said. If the trend of the first According to director of the institute, sturgeon fishery, is operated only with 21 such farms in Russia, and they grow up three quarters of 2013 continues, the handling of car- Ilham Alekperov, this project is the first one the Caspian’s resources. Some 90% of the to 2,000 tonnes of fish annually. go in 2013 will amount to 13.3 million tonnes (-4.1% against last year), the transit of oil – 4 million tonnes GEORGIA|DIPLOMACY (-20%), and cargo transportation – 22.8 million tonnes (-1.3%). For comparison, by 1 October 2012 the oil transit totalled 3.8 million tonnes. In 2012 the railroad Russia, Georgia hold new round of Geneva talks handled 13.9 million tonnes of cargo, including 9.1 On 5-6 November, the 25th round of the istry reported. The Geneva discussions talks, First Deputy Foreign Minister David million tonnes of crude oil and petroleum products, in- Geneva discussions on security and stabil- are being held over five years based on Zalkaliani told reporters. cluding 5 million tonnes of transit oil. Cargo carriages ity in Transcaucasia was held under the aus- the agreement signed by the Russian and According Zalkaliani, the agenda of the by rail for 2012 totalled 23.1 million tonnes, including pices of the United Nations, the European French presidents after the August 2008 talks includes the discussion of the secu- 5 million tonnes of domestic traffic, 4 million tonnes of Union and the Organization for Security events in South Ossetia. rity issues in the region, the construction of export traffic, 6.7 million tonnes of import cargo, and and Cooperation in Europe (OSCE). In June, Russia’s State Secretary and barbed wire fences on the contact line with 7.6 million tonnes of transit. In 2011 the railroad han- The Russian Foreign Ministry said the Deputy Minister of Foreign Affairs Grig- the separatist regions. The issue of using dled 14.4 million tonnes of cargo, including 9.7 million consultations “will have special importance ory Karasin warned of the possibility of force will be thoroughly considered during tonnes of crude oil and petroleum products, including to determine further steps of the Geneva terminating meetings in such format were the discussions. 5.8 million tonnes of transit oil. Cargo carriages by rail process”. Russia considers the signing of gradually developing from theoretical into “You know that Georgia has commit- in 2011 totalled 22.1 million tonnes, including 4.4 mil- the agreements between South Ossetia and a practical one. ted not to use force,” Zalkaliani said. “The lion tonnes of domestic traffic, 4.4 million tonnes of Georgia, and Abkhazia and Georgia on the However, Georgia does not expect the Russian Federation must take such an ob- export traffic, 5.5 million tonnes of import cargo, and non-use of force one of the priority issues format of the Geneva talks to change, Head ligation now. This will be a step forward in 7.8 million tonnes of transit. of the agenda, the Russian Foreign Min- of the Georgian delegation at the Geneva the Geneva talks.” NEWEUROPE www.neweurope.eu 29 10-16 November, 2013 EASTERN PARTNERSHIP

UKRAINE|ENERGY MOLDOVA|EU AFFAIRS Naftogaz reduces debt to Moldovans call for closer ties with EU Tens of thousands of Moldovans have rallied in the capital Gazprom as Gas War threat fades to call for closer ties with the European Union before a key summit, AP reported. Police said 70,000 took part in the rally on 3 November, which was organised by the three parties in the pro-European governing coalition. President Nicolae Ti- mofti said, “European integration is an opportunity for us to re-launch our economy and to improve the quality of people's lives ... It's about modernising our country”. The rally aims to send a signal of internal support to Brussels in the weeks ahead of a major EU summit in Vilnius on 28-29 November. Eastern Partnership states Moldova and Georgia are hoping to initial Association Agreements with the EU at the Lithuanian sum- mit, while Ukraine is expected to sign its Association Agree- ment. Moldovan Foreign Minister Natalia Gherman and Deputy Prime Minister for Reintegration Eugen Carpov also attended the rally in Chisinau on 3 November.

BELARUS|DIPLOMACY

A communal worker walks to chop firewood stored in front of buildings in the western Ukrainian town of Zolochiv, 29 Minsk receives Baumgertner October 2013. The administration of Zolochiv, 60 kilometres from Lviv, rejected the use of gas for heating and completely switched to an alternative fuel wood. AFP PHOTO/YURIY DYACHYSHYN extradition request from Russia The Belarusian Prosecutor General’s Office has received an National joint-stock company Naftogaz that we can pay Gazprom, clear that debt prices in the winters of 2006 and 2009, official request from Russia for the extradition of Uralkali Ukrainy has reduced its August gas debt for August,” he said, adding that Naftogaz with Moscow halting deliveries not only General Director Vladislav Baumgertner, BelTA quoted the to Russian gas monopoly Gazprom from currently owed debt for August gas sup- to Ukraine but to the rest of Europe. Prosecutor General’s Office of Belarus as saying. “The request $882 million to $806 million, news agen- plies alone. He said no problems paying Late in October, Gazprom demanded has been received and is currently under consideration,” the cies reported. for gas supplies in October ought to arise. Ukraine pay the $882 million overdue gas Prosecutor General’s Office said. Baumgertner was arrested by “We'll pay literally everything back “As far as we can see so far everything will bill urgently. Belarusian law enforcers on 26 August. He faced charges speci- to Gazprom. As of today [6 November], be okay,” he said. Russian Prime Minister Dmitry Med- fied by part 3, article 424 of the Criminal Code of the Republic the debt is $806 million,” Interfax quoted Ukrainian Prime Minister Mykola vedev has since said he sees no reason for of Belarus: abusive exercise of power and abuse of office. Later Naftogaz deputy CEO Vadym Chuprun Azarov hinted on 5 November his gov- Moscow to cut gas supplies to Ukraine on pre-trial restrictions for Baumgertner were replaced with as saying on the sidelines of the World ernment may not be willing to come to over the unpaid bill for now and has home detention. The Russian side has opened a criminal case Economic Forum in Kiev. rescue for Naftogaz. He said while the played down talk of an imminent Gas War against Baumgertner according to which he now faces charges Naftogaz is putting all available re- issue of the natural gas debt with Russia that might disrupt flows to Europe. of abuse of authority as specified by article 201 of the Criminal sources towards the August debt repay- remains “within the Ukrainian govern- Meanwhile, EU Energy Commission- Code of Russia. ment, but those payments are being held ment’s focus,” it was primarily a problem er Gunther Oettinger said that neither back by the sluggishness of Ukraine’s heat of two companies, adding that while “cer- party to the latest natural gas row between utilities sector to repay its own debt to tain problems exist ... they can hardly be Ukraine and Russia seems interested in BELARUS|DIPLOMACY Naftogaz. Asked when the whole debt called critical”. revisiting past conflicts. “I am sure every- to Gazprom might be paid, Chuprun With Ukraine also a transit route for one is interested that the year 2009 [is not Chile seeks to boost said this would depend when Naftogaz Russian gas to Europe, rows in the past repeated] again,” National News Agency receives what it is owed. “They'll pay off which have led to disruption for Europe- of Ukraine quoted Oettinger as saying on trade ties with Belarus debts to us, even in instalments, but such an consumers. The two sides clashed over 5 November. Chile is interested in larger supplies of Belarusian farm ma- chinery, Agricultural Attache of the Embassy of Chile in Rus- sia Pablo Barahona said during the presentation of the op- BELARUS|ENERGY portunities for trade and economic cooperation with Chile for Belarusian authorities and businessmen, BelTA reported. “Chile imports Belarusian farm machinery and equipment. BelarusBelarusian President to Alexander build Lu- forfirst the Belarusian nuclear nuclear power plantpower is “The plant facility is the result of the evolu- However, the import of Belarusian tractors has recently de- kashenko has issued a decree authorising safe. During the roundtable session held tion of the most popular type of nuclear creased. I should say that Chile is happy about the quality of Russia’s Atomstroyexport to execute a in Minsk on 5 November to present the power plants and hence the most tech- the Belarusian tractors. I think we should work together to contract to build the former Soviet re- project that will enable the public moni- nically perfect type — a nuclear power increase the supplies of Belarusian farm machinery to our public’s first nuclear power plant in As- toring of the environmental impact of plant with a water-cooled energy reactor. country,” Barahona said. According to Ambassador of Chile travets near the border with Lithuania, the Belarusian nuclear power plant’s con- Such reactors use light (common) water to Russia Juan Eduardo Eguiguren, Chile and Belarus should news agencies reported. struction, BelTA quoted him as saying as the heat transfer fluid and the neutron bolster trade co-operation. The Ambassador emphasised that Lukashenko also approved easy resi- Oka can evaluate the safety of the Bela- moderator. The Tianwan nuclear power both the Chilean and Belarusian economies are focused on dency rules for the foreign employees on rusian nuclear power plant using Russia’s plant in China is the closest analog. It was export. “We export copper, fish, in particular, salmon, seafood, the project. The necessary infrastructure, second Leningrad nuclear power plant built using the Russian design and was wood, and vine,” Eguiguren said. Other export items include licenses and technical documentation for as an example. “The two nuclear power commissioned in 2007. Leading experts grapes, plums, cherry, pears, avocado, and nuts. Besides, the the plant are already in place. The plant plants have similar parameters, which, by believe that the Tianwan nuclear power Ambassador said that Chile is interested in Belarusian invest- at Astravyets will have two Russian reac- the way, have been acknowledged at the plant is one of the most advanced and ments. He also invited Belarusian tourists to visit Chile. Eguig- tors capable of generating some 2.4GW international level. The second Lenin- safely operating nuclear power plants in uren said Chile welcomes three million tourists every year. of electricity. The first unit is due to be grad nuclear power plant is the first nu- the world,” Khasiyev said. “We hope the number will continue to increase. Tourists from launched in 2017 and the second in 2018. clear power plant in the AES-2006 series. The ecologist also remarked that in many countries are interested in Chile, and we have launched Alan Khasiyev, president of the in- It uses a VVER-1200 reactor. It is located addition to high output the VVER-1200 a campaign to attract more people to our country. I believe that terregional public ecological movement about 80 kilometres away from Saint Pe- reactor boasts improved nuclear safety in the future the share of tourism in the Chilean GDP will in- Oka (Russia), said the design suggested tersburg,” he said. parameters. crease,” he said. NEWEUROPE 30 www.neweurope.eu EURASIA 10-16 November, 2013

Kazakhstan|Infrastructures TAJIKISTAN | Election Kazakhstan puts the breaks on new high-speed railway The mayor of Almaty, the capital and largest city in Ka- Rahmon wins election, zakhstan, has announced that a costly plan to build a high-speed railway to connect his city with Astana some 1,000km away has been shelved. “The project for con- struction of a high-speed railway Astana-Almaty is costly extends presidency to 2020 and its implementation was temporarily postponed," DUSHANBE --- Tajikistan's incum- Mayor Akhmetzhan Yesimov told a meeting of the Central bent president, Emomali Rahmon, won Communications Service last week. A feasibility study for 83.6% of the vote in Wednesday's nation- the construction of the Astana-Almaty railway was com- al election and will serve as president for missioned in 2011 but the cost was never announced. The another seven years, preliminary results 1,011km railway was being developed by a consortium of showed Thursday. experts from China, the Kazakh Company Transproject-K "Presidential candidate Emomali and France’s Systra SA. At present, the Spanish manufac- Rahmon received over three million tured Talgo trains take 13 hours to connect the two cities. votes, or 83.6% of the vote," said Tajik The costly high-speed rail would have made the journey Central Election Commission Chair- in just five hours. man Shermuhammad Shoiyon at a press conference. "Emomali Rahmon has been re-elected as president of the Republic of Kazakhstan|Defence Tajikstan." According to election laws in Tajik- Kazakhstan, UK consider istan, any candidate who collects more than half of the vote wins the election. military cooperation None of the other five candidates man- Military diplomacy topped the agenda during a working aged to gather more than 5% of the vote, Tajikistan's President Emomali Rakhmon (R) shows identification papers as he votes at a polling station in Dushanbe, on November 6, 2013. AFP PHOTO / STR meeting between Kazakh Defence Minister Adilbek Dzhak- according to the election commission. sybekov and his British counterpart Philip Hammond in More than 80% of all registered vot- manov from the Democratic Party, and es of Tajikistan, an alliance that brings London last week. The two men discussed the prospect of ers turned out, the commission reported. Ismail Talbakov from the Communist together the country's largest opposition further cooperation as regards military training. Speaking to The country's 3,155 polling stations Party. Another prominent opposition party, the Islamic Renaissance Party, and reporters, Dzhaksybekov said the UK is Kazakhstan's strategic were open on Wednesday from 6 a.m. to figure, Oinihol Bobonazarova, had to the Social Democratic Party. She had partner and that Kazakhstan attaches great importance to the 8 p.m., and 61 overseas polling stations drop out of the election after failing to been considered the biggest challenge to development of bilateral cooperation between the countries. were opened in 27 countries for the Ta- gather enough signatures to support her Rahmon's continuing presidency. According to Kazakh’s defence ministry, Kazakhstan wants jiks who couldn't return in time. candidacy. More than 500 international observ- to learn from Britain’s experience in recruitment, personnel The six candidates running in the Tajik election laws stipulate that any- ers also monitored the election. policy, training and budget planning. Last year, Kazakhstan election were Rahmon, veteran politi- one who wants to run in the presiden- Tajikstan revised its constitution in announced a decision to gradually phase out its compulsory cian from the People's Democratic Party; tial race must gather signatures of 5% of 2003 through a national referendum. Ac- military service. Alim Babayev from the Economic Re- registered voters in order to qualify as a cording to the new constitution, a presi- form Party; Talibek Buhariyev from the candidate. dent serves seven years in one term, but Agrarian Party; Abduhalim Gaffarov Bobonazarova's candidacy had been can only serve two terms in a row. Turkmenistan|Infrastructure from the Socialist Party; Saidcafar Is- supported by the United Reformist Forc- (Xinhua) British company to build KAAZ KHSTAN |Foreign Trade communication infrastructure The entire communication infrastructure for the second branch of the Turkmenistan-China gas pipelines with the Kazakh-Polish trade sees 23% increase Amu Darya River will be constructed by the London-based Trade between Kazakhstan and Poland "We expect Kazakhstan to become are among Kazakhstan’s main exports to Petro Gas LLP Company. Turkmenistan’s state-run Turkmen- is flourishing, exceeding $2bn in 2012, a member of the World Trade Organi- Poland. gaz will sign a contract with Petro Gas LLP. The pipeline be- according to official figures presented at sation in 2014, which will create more Kazakhstan is Poland's third im- gan to be constructed in July 2008. It has dual lines running the recent Polish-Kazakh Intergovern- stable and transparent conditions for portant economic partner after Russia in parallel. The first branch became operational in December mental Commission on Economic Co- our trade and economic cooperation and and Ukraine. In other related news, the 2009 and the second in 2010. Construction of the third route operation in Warsaw. the growth of trade turnover and invest- Kazakh national agency on export and began last year. In related news, Turkmen President Gurban- Bilateral trade turnover increased ments," Piechocinski said. investment KAZNEX INVEXT an- guly Berdimuhamedov has signed a new decree aimed at in- 23% last year. Kazakh First Deputy Poland's exports to Kazakhstan nounced that Poland's largest transport- creasing the export volume of Turkmen natural gas to foreign Foreign Minister Rapil Joshybayev and amounted to $600m in 2012. This is a logistics company is seeking a Kazakh countries. Polish Deputy Prime Minister and Min- jump of more than 20% compared to pre- partner in order to increase cargo transit ister of Economy Janusz Piechocinski co- vious years. Oil, mining and engineering from China to Europe and vice versa via chaired the meeting in Warsaw. products, as well as fruit and vegetables Kazakhstan. Kyrgyzstan|Economy Kyrgyzstan imports and exports TAJIKISTAN |Interregional Cooperation Kyrgyz exported $919.1m worth of goods between January and August this year, around the same as in 2012, according Kazakhstan, Russia agree to good neighbourliness and alliance to official data released last week by the government of Kyr- Russian President Vladimir Putin will held on the sidelines of the 10th annual tutes, national holdings and companies, gyzstan. A slight drop in textile products, however, caused a host Kazakh President Altai Abibullayev Forum for Interregional Cooperation be- as well as experts in the field of innova- small decrease of export volumes excluding gold by 0.6% com- in the Russian city of Yekaterinburg on tween Russia and Kazakhstan. tive technologies. pared to January-August 2012. As regards imports (mainly November 10 for the ceremonial sign- The forum will also be attended by The trade turnover between Kazakh- chemical and related products, cars, machinery and textiles), ing of a new bilateral agreement on good Kazakh government ministers, as well as stan and Russia during the first eight Kyrgyzstan imported some $3,720.4m worth of goods be- neighbourliness and alliance. representatives of border regions, indus- months of this year reached a whopping tween January and August. The signing of the agreement will be trial enterprises, scientific research insti- $15,200bn. NEWEUROPE www.neweurope.eu 31 10-16 November, 2013 RUSSIA

RUSSIA|SOCHI OLYMPICS RUSSIA|RELIGIONS Pope, Putin to discuss relationship between churches Russia blasts Olympic Torch On 7 November, the Vatican said Russian President Vladimir Putin is scheduled to meet with Pope Francis privately on 25 November, the Italian news agency ANSA reported. The announcement comes after Pope Francis wrote to Putin in into space for first spacewalk September, when the president was heading the St Petersburg G20 meeting. The pope urged the attendees to stop the con- flict in Syria and tackle the global economic crisis. The two are also expected to discuss the relationship between Catholic and Russian Orthodox churches, ANSA reported.

EUSSIA|ENERGY Russia eyes Vietnam’s Nhon Hoi Oil Refinery Complex A Russian business delegation went on a fact-finding tour to Vietnam’s central Binh Dinh province two weeks ago to have a better look at the Nhon Hoi Oil Refinery Complex, which will be built in the locality, state-run Vietnam News Agency reported on 4 November, cited by Xinhua. The report quoted, general director of Sarvors Company under the Russian Ros- neft Oil and Gas Group who led the delegation, as saying that Rosneft had worked with the PTT Public Company Lim- ited (PTT) of Thailand, the project’s investor, to announce its intention to become one of PTT’s strategic partners in the Russia’s Soyuz TMA-11M spacecraft carrying an international crew and an unlit Olympic torch for the 2014 Winter Games in Sochi project. The Russian official asked about the transparency of aboard blasts off from the Baikonur cosmodrome, 7 November 2013. AFP PHOTO/KIRILL KUDRYAVTSEV Nhon Hoi Economic Zone’s investment incentives, infrastruc- On 7 November, a Russian rocket was station astronauts. it would consume precious oxygen and ture and working conditions. He said the project would need launched from Kazakhstan’s Baikonur The arriving crew members on 7 pose a threat to the crew. The crew will at least 25 billion dollars in investment capital and 20,000- cosmodrome into space carrying the November were Russia’s Mikhail Tyurin, carry the unlit torch around the station’s 30,000 regular workers. Therefore, it would require basic and Sochi Olympic torch and three astro- American Rick Mastracchio and Koichi numerous modules before taking it out huge support from the Vietnamese government and the pro- nauts to the International Space Station Wakata of Japan. on a spacewalk. vincial authorities. (ISS). Once the newcomers enter the space In October, the Olympic flame trav- Video streamed by the US space station following a long hatch-opening elled to the North Pole on a Russian agency NASA reported a flawless dock- process, the orbiting lab will have nine nuclear-powered icebreaker. Later in RUSSIA|MEDIA ing with the space station about six hours people aboard for the first time since November it will sink to the bottom of after the craft blasted off from Russia’s 2009. the world’s deepest lake, Lake Baikal. In TV crew reporting on Sochi manned space facility in Baikonur, AP Fyodor Yurchikhin of Russia, NA- early February, it will reach the peak of reported. SA’s Karen Nyberg and Italian Luca Par- Mount Elbrus, at 5,642 metres the high- Olympics allegedly harassed The unlit torch for the 2014 Winter mitano are the crew scheduled to return est mountain in Russia and Europe. The Police in southern Russia detained, harassed, and threatened to Olympics in the Russian city of Sochi to Earth with the torch via a Monday torch will be used to light the Olympic imprison two journalists from a Norwegian television station was expected to be taken on a spacewalk landing on the steppes of Kazakhstan. flame at Sochi’s stadium on 7 February, who were on a reporting trip to Sochi, Human Rights Watch on 9 November, then return to Earth on The Olympic torch will not burn on- marking the start of the 2014 Winter said in an e-mailed press statement on 5 November. “Over the 11 November with three departing space board the space outpost because lighting Games that run until 23 February. course of three days, the Russian authorities repeatedly de- tained and questioned the crew from Norway’s TV2 television RUSSIA|ECONOMY station, which is the official broadcaster in Norway of the Sochi 2014 Winter Olympic Games,” it said. “The government’s treat- ment of TV2’s crew should shock the International Olympic Committee,” said Jane Buchanan, associate director for Europe OnPutin 7 November, Russian against Vladimir Putin spendingbehind the global average inall the next fiscal 16 biullina, Financereserves Minister Anton Silu- and Central Asia at Human Rights Watch. “The IOC needs to said his country should not spend all of years. Although Putin has set a target of anov and head of Audit Chamber Tatya- demand a full explanation from the Russian authorities about its fiscal reserves. “The National Welfare 5% economic growth for 2013, the econ- na Golikova, Weafer pointed out. the bullying of an Olympic broadcaster’s staff and insist that Fund is a security cushion for the Rus- omy ministry forecasts only 1.8% this “Kudrin remains very bearish. Last no other journalists suffer this kind of intimidation and harass- sian economy ... year and a recovery to 3% in 2014. week Kudrin again warned that Russia ment.” Russian authorities should immediately stop harassing Those who suppose that we should al- Chris Weafer, a senior partner at is a hair’s breadth away from recession journalists and ensure press freedom ahead of the 2014 Winter low ourselves to spend this fund entirely Macro Advisory in Moscow, wrote in an and added that he believes the country’s Olympic Games in Sochi, Human Rights Watch said. From 31 are deeply mistaken,” the Kremlin leader e-mailed note to investors on 5 Novem- budget income is likely to be short of October to 2 November Russian traffic police stopped Oystein told a meeting on the use of the National ber that another positive sign that the three trillion rubles ($93 billion) in the Bogen, a reporter for TV2, and cameraman Aage Aunes six Welfare Fund. Kremlin is taking the issue of economic next three years due to the slowdown in times while the men were reporting on stories in the Republic The National Welfare Fund and its slowdown seriously is the appoint- the economy’s growth. of Adygea, which borders Sochi to the north along the Black sister Reserve Fund were created by for- ment of Kudrin to the presidium of the A media report cited him as saying, Sea coast, the statement said. “Officials took the journalists into mer finance minister Alexei Kudrin, who presidential Economic Council. Kudrin first, the budget figures mismatch the police custody three times. At every stop and in detention, of- restored the public finances to health in tweeted “We will be discussing the most officially stated principles of the fiscal ficials questioned the journalists aggressively about their work the first decade of the millennium but pressing problems”. policy. Secondly, they do not correspond plans in Sochi and other areas, their sources, and in some cases was forced out of office in 2011. The presidium includes the coun- to the current economic realities - that about their personal lives, educational backgrounds, and re- Russia has drastically slashed its try’s top economics and finance officials, is, the continuing stagnation the ways ligious beliefs. In several instances they denied the journalists long-term economic growth forecast and such as First Deputy Prime Minister Igor to overcome which have not yet been contact with the Norwegian Embassy in Moscow. One official warned that the country’s growth will fall Shuvalov, Central Bank chair Elvira Na- found,” Weafer wrote on 5 November. threatened to jail Bogen,” it said. 32 NEWEUROPE| 1057 Once upon a time in Brussels... 10-16 November, 2013 UKIP are said to have put out a leaflet claiming 29 million Bulgarians and Romanians will migrate to the UK. From a combined population of 27 million [email protected] KASSANDRA Follow me on twitter @Kassandra_NE The right man, but the wrong way? One man, one vote. The man is Schulz n Thursday, FIFA President Sepp This doesn’t look like western democracy, Blatter met Iran's President Hassan but old fashioned East European communism. Rouhani, which showed how odd There are several notable omissions in his Othe world has become, for the Iranian had a far supporters list, not least the UK Labour party more democratic election than Blatter, who who have remained completely silent on the was the only candidate in a vote that was as issue. Ed Miliband is smart enough to see a car criticised as it was farcical. crash and jump out of the way. In Brussels, the Party of European So- The question is, how many of their sup- cialists announced their “transparent and porters will do likewise? democratic” process of selecting a candi- However, Schulz is likely to be the centre- date for commission head had reached a left’s best candidate, partly because sitting pre- conclusion and European Parliament Presi- miers or presidents can’t publically campaign dent Martin Schulz had been the only can- for another job without exposing themselves didate to be nominated, by 21 of their 31 to their national opponents. members. Schulz certainly wants the job and may He therefore became their ‘candidate des- well possess the vigour to talk directly to citi- ignate.’ Looking at how Schulz was selected, zens and do what the next commission must; democratic principles are somewhat occlud- put people first. ed. Many national parties nominated him by The dreary dullness of Herman Van Rom- national executive votes, and none by bringing puy, the blustering preening from Barroso in the party membership. have not resonated beyond the top floors of The end result is that Schulz is set to tour their respective headquarters. the member parties trying to garner support Schulz may well be able to use his forceful from the members he will need to go out and personality – the kind way of looking at it – to campaign. The PES nominees for commission chief line up at a press conference. EPA/OLIVIER HOSLET another major problem; the three main insti- To be positive, they have one more candi- democratic process and then appearing to be continual questioning of the legitimacy of tutions competing against each other. date than the last time. do a typical Brussels backstairs deal, the PES the process and how such a system could only Or will his term be in the manner of his But by loudly proclaiming a new and have shot themselves in the foot. There will produce one nomination. selection; all promise and no delivery?

Happy days, excerpts from Barroso’s 2009 plan for this Commission “For Europe, this is a moment of truth. Eu- tion to move on with conviction and deter- rope has to answer a decisive question. Do mination to a new phase of ambition." we want to lead, shaping globalisation on “The priority now is to continue to sus- the basis of our values and our interests – or tain demand and stem the rise in unemploy- will we leave the initiative to others and ac- ment.” cept an outcome shaped by them? The al- “"I am committed to ensuring that the ternatives are clear. A stark choice has to be Commission, as the driver of so many key made. Either Europeans accept to face this external policies, plays its full part in seizing challenge together – or else we slide towards the moment to give Europe the weight it de- irrelevance.” serves on the global stage.” “We must put human dignity at the heart "Under my leadership, the Commission of our endeavours.” will use the full range of possibilities in the “My first mandate was about consoli- Treaty to strengthen the convergence of ob- dating Europe at 27. The enlarged EU now jectives and the coherence of the effects of gives us a springboard to use our reach and economic policy, particularly in the Euro strength to best effect. We are now in a posi- area.” ADVERTISEMENT ECTA Regulatory Conference 2013 3-5th December 2013 | Le Chatelain Hotel, Brussels