Monday, January 29, 2007

Newmarket-Aurora Conservative Nomination Meeting set for March 5: Who will face Belinda in the next election?


Newmarket-Aurora Electoral District Association


For Immediate Release


NEWS RELEASE

LOCAL CONSERVATIVE PARTY TO NOMINATE CANDIDATE


(AURORA, ON) – January 26, 2007 - The Board of the Newmarket – Aurora Conservative Party of Canada Electoral District Association today announces that it has been given formal Party approval to begin the nomination process. The Nomination Event will take place at Mulock Secondary School in Newmarket on Monday March 5th, 2007. The event will commence at 7:30 pm; Registration begins at 6:30 pm.

“We look forward to a spirited nomination race to select our Conservative standard bearer who will speak to the Government’s record of getting things done,” says Stephen Somerville, President of the CPC Newmarket-Aurora EDA. “We are proud that our Party respects the grassroots nomination process and we are excited that our membership will soon have the opportunity to nominate their candidate.”

To be eligible to vote at the Nomination Event, you must be or become a member of the Conservative Party Newmarket-Aurora Electoral District Association by no later than February 13, 2007. This date has been set in accordance with the Conservative Party’s Nomination Rules and Procedures.

-30-


Stephen Somerville Al Wilson
President Chair, Candidate Nomination Committee
CPC Newmarket-Aurora EDA CPC Newmarket-Aurora EDA

For more information about the nomination process and event, please call the committee chair at 905-727-4864.
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Darryl's Note: As a member of the nomination committee I have agreed to remain neutral during this nomination contest. As a result I will not be endorsing or writing about the Newmarket-Aurora nomination on this blog. For more information on the current candidates; please visit:
Lois Brown (www.loisbrown.ca)
Kirk West (www.kirkwest.ca)
Thanks for reading...
Darryl
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Corruption is back..Has the Liberal Party Changed?


Corruption is back!..Has the Liberal Party Changed?

“Liberals, we need to go back to power as soon as possible.” - Stephane Dion

Just over a year ago, the Liberal Party was tied up in scandal. Justice Gomery came down hard and exposed certain individuals within the Liberal Party as criminals. Some were prosecuted in court, others were banned from the party and ultimately the Liberals paid the price following the last election. One year later, is it really credible to say the Liberal party is rebuilt? Has anything changed? Will the sponsorship scandal act as the elephant in the room during the next election? It may not be the top issue on most people’s minds but I’ll bet it is still in the back of their minds. Let’s look at the record. It has been well documented the accomplishments and failures of the Liberal party over 13 years. Many referred to their defeat as a timeout in the penalty box for “Canada’s natural governing party”. Was the penalty a two minor or a five minute major? Since January 23, 2006 what has changed in a tangible way within this party?

Up until December, Liberals received a free pass from the media and to some degree the opposition. Initially “A” level candidates all took a pass on the leadership primarily because of the Liberal financial situation and at the time their prospects for re-election. Michael Ignatieff and Bob Rae joined the Liberals and immediately ran for leadership backed by the former party brass. Dion surprised the nation and won the leadership with the assist from Gerard Kennedy and his loyal followers. Findlay and Dryden made good impressions. Volpe and Brison probably suffered the most damage from the convention. Other names initially planned to run dropped before the convention. As people were throwing their hats in the ring, it seemed like any backbench MP was willing to take the jump in the hopes they would be rewarded a cabinet post later along with an increase in their own personal profiles. Few leadership hopefuls bothered to show up in the House of Commons during question period. Very little policy debate took place at the convention or among the candidates. The official opposition simply did not know where it stood as major policy issues came up for debate. Avoiding a position was necessary to avoid paralyzing the future leader from making decisions now. Publicity at the convention came from the fact that no one had any idea who was going to win prior to the convention. There was also the wheeling and dealing that took place, backroom deals, and elimination and watch where supporters go reality TV format that made for interesting television and better than average attention during this convention. In terms of media attention, name recognition, and a quick boost in the polls, this convention was a success for the Liberals. Unfortunately very little action was taken or media attention focused when stories later came out that some delegates were openly campaigning against the fact Bob Rae’s wife was Jewish. There was also talk of large cultural groups attempting to sell mass delegate support in exchange for issues such as Tamil independence should their candidate become Prime Minister. While I have no evidence to indicate wrong doing, I do wonder what kind of deals and alliances Dion had to make to win that game show? That is why it is disappointing that Liberals did not endorse the one member one vote system at their convention. I think this was a step in the wrong direction with regards to democratic reform and the Liberal party’s own goals of becoming a grassroots party. If the next leadership race has a clear frontrunner, as was the case with Paul Martin and Sheila Copps; I think the media intrigue would disappear and all that will be left is another convention where some members cannot afford to attend while power is decided among elites in the backrooms. This is unacceptable and not the renewal promised following the sponsorship scandal. A lack of power in the hands of the grassroots is certainly not helpful in their goals of improving fundraising either. To the credit of Stephen Harper’s government with the accountability act (and also Jean Chrétien who initially introduced donation limits), Canadians can be proud that our democratic system will never be hijacked by big money, corporations, unions or special interest groups as we see in the United States today. For years the Conservative/Reform/Alliance party has been great at raising a high volume of small donations. Liberals for decades have relied on low volume but high value donations. Under the accountability act the Liberals (and other parties) can now only accept donations from individuals to a maximum of $1000 each. Unions and corporations can no longer contribute to election campaigns. That is why today there is such a large gap financially between the Conservative and Liberal war chests. Liberals now have to rely on the grassroots of their party to pay their election bills. The fundraising efforts thus far have not paid many dividends. I would argue that a lack of motivation among the grassroots to donate money can be tied to the fact there was such little involvement among members who did not get elected as delegates in the selection of their leader. Another Liberal goal following the last election was to end the fighting among the Chretien and Martin camps. Even this could not be achieved as Chretien felt the need to take a cheap shot on Martin at the convention even when everyone else in the party was trying to put on the act that all was forgiven and forgotten. Now Martin’s people seem to have vanished and Mr. Chretien is back in the loop. There is a push to forgive and forget the “mistakes” of Marc-Yvan Cote (distributed $120,000 in sponsorship cash to Quebec Liberal candidates) and nine others implicated in the scandal. Dion by the way was at the cabinet table during the sponsorship scandal and other boondoggles such as HRDC and the gun registry. Is the Martin/Chretien feud really over? Is anyone outside the Liberal party happy to see Chretien back after Gomery? Has anyone been held to account for adscam? Was all that stolen sponsorship money simply a small mistake that should be considered out of sight out of mind by the ripped off taxpayers after barely one year??? What has changed to give me confidence that this new Liberal regime has taken responsibility for the past and can be trusted in the future???

When it comes to policy, Liberals are the opposite of Harper in the sense that they are not decisive and their positions on key issues are from clear. The Afghanistan, gay marriage, Quebecois as a nation and the Middle East exposed deep divisions on the tough issues. Stephane Dion attacks Harper on the environment and champions that as his issue but why weren’t these so called “Liberal ideas” recently introduced by Conservatives implemented under his watch? Why didn’t he make the decisions necessary to meet our international obligations? Why did he fail to act a decade ago when we signed Kyoto and needed time to ease in and meet our promised targets? What amendments or ideas has he recently suggested to improve the Clean Air Act? Outside of the environment what fresh ideas have been suggested that haven’t been promised in the past when they had the time and absolute majority power to act? This campaign likely will not be about the sponsorship scandal or how “scary” Harper is. For the first time in a long time, the upcoming campaign is going to be fought on ideas and a vision for Canada. Former NDP Bob Rae and former Conservative Scott Brison had better get to work on the Liberal platform. Again why is this platform being developed by a former NDP and Conservative and not the Liberal grassroots?

Finally the shadow cabinet is another example of how the more things change the more they stay the same. Who got in? All of the leadership candidates landed key critic responsibilities to show artificial party unity. What type of message does it send that Joe Volpe landed a higher profile portfolio than Ruby Dhalla, Carolyn Bennett and Belinda Stronach? Does this encourage women to enter politics? Where is the new blood? Where is the renewal? What has changed?

If Liberal arrogance prevails we will be in an election following the budget and this session of parliament. Do we really need another election right now, our third in four years? I think Liberals should rebuild and find their principles before thinking about how soon they can return to power. It will take a lot more renewal before they can credibly regain the trust of the Canadian voters. Maybe it is time for the media to focus on other parties and their imaging as oppose to the dead horse we read every day about Conservatives and their need to improve environmental credentials. There is plenty of baggage on both sides of the house!

Thanks for reading…


Darryl

Friday, January 26, 2007

Project Hope searches for a Yao Ming on ice

Project Hope searches for a Yao Ming on ice

By Lei Lei (China Daily)
Updated: 2007-01-26 08:43

China's ice hockey teams may not be a major force in the world game, but the hunt is on for young talent to take the game forward.


A young Chinese ice hockey team was sent to play in the US under Project Hope. Courtesy of Project Hope.[China Daily]

"Our goal is to find a 'Yao Ming' for China's ice hockey team," said Angela Ruggiero, director of Project Hope, initiated by Charles B. Wang, owner of National Hockey League (NHL) team New York Islanders.

A young Chinese ice hockey team was sent to play in the US under Project Hope. Courtesy of Project Hope

The project was launched in August last year, and over the next five years it will aim to establish a China Ice Hockey Training Centre, three Women's Ice Hockey Training Bases, 30 primary and 10 middle schools under Ice Hockey Project Hope.

So far, the project has involved eight schools in Harbin, Qiqihar and Jiamusi, three major cities in northeast China's Herlongjiang province.

"Currently, we are working on getting more equipment to the kids, translating Canadian ice hockey coaching manuals for all the coaches so they can help the kids," said Ruggiero, who is a former member of the US Olympic women's ice hockey team.

Ruggiero says she is excited by the potential she sees.

"They are very talented, they work extra hard, they smile a lot and they do exactly what you show them to do," she said. "It is really exciting to be here to see them smiling and enjoying the sport of ice hockey."


China used to have about 20 teams in the early 1980s and the men's team advanced into Pool B of the World Ice Hockey Championships four times in 1979, 1981, 1986 and 2001. But some cities dumped their teams because of a lack of facilities.

Now, China's national team mainly depends on the three remaining squads.

Wang and the New York Islanders have started paying attention to the sport's status since 2004. The club sent a manager to China in 2004 and set up its Harbin Representative Office. In 2005, 300 full sets of hockey equipment, worth $200,000, were donated to the China Ice Hockey Association.

The Islanders also sent its own coaches to China, helping assist China's women's national team.

"The goal of Project Hope is to start with the kids, building primary schools, some middle schools and eventually some high schools. This is so that as the kids develop, they can move on and develop their hockey, develop their English and keep studying, all of which is important to us," said Ruggiero. "They keep going up in the ladder and eventually they will be great members of China's ice hockey team."

A former player herself, Ruggiero has competed against the Chinese women's team and in her view what is lacking more than anything is competition experience.

"I don't think the Chinese players have the same opportunities as the Americans, the Canadians and the Europeans," she said. "Playing ice hockey is hard. They have to get on the ice. I learned today that there are 20 indoor ice rinks in China, which is not many. I hope through Project Hope and support from the government, they can play more games, get better coaching. That's the key to success."

"We will continue to have more coaching clinics and more drills and ideas on how to teach hockey, because it is a hard game," she said. "The important thing is that the kids have the ice."

Providing scholarships for Chinese students to study in the US is Ruggiero's main task at present.

"The big part of Project Hope is to provide scholarship opportunities for some kids to go to our schools. The New York Islanders will pay for a great education chance there. They can continue to play hockey and go back to China to represent their national programs."

The scholarship program will start this summer and five candidates have been selected through tests.

"We are going to help them apply to summer school, where they can play hockey, learn English and improve their academic level," she said. "We will bring as many as we can this summer."

God Grew Tired of Us Trailer



God Grew Tired of Us Trailer

After raising themselves in the desert along with thousands of other parentless "lost boys," Sudanese refugees John, Daniel and Panther have found their way to America, where they experience electricity, running water and supermarkets for the first time. Capturing their wonder at things Westerners take for granted, this documentary, an award winner at the 2006 Sundance Film Festival, paints an intimate portrait of strangers in a strange land

Thursday, January 25, 2007

Why We Fight

Is American foreign policy dominated by the idea of military supremacy? Has the military become too important in American life? Jarecki's shrewd and intelligent polemic would seem to give an affirmative answer to each of these questions

The American Documentary Grand Jury Prize was given to WHY WE FIGHT, written and directed by Eugene Jarecki. http://festival.sundance.org/2005/docs/05Awards.pdf

What are the forces that shape and propel American militarism? This award-winning film provides an inside look at the anatomy of the American war machine.

He may have been the ultimate icon of 1950s conformity and postwar complacency, but Dwight D. Eisenhower was an iconoclast, visionary, and the Cassandra of the New World Order. Upon departing his presidency, Eisenhower issued a stern, cogent warning about the burgeoning "military industrial complex," foretelling with ominous clarity the state of the world in 2004 with its incestuous entanglement of political, corporate, and Defense Department interests.

Deploying the general's farewell address as his strategic ground zero, Eugene Jarecki launches a full-frontal autopsy of how the will of a people has become an accessory to the Pentagon. Surveying the scorched landscape of a half-century's military misadventures and misguided missions, Jarecki asks how--and tells why--a nation ostensibly of, by, and for the people has become the savings-and-loan of a system whose survival depends on a state of constant war.

Jarecki, whose previous film, The Trials of Henry Kissinger, took such an unblinking look at our ex-secretary of state, might have delivered his film in time for the last presidential election, but its timing is also its point: It does not matter who is in charge as long as the system remains immune from the checks and balances of a peace-seeking electorate. Brisk, intelligent, and often very, very human, Why We Fight is one of the more powerful films in this year's Festival, and certainly among the most shattering.— Diane Weyermann

http://www.whywefightmovie.com/

Tuesday, January 23, 2007

Conservatives go Green!



Conservatives go Green!
For months we have heard that the Conservatives are bad for the environment. Now today on the one year anniversary of the last federal election, if you look closer at the actual record there actually have been a lot of announcments and positive steps. The new government has announced funding for biofuel and ethonol regulations for gasoline. They have also invested in solar, tidal and wind power, green home renovations incentives and green technology investments. Liberals may say it is their idea, and if that is true why not support it and get something positive done on this file? Conservatives also announced a ban on toxic chemicals and met with industries such as automotive and energy about potential regulations. In Kenya, Rona Ambrose said that the government was committed to Kyoto, but at this stage Canada could not meet its targets because of Liberal inaction. The Clean Air Act was an attempt to address smog and green house gases. Currently the NDP is working in committee and introducing amendments to get this bill passed. John Baird has met with opposition leaders, environmentalists, Elizabeth May and also David Suzuki. I think there has been a real effort to make some positive changes and correct a percieved weakness for the Conservative Party. Dion speaks on the environment as if he did something in the two years he held the cabinet position. Liberals signed the Kyoto treaty but did nothing to implement it. Since the Liberal leadership, Dion has attacked Harper on the environment but is yet to put forward a tangible idea up until this point. If it is starting to look like an election will not be coming until the fall, why not work together to pass a strong Clean Air bill in order to get something accomplished for the people all MPs are supposed to represent. Climate change is a complex issue that requires action on the part of individuals, businesses and governments. These announcements are not the solution to global warming but are a great way to start. The time for debate on the science is over. It is now time to come up with some creative ideas and find away to implement them. I think the media should do a better job of representing the true Conservative record on this file. In reality we have not seen this much green action since the days of Mulroney.

To see your own personal daily impact on climate change visit the link below:
Thanks for reading...
Darryl






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PM announces $1.5 billion in alternative energy funding
Canadian Press



METCHOSIN, B.C. — The federal government is putting more than $1.5 billion into funding alternative energy technologies, Prime Minister Stephen Harper announced Friday.
"There is no end to the potential of alternative, non-polluting energy sources," Mr. Harper said in this community just outside Victoria.
He said the intitiative will "harness the power of our environment to help protect the environment for all Canadians."
The first component of the so-called ecoEnergy Renewable Initiative is designed to increase supplies of clean electricity from renewable sources like wind, biomass, small hydro and ocean energy.


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A 10-year incentive program will be established to fund eligible projects to be constructed over the next four years.
The second component will provide more than $35 million in incentives for industry to increase the adoption of clean renewable heating technologies for water and space heating in building.
As well, projects for residential solar heating technologies will be explored in partnership with utilities and community organizations.
The government is hoping the investment will create up to 4,000 megawatts of renewable energy and will cut greenhouse gas emissions equal to taking a million cars off the road.
The prime minister was joined by Environment Minister John Baird and Natural Resources Minister Gary Lunn for the announcement at the Lester B. Pearson College of the Pacific, west of Victoria.






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The greening of the oil sands
DAVID EBNER
From Saturday's Globe and Mail



CALGARY — Thursday at lunchtime, it's 4 Celsius outside Robert Mansell's office at the University of Calgary, right in line with the balmy January temperatures straight across Canada, from Vancouver to Halifax. Sitting on the desk of Mr. Mansell — head of the university's institute for sustainable energy, environment and economy — is a recent issue of The Economist, the cover reading “The Heat is On,” a report on climate change. More than 3,000 kilometres to the east, Mr. Mansell's former student, Prime Minister Stephen Harper, has just announced a retooled federal cabinet, the shuffle led by installing John Baird as Environment Minister to replace the beleaguered Rona Ambrose.
The three threads intertwine as a sense of urgency about global warming has pushed the environment into a tie with health care as the biggest issue in the minds of Canadians, according to new numbers this week from a quarterly poll by Environics Research. The issue could define the next federal election and has left the Alberta energy industry, particularly the oil sands, worried about the heat.
Greenhouse gases in Canada spew out from disparate sources across the country — vehicles on the roads are as guilty as industry — but massive growth in the oil sands is drawing the most attention with the rising prominence of the environment and the containing of carbon dioxide emissions. The oil sands region is already home to two of the four single biggest emitters in the country and is set for incredible growth, with $100-billion of projects planned over the next decade. The use of fresh water and the destruction of several thousand square kilometres of delicate boreal forest through surface mining are also key concerns.
All this attention has raised fear in the energy industry, which in 2002 fought noisily against the Kyoto Protocol, with oil sands operators threatening to shut down planned projects or process the raw output in the United States. New threats from energy firms have not yet emerged but industry leaders speak with fretful words like “concern” and “nervous.”
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Sludge is pumped into a settling pond at Fort McMurray, Alta. Oil sands projects are drawing attention because of growing CO2 emissions.
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To Mr. Mansell, the answer is clear, though it sounds like an oxymoron: A green oil sands — a future that marries what he calls the 3 Es, energy, environment and economy, using technology to increase recovery, reduce emissions and capture carbon dioxide.
But the key, he insists, is the government taking charge, making hard and clear rules, instead of waiting and hoping industry will make the full push.
“If governments aren't going to lead, it won't happen,” Mr. Mansell says. “We're a nation that's never achieved our potential. We've done okay but we've never reached the next level.”
It's the lack of precise policies that discourages improvement and innovation, he said. “You have to have the market working for you. It needs the right signals, the right incentives. . . . It's like a mission to the moon. If we point people in the right direction, we'll come out with wonderful things.”
Mr. Mansell, an economist like Mr. Harper, who remains a good friend, said the Prime Minister has always believed the environment is a major priority even if wasn't among his top five coming into office a year ago. But that situation is now changed dramatically with Mr. Harper establishing a special cabinet committee devoted to the problem alongside his remade cabinet.
Facing a reinvigorated Liberal Party and Canadians' focus on the environment, the Conservatives are in a hurry to get green. It is a race companies in the oil sands have been running for years, some of them for decades. While the Conservatives appear ready for a sprint — Mr. Baird declared Thursday that “This year, I'm going to clean up the environment” — this race is clearly a marathon, a difficult and challenging slog, where the costs begin in the hundreds of millions of dollars and many of the solutions are unproven.
“Cleaning up the environment is not a one-year fix,” said Marcel Coutu, chief executive officer of Canadian Oil Sands Trust, the largest owner of Syncrude Canada Ltd., the country's biggest oil sands producer. “We've already been doing it 28 years, I have to tell this guy [Mr. Baird]. The government can't be so scared of not getting elected that it makes rash decisions.”
Syncrude has spent several hundred million dollars to prevent emissions of sulphur dioxide, which causes acid rain but isn't a greenhouse gas, as part of a new expansion. The effort reduced SO{-2} output by 16 per cent as oil production increased 40 per cent. Mr. Coutu said Syncrude is building another reduction unit for about $800-million to further slash sulphur dioxide by about half.
“The motivation is really to demonstrate to the Alberta regulators that we have a sustainable business,” Mr. Coutu said. “We try to volunteer efforts before they're dictated to us.”
In terms of CO{-2} emissions, the chief global warming culprit, Syncrude's record is uneven. Its emissions per barrel haven't fallen in recent years and more oil production means emissions will surge.
The emissions are the result of the massive amounts of energy required to power oil sands operations, to dig up and process raw bitumen into synthetic oil. Other oil sands miners, such as Suncor Energy Inc., have cut emissions per barrel, but like Syncrude, Suncor is expanding rapidly. Production in the oil sands in general could reach more than three million barrels a day, up from about one million currently, meaning that per-barrel improvements are swamped by several more million barrels of output.
Mr. Coutu said people and government have to remember the importance of the oil sands and Syncrude, noting that the producer's output is the equivalent of 20 per cent of Canada's gasoline supply.
“That's a big, big number. I don't think the country wants us to stop being a leading oil producer.”
The first big step to attack emissions in the oil sands is capturing carbon dioxide emissions, according to Clive Mather, CEO of Shell Canada Ltd. He, like others such as Mr. Mansell, envisages “an Alberta showcase to the world,” where oil sands emissions are captured, then moved by pipeline to old oil fields around Edmonton, where the gas would be injected to increase oil recovery while the carbon would be effectively permanently stored.
Progress, however, is slow, and the Alberta and federal governments have not yet shown themselves willing to make real commitments. The challenges of cost and technology are considerable hurdles.
“It's very big dollars — these are big projects — you can't click your finger and make it happen,” Mr. Mather said. “We'll do it as quickly as practically possible but I wouldn't put a specific time frame on it.”
In between the big leaps are many small steps. Shell, in partnership with federal government scientists, has developed new technology to use less energy to remove sand and other debris from oil sands during processing. Shell plans to use it as part of a major expansion and would cut about 1 per cent a year from its current greenhouse gas emissions.
Mr. Mather said he welcomes new government rules as part of a revamped Clear Air Act expected in the next month or so.
“With the right framework, I'm confident that we can make a real difference, and quite quickly.”
Like capturing carbon, the big gains in the oil sands to contain emissions have to come from next-generation technology, according to Mr. Mansell. Mining is currently the predominant extraction method but 90 per cent of the oil sands can only be recovered through so-called in situ methods, generally by drilling wells and injecting steam to force the viscous bitumen to the surface. The method was developed in the 1980s at the University of Calgary, when research dollars to support such efforts were three times higher than today in real dollars, Mr. Mansell said, calling today's funding “totally inadequate, if you look at it in terms of the size of the challenge — and more importantly the huge opportunity.”
He worries that the boom in investment dollars right now might leave Canada with a framework of equipment in the oil sands that in two decades will be badly out of date. The potential for advances, he said, is staggering.
Mr. Mansell described “underground reactors” as the next step for the oil sands, where the materials injected into in-situ wells would do more than carry bitumen to the surface: they could partly process the oil underground, resulting in a higher-grade product. This could significantly cut both the amount of natural gas needed to power the process and the emissions kicked out into the atmosphere. By 2015, Mr. Mansell pictures technology that cuts energy use by half, emissions by three-quarters, all the while more than doubling the quality of oil brought to the surface.
On the ground south of Fort McMurray, EnCana Corp. is the leading developer of steam injection in wells to recover bitumen. Drew Zieglgansberger, in charge of oil sands drilling at EnCana, said the company constantly employs innovations, recently using subsurface pumps to pull more bitumen out of the ground using with the same amount of power. EnCana, like the University of Calgary and the industry, sees opportunity in combining steam injection with solvents such as butane or propane, cutting the energy use and emissions while increasing output.
“I don't see change slowing down,” Mr. Zieglgansberger said.
Throughout the oil sands, the potential answers are numerous. This year, Nexen Inc. and partner OPTI Canada Inc. start in-situ operations at Long Lake, which could break new ground on a large scale with OPTI technology that slashes the need for natural gas, and in turn, the output of emissions.
But everyone — CEOs to environmentalists — insists the threads of change must be stitched together by governments' lead. Eric Lloyd, president of Petroleum Technology Alliance Canada, said that without change, Canada will “screw up” the land, air and water, but he has hope, too: “What we've had so far is mostly unplanned growth. The potential is there for it to turn out right, but I haven't seen any serious policy.”




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PM to unveil wind, solar power plan

$300M budgeted for energy subsidies
January 19, 2007 Peter Gorrieenvironment writer
The federal Conservative government is to announce today a subsidy for electricity generated by wind, solar and other forms of renewable energy.
The aid – called the EcoEnergy Renewable Power Initiative – will amount to less than a similar Liberal plan the Conservatives scrapped nearly a year ago, the Toronto Star has learned.
On Sunday, sources say, the federal government will unveil a revised version of the program that paid part of the cost when homeowners make their house more energy efficient.
Today's announcement on renewable energy is to be made in British Columbia by Prime Minister Stephen Harper and Natural Resources Minister Gary Lunn.
The program will pay 1 cent per kilowatt-hour for electricity from large-scale renewable sources. A kilowatt-hour is enough to run ten 100-watt light bulbs for an hour.
The subsidy will be available for generation that goes into operation during the next four years.
The government is budgeting $300 million for that period – enough to support projects with a total generating capacity of 4,000 megawatts.
However, once projects are approved, they'll continue to receive aid for 10 years. So the total cost is estimated at $1.5 billion.
Less than 1 per cent of Canada's electricity supply now comes from renewable energy. Once the 4,000 megawatts of new capacity is up and running, that will increase to about 5 per cent.
In its 2005 budget, the then-Liberal government launched two similar programs – one for wind power and the other for the remaining renewable sources.
Combined, they offered roughly the same initial amount of $300 million. But it was to cover up to 5,500 megawatts in capacity over five years.
In that plan, the total cost would have been $1.8 billion – or $300 million more than the Conservatives' commitment.
A source familiar with the new program said yesterday it's essentially the same as what the Liberals offered, but the delay has set back the project by months and caused uncertainty in the industry.
Sunday's announcement at the National Home Show in Toronto, will revive and tinker with the Liberals' EnerGuide for Houses program, which required an audit before and after energy-saving retrofits were done. Ottawa paid about half the cost of the audits as well as a portion of the retrofit cost.
Lunn will announce that the audit will no longer be subsidized, but coverage of the retrofit cost will be increased.


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Ottawa unveils plan for energy rebates
Minister announces $300-million to be used to retrofit homes, buildings
LISA PRIEST



From Monday's Globe and Mail
Canadian homeowners could receive rebates as high as $5,000 under a federal plan to make homes and businesses more energy efficient.
But there's one catch: they will have to fund their own audits at an estimated cost of $200 to $300.
That's in stark contrast to the previous Liberal plan and, according to New Democrat MP Olivia Chow, is one more reason why seniors and those on a low-income are "left out in the cold" of the ecoEnergy Efficiency Initiative announced yesterday by Natural Resources Minister Gary Lunn.
"They need a complete retrofit of their thinking," Ms. Chow said yesterday of the Conservative government. "At this rate, we'll never meet the Kyoto targets."


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An enthusiastic Mr. Lunn used the backdrop of the Metro Home Show in Toronto yesterday to announce plans to invest $300-million over four years, of which $220-million will be used to offer homeowners and smaller businesses information and support to retrofit homes, buildings and industrial processes.
Another $60-million will encourage the construction and retrofit of more energy-efficient buildings and houses, while the remaining $20-million is to accelerate energy-saving investments and the exchange of information on how best to achieve energy efficiency within Canada's industrial sector.
It was one of two green-flavoured announcements by the Tories yesterday. Environment Minister John Baird was in Vancouver to unveil plans to contribute $30-million toward a fund to help protect British Columbia's Great Bear Rainforest.
Mr. Lunn told reporters the previous Liberal program spent about 50 cents of every dollar on audits and administration. An audit is a form of inspection, where an expert makes suggestions on how to make a home more energy efficient.
"Less than 50 cents actually went to doing audits and administration," Mr. Lunn told reporters yesterday. "Even worse than that, of those people who had audits done that were subsidized by the [previous Liberal] government, only 30 per cent of those people actually went on to do retrofits."
Put another way, 70 per cent of homeowners who had government-funded audits did not make suggested energy efficient adjustments to their homes.
"We're focused on delivering results," said Mr. Lunn. "Over 90 cents of every dollar will go directly to doing retrofits on a home to achieve real results and energy efficiency."
Some of the more common retrofits include the installation of a programmable thermostat that turns down the air conditioning when the homeowner is at work, tucking more insulation behind walls and installing more efficient doors and windows.
In May, 2006, the Conservatives killed the EnerGuide program, a $500-million, five-year initiative introduced with all-party support in November, 2005. The program's goal was to help low-income households cope with high energy costs and cut greenhouse gas emissions.
Since taking office last year, the Conservatives have frozen or axed more than a dozen climate-change programs, promising a review of whether they were cost-effective and achieving results. This prompted opposition critics to accuse the Tories of waiting one year to recycle an initiative started under the former Liberal government in 2005.
On CTV's Question Period yesterday, Liberal MP David McGuinty said he has no problem with the government's announcement but that it's "one year too late."
The government's plan, Mr. McGuinty said, has no cohesion, with ministers "jumping from ice floe to ice floe" to make announcements.
Last week, Mr. Lunn promised Ottawa would spend $230-million over four years for research into clean energy.
Also yesterday, Julia Langer, director of international conservation for WWF Canada, said she's concerned about the climate crisis.
"We need one or two million homes retrofitted," Ms. Langer told reporters yesterday. "And we have to be putting our sites on that level of greenhouse gas reduction and efficiency improvement."
With a report from Simon Tuck




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Ottawa vows $30-million to protect Great Bear
Environmentalists and native leaders hail long-awaited money for forest, jobs
ROD MICKLEBURGH



VANCOUVER -- If you wait long enough, people may really pay attention when you do something.
That certainly seemed to be the case yesterday, as environmental groups and native leaders heaped praise on the federal Conservatives for promising to cough up $30-million toward a unique, ambitious fund to create employment as well as protect the hallowed Great Bear Rainforest.
They had been waiting nearly a year for the federal commitment, after private environmental foundations raised an astonishing $60-million and British Columbia pledged $30-million of its own for the fund.
The long-anticipated program was contingent on a matching $30-million grant from Ottawa.

"The hardest part of this project was for us to say yes," federal Environment Minister John Baird confessed, making his fourth appearance in the province since assuming his cabinet post a little more than two weeks ago.
But after being pressed by environmentalists on the issue during an earlier meeting, Mr. Baird said he became concerned some of the private money might disappear if more time elapsed. "There was a chance we could lose some of it. We didn't want to see that happen," he said.
Groups that had long been lobbying for the federal money were told only within the past few days that a promise was finally forthcoming.
The announcement, in a room packed with native leaders and rain forest activists, was the latest in a flurry of green policies pledged by the minority Conservative government since Mr. Baird took over his post from beleaguered predecessor Rona Ambrose.
"People want to see a commitment to the environment from the new government, and this is a clear example that in two short weeks we are coming to the table and we want to be part of this exciting initiative," Mr. Baird said.
The Great Bear Rainforest, home of a rare, white species of black bear known as the spirit bear, covers a vast area of lush, mostly unlogged vegetation along the province's north and central coasts.
Considered the largest intact temperate rain forest in the world, the area was the target of a lengthy, emotional battle by conservationists and local native groups to protect it from logging and other resource development. The struggle drew worldwide attention, leading to a marketplace boycott of B.C.-cut lumber in some quarters.
A year ago, the formerly fractious parties agreed to a plan that will protect more than 1.8 million hectares from logging, an area three times the size of Prince Edward Island. A $120-million fund, known as the Conservation Investments and Incentives Initiatives, was to be established to provide jobs and economic opportunities for the region's many native communities.
What sets the fund apart is the $60-million commitment from private eco-friendly foundations, an unprecedented non-governmental contribution that proponents are hailing as a model for resolving environmental conflicts around the world. The private money will support conservation management and stewardship jobs for resident natives, while government funds will be invested in ecologically sustainable businesses.
"We believed there was a business case to be made. We couldn't separate conservation from the people who live there," said Merran Smith of ForestEthics. "We are generating money by protecting forests."
She said the fund is the largest, integrated conservation investment in the history of North America. "We thank the government for entering into this unknown territory."
Ms. Smith couldn't resist a further political pitch, calling for the Conservatives to show leadership "and take bold action on climate change, endangered species and protecting the boreal forest."
Art Sterritt, executive director of the Coastal First Nations, said the money will allow natives to help preserve the rain forest "as equal partners, not as beggars, not as paupers.
"This is a new way of doing things, a recognition that you have to have a sustainable economy, as well as a sustainable environment," Mr. Sterritt said.
Not everyone was impressed.
While supporting the decision, Liberal MP Stephen Owen charged that it was simply part of a Tory "charade . . . of rehashing Liberal programs they once denounced.
Their "newfound enthusiasm doesn't mask the fact that [Prime Minister Stephen Harper] didn't move an inch on this project until the polls got to him," Mr. Owen said.
Ian McAllister of the Raincoast Conservation Society noted that money for the fund has now been announced three times.
"It's an old pot of money that's been celebrated a number of times before. Meanwhile, nothing is changing on the ground," he said.




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Harper recycles Liberal environment policies: Dion
Last Updated: Monday, January 22, 2007 5:44 PM ET
CBC News



Stéphane Dion says the Conservative government is trying to fool Canadians with a new green plan that amounts to nothing more than recycled Liberal policies.
The Liberal leader made the comments while touring Quebec City Monday, in a visit designed to bolster the party's dismal standing in the Vieille Capitale.
The Conservatives' new green platform is suspiciously similar to Liberal policies the current government cut when it took office in 2006, Dion said. The new home energy efficiency program is a case in point, he said.
"They are only nullifying their cuts and they are bringing back the Liberal programs. Everybody knows that."
Canadians won't be tricked by dyed-in-the-wool policies, Dion predicted. "What he is doing is trying to fool the Canadian people, and they will not be fooled by him."
He also reproached Harper's government for stalling Canadian efforts to reduce greenhouse gas emissions (GHGs)


In no rush to go to polls: Dion
Dion said he expects a federal election in the next year, but has no intention to rush into a hasty vote. But he won't support the next Conservative budget if it runs contrary to the country's best interests, he said.
The Liberals will manage to win back Quebecers' support by staying focused on sustainable economic development, Dion predicted.
The former federal environment minister will remain in Quebec City until Wednesday for his party's caucus meeting, which will be held over two days.
Dion also paid a visit to his alma mater, Collège Saint-Charles Garnier, a private school he attended between 1967 and 1972.




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Environmental Protection Agenda
11 December 2006



New Chemicals Management Plan makes Canada a world leader
Last week, Canada’s New Government unveiled the Chemicals Management Plan (CMP), a plan that takes immediate action to regulate chemicals that are potentially harmful to human health or the environment.
The CMP makes Canada a world leader in the testing and regulation of chemicals that are used in thousands of industrial and consumer products. The Plan includes realistic and enforceable measures that will improve our environment and protect the health and safety of Canadians.
The CMP has received approval from key stakeholders:
“(The Chemicals Management Plan) will mean less carcinogenic substance in consumer products around our homes. It will mean that there will be measurably reduced levels of pollution in the Canadian environment.” – Rick Smith, Environmental Defence
“Today’s announcement of Canada’s New Government’s aggressive plan to safely manage substances potentially harming Canadians is a welcome step in the right direction.” – Canadian Alliance on Mental Illness & Mental Health
“On both the short term and long term, (the proposals in the CMP) are the appropriate steps required to protect the health of Canadians and our environment.” - Canadian Diabetes Association
Since taking office, Canada’s New Government has been taking practical, realistic and achievable action on the environment, including:
Introducing Canada’s first-ever Clean Air Act, a comprehensive plan that tackles both greenhouse gas emissions and air pollution;
Providing a transit pass tax credit to encourage transit use;
Cracking down on the release of mercury into the environment;
Exempting donations of ecologically-sensitive land from Capital Gains Tax; and
Increasing the average renewable fuel content in gasoline and diesel fuels to 5% by 2010.
Canada’s New Government promised to replace Liberal environmental talk with Conservative environmental action and that is what we have done.




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Harper gov't to ban and restrict toxic chemicals
Updated Fri. Dec. 8 2006 10:58 PM ET
CTV.ca News Staff



Prime Minister Stephen Harper has announced a "substantial investment in public funds" to clean up dangerous chemicals in the environment.
The government has pledged $300 million towards assessing 200 potentially harmful substances on the market, and regulate the most toxic within the next few years.
"I am proud to say we will become a world leader because of today's announcement," Harper said Friday.
The list of chemicals includes some already proven harmful to animals and suspected to be potentially harmful to human health.
Harper made his announcement at the Ottawa General Hospital, after touring the facility's new "Breathing Space House" -- a prototype home for people with environmental sensitivities.
Environmentalist groups were largely positive about Harper's plan, in a notably different reaction from when the government outlined its troubled Clean Air Act.
"We were very pleased with the announcement," Aaron Freeman, an activist and lawyer with Environmental Defence, told CTV's Mike Duffy Live.
"We think it's a very important step in dealing with some of the most substances that are in our environment, and that pose a threat to the environment and our own health."
Opposition MPs also welcomed the proposal, including NDP member Peggy Nash.
"Do I think it's good to restrict potentially cancer-causing chemicals? Of course I do," she said.
But Nash added that the government has cut money to Health Canada for the enforcement of health regulations for a variety of products.
"If there's going to be a greater responsibility for enforcement for our health, we'd better back it up with the money to go with it," she said.
Environment Minister Rona Ambrose said the new chemicals management program would provide Canadians with information about the chemicals in the products they choose.
A list of more suspect chemicals will be released in groups of 15 to 30, every two to three months.
Industry and stakeholders will be required, within six months, to provide information to the government about the chemicals.
"If we're not satisfied, industry will be required to take action," Ambrose said. "In some instances, we may require industry to provide alternate materials."
Ambrose released the name of the first chemical to be placed on the list: hexafluorobutadiene.
Health Minister Tony Clement said chemicals not yet approved for the Canadian marketplace will be included in another list.
The announcement follows a seven-year effort under the Canadian Environmental Protection Act to identify dangerous substances among the 23,000 chemicals available in Canada.
Ambrose explained that since 1994, new chemicals have not been manufactured in Canada or imported here without undergoing a scientific risk evaluation.
Now that same assessment will be applied to chemicals introduced to Canada between January 1, 1984, and December 31, 1986.
New website launched
The government also launched a Chemical Substance website with the announcement, which details how the assessments will work, provides links to fact sheets on chemical impact on human health, and government resources and processes for managing chemical assessments.
The website provides a list of chemicals not banned but regulated, and of "interest to Canadians" because of the risks associated with them. Some, such as carboxylic acids (PFCAs), which are used in non-stick coatings on pots and pans, and phthalates, which are used in cosmetic perfumes, are still being studied for their effect on human health.
Those chemicals include:
2-Butoxyethanol (2-BE), also known as ethylene glycol monobutyl ether. It is used in paints, cleaning products and solvents, along with some industrial applications. A risk assessment concluded that chronic exposure could alter blood in ways associated with hemolytic anemia.
2-Methoxyethanol (2-ME), also known as ethylene glycol monomethyl ether. Used to be used for a number of things including de-icing airplanes, but the only current application listed is in a cleaning solvent for white boards. Has toxic effects such as malformation in the developing fetus, and adverse effects on male reproduction, blood and the immune and nervous systems
Bisphenol A, used in manufacturing plastic consumer products, including certain water bottles, in dental sealants for children's teeth, and in resins used to line tin cans. It's being studied for its potential to disrupt endocrine function.
Lead, a heavy metal found in air, soil, household dust, food, drinking water (many older pipes are soldered with lead) and consumer products such as pre-1960 paint. Can impact intellectual and behavioural development of children. Exposure to very low levels can be harmful and exposure to high levels can be fatal.
Perfluorooctane sulfonate or perfluorooctanyl sulfonate (PFOS), used prior to 2002 in water, oil, soil and grease repellents, for paper and packaging, rugs and carpets, fabrics, and in fire-fighting foams. Scientists don't believe exposure risk is high enough to have an impact on health.
Phthalates, found in medical devices such as blood bags and intravenous tubing, vinyl flooring and some plastics, and in non-petroleum-based lubricating oils in perfumes in cosmetics. Has caused changes to the liver, kidneys, reproductive systems, and birth defects in animal testing but not enough is yet known about the impact on humans.
Polybrominated Diphenyl Ethers (PBDEs), used as flame retardants on cushions, carpet backings, automotive/aircraft seating and interiors, upholstery fabrics and electrical insulation and the cases on computers and televisions. Animal testing indicate effects on behavioural development, nervous system development, and on the liver and thyroid, but there is no clear evidence of impact on humans.
Polychlorinated Biphenyls (PCBs), best known for use as lubricants in transformers, but also widely used for years in sealing and caulking compounds, cutting oils, inks and paint additives. Testing has produced concerns about it being a carcinogen.




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Some politicians to get blood tested for toxins
Updated Wed. Jul. 19 2006 11:45 PM ET
Canadian Press



TORONTO -- New Democrat Leader Jack Layton is slated to become the first of several prominent politicians to have their blood tested for chemical contaminants when he provides a sample on Thursday.
The testing is part of an environmental group's campaign to highlight Canadians' exposure to toxins -- especially when it comes to children.
"Canada is one of the worst polluting industrialized nations in the world,'' said Rick Smith, executive director of Environmental Defence.
"We're at a critical point.''
With Parliament currently reviewing the country's pollution laws, Smith said it's vital that political leaders are engaged in the process and show leadership on the issue.
Environment Minister Rona Ambrose, Health Minister Tony Clement and Liberal health critic John Godfrey will also give blood, while Bloc Quebecois Leader Gilles Duceppe has not responded to a request by the Environmental Defence to be tested.
The samples of blood will be tested by an independent laboratory for 102 compounds that fall into seven broad categories, ranging from pesticides like DDT and heavy metals such as mercury, to various air pollutants and flame retardants.
The results should provide a snapshot of Canadians' exposure to harmful chemicals, many found in ordinary products, which can cause cancer or other serious health issues.
Layton could not be reached Wednesday, but said in a statement that all Canadians need to understand the health hazards of pollution.
"We know that even the youngest children have these contaminants threatening their health,'' Layton said.
"It's time the federal government got serious about reducing emissions and controlling pesticide use.''
Environmental Defence issued the challenge to the politicians last month after releasing a study that found the bodies of seven children were contaminated with a range of toxic chemicals, among them PCBs and flame retardants.
The children, and six adults, were from five families in Vancouver, Toronto, Sarnia, Montreal and Quispamsis, N.B.
The study found an average of 23 known or suspected toxins -- including carcinogens, hormone disrupters and neurotoxins -- in the children.
The adults were contaminated by 32 chemicals, and had higher concentrations of some products no longer in use, such as DDT and PCBs.
In response, Health Canada promised a national study in which 5,000 people will be monitored for toxic contamination over a two-year period, starting next year.
Neither Clement nor Ambrose was available Wednesday, but a spokesman for the environment minister said she would likely be tested within a couple of weeks.
"Our government firmly believes that health and the environment are closely linked,'' said Ryan Sparrow.
"That's why we're taking steps to reduce pollution and that's why both ministers are taking the steps and these tests in order to highlight the problem.''
Smith said he hoped that testing the politicians would "put a face'' on the problem and drive home the scope of the issue.
There is no doubt toxins will be uncovered in the politicians, he said.
"The only question is how much and at what levels.




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Conservatives to announce $200-million biofuels plan

Dennis Bueckert, Canadian PressPublished: Wednesday, December 20, 2006
OTTAWA (CP) - The federal Conservative government is set to reveal another part of its clean-air strategy Wednesday with a $200-million plan to promote biofuels such as ethanol and biodiesel, industry sources say.
Environment Minister Rona Ambrose and Agriculture Minister Chuck Strahl are to announce the plan in Saskatoon, as the Conservatives seeks to upgrade their environmental credentials and prepare for the next election.
Barb Isman, president of the Canola Council of Canada, expects the government to put forward regulations requiring five per cent renewable content in Canadian gasoline and diesel fuel by 2010, as promised in the Conservative election platform.
She said the package will include a $200-million program under which farmers can obtain part ownership in biodiesel plants expected to sprout in coming years.
Isman expects the regulations to state that two per cent of fuels be biodiesel, for which canola can be a prime ingredient.
She said the measures are welcome but will not be sufficient to kickstart the renewables industry unless there are tax changes in the next federal budget to make Canadian farmers competitive with those in the United States and Europe.
"This part of the announcement without the next part does not get an industry made. This is a case of putting all of the pieces together. It would be a strange thing to announce the icing on the cake but no cake."
Kory Teneycke, executive director of the Canadian Renewable Fuels Association, expects the announcement to leave the door open for a the gamut of renewable fuels, including those still in development.
"Companies like Du Pont are spending a tonne of time and money on biofuels. This will certainly encourage companies like that to spend more money in Canada."
Teneycke stressed the importance of tax changes: "Unless there are changes in federal policy you're not going to see development of the biofuels industry in Canada."
But some experts remain skeptical about biofuels, saying the environmental claims are exaggerated.
"The best-case scenario in the world on biofuels is around two per cent, three per cent of global liquid fuels," said Darrin Qualman, director of research at the National Farmers Union.
"It's damn near irrelevant."
"It allows a civilization that is starting to have real fears about its future either in terms of energy availability and price on the one side or climate change on the other, to pretend for a least a while that they've got a solution. It's little more than a distraction."


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Provinces on board with Tory ethanol initiative
Updated Tue. May. 23 2006 11:30 PM ET
CTV.ca News Staff



The provinces and the federal government have joined forces to boost the amount of ethanol in Canadian gasoline -- a promise made by the Tories during the federal election.
Federal Environment Minister Rona Ambrose said the provinces showed a "successful will to move forward" to make sure that by 2010 all gasoline maintains a five per cent renewable fuel standard.
Some experts say ethanol fuel, which is largely derived from corn and agricultural crops, can help reduce greenhouse gas emissions.
Federal Agriculture Minister Chuck Strahl and Natural Resource Minister Gary Lunn joined Ambrose to discuss the plan with provincial ministers in Regina.
"It's a big step forward in terms of greenhouse gas reduction," Kory Teneycke, president of the Canadian Renewable Fuels Association, told CTV Newsnet's Mike Duffy Live on Tuesday.
"With oil at over $75-a-barrel recently this is something that is an economics case and an environmental case."
But Liberal natural resources critic Roy Cullen told Mike Duffy Live that the initiative was not good enough.
"It really does nothing in terms of our greenhouse gas efficiencies because it takes so much natural gas to process these products into ethanol," Cullen said.
While there was no tangible progress made Tuesday, Ambrose said a framework would be worked out over the summer.
She did not answer questions on Canada's failure to reach its Kyoto accord goals.
A report in The Globe and Mail Tuesday said the ethanol initiative is an effort to deflect negative criticism from the Kyoto failures.
Environmental groups around the world continue to criticize Prime Minister Stephen Harper's government for announcing it could not meet the goals under the Kyoto accord set by the previous Liberals.
Canada's commitment to Kyoto is wavering as a leaked internal report says Tories do not support deeper emission-reduction targets for the agreement in the future, the Globe reported.
"What we've seen today is a recycling of a Liberal plan by a government that is trashing all of the other plans," John Bennett, of the Sierra Club of Canada told Mike Duffy Live.
"They just wanted to get our attention from the damage they're doing."
The Conservatives eventually hope to create an incentive program to increase production of ethanol, but first want to harmonize the varying provincial programs.
Meanwhile, Quebec Premier Jean Charest is under pressure to end the honeymoon with Harper because of the federal government's position on Kyoto.
Parti Quebecois Leader Andre Boisclair says Charest should prepare a plan for Quebec to meet the conditions of the agreement.




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Emissions issue casts pall over auto industry
Updated Wed. Oct. 4 2006 11:13 PM ET
Canadian Press



TORONTO -- Carmakers are being "picked on'' as the federal government plays politics with environmental policy, a leading auto-sector analyst said after industry executives were told in Ottawa that new exhaust-pollution rules are coming down the pipe.
And industry players said Wednesday the cloud of uncertainty emanating from the capital jeopardizes billions of dollars of investment in Canada.
Tuesday evening's meeting with Environment Minister Rona Ambrose, Finance Minister Jim Flaherty and other officials provided no specifics on the rules the Conservative government intends to develop, said Canadian Auto Workers union president Buzz Hargrove, who attended the session.
Those rules would take effect after the expiry in 2010 of an accord under which new cars sold in Canada essentially meet U.S. federal pollution regulations.
Hargrove said consultation was promised, and he discounted reports that the ministers aim to adopt the stringent pollution standards in force in the state of California.
But the anxiety about 2011 -- in an industry where new products typically take half a decade or more to develop -- is already damaging, he said.
Carmakers have vehicles as far in the future as 2013 "not only on the drawing board but in the clay shop, in the design shops,'' Hargrove said.
"They're putting millions and millions of dollars into these new product lines, and the uncertainty of what the restrictions are going to be will throw all this up in the air in terms of investment in Canada.''
Dennis DesRosiers, Canada's best-known auto industry analyst, said the Conservatives are politicizing the tailpipe emissions issue for their own benefit.
"There are two things that the government is desperately trying to avoid,'' DesRosiers commented.
"First, to avoid at all costs telling Big Oil that they have a role to play. Second, to avoid having to tell consumers that they have a role to play. It is the auto sector that is being picked on.''
Environment Minister Ambrose has said she also intends to impose new regulations in the oil and gas industry _ again with no details.
In the meantime, without a national fuel standard "we have dirty gas,'' DesRosiers wrote.
Providing cleaner-burning fuel "would mean Big Oil would have to invest billions,'' he added, "and we know whose money is behind the current government.''
Specific proposals for new rules on vehicles and fuels will come in the near future but "would be speculation at this time,'' a spokeswoman for the environment minister, Shannon Haggarty, said Wednesday.
"But what the minister and the government have said is that this plan will be national in scope and looking to all industry that has a role to play in the solutions for the environment.''
On a deeper level, "someone has to deliver a message to consumers that consumers fundamentally do not want to hear,'' analyst DesRosiers asserted.
"The message to be more attentive to the environment with their vehicle ownership, usage or purchasing habits. That may mean owning fewer vehicles, getting rid of an old polluter, buying a more efficient vehicle, driving less... or a dozen other things that put more of the onus on consumers,'' he said.
"But no politician wants to deliver this message. They want someone else to do their dirty work.''
Meeting tougher emission standards would likely require massive investments by carmakers and gasoline refiners, probably pushing up prices for consumers and perhaps leaving Canada out of synch with the United States _ to which four-fifths of the cars built in Canada are exported.
Shell Canada (TSX:SHC), Suncor Energy (TSX:SU) and other refiners invested hundreds of millions of dollars to reduce sulphur in diesel fuel and meet federal regulations that took effect this summer.
Meanwhile, automakers have spent heavily for decades on pollution-control technology which has cut per-vehicle emissions of various noxious compounds by between 80 and 99 per cent since the 1960s.
For analyst DesRosiers, moving to regulate the auto industry into higher standards is a huge step backwards.
"What is threatened is future investments in Canada across the entire auto sector _ manufacturing, distribution and retail,'' he wrote.
"In manufacturing alone we have to invest $4 billion a year to keep up with the global auto sector.''




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Clean Air Act receives rocky reception from MPs
Updated Fri. Oct. 20 2006 10:30 AM ET
CTV.ca News Staff



The Conservatives' proposed Clean Air Act received a rocky reception from opposition MPs and environmentalists, who were quick to dismiss the bill as a "hot air plan."
The minority government released the centrepiece of it "made-in Canada" environmental agenda on Thursday, a Clean Air Act that aims to cut greenhouse gas emissions in half by 2050.
The legislation will give Ottawa "new and stronger powers to do the things we need to do to protect the health of Canadians and our environment," Environment Minister Rona Ambrose told a news conference.
"We will be the first federal government to introduce mandatory regulations on all industry sectors across Canada to reduce air pollution and greenhouse gases,'' Ambrose said.
Federal Health Minister Tony Clement lauded the bill, saying that smog leads to thousands of deaths each year.
"We're the first government to tie our environmental policy to health outcomes," Clement told CTV's Mike Duffy Live.
He dismissed the suggestion that the Clean Air Act was not an immediate response to environmental concerns. Asked when people in Toronto are going to be breathing better air, Clement said: "The short answer is 'even today.'
"Because of the action this government has taken on transit passes making it easier to acquire a transit pass with a tax break, that has meant 56,000 cars a day off the roads -- that helps Toronto," he said.
Regardless of whether the Clear Air Act passes and separate from the consultative process on automobiles, the Conservative government will use current legislation to attack air quality issues, Clement said.
Ambrose told reporters Thursday that the auto sector target, a 5.3 megaton reduction by 2010, "is the equivalent of taking another several hundred thousand cars off the road. These are very immediate reductions."
The government will also introduce regulations over the next year to slash emissions from motorcycles, outboard engines, all-terrain vehicles and off-road diesel engines.
But officials were unable to say what proportion of emissions come from those sources, or by how much they will be reduced.
On Friday, after the plan endured a day of tough criticism, Ambrose defended the legislation saying she had received some encouragement form former prime minister Brian Mulroney -- lauded as the 'greenest' prime minister by environmentalists.
"This is a key turning point," Ambrose told CTV's Canada AM. "I had the privilege of talking to Mr. Mulroney yesterday about this and he gave me a great boost by saying this is how people felt about the acid rain agreement, but it's a key turning point."
Ambrose also pointed out that the Canadian Medical Association commended the government's plan because it recognizes that "environmental outcomes have an impact on health outcomes."
Opposition swift to attack
All three opposition parties in the House of Commons have said they will vote against the bill, meaning it has no chance of passing into law in the current minority Parliament.
In Thursday's session of question period, interim Liberal Leader Bill Graham called the rhetoric on the party's environmental policies "hot air" without substance.
"Why is the government violating its responsibility to the environment, children, and the future of our planet?" he asked.
Harper's Parliamentary Secretary Jason Kenney responded by questioning the Liberal strategy on the environment.
"Every single Liberal leadership candidate who has proposed targets for greenhouse gas emissions had proposed that those targets will be met by 2050," Kenney said.
"The difference is this ... we are committing today, for the first time ever, to introduce meaningful, tough regulations to reduce greenhouse gas emissions by 65 per cent by 2050. We'll do far more than the Liberals ever did," he said.
Bloc Quebecois Leader Gilles Duceppe waded into the debate to say the Conservatives were soft on the environment.
"Will the prime minister admit that after nine months he gave birth to an empty shell; and in that time, greenhouse gas emissions continue to increase and will continue to increase until 2010?" Duceppe asked in French.
But Kenney stood firm on the party line, telling his parliamentarian peers that the Conservative government was the first to establish air-quality objectives.
"I will admit easily that this is the first government that has taken concrete action to reduce greenhouse gas emissions, to reduce pollutants, to table a bill, to improve the quality of our environment with real and strict regulations," he said.
NDP MP Libby Davies contested those assertions in question period, arguing that the Clean Air Act was nothing but lip service.
"Just like the Liberals, the Conservatives are going to make the air Canadians breathe a whole lot dirtier. Despite what the minister says, there are no caps on greenhouse gases, there are no targets for the industrial sector, and by the government's own admission, pollution will not go down, it will go up," she charged.
"Can the prime minister explain why he just gave his friends in big oil and big industry a 20-year pollution holiday?"
Kenney defended the plan, again asserting that the government, "for the first time" introduced meaningful regulations that give the government the power to restrict greenhouse gas emissions.
Activists voice concern
Environmentalists were quick to voice their opposition to the bill.
"There is really no news here,'' Green party Leader Elizabeth May told the Canadian Press. "Canada stands alone repudiating Kyoto.''
Aaron Freeman of Environmental Defence said the proposed Act was effectively abandoning the Kyoto Protocol and the target it set.
"If you can't meet the target, then you are not meeting the Kyoto (Protocol)," he said.
The Sierra Club blasted the vehicle emissions plan as too little too late.
"The proposed federal regulations presented today by the Harper government line up with the outdated and weak standards of the Bush Administration, not the stringent standards of the state of California,'' the group said in a news release.
Details on the Clean Air Act
The bill seeks to cut emissions from 2003 levels by 45 to 65 per cent by 2050.
In the meantime, the government will set so-called "intensity targets'' which would obligate industry to reduce the amount of energy used per unit of production, without implementing a set restriction on emissions.
Industrial polluters would have until at least 2010 before they would face regulations and the government is giving itself until 2020 to set national emissions-cutting targets for the pollutants that cause smog.
The proposed law makes no reference to the Kyoto Protocol although Canada remains a party to the treaty.
The government is moving forward with a three-phase consultation process on targets for large industrial emitters, which account for about half of Canada's greenhouse pollution.
Furthermore, the Clean Air Act will redefine a number of substances, which were previously labelled as toxic, as "air pollutants."
The government also intends to align Canadian regulations with the rules of the U.S. Environmental Protection Agency, while there will be new rules for the fuel efficiency of cars and trucks by 2010.
The Act is likely to be greeted by intense debate within the Commons environmental committee, which must study the Act before it can be approved.
Other highlights from the proposed Clean Air Act:
By 2011, produce new regulations for vehicle fuel consumption
By 2025, set federal targets for smog and ozone levels
Harmonize vehicle emissions standards with those of the United States over the next 12 months
Align regulations with those of the U.S. for volatile organic compound emissions
Work with provinces to create system for mandatory reporting of air emissions and avoid regulatory overlap
Introduce environmental damages fund that applies non-compliance fines directly to cleanup
With files from The Canadian Press




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Getting Canada on track: NDP's proposed amendments to the "Clean Air Act"
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Sun 19 Nov 2006 Printer friendly
Canadians want immediate action taken to reduce pollution so their families have cleaner air to breathe and so that Canada does its part in world-wide efforts against global warming.
The re-writing of the government’s ineffective and inadequate Bill C-30, the Clean Air Act by the special legislative committee provides a significant opportunity to get Canada on track to reduce pollution and to combat climate change.
With a new Bill, Parliament can ensure meaningful and immediate action is taken so Canadians can see improvements to the quality of the air they breathe in their lifetime as well as to protect the planet for their children and grandchildren.
The NDP is proposing a series of comprehensive changes to Bill C-30 that re-commits Canada to meet its Kyoto Protocol commitments in the short-term, and ensures a comprehensive plan to meet science-based and internationally recognized medium and long-term goals as well.
Leading-up to and throughout the special committee’s work, the NDP will continue to seek input and additional amendments from environmental experts and individual Canadians.


The NDP’s Proposed Amendments
Legislate through the new Act, rather than regulations, short-, medium- and long-term targets for absolute greenhouse gas reductions by requiring Canada to meet:
its Kyoto Protocol 2008-2012 target;
a science-based 2050 target of 80% below 1990 levels; and
interim targets at five year intervals between 2015 and 2050.
Legislate in the Act, rather than in the Notice of Intent, an earlier deadline for regulating the industrial sector. These regulations to be in place by 2008.
Legislate in the Act, rather than through regulations, a hard cap on greenhouse gas emissions from the industrial sector of at-least 45 megatonnes per year.
Legislate in the Act a requirement to develop mandatory standards for “criteria air contaminants” within one year of the new Act’s passage, along with a plan to meet these standards that include mandatory emission standards for large industrial facilities.
Legislate in the Act, a requirement for a vehicle fuel efficiency standard, in line with leading North American jurisdictions, to be published by 2008, to be in place for the 2011 model year in order that vehicle manufacturers have due notice in advance of the expiry of the voluntary Memorandum of Understanding. This would be accompanied by a new authority for the government to establish a just-transition fund for the automobile sector.
Legislate in the Act, a requirement for the government to establish a cap and trade carbon market system in Canada.
Eliminate key tax incentives to the oil and gas sector, in particular the accelerated capital cost allowance provided to oil sands development.
Protect the government’s authority to regulate air pollutants and greenhouse gases to ensure that it is not vulnerable to court challenges by industry.
Maintain effective provincial equivalency rule in the Canadian Environmental Protection Act.
Add new authority for the Environment Minister to designate “significant areas” under the Canadian Environmental Protection Act, thereby being able to designate “hot zones” such as the Great Lakes-St. Lawrence basin.
Legislate in the Act, a requirement that programs for implementing the legislative targets be reviewed for their adequacy annually.
Due to these fundamental changes, the new Act would be re-named the Healthy Air and Climate Act.
Additional Measures
The NDP will seek to have the government exercise its authority under the Energy Efficiency Act to establish a national advanced energy efficiency program for home retrofits.
To complement the improved motor vehicle measures, the NDP will seek timely implementation of measures contained in the NDP’s Green Car Industrial Strategy.
The NDP will seek to have the federal government immediately initiate incentives to foster non-polluting, green industry growth in Canada including green manufacturing, green energy and green technologies.




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Tories are sincerely green, PM argues
Poll says 6 out of 10 don't believe it
Peter O'Neil, The Vancouver Sun


Published: Saturday, January 20, 2007



Canadians are prepared to believe the Tory government truly cares about the environment even though Canada won't meet the previous government's Kyoto accord pledge to slash greenhouse gas emissions, Prime Minister Stephen Harper said yesterday after announcing a $1.5-billion initiative to fund alternative energy technology.
"Look, if there was a way of snapping our fingers and meeting Kyoto targets tomorrow, we would do it. But I think the public understands that this is not easy. It's going to take hard, sustained effort, and that's what we're doing," Mr. Harper said after his announcement in Victoria.
Mr. Harper's comments coincide with the release of a new poll to CanWest News Service that shows the Liberals and Conservatives in a dead heat -- at 35 per cent -- on the question of voting intentions.
Mr. Harper is disliked by more Canadians, but is ahead of Liberal leader Stephane Dion on the question of who would make a better prime minister, according to the Jan. 8-18 online poll by Innovative Research. However 55 per cent said they were open to voting Liberal.
Environmentalists and opposition critics have complained that Mr. Harper's string of announcements involve re-hashed former Liberal commitments that were either cancelled or delayed after Mr. Harper became prime minister a year ago.
But Innovative Research spokesman Greg Lyle said his polling shows that while a majority of Canadians want action on the environment, just under a third are convinced the best option is to adhere to strict Kyoto targets to sharply reduce emissions by 2012.
The polling also showed, however, that roughly six out of every 10 voters don't believe the Conservatives really care about the environment.
Mr. Lyle said the government is picking up momentum after the Jan. 4 cabinet shuffle that resulted in struggling Rona Ambrose being replaced by John Baird in the environment portfolio.
One of Mr. Baird's first moves was to fly out to Vancouver to promise that the federal government would help B.C. restore Vancouver's Stanley Park, which was devastated by a mid-December windstorm.
Mr. Baird, who earlier this week delivered a $2-million cheque for the Stanley Park cleanup, also met with environmentalists, including David Suzuki.
"Baird looked very good on Global TV standing out in Stanley Park in his anorak, talking about how important the trees are," Mr. Lyle said.
However, the pollster said it is unclear whether Mr. Harper and Mr. Baird can reverse the public impression that the Tories, who didn't mention climate change in their 2006 election platform, care about the issue.
The online national poll has an error margin of 1.7 percentage points, 19 times out of 20, according to Innovative Research, a polling firm based in Toronto and Vancouver.

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Conservatives unveil green-vehicle initiative

Updated Wed. Feb. 14 2007 10:44 AM ET

CTV.ca News Staff

The federal government is taking steps to make environmentally friendly cars more affordable -- the latest in a series of green initiatives recently announced by the Conservatives.

Transport Minister Lawrence Cannon and Environment Minister John Baird on Wednesday announced $36 million in funding to urge industry to make more environmentally friendly cars and to encourage people to buy them.

The investments were announced at the Toronto International Auto Show.

The new funding will include $21 million to encourage consumers to purchase environmentally friendly vehicles, and another $15 million to help industry produce them.

Minister Cannon, acting on behalf Natural Resources Minister Gary Lunn, said the $21 million will go towards the ecoENERGY for Personal Vehicles program. The initiative will provide fuel consumption information in the form of vehicle labels, guides and websites to encourage consumers to purchase fuel-efficient vehicles that are currently available in the market.

The $15 million will go to the ecoTechnology for Vehicles Program and will fund research into a range of advanced technologies such as hydrogen, advanced electric, hybrid and fuel cell vehicles - -and showcasing them at public events across Canada, Cannon said.

"Road vehicles are a major contributor to domestic air pollution and the largest single source of greenhouse gas emissions in Canada," Cannon said in a press release.

"The goal of the ecoTechnology for Vehicles Program is to test the effectiveness and safety of advanced environmental technologies for vehicles, share our results with Canadians and help them make informed decisions about the cars they buy."

The incentives would be necessary, industry officials say, if the auto industry is to achieve the voluntary 5.3 megatonne reduction target for greenhouse gas emissions from light duty vehicles by 2010.

New fuel consumption regulations will come into effect for the 2011 model year.

The announcement is one in a series of initiatives the Conservatives have revealed over the past month.

On Monday, the government announced a $1.5 billion fund to help the provinces pay for emissions reductions projects.

Canadian Auto Workers president Buzz Hargrove told the Toronto Star he would like to see government programs that would provide consumers with incentive to replace old, polluting vehicles with new, efficient ones.

"Twenty-one million dollars doesn't sound like a lot," Hargrove told the Star.

He said he proposed the creation of consumer incentives in a meeting last fall with Finance Minister Jim Flaherty.

"Jim Flaherty initially rejected it, but then he said that we're already doing that on houses, replacing doors and windows and encouraging consumers to do that by offering to pay some of the costs, so why wouldn't we do that on vehicles?"


*************

PM considering emission targets for industry

Updated Wed. Jan. 24 2007 11:05 PM ET

Canadian Press

OTTAWA -- Canada won't follow the Bush administration's lead in setting hard targets for reducing oil consumption, but will instead impose tougher emissions standards on the auto sector and other industries, says Prime Minister Stephen Harper.

However, any regulations intended to protect the environment won't come at the expense of the economy, Harper said Wednesday.

"The government does intend to regulate emissions across all sectors including the automobile sector,'' Harper said in an exclusive interview with The Canadian Press.

"(But) we have to consult the industry and ultimately come up with targets that make progress on the environment while being achievable for industry in a way that doesn't jeopardize Canadian jobs,'' Harper added.

"That's our target.''

Harper said he is considering imposing targets on industry to reduce greenhouse gas emissions and air pollution.

"We're looking at that,'' he said.

"We're in the process of target setting and we hope to do that in the weeks and months to come.''

But unlike U.S. President George W. Bush, cutting energy consumption won't be Canada's focus as it aims at becoming a world energy superpower, Harper said.

In his State of the Union Address this week, Bush said he wants to reduce oil consumption by 20 per cent in Middle East oil imports over 10 years. That would reduce American dependence on oil from the Middle East by 75 per cent.

Canada is now the leading exporter of energy to the United States when oil and gas are factored into the equation. The Bush administration has sought to increase oil imports from Canada, which is seen as a reliable and secure source of energy, since the Sept. 11 attacks.

Several of the Sept. 11 hijackers came from countries that supply the United States with oil.

"President Bush's speech . . . when he talked about these things was really talking about it in the context primarily of energy security and the United States shortage of energy and their dependence on foreign supplies of energy,'' Harper said perching forward as he sat in his sun-filled Parliament Hill office.

"That's not a problem here. Canada is an emerging world energy superpower. We have an abundance of all forms of energy. We're an exporter of virtually all forms of energy.''

"Our need and our desire to deal with these things and set targets is really in the context of environmental improvement and environmental preservation and less in terms of energy security.''

Harper appears to be heeding warnings from Ontario Premier Dalton McGuinty and Canadian Auto Workers President Buzz Hargrove.

McGuinty has warned the federal government not to solve its greenhouse gas emission problems on the backs of the industry that is the engine of the Ontario economy.

Hargrove has also cautioned Harper not to shackle an industry "already on its knees'' with more regulation.

The auto industry has been operating under a voluntary emission reduction plan that will end in 2010.

So far, Canada has either had a written voluntary agreement with the industry to meet emissions goals or an understanding that car manufacturers would follow American standards.

Environmentalists hope the Canadian auto industry will adopt California standards for greenhouse gas emissions that would require vehicles to reduce emissions by 30 per cent between 2009 and 2015.

"California is not an auto producer, so it's kind of theoretical for California to set auto production standards,'' Harper said.

"We have an actual auto industry.''

Conservative insiders have told CP that the ultimate objective is to bring Canada in line with North American-wide standards after 2010.

"They don't want Canada to become a dumping ground (for inefficient cars) in North America,'' a source familiar with the file recently told CP.

Sources have also said the government is considering a new tax break for consumers who buy hybrid cars, such as the Toyota Prius. Ontario and British Columbia have a similar program.



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Monday, January 22, 2007

Canada-China relations improving?


Canada-China Relations:


This Saturday I had the chance to campaign in Markham for Alex Yuan the John Tory Conservative candidate seeking election in the race to replace Tony Wong. Wong caused the election by resigning as MPP and going into regional politics. In Markham, the demographics are 40% Chinese. It presented an interesting opportunity to see how far the party has come after the head tax apology. While that move was seen as a positive gesture, many people I spoke with were concerned about the relationship between China and Canada under the new government. There was caution that embarrassing China on the world stage about human rights was not the best way of improving relations and creating opportunity in the growing market that is China. The preference among Chinese-Canadians was to talk about human rights in a diplomatic way and in private while at the same time promoting friendship and business partnership. On this most recent trip it looks like an effort has been made to improve relations with China. Recent events have demonstrated that China is a new superpower that cannot be ignored economically and the world is beginning to adjust to this new reality. Despite our desire for trade, we do have a moral obligation to continue to push for improved human rights and religious freedoms in China as we should in any country where it is an issue. This week China shot down a satellite to send a message to the United States and the world. They are demanding respect and are showing they will not be bullied. The Olympics in 2008 provides an opportunity for China to showcase themselves to the world. Hopefully they will continue to move in a positive direction and a reasonable pace. It is in Canada's interest to remain on good terms and encourage trade and investment with China.

Thanks for reading...


Darryl


***********************


Canadian banks too timid in China, Beijing tells Flaherty

Chinese officials call for more aggressive investment as minister returns from visit


STEVEN CHASE
With a file from Bloomberg News


OTTAWA -- China wants Canadian banks to abandon their timid approach to the Asian market of 1.3 billion consumers and instead step up investment there, federal Finance Minister Jim Flaherty said yesterday, passing on advice that he underlined should be heeded.
"One of the things I heard from officials in China is that our financial services sector -- particularly our banks -- have probably been too conservative, not aggressive enough, in the China market," Mr. Flaherty said during a conference call with reporters at the end of a week-long trip to Beijing and Shanghai.
He contrasted the banks' record in China with two big Canadian insurance companies, Manulife Financial Corp. and Sun Life Financial Inc., that have a relatively big presence in the populous Asian country.
"Our two insurance companies that are very active here -- namely Manulife and Sun Life -- have been fairly aggressive and have . . . quite substantial market participation," Mr. Flaherty said.

Although he was conveying the advice of Beijing officials, the Finance Minister suggested that he agreed with the comments.
"I think there may be something to be learned there, from the comments of the [Chinese] officials, that our banks perhaps ought to be more aggressive in this marketplace."
Mr. Flaherty's visit was chiefly to help rebuild ties after a recent quarrel between the Harper government and Beijing over human rights, one that has significantly chilled Sino-Canadian relations.
But the Finance Minister was also there to ensure the recent Ottawa-Beijing frostiness hadn't hurt prospects for Canadian financial institutions and insurance companies in China, where a relatively untapped financial services market of more than $1-trillion (U.S.) in banked personal savings is ripe for development.
Mr. Flaherty met with China's Finance Minister Jin Renqing, governor of the Bank of China Zhou Xiaochuan and top financial services regulators. He said China's call for more Canadian banking investment singled out initial public offerings of Chinese banks as a prime example.
"There have been some IPOs, as you know, of Chinese banks in the past year and they have been very successful. The comment was made to me that perhaps the Canadian banks should be less conservative in participating in some of those large IPOs," Mr. Flaherty said.
He noted that other foreign banks have made greater strides in China. "Certainly some banks from some other countries have been more aggressive here than Canadian banks have been."
Canadian banks, including Bank of Nova Scotia and Bank of Montreal, are expanding in China.
Scotiabank, Canada's third-largest lender by assets, and International Finance Corp. may be close to acquiring a 25-per-cent stake in China's Dalian City Commercial Bank for $321.1-million, Reuters reported last week.
Toronto-based Scotiabank has been in China for 25 years, starting with a representative office in Beijing. Last year, the bank said it became the first Canadian lender eligible to trade yuan-denominated stocks and bonds. The bank bought a minority stake in Xi'an City Commercial Bank with the IFC in 2004.
Bank of Montreal, the fourth-biggest bank in Canada, opened its first Beijing branch in 1996, and plans to open a corporate banking branch in Shanghai.
Mr. Flaherty's trip took place as China grants foreigners even more access to its banking and financial services markets, under a deal it struck when it joined the World Trade Organization five years ago.
China has been gradually opening its bank and financial services market to foreigners since 2001. It was supposed to enact the final set of liberalization moves on Dec. 11, 2006, but detailed rules on these last measures have yet to be published, Canadian banks say.


***********************



Feds work to revive relationship with China
GEOFFREY YORK
Globe and Mail Update


BEIJING — The federal Conservative government has vowed to revive its stalled relationship with China, promising new money and staff to reinforce Canada's trade offices in the world's most populous country.
The government is dispatching two senior cabinet ministers to Beijing this week, sending a new signal that it wants to halt the tensions that had plagued Canada-China relations over the past year.
“We have to step up our game on the ground in markets like China,” International Trade Minister David Emerson said in a speech to business leaders in Beijing today.
Canada's network of trade commissioners in China is “stretched very thin,” he said. He pledged that a new federal strategy will provide extra resources to boost the capacity of the Canadian trade commissioners in the Chinese market.
Related to this article

International Trade Minister David Emerson (Tom Hanson/CP)

“Our relationship with China is a strategic priority, and these initiatives will take us a long way toward realizing our true potential,” he said.
In recent years, Canada has fallen behind its foreign rivals in the battle for the fast-growing Chinese market, Mr. Emerson said. Australia's exports to China, for example, soared by 40 per cent in 2005, while Canada's exports to China edged up by only 2.3 per cent. And Canadian exports to China were probably “even worse” in 2006 than in the previous year, he said.
Investment between Canada and China is equally weak, with China receiving only 0.2 per cent of Canada's outward investment in 2005, he said. “Bottom line: we have work to do.”
Mr. Emerson said he is hoping to make progress this week on reviving negotiations with China on a pair of long-delayed agreements: a tourism agreement that could bring thousands of free-spending Chinese tourists to Canada, and a foreign investor protection agreement to ensure that Canadian investors are protected from financial abuses in China.
Mr. Emerson and Finance Minister Jim Flaherty are both visiting Beijing this week. They are the highest-ranking cabinet ministers to visit Beijing since the Conservative government took power last year.
While the Tories are trying to strengthen their economic relations with China, they are showing no signs of backing down on their concerns about China's human rights record. Mr. Emerson said he expects to raise human rights issues on Wednesday during a meeting with China's foreign minister.
In his speech today, Mr. Emerson insisted that Canada will continue to raise political issues in its relations with China, despite its desire for a stronger economic relationship. “Commerce doesn't grow in isolation,” he said.
“As Canadians, we do carry our values and perspectives beyond Canada, to the rest of the world. We talk candidly about democratic governance, about the importance of the rule of law…. As Canadians, we generally believe in market-based economic development, rules-based trade and the rights of individuals…. Open discussion and engagement in these broader issues should not conflict with commercial interests.”


*********************


Ministers woo Beijing investors

Flaherty, Emerson try to defuse statements from Ottawa about Chinese acquisitions


GEOFFREY YORK


BEIJING -- Two federal cabinet ministers are trying to reassure Chinese leaders that their money is still welcome in Canada, despite recent statements that seemed to discourage some of China's top companies from making acquisitions in Canada.
Finance Minister Jim Flaherty and International Trade Minister David Emerson are in high-level meetings in China this week, lobbying for Chinese investment and trying to clarify earlier comments that had raised concerns about certain types of acquisitions.
In a speech in Beijing to business leaders, Mr. Emerson said the amount of Chinese investment in Canada was still "weak." He noted that China provides only 0.3 per cent of foreign investment in Canada, and he called for an increase.
"We want Chinese partners," Mr. Emerson said. "We want Chinese investors. We want Chinese customers. We want strategic partnerships to help us build ever more powerful links between Asia and North America."

Mr. Flaherty said he will assure Chinese leaders that his government has no intention of limiting Chinese investment in Canada. "We look forward to investment in Canada," he told a press conference in Beijing. "We trade internationally, we're global traders, we're not a protectionist kind of economy."
Last fall, different signals were sent by the federal cabinet. Natural Resources Minister Gary Lunn said he would prefer Chinese investors to be minority partners when they participate in Canadian joint ventures. And in his latest economic plan, Mr. Flaherty said the government might block some investments by "large state-owned enterprises with non-commercial objectives" -- an apparent reference to China's state-owned energy corporations, which are interested in the Canadian oil sands.
This week, a similar proposal was made by Canada's former free-trade negotiator, Derek Burney, who said the government should have "the capacity to reject state-controlled entities from any country from indulging the openness of our market economy for acquisitions and takeovers."
Many politicians, including Conservative MPs, were alarmed by a Chinese takeover bid for Noranda Inc. in 2004. A state-controlled Chinese company, China Minmetals Corp., made a failed attempt to purchase the Canadian mining giant, sparking calls for a stronger mechanism to review takeovers that have "national security" implications.
In Beijing this week, Mr. Flaherty said he has already promised the Chinese ambassador in Canada that his proposal was not targeted at China, and he will repeat the reassurance in his meetings with Chinese cabinet ministers during his visit.
Mr. Emerson, for his part, said he gave similar assurances to Chinese ministers in his meetings in Beijing this week.
"I would say that the vast, vast majority of foreign investment -- and I include Chinese investment in that -- could be done in ways which are very much in the interests of Canadians," Mr. Emerson said in an interview.
"What we're saying is that in some cases -- and they would be a very small minority and it would not be targeted at any individual country -- there may be a need to review it. One example would be a large state-owned company that did not operate on a market set of principles, taking over a major strategic Canadian asset. Maybe that should be reviewed. But that would be a very unusual transaction."
The cabinet ministers said they are making progress on two long-delayed agreements with China. One is a tourism agreement that would allow Chinese tour groups to visit Canada. The other would protect the rights of Canadian investors in China. The agreement could be finalized in a matter of months, Mr. Emerson said.
Business leaders have been worried that the Harper government allowed tensions with China to escalate to dangerous levels last year. They have urged Mr. Harper and his foreign minister, Peter MacKay, to travel to Beijing to patch up relations. Chinese leaders, too, have wondered why Mr. Harper and Mr. MacKay have failed to visit China since their election a year ago.
"I think those would both be good ideas," Mr. Flaherty said. "But I also will mention to them [the Chinese] that one of our realities in Ottawa is that we're a minority government, and when Parliament is sitting it's very difficult for any of us to travel, and we don't travel much."


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Flaherty vows to raise rights issues with China
ALEXA OLESEN
Associated Press


Beijing — Finance Minister Jim Flaherty, in China to boost trade ties and mend fences amid a string of diplomatic spats with Beijing, said Wednesday he still plans to raise human rights concerns during his talks with Chinese officials.
Mr. Flaherty said it was his “duty to be frank” about Canada's concerns and that he would to raise the issue of Huseyin Celil, a Chinese-Canadian being held in a Chinese jail for alleged terrorism links.
China does not recognize his Canadian citizenship and Ottawa has been aggressively lobbying for his release. His family says he is being persecuted because he is a Muslim and a political dissident who fled his homeland in the 1990s.
“We raise issues that we believe are important to Canadians,” Mr. Flaherty said. “We believe in protecting the rights of Canadians around the world.”
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“At the same time we believe in growing the economy of Canada,” he said. “We are a free trading nation. There is tremendous economic growth in China and there is increasing economic freedom in China and we can build on that relationship.”
Mr. Flaherty said he planned to continue to press China on loosening its currency controls during meetings with his Chinese counterpart, Jin Renqing, and with the governor of the People's Bank of China, Zhou Xiaochuan.
“We've encouraged China to allow their currency to have more flexibility over time,” he said. “They've indicated that they will do that over time. There is some increased flexibility now.”
Critics say China's currency, the yuan, is artificially undervalued by as much as 40 per cent.
Mr. Flaherty was also scheduled to meet with China's top insurance regulator, as well as banking and securities regulators and officials from its state planning agency, the National Development and Reform Commission.
His seven-day trip to Beijing and Shanghai is part of a push by Ottawa to invigorate economic and trade relations with China amid cooling diplomatic ties with Beijing since the Conservative party took power last January. Trade Minister David Emerson is also in Beijing this week.
Canada's campaign to have Mr. Celil released has angered Chinese officials, as did Canada's granting of honorary citizenship to the exiled Tibetan leader, the Dalai Lama.
Conservative MPs have also been vocal critics of religious persecution in China, particularly against members of the Falun Gong movement.


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Canada Should Relax Rules Curbing Chinese Business, Cooper Says
By Theophilos Argitis


Jan. 22 (Bloomberg) -- Canadian Prime Minister Stephen Harper must loosen restrictions on large state-owned companies buying assets in the country if he wants to attract investments from China, the chief economist at BMO Nesbitt Burns said.
While the government in November promised to reduce barriers to foreign investment, it said large state-owned enterprises with ``non-commercial objectives'' and ``unclear governance'' aren't welcome.
``There is no such thing as a transparent Chinese company,'' Sherry Cooper, BMO's chief economist, said in a telephone interview from Toronto. ``They don't have the accounting practices most of the West does. I just think it's wrong to send a signal that across the board, we are going to be very reluctant.''
Finance Minister Jim Flaherty and Trade Minister David Emerson were in China last week seeking to bolster trade ties and promote investments. Cooper today released a report calling on Canada to take advantage of economic opportunities in China. Canada's too focused on ties with a U.S. economy that is itself turning to China more and more, Cooper said in the report.
``We continue to be preoccupied with North-South economic relations, rather than East-West,'' Cooper said. ``Government economic policy and diplomatic support are lacking.''
To contact the reporter on this story: Theophilos Argitis in Ottawa at targitis@bloomberg.net .


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Canada's New Government Focuses on Strategic Partnership with China

Ottawa, January 21, 20072007-004
Shanghai - The Honourable Jim Flaherty, Minister of Finance, met with senior political and regulatory officials and business people in Beijing and Shanghai in order to strengthen Canada's strategic partnership with China. During his meetings Minister Flaherty discussed ways to build upon the Canada-China relationship through increased trade and investment.
"The Chinese value the relationship they have with Canada and that was clear during the many meetings I had over the past several days," said Minister Flaherty. "Our meetings were very positive as we discussed the mutual benefits of increased trade and investment in several areas such as financial services, the energy sector and the development of environmental technology and energy conservation."
While in China, Minister Flaherty met with:
Chinese Finance Minister Jin Renqing;
Governor of the People's Bank of China, Zhou Xiaochuan;
China's Securities Regulatory Commission Chairman, Shang Fulin;
China's Insurance Regulatory Commission Vice-Chairman, Zhou Yanli;
China's Banking Regulatory Commission Chairman, Liu Mingkang;
National Development Reform Commission Vice Chairman, Chen Deming; and
Canadian executives from the Canadian banks and insurance companies operating in China.
"I heard firsthand some of the challenges Canadian businesses face in China with regulations that are applied differently in different regions and restrictions placed on foreign investment," said Minister Flaherty. "I raised these and other issues with Chinese officials and we agreed to work together to eliminate impediments to future expansion in both countries."
The three objectives of Minister Flaherty's visit were as follows:
1. To strengthen our strategic relationship with China and encourage further discussions on shared economic and financial interests;
2. To support the expansion of bilateral trade and investment, particularly in the financial services sector; and
3. To encourage access and participation of Canadian financial institutions in the growing Chinese market for financial services.
"During my short time in China I believe we were able to move the yardsticks forward on behalf of Canadian families and businesses," said Minister Flaherty. "It is important that we continue to build upon these relationships so our countries can advance the dialogue on economic, financial, corporate social responsibility and environmental issues for years to come."
Canadian International Trade Minister David Emerson was also meeting with Chinese officials in Beijing and Shanghai this week. During his stay Minister Emerson signed the Canada-China Science and Technology Agreement with China's Minister of Science and Technology, Xu Guanhua.


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Canada condemns Chinese test of satellite-killer weapon
Jim Wolf, ReutersPublished: Thursday, January 18, 2007


WASHINGTON - The United States, Australia and Canada have voiced concerns to China over the first known satellite-killing test in space in more than 20 years, the White House said Thursday.“The U.S. believes China’s development and testing of such weapons is inconsistent with the spirit of co-operation that both countries aspire to in the civil space area,” U.S. National Security Council spokesman Gordon Johndroe said. “We and other countries have expressed our concern regarding this action to the Chinese.”Using a ground-based medium-range ballistic missile, the test knocked out an aging Chinese weather satellite about 537 miles () above the earth on Jan. 11 through “kinetic impact,” or by slamming into it, Johndroe said.Canada and Australia had joined in voicing concern, he said. Britain, South Korea and Japan were expected to follow suit, an administration official added.The last U.S. anti-satellite test took place on Sept. 13, 1985. Washington then halted such Cold War-era testing, concerned by debris that could harm civilian and military satellite operations on which the West increasingly relies for everything from pinpoint navigation to Internet access to automated teller machines.According to David Wright of the Cambridge, Massachusetts-based Union of Concerned Scientists, the satellite pulverized by China could have broken into nearly 40,000 fragments from 1 cm to 10 cms or up to four inches, roughly half of which would stay in orbit for more than a decade.On the day of the test, a U.S. defense official said the United States was unable to communicate with an experimental spy satellite launched last year by the Pentagon’s National Reconnaissance Office. But there was no immediate indication that this was a result of the Chinese test.SATELLITE-KILLING CAPABILITYAviation Week & Space Technology, the first to report the test, cited space sources as saying a Chinese Feng Yun 1C polar orbit weather satellite, launched in 1999, was destroyed by an antisatellite system launched from or near China’s Xichang Space Center in Sichuan Province.The capability demonstrated by China was no surprise to the Bush administration, which revised U.S. national space policy in October to assert a right to deny space access to anyone hostile to U.S. interests.In a major speech about the policy last month, Robert Joseph, the U.S. State Department’s point man for arms control and international security, said other nations and possibly terrorist groups were “acquiring capabilities to counter, attack and defeat U.S. space systems.”“No nation, no non-state actor, should be under the illusion that the United States will tolerate a denial of our right to the use of space for peaceful purposes,” Joseph said on Dec. 13.The U.S. has been researching satellite-killers of its own, experimenting with lasers on the ground that could disable, disrupt and destroy spacecraft.Marco Caceres, a space expert at the Teal Group, an aerospace consulting firm in Fairfax, Virginia, said China’s test could bolster a host of costly military space programs, almost all of which are over budget and behind schedule.“They are going to use this for as much as they can,” he said, referring to Pentagon officials. Major corporate beneficiaries could be Lockheed Martin Corp., Boeing Co. and Northrop Grumman Corp., which build U.S. communications, surveillance and early-warning satellites, Caceres said.(additional reporting by Irene Klotz in Cape Canaveral, Florida)


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China warning on Taiwan 'threat'

Taiwan's US arms deal has been criticised on both sides of the straitChina has announced plans to upgrade its military, highlighting its dispute with Taiwan as one of several regional security threats.
In a defence white paper, the government said it would focus its spending on strengthening the country's naval and air forces.
But it said China would "not engage in an arms race".
Meanwhile, Taiwanese legislators have been voting on a controversial and much-delayed US arms deal package.
They agreed to send a portion of the $18bn (£9bn) deal to a budgetary committee, the Associated Press reports. From there, it must pass two more readings to become law.
The vote came after opposition parties agreed to vote with the ruling party, after blocking the deal for more than two years.
Increased spending
China's white paper, which runs to nearly 100 pages, looks at the military challenges facing the country, from bolstering its borders and coastal defences to upgrading its weapons.
TAIWAN-CHINA RELATIONS

Ruled by separate governments since end of Chinese civil war in 1949
China considers the island part of its territory
China has offered a "one country, two systems" solution, like Hong Kong
Most people in Taiwan support status quo
Guide to Taiwan flashpoint
It singles out Taiwan as a major threat.
China sees Taiwan as part of its territory and has threatened to use force if the island ever moved to declare formal independence.
"The struggle to oppose and contain the separatist forces for Taiwan independence and their activities remains a hard one," the report says.
It also highlights the recent North Korean nuclear test as well as US support of both Taiwan and Japan as regional causes for concern.
The document, which is published every two years, says military spending in 2006 is set to reach $36bn (£18bn), up from $31bn last year - although the US believes the true figures to be much higher.
China's President Hu Jintao this week called for a more powerful navy, which would be prepared "at any time" for combat.
But the report makes clear China "will not engage in any arms race or pose a military threat to any other country.
"China is determined to remain a staunch force for global peace, security and stability".


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Space invaders

Jan 22nd 2007 BEIJING

From Economist.com

China’s shooting down of a satellite may be an effort to show that American supremacy in space is assailable

“ALL warfare is based on deception”, wrote Sun Tzu, a Chinese military strategist who lived 2,500 years ago and remains influential in China today. The recent revelation by the Americans that China had destroyed an ageing weather satellite with a missile has certainly caused surprise and confusion. Why should a country so insistent that its rise threatens no-one stage such an open display of its ability to challenge American power in space?
China has been fuelling the mystery by neither confirming nor denying America’s assertion on January 18th that the Chinese satellite was blown up about 500 miles above earth by a medium-range ballistic missile a week earlier. It was the first reported experiment of its kind by any country in more than 20 years (though there have been vague rumours of others). America itself, as well as the former Soviet Union, are the only other countries to have tested anti-satellite weapons.
Only two days after the apparently successful test, China’s prime minister Wen Jiabao arrived in the Philippine city of Cebu to attend a regional summit. While there he called on fellow leaders to help China build a “harmonious East Asia”. The test, however, has created widespread unease. Some of Mr Wen’s interlocutors in Cebu, including Australia, Japan and South Korea, have since joined a chorus of Western criticism.
The Americans, with their heavy dependence on military satellites and their commitment to help Taiwan defend itself from any attack by China, have the most to worry about. China has never admitted to having an anti-satellite weapons programme. But since the 1990s, Western experts believe China has become increasingly alarmed by the military advantage enjoyed by America thanks to its satellites. China is also worried that its strategic nuclear arsenal could be rendered useless by American efforts to build a missile defence system that includes space-based components.
America has long suspected China of developing anti-satellite technology. Last September reports emerged that China had been pointing high-powered lasers at American spy satellites passing over its territory. The apparent aim was to test an ability to blind them. A Pentagon report last May noted China’s “rapid and relatively smooth rise as an emerging space power”, with plans for its own manned space station by 2020. China’s intention, it seems, is to show that American supremacy in space is not unassailable.
It also has a more immediate goal. In 2002, China and Russia proposed a treaty banning the deployment of weapons in space or attacks against space-based objects. China’s concern was that the American missile defence system would lead to increasing use of space for military purposes and fuel an arms race. The Americans have refused to negotiate, saying such a treaty would be unenforceable and would only give an advantage to countries (for which read, China) that are trying hide their efforts to develop weapons for use in space.
By destroying one of its own weather satellites, China might have been trying to force the Americans to the table. If so, it was a risky strategy. The test is likely to reinforce perceptions in America of China as an emerging threat. Japan and Taiwan will also be rattled. On January 22nd Taiwan—apparently trying to reinforce international opprobrium directed at its rival—said China had deployed some 900 missiles on the coast facing the island in recent years. Last August it had put the figure at 820.
The test is unlikely to foster closer co-operation between the American and Chinese civilian space programmes. Last September, in a sign of tentative warming between the two sides, Michael Griffin of NASA paid the first trip to China by a head of the American government’s space agency. But China will have made no friends in NASA by littering space with fragments from the explosion that could threaten other spacecraft. “If your opponent is of choleric temper, seek to irritate him”, said Sun Tzu. China has certainly succeeded in that.


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Segolene Royal : Charles De Gaulle all over again?


"Vive le Québec libre! Vive le Canada Français! Et vive la France!" (Long live free Quebec! Long live French Canada! And long live France!).
-President Charles DeGaulle July 24, 1967

Is this Charles De Gaulle all over again?

“Sovereignty and Quebec's freedom.” was sited by Segolene Royal as shared common values between the province of Quebec and the nation of France. Royal is the French socialist party candidate and quite likely the next President of France. Immediately these comments were condemned by Stephen Harper the Prime Minister of Canada, Jean Charest the Premier of France and Stephane Dion. In 1967, France again ignored diplomatic protocol and inserted itself in domestic Canadian affairs when Charles De Gaulle was in power. His Vive le Québec libre! speech set off a similar chain reaction with federalists under Trudeau. To not have been briefed 40 years later is unacceptable. Comments today by Royal were totally inappropriate and an international embarrassment that should be considered in the upcoming French elections. I hope she retracts her statement as currently the Parti Quebecois is using it as an endorsement to their cause. This will not be good for future Canada-France relations. If she fails to clarify her remarks, it will prove that she is clearly not up to the job of President of France, a role that comes with a permanent UN Security Council seat.

In the post sponsorship era, it is clear that national unity is back on the front burner. The Quebecois nation recognition, fiscal imbalance, upcoming Quebec election, Royal's comments and Boisclair's referendum promise means a strong federalist option is important again and the treat of Canada breaking up remains. Harper and Charest are doing a good job representing the federalist option right now. Should Charest be elected again, the federalist goal must be to have Quebec officially committed to a united Canada. The rest of Canada is getting tired of being held hostage by this threat still unresolved after 40 years.

Vive le Canada!

Darryl






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French presidential candidate opens sovereignty can of worms
MICHEL DOLBEC
Canadian Press



PARIS — Prime Minister Stephen Harper and Quebec Premier Jean Charest have taken French presidential candidate Segolene Royal to task for saying she sympathizes with the idea of Quebec sovereignty.
The Socialist hopeful was asked about her thoughts on Quebec's national question after a short meeting with Parti Québécois Leader André Boisclair in Paris on Monday.
Ms. Royal, who has never visited Quebec, said the province and France have common values, including “sovereignty and Quebec's freedom.”
Mr. Harper issued a statement in which he questioned the wisdom of Ms. Royal weighing in on a Canadian debate.
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“Experience teaches that it is highly inappropriate for a foreign leader to interfere in the democratic affairs of another country,” he said.
“We look forward to marking the 400th anniversary of the founding of Canada at Quebec City with the next president of France.
“We expect in turn that the next president will display an understanding of our shared history, and the respect for Canada and Canadians that such an important partnership requires.”
Speaking in Montreal, Mr. Charest said he invited Ms. Royal to Quebec after she became head of the French Socialists but that she turned him down.
“And furthermore, what I also know is that the future of Quebec will be decided by Quebeckers, no one else.”
Federal Liberal Leader Stephane Dion, who was visiting Quebec City, said Ms. Royal's comments hurt her credibility.
Mr. Boisclair said Ms. Royal's comments show she's sympathetic to sovereignty and understands his message.
“I think Quebeckers will interpret Ms. Royal's remarks for themselves,” he said. “It would be improper of me to do so but what people have seen is that France, in all circumstances, will be at Quebec's side.”

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Harper, Charest rap Royal over comments about Quebec
Last Updated: Monday, January 22, 2007 7:50 PM ET
CBC News
Prime Minister Stephen Harper and Quebec Premier Jean Charest rebuked France's presidential candidate Segolene Royal after she appeared to offer sympathy for the idea of Quebec sovereignty.
"Experience teaches that it is highly inappropriate for a foreign leader to interfere in the democratic affairs of another country," Harper said in a statement on Monday.
Royal, leader of the Socialist party in France, was asked about Quebec after a brief meeting she had with Parti Quebecois Leader André Boisclair in Paris.
Royal said she and Boisclair discussed common values, including the sovereignty and the liberty of Quebec.
Harper responded that Canada is looking forward to "marking the 400th anniversary of the founding of Canada at Quebec City with the next president of France.
"We expect in turn that the next president will display an understanding of our shared history, and the respect for Canada and Canadians that such an important partnership requires."

Sunday, January 21, 2007

Peter McKay goes to Palestine


Peter McKay goes to Palestine:
Peter McKay followed through on his promise to visit the Middle East and attempt to play a role in the peace process. To his credit, the media has not put the spotlight on the fantastic job McKay has done in the foreign affairs role. His job hosting a visit with Condoleeza Rice was a great symbol of the warming of relations between the United States and Canada under the new government. He also performed well in his trip to Afghanistan pointing out the reconstruction and positive impacts resulting from the Canadian troops stationed there. He also stood firm against landmines and secured a plan from Pakistan's Pervez Musharraf in monitoring the Pakistan/Afghanistan border without using landmines. He is now sinking his teeth into the Middle East, an area full of potential landmines.

It is clear that the Conservative government is trying to balance out its policy towards the Middle East. Wajid Khan being appointed special advisor on the Middle East, crossing the floor and supporting the 2002 Saudi Peace initative was the beginning. Restoring funding to the Palestinians, meeting with Palestinian President Abbas and praising the ideas and moderation of Israeli Foreign Minister Tzipi Livni is further evidence that the Conservative government supports a two state solution based on 1967 borders. Comments about the Israeli "security wall", settlements and humanitarian situation in the West Bank and Gaza were welcome. He also visited sites in Northern Israel that suffered as a result of the Hezbollah rocket attacks. He then visited the Palestinian refugee camps and the occupation in the West Bank. He danced around the "right of return" question and proceeded with caution. I respect his approach of coming to the region to listen as oppose to talk. McKay met today with Israeli Prime Minister Olmert about Iran and likely the possibility of Israel joining NATO. Olmert said Canada-Israeli relations were at their peak and thanked Canada for its strong support during the war with Lebanon. Hamas said Canada risked being considered an enemy by the Palestinian people. Despite these comments, it is obvious that slowly the Conservative position is changing on the Middle East in comparison to the summer. At the end of the day the trip went smooth for a rookie Cabinet Minister trying to find a delecate balance in the Middle East. I think he did a good job in representing Canada’s interests at the end of the day. Peacekeeping, democracy, human rights, multiculturalism and opposition to landmines and nuclear weapons are at the very core of Canadian values and foreign policy. The performance of Peter McKay on the world stage is as important to the Conservative Party as Jim Prentice, John Baird and Jim Flaherty in their roles.

In the Middle East the situation on the ground shows that we are at a crossroads. We can go in the direction of regional war, confrontation and the pursuit of a nuclear armed Middle East, or as an alternative, we can open dialogue with all players in the region and come up with a region wide comprehensive peace plan with implementation conditional on the end to violence. Some positive signs are starting to emerge:

1, Iran is facing domestic pressure from all sides to cool down the confrontation with the West and begin using constructive diplomacy. Still neither side seems to have taken war of the table and rhetoric is heating up on both sides. Military training excercises have long been going on and today Iran refused again to cooperate with nuclear inspectors. The threat of Jordan, Saudi Arabia, Egypt, Turkey and Jordan of going nuclear has escalated the need for action if stopping the spread of nuclear weapons is a priority. On a postive note, the entire Arab League has endorsed a plan that would include a secure Israel living at peace with Palestine along 1967 borders. The plan would also normalize relations between Israel and the Muslim world. Even Hamas and Hezbollah have sent signals they would respect an agreement on these terms. Despite the wars, a desire for peace exists among all players in the region. A region wide peace agreement could allow all the nations in the Middle East to focus on internal issues including democracy and human rights.

2, Syria is trying hard to join the West and make peace with Israel but needs some incentive to break from Iran, a nation who shares few values with Syria’s President Assad. Syria has attempted to hold a conference on Iraq stability and security, they are attempting to facilitate negotiations between Hamas and Fatah and they are sending signs that they would be interested in a peace deal over the Golan Heights. They also hold the key to Lebanon in terms of stopping the transfer of weapons from Iran and also its influence on domestic politics. A peace deal with Syria could be the catalyst to peace in the region.

3, Tzipi Livni is a couragous leader who could become Prime Minister in 2007. Olmert is facing corruption allegations and pressure to resign for his handling of the summer war. Livni has been a strong voice for peace and her idea of negotiating now and implementing later has been picked up by Rice. It is also similar to the model used in Northern Ireland. The return of Barak is also good news as he showed his willingness to negotiate peace at Camp David. Under George W. Bush no real peace talks have taken place about borders or issues at the root of this conflict. Livni and Barak represent hope for the future.

4, The war in Iraq has drained American military resources with other resources needed in Afghanistan, South Korea, Somalia, Europe, Columbia and elsewhere. The people have turned against George W. Bush and his policies. The solution in Iraq requires a broad based solution incorporating the entire Middle East. 2008 Presidential hopefuls will now have to put forward new ideas and will be expected to comment on every decision George Bush makes for the next two years. There are already calls in the United States to talk with Iran and Syria and redirect the 2 billion spent each week on the war towards the rebuilding of New Orleans. The entire foreign policy of the United States in the Middle East needs to be reconsidered. Signing on to Kyoto and eliminating their addiction to Middle East oil is now being considered by politicians and business CEOs more seriously. America is changing and Tony Blair will also be gone from the scene by mid year. He has long argued for peace between Israel and Palestine and wants to go out with a strong legacy. The EU has also broken away from US policy and attempted to find peace its own way. Spain has been very active in pushing for a solution to this conflict through negotiations.

5, China is ready to play ball. They want to be part of the Quartet and the road map peace process. They are offering an alternative to the United States. They are hungry for oil and willing to do business with anyone. Like with Russia, they want to flex their muscle and prove that there is no longer just one superpower. China and Russia both have an interest in curving Jihadism in common with the United States. China is also percieved as neutral and has good relations with all players in the Middle East including Israel whom it buys weapons from. China's involvement will put real weight behind international efforts in the region and counter pressure on current US policy in the region. Pakistan and India are also working towards peace as all nations should have an interest in ending terrorism, enjoying security and living in peace. The growing economies and populations in the United States, Russia, China, India and Pakistan are going to be dependent on stability in the region.

The time for a new round of peace negotiations is long over due. Canada should be pushing hard for a solution to this conflict. Once McKay and Khan have gathered all of the information, they should convince Stephen Harper to take an active role in calling for an end to this conflict through negotiations immediately. The international community must pain a vision for what a solution will look like and use that hope as a way to convince each side to bury the past and move towards a future in peace. The only way this will happen is with a conference between the Arab League (including Iran and Syria), United States, EU, Russia, China, Pakistan, Russia and Israel where the root issues would be discussed and a true road map to peace found. In the meantime, it is great to see Canada play a more active role on the world stage under this new Conservative government.

Thanks for reading…



Darryl










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Khan backed Arab plan to revert to '67 border
MP offered views contrary to PM in Ramallah interview
CAROLYNNE WHEELER
From Thursday's Globe and Mail



JERUSALEM — Wajid Khan, the Prime Minister's special adviser on the Middle East, has expressed support for an Arab initiative that would see Israel return to its pre-1967 borders.
The Arab Peace Initiative would go further than any position publicly stated by the Prime Minister. Indeed, Stephen Harper, as opposition leader, told the Canadian Council for Israel and Jewish Advocacy during last year's election campaign that it was impractical to demand Israel hand back all land it took after the 1967 war.
The comments from Mr. Khan are in an interview the then-Liberal MP gave to the Ramallah-based daily newspaper, Al-Hayat al-Jadida (The New Life), last fall.
They offer another glimpse into the tone and content of the Mississauga-Streetsville MP's meetings during an 18-day tour of the Middle East last fall.


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The report from Mr. Khan's trip has been kept under wraps by the Prime Minister's Office, feeding speculation it may contain recommendations that differ from present Canadian policy in the region, and fuelling calls for its release after Mr. Khan's defection to the Conservative Party earlier this month.
In the interview, which was translated into Arabic, Mr. Khan said his report to the Prime Minister would be used as a basis for future "political and economic" dealings, and said that Canada would welcome the formation of a Palestinian unity government.
The unity government was called for by the so-called Quartet of mediators -- the United States, United Nations, European Union and Russia to allow the resumption of aid.
Canada led the way in cutting off tens of millions of dollars in funding to the Palestinian Authority last year after Hamas's victory in parliamentary elections; economic sanctions have continued as Hamas has refused demands to recognize Israel's right to exist and to renounce violence. Efforts to form a unity government that would abide by previously negotiated peace accords -- and thereby allow the lifting of at least some sanctions -- have so far failed.
Mr. Khan told Al-Hayat reporter Shaadi Manasra that he was reiterating "the Prime Minister's desire for an independent, democratic Palestinian state, living side-by-side with Israel" in his regional tour. Mr. Manasra has since left the newspaper and could not be reached yesterday.
"The Canadian government will remain committed to supporting the Palestinian people in the areas of education, infrastructure, industry and civil society," Mr. Khan is reported to have said.
He is also reported to have "stressed that Canada has no objection as regards the Arab Peace Initiative," a reference that appears to be the first time a representative of the present government has addressed the controversial plan.
Introduced by Saudi Arabia and endorsed by the Arab League at a 2002 summit in Beirut, the initiative calls for Israel's full withdrawal from land occupied after the 1967 war -- the West Bank, Gaza, East Jerusalem and the Golan Heights -- and the establishment of a sovereign Palestinian state with East Jerusalem as its capital and a "just solution" for Palestinian refugees. In exchange, Israel would get full recognition from, and normalized relations with, Arab states.
That plan has been rejected by Israel, which has annexed East Jerusalem and the Golan. A request for clarification to Foreign Affairs in Ottawa last night was not returned. However, in an interview just over a year ago, then-Conservative Party leader Stephen Harper assured the Canadian Council for Israel and Jewish Advocacy that under his watch Canada would not insist that Israel retreat to pre-1967 borders in a final peace deal with the Palestinians.
Mr. Harper made clear that, while there is need for compromise on both sides in the land dispute, the "realities of the situation on the ground" -- in reference to the growth of settlements beyond the 1967-border lines -- means it is unrealistic to ask Israel to withdraw completely.
"I don't think the taking of rigid positions in face of democratic realities is realistic," Mr. Harper had said.
In contrast, former Prime Minister Jean Chrétien and former Foreign Minister Bill Graham spoke in support of the initiative when it was introduced, as a way to encourage dialogue.
The article also refers to an interview with an unnamed political officer from Canada's Foreign Affairs representative office in Ramallah, who reiterated Canada's policy of avoiding contact with the existing government until it meets with international conditions. Such interviews are unusual as Canadian embassy officials abroad are under strict orders not to speak with Canadian media; instead, Canadian journalists are referred to Ottawa-based spokespeople, who are rarely forthcoming.
"We are waiting for Mr. Wajid Khan's report upon which we will be able to develop an action plan for assisting the Palestinian people and its national unity government," the officer said.
Mr. Khan also said that while in Ramallah he met with opposition figure Mustafa Barghouti, who he praised as a "responsible and wise national figure," and former finance minister Salam Fayyad. Mr. Khan described the encounter as a "fruitful and positive meeting."
Mr. Fayyad is an American-trained economist and former Palestinian Authority finance minister credited with tackling corruption in the former Fatah-led government.




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Canadian FM concerned about route of barrier
By ASSOCIATED PRESS
http://www.jpost.com/servlet/Satellite?cid=1167467782828&pagename=JPost%2FJPArticle%2FShowFull

Visiting Canadian Foreign Minister Peter McKay on Sunday expressed objections to the route of Israel's separation barrier along the West Bank, but justified its existence in principle.
After meeting Foreign Minister Tzipi Livni, McKay said the barrier was built out of "concerns of protecting Israeli citizens" because of Palestinian suicide bombers who infiltrated from the West Bank, but was worried that the route, which cuts into the West Bank, could be interpreted as a permanent border.
McKay said he brought up the issue with Livni. "She has given me assurances that throughout the borders are issues that have to be discussed in the broader context of peace negotiations," he said.
McKay also toured the Bethlehem area on Sunday, passing through a gate in the 8-meter barrier to get from Jerusalem to the town in the West Bank just three kilometers away. He saw a refugee camp next to Bethlehem and talked to residents.

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Israel says it enjoys 'peak' relations with Harper gov't
By YEHONATHAN TOMMER

Canada's Minister of Foreign Affairs Peter MacKay, right, and Israeli Foreign Minister Tzipi Livni look at each other during a joint press conference at the Foreign Ministry in Jerusalem, Sunday. (AP Photo/Sebastian Scheiner)
JERUSALEM (CP) - Israel announced Monday its public security minister will visit Canada to further develop strong bilateral ties said to have reached a "peak" since the Conservatives were voted into office in Ottawa a year ago.
The announcement came as Israeli Prime Minister Ehud Olmert met visiting Foreign Affairs Minister Peter MacKay and expressed appreciation for Canada's support for Israel even in "difficult periods."
During the meeting, Olmert also denounced Iranian President Mahmoud Ahmadinejad's threats to destroy Israel and said 'the free world must take a determined stand, in both word and deed," against Iran, according to a statement from Olmert's office.
MacKay was greeted warmly on arrival in Israel over the weekend after meeting with Palestinian and Jordanian leaders on his current Mideast tour.
A glowing statement from the Foreign Ministry said: "Since its election in January 2006, the Canadian government headed by Prime Minister Stephen Harper has maintained particularly warm relations with Israel, and bilateral and diplomatic ties are currently at their peak."
"Canada has been at the forefront of the international efforts against the Iranian nuclear threat," the ministry said.

"The Harper government was the first to boycott Hamas immediately after its election, and supported Israel during the Lebanon war against Hezbollah. Canada is also one of Israel's staunch supporters in the United Nations and other international forums, such as the G-8."
"In light of these very positive relations, Canada is interested in increasing its involvement in and support for the peace process between Israel and the Palestinians. Israel welcomes such a development, and this will be one of the matters discussed during the current visit to Israel by the Canadian foreign minister."
As part of the upgrading of relations, Public Security Minister Avi Dichter will visit Canada next month for talks with his Canadian counterpart, Stockwell Day, Israeli officials said. Dichter will also meet Harper and other ministers and legislators.
Canada and Israel exchange intelligence on police, criminal and terrorism-related data and co-operate on the technological and operational aspects of border management. Israeli officials said Dichter will explore ways of expanding existing ties and extend them to border security.
There were kisses, handshakes and smiles at a Sunday meeting between MacKay and Israeli Foreign Minister Tzipi Livni.
MacKay said they had become "regular friends' and had formed a "human bond of trust and frank discussion" in almost-daily contacts during the evacuation of Canadian citizens stranded in Lebanon in last summer's war.
Livni, on her part, praised MacKay as a friend who "knows how to make distinctions between right and wrong" and as "a leader of a country uniquely situated to help the moderates against the region's ideological extremists, like Hezbollah and Iran."
In a separate meeting Sunday, MacKay told Vice-Premier Shimon Peres that Canadian business was keen to help upgrade the Palestinian economy.
Canadian firms want to invest in joint Israeli-Palestinian-Jordanian projects enhancing environmental quality and development along their common "Silicon Peace Valley" between the Dead Sea and Red Sea, he said.
These include the construction of a salt-water canal between the two seas to assist the ecological revival of the deteriorating basin and encourage tourism; the construction a major international airport straddling the Israel-Jordanian Arava border; and agricultural development projects benefiting Palestinian, Jordanian and Israeli farmers around the Dead Sea coastal rim.
"Incentives for economic growth and environmental quality can play a major role in changing Palestinian and Israeli national mindsets," Peres said. "These can also help to open up the territories to new markets throughout the vast Arab
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Abbas-Mashaal meeting begins in Syria
By KHALED ABU TOAMEH

Talkbacks for this article: 3
In what is seen as a victory for Syrian diplomatic efforts, Palestinian Authority Chairman Mahmoud Abbas and Hamas leader Khaled Mashaal met in Damascus Sunday night for talks aimed at reaching an agreement on the formation of Palestinian unity government.
Syrian President Bashar Assad and senior government officials in Damascus played a significant role in persuading Abbas and Mashaal to hold the long-awaited summit, a top aide to Abbas told The Jerusalem Post.
Assad is clearly trying to improve his country's image in the West in light of allegations that he was behind the assassination of former Lebanese Prime Minister Rafik Hariri and that he was supporting terror groups, especially in Iraq and Lebanon.
The meeting, originally scheduled for Saturday, was postponed due to differences between Abbas's Fatah party and Hamas over the distribution of cabinet portfolios in the proposed unity government. Under pressure from the Syrians, Hamas finally agreed to cede control over the Interior Ministry, which is formally responsible for the PA security forces, the official said.
According to the official, the Interior Ministry, which is currently headed by Hamas's Said Siam, will be handed over to an independent figure from the Gaza Strip. Siam has been under attack from Abbas and Fatah leaders for operating a new Hamas security force in the Gaza Strip.
"The Syrians have succeeded where the Egyptians, the Qataris, the Saudis and the Jordanians failed," he added. "Syria wants to prove to the Americans and Europeans that it can play a positive role in the Middle East."
As the meeting was underway, Fatah and Hamas officials expressed cautious optimism, noting that the two have yet to agree on the political platform of the unity government. They said the main dispute was over previous agreements signed between the PLO and Israel.
While Abbas is insisting that the government's platform mention the need to "abide" by all the agreements, Hamas is only prepared to state that it will "honor" the agreements without having to recognize Israel.
Mashaal's deputy, Mussa Abu Marzouk, expressed hope that Abbas and Mashaal will also reach an agreement on ending the state of lawlessness and anarchy in the PA-controlled territories. "The problem is with all the gangs that are running wild in the occupied territories," he said, referring to various Fatah militias belonging to Abbas's Fatah party. "We hope the summit will create a positive atmosphere that will prevent Palestinian bloodshed."
Hamas legislator Mushir al-Masri said his movement's refusal to recognize Israel's right to exist was the main reason behind the failure of the unity government talks until now. "Abbas wants us to recognize the Zionist entity," he said. "But we swear that even if we are all killed, we will never change our ideology."
On the eve of the Abbas-Mashaal summit, Hamas announced that it would stop issuing public statements about kidnapped IDF soldier Cpl. Gilad Shalit. The decision was apparently designed to avoid embarrassing Abbas and to allow the Egyptians to pursue their efforts to release the soldier away from the spotlights.
"Multiple statements about the soldier and an impending prisoner exchange [with Israel] could have a negative impact on the case," explained Hamas representative Osama Mazini.
He reiterated Hamas's position that Shalit would be released only in return for a large number of Palestinian prisoners, including all minors and women.
In Gaza City, PA Prime Minister Ismail Haniyeh of Hamas accused the US of seeking to overthrow the Hamas-led government. "The Americans want to foil our democratic experience and punish our people because of their free choice," he told reporters shortly before the Abbas-Mashaal summit began.
Haniyeh also accused the US of thwarting efforts to form a Palestinian unity government and driving the Palestinians toward civil war. "The Americans want to cover up for their failure in Iraq," he added. "They want us to drown in pools of blood and to forget about a possible victory."

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Canada making enemies, Hamas warns
Palestinian minister shunned by MacKay
MARK MACKINNON
From Monday's Globe and Mail
GAZA CITY — Canada risks making itself an enemy of the Palestinian people and of the broader Islamist movement by boycotting Hamas and openly siding with Israel, Palestinian foreign minister Mahmoud Zahar said Sunday after he was shunned by visiting Foreign Minister Peter MacKay.
During an hour-long interview that he said was a replacement for the meeting Mr. MacKay denied him, Mr. Zahar alternated between saying he was anxious to open a dialogue with Canada and saying he looked forward to the moment that Canadians voted the “extremist” Conservative government out of office.
Had Mr. MacKay travelled to Gaza City to meet with him, Mr. Zahar said, he would have found an open door. However, Mr. Zahar said he would have challenged the minister to explain why Canada led the world in suspending aid to the Palestinian Authority after Hamas won legislative elections a year ago. The United States and the European Union, which like Canada consider Hamas to be a terrorist organization, also stopped giving aid, leaving the already cash-poor government bankrupt and unable to pay full salaries to its 170,000 civil servants for most of the past year.
“I would ask him very simply: What is the moral basis for these sanctions and boycott?” Mr. Zahar said, adding that the sanctions have primarily hurt ordinary Palestinians while leaving the Hamas government standing.
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Foreign Affairs Peter MacKay, right, is escorted by bodyguards as he passes a section of Israel's separation barrier in the Palestinian Aida Refugee Camp, in the West Bank town of Bethlehem, on Sunday. (Kevin Frayer/AP)
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Canada has forbidden its diplomats from dealing with the Hamas-led Palestinian Authority. Mr. Zahar said that Canada was not acting in its national interests by joining the boycott, but rather serving those of Israel and the United States.
“What is Israel providing you? Nothing. What are you achieving from such policies? What have you gained? Nothing, except the hatred of innocent people. If you would like to be the tail of the American dog, it's up to you. Or you can be a leading country, a linkage,” he said.
“For the sake of the future — one, two or three decades from now — the only way to help everybody, everywhere is to co-operate with the Islamic movements and Arabic countries because they are not your enemy.”
Addressing the absent Mr. MacKay, he added: “The question is very simple: Why do you refuse to meet us? As a human being, as a man, what is preventing you from meeting us? We are not eating human flesh.”
He said the Canadian government should listen to its ambassadors in the region, who he suggested would understand well that Hamas represents the Palestinian public.
Mr. MacKay met with his Israeli counterpart, Tzipi Livni, Sunday and will meet with Israeli Prime Minister Ehud Olmert Monday. On Friday, he met with the moderate Palestinian president Mahmoud Abbas, who is not a member of Hamas and whom Mr. Zahar dismissed as part of the “old era” of Palestinian politics that ended with Hamas's election victory.
Hamas and Mr. Abbas's secular Fatah movement are locked in a power struggle that has frequently devolved into violence, leaving dozens of Palestinians dead. Talks aimed at forming a government of national unity involving both factions have thus far proved fruitless.
When told that Mr. MacKay would likely have responded to his questions by insisting that Hamas still needs to meet the three conditions of the international community — denouncing violence, recognizing Israel and respecting the agreements signed by the previous Palestinian government — the 62-year-old former surgeon turned hostile.
“What borders of Israel should we recognize? The border that includes the Golan Heights? The borders it occupied in 1967, including Jerusalem? What type of Israel should we recognize? What is the constitution of Israel? And what is our border?”
Later in the interview, he suggested that there should be a single Islamic state stretching across the Middle East, adding that there was plenty of space in Canada to establish a Jewish homeland.
The hatred for Israel runs deep in Mr. Zahar, who was among the founding members of Hamas 20 years ago and is now seen as the leader of its radical wing. At one point, he pulled a photograph out of his wallet of his oldest son, Khaled, who was killed in 2003 during an Israeli assassination attempt against Mr. Zahar. “Killed in my house. He is my son. What justified that?”
Angrily, he said that if Mr. MacKay did not see the logic of Hamas's position, he needed a lesson on the history of the region.
Speaking in practised, if occasionally imprecise English, he said that Hamas members were not terrorists, but freedom fighters against the 40-year-old Israeli occupation, no different from the French Resistance to Nazi Germany during the Second World War.
He said it was Canada and the West that needed to change and reach out to the Islamic world now for the sake of future generations.
“Canadians have to change their extremist government, or else they're going to lose their credibility as a neutral state,” he warned. “You cannot create a new enemy without a price.”

*************************


Exclusive: NSC drafting strategy to make Israel a member of NATOBy YAAKOV KATZ AND TOVAH LAZAROFF





In an effort to establish more effective deterrence in the face of Iran's race to obtain nuclear weapons, government ministries are, for the first time, working on drafting a position paper that will include guidelines and a strategy for turning Israel into a full-fledged member of NATO, The Jerusalem Post has learned.
The paper is being drafted by an interministerial committee made up of representatives from the Defense Ministry and the Foreign Ministry and headed by the National Security Council. The committee plans to complete the paper by the end of February and present it to Prime Minister Ehud Olmert for approval.
Meanwhile Monday, in an exclusive interview, former Spanish prime minister Jos Mar a Aznar told the Post that "Israel needs to join NATO as soon as possible."
According to Aznar, the Iranian threat serves as "an excellent occasion to enforce [Israeli] deterrence by making Israel a member of NATO."
The former Spanish leader and current president of the FAES Spanish think tank said that if Israel became a member of NATO, "the perception in Iran would change, knowing that it's not only Israel [they are dealing with], but all of NATO."
Aznar said that NATO needed to change its focus to counter the growing threat of global terrorism.
"The threat today is terror and we need to restructure NATO to deal with this threat," he said.
Aznar said he believed diplomatic efforts and sanctions - at the current level like those passed last month - would not succeed in getting Iran to suspend its nuclear ambitions.
Later, speaking at the Herzliya Conference, Aznar said: "We must do everything we can to prevent a nuclear Iran, but we must also prepare to seek a possibility to make a nuclear Iran act appropriately."
He hinted that he would understand if Israel decided to take unilateral military action to stop Iran, claiming that "Israel has what to be concerned about."
Sen. John Edwards of South Carolina, who is running for president of the United States on the Democratic ticket, told conference members via satellite that one day Israel could be a member of NATO.
In the interim, he said, "We ought to find a way to upgrade Israel's cooperation with NATO." He added that the United States should lead the charge to strengthen that relationship.
General Lord Charles Guthrie of Craigiebank, former chief of the UK Defense Staff, said he favored Israel joining NATO even though he doubted that it could happen any time soon.
"Israel hasn't been invited to join NATO, and realistically it is unlikely that she will be invited until the Palestinian-Israeli conflict is resolved. But it would be a huge advantage if Israel could join," Guthrie said.
As a democratic country, Israel was a natural ally for NATO, with whom it shared many similar strategic concerns, he commented.
Israel would benefit diplomatically, strategically and technically by joining NATO, Guthrie said, adding that it was not true that NATO membership would militarily restrict Israel or prevent it from taking unilateral military action. The United Kingdom went to war in the Falklands even though it is a NATO member.
The problem lies more with the military contributions that Israel would have to make to NATO actions elsewhere in the world, such as in Afghanistan and Somalia. "Would Israel want to send troops to other countries and perhaps give up lives for those missions?" he asked.
But the editor and publisher of German weekly paper Die Zeit, Josef Joffe, said he believed joining NATO would restrict Israel militarily. He said that NATO would likely make such restrictions a requirement for membership.
Continued

With that in mind, why would Israel want to join NATO, he asked. From a technical perspective, "Israel would make a wonderful partner for NATO. It would beat anything the Europeans could field," said Joffe.
He added that Israel had more tanks than Germany or France, but NATO was unlikely to admit Israel because it didn't want to be bound in a strategic alliance with a country that had so many ongoing military conflicts.
"From a rational perspective, would NATO leaders want to fight Israel's wars?" he asked. "What NATO country wants to put its soldiers in Israel?"•


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Palestinian state will give Israel security, Canadian FM says
By HERB KEINON





The formation of an independent Palestinian state is the best way to ensure Israel's security and gain legitimacy in the eyes of its neighbors, Canada's Foreign Minister Peter Mackay said at the Herzliya Conference on Sunday.
MacKay spoke at the conference immediately after meeting Prime Minister Ehud Olmert in talks that sources in Olmert's office said dealt more with Iran and Syria than with the Palestinians. Olmert thanked MacKay for the strong support Canada has shown or Israel over the last year, especially during the war in Lebanon.
MacKay pointed out at the conference that Canada was the first government to cut off ties with the Hamas government when it took power last April, and that Canada has taken action in the UN against "unfair resolutions against Israel."
He said that Canada "recognizes that Israel has a duty first and foremost to protect its citizens. But I want to point out that Israel's security depends on the Palestinians' ability to prosper in dignity. The increasing growth of settlements and settlement building in the West Bank is also a hindrance to this process."
The foreign minister said that Canada believed in a two-state solution "for reasons of principle and practicality. In the current environment, critics will say, and will be right, that we have been at the brink of peace and it has fallen through. They will also say that conditions for peace have been better in the past and still nothing came of this. But there are new conditions that change the picture - the nuclear threat from Iran, threats in Lebanon and Iraq. Many Arab leaders from the Gulf to the Maghreb, Arab leaders are willing to help. And with the exception of a few extremists, there is an acceptance that Israel is here to stay."
Regarding Iran, MacKay said that "Teheran must not be allowed to obtain nuclear weapons. We need to start talking seriously and creatively about what the international community can do and can do now and what resources we can draw upon."
He said that Canada's relationship with Israel goes back to the beginning of the state, but admitted that the record was not "unblemished."
"We were among those who turned our backs on Jews fleeing the Holocaust," he said. "But we have learned from our mistakes."
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Canadian foreign minister discusses Iran with Israeli premier
The Associated Press
Published: January 22, 2007


JERUSALEM: Visiting Canadian Foreign Minister Peter McKay discussed the Iran crisis with Israeli Prime Minister Ehud Olmert on Monday, a statement from Olmert's office said.
Olmert denounced threats to destroy Israel coming from Iranian President Mahmoud Ahmadinejad and said "the free world must take a determined stand, in both word and deed" against Iran, the statement said.
The two leaders also discussed the Israel-Palestinian situation and Syria. Olmert said Israel wants peace with Syria but "does not identify the current Syrian regime as being at all willing to change its positions, which do not jibe with basic international rules," while backing the violent Islamic Hamas and Hezbollah.
Olmert expressed appreciation for Canada's support for Israel even in "difficult periods" and hoped for increased commercial cooperation.
Earlier in his visit, McKay toured part of the West Bank and met with Palestinian leaders.




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Syria mediates meeting between Palestinian president and top Hamas leader
22, 2007 - 3:26 am


By: BY ZEINA KARAM



Palestinian president Mahmoud Abbas, left, and Syrian Vice President Farouk al-Sharaa are seen after a meeting in Damascus. (AP Photo/Bassem Tellawi)

DAMASCUS, Syria (AP) - Palestinian President Mahmoud Abbas and the exiled chief of the rival Hamas faction failed Sunday night to resolve their differences over forming a unity government, dashing hopes for a quick end to deadly clashes between their supporters.
But Abbas and Hamas leader Khaled Mashaal said in a statement that they "achieved major progress" during the meeting their first since July 2005 and hoped to resume talks within two weeks.
"There are still points of disagreement, but we will try to resolve them through a national dialogue until we form a national unity government," Mashaal said during a joint news conference with Abbas in the Syrian capital, Damascus.
The two sides stressed that recent Palestinian fighting, which has killed at least 62 people, was unacceptable and pledged to exert efforts to avoid political friction.
"Palestinian bloodshed was considered totally prohibited, and we must exert all efforts to avoid frictions and internal clashes," Abbas said.
The two men originally had been scheduled to meet Saturday evening, but that session was cancelled and officials from both sides had cautioned against expectations the Sunday meeting might yield immediate results.
Both sides said differences remained, without providing details. The thorniest issues have been control of the two factions' security forces and Hamas' refusal to recognize Israel or commit to previous accords signed between Israel and the Palestinian Authority.
An official of Abbas' Fatah party in the Gaza Strip was optimistic about the meeting, saying Abbas and Mashaal agreed to let an independent run the Interior Ministry, though they did not agree on who specifically should lead the powerful security wing.
"I think some things were accomplished. Some issues were resolved and others remain problematic. That would need continuation of dialogue here in Gaza and mediation in Damascus," said Abdel Hakim Awad, Fatah's spokesman in Gaza.
He said differences also remained over how the official document laying out the new government would be worded.
The deputy head of Hamas' political bureau, Moussa Abu Marzouk, who attended some of Sunday's talks, said the one sticking point were the conditions under which Abbas would name a new prime minister for the unity government.
Despite the lack of agreement, he said the meeting "will send a message to the Palestinian people that the two sides are committed to continue dialogue."
Hamas, which controls the Palestinian parliament and cabinet, and Abbas' more moderate Fatah movement have been stuck in political deadlock since Hamas' victory in legislative elections last year. Abbas, who is widely seen as a moderate, was elected president separately.
The refusal of the Islamic militants in Hamas to recognize Israel's right to exist led to Western sanctions that have paralyzed the Palestinian economy.
Abbas has been pushing Hamas for months to form a unity government of independent experts in hopes of ending the sanctions and has threatened to call early elections if the two sides can't agree.
Abbas, Israel and the international community also want Hamas to abide by past agreements signed between Israel and the Palestinians. Hamas has said it would be willing to respect only previous agreements it deems as fair to Palestinians.
Syria hosts the exiled leadership of several Palestinian militant groups, including Mashaal, who has lived in Damascus since 1997, when he survived an Israeli assassination attempt in Jordan.
Sunday's meeting came after intense mediation by Syrian Vice President Farouk al-Sharaa, who met separately with Mashaal and Abbas.
Abbas came to Damascus bolstered by Israel's decision Friday to release US$100 million in frozen Palestinian taxes that Israel has refused to turn over to the Hamas-controlled Palestinian government.
Israel said the money would be used by Abbas for humanitarian purposes and to strengthen his security forces.




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Iran, Syria call for Iraq conference in Baghdad
Published: 1/22/2007

TEHRAN - Iran and Syria are proposing a regional conference in Baghdad of Iraq's neighbours, Iranian Foreign Minister Manouchehr Mottaki said on Monday.
"We agreed to ask the Iraqi government and Iraq's neighbouring countries to hold a foreign ministers' conference in Baghdad," Mottaki told reporters at a joint press conference with his visiting Syrian counterpart Walid Muallem.
Mottaki did not give details on the agenda.
Iran and its close regional ally Syria are accused by Washington of aiding the insurgency against US-led forces which invaded Iraq in March 2003, a charge vehemently denied by Tehran and Damascus.
Iran insists the violence will end in its western neighbour once foreign forces leave Iraq.
Muallem, for his part, said that Damascus "wants foreign troops to pull out of Iraq with the approval of the Iraqi government within a timetable".




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Iraq's Talabani calls for Syria-U.S. talks
ReutersSunday, January 21, 2007; 3:54 PM



DUBAI (Reuters) - Iraqi President Jalal Talabani said in remarks aired on Sunday he will push for dialogue between the United States and neighboring Syria, which he said was helping Baghdad clamp down on terrorism.
Talabani, who paid a landmark visit to Syria earlier this month, said he had not received any request to mediate between Damascus and Washington from either nation.

But, "I personally will seek to give a true picture about Syria's intentions and policy to the U.S. administration and I will seek to encourage our American friends to have a dialogue with Syria," he told Al Arabiya television.
Syria's U.S. ties went frosty when President Bashar al-Assad voiced opposition to the U.S.-led war in Iraq in 2003.
Iraqi and U.S. officials have often accused Syria of not doing enough to stop the flow of militants crossing its Iraqi borders to fight U.S.-led troops. Damascus repeatedly said it was doing all it can to control the long desert border.
"Syria wants ... stability in Iraq and is backing us in fighting terrorism. There is no justification for a stern (U.S.) stance on Syria," said Talabani, who lived in Syria in exile in the 1970s.
"It would be more appropriate for the United States to have a dialogue with Syria," Talabani said when asked what would be his advice to President Bush, who had rejected direct talks with Syria and Iran, ignoring a recommendation by the bipartisan Iraq Study Group.
U.S. relations with Syria plummeted further in 2005 after the killing of Lebanese former Prime Minister Rafik al-Hariri, a Syrian ally turned foe. Many Lebanese politicians accused Syria of killing Hariri, a charge Damascus denies vehemently.
Syria and Iraq restored diplomatic ties only last month after a breach in the 1980s when Damascus, alone in the Arab world, sided with Tehran during the 1980-88 Iran-Iraq war.
Talabani said during his visit to Syria, the first by an Iraqi president in 30 years, that Iraq would ask Syria to hand over senior Saddam Hussein aides suspected of stealing millions of dollars and helping the anti-U.S. insurgency.
Asked if Iraq has asked Syria to hand over Iraqi opposition figures, he said: "We will not ask for handing over political opponents and Syria would not be willing to hand them over."
"All we want from Syria in this regard is not to allow the presence of leaderships of Iraqi organizations that work with weapons against the legitimate Iraqi government. We ask it to advise the leaderships of these groups to ... join national reconciliation and the peaceful democratic process in Iraq."




***********************




Report: Israel, Syria held series of secret talks


By JPOST.COM STAFF


Israel and Syria came to several agreements during secret talks held in Europe from September 2004 to July 2006, Ha'aretz reported on Tuesday morning.
According to the report, the talks focused on a draft peace agreement, based upon Israel's withdrawal from the Golan Heights and a return to 1967 borders. Syria demanded that the move be made within five years, though Israel said the plan would be gradually implemented over 15 years. More so, Syria would be willing to discontinue support for Hizbullah and Hamas, and cut ties with Iran.
The report also stated that Israel would have complete control over the Jordan River and Lake Tiberias.
The report had yet to be confirmed by Israeli officials




*************************





Israel and Syria 'held Golan talks'



The reported agreement suggested that a park along the Sea of Galilee could act as a buffer zone [EPA]



Uofficial negotiations between Syria and Israel took place between 2004 and 2006, producing agreements that both sides hoped could act as a framework for a future peace deal, according to the Israeli daily Haaretz.

The newspaper reported on Tuesday that a series of understandings had been reached.

One of them required Israel to withdraw from the disputed Golan Heights to the 1967 borders, although the timetable for this remains open.

Both sides have denied knowledge of the alleged discussions which Haaretz said were held in Europe.

Further informal agreements made would see Syria agreeing to end its support for Hezbollah and Hamas and distance itself from Iran, and a park covering a significant portion of the Golan Heights set up for use by Israelis and Syrians alike.

The contacts were carried out between September 2004 and July 2006 in Europe with the knowledge of Syrian and Israeli government officials, the paper said, adding that the last meeting held during Israel's summer war with Hezbollah.

Official denial

Haaretz said Alon Liel, a former director-general of Israel's foreign ministry, took part in a series of meetings with Ibrahim Suleiman, a US-based Syrian, and a European mediator it did not name.

Akiva Eldar, who wrote the newspaper report, said on Israeli Army Radio that the European and Suleiman travelled to Damascus eight times and discussed the proposal with Farouq al-Shara, currently a Syrian vice president.

The office of Ehud Olmert, the Israeli prime minister, denied knowledge of the meetings.

"Neither ... Ehud Olmert nor his office were informed of these secret contacts with the Syrians and their arrangements," Miri Eisin, an Israeli spokeswoman, said. Israeli public radio quoted an unnamed senior official close to Ariel Sharon, Olmert's predecessor, as denying that the former Israeli prime minister was informed of the talks.

According to Haaretz, the secret contacts ended after the Syrians requested that they be upgraded from unofficial status and Israel refused. Galilee dispute Syria has been pressing publicly for Israel to renew official peace talks, last held in 2000, on the future of the Israeli-occupied Golan Heights.

Syrian demand

Negotiations broke down largely over Syria's demand for access to the Sea of Galilee, Israel's main reservoir situated at the base of the heights.

In Damascus a Syrian foreign ministry official said: "No negotiations took place, the Haaretz report is completely false." The Israeli daily said the so-called non-paper that emerged from the unofficial discussions, proposed an Israeli pullout from the Golan to lines Israel held before the 1967 Middle East war in which it captured the strategic plateau.

Fact file
The Golan HeightsUnder the proposed understandings, Israel would retain control over the waters of the Sea of Galilee, but both sides would have joint use of a buffer zone a park along its shores that would act as a buffer zone.

According to the document, Israel would gradually evacuate Jewish settlements on the Golan Heights and the territory would be demilitarised, the newspaper said.

In remarks quoted by Israel Radio, Liel said he "did not represent anyone" in official Israeli circles when he participated in the discussions.




*********************





Al-Qaeda deputy mocks US Iraq plan



Al-Zawahri said the US troop increase did not concern Islamic fighters in Iraq [AP]
Al-Qaeda's deputy leader has dismissed the US president's plan to send thousands more troops to Iraq, challenging him to send "the entire army", a group that tracks al-Qaeda messages said on Monday.

Ayman al-Zawahri vowed that al-Qaeda's supporters will defeat the US in the new videotape intercepted by the Washington based SITE Institute.
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In the video, al-Zawahri said it was the "duty" of all Muslims to take up arms against Islam's enemies, and said the US strategy for Iraq outlined by George Bush, the US president, would fail.

SITE said the message was broadcast on al-Qaeda's multimedia arm, as-Sahab, which the group monitors.
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Al-Zawahri said in the message: "I ask [Bush], why send 20,000 [troops] only - why not send 50 or 100,000? Aren't you aware that the dogs of Iraq are pining for your troops' dead bodies?

"So send your entire army to be annihilated at the hands of the mujahideen [holy warriors] to free the world from your evil… because Iraq, land of the caliphate and jihad [struggle], is able to bury ten armies like yours, with Allah's help and power."

'Mutual understanding'

The message is the first reaction from al-Qaeda's leadership to the new Iraq strategy.

Bush plans to send a further 21,500 US troops to Iraq.

Al-Zawahri addressed Americans, saying they must "accept the facts of what is happening on the ground, and reject the fantasies with which Bush tries to deceive you".

He said: "You must honestly try to reach a mutual understanding with the Muslims, for then, and only then, you might enjoy security.

"Security is a shared destiny, if we are secure, you might be secure, and if we are safe, you might be safe. And if we are struck and killed, you will definitely - with Allah's permission - be struck and killed. This is the correct equation."

Al-Zawahri also said that Islamic fighters were in control in Afghanistan.

He said: "Among [Bush's] ravings is that he has deprived al-Qaeda of a safe haven in Afghanistan.

"The entire world bears witness to his naked, barefaced lie, because al-Qaeda and the Taliban under the command of the commander of the faithful Mulla Muhammad Omar are the ones who have deprived America of safe haven in Afghanistan."

There was no immediate independent confirmation of the video's authenticity.

The video is the third message by al-Zawahri in just over a month. In an audiotape posted on the internet on January 5, he urged Somalia's Islamic fighters to carry out suicide attacks on Ethiopian troops fighting in their country.


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Iran shoots down U.S. spy drone amid growing military pressure
www.chinaview.cn 2007-01-17 08:41:25



Special report: Iran Nuclear Crisis
by Liang Youchang



TEHRAN, Jan. 16 (Xinhua) -- Iranian troops have shot down a U.S. pilotless spy plane recently, an Iranian lawmaker announced on Tuesday as the Islamic Republic was facing increasing military pressure from its arch rival -- the United States.
The aircraft was brought down when it was trying to cross the borders "during the last few days," Seyed Nezam Mola Hoveizeh, a member of the parliament, was quoted by the local Fars News Agency as saying.
The lawmaker gave no exact date of the shooting-down or any other details about the incident, but he said that "the United States sent such spy drones to the region every now and then."
SECOND U.S. AIRCRAFT CARRIER
The announcement came amid reports that the United States is increasingly flexing its muscles to counter Iran's growing regional assertiveness and put more pressure on Tehran over its controversial nuclear programs.
It was reported Tuesday that a second U.S. aircraft carrier, the USS John C. Stennis, will arrive in the Middle East in about one month, the first time since the U.S.-led Iraq war in 2003 that the United States will have two carrier battle groups in the region.
The USS John C. Stennis, a Nimitz-class nuclear-powered carrier that has a capacity for 5,000 sailors, is scheduled to sail Tuesday from its home port of Bremerton, Washington, said Commander Kevin Aandahl of the U.S. Navy's Fifth Fleet based in Bahrain.
In about one month, the USS John C. Stennis, including an air wing of more than 80 tactical aircraft, will join Fifth Fleet forces that includes aircraft carrier USS Dwight D. Eisenhower.
"This demonstrates our resolve to do what we can to bring security and stability to the region ... (and) dissuade others from acting counter to our national interest," Aandahl said.
U.S. President George W. Bush announced earlier this month that the United States was taking other steps to beef up security of Iraq and protect U.S. interests in the Middle East, such as sending an additional aircraft carrier to the Gulf and deploying Patriot air defense systems to the region.
HARSH REMARKS AGAINST IRAN
The latest move comes just one day after new U.S. Defense Secretary Robert Gates made harsh remarks against Iran, indicating that Iran's perception of U.S. vulnerability in the region was part of the reason the Pentagon sent the aircraft carrier and the Patriot missiles.
"The Iranians are acting in a very negative way in many respects," Gates told reporters on Monday after a meeting with NATO Secretary General Jaap de Hoop Scheffer in Brussels.
"The Iranians clearly believe that we are tied down in Iraq, that they have the initiative, that they are in a position to press us in many ways," Gates said.
Gates also said that the deployment of Patriot air defense systems and the second aircraft carrier in the Gulf region indicated the Bush administration's "reaffirmation" of the importance of the region, adding that stability in the region is in "long-term, strategic, vital interests" of the United States.
The United States accuses Iran of using its influence to meddle in the region, especially in Lebanon and Shiite-majority Iraq, besides seeking a nuclear weapon, which has been rejected by Iran.
In an interview with Fox News earlier the month, Vice President Dick Cheney said that Iran was "fishing in troubled waters" in Iraq, adding "we think it's very important that they keep their folks at home."
Meanwhile, U.S. forces are still holding five Iranians arrested in northern Iraq last week, who the United States says have been connected to an Iranian Revolutionary Guard faction that arms insurgents but Tehran says are merely consular staff.
In a show of defiance, an Iranian government spokesman said on Monday that the country was pushing ahead with its plan to install at least 3,000 centrifuges for nuclear fuel production.


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Iran begins new missile tests



Mahmud Ahmadinejad, the Iranian president has remained defiant on UN sanctions [AFP]
Iran has begun staging a series of war games and vowed to block UN nuclear inspectors from entering the country in a fresh show of defiance over its disputed nuclear ambitions.
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The missile tests were announced on Monday just days after Ali Larijani, Iran's top nuclear negotiator, said the country's armed forces were ready to deal with any threat to its nuclear installations amid speculation Washington may be planning a military strike.
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Short-range missiles were to be tested in the four-day exercise southeast of Tehran, which came soon after the US military dispatched a second warship to Gulf waters amid growing international tension over Iran's atomic programme.
Among missiles to be tested were the Fajr 5, which military sources have reported has a range of around 75km, and the Zelzal which is said to have a range of 100 to 400km.
Iran angers the west
EU foreign ministers in Brussels, meanwhile, deplored Tehran's lack of co-operation over its nuclear programme and vowed to fully implement UN sanctions, including asset freezes, trade stoppages and travel bans.
"Ground forces of Iran's elite Revolutionary Guards are completely ready to tackle any kind of foreign threats," Majid Ayeneh, commander of Iranian artillery, said.
Nicholas Burns, the US under-secretary of state, on Sunday said: "We leave all options on the table, but we are seeking a diplomatic solution to these problems."
Washington announced this month it was stepping up US military presence in the region by sending a second aircraft carrier to join one already in the Gulf, the first such buildup since the launch of the US-led war on Iraq in 2003.
In addition to ordering the deployment of the aircraft carrier USS John C. Stennis, the Pentagon announced that an air defence battalion equipped with Patriot missile defence systems would also go to the region.
Burns said mounting international pressure, including UN sanctions, has put the Islamic republic on the defensive, and pledged that Iran would face a second round of sanctions if it does not suspend nuclear activity in its main nuclear research centre in Natanz by February 21.
IAEA restrictions
But Manouchehr Mottaki, Iran's foreign minister, told reporters on Monday that Tehran was "continuing building centrifuges [for uranium enrichment] and the International Atomic Energy Agency (IAEA) knows about it".
The UN Security Council passed Resolution 1737 in December, imposing sanctions on Iran because it has repeatedly refused to fully cooperate with the UN nuclear watchdog or suspend uranium enrichment.
In reprisal for the resolution, Alaeddin Borujerdi, the head of parliament's national security commission, announced Iran was blocking from the country 38 inspectors from the IAEA.
"This is the first step in implementing the parliament legislation" on limiting cooperation with the IAEA, Borujerdi said.
"The committee [in charge of implementing the parliamentary legislation] decided not to allow 38 inspectors to enter Iran and this restriction has been officially announced to the IAEA," he said.
IAEA inspectors regularly visit Iranian nuclear sites under the nuclear Non-Proliferation Treaty, to which Iran is a signatory.
Mottaki defended the move as "completely legal" and said that "IAEA member states have the right to oppose the trip of any inspector they wish".
Iran defiant
Iran, Opec's second largest oil exporter, insists its nuclear programme is aimed solely at meeting peaceful energy needs. However, the West fears that it could be diverted towards building a bomb.
Following talks in Brussels, EU foreign ministers made a political declaration that paves the way for EU legal experts to draw up the necessary legislation for the UN resolution to be implemented.
The foreign ministers "deplored Iran's failure to take the steps repeatedly required by the IAEA board of governors and the United Nations Security Council".
They agreed to halt trade in nuclear-related goods with the Islamic republic, freeze the assets of those linked to the programme and impose targeted travel bans.
But Iran has remained defiant on sanctions as Mahmoud Ahmadinejad, the country's president, said last week: "Even if they adopt 10 other resolutions it will not have any effect."


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Crashed US helicopter 'shot down'



The worst helicopter crash of the Iraq war killed 17 troops in 2003 [File: GALLO/GETTY]
A United States military helicopter that crashed in Iraq on Saturday may have been shot down, a senior US defence official has said."Some reporting in operational channels indicates that it may have been shot down. It may have been a shoulder-fired missile," the official told AFP news agency, speaking on condition of anonymity on Wednesday.
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A Pentagon spokesman said that a preliminary investigation was still under way and had not yet determined what caused the UH-60 Blackhawk helicopter to come down northeast of Baghdad.Twelve troops were killed when the helicopter crashed.
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Unidentified officals cited by the CNN news network had earlier said that debris recovered on the ground indicated that a missile was involved.Al-Qaeda in Iraq claimed on Monday that it had shot down the helicopter but a group called Jaish al-Mujaihadeen has also said it carried out the attack.The crash came less than two months after a Sea Knight helicopter went down in the western Sunni Anbar province on December 3.

Four of the 16 military personnel on board were killed in the crash which occurred on the shore of Qadisiyah lake.

The worst US helicopter crash of the Iraq war was on November 15, 2003 and killed 17 soldiers when two UH-60 Blackhawks crashed west of Mosul in northern Iraq.

Two weeks earlier 16 US soldiers died when their CH-47 Chinook was shot down by a ground-to-air missile near Fallujah in Anbar province.




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Islamic courts leader surrenders



Ahmed is considered a moderate leader of the Islamic courts by the US ambassador to Kenya [File: EPA]
A senior leader of the Union of Islamic Courts has surrendered to Kenyan authorities on the border with Somalia, Kenyan officials have said.Sheikh Sharif Sheikh Ahmed, chairman of the Executive Council of Islamic Courts, was reportedly detained with three other Somalis on Sunday.
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"They captured him in the Liboi area. He's under US protection," the Somali intelligence official told Reuters news agency.

Ahmed is considered a moderate in the movement that was forced out of Mogadishu and southern Somalia by Ethiopian and Somali government forces.
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Denial

Liboi is a Kenya border crossing near the southern tip of Somalia, where Ethiopian and Somali government troops have been hunting for Islamic courts fighters.Kenyan officials have said that Ahmed has been flown to Nairobi, the Kenyan capital, and is being held in a hotel.

However, Farih Muallim, leader of the For The Sake Of Kenyan People's Party, ruled out reports that Ahmed was in detention.

"I think that Sheikh Ahmed is in Kenya upon an invitation by the US embassy, as the US ambassador to Kenya said days ago he would like to meet "moderate" figures from the Islamic courts", Muallim said.
National reconciliationMohammed Adow, Al Jazeera's correspondent in Mogadishu, said Ahmed's political profile could account for his presence in Kenya.

"He is the public face of the Islamic courts and is increasingly being seen as crucial to any national reconciliation effort in Somalia ... this is why, diplomatic sources say, he is being held in a hotel and this is why he is under US protection," Adow said.
An official with the US embassy in Nairobi denied reports that Washington had any involvement in Ahmed's presence in Nairobi.
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"The United States is not holding or interrogating or protecting Sheikh Sharif," the official told the AFP news agency.

"We were not involved in his capture or surrender."
The United States sees Ahmed as a moderate in the Islamic Courts movement, which formerly vowed to topple the Somali government and extend its system of Islamic law across Somalia.

Ahmed has had previous diplomatic contact with the US. Last September he met Michael Ranneberger, the US ambassador to Kenya.

Ahmed shared the leadership of the Union of Islamic Courts with Sheikh Hassan Dahir Aweys, who was chairman of the court's legislative council.

Fighting continues

Some fighters allied to the Islamic Courts have vowed to conduct a guerrilla campaign, and are suspected of carrying out several recent attacks in Mogadishu.Ethiopian troops came under fire from protesters on Monday as they carried out searches in the south of Mogadishu, Somalia's capital.

At least three civilians were killed in the ensuing gunbattle, according to witnesses. The searches were being conducted after an ambush on an Ethiopian convoy at the weekend, which resulted in exchanges of fire.




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'Invisible hand' of Israel in Gaza
By
Laila El-Haddad



Despite the removal of its settlements in 2005, Israel maintains a form of occupation [GALLO/GETTY]
Israel controls life in Gaza with an "invisible hand", despite its "disengagement" from the area over a year ago, according to a report by an Israeli rights group.

Despite the removal of illegal settlements and permanent army bases from Gaza in August 2005, Israel continues a form of occupation, says the report, released on Wednesday.
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"Israel has not relinquished control over Gaza but rather removed some elements of control while tightening other significant controls," according to Disengaged Occupiers: the Legal Status of Gaza, a report by Gisha, the Legal Centre for Freedom of Movement, a Tel Aviv-based rights group.
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Instead Israel has "changed the way in which such control is effectuated", the report says.

This includes control over Gaza's air space and territorial waters, its borders, the movement of goods and people, the taxation system, fiscal policy and the population registry.

"Israel controls Gaza through a kind of 'invisible hand', which is hard to see but felt intensely by Gaza residents, who know that their ability to do basic things – buy milk, turn on electric lights, travel abroad – depend on decisions made by Israel," Sari Bashi, director of the institute and co-author of the report, said in an interview with Al Jazeera.

The report makes the case that despite "disengagement", Israel never relinquished the control over Gaza that it maintained as an occupying power and so it is still liable for the welfare of its residents according to international law.

Israel completed its "disengagement" from the Gaza Strip, a plan masterminded by Ariel Sharon, the former Israeli prime minister, on September 12, 2005 with the removal of illegal Israeli settlements and permanent military installations from Gaza.

Tel Aviv said this constituted an end to its military governance of Gaza and Sharon declared it "the end of Israeli control over, and responsibility for, the Gaza Strip", in a speech to the UN.

But Israeli control and closure policies have since grown tighter and more rigorous, and the occupation is far from over, according to Bashi.

"A Gaza university cannot receive visits from a foreign lecturer unless Israel issues a visitor's permit; a Gaza mother cannot register her child in the Palestinian population registry without Israeli approval; and a Gaza fisherman cannot fish off the coast of Gaza without permission from Israel," she said.

Bashi says Gisha's 100-page report, which is based on internal and public Israeli military documents and extensive interviews, "challenges an assumption held by Israelis and even some international policy-makers that Israel's disengagement plan ended the occupation of Gaza".

Limbo

After its disengagement from Gaza, the Israeli government's position has been that Israel is no longer in control of the territory and so bears no legal responsibility for the welfare its residents, leaving them in legal and political limbo.

It is a situation that Bashi says is no longer sustainable.

"Israel controls Gaza through a kind of 'invisible hand', which is hard to see but felt intensely by Gaza residents"
Sari Bashi,director of Gisha
She said: "They can't have it both ways. Israel is keeping quiet about its declaration that Gaza is no longer occupied, in part to avoid questions about its continued control over Gaza - control which has contributed to the current humanitarian crisis in Gaza.

"The European community and many in the international community operate on the assumption that Gaza is still occupied, which explains Israel's control over it. Israel's position – that it no longer controls Gaza and owes no obligations there – should, I think, spark questions among foreign policy makers and politicians.

"In the current political context, Israel's position means Gaza is cut off from the West Bank, too."

Gaza's main commercial crossing has been closed for more than half the time since disengagement, according to a UN estimate, and as a result only four per cent of Gaza's harvest has been exported.

The report cites the example of Yunis Abu Shabana, a Palestinian farmer who exports cherry tomatoes and sweet peppers to Europe, as an example of how the closure affects Palestinians.

Shabana said: "Last January, I had 40 tonnes of produce waiting to be transported at Karni crossing … after 20 days of waiting, the produce was destroyed.

"Right now, my workers are not working and I am supposed to destroy the produce that remains in the factories and greenhouses."

Rafah crossing

In addition, Israel maintains control over Gaza resident's only passage in and out of the territory - the Rafah crossing.

This has been open less than 14 per cent of the time since June 2006 and its use is restricted to holders of Gaza ID cards – the issuing of which Israel continues to control despite disengagement.

The Rafah Crossing has been open less than 14per cent of the time since June [GALLO/GETTY]The report examines the cases of Palestinians living in Gaza who "do not exist", since Israel will not recognise them as residents and issue ID cards or family re-unification permits.

Tens of thousands of Palestinians fall into this category, according to the Palestinian ministry of civil affairs.

One such Palestinian is Mirvant Alnahal, a 31-year-old lawyer and mother of three who entered Gaza on a visitor's permit in 1994.

"My husband's ID card says he is married, but the box for 'spouse's name' is blank. My children were born in Gaza to a mother who, officially, does not exist," she is quoted as saying in the report.

Israeli authorities have refused to extend Alnahal's permit or issue her residency status in Gaza.

"Since I came to Gaza, I am trapped here. I cannot leave, for fear that I won't be allowed to return," she said.

Travel between Gaza and the West Bank has also been completely severed.

The report says these actions, including Israel's withholding of Palestinian tax revenues, have caused an unprecedented economic and humanitarian crisis in Gaza.

The report concludes that since Israel maintains effective control over the Gaza Strip, Israel continues to owe Gaza's residents certain obligations under international law, until such time as it cedes complete control over the territory.

Read Gisha's full report, Disengaged Occupiers: the Legal Status of Gaza




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Ramping Up the Pressure on al-Sadr
Monday, Jan. 22, 2007


By CHARLES CRAIN/BAGHDAD

Radical Shiite cleric Muqtada al-Sadr delivers a speech during prayers in Kufa, Iraq on November 24, 2006.
Alaa Al Marjani / Getty



The U.S. military approaches its Iraqi enemies differently. Last week, for example, U.S. and Iraqi government forces battled Sunni insurgents in central Baghdad, calling in air strikes from jets and helicopters. But that sort of intense assault has been unthinkable against Shi?a warlord Moqtada al-Sadr's Mahdi Army, which is maneuvering for control of immense sections of Iraq.
There are clues, however, that a new phase in America's relations with Sadr may be coming. First, a U.S. took Abdul Hadi al-Daraji, a prominent Sadr operative, into custody on Friday. Then, on Saturday, American troops in the Shi'a holy city of Karbala were attacked by unknown assailants, leaving five G.I.s dead.
U.S. military officials have always expected that some sort of extended clash with Sadr's Mahdi Army may be inevitable. But previous encounters were limited because of Sadr's political ties to the Iraqi government. Indeed, the Mahdi Army and its affiliated militias seem to be biding their time with the Americans, baiting rather than battling U.S. forces. The Mahdi Army may be looking ahead to the widely forecast American troop drawdown this summer — expected to come after the "surge" — choosing to lie low and wait out the U.S. Sheikh Abdel Hadi al-Mohammedawi, who heads Sadr's office in Karbala, told TIME that both the political and military wings of the movement "have received clear and decisive instructions from Said Moqtada al-Sadr to avoid any kind of a military confrontation."
But could U.S. forces themselves now be baiting the Mahdi Army, trying to draw the militia out of the shadows and into a fight? Both the Iraqi government and the Sadrists are wondering if the detention of Daraji — and potentially other high-profile Sadr officials — is part of a plan to draw the militia into the open by targeting its leadership. An adviser to Prime Minister Nouri al-Maliki told TIME that continued American raids might prompt the militia to "lose patience" and fight back. Says Mohammedawi in Karbala: "The Americans are trying to make us respond to their provocations, but we will never give them a chance." So far, no one has claimed responsibility for the killing of the five American soldiers on Saturday.
At this point, the American strategy in the early going of the troop surge seems focused on establishing small security stations and stepping up patrols in the neighborhoods around Sadr City, the Mahdi Army's stronghold in Baghdad. By maintaining a constant presence and working jointly with Iraqi units, the Americans hope to limit the influence of the militia and keep tabs on security forces that have proven largely unreliable and militia-infiltrated.
Nevertheless, U.S. forces concerned about Sadr may have been heartened by one development over this violent weekend. Prime Minister Maliki has so far not kept what Sadr supporters claim was a promise to release Daraji (the U.S. claims he is a death squad leader; his supporters say he is merely a spokesman for Sadr). It was one of the first tests of Maliki's new resolve to dissociate himself from his erstwhile political ally. The supposed deadline expired over the weekend and Maliki's government remains noncommittal on a release.
The new distance between Maliki and Sadr may give the U.S. political cover as it ramps up operations against the Mahdi Army. But how far will Maliki go? An adviser to the Prime MInister, Fadhil Al-Shar'ea, insisted that the Iraqi government and its forces did not participate in the U.S. raid that nabbed Daraji. He also said that the government was given no advance notice by the U.S. of the raid. Still, a concerted military attack involving air assaults and helicopter gunships is another matter. That?s what it may take to break the back of Sadr's militia, and there's no assurance that Maliki would go along with it.

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It's the little things that make an occupation
Jan 18th 2007 JERUSALEM AND RAMALLAHFrom

The Economist print edition


Those seemingly minor inconveniences that make life hellish
DURING 2006, according to B'tselem, an Israeli human-rights group, Israeli forces killed 660 Palestinians, almost half of them innocent bystanders, among them 141 children. In the same period, Palestinians killed 17 Israeli civilians and six soldiers. It is such figures, as well as events like shellings, house demolitions, arrest raids and land expropriations, that make the headlines in the Israeli-Palestinian conflict. What rarely get into the media but make up the staple of Palestinian daily conversation are the countless little restrictions that slow down most people's lives, strangle the economy and provide constant fuel for extremists.
Arbitrariness is one of the most crippling features of these rules. No one can predict how a trip will go. Many of the main West Bank roads, for the sake of the security of Israeli settlers in the West Bank, are off-limits to Palestinian vehicles—only one road connecting the north and south West Bank, for instance, is open to them—and these restrictions change frequently. So do the rules on who can pass the checkpoints that in effect divide the West Bank into a number of semi-connected regions (see map).
A new order due to come into force this week would have banned most West Bankers from riding in cars with Israeli licence plates, and thus from getting lifts from friends and relatives among the 1.6m Palestinians who live as citizens in Israel, as well as from aid workers, journalists and other foreigners. The army decided to suspend the order after protests from human-rights groups that it would give soldiers enormous arbitrary powers—but it has not revoked it.
Large parts of the population of the northern West Bank, and of individual cities like Nablus and Jericho, simply cannot leave their home areas without special permits, which are not always forthcoming. If they can travel, how long they spend waiting at checkpoints, from minutes to hours, depends on the time of day and the humour of the soldiers. Several checkpoints may punctuate a journey between cities that would otherwise be less than an hour's drive apart. These checkpoints move and shift every day, and army jeeps add to the unpredictability and annoyance by stopping and creating ad hoc mobile checkpoints at various spots.

According to the UN's Office for the Co-ordination of Humanitarian Affairs (OCHA), the number of such obstacles had increased to 534 by mid-December from 376 in August 2005, when OCHA and the Israeli army completed a joint count. When Ehud Olmert, the Israeli prime minister, agreed last month to ease restrictions at a few of these checkpoints as a concession to Mahmoud Abbas, the Palestinian president, human-rights people reported that not only did many of the checkpoints go on working as before; near the ones that had eased up, mobile ones were now operating instead, causing worse disruption and pain.
It is sometimes hard to fathom the logic of the checkpoint regime. One route from Ramallah, the Palestinian administrative capital, to Jerusalem, involves a careful inspection of documents, while on another the soldiers—if they are at their posts—just glance at cars' occupants to see if they look Arab. Israeli law strictly forbids Israeli citizens from visiting the main Palestinian cities, but they can drive straight into Ramallah and Hebron without being challenged, while other cities, such as Jericho and Nablus, remain impermeable. In many places the barrier that Israel is building through the West Bank for security purposes (though in Palestinian eyes to grab more land) is monitored with all the care of an international border, while around Jerusalem the army turns a blind eye to hundreds of people who slip through cracks in the wall as part of their daily commute.
Because of the internal travel restrictions, people who want to move from one Palestinian city to another for work or study must register a change of address to make sure they can stay there. But they cannot. Israel's population registry, which issues Palestinian identity cards as well as Israeli ones, has issued almost no new Palestinian cards since the start of the second intifada in 2000. And that means no address changes either. This also makes it virtually impossible for Palestinians from abroad to get residency in the occupied territories, which are supposed to be their future state, never mind in Israel.
No-through-roads galore
On top of that, in the past year several thousand Palestinians who had applied for residency in the West Bank and were living there on renewable six-month visitor permits have become illegal residents too, liable to be stopped and deported at any checkpoint, not because of anything they have done but because Israel has stopped renewing permits since Hamas, the Islamist movement, took control of the Palestinian Authority (PA) a year ago. (Israel says it is because the PA isn't handing over the requests.)
Like Israelis, Palestinians who commit a traffic offence on the West Bank's highways have to pay the fine at an Israeli post office or a police station. But in the West Bank the only post offices and police stations are on Israeli settlements that most West Bank Palestinians cannot visit without a rare permit. If they do not pay, however, they lose their driving licences the next time the police stop them. They also get a criminal record—which then makes an Israeli entry permit quite impossible.
Some of the regulations stray into the realm of the absurd. A year ago a military order, for no obvious reason, expanded the list of protected wild plants in the West Bank to include za'atar (hyssop), an abundant herb and Palestinian staple. For a while, soldiers at checkpoints confiscated bunches of it from bewildered Palestinians who had merely wanted something to liven up their salads. Lately there have been no reports of za'atar confiscation, but, says Michael Sfard, the legal adviser for Yesh Din, another Israeli human-rights body, the order is still in force. As he tells the story, he cannot help laughing. There is not much else to do.


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A president under fire at home
Jan 18th 2007

From The Economist print edition
Is the country's controversial president in decline?
IN THE higher echelons of the Islamic Republic, people may be losing patience with President Mahmoud Ahmadinejad. Informed Iranians do not think he risks losing his job. But plainly he is not as safe as he was. Conservatives in Iran's parliament and press blame his extravagance at home and braggadoccio abroad for Iran's worsening economic malaise and for the unpleasant sense of being ever more squarely in the Americans' firing line.
In recent weeks, the United States has twice seized Iranians in Iraq, sent another aircraft-carrier into the Persian Gulf and armed Iran's Arab neighbours with Patriot missiles. Such moves have been accompanied by a barrage of verbal attacks from top Americans, including the president and his secretaries of state and defence.

Already cock-a-hoop over the defeat of Mr Ahmadinejad's allies in local elections last month, his domestic critics are keen to blame him for the latest round of American sabre-rattling as well as for last month's sanctions resolution passed against Iran in the UN Security Council. It seems that a clutch of senior figures in the regime, perhaps including the supreme leader, Ayatollah Ali Khamenei, have endorsed the criticism.
“Just when the nuclear issue was about to move away from the UN Security Council, the president's fiery speeches have resulted in the adoption of two resolutions,” said Hamshahri, a popular newspaper in Tehran, the capital. Such comments mark a departure from last year, when it was deemed unwise to challenge the government's performance on the nuclear issue.
Mr Ahmadinejad's anti-American bluster has also been attacked in light of his recent visit to Latin America, widely viewed as ill-timed and unnecessary. A reformist daily, Etemaad-e Melli, called the Venezuelan, Ecuadorean and Nicaraguan presidents, who embraced Iran's president, “left-wing friends, good for coffee-shop discussions but not for setting our security, political and economic priorities”.
During the trip, Mr Ahmadinejad announced he would put $1 billion into an Iranian-Venezuelan fund to help countries “free themselves from the yoke of American imperialism”. That sharpened the more serious criticisms he faces at home over Iran's economic performance.
A recent statement signed by 150 members of parliament imposed conditions on the president in drawing up the budget for the next Iranian year, which starts in late March. The MPs are now calling on him to defend his record before parliament.
It would not be Mr Ahmadinejad's first run-in with deputies who supposedly share many of his own convictions. In late 2005, conservative MPs caused a crisis by rejecting several of the president's nominees for oil minister, the cabinet's most important post. They have since repeatedly questioned his off-the-cuff economic style, which pleases the masses but is disliked by most economists.
A sudden decision last year to raise the minimum wage had to be reversed when it caused job losses and strikes across the country. On his weekly trips to the provinces, the president is in the habit of dishing out government largesse to petitioners for local causes. And parliament has accused the government of favouritism in giving big contracts to the Revolutionary Guards without going to tender.
This lavish and sometimes whimsical spending has pushed up inflation and made Iran more vulnerable to oil-price fluctuations. MPs are increasingly concerned, not least because they face re-election early next year and fear they will be blamed for the country's economic woes.
The president seems to thrive on controversy. But he may be in for an unusually rough few months. Taking his cue from the supreme leader, Mr Ahmadinejad may be well advised to dampen his oratory and submit a prudent budget to parliament. But that is not his usual style.

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How imminent or real a threat?
Jan 11th 2007 JERUSALEM


From The Economist print edition
Israelis vary in their views of the Iranian menace
AFPThe official Iranian view of Israel
“FOR the first time since its independence, Israel is close to facing an existential threat.” Coming from Avi Dichter, the internal security minister, who fought in the 1973 war when Israel's Arab neighbours nearly defeated it in a surprise attack, these are surpassing words; Israeli politicians often paint their country's history as one long series of existential threats. But the prospect of an Iranian nuclear bomb, along with the call from its president, Mahmoud Ahmadinejad, for Israel to be “wiped off the map”, has them exercised as never before.
Most informed Israelis were sceptical about a report this week in a British newspaper, the Sunday Times, which cited unnamed Israeli military sources saying that Israel is training pilots for a tactical nuclear strike against three Iranian nuclear sites. It could have been carefully leaked sabre-rattling, but it seems strange, not to say irresponsible, for a country that still maintains an official policy of “ambiguity” about whether it even has nuclear weapons to let its officers spread such rumours. That said, though, its prime minister, Ehud Olmert, was lambasted for being similarly rash in virtually acknowledging his country's nuclear capability a few weeks earlier.

In any case, going it alone, as Israel did in 1981 when it hit Iraq's Osirak reactor, would have little certainty of success against Iran, as Israeli security officials are quick to stress. Iran may have other nuclear sites that nobody knows about or that are too well-protected. It has already built up a stockpile of uranium hexafluoride, the raw material for enrichment into reactor fuel or bomb-grade material, and is bound to store it deep underground. Even if its main enrichment plant, at Natanz, is destroyed, it may restart enrichment out of view elsewhere—if indeed it is not going on already. Moreover, for an attack to succeed, it would need to suppress Iran's air defences, and stop Iran retaliating by destroying some of its missiles and perhaps its naval facilities. Such a big campaign would need American help, and America is probably far too busy in Iraq.
Israeli officials think Iran may be downplaying technical problems with fuel enrichment, to convince the world that it already has all the required skills. The more time slips by, the lower the chances of success for any attack. And it is not only Israel's leaders who are worried. Thanks to their own dire warnings (“It is 1938, and Iran is Germany,” is the favourite line of the right-wing opposition Likud's Binyamin Netanyahu), a poll last month in Maariv, an Israeli newspaper, found that two-thirds of Israeli Jews think Iran would use a nuclear bomb to destroy Israel.
Still, a recent conference run by the Truman Institute at Jerusalem's Hebrew University showed that Israeli experts paint a subtler picture. One thing on which they seemed to agree is that an Iranian bomb is a danger—but will not be used soon. Top researchers such as Eldad Pardo of the Truman Institute and Ephraim Kam, a former military-intelligence colonel, concur that Iran's first area of concern is the Gulf region around it, not Israel. Iran sees its environs as “very dangerous”, says Mr Kam: Iraq exploding on one side, Afghan drug runners, who have killed 3,000 Iranian police and troops in recent years, infiltrating the border on the other, and the Americans stomping around in both. For the moment, he thinks, Iran's desire for nuclear weapons is defensive, not offensive—but that might change once it has them.
But there are debates about just what “defensive” means to Iran. The fact that America took out Iran's two biggest local enemies, Saddam Hussein and the Taliban, has emboldened its regime's pursuit of what Mr Pardo calls a “new religion”—neither truly Shia nor Sunni, but a syncretic, millenarian cult. Its followers, including Mr Ahmadinejad, believe in the imminent return of the Mahdi (the Shias' “hidden” imam, who vanished more than a thousand years ago), worship high technology (ie, nuclear weapons) and want Iran to become the leader of a pan-Islamic regime in the region—before tussling with the Western world, including Israel.


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A quintet, anyone?
Jan 11th 2007 BEIJING

From The Economist print edition
China is making it clear that it wants a bigger role in the Middle East
Reuters


UNLIKE other outside powers involved in the Middle East, China is on good terms with everyone. Hardly had Iran's chief nuclear negotiator, Ali Larijani, left Beijing than Israel's prime minister, Ehud Olmert (above with Wen Jiabao, his Chinese counterpart), arrived this week for talks with Chinese leaders. Should America be worrying?
Last month, the Chinese foreign ministry played host to what it called its first non-governmental seminar bringing together former senior Israeli and Palestinian officials to discuss ways of achieving peace. They reached a consensus that must have pleased their hosts. China, they said in a statement, should increase its influence in the Middle East and join the “Quartet” (America, the European Union, the UN and Russia) that is pursuing peace efforts. This, China's press quoted a Palestinian participant as saying, would help counter the bias of “some countries” involved.
Never mind that China, in the more than four years since it appointed a special envoy to the Middle East, has offered no original ideas. To all sides, it still has much to offer. To oil-exporting countries, China has rapidly emerged since the 1990s as a big customer and investor. Some 45% of China's oil imports from January to November last year were from the Middle East. To countries such as Iran and Syria, eager to check American power in the region, China's veto power at the UN and its shared misgivings about America make it a welcome friend. Refreshingly, China asks no questions about democracy.
Israel, too, courts China because of its potential influence in the region. China shares its distaste for Islamic militancy. And despite China's close ties with Arab countries and Iran, Israel (to America's chagrin) sees China as an important market for its military industries. Last week China unveiled a new home-built advanced fighter jet, the Jian-10. Western military experts believe it incorporates Israeli (as well as Russian) technology.
American officials do worry. China has been hesitant to put pressure on Iran to abandon its nuclear programme. In the first 11 months of last year, Iran was China's third-biggest supplier of oil after Angola and Saudi Arabia, providing 12% of the total. China has also been reluctant to penalise Arab-led Sudan for the bloodshed in Darfur. From January to November 2006, Sudan accounted for less than 3% of China's crude imports. But China has invested hugely in Sudan's oil infrastructure, helping it become a net oil exporter.
China sees advantages for itself in any diminution of American power. In its view, America's preoccupation with the insurgency in Iraq strengthens China's hand in its dealings with Taiwan. Anxious to avoid trouble on another front, America has been even more vigorous than usual in deterring Taiwan from angering China with any hint of a move towards formal independence. In both Sudan and Iran, China has often balked at American-led initiatives in the UN that could be seen as legitimising strong-arm tactics against countries deviating from international norms. China fears it might be next.
But China has recently edged closer to America's position. In November, its UN ambassador, Wang Guangya, began showing unusual zeal in trying to persuade Sudan to accept UN intervention in Darfur. The same month, China offered to send 1,000 troops to join UN peacekeepers in Lebanon. On December 23rd China and other members of the UN Security Council approved the imposition of sanctions on Iran's trade in nuclear and missile-related materials. The sanctions were hardly crippling, but China's endorsement of them was an important symbolic act.
Despite China's disdain for the American-led invasions of Iraq and Afghanistan (the latter bringing the American army right to China's border), it has not attempted to frustrate American operations in either country. It has pledged more than $300m for reconstruction in Afghanistan and begun negotiations with Iraq that could result in its writing off billions of dollars-worth of pre-invasion Iraqi debt. China was a big seller of arms to both Iraq and Iran during the 1980s war between the two countries. It hawked missiles and nuclear technology across the region. But since the 1990s it has been far more sympathetic to American concerns about weapons proliferation and has tightened its still-imperfect export controls.
China worries about its dependence on American military might for the security of its oil shipments from the Middle East. It is still a long way from being able to project military power over such a distance itself, though a Chinese official was quoted in the state-owned press this week as saying China had the ability to build an aircraft carrier, but had not decided when to do so. China is trying to diversify its sources of energy, buying more from Russia, Central Asia, Africa and Latin America.
But experts predict that China will long remain heavily dependent on energy from the Middle East. So it has little choice but to support efforts to stabilise the region. It may not agree with America's tactics, but will share the same broad objective. Jeffrey Bader, a former senior American diplomat now at the Brookings Institution, a think-tank in Washington, DC, says that China's resistance to American initiatives in Sudan and Iran depends on Russian support for its position. If Russia were to switch sides, so too would China, he argues. It is in no mood to take on America alone.
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Nasrallah calls for strike against Lebanese gov't
By JPOST.COM STAFF

Hizbullah leader Hassan Nasrallah called on Lebanon's citizens to take part in the Tuesday strikes organized by the Lebanese opposition against Fuad Saniora's government, Army Radio reported.
Nasrallah said of Saniora's government that if it would remain in power the Lebanese economic system would collapse.
Saniora called on his citizens not to take part in the strike, which, he said, was backed by Syria and Iran.
Both sides called on the public to avoid acts of violence.
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Peres says Israel won't fall, Iran will
By JPOST.COM STAFF

Talkbacks for this article: 83
Vice Premier Shimon Peres declared on Monday that Israel would pull through its current crises with Iran and the Palestinians, just as it had in past conflicts.
"I have been through 60 years of Israeli history, and I'm telling you - there have been harder days," Peres told an audience at the Herzliya Conference. "Israel will not fall - Ahmadinejad will fall."
Live video feed from the Herzliya conference
Peres also criticized comments by opposition leader Binaymin Netanyahu, in which the Likud chairman compared the current situation to the eve of World War II.
"This is not 1938," the vice premier declared. "It's not the way it was then. We will not sit on the sidelines, but we also do not need to jump."
Addressing the issue of a Palestinian state, Peres emphasized that there was already an agreement to transfer 90 percent of the West Bank to the Palestinians, and that Israel was ready for an exchange of territory.
Earlier, Defense Minister Amir Peretz said at the conference that negotiations with the Palestinians were not at a dead-end, and that even Hamas could be seen as a partner.
Speaking about the war in Lebanon last summer between Israel and Hizbullah, Peretz defended the role of the security establishment.
Earlier, former IDF chief of General Staff Lt.-Gen. (ret.) Moshe Ya'alon voiced skepticism over the chances of a Palestinian State being formed.
"A two-state, two-nation solution is irrelevant as long as the Palestinians lack a responsible and effective leadership," Ya'alon said, adding that "the continuation of Kassams [being fired at] Israel proves that the Palestinians are not interested in a state, but rather in destroying Israel."
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IDF builds fake Muslim city to prepare for war
By SHELLY PAZ

The IDF unveiled an Urban Warfare Training Center (UTC) on Monday in a mock city that simulates an Arab town, four months after the second Lebanon war ended.
The unit's commanders firmly stated that the city was planned eight years ago and that construction began a year ago. They added that the current pace of the training was two battalions each week.
The mock city is located in the southern Tze'elim military base. From a distance, it looks like any Arab urban center.
Around 500 structures were built for a maximum capacity of 5,000 residents. "Just like in every real city we built mosques, a Casba and even a refugee camp," said Lt.-Col Arik Moreh, the second in command of the Tactical Training City (TTC), part of the UTC, following a large urban warfare training exercise Monday morning.
Arab music was played in the background throughout the entire exercise, to get everyone in the mood.
In the center some of the houses' walls have holes, an imitation of those soldiers leave behind after breaking into houses and taking them over.
"This place was built as close as possible to reality. The density of the houses, the stores, a central plaza," said Moreh, adding that the exercise included mainly cadets from a commanders' course.
During the exercise, 350 soldiers were spread out in the fake town, some playing the role of civilians while a few women, dressed in American uniforms and armed with laser target rifles, acted as Hizbullah fighters.
"This is a routine breaker," said two of the women following a short demonstration in which soldiers broke into a house - successfully, of course.
"Usually we are Hummer operators but this exercise is fun because you have a chance to shoot these laser rifles," the girls explained.
"The main difficulty of such urban combat is to keep track of the location of each and every soldier, because as soon as the forces get into a town like this, they disappear in the houses and become invisible," said Moreh.
According to the IDF, the city's structures were influenced by many Arab cities, but mostly by Ramallah.
Every house is equipped with surveillance cameras which start filming as soon as the forces step inside, for debriefing purposes.
All field units will be trained in the UTC, including the Air Force, the special canine unit, DCO officials and even media representatives.
Brig.-Gen. Uzi Moskovich, the head of the Ground Training Center (GTC), said that the facility "is the largest one of its kind in the world" and stretches over 20 sq.km.
"In addition, the resemblance to a real urban center helps us prepare our forces better," he added.
"Most important are the debriefing capabilities the UTC is equipped with. This way we can reach the best conclusions."
Parts of the UTC are still under construction and will open in July 2007. Both regular and reserve units will train there and practice possible scenarios of urban fighting, from kidnappings to various terror activities and ambushes.
"Lessons will be learned together with all the participating units. We know that training is a process we will have to work on gradually," said Moskovich, adding that in the future, the IDF will host foreign armies.
"This kind of massive training in an environment that simulates a real fighting situation is one of the conclusions from the last war," said Moskovich.
According to Moskovich, there is no problem of demoralization among the soldiers. "The collective mood is that we made some mistakes which have to be taken into consideration, but all in all, the atmosphere is good," he said.
However, two paratroopers who, as reservists, took part in the exercise said the problem during the Lebanon war was the conduct of the political echelon.
"There is no forecast for another war soon, but the area we live in is not stable and the IDF has to be ready as soon as possible," concluded Moskovich.
After the photogenic simulation for the visiting journalists, First Lieutenant Effi said that a major differences between the UTC and a real combat situation is the live ammunition.
He added that "the fear factor is missing because this is only a simulation. But it helps improve our abilities. This is a more accurate tool for us and we hope we'll do better" in the next war.•
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Another chink in the armor of ambiguity
By ANSHEL PFEFFER

One wouldn't have to be a conspiracy theorist to discern an apparent connecting thread between Sunday's admission by the Deputy Director-General of the Israel Atomic Energy Commission, Dr. Ariel Levite, that Israel is a nuclear "threshold state," Prime Minister Ehud Olmert's inclusion of his country in the nuclear club in an interview with German television last month, and the reports based on Israeli sources in two British newspapers two weeks ago that Israel is considering using tactical nuclear weapons in an attack on Iran.
'Israel is a nuclear threshold state'
After decades of denial and obfuscation, faced with a materializing Iranian nuclear threat, Israel, it might easily appear, is finally beginning to come clean, gradually dropping hints amounting to a barely veiled threat to the mullahs: Don't mess with us.
A more sophisticated version would have that threat directed at our American allies: If you don't want us nuking Iran, do something about it yourselves first.
Neat theories, but they don't tally with the facts. The flustered and surprised reaction of the normally calm and collected Levite when confronted with what he had said in his lecture was not contrived; neither were the frenzied attempts by Olmert's aides to explain away his nuclear faux pas.
Even if there was a new hidden policy of gradual nuclear transparency, the Atomic Energy Commission, steadfast guardian of the nation's deepest secrets for five and a half decades, would be the last place where it would be implemented.
Levite's colleagues were surprised and slightly amused at the highly regarded civil servant's mistake. As the official in charge of nuclear policy and diplomacy, he occasionally gives off the record briefings to journalists, generally focused on the capabilities of other countries, and always guarded. This was obviously a one-off slip of the tongue.
Neither would such a strategy start from the prime minister. There are those within the defense establishment who believe that nuclear ambiguity has run its course and that the use of battlefield nuclear weapons shouldn't be ruled out if they can ensure the destruction of the Iranian program. But this is still a minority view.
Even if the prime minister favored a review of the nuclear ambiguity policy, as Binyamin Netanyahu did during his term, this is one field in which the prime minister's hands are tied to a great degree. He is shackled by secret agreements with US administrations stretching back to Kennedy and the most fundamental precepts of Israel's defense doctrine.
Even slight variations are reached only after deep deliberation and consultation. There are no signs anywhere that such a process of change has taken place over the last few months.
There is no subtle plan at work here. Olmert and Levite's remarks were inadvertent, while the reports in the British media hardly reflected policy. But the fact that both men, members of the small group of official "secret-guardians," slipped up at such a short interval between each other and at a time when the issue is at its most sensitive, proves how hard it is to preserve nuclear ambiguity.
It's not simply the fact that Israel's standard response that it "won't be the first to introduce nuclear weapons into the region" sounds hopelessly outdated when you can see satellite photos on foreign Web sites of what, according to foreign intelligence experts and nuclear scientists, are Israeli nuclear missile launching sites.
It's also problematic at the subconscious level.
A couple of decades ago, most Israelis were genuinely in the dark. They didn't know whether the county had the bomb or not. They just believed that we were in good hands. It wasn't only Mordechai Vanunu's revelations in the Sunday Times (which the Israeli newspapers subsequently published despite prime minister Shimon Peres's pleas) that changed this. It was a growing awareness of the world media and a general disinclination to believe the official line that things were being taken care of.
Israelis wanted to know what was really going on and they began believing what was published abroad. The cat-and-mouse game between the censor's office and the local media, which allowed anything to be written or broadcast as long as it was "according to foreign sources," contributed greatly to this. No Israelis have illusions anymore. They realize the terrible responsibility, even if the great majority are still in the dark regarding the details.
The irony today is that while Israelis are certain their country owns a nuclear option and talk about it freely, only those who know the entire truth are forbidden to speak. How ambiguous is that?
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'Israel is a nuclear threshold state'
By ANSHEL PFEFFER

Talkbacks for this article: 19
Dr. Ariel Levite, the deputy director-general of the Israel Atomic Energy Commission, admitted for the first time at the Herzliya Conference on Sunday that Israel is a nuclear "threshold state."
A threshold state is defined as one with the potential for developing nuclear weapons, but which has not officially announced this.
Live video feed from the Herzliya conference
Levite presented a historical analysis of nuclear history in his lecture at a session on "The Strategic Implication of the Changing International Nuclear Order."
According to Levite, during the "second nuclear age," which lasted from 1967 to 1989, international stability and treaties stopped the spread of nuclear arms beyond the five nuclear powers (US, USSR, Britain, France, China). Nonethless, there was a "crawling forward... as a result of which three threshold states present themselves, which remain outside the NPT [Nuclear Non-Proliferation Treaty]: India, Pakistan and Israel."
Levite's comment in the lecture runs counter to Israel's policy of nuclear ambiguity, under which officials and politicians never allude to Israel's capabilities.
Questioned after his lecture by The Jerusalem Post about his grouping Israel among the nuclear threshold states, Levite denied he had done so. He started with, "I said that is what the world believes," then changed to, "I didn't mention Israel at all, I only spoke about other countries. I left Israel to other speakers."
But Levite's denial is not borne out by the conference's official transcripts. Indeed, his speech can be seen and heard on the conference's Web site.
Levite is second-in-command of the commission responsible for all Israeli nuclear research and policy. The director-general is Dr. Gideon Frank, and it is chaired by Prime Minister Ehud Olmert.
Since the period described by Levite, India and Pakistan have declared their capabilities and tested nuclear bombs. On the other hand, according to foreign sources, Israel has nuclear weapons, but it has never admitted it. Instead, Israel has used the formulation: "Israel will not be the first country to introduce nuclear weapons into the region."
A former senior official involved with Israel's nuclear establishment said after Levite's lecture, "It's a well-known fact in the world, but I believe that this is the first time that an Israeli official said so."
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Opposition protesters paralyze Lebanon
Updated Tue. Jan. 23 2007 7:52 AM ET
CTV.ca News Staff
Thousands of Hezbollah-led protesters paralyzed parts of Lebanon Tuesday, barricading roads as part of a general strike aimed at toppling the government.
Black smoke rose over the capital Beirut as opposition supporters shut main roads with roadblocks of blazing tires, including those to the port and international airport.
Meanwhile, Hezbollah supporters chanted slogans as they lit tires in downtown Beirut near Prime Minister Fuad Saniora's office.
"Saniora out, down with the government," they said.
Blazing roadblocks cut off the road to Beirut international airport and the highway linking the capital with the mountains and the road to Damascus, the Syrian capital.
Witness accounts and footage broadcast on television also suggested the blockades had shut down many neighbourhoods of the capital, Beirut, as well as other areas around the country.
But Beirut Mayor Abdel-Munim Ariss insisted to Al-Arabiya television that the city was operating normally.
Aviation officials said the country's only international airport was operating as normal, but that few workers or passengers showed up.
Police said seven people suffered gunshots wounds in clashes between supporters of the guerrilla group and pro-government activists in central and northern Lebanon.
At least three of the protesters were wounded by gunfire when they tried to close the roads at the ancient Christian port town of Byblos.
Senior opposition leader Michel Aoun told Al-Arabiya television that the wounded were all members of the opposition.
Thousands of police officers and troops deployed across the country worked to open roads but refrained from using force.
In some instances, however, the military forcibly separated opposition and government supporters, who hurled rocks and insults at each other.
The strike escalates a nearly-two month campaign by Hezbollah, which is backed by Syria and Iran, and its allies to replace the government and hold early parliamentary elections.
The opposition has been camped out since Dec. 1 in front of the prime minister's office and staged several protests to press its demands. But the action has been largely peaceful until now.
Late Monday, Hezbollah chief Sheik Hassan Nasrallah urged supporters to participate in an "effective and powerful manner" in the strike, which was also backed by labour unions.
He reiterated the demand by Hezbollah and its allies for a veto-wielding share of the Cabinet -- a request that Saniora has rejected.
The prime minister and his supporters urged citizens to ignore the call, a move endorsed by banking associations and business leaders.
Government officials said the protests were tantamount to an attempted coup.
"This will fail as in the past, and the legitimate government of Lebanon will remain steadfast," Telecommunications Minister Marwan Hamadeh told Al-Arabiya television.
Another Cabinet minister, Ahmed Fatfat, expressed concern that violence could erupt between the rival factions.
"The opposition is attempting a coup by force ... This is not a strike. This is military action, a true aggression and I'm afraid this could develop into clashes between citizens," Fatfat, the youth and sports minister, told Al-Arabiya.
The strike has underscored existing political divisions. The anti-Syrian parliamentary majority, consisting of mostly Sunni Muslims, Druse and Christians, backs Saniora and is supported by some powerful outside players, including the U.S., France and Saudi Arabia.
The opposition is led by the pro-Syrian and pro-Iranian Shiite Muslim Hezbollah, and includes also some Druse and Christians.
The strike comes for a difficult time for the government, as potential donors gather in Paris for an international aid conference which the government hopes will yield billions of dollars for Lebanon's debt-wracked economy.
With files from The Associated Press

Saturday, January 20, 2007

Hillary is "in to win"


Hillary for President!!!
Today, Hillary Clinton finally made the announcement that everyone new was coming. She is running for President!!!! She will no doubt be the Democratic and 2008 Presidential front runner going up against potentially Barak Obama, Al Gore, John Edwards, John Kerry and Wesley Clark. I am personally very excited about Hillary Clinton becoming the first female President of the United States!!!
Tonight she also brought an interactive online video chat to her website located at www.hillaryclinton.com Hillary Clinton's website is a great campaign tool with opportunities to join Team Hillary, participate in "hillraisers", invite friends to view the site, request lawn signs, plan events and coffee parties, and during the Senate campaign had tabs outlining her position on all the major issues. She also keeps in regular communication through our email newsletter and videos on her website. Hillary Clinton's (www.hillaryclinton.com) website and Garth Turner's (www.garth.ca) website is a good indication of where I think politics is going in the campaigns ahead.
With the state of the union address Tuesday, Hillary will have her first chance to comment on the state of the union while having a large audience watching to see if she is presidential. The 2008 race is off to an early start and the early positioning is sure to affect current politics in Washington.
Looking forward to seeing what type of role Bill Clinton will play...
Darryl
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http://www.hillaryclinton.com/feature/video/

I'm in. And I'm in to win.

Today I am announcing that I will form an exploratory committee to run for president.
And I want you to join me not just for the campaign but for a conversation about the future of our country -- about the bold but practical changes we need to overcome six years of Bush administration failures.
I am going to take this conversation directly to the people of America, and I'm starting by inviting all of you to join me in a series of web chats over the next few days.
The stakes will be high when America chooses a new president in 2008.
As a senator, I will spend two years doing everything in my power to limit the damage George W. Bush can do. But only a new president will be able to undo Bush's mistakes and restore our hope and optimism.
Only a new president can renew the promise of America -- the idea that if you work hard you can count on the health care, education, and retirement security that you need to raise your family. These are the basic values of America that are under attack from this administration every day.
And only a new president can regain America's position as a respected leader in the world.
I believe that change is coming November 4, 2008. And I am forming my exploratory committee because I believe that together we can bring the leadership that this country needs. I'm going to start this campaign with a national conversation about how we can work to get our country back on track.
This is a big election with some very big questions. How do we bring the war in Iraq to the right end? How can we make sure every American has access to adequate health care? How will we ensure our children inherit a clean environment and energy independence? How can we reduce the deficits that threaten Social Security and Medicare?
No matter where you live, no matter what your political views, I want you to be a part of this important conversation right at the start. So to begin, I'm going to spend the next several days answering your questions in a series of live video web discussions. Starting Monday, January 22, at 7 p.m. EST for three nights in a row, I'll sit down to answer your questions about how we can work together for a better future. And you can participate live at my website. Sign up to join the conversation here.
I grew up in a middle-class family in the middle of America, where I learned that we could overcome every obstacle we face if we work together and stay true to our values.
I have worked on issues critical to our country almost all my life. I've fought for children for more than 30 years. In Arkansas, I pushed for education reform. As First Lady, I helped to expand health care coverage to millions of children and to pass legislation that dramatically increased adoptions. I also traveled to China to affirm that women's rights are human rights.
And in the Senate, I have worked across party lines to get billions more for children's health care, to stop the president's plan to privatize Social Security, and to make sure the victims and heroes of 9/11 and our men and women in uniform receive the fair treatment they deserve. In 2006, I led the successful fight to make Plan B contraception available to women without a prescription.
I have spent a lifetime opening opportunities for tens of millions who are working hard to raise a family: new immigrants, families living in poverty, people who have no health care or face an uncertain retirement.
The promise of America is that all of us will have access to opportunity, and I want to run a 2008 campaign that renews that promise, a campaign built on a lifetime record of results.
I have never been afraid to stand up for what I believe in or to face down the Republican machine. After nearly $70 million spent against my campaigns in New York and two landslide wins, I can say I know how Washington Republicans think, how they operate, and how to beat them.
I need you to be a part of this campaign, and I hope you'll start by joining me in this national conversation.
As we campaign to win the White House, we will make history and remake our future. We can only break barriers if we dare to confront them, and if we have the determined and committed support of others.
This campaign is our moment, our chance to stand up for the principles and values that we cherish; to bring new ideas, energy, and leadership to a uniquely challenging time. It's our chance to say "we can" and "we will."
Let's go to work. America's future is calling us.


-hillaryclinton.com





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Clinton launches presidential bid
Associated Press
Related to this article

US Democratic Senator Hillary Rodham Clinton from New York speaks at a press conference on Iraq on Capitol Hill in Washington 17 January, 2007. (MANNIE GARCIA/AFP/Getty Images)

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NEW YORK — Democratic Sen. Hillary Rodham Clinton embarked on a widely anticipated campaign for the White House on Saturday, a former first lady intent on becoming the first female president. "I'm in and I'm in to win," she said on her Web site. Ms. Clinton's announcement, days after Sen. Barack Obama shook up the contest race with his bid to become the first black president, establishes the most diverse political field ever. Ms. Clinton is considered the front-runner, with Mr. Obama and 2004 vice presidential nominee John Edwards top contenders. New Mexico Gov. Bill Richardson, who would be the first Hispanic president, intends to announce his plans on Sunday. "You know after six years of George Bush, it is time to renew the promise of America," Ms. Clinton says in a videotaped message in which she invites voters to begin a dialogue with her on the major issues - health care, Social Security and Medicare, and the war in Iraq. "I'm not just starting a campaign, though, I'm beginning a conversation with you, with America," she said. "Let's talk. Let's chat. The conversation in Washington has been just a little one-sided lately, don't you think?" Ms. Clinton, who was re-elected to a second term last November, said she will spend the next two years "doing everything in my power to limit the damage George W. Bush can do. But only a new president will be able to undo Bush's mistakes and restore our hope and optimism." In a defiant statement - and a nod to questions about her electability - Ms. Clinton said: "I have never been afraid to stand up for what I believe in or to face down the Republican machine. After nearly $70 million spent against my campaigns in New York and two landslide wins, I can say I know how Washington Republicans think, how they operate, and how to beat them." With millions in the bank, a vast network of supporters and top status in nearly every poll of Democratic contenders, Ms. Clinton is undertaking the most viable effort by a female candidate to capture the White House. Her creation of a presidential exploratory committee allows her to raise money for the campaign; she already has lined up campaign staff. She is the first presidential spouse to pursue the office; her husband, Bill, served two terms in the White House from 1993-2001. Mr. Obama said in a statement soon after Ns. Clinton's entry, "I welcome all the candidates, not as competitors, but as allies in the work of getting our country back on track." Ms. Clinton's announcement was the latest step in a remarkable political and personal journey for the 59-year-old Clinton - from Arkansas lawyer to first lady to New York senator to front-runner for the Democratic nomination. A polarizing figure since she burst onto the national scene during her husband's first presidential campaign, Ms. Clinton engenders strong opinions among voters, who either revere or revile her but rarely are ambivalent. She often is compared to her husband and found lacking in his natural charisma. Others have criticized her for being overly cautious and calculating when so many voters say they crave authenticity. Many Democrats, eager to reclaim the White House after eight years of President George W. Bush, fret that she carries too much baggage from her husband's scandal-plagued presidency to win a general election. Among many voters, she is best known for her disastrous attempt in 1993 to overhaul the nation's health care system and for standing by her husband after his marital infidelity. Ms. Clinton's allies counter by citing her strengths - intelligence, depth of experience, work ethic and immense command of policy detail. Advisers argue those skills, plus her popularity among women and younger voters, position her strongly as both a primary and general election candidate. In her first run for the Senate from New York in 2000 - a state where she had never lived and where she was branded a carpetbagger by many - Ms. Clinton won a landslide victory. Through dogged campaigning - including a "listening tour" of the state's 62 counties - Ms. Clinton was able to convince voters even in the conservative upstate region that she would represent them effectively in Washington. Ms. Clinton's 2002 vote authorizing military force in Iraq has become a significant political challenge. It angered activists who want her to repudiate her vote and aggressively seek to block Mr. Bush's proposed troop increase. She has toughened her criticism of the conduct of the war and Mr. Bush's handling of the conflict, and she recently called for capping troop levels in Iraq at around 140,000. She has rejected calls from liberal groups and Edwards to cut off funds for Mr. Bush's planned increase in U.S. troops. Ms. Clinton grew up in the Chicago suburbs in a conservative Republican household and was a "Goldwater girl" in 1964, supporting conservative icon Barry Goldwater in the presidential race won by Democrat Lyndon B. Johnson. By 1968, she was a Democrat. After graduating from Wellesley College, she attended law school at Yale where she met her husband, Bill Clinton. In 1974, she worked on the House Judiciary Committee's impeachment investigation of President Nixon before moving to Arkansas where she and Mr. Clinton were married in 1975. An influential player in her husband's political career in Arkansas, she leapt to the national scene during the 1992 presidential campaign when the two fought to survive the scandal over Gennifer Flowers' allegations of a lengthy affair with Mr. Clinton when he was the state's governor. The Clintons appeared together on CBS' "60 Minutes" to talk about their marriage - her first famous ``Stand by Your Man" moment. As first lady, Ms. Clinton headed up a disastrous first-term effort to overhaul the health care insurance system. There was more controversy as the couple battled allegations of impropriety over land deals and fundraising, missing records from her former Arkansas law firm and even her quick and hefty profits from an investment in cattle futures. There was no letup in the second term. The president found himself denying - then admitting - having a sexual relationship with White House intern Monica Lewinsky. As he battled impeachment and possible removal from office, his wife's poll numbers rose. Her own political career began to take shape in late 1998 when New York Democrat Daniel Patrick Moynihan announced he would not seek re-election to the Senate seat he had held since 1976. Within a few weeks, the first lady was being talked up by fellow Democrats as a possible successor for the veteran senator. On Feb. 12, 1999, the very day the Senate was voting not to remove her husband from office, Ms. Clinton met in the White House's family quarters with New York Democrat Harold Ickes, a former Clinton administration deputy chief of staff, to talk about a Senate run. The campaign trail was not always friendly. For almost every cheer, there was a shouted "Go home, Hillary!" and the emerging Republican theme that carpetbagger Ms. Clinton simply wanted to use New York as a launching pad for a later presidential run. She pledged to serve her full six-year Senate term if elected. In the Senate, Ms. Clinton quickly moved to establish herself as someone who could work with Republicans or Democrats, often sponsoring high-profile legislation with GOP colleagues.

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Likely 2008 U.S. presidential candidates

AFPPublished: Saturday, January 20, 2007

WASHINGTON -- Democratic Senator Hillary Clinton on Saturday took the first step toward a 2008 White House bid that could make her the first woman president of the United States.
She joins a handful of other presidential hopefuls who have either officially declared themselves candidates or formed "exploratory committees," enabling them to start raising funds for an eventual campaign.
The Democratic and Republican candidates will be decided in state votes beginning next January.
Following is a list of U.S. politicians who have officially declared, or are widely expected to declare, interest in seeking their party's nomination to run for the White House, with an eye toward succeeding President George W. Bush.

REPUBLICANS

The following Republicans have either officially declared their intentions to run or formed exploratory committees:
- Arizona Senator John McCain, 70, a Vietnam War hero who lost to Bush in the 2000 Republican primaries, has a reputation for independence and favors a U.S. troop buildup in Iraq.
- Rudolph Giuliani, 62, is a former New York City mayor who enjoys strong popularity in opinion polls, in part for guiding New York's response to the September 11, 2001 attacks on the World Trade Center.
- Former Massachusetts Governor Mitt Romney, 59, is credited with rescuing the 2002 Winter Olympics in Salt Lake City from scandal and mismanagement. The Boston businessman is a devout Mormon.
- Kansas Senator Sam Brownback, 50, is a Roman Catholic and representative of the religious right. He is expected to make a formal announcement of his intentions to run on Saturday in Topeka, Kansas.
- Duncan Hunter, 58, is a former chairman of the House of Representatives Armed Services Committee who takes a conservative line, particularly against illegal immigration.
- Colorado Representative Tom Tancredo, 61, is known for his tough stance against illegal immigration.
- Tommy Thompson, 65, is a former secretary of health and human services in the Bush administration.

The following have not declared their candidacy but are widely reported to be considering a run:

- Nebraska Senator Chuck Hagel, 60, is a moderate Republican and a vocal critic of the US handling of the war in Iraq.
- Newt Gingrich, 63, is a former speaker of the House of Representatives and a free-market liberal.

DEMOCRATS

The following Democrats have either officially declared their intentions to run or formed exploratory committees allowing them to raise money for a bid:

- New York Senator Hillary Clinton, 59, is a strong favorite for the Democratic Party nomination. She has already surrounded herself with a team of experienced advisers, including her husband, former president Bill Clinton, and many political heavyweights from his administration.
- Illinois Senator Barack Obama, 45, is considered the first African-American to have a serious chance of winning the presidency. Charismatic and telegenic, he has begun a round of visits to key battleground states.
- John Edwards, 53, is a former senator and John Kerry's vice presidential running mate in the 2004 election. Edwards is a populist trial lawyer who has nurtured his support base in key states for party primary races, such as Iowa and South Carolina.
- Tom Vilsack, 56, is the outgoing governor of Iowa, where the United States' first caucus will be held in January 2008. He is considered an outsider.
- Ohio Representative Dennis Kucinich, 60, is a pacifist who promotes social issues and embodies the party's left wing. He was a Democratic hopeful in 2004 but garnered only minimal backing.
- Delaware Senator Joseph Biden, 64, the powerful centrist chairman of the Senate Foreign Relations Committee, is an attorney and law professor first elected to the U.S. Senate in 1972, when he was just 29 years old.
- Connecticut Senator Chris Dodd, 62, a senior Democratic leader in the Senate, is an old hand in foreign affairs. He was first elected to Congress in 1974, serving for six years in the House of Representatives before being elected to the Senate in 1980.

The following have not declared their candidacy but are widely reported to be considering a run:

- New Mexico Governor Bill Richardson, 59, is a former energy secretary in the Clinton administration and a former U.S. ambassador to the United Nations. He has also lent his negotiating expertise to talks with North Korea and efforts to resolve the Darfur conflict. If elected, he would be the first Hispanic U.S. president.
- Wesley Clark, 62, a former supreme allied commander of NATO in Europe, could launch another campaign after his failed attempt in 2004.
- Al Gore, 58, Clinton's vice president, was defeated by Bush in the 2000 election. He feebly denied having any presidential aspirations after the success of "An Inconvenient Truth," his documentary on global warming, leaving open the possibility that he will join the race.
- Massachusetts Senator John Kerry, 63, is a Vietnam War veteran who already has plenty of experience running for president, having lost the 2004 election to Bush. He has said he would soon announce his plans for the 2008 election.


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Clinton Joins ’08 Field, Fueling Race for Money



By PATRICK HEALY and JEFF ZELENY
Published: January 21, 2007
Senator Hillary Rodham Clinton jumped into the 2008 presidential race yesterday, immediately squaring off against Senator Barack Obama and the rest of the Democratic field in what is effectively the party’s first primary, the competition for campaign donations.
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Announcement Sends Race Into High Gear (January 21, 2007)
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Mrs. Clinton’s Web Site (HillaryClinton.com)Who’s Running in 2008?
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Kate Phillips and The Times's politics staff report on the latest political news from around the nation.
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Mrs. Clinton’s Web site, HillaryClinton.com, this morning.
“I’m in,” Mrs. Clinton said in an e-mail message to supporters early yesterday. “And I’m in to win.”
If successful, Mrs. Clinton, 59, would be the first female nominee of a major American political party, and she would become the first spouse of a former president to seek a return to the White House.
Her entrance into the race followed Mr. Obama’s by less than a week, and highlighted the urgency for her of not falling behind in the competition for money, especially in New York, her home turf, where the battle has already reached a fever pitch. It also set off rounds of e-mail messages and conference calls among both her allies and opponents. [Page 26.]
George Soros, the billionaire New York philanthropist, has made maximum donations in the past to both candidates, for instance, and last week he faced a choice: support Mr. Obama, who created his committee on Tuesday, or stay neutral and see what Mrs. Clinton and others had to say. In his case, the upstart won.
Mr. Soros sent the maximum contribution, $2,100, to Mr. Obama, the first-term senator from Illinois, just hours after he declared his plans to run.
“Soros believes that Senator Obama brings a new energy to the political system and has the potential to be a transformational leader,” said Michael Vachon, a spokesman for Mr. Soros.
Mrs. Clinton’s presidential operation is only one day old, but she already finds herself in a breakneck competition against Mr. Obama for fund-raising supremacy in two towns that she and her husband have mined heavily for political gold: New York and Hollywood. Mr. Obama’s entrance into the race has also put up for grabs other groups that are primary targets for Mrs. Clinton, including African-Americans and women.
At this early stage in the nomination fight, securing donations and signing up fund-raisers are among the best ways of showing political strength in a crowded field (seven Democrats and counting). And Mr. Obama and Mrs. Clinton are looking to raise at least $75 million this year alone.
Advisers said yesterday that they had begun corralling donors to build quickly on the formidable $14 million that Mrs. Clinton already had in the bank. They predicted that they would outpace Mr. Obama, though they acknowledged that he is moving impressively to try to match Mrs. Clinton’s national fund-raising network, which has been in the making far longer than his.
Mrs. Clinton faces some fatigue among donors after more than 15 years of Clinton fund-raising, Democratic contributors and strategists said, and some skepticism about whether she can win. Yet she has the Democrats’ most popular rainmaker at her full disposal, former President Bill Clinton, and she has influential friends like the lawyer and power broker Vernon E. Jordan Jr. to help keep African-American donors and others by her side.
Notably, no prominent Clinton fund-raiser has moved to Mr. Obama’s camp (though his aides are working on it). Mrs. Clinton has also lined up a powerful roster of fund-raising and economic advisers in New York, including the financiers Roger Altman, Steven Rattner, Blair W. Effron, Alan Patricof and Mr. Rattner’s wife, Maureen White, a former finance chairwoman of the Democratic National Committee.
“Maureen and I will happily do everything we can to help her,” Mr. Rattner said. “Based on our long relationship with her, we feel that she has demonstrated incontrovertibly that she would be an effective candidate and a terrific president.”
For all of the attention swirling around Mr. Obama, meanwhile, he faces many obstacles as he seeks to become the nation’s first black president. His background, including a father from Kenya and a mother from Kansas, has elevated his appeal, but it does little to answer questions about whether he has the experience to serve in the White House.
Picking off Clinton loyalists is no easy task, either. Hours after opening his fund-raising committee on Tuesday, Mr. Obama convened separate conference calls with donors in Chicago and on the East and West Coasts; in the East Coast phone call, according to participants, Mr. Obama asked them to keep an open mind about his candidacy even if they had been allies of Mrs. Clinton.
James Torrey, chairman of the global hedge fund Torrey Funds, said he signed on with Mr. Obama not as a snub to Mrs. Clinton, but because he believed that the Illinois senator had the best chance of inspiring Democrats and other voters.
“I know it’s perceived as an anti-Hillary thing,” Mr. Torrey said in an interview Friday. “I think she’s marvelous, I think she’s a great senator, but I’d rather see Barack Obama as president. I think the Republicans will make it their life’s work to bring her down.”
Several New York and Hollywood donors offered a similar assessment: they liked Mrs. Clinton as a senator, but worried that her approval rating in the presidential sweepstakes hovered at only 40 percent, despite having nearly 100 percent name recognition

Some of her veteran supporters in New York are now on the fence, including the business executives Orin S. Kramer and Robert Zimmerman, who are active in Democratic politics. Others say they plan to play it safe and contribute to both candidates. In Los Angeles, the producers David Geffen, Jeffrey Katzenberg and Steven Spielberg are working to plan a fund-raiser for Mr. Obama after he officially enters the race, which he is scheduled to do on Feb. 10. Mr. Geffen has signed on with Mr. Obama, while Mr. Katzenberg and Mr. Spielberg have not decided which candidate to formally endorse.
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Related
Announcement Sends Race Into High Gear (January 21, 2007)
Transcript: Senator Clinton’s Statement About Her Candidacy for President (January 20, 2007)
Mrs. Clinton’s Web Site (HillaryClinton.com)Who’s Running in 2008?
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Patrick Healy on Senator Clinton’s Announcement (mp3)
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The Caucus
Kate Phillips and The Times's politics staff report on the latest political news from around the nation.
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Yet hedging bets with a spread of donations could prove perilous with the Clinton camp, said Bob Kerrey, the former Nebraska senator who is president of the New School University.
“The Clintons value loyalty, and I don’t think they are going to risk offending her,” Mr. Kerrey said of Mrs. Clinton’s traditional supporters, noting that he spoke to several undecided Democrats last week. Referring to Mr. Obama, he added: “He’s got to reach out to Hillary’s supporters and hope he can persuade some of them. If he doesn’t, she’s the nominee.”
Mr. Zimmerman said he was enthusiastic about Mrs. Clinton. Asked why he had not aligned with her yet, he said: “It’s appropriate and respectful to hear every candidate’s message.”
Mr. Obama is putting together his own finance team to focus on New York. He has hired Julianna Smoot, who helped tap Wall Street money as part of a record-setting team at the Democratic Senatorial Campaign Committee under Senator Charles E. Schumer of New York. He has also dispatched a fund-raiser, Jenny Yeager, to run his New York operation, and he is calling on Robert Wolf, chairman of UBS Americas, to raise money. (A spokeswoman for Mr. Wolf, who has donated to Mrs. Clinton and other Democrats, confirmed that he planned to help Mr. Obama.)
In New York, chief executives, lawyers, entertainers, gay men and lesbians, African-Americans and women have been prominent in political fund-raising for decades — though usually they are picking among outsiders, not hometown friends and allies. Yet the 2008 race will test personal and political loyalties, with Mrs. Clinton preparing to announce a run and former Mayor Rudolph W. Giuliani and perhaps former Gov. George E. Pataki moving to seek the Republican nomination. Mayor Michael R. Bloomberg is also being encouraged to run as an independent.
The attention given to Mrs. Clinton and Mr. Obama is making fund-raising that much more difficult for other Democrats. While former Senator John Edwards of North Carolina still hopes to tap into a network of supporters among trial lawyers, his former profession, and to build an army of grass-roots donors, strategists for other candidates conceded that raising money would be an uphill battle and said it was an open question whether there was room for more than one alternative to Mrs. Clinton.
“I just got off the phone with someone who said, ‘It’s between Edwards and Obama,’ and with a little nudging I pushed him over to the Obama camp,” said Jeh Johnson, a partner at the Paul, Weiss law firm in New York who has been making fund-raising calls on behalf of Mr. Obama.
Mr. Johnson, who was general counsel for the Air Force in the Clinton administration, said younger Democrats and women — crucial parts of Mrs. Clinton’s base — were excited about Mr. Obama. “I haven’t encountered many New Yorkers who say, ‘No, I’m not interested, I’m a Hillary supporter,’ ” he said.
The competition for supporters — and contributors — extends well beyond New York. And Mr. Obama could complicate Mrs. Clinton’s fund-raising efforts in Chicago, another lucrative base for Democrats. In her Senate re-election bid last year, she raised nearly $700,000 from Illinois, her native state.
One Democratic operative, who has knowledge of Mrs. Clinton’s fund-raising operation in the Midwest, called donors in Chicago last week after Mr. Obama’s announcement, asking whether it would be foolhardy to sign onto the Clinton campaign if he was in the race. While party officials say Mr. Obama will have an advantage in Chicago, they said Mrs. Clinton would still find considerable support there.
While Mr. Obama has never run a national campaign, his political action committee, the Hopefund, has attracted a broad base of contributors from across the country.
In the New York entertainment industry, too, Mr. Obama’s candidacy has received raves. Hours after his announcement Tuesday, the Broadway producer Margo Lion sent out an e-mail message urging her friends to donate to him — making clear that the theater community was not locked down by Mrs. Clinton.
“Along with many others in the industry, I will be producing a fund-raiser at the St. James Theater later this spring” for Mr. Obama, Ms. Lion wrote. “We need to find a new direction for our country, and finally, we have the man to do it.”


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Clinton’s Announcement Makes Waves in ’08 Field


By PATRICK HEALY
Published: January 20, 2007
Senator Hillary Rodham Clinton’s entry into the 2008 presidential contest this morning set off rounds of e-mail and conference calls among both her allies and opponents, some of whom were shaking their heads that a major political event was happening at 9:30 on a Saturday morning.

Mrs. Clinton’s Web site, HillaryClinton.com, this morning.
Advisers to some of her top 2008 rivals – Senators John McCain and Barack Obama, and former Gov. Mitt Romney of Massachusetts – replied within minutes to requests for comment, and signaled that the Clinton announcement meant that the 2008 race was truly underway.
“She’s tough enough, smart enough, and experienced enough to overcome a decidedly liberal philosophy,” said John Weaver, a senior adviser to Senator John McCain, who is preparing to seek the Republican presidential nomination.
“The Clinton, Obama, Edwards chain match will be hard to avert my eyes from, speaking as a pure spectator, of course,” he added, referring to former Senator John Edwards of North Carolina. (At least four other Democrats are preparing campaigns as well.)
Clinton advisers said they chose Saturday as the target date for an announcement during a meeting in mid-December, and that Mrs. Clinton was “raring to go” on Friday, in the words of one confidant.
“I have never been afraid to stand up for what I believe in or to face down the Republican machine,” Mrs. Clinton said in announcing a presidential exploratory committee of her new “Hillary for President” Web site. “After nearly $70 million spent against my campaigns in New York and two landslide wins, I can say I know how Washington Republicans think, how they operate, and how to beat them.”
Six years after making history by winning a United States Senate seat as first lady, Mrs. Clinton has set her sights on breaking yet more political barriers in her extraordinary and controversial career.
If successful, Mrs. Clinton, 59, would be the first female presidential nominee of a major American political party, and she would become the first spouse of a former president to seek a return to the White House. President Bill Clinton left office in January 2001 after two terms marked by robust economic expansion and a series of investigations into his personal life and the Clintons’ business dealings.
The successes and shadows of those years will likely loom over Mrs. Clinton, who was both a hands-on adviser and a divisive presence in his administration.
Yet Mrs. Clinton has become a major political figure in her own right: She is broadly popular with women, African-Americans, and other core groups in the Democratic Party, and she is one of the party’s best fund-raisers and most sought-after speakers. She is admired by many independents and Republicans in New York, winning re-election last year by a 30 percentage-point margin. While she is not associated with any major piece of legislation, she is widely regarded as an effective, thoughtful lawmaker who has built bipartisan ties.
Her early support for the Iraq war, however, and her unpopularity in the 1990s have stirred doubts among Democrats about whether she can win the presidency. And she remains an enigma and a caricature to many people: Radically liberal, coldly ambitious, or ethically compromised. Her friends say that she is none of these, but acknowledge that part of her challenge is letting voters see the full her and not simply a controlled, rehearsed politician no easy task for such a private and protective person.
In the statement on her website, Mrs. Clinton, called for “bold but practical changes” in foreign, domestic, and national security policy and said that she would focus on finding “a right end” to the Iraq war, expanding health insurance, pursuing greater energy independence and strengthening Social Security and Medicare.
By saying she knew how to “beat” Republicans, she also squarely confronted an issue that concerns many Democrats: Whether she can, in fact, win the presidency. Some voters still associate her most with the controversies of the Clinton administration, and Republicans have long attacked and caricatured her, and plan to brand her as indecisive on Iraq.
Mrs. Clinton announced that she was forming a committee to raise money for a presidential campaign in an e-mail message sent this morning to thousands of supporters, as well in a video and the statement on her Web site.
The advisers said she wanted to announce Saturday so she would dominate the weekend news and Sunday talk shows, and to demonstrate a vivid contrast in leadership with President Bush as he prepares for his State of the Union speech on Tuesday night. Next weekend she plans to campaign across Iowa, the site of the first presidential caucuses in January 2008, and visit the early primary state of New Hampshire soon after.
Mrs. Clinton appears at the head of the Democratic pack in many national polls, yet she is in a tighter spot in some voter surveys in Iowa and New Hampshire, which kick off the presidential nominating process. Recent polls show Mr. Obama and Mr. Edwards doing well in those states.
“She has not spent as much time in those state as in others, but this is a woman who is not a stranger for hard work, and who is prepared to go out and work hard for every vote,” said one Clinton adviser, who spoke on condition of anonymity because he did not want to openly acknowledge that she was running behind to anyone.
Other than Mr. Obama and Mr. Edwards, the 2008 Democratic field at this stage also includes Senators Joseph R. Biden Jr. of Delaware and Christopher J. Dodd of Connecticut; former Gov. Tom Vilsack of Iowa; and Representative Dennis J. Kucinich of Ohio. An eighth, Gov. Bill Richardson of New Mexico, is set to declare on Sunday that he is forming an exploratory committee as well.
Beginning Monday at 7 p.m., Mrs. Clinton plans to hold three nights of live video discussions online in which she will answer voters’ questions. She pledged in her statement to continue “a national conversation about how we can work to get our country back on track.”
Her old Senate campaign Web site was also transformed this morning, with a new banner — “Hillary for President” — as well as a page for fund-raisers (“Hillraisers”), and a series of essays and campaign memos that promote her presidential candidacy.
Her entry into the race was long anticipated; even before she won her Senate seat in 2000, people joked about the restoration of the Clinton White House someday, with her in the Oval Office.
Her advisers this week rejected an idea spreading in Democratic circles that she would rush to announce as a way to overshadow Mr. Obama, who has engendered intense Democratic interest as a steady critic of the Iraq war and as a skilled orator who comes across as a nonpartisan and unifying force in politics.
Like Mrs. Clinton, Mr. Obama is also poised to make history. If successful in the primaries, he would be the first African-American to win the Democratic nomination. He is her only real rival at this point in drawing huge crowds of voters at political stops and in driving the 2008 political discussion in the media.
The past week alone has shown the ways that the Clinton and Obama candidacies are intersecting: He announced Tuesday and dominated political coverage in the media; she swept in on Wednesday, fresh from her trip to Iraq, and appeared on the network morning shows to talk about the war (pushing the news of his candidacy to second place); later that day, he issued a statement embracing a cap on American troops in Iraq, hours after she had made a similar proposal. And they are now both jockeying for donors in New York, Hollywood and elsewhere.
If Mr. Obama’s ideas and experience are still under development — a concern for some Democrats — Mrs. Clinton’s agenda and history are a mixed bag for many voters.
Her political message flows from centrist Democratic views or, as she likes to say, common sense: Staking out pragmatic, doable, middle-of-the-road positions that can win the broadest popular support. She supports abortion rights, for instance, but has called abortion a tragic choice and speaks urgently about the need for more adoptions. She supports a ban on flag burning, but would not go so far as to amend the Constitution, as some conservatives wish. She supports gay rights generally, but not gay marriage.
Mr. Obama, meanwhile, has sought to offer himself as a fresh start for national politics after a succession of presidents named Bush, Clinton, and Bush — and after four decades of divisive rancor, from the sixties and Vietnam to Roe v. Wade, Watergate, Iran-contra, the Monica Lewinsky scandal, and now the Iraq war.
On Iraq, perhaps the most defining issue for Democratic candidates in the race at this stage, Mrs. Clinton voted in October 2002 to authorize President Bush to use military force. As is her style, Mrs. Clinton, a Wellesley-educated, Yale-trained lawyer, offered arguments for and against that vote on the floor of the Senate that day; she urged more diplomatic efforts, but also said of her vote, “I cast it with conviction.”
While she has not explicitly repudiated that vote, she has moved away from it, becoming a forceful critic of the White House war strategy and saying last month that she would not vote the same way today.
Mrs. Clinton and Mr. Obama — as well as the other five Democrats running — have sufficiently different histories and political postures on Iraq that it could be a pivotal issue for voters choosing between them. Mr. Obama, for his part, was a member of the Illinois Legislature in 2002, where he was a vocal opponent of invasion.
Both senators, like most of the other Democrats running, are now fierce opponents of the Bush war plan. Mr. Obama, Mr. Edwards, and Mr. Biden have sought to raise their profiles in the media as war critics, giving speeches and interviews about Iraq and, after Mr. Bush’s address to the nation last week, appearing on news outlets to criticize him.
Mrs. Clinton is a more cautious politician, preternaturally so, and she does not gravitate toward the cameras; they gravitate toward her. She did not appear on television after the president’s speech; instead she went to Iraq to hear from military commanders, a means of fashioning and updating her views on the war.
That careful, deliberate style impresses some Democrats but irritates and deflates many others: She tends to tweak her views and her rhetorical nuances to position herself in the center of most issues, leaving an uninspired impression for some. Political analysts say she is neither a firebrand nor a stem-winder in public, though privately she can be sharply opinionated, outspoken, sarcastic, and funny. Part of the challenge for the Clinton campaign will be showing the different facets of her personality to voters and humanizing her for those who find her too polarizing, too calculating or too moderate.
Indeed, she is already the most overly scrutinized politician in America — from her political positions to her wardrobe and hairstyles — and she is careful and sensitive about her public profile. She has worked hard in the Senate to form alliances with Republicans, including some of those who sought to remove her husband from office in 1999 after it was revealed that he had tried to hide information about his extramarital affair with a White House intern, Ms. Lewinsky.
Some of her friends chide her for still being the “Goldwater girl” of her youth, growing up in a Republican household in the Chicago suburbs. Advisers say that she is not predisposed to risk, but rather pursues “evidence based decision-making” — a favorite phrase of hers — and avoiding the appearance of suddenly changing her positions or seeming indecisive.
Indeed, most of her life in politics and the law was devoted to methodical, behind-the-scenes work: After attending Yale Law School, where she met Mr. Clinton, she worked on the House Judiciary Committee’s impeachment investigation of President Richard M. Nixon. She then moved to Arkansas and married Mr. Clinton, and she became his political partner and a senior policy adviser when he was governor there.
After her husband’s election as president in 1992, Mrs. Clinton took on the role of crafting and shepherding his administration’s massive proposal for universal health insurance. But the complexity of the proposal, and the secrecy of the White House deliberations, sapped support among members of Congress, and Mrs. Clinton — while praised for some of her public presentations — shared the blame when the plan collapsed. (She jokes now about still bearing the “scars” from that experience, and she has favored incremental policy ideas to expand health care.)
Mrs. Clinton has said that she is a far better lawmaker and politician today because of her experiences and lessons during the White House years. Yet it is unclear how difficult it will be to persuade Americans to see her in a fresh light and give her a full hearing, given that she is so well known and that voters’ attitudes about her are so firmly shaped at this point.
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Related: Barak Obama Announces his intention to run for President in 2008





A Message from Barack

Watch Barack's statement on forming a PresidentialExploratory Committee
As many of you know, over the last few months I have been thinking hard about my plans for 2008. Running for the presidency is a profound decision - a decision no one should make on the basis of media hype or personal ambition alone - and so before I committed myself and my family to this race, I wanted to be sure that this was right for us and, more importantly, right for the country.
I certainly didn't expect to find myself in this position a year ago. But as I've spoken to many of you in my travels across the states these past months; as I've read your emails and read your letters; I've been struck by how hungry we all are for a different kind of politics.
So I've spent some time thinking about how I could best advance the cause of change and progress that we so desperately need.
The decisions that have been made in Washington these past six years, and the problems that have been ignored, have put our country in a precarious place. Our economy is changing rapidly, and that means profound changes for working people. Many of you have shared with me your stories about skyrocketing health care bills, the pensions you've lost and your struggles to pay for college for your kids. Our continued dependence on oil has put our security and our very planet at risk. And we're still mired in a tragic and costly war that should have never been waged.
But challenging as they are, it's not the magnitude of our problems that concerns me the most. It's the smallness of our politics. America's faced big problems before. But today, our leaders in Washington seem incapable of working together in a practical, common sense way. Politics has become so bitter and partisan, so gummed up by money and influence, that we can't tackle the big problems that demand solutions.
And that's what we have to change first.
We have to change our politics, and come together around our common interests and concerns as Americans.
This won't happen by itself. A change in our politics can only come from you; from people across our country who believe there's a better way and are willing to work for it.
Years ago, as a community organizer in Chicago, I learned that meaningful change always begins at the grassroots, and that engaged citizens working together can accomplish extraordinary things.
So even in the midst of the enormous challenges we face today, I have great faith and hope about the future - because I believe in you.
And that's why I wanted to tell you first that I'll be filing papers today to create a presidential exploratory committee. For the next several weeks, I am going to talk with people from around the country, listening and learning more about the challenges we face as a nation, the opportunities that lie before us, and the role that a presidential campaign might play in bringing our country together. And on February 10th, at the end of these decisions and in my home state of Illinois, I'll share my plans with my friends, neighbors and fellow Americans.
In the meantime, I want to thank all of you for your time, your suggestions, your encouragement and your prayers. And I look forward to continuing our conversation in the weeks and months to come.

Sincerely,

U.S. Senator Barack Obama

Thursday, January 18, 2007

Globalisation and the rise of inequality




Globalisation and the rise of inequality

Rich man, poor man

Jan 18th 2007
From The Economist print edition
A poisonous mix of inequality and sluggish wages threatens globalisation



James Fryer

GLUERS and sawyers from the furniture factories in Galax near the mountains of Virginia lost their jobs last year when American retailers decided they could find a better supplier in China. At the other end of the furniture industry Robert Nardelli lost his job this month when Home Depot decided it could find a better chief executive in his deputy. But any likeness ends there. Mr Nardelli's exit was as extravagantly rewarded as his occupation of the corner office had been. Next to his $210m severance pay, the redundant woodworkers' packages were mean to the point of provocation.

That's the way it goes all over the rich world. Since 2001 the pay of the typical worker in the United States has been stuck, with real wages growing less than half as fast as productivity. By contrast, the executive types gathering for the World Economic Forum in Davos in Switzerland next week have enjoyed a Beckhamesque bonanza. If you look back 20 years, the total pay of the typical top American manager has increased from roughly 40 times the average—the level for four decades—to 110 times the average now.

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These are the glory days of global capitalism. The mix of technology and economic integration transforming the world has created unparalleled prosperity. In the past five years the world has seen faster growth than at any time since the early 1970s. In China each person now produces four times as much as in the early 1990s. Having joined the global labour force, hundreds of millions of people in developing countries have won the chance to escape squalor and poverty. Hundreds of millions more stand to join them.

That promises to improve the lot of humanity as a whole incalculably. But in the rich world labour's share of GDP has fallen to historic lows, while profits are soaring. A clamour is abroad that Mr Nardelli and his friends among the top hundredth—or even the top thousandth—of the population are seizing the lion's share of globalisation's gains. Meanwhile everyone else—not just blue-collar factory workers but also the wider office-working middle class—shuffles along, grimly waiting for the next round of cost-cuts. They are not happy.
Fear and clothing

Signs of a backlash abound. Stephen Roach, the chief economist at Morgan Stanley, has counted 27 pieces of anti-China legislation in Congress since early 2005. The German Marshall Fund found last year that, although most people still say they favour trade, more than half of Americans want to protect companies from foreign competition even if that slows growth. In a hint of labour's possible resurgence, the House of Representatives has just voted to raise the federal minimum wage for the first time in a decade. Even Japan is alarmed about inequality, stagnant wages and jobs going to China. Europe has tied itself in knots trying to “manage” trade in Chinese textiles. The Doha round of trade talks is dying.

What is to be done about this poisonous mix? If globalisation depends upon voters who, as workers, no longer think they gain from it, how long before democracies start to put up barriers to trade? If all the riches go to the summit of society and that summit seems beyond everybody else's reach, are the wealth-creators under threat?
Should you blame China or your computer?

The panic comes in part from a rush to lump all the blame on globalisation. Technology—an even less resistible force—is also destroying white- and blue-collar tasks in a puff of automation and may play a bigger role in explaining rising wage inequality and the sluggish growth of middling wages. The distinctions between technology and globalisation count, if only because people tend to welcome computers but condemn foreigners (whether as competitors or immigrants). That makes technology easier to defend.

For economists, the debate about whether technology or globalisation is responsible for capital's rewards outpacing those of labour is crucial, complicated and unresolved. One school, which blames globalisation, argues that the rocketing profits and sluggish middling wages of the past few years are the long-lasting results of trade, as all those new developing-country workers enter the labour market. This school says that technology helps workers by increasing their productivity and eventually their wages. The opposing school retorts that technology does not increase wages immediately, and some sorts of information technology seem to boost the returns to capital instead (think of how much more a dollar's worth of computing power can do these days). And it questions whether Western incomes will remain flat: recent wage rises in America and pay claims in Europe and Japan may start to reverse the balance back away from capital.

In practice, it is hard to parcel out the blame between technology and globalisation, because the two are so intertwined. Ask IBM, which is hastily shipping bits of its services arm to India; or the call-centre worker who sees off the threat of his job going abroad by settling for only a tiny pay rise. And from a policymaker's point of view, it matters little what is causing the pain: the remedies are broadly the same.

The first rule is to avoid harming the very miracle that generates so much wealth. Take for instance the arguments about high executive pay. Some say this is simply a matter of governance—and forcing company boards to work better. If only it were that simple. High pay is, by and large, the price needed to attract and motivate gifted managers, as our special report argues in this issue. The abuses of companies such as Home Depot obscure how most high pay has been caused not by powerful bosses fixing their own wages, but by the changing job of the chief executive, the growth of large companies and the competitive market for talent. Executive-pay restrictions would not put that horse back in its box, but they would harm companies.

If the winners are difficult to curb without doing damage to your economy, the losers are tough to help. Doling out aid for the victims of trade makes sense in theory; but in practice it is increasingly hard to do (see article). When the jobs going abroad are not whole assembly lines, but bits of departments, how exactly do you pick out the person who has lost his job to globalisation from the millions of people changing jobs for other reasons? And, hardhearted though it may sound, most of the gains from trade and technology alike come from the way they redeploy investment and labour to activities that create more wealth. That, like all change, can be painful; but it is what makes a country richer. A policy locking people into jobs that could be better done elsewhere is self-defeating.

The same goes for protectionism—especially now that the victims of globalisation are so scattered throughout the rich world, not camped in embattled industries. Trade has always created losers and it has always been in their narrow interest to seek protection (even if it hurts everyone else). But if many workers across many different industries were to demand protection at once, the selfish appeal of such a shield would fade.

Because hardship from globalisation is so difficult to distinguish from hardship in general, it would be open season to put up trade barriers in industry after industry. Widespread protection would surely meet with retaliation from abroad. Even if people gained as workers they would lose as consumers, investors and future pensioners. Moreover, the protection of jobs and pay would be short-term, because it would gradually lead to companies losing competitiveness as rivals in India and China innovated (see article). Paradoxically, therefore, the greater the number of people threatened by globalisation, the less each of them is likely to gain from getting their governments to stand in its way.
The limits of redistribution

If protectionism will not help the losers, what about using the tax system? Some argue that redistributing more cash from the Nardellis to the Galaxians would not just make society less unequal; it would also buy middle-class support for globalisation. In fact the two arguments should be kept separate.

This newspaper has long argued that a mobile society is better than an equal one: disparities are tolerable if combined with meritocracy and general economic advance. For decades America has shown how dynamic economies are better than equality-driven ones at generating overall prosperity. That still leaves plenty of room to debate how progressive to make taxation (some of George Bush's tax cuts were needlessly regressive), or how lavish to make public services (American welfare is hardly generous). But a society would want compelling evidence that the social contract had been torn up before flexing the tax system to offset what may turn out to be only temporary fluctuations in relative incomes. And it makes little sense for free-traders to use taxes to buy off people from voting for protectionism, when doing so would in any case be against their interests.
Active, not reactive

Instead, the way to ease globalisation is the same as the way to ease other sorts of economic change, including the impact of technology. The aim is to help people to move jobs as comparative advantage shifts rapidly from one activity to the next. That means less friction in labour markets and a regulatory system that helps investment. It means an education system that equips people with general skills that make them mobile. It means detaching health care and pensions from employment, so that every time you move your job, you are not risking an awful lot else besides. And for those who lose their jobs—from whatever cause—it means beefing up assistance: generous training and active policies to help them find work.

None of that comes cheap—and much of it takes years to work. But an economy that gains from globalisation can more easily find the money to pay for it all. The businesspeople and politicians gathering on their Swiss Alp next week should certainly spend more time worrying about the citizens of Galax; but they also need to be far more courageous about defending a process that can do so much good even if its impact can sometimes appear so cruel.

Sunday, January 14, 2007

Stephen Harper victory speech (2006 election)

As we head into the next session of parliament on January 29, let us take some time and reflect on the Conservative win just less than a year ago. In this video Stephen Harper addresses supporters in Calgary Alberta after winning the 39th General Canadian Election on January 23rd, 2006.

As we go into the next session of parliament, we could be back to the polls once again. To get to this speech, Stephen Harper had to prove he was a uniter. First he united the Canadian Alliance party after 6 rebel MPs split from Stockwell Day. He then united the right by making a controversial deal with Peter MacKay. In 2004 he ended Liberal majority rule after defeating Belinda Stronach and Tony Clement in the Conservative leadership. Finally in 2006, Conservatives came to power for the first time since Brian Mulroney. January 23, 2007 will be the one year anniversary of the Conservative return to power.

Let us reflect on the fruitful day where the hard work of Progressive Conservatives, Conservatives, Reformers and Alliance members achieved their goal of regaining power within Canadian politics.

Enjoy...

Darryl

Banging the Iran war drums


Rice Visit to the Middle East:
Just after George W. Bush released his plan for Iraq, Condi Rice was off to the Middle East to attempt to sell the plan. But what conditions does she face when she gets there?

For starters, people are demanding action on the Arab-Israeli peace process. Abbas who America and Israel are trying to strengthen, has absolutely nothing that he can deliver to his people and as a result it is Hamas that is really calling the shots. Hamas supreme leader Khaled Meshal seemed to recognize Israel when he was visiting in Iran. The move was seen as a huge concession in the Arab world. Tzipi Livni recently proposed a bold new plan that would start negotiations on land, settlements, borders, disarming, the wall, Jerusalem, Arab recognition of Israel, the right of return and water resources now, but would hold off implementation until the terrorists disarmed. The idea is that this plan would give Palestinians a vision for peace and a reason to turn away from terrorism in order to see their negotiated independent state recognized and implemented in exchange for renouncing violence. The Road Map is also being questioned as ineffective as a recent Madrid summit and also the Saudi peace plan seems to be preferred over the US backed road map. The Saudi plan calls for the Israelis withdrawing back to 1967 borders in exchange for full peace and recognition from the entire Arab world. Jordan’s king was advocated that today. On a positive note, it seems Syria is also trying to reach out for peace with Israel. The benefit of reaching peace with Syria is that it cuts the supply lines between Lebanon and Iran. The drawback is that the cost is the full Israeli return of the Golan Heights to Syria in exchange for real peace. Rice is also witnessing Iran and Syria meet unilaterally with the current Iraqi government. At this point it seems only America is trying to avoid peace with Syria and dialogue with Iran. Dealing with Syria and Palestine is key to solving the stalemate in Lebanon in which Sheik Hassan Nasrallah is attempting to get a veto power in cabinet over the current Western backed government through six weeks of constant democratic street protests.

In Iran, it appears that Mahmoud Ahmadinejad is facing some domestic pressure within Iran. Remember that unlike Syria, Egypt, Jordan, Libya, Kuwait, and Saudi Arabia; Ahmadinejad is elected and accountable to the people. Those people rejected his diplomacy and foreign adventures during the most recent election. They also want him to focus on less confrontation with the West and more focus on the domestic economy and internal issues. Now Ahmadinejad is being challenged by Conservatives, who are questioning his poor diplomacy skills with regards to the nation’s nuclear program. Many feel it is doing more harm than good. Recent reports out of Iran also suggested that Iran’s oil reserves are in the decline. There is a good chance that we do not need a war to bring down this President. Slowly, people in Iran are growing more and more dissatisfied with Mahmoud Ahmadinejad as time goes on. We also have to remember that Ahmadinejad is not the real leader of Iran. Ultimately Ayatollah Ali Khamenei calls all of the shots in Iran. Despite Iran’s self destruction, it seems that Bush, Rice and Israel are beating the drums to war in Iran. Talk is increasing and it seems that the US is set to add a fifth front to the war on terror before Bush leaves office. An attack on Iran will no doubt be a disaster and should be stopped by the international community. China, Russia, Japan, England, France and Germany all have relations with Iran. Today Ahmadinejad is building relationships right in America’s own backyard South America. It may be time to include Iran in a broader peace conference so that we can move forward in Iraq and in the Palestine-Israel conflict. Attacking another Muslim nation is not the answer to America’s problems in the Middle East.

In Somalia, the United States has gotten into another war that American’s are all to familiar with thanks to the “Black Hawk Down” movie. This war seems to have been a proxy war with Americans using Ethiopian troops to route out the Islamic courts in Somalia. Now they are engaged through air strikes and special operation troops. What is interesting is how little public debate occurred before getting involved in this conflict again. When did Congress or the Senate vote on this? Is this the same strategy that would be implemented by the Whitehouse should the administration attack Syria or Iran? This is scary and the media must put more focus on what is going on in this fourth front on the war on terror. I also find it amazing that Somalia has faced unilateral strikes and intervention without UN approval, yet we continue to play games in Darfur where a legitimate genocide is ongoing.

As Rice faces all of these issues, she finds herself selling an Iraq strategy that doesn’t even have widespread support in America. Saudi Arabia is funding the Sunni militia groups. Iran is supporting the Shiite groups. Turkey is interfering to make sure there is no independent Kurdistan. All sides are trying to drive American forces out so that they can engage in civil war for power over the new Iraq.

Given his lack of credibility around the world, is this a conflict George Bush and the current American administration can solve? The world needs leadership and right now we are not getting it. The conference in Madrid is a good start at moving forward. Who will step up to host a conference with another major round of peace talks? The EU? The Arab League? The United States at Camp David? Canada? Venezuela? With the growing threat of nuclear war and the obvious fact that these conflicts will not be solved militarily when do we change the status quo? Despite the hell that is the Middle East right now, sometimes these negative events can be turned into a real opportunity to move forward. The Middle East now has the opportunity to move forward. When will the West decide to play a positive role in the process? Are Abbas and Olmert strong enough domestically to deliver? Could this be a 2008 Presidential platform to be implemented after new elections in Palestine and Israel? Time will tell when the world moves beyond this unresolved issue now going beyond 60 years without a solution.

The time is now to implement Israeli Foreign Minister Tzipi Livni’s plan of holding negotiations over the tough issues now and implementing once the Palestinians can renounce violence and recognize Israel and pre-1967 borders. Some results must be achieved diplomatically and a vision must be painted before the people believe violence is not the answer to achieve their ends. Negotiations should occur between the Israeli government and a united Palestinian government as soon as possible. Once an acceptable solution to both sides is negotiated, a regional conference should take place to solve the remaining conflicts with Syria, Lebanon and the rest of the Arab world. Finally a push should be made for a nuclear free Middle East.

For all of this to be achieved, it is interesting that we go back once again to Climate Change. The American addiction to oil is one of the central reasons for the state of the Middle East today. Embracing the arguments for global warming, researching new technologies and better using existing technologies such as the electric car, hybrids, fuel cell technology, agriculture fuel, and other green solutions may be the way to not only save our planet; but also reduce Western reliance on the Middle East. Lets get on with the Middle East peace process and climate change as both threaten the world as we know it.

Thanks for reading…


Darryl

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A recognition problem
Jan 13th 2007 JERUSALEMFrom Economist.com
Israel exists. A Hamas leader briefly admits the obvious
Reuters/AFP

DID he or didn’t he? This week Khaled Meshal, the head of the Palestinians’ ruling Hamas movement, seemed to soften—slightly—his stance on Israel. According to Reuters, he said that “As a Palestinian today I speak of a Palestinian and Arab demand for a state on 1967 borders. It is true that in reality there will be an entity or state called Israel on the rest of Palestinian land.” He would not grant Hamas’s formal recognition of Israel, one of Israel’s and the Western world’s conditions for lifting their 10-month-old boycott of the Palestinian Authority (PA) government. But, he said, “The distant future will have its own circumstances and positions”—a seeming climbdown from previous statements that Hamas would never recognise Israel.
Within hours, Hamas spokesmen in Gaza were backpedalling. One suggested that Mr Meshal’s words had been distorted, while another hastened to point out that Hamas’s position hadn’t actually changed.

And the latter, at least, seems to be true. Although Mr Meshal has more weight, plenty of other Hamas leaders have said many times that Israel is a reality, that they want a Palestinian state along the 1967 ceasefire lines (ie, in the West Bank and Gaza only), and that one day, perhaps after a few decades of peaceful coexistence, they might put the question of formally recognising Israel to a Palestinian referendum. More junior politicians, such as Hamas mayors, will sometimes go further and admit that Hamas will have to recognise Israel eventually.
Why, then, the stubborn refusal to just go the extra yard and recognise Israel now, especially as the result is the crushing sanctions regime? Many members of Hamas say that they will not recognise Israel's right to exist and may not do so even if Israel were to withdraw right back to the pre-1967 “green line”. The official ideology of Hamas is clear enough. It refuses in principle the idea of a Jewish state in any part of Palestine at all. Israel's position, on the other hand, is that it accepts the right of the Palestinians to a state in the West Bank and Gaza, but says that the final border should be set by negotiation. (Although Israel also says it wants to keep some of the West Bank’s land for existing settlements and security purposes.) There may be another reason for Hamas's intransigence that has nothing to do with Israel's stance: recognising Israel could lose it the support of its biggest foreign ally, Iran
In practice, if Hamas really were ready to strike a deal, and if the two sides ever were to sit down to talk about peace, they could probably work out a land-swap formula that compensates the Palestinians for the bits that Israel wants to keep. But to guarantee this, the Palestinians want the 1967 lines recognised in principle as a way to guarantee a fair swap.
More petulantly, Hamas officials often demand to know why there is so much nit-picking about a recognition which they say would have no legal or practical value—after all, Hamas is a party, not a state. And Fatah, Yasser Arafat’s party, with which Israel negotiated the Oslo peace accords, still calls for the destruction of Israel in its written charter; Arafat publicly declared the charter “caduc” (null and void) in 1989, but it has never been formally abrogated.
Certainly, many Palestinians feel that Israel and the world are insisting on the formal recognition of out sheer bloody-mindedness. But increasingly, they see Hamas’s refusal to bend as no less stupidly stubborn. The face-off between Hamas and Fatah has led to an arms race and an escalation of violence that leaves neither party with much control. Powerful clans, extremist militants and criminal gangs are moving in to fill the vacuum. In its attempts to regain control, Hamas is resorting to the same tactics of co-option and strong-arming that made Fatah despised. Even if it were to do an about-face and accept all the world’s conditions, it is doubtful that it could reassert the role it was meant to play as an elected government. The hair-splitting dispute over words is just another a depressing indication that neither side is yet ready to make a serious push for peace.
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Mashaal comments downplayed
By HERB KEINON AND KHALED ABU TOAMEH

Talkbacks for this article: 88
Damascus-based Hamas leader Khaled Mashaal said Wednesday that Israel is a "reality," but the significance of his words were immediately downplayed by both Israeli and Hamas officials.
Mashaal, in an interview with Reuters, was quoted as saying that Israel is a "reality" and "there will remain a state called Israel, this is a matter of fact."
"The problem is not that there is an entity called Israel," said Mashaal. "The problem is that the Palestinian state is non-existent."
Recognizing Israel's right to exist, as well as forswearing terrorism and accepting previous Israeli-Palestinian agreements are the three criteria that the Quartet has set for granting the Hamas-led PA government legitimacy and lifting financial sanctions.
Over the last few months there have been efforts to get Hamas to implicitly recognize Israel, without explicitly saying so.
"As a Palestinian today I speak of a Palestinian and Arab demand for a state on 1967 borders. It is true that in reality there will be an entity or state called Israel on the rest of Palestinian land," said Mashaal. "This is a reality but I won't deal with it in terms of recognizing or admitting it," he added.
But both Israeli diplomatic sources and Hamas leaders and spokesmen in the West Bank and Gaza Strip said that Mashal's words did not constitute a change in the movement's policy.
"Saying that Israel is an established fact is just a recognition of reality," one Israeli diplomatic source said. "It doesn't say that they [Hamas] accept this fact." The source said that there was nothing in Mashaal's comment that said Hamas had changed its desire to wipe Israel off the map.
A senior Hamas official in Gaza City, meanwhile, said, "acknowledging that Israel exists does not mean recognizing its right to occupy the land of Palestine, which belongs only to the Moslems."
Another top Hamas representative in the West Bank said he was unaware of any major change in the movement's policy.
"Hamas reiterates its readiness to reach a long-term truce with Israel if Israel agrees to withdraw from all the territories that were occupied in 1967," he explained. "The fact that we acknowledge Israel does not mean that we recognize its right to take our land."
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'Time to look at the political horizon'
By HERB KEINON AND KHALED ABU TOAMEH

Talkbacks for this article: 19

US Secretary of State Condoleezza Rice hinted Sunday that she was in favor of ideas presented recently by Foreign Minister Tzipi Livni about negotiations with the Palestinian Authority over the contours of a future state even before the road map is implemented, to give the Palestinians a "political horizon."
Rice, at a press conference in Ramallah after meeting Palestinian Authority Chairman Mahmoud Abbas, said it was time "to look at the political horizon and begin to show the Palestinian people how we might move toward a Palestinian state."
Palestinian Affairs: What plans?
Analysis: Neither Olmert nor Abbas has much to offer Rice
According to the plan articulated recently by Livni, negotiations with the Palestinians over statehood would take place even though they have not implemented the first stage of the road map - uprooting the terrorist infrastructure - but that Palestinian statehood would only materialize once the Palestinian obligations under the road map were met.
The logic behind this approach is to give the Palestinians an incentive to either vote Hamas out of office or get the organization to change its stripes so that the road map could be implemented and statehood could be achieved.
After meeting Abbas, Rice went to Amman for talks with Jordan's King Abdullah. According to Jordan's official news agency, Petra, Abdullah called on the United States to actively push for a revival of Palestinian-Israeli negotiations.
Abdullah warned that without tangible, specific steps to activate the implementation of the road map "the cycle of violence will widen."
Rice's visit to Jordan was part of her efforts to strengthen the "moderate" camp in the Arab world.
She is expected to discuss various ways that this can be done during a meeting scheduled Monday morning with Prime Minister Ehud Olmert in Jerusalem.
Following her meeting with Olmert, Rice will travel to Egypt, and then to Saudi Arabia and Kuwait.
In her press conference with Abbas, Rice promised deeper US engagement in the Middle East peace process. "I have heard loud and clear the call for deeper American engagement in these processes," she said.
"The US is absolutely committed to helping find a solution where Israelis and Palestinians can live in security, in which they can live in peace and which they can live in democracy. You will have my commitment to do precisely that."
Nevertheless, Palestinian Authority officials in Ramallah expressed disappointment with the outcome of Rice's talks with Abbas, saying she did not bring any new ideas.
"Rice came only to listen," said a senior PA official after the meeting between Abbas and Rice. "We're disappointed because she did not bring new ideas to resume the peace process."
Abbas told Rice that he opposes the establishment of a provisional Palestinian state with temporary borders. "We reaffirmed to Secretary Rice our rejection of any temporary or transitional solutions, including a state with temporary borders, because we don't regard it as a realistic option," he told a joint press conference with Rice.
Abbas said the Palestinians were keen on resuming the peace process with Israel only on the basis of the road map. He complained that Israel had failed to fulfill its promises to ease restrictions on the Palestinians following his meeting last month with Olmert.
Israel, Abbas added, should give the peace process a chance by stopping the construction of the security fence and settlements in the West Bank, releasing Palestinian prisoners, halting all security measures and lifting the "siege" imposed on the Palestinians.
He also stressed the need to extend the cease-fire that was declared in the Gaza Strip several weeks ago to the West Bank.
Referring to efforts to form a unity government with Hamas, Abbas said it was premature to talk about a summit with Syria-based Hamas leader Khaled Mashaal.
Sources close to Abbas and Hamas said over the weekend that they did not rule out the possibility that the two would meet laterthis week in Damascus.
Abbas reiterated his threat to call early presidential and parliamentary elections if talks with Hamas over the formation of a unity government did not result in a "happy end." Hamas criticized the meeting between Abbas and Rice, saying it was aimed at serving the interests and security of Israel.
Commenting on Rice's statements in Ramallah, Hamas spokesman Fawzi Barhoum said the US secretary of state did not bring anything new to the Palestinians. "She came to Ramallah to give the Palestinians empty promises," he said. "The purpose of her visit is to consolidate the road map, which does not grant the Palestinians their basic rights."
Rice, meanwhile, said in a Channel 10 interview that talk about a possible military strike against Iran shows just how serious it would be for the Iranians to continue down the path of nuclear development.
"I still think there is room for diplomacy, but even talk of such action shows how serious it would be for Iran to continue their actions unabated," she said.
Rice discussed the recently imposed UN Security Council sanctions on Iran, saying they sent "a strong message to Iran that the world is united against the path that they have embarked on." But, she said, sanctions alone were still not enough.
Rice also backed Olmert's decision not to engage in dialogue with the Syrians, despite various overtures toward negotiations coming from Damascus. "There is no indication that the Syrians have anything but disruptive plans for the Middle East," she said in the interview.
In a related development, chief of General Staff Lt.-Gen. Dan Halutz told the cabinet Sunday that recent comments about the likelihood of a war this summer with Syria were "premature and exaggerated." With these comments Halutz was trying to "reduce the temperature" with Syria. He said that Damascus was also hearing the talk in Israel of a war in the summer, and that sometimes "miscalculations can lead to unwanted consequences."
Shin Bet Director Yuval Diskin, meanwhile, said at the meeting that the unprecedented level of violence last week between Fatah and Hamas had increased the chance of a Palestinian unity government.
"The violence between the two factions is the worst that we've had in a long time, with 20 killed in one week," Diskin said. He said that most of the violence was Hamas members killing Fatah members. He said that as the violence got worse, the chances were better that a Palestinian unity government would be formed.
Diskin said that there was growing talk on the Palestinian street of a unity government that would include Ismail Haniyeh as prime minister, Salaam Fayad as finance minister, and an interior minister from the outside who would be agreeable to both.
He said that the Palestinians themselves were taken aback by the level of violence last week between the two factions.
Regarding the situation in Gaza, Diskin said that Hamas was careful not to fire Kassam rockets on Israel, and that the organization was respecting the "calm" with Israel and using the period to rebuild its forces.
He said that the Kassam rockets were being fired primarily by Islamic Jihad, and that - unlike the situation in the past - these rockets were not being provided by Hamas. He said that Hamas has not and would not take any action against "resistance forces."
Turning to the tenuous security situation along the Gaza-Egyptian border, Diskin said that there has been a decline in arms smuggling from Sinai to Gaza, and that this might be because the Egyptians were doing more to prevent smuggling.
He added, however, that Hamas had continued to receive money from Iran, and that the money continued to be smuggled in through Egypt.
Diskin said that the international isolation of Hamas was depriving the organization of legitimacy and funds, but was as a result driving it into Iran's arms, and that Teheran was happy to provide the group with money and training.
Regarding Hizbullah, Diskin told the cabinet that the organization was working to build an infrastructure in Gaza, the West Bank, and even to a certain degree among Israeli Arabs.

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Ahmadinejad's stand criticized

IRAN Both sides of political divide take aim at leader's nuclear diplomacy
January 14, 2007 Ali Akbar DareiniAssociated Press
TEHRAN–Conservatives and reformists are openly challenging President Mahmoud Ahmadinejad's hard-line nuclear diplomacy – an unusual agreement across Iran's political spectrum, with many saying his provocative remarks have increasingly isolated their country.
The criticism comes after the UN Security Council voted unanimously last month to impose sanctions on Iran for refusing to halt uranium enrichment. Some critics view the sanctions as an indication that Iran must change its policy.
After a year of silence, reformists are demanding that Iran dispel fears that it is seeking to build atomic weapons, pressing for a return to former president Mohammad Khatami's policy of suspending enrichment, a process that can produce the material for either nuclear reactors or bombs.
"Resisting the UN Security Council resolution will put us in a more isolated position," said the largest reformist party, the Islamic Iran Participation Front.
Ahmadinejad's popularity already was weakened after his close conservative allies were defeated last month in local elections, which were widely seen as a referendum on his 18 months in power.
Even some conservatives warn his confrontational tactics are backfiring.
"Your language is so offensive ... that it shows that the nuclear issue is being dealt with a sort of stubbornness," the hard-line daily Jomhuri-e-Eslami said in a recent editorial.
Some politicians on both sides of the political spectrum are considering impeaching Iranian Foreign Minister Manouchehr Mottaki if the Security Council approves more resolutions against Iran.
"That all 15 members of the Security Council unanimously voted – against the claim by our diplomatic apparatus that there was no unanimity against Iran – shows the weakness of our diplomatic apparatus," said Noureddin Pirmoazzen, a reformist lawmaker.
Despite the criticism, Ahmadinejad has remained defiant, escalating Iran's nuclear standoff with the United States and its allies.
He has repeatedly refused to suspend enrichment, even under pressure from its trade allies Russia and China. Iran insists its nuclear program is for peaceful purposes, denying allegations from the United States and its allies that it is secretly trying to build a bomb.
Yesterday, Ahmadinejad met with fellow U.S. critic Venezuelan President Hugo Chavez at the start of a Latin America tour – his second such visit in four months. Critics say the trip was partly aimed at diverting attention from disapproval at home.
Ahmadinejad has also distanced some of his conservative base by calling for the Israeli government to be "wiped off the map" and hosting a conference last month that cast doubt on the Holocaust.
Many feel he has spent too much time defying the West and too little tackling Iran's domestic issues.
"The sanctions imposed on Iran are believed to have been partly due to Ahmadinejad's anti-Israel rhetoric and the Holocaust conference," said political analyst Iraj Jamshidi.
The president's tactics, Jamshidi said, have turned Iran's nuclear program from a source of national pride to a hotbed of dispute.
"Ahmadinejad made two major claims in his presidential campaign: to bring oil revenues to the kitchen of every Iranian family and to protect Iran's nuclear achievements. He failed in both," he said.

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Jordan's king meets Rice
Abdullah II told Rice the US should do more to end the Israeli-Palestinian conflict [AFP]
http://english.aljazeera.net/NR/exeres/9BC34E05-132B-45BD-A5A5-0E438B5A11F3.htm

Jordan's king has told Condoleezza Rice, the US secretary of state, that the violence in Iraq can only be ended by a political solution that includes all of Iraq's feuding ethnic and religious groups.

Abdullah II also told Rice during their meeting on Sunday that Washington must "actively push" for a solution to the Israeli-Palestinian conflict.
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Abdullah said that Iraq could not be stabilised unless sunnis were not engaged in their country's decision making.

"Any political process that doesn't ensure the participation of all segments of Iraqi society will fail and will lead to more violence," he told Rice, his press office reported.
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"As a key component of the Iraqi social fabric, the Iraqi sunni community must be included as partners in building Iraq's future," said the king, a top US ally in the Mideast.

Along with other US allies like Egypt and Saudi Arabia, Jordan is concerned by the growing Shia influence in Iraq, Syria and Lebanon.

Plea for Palestine

Abdullah also said "called on the United States to actively push for a revival of Palestinian-Israeli peace negotiations" the statement from his office said.

He said that this "would lead to the establishment of a viable, independent Palestinian state that would fulfill Palestinian aspirations for freedom, independence and security."

Abdullah said "without tangible, specific steps to activate the implementation of the road map in the near future, the cycle of violence will widen."

The US-backed 'road map' peace plan calls for the creation of an independent Palestinian state.

He also called on a solution to the Israeli-Palestinian conflict based on international legality and the Arab Peace Initiative.

This initiative, unveiled at an Arab summit in Lebanon in 2002, calls for Israel to withdraw from all territory occupied since the 1967 Mideast war in return for full recognition by Arab countries.

Rice arrived in Jordan earlier Sunday from the West Bank, where Mahmoud Abbas, the Palestinian president, told her that he opposed the establishment of a provisional Palestinian state in temporary borders, a key part of the road map.

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Abbas rejects temporary border plan
Rice visited Abbas as part of her tour of the Middle East [AFP]
http://english.aljazeera.net/NR/exeres/8996A21E-0D83-462F-A5F8-3E57808AE0F9.htm

Mahmoud Abbas, the Palestinian president, has told Condoleezza Rice, the US secretary of state, that he opposes the establishment of a provisional Palestinian state within temporary borders.

Abbas made the announcement after meeting Rice in the West Bank city of Ramallah. Rice visited Abbas as part of a fact-finding tour of the Middle East.
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"We told secretary Rice that we reject any temporary solutions, including a transitional stage, because we don't see it as a realistic option," Abbas said during a news conference with Rice on Sunday.
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More US involvement

The border plan was floated last month by Tzipi Livni, Israel's foreign minister, and is also part of the US backed "road map".

In response to Abbas, Rice said that the road map was the way towards a lasting solution.

"The Palestinian people have waited a long time for their own state. The Israeli people have waited a long time to live in security and peace with their neighbours"
Condoleezza Rice, US secretary of state"My work is going to be best targeted, I think, in these next months on trying to accelerate progress on the road map, which after all would lead us then to a Palestinian state and to helping the Palestinians and Israelis think through the political horizon," she said.

She also said that the United States needed to deepen its involvement in Middle Eastern peace efforts.

"You will have my commitment to do precisely that," she said.

"The Palestinian people have waited a long time for their own state. The Israeli people have waited a long time to live in security and peace with their neighbours," Rice said.

Mohammed Dahlan, an Abbas confidant, said after the meeting that Rice "showed understanding" for the Palestinian position.

However, Rice did not consult any member of the democratically elected Hamas Palestinian government during her trip.

Ghazi Hamad, a Hamas spokesman, said the US policy of backing Abbas and ignoring Hamas was "doomed to fail because the Palestinian people are not bought with money, and no one believes that trying to lure some [Palestinians] will lead to results".

"American policy has not changed for a long time, and it attempts to create rifts between the parties," he said.

Walid Batrawi, Al Jazeera's correspondent in Ramallah, said that despite Rice's visit to Abbas, the US' main focus for her Middle East tour was the US military plan for Iraq.

However, Batrawi said that the US has said in the past that a resolution to the Israel-Palestinian conflict is necessary for security across the wider Middle East.

Early elections

Abbas said he will aim to go ahead with early elections if current coalition talks with the Hamas government fail.

However, Abbas said it was too early to talk about a meeting between him and Khaled Meshaal, Hamas's leader, who is based in Syria.
Abbas is to visit Syria later this month.

The Palestinian leader said early elections are still an option. "We hope and we work to achieve this [a unity government] as soon as possible," he said. If not, "we will return to the people and hold the early parliamentary and presidential elections".

Rice's meeting with Abbas followed talks on Saturday, Livni, and Amir Peretz, the Israeli defence minister.

Last month, Livni proposed setting up a provisional Palestinian state, with a border based on the separation barrier Israel is building in the West Bank.

Full details on the US-supported road map for the Middle East can be found on the US state department website

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Turkey mulls action against PKK
Turkey fears that Kurds in Iraq are moving towards establishing an independent state [AFP]
http://english.aljazeera.net/NR/exeres/9C9E0B77-4A7C-4D4F-B65C-A8F8DA2DE75D.htm

The leader of Turkish largest opposition party has said he would support the government if it chose to launch a cross-border offensive against Turkish Kurdish rebels based in northern Iraq.

Deniz Baykal, leader of the Republican People's Party, also called on the government to urgently debate taking military action against northern Iraq.
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"We're ready to back the government on this issue," Baykal told his supporters on Sunday.

"We're planning to invite parliament to debate this."
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Baykal's promise to support the government came just days after Turkey's prime minister called for the US to act against separatist Kurdish guerrillas based in northern Iraq.

Several thousand heavily armed members of the Kurdish Workers Party (PKK) are believed based in Kurdish-ruled northern Iraq.

Turkey has repeatedly said that it will not tolerate the creation of an independent Kurdish state in Iraq. Military officers have spoken of the possibility of sending in troops to prevent this from happening.

PM criticises US

Recep Tayyip Erdogan, the prime minister, severely criticized the US this week for not keeping its promises to take action against Kurdish guerrillas holed up in the northern Iraqi mountains.

The US has been cooperating with Turkey against guerrillas from the Kurdistan Workers Party, or PKK, but Turkish officials increasingly have found the level of cooperation unsatisfactory.

"We want solid results," Erdogan said earlier this week during an interview with private NTV television.

Asked about past threats of a possible invasion, Erdogan said, "When the time comes, Turkey will do whatever is necessary against those threatening our country with terror".

In the last 20 years, more than 37,000 people in Turkey have died in the fighting between Kurdish groups fighting for independence and the Turkish military.

Turkey has also warned that rival ethnic groups in the oil-rich northern Iraqi city of Kirkuk must share power, amid growing fears that Iraq's Kurds plan to seize control of Kirkuk as part of a push for an independent Kurdish state there.

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Talabani meets Syrian president
Talabani is expected to sign a number of agreements with his Syrian counterpart [AFP]
http://english.aljazeera.net/NR/exeres/7052A896-6A11-4B19-A946-6DE91C06D511.htm

Jalal Talabani, the Iraqi president, has met Bashar al-Assad, his Syrian counterpart, in the first meeting between the leaders of the neighbouring countries for nearly 25 years.Talabani's five-day visit to Damascus, the Syrian capital, comes after George Bush, the US president, called on Syria to stop supporting Sunni fighters in Iraq.

"We hope this will be a successful visit. We have a desire to develop ties in all fields," al-Assad told Talabani when they met on Sunday.

The countries restored ties in November during a visit to Baghdad by Walid Muallem, Syria's foreign minister, who vowed to help Iraq restore security.
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In December, the countries reopened their embassies in each other's capitals.

Talabani, speaking at the public meeting with the Syrian leader soon after his arrival, said: "Syria stood with us in difficult times. I came here with a large delegation to show our seriousness about advancing our relations with Syria."

Talabani, a Kurd, founded the Patriotic Union of Kurdistan in the 1970s, when he, along with other exiled opponents of Iraq's Baathist government, was living in Syria.

Weapons supplies

On Friday, an official from Talabani's office said the Iraqi president and al-Assad are expected to sign a number of agreements related to bilateral security and commercial matters.

"The enmity between the United States and Syria and Iran doesn't benefit the situation in Iraq"Mahmoud Othman, Iraqi politicianUS and Iraqi officials have repeatedly accused of Syria of failing to prevent Sunni fighters from entering Iraq.

Syria denies the charge and says that the Iraqis and US forces are not doing enough to guard their side of the border.When outlining a new strategy for Iraq on Wednesday, Bush vowed military action to disrupt supplies of weapons coming into Iraq from Syria and Iran."The timing may seem a little tricky after what Bush said," Mahmoud Othman, a prominent Iraqi politician with close ties to Talabani, told the Associated Press.

"But our interests differ from those of the United States. The enmity between the United States and Syria and Iran doesn't benefit the situation in Iraq."

Visit planned a year in advance

The visit has been planned for nearly a year and its date was finalised about two weeks ago, he said.Engaging with Iraq could offer Assad's government an opportunity to ease its relative isolation in the region."Syria can play a constructive role in Iraq, but not necessarily a decisive one," Rami Khouri, a Beirut-based Middle East expert, told The Associated Press.

"What Syria can and cannot do will not decide the future of Iraq, but it can help."

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No plan to hit Iran's nuclear program: Israel
Updated Sun. Jan. 7 2007 11:33 PM ET
CTV.ca News Staff

Israel has denied a British newspaper's report that its pilots are training to strike targets in Iran with low-yield nuclear weapons.
However, Foreign Ministry spokesman Mark Regev added this about the Sunday Times report: "If diplomacy succeeds, the problem can be solved peaceably."
Zeev Boim, an Israeli cabinet minister, said: "We'll support the international community in its efforts to stop Iran's nuclear plans."
The Sunday Times claimed that Israel has plans to attack nuclear facilities in Iran because it fears that country could be developing nuclear weapons.
The newspaper said Israeli pilots have flown round trips to the British colony of Gibraltar to train for such a possible mission.
Iran has insisted its nuclear program is solely for peaceful purposes. However, Iran's President Mahmoud Ahmadinejad has called for Israel to be "wiped off the map," leading to heightened fears about what could happen if his country should develop nuclear weapons.
The U.N. Security Council has demanded a moratorium on uranium enrichment by Iran, even imposing some economic sanctions recently.
On a talk radio show that Menashe Amir broadcasts from Jerusalem into Iran via shortwave radio, the newspaper's claim was the story of the day -- Israel denials not withstanding.
"There is no doubt the Israeli air force is always preparing proper programs and plans to do the job," he told CTV News.
Israel doesn't officially admit to having nuclear weapons, but it is widely believed to have an arsenal. Prime Minister Ehud Olmert made a slip last fall that appeared to confirm it does.
In 1986, the Sunday Times reported on Israel's nuclear program based on the revelations of Mordechai Vanunu, who had been a technician at a secret Israeli nuclear facility. Vanunu served an 18-year prison sentence over his actions.
The tiny Jewish nation has conducted pre-emptive strike before when it considered its national security to be under a grave threat.
In 1981, it conducted a conventional bombing raid on an Iraqi nuclear reactor under construction at Osirak.
Several months ago, former Israeli prime minister Benjamin Netanyahu described a nuclear-armed Iran as "an outcome the world cannot tolerate."
Asked if that meant the military option, Netanyahu said, "It leaves whatever options are necessary to make sure this doesn't happen."
The story said such an attack would be carried out only as a last resort.
The Bush administration has not ruled out the use of force to deal with a possible nuclear threat from Iran, but it has said the priority is to reach a diplomatic solution.
Reuven Pedatzur, a prominent Israeli defence analyst, told the Associated Press: "It is possible that this was a leak done on purpose, as deterrence, to say: 'Someone better hold us back, before we do something crazy.'"
The news didn't appear to intimidate Iran.
The country's Foreign Ministry spokesman Mohammad Ali Hosseini told a news conference that "any measure against Iran will not be left without a response and the invader will regret its act immediately."
With a report from CTV's Janis Mackey Frayer and files from The Associated Press

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Teheran: Israel will regret any attack
By JPOST STAFF AND AP

Israel on Sunday denied a British newspaper report that it is planning to attack Teheran's nuclear sites using low-yield nuclear "bunker busters."
Iran said any such attack would provoke a reaction and that "anyone who attacks will regret their actions very quickly." According to Iranian Foreign Ministry spokesman Muhammad Ali Husseini, the report, published in The Sunday Times, confirmed the danger posed by Israel's possession of nuclear weapons.
"This step even comes after the Israeli prime minister's admission, which revealed the fact that the Israeli regime has nuclear weapons in its possession," Husseini said, referring to Prime Minister Ehud Olmert's slip-of-the-tongue last month, when he hinted on German television that Israel was among the world's nuclear-equipped nations.
Iran's moment of choice, by Margaret Beckett
Editor's Picks: Decision time
"Now this will convince the international community that the main threat to the world, and to our region in particular, is the Zionist regime," Husseini added.
Olmert's office said it would not comment on The Sunday Times claim. "We don't respond to publications in The Sunday Times," said Miri Eisin, Olmert's spokeswoman.
Strategic Affairs Minister Avigdor Lieberman also declined to comment on the report, which claimed that Israel had drawn up plans to destroy Iran's uranium enrichment facilities with tactical nuclear weapons.
But Foreign Ministry spokesman Mark Regev denied the report and said: "The focus of the Israeli activity today is to give full support to diplomatic actions and the expeditious and full implementation of Security Council Resolution 1737. If diplomacy succeeds, the problem [of Iran's nuclear drive] can be solved peaceably."
Earlier, Meretz MK Zehava Gal-On urged Olmert to refute the report.
"It is impossible that Israel would plan to get caught up in another adventure after [our] experience in Lebanon, and act as the world's sheriff," Israel Radio quoted Gal-On as saying. She added that diplomacy was the only way to solve the problem.
According to the British report, military sources have disclosed details of two IAF squadrons that have been training to blow up an enrichment plant in Natanz using low-yield nuclear bunker busters.
A heavy-water plant at Arak and a uranium conversion plant at Isfahan would also be targeted, using conventional bombs, according to the newspaper.
Reportedly, the plan envisages conventional laser-guided bombs opening "tunnels" into the targets. Nuclear warheads would then be fired into the plant at Natanz, exploding deep underground to reduce radioactive fallout.
IAF pilots have flown to Gibraltar in recent weeks to train for the 2,000 mile round-trip to the Iranian targets, the newspaper said, adding that three possible routes to Iran had been mapped out, including one over Turkey.
It suggested that Israel may be trying to scare Iran or to cajole the US into taking stronger action against Teheran's nuclear program.
However, the report went on to speculate that Israel may strike at Iran's nuclear facilities and pressure the Americans to agree with the move after the event.
Israeli analysts derided the report. Ephraim Kam, a strategic expert at Tel Aviv University's Institute for National Strategic Studies and formerly a senior IDF intelligence officer, said: "No reliable source would ever speak about this, certainly not to The Sunday Times."
In March 2005, the same newspaper reported that Israel had drawn up secret plans for a combined air-and-ground attack on targets in Iran if diplomacy failed to halt the Iranian nuclear program.
The newspaper then claimed that the inner cabinet of former prime minister Ariel Sharon had given "initial authorization" for an attack at a private meeting on his ranch in the Negev.
The Sunday Times reported that Israeli military officials believe Iran could produce enough enriched uranium to build nuclear weapons within two years.

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U.S., Britain, Israel called 'axis of evil'

January 14, 2007 reuters
http://www.thestar.com/News/article/171022

TEHRAN, Jan 14 – The commander of Iran's Revolutionary Guards said on Sunday the United States, Britain and Israel were an "axis of evil" trying to drive a wedge between Shi'ite and Sunni Muslims.
U.S. President George W. Bush originally labelled Iran, North Korea and Iraq – before U.S. troops invaded – as part of an "axis of evil". Washington accuses Iran of backing terrorism and trying to build atomic bombs, charges Tehran denies.
"America, Britain and the Zionist regime (Israel) are an axis of evil against the Islamic world and the whole of humanity," Guards Commander-in-Chief Yahya Rahim Safavi was quoted as saying by Iran's student news agency ISNA.
"They are trying to make enmity among Islamic countries and to make divisions among Shi'ites and Sunnis," he said.
He was echoing comments by other Iranian officials who have accused Washington of stoking sectarian tensions in Iraq where the majority of Iraqis are Shi'ite Muslims, like most Iranians. Washington blames Iran for fuelling violence in Iraq.
"Our powerful country does not worry about American and Zionist regime threats and in case of any kind of attack by intruders, we are able to defeat them," he added.
A British newspaper this month said Israel had drawn up secret plans to destroy Iran's uranium enrichment facilities – the part of Iran's nuclear programme that most worries the West – using tactical nuclear weapons. Israel would not comment on the story, which touched on its assumed atomic arsenal.
The United States has said it wants to resolve Iran's nuclear dispute with West diplomatically, but has refused to rule out using force if diplomacy fails.

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Iraq calls for release of Iranians held by U.S.
January 14, 2007 Kim Gamel
associated press

BAGHDAD – The Iraqi foreign minister called Sunday for the release of five Iranians detained by U.S. forces in what he said was a legitimate mission in northern Iraq, but he stressed that foreign intervention to help insurgents would not be tolerated.
The two-pronged statement by Hoshyar Zebari highlighted the delicate balance facing the Iraqi government as it tries to secure Baghdad with the help of American forces while maintaining ties with its neighbours, including U.S. rivals Iran and Syria.
"Any interventions – or any harmful interventions to kill Iraqis or to provide support for insurgency or for the insurgents should be stopped by the Iraqi government and by the coalition forces," Zebari said in an interview with CNN's "Late Edition."
But he also stressed Iraq has to keep good relations with its neighbours in the region.
"You have to remember, our destiny, as Iraqis, we have to live in this part of the world. And we have to live with Iran, we have to live with Syria and Turkey and other countries," he said. "So in fact, on the other hand, the Iraqi government is committed to cultivate good neighbourly relations with these two countries and to engage them constructively in security cooperation."
The U.S. military said the five Iranians detained last week in the Kurdish-controlled northern city of Irbil were connected to an Iranian Revolutionary Guard faction that funds and arms insurgents in Iraq. It was the second U.S. raid targeting Iranians in Iraq in less than a month.
The military said the Quds Force faction of the Revolutionary Guard, a hardline military force that reports directly to supreme leader Ayatollah Ali Khamenei, is "known for providing funds, weapons, improvised explosive device technology and training to extremist groups attempting to destabilize the Government of Iraq and attack Coalition forces."
"Qods" is the Arabic name for Jerusalem, and a frequent name for political or military factions across the Muslim world.
Iran's government denied the five detainees were involved in financing and arming insurgents and called for their release along with compensation for damages.
"Their job was basically consular, official and in the framework of regulations," Iranian Foreign Ministry spokesman Mohammad Ali Hosseini said Sunday. "What the Americans express was incorrect and hyperbole against Iran in order to justify their acts."
The United States repeatedly has denied the office was a consulate and the State Department has said no legitimate diplomatic activity was being carried out at the site.
Bush's national security adviser Stephen Hadley said Sunday that the U.S. had the authority to pursue Iranians in Iraq because they ``put our people at risk."
"We are going to need to deal with what Iran is doing inside Iraq," he said.
Vice-President Dick Cheney added: "Iran is fishing in troubled waters inside Iraq."
Zebari, a Kurd, said those detained had been working in a liaison office issuing travel permits for the local population, and he reiterated that the office was in the process of being regularized into a consulate.
"Well, we have asked for their release," he told CNN. "They are being interrogated by the U.S. forces. But we have established all the information that this office has been there for many years with the approval of the Kurdish regional authorities with their knowledge of the Iraqi government."
Bush accused Iran and Syria of not doing enough to block terrorists from entering Iraq over their borders in his speech last week outlining his new strategy for Iraq. The U.S. has accused them of funnelling arms and fighters to aid the insurgency.
In another indication of Iraqi efforts to reach out to their neighbours hostile toward the U.S., Iraqi President Jalal Talabani visited Syria on Sunday, becoming the first Iraqi president to travel to the country in nearly three decades. Mahmoud Othman, an Iraqi legislator close to Talabani, said the Syria trip was not intended as a snub to Bush. It had been planned for nearly a year, but its date was finalized about two weeks ago, he said from Baghdad.
The Iranian foreign minister said the United States was resorting to "hostility and conflict toward neighbours of Iraq" because it did not want to acknowledge it had failed to stabilize Iraq.
There is already a standoff between the U.S. and Iran over Tehran's atomic program. Iran has rejected all allegations that it is trying to make nuclear arms.
In violence Sunday, at least 78 people were reported killed or found dead on Sunday, including 41 bullet-riddled bodies discovered in Baghdad. The U.S. military also said an American soldier died Saturday in an explosion in northern Iraq.
Separately, the Iraqi army arrested 50 suspected insurgents and seized nearly 2,000 rockets in a raid in a predominantly Shiite area 70 kilometres northeast of Baghdad, Defence Ministry spokesman Maj.-Gen. Ibrahim Shaker said. The suspects were detained late Saturday.
The Iraqi army arrested 32 other suspected insurgents during house-to-house searches in Abu Ghraib, on the western outskirts of Baghdad, Shaker said. They also seized seven cars packed with light weapons and 40 barrels of chemicals that could be used in making explosives.

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Difficult to gauge Tehran's next step
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Experts play down role of Ahmadinejad as talk of strike by U.S. or Israel escalates
January 13, 2007 Olivia WardStaff Reporter
Who will strike first, Israel or the United States?
As tensions rise over Iran's nuclear ambitions, rumours are buzzing that one or the other is preparing to blast Tehran's uranium enrichment sites to halt development of an atomic bomb.
This week U.S. President George W. Bush also named Iran as a regime that was allowing "terrorists and insurgents" to attack American troops in Iraq, vowing to "seek out and destroy" networks aiding Washington's enemies there.
The U.S. military, meanwhile, launched two raids against Iranians in Iraq, the latest one scooping up a group of diplomats in the Kurdish region.
As rumours of confrontation escalate, the public face of Iran's defiance is President Mahmoud Ahmadinejad, who delights in hurling heated rhetoric at the West. His recent conference questioning the veracity of the Holocaust set off shock waves, along with accusations that Iran wanted to destroy Israel.
But those who study Iran closely, say that Ahmadinejad is only one in a broad spectrum of political players.
"Iran's political structure is complex and far from monolithic," says BBC Iran analyst Sadeq Saba. "The ruling clerics have not been able to establish a totalitarian state and there is a degree of freedom within the system."
Before confronting Iran, says Patrick Clawson, of the Washington Institute for Near East Policy, "my concern is that we look at it with the appropriate degree of humility about what we know it will do.
"It is a very complicated country and we have great difficulty in judging even what our own society will do."
But says Ali Ansari, director of the Institute for Iranian Studies at Scotland's University of St. Andrews: "Americans like their politics simple. A sound bite will always be easier than analysis.
"There was a sigh of relief when Ahmadinejad took power because all the complicated multi-dimensional aspect of dealing with Iran was gone."
The complexity of Iran's power structure daunts most politicians, who often label it authoritarian, in the mould of the Soviet Union.
"The system of the Islamic Republic is absolutely unique," says Ray Takeyh, author of Hidden Iran: Paradox and Power in the Islamic Republic. "There is no precedent anywhere. The system is not only diverse, but constantly battling itself."
The tensions in Iranian society were codified by the Ayatollah Ruhollah Khomeini, when he created a system that combines both Islamic theocracy and electoral democracy after the fall of the Shah.
"There were all kinds of people who waged revolution in 1979," said Takeyh. "But over the years many of their tendencies have been excised. What remains is the clerical community."
The clerical elite keep a firm grip on the country's power structure. But even there, Takeyh points out, a broad spectrum of opinion prevails. A substantial number prefer accommodation to confrontation with Iran's neighbours and foes: "Shia Islam is not like a Catholic hierarchy. It's a diverse collection of ayatollahs existing within a unitary organization."
The system is made for in-fighting, with elected and unelected, clerical and secular players facing off against each other.
At the top of the political ladder is unelected Ayatollah Ali Khamenei, who was chosen by the clerical Assembly of Experts. He has sweeping powers to set the direction of Iran's government, declare war, oversee intelligence and security, and appoint some of the most influential people in the country – including the Guardian Council, judiciary, heads of state media, and head of the Islamic Revolutionary Guard.
The "experts" who appoint him are a group of 86 publicly elected "virtuous and learned" clerics. The leader is advised by the Expediency Council, headed by former president Akbar Hashemi Rafsanjani, a pragmatist with ties to reformers
Khamenei is more powerful than Ahmadinejad, a former Tehran mayor and member of the new group of young hardline conservatives. His powers are checked by the clerics, and he was one of a few candidates approved by the Guardian Council to run in the 2005 elections.
Ahmadinejad may appoint cabinet members, but they must be approved by the notoriously scrappy parliament. The decisions of cabinet ministers, in turn, are overseen by Khamenei.
While the 290 members of the majlis, or parliament, make and pass laws, their bills must be approved by the Guardian Council of a dozen mainly conservative theologians and jurists – the most influential body in Iran. It was the council that banned all female candidates, and most reformers, from running in the last election.
The judiciary enforces Islamic laws and frequently cracks down on the media. It has been accused of complicity in the 2003 death of Canadian photojournalist Zahra Kazemi.
The reach of the official bodies is long in Iran. The Revolutionary Guard that make up part of the armed forces control volunteer militias throughout the country and run their own commercial firms. And wealthy religious foundations controlled by the supreme leader, have become holding companies that dominate the economy, operating without competition, government control or taxes.
Official Iran is only part of the jigsaw puzzle of power. Alongside it is a population of 68 million, 70 per cent of whom are under 30. For the new generation of Iranians, economic progress is frustratingly slow and the corruption of the ruling clerics unacceptable.
"When you look at the totality of Iran's society it's very divided," says Alex Bigham, an Iran expert with the London-based Foreign Policy Centre that advises British Prime Minister Tony Blair. "It's almost equally split between conservative and more liberal elements, and the government has many centres of power. Ahmadinejad is by no means at the top of the pile."
He says the president's belligerent stance toward the West, and his provocation of Israel, is alarming conservatives who value stability over ideology in foreign policy.
"Those around Khamenei are concerned about Ahmadinejad over the long term. He has been the most divisive president since the revolution in terms of public reaction. When they are next trying to engineer candidates they will look for someone more moderate."
Clawson says the majority of young Iranians also believe Ahmadinejad's "spit-in-your-eye" policy toward the West is counter-productive and dangerous.
Recent local elections and polls for the Assembly of Experts showed gains for the moderates who had been swept aside in the 2005 presidential poll.

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DIRE STRAITS


The Straits of Hormuz is the narrowest point of the Persian Gulf. Some 16.5 million barrels of oil - roughly 20 per cent of the world's daily production - pass through it on tankers each day.

CHOKE POINT Should the U.S. bomb Iran, as some say it will, the Straits of Hormuz could be the focus of Iran's response, causing a huge spike in oil prices. By David Olive
January 14, 2007 David Olive

Is there another punishing oil shock around the corner? That depends on what George W. Bush has in mind for the Middle East, a topic on which he was not very informative in his Wednesday speech about his supposedly new U.S. approach to the conflict in Iraq.
But a few keen observers did see cause for alarm in the Bush address. More on that later.
The CEO of Swiss Re, one of the world's largest reinsurance firms, warned last week that the prospect of another oil shock this decade is "relatively high," at 10 per cent to 20 per cent. And that another shock would trigger a global recession with worldwide losses of $1 trillion (U.S.).
Yet the markets don't see it that way, having forced down the price of oil by more than 13 per cent so far this year. A recent flight from oil by the same speculative forces that drove oil above $78 per barrel last summer have since pushed the price down 31.2 per cent, to a 19-month low in the $53 range.
That's been a relief to Canadian motorists, who've seen pump prices fall sharply from last summer's national average of $1.10 (Canadian) per litre to a current 75 cents or so.
So, who to believe – the optimists or Cassandras?
Those betting on continued lower oil prices cite the departure from the market of the speculative hedge funds and institutional investors who are thought to have added $35 (U.S.) to the oil price during its historic run-up.
The appetite for oil in China and India remains voracious. But the astonishing growth rate of their economies has at least flattened out of late. We're also witnessing what appears to be a sustainable commitment to confronting the climate-change crisis, on the part of consumers, industry and governments.
More automakers are following Toyota Motor Corp.'s lead in developing hybrids. Last week, the European Union unveiled a set of ambitious targets for reductions in greenhouse gas emissions that eclipse the targets of the original Kyoto accord. Also last week, Exxon Mobil Corp., which has long tried to discredit global-warming science, conceded the argument and joined BP PLC and other oil majors in acknowledging man's role in causing climate change, boosting R&D funds for alternative fuels.
Public-opinion surveys show climate change ranking second only to health care among issues of greatest concern to Canadians. The anti-Kyoto government of Stephen Harper has gone back to the drawing board after a failed first stab at environmental policy last year.
There is a wild card, however, and predictably it's in the Middle East, still the world's dominant oil supplier.
With the notable exception of Shia Iran, the region is predominantly populated by ethnic Sunnis. For months, Saudi Arabia and other Sunni oil producers have been warning the White House about two things.
The first is an outcome described internally by White House analysts as a "nightmare scenario," in which Iran, Saudi Arabia, Syria, Jordan and Turkey try to carve up an Iraq engulfed in civil war and lacking a viable government.
Their aim would be to rescue Iraq's besieged Sunni minority, one-third of which, by the recent estimate of a U.S. State Department analyst, has already been driven from Iraq's largest cities by Shiite death squads.
Iran, meanwhile, is making a transparent grab for the immense oil fields of southern Iraq by channelling arms to Shiite militia groups in the south and in Baghdad. Saudi Arabia, in particular, is determined at all costs to contain the growing Iranian influence in the region.
The potential sectarian conflict throughout the region should events unfold this way would make the Balkan upheaval of the 1990s look like a food fight at Riverdale High.
Last month's Iraq Study Group warned, "Ambassadors from neighbouring countries [to Iraq] told us that they fear the distinct possibility of Sunni-Shia clashes across the Islamic world. Such a broader sectarian conflict could open a Pandora's box of problems – including the radicalization of populations, mass movements of populations, and regime changes – that might take decades to play out."
An Iraqi quagmire conflated into a regional quagmire of decades' duration could trigger a sustained jump in oil prices beyond the $100 range, given that Saudi Arabia, Iran, Kuwait and Iraq hold a combined two-thirds of the world's proven oil reserves.
How to keep the Saudis and other Sunni nations on the sidelines? For the White House, the answer is to go after Iran, their common enemy.
The Americans have already begun escalating their assault on Iranians in Iraq, detaining in the past month two groups of Iranian diplomats in Baghdad and Irbil suspected of supplying weapons to Shia militia. Coalition patrols have been bolstered along the Iraq-Iran border to staunch the flow of improvised explosive devices (IEDs), generally used as roadside bombs, and the leading killer of U.S. forces in Iraq. And U.S. intelligence agents have stepped up their tracking of Iranian arms-supply networks.
"Iran needs to learn to respect us," Nicholas Burns, U.S. undersecretary of state for political affairs, told the Wall Street Journal last week. "And Iran certainly needs to respect American power in the Middle East."
But American efforts to curb Iranian influence have had little effect. The Iraqi government of Prime Minister Nouri al-Maliki is openly pro-Tehran. And local support is growing for the Mahdi Army, a Shia militia led by Moqtada al-Sadr that controls a large portion of Baghdad; and the Badr Brigade, the militant arm of Iraq's largest Shiite political party, the Supreme Council for Islamic Revolution in Iraq.
The most expedient means of decisively curbing Iranian influence, the White House may conclude, is to destroy its nuclear ambitions in one stroke with a missile attack on Iran's nuclear facilities. The obvious precedent is the 1981 lightning strike by the Israeli air force that crippled Saddam Hussein's nuclear-materials testing reactor at Osirak, near Baghdad.
Bush seemed to signal something big may be in the offing Wednesday by revealing his recent deployment of a second carrier strike group, equipped with Patriot missiles, to the Persian Gulf.
It was to Riyadh and not Des Moines that Bush directed his reference Wednesday to deploying "Patriot air defence systems to reassure our friends and allies" (emphasis added).
A day later, in testimony to the Senate Foreign Relations Committee, Condoleezza Rice dodged repeated questions about Bush's possible intention to widen the Iraq conflict to Iran and Syria. But on Friday, the prospects of a U.S. attack on Iran seemed real enough that White House press secretary Tony Snow took the trouble to dismiss them as an "urban legend."
Yet Snow left open the possibility of a dramatic confrontation. "This notion that somehow what the president was announcing was a precursor to a planned military action – a planned war against Iran, that's just not the case."
A planned war, no. A potential missile attack on one selected target in Iran, who knows? Israel didn't go to war with Iraq in taking out its nuclear facilities one day in 1981.
Burns' objective of showing Iran who's boss by revealing the vulnerability of its cities and military arsenal to missile strikes launched at will could be accomplished with just one brief, deadly shower of missiles.
And the Patriots, designed to defend against missile attacks, would be poised to thwart retaliatory Iranian missile strikes on Riyadh or Tel Aviv. Indeed, that would seem to be the only logical purpose of their presence in the Persian Gulf since Iraqi insurgents don't have the long-range missiles Patriots are designed to defend against.
The crucial question, obviously, is how Tehran would react to having its long-pursued nuclear ambitions suddenly aborted.
Would Iran disrupt the world oil market, as the new regime in Tehran did in 1979 after the fall of the Shah – the second of the two global oil shocks of the 1970s?
Or would Iran's Supreme Leader Ayatollah Ali Khamenei and his Council of Guardians rein in Iranian president and Holocaust-denier Mahmoud Ahmadinejad and maintain current levels of Iranian oil production, the nation's sole significant source of revenues?
Iran's own proliferation of internal dissident movements like Mujahedin-e Khalq hardly needs the encouragement of further economic deprivation across Iran to mount an even more persuasive case for toppling the regime in Tehran.
So far, this is a high speculative scenario. But it may well trigger a shift in sentiment among oil speculators tempted once again to go long on oil futures.
Which means oil-market bettors won't be far behind.
Rice embarked late last week on a tour of Mideast capitals to sell Bush's supposed "course correction" in Iraq. If Bush does have a Hail Mary play in mind for putting Iran in its place, he might want to send his treasury secretary, Hank Paulson, on a parallel tour of the world's financial capitals.
In the event of a wider Mideast conflict, oil-market traders will need some reassurance that Bush has a scheme for dealing with its assuredly volatile consequences. And a convincing argument as to why speculators shouldn't bid up oil to $150 a barrel by year's end.

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Chavez and Iran unveil anti-US fund
Ahmadinejad and Chavez have strong ties and frequently call each other "brother" [AFP]
http://english.aljazeera.net/NR/exeres/FBBF5028-87F2-4FD5-A411-BF01B23FCBF9.htm


The presidents of Iran and Venezuela have agreed to spend billions of dollars to help other countries free themselves from what they describe as US domination. Hugo Chavez announced the plan in a speech on Saturday with Mahmoud Ahmadinejad.

The two also called for Opec to cut oil production to support falling crude prices.
They had previously announced plans to establish a joint $2bn fund for projects in Venezuela and Iran but on Saturday they said that the money would also be used to help friendly third countries.

"This fund, my brother," Chavez said, "will become a mechanism for liberation."
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Chavez said the fund "will permit us to underpin investments ... above all in those countries whose governments are making efforts to liberate themselves from the [US] imperialist yoke ... Death to US imperialism."Ahmadinejad, who is on a tour of Latin America, said that Tehran and Caracas had the task of "promoting revolutionary thought in the world"."The reason for all the current problems is the erroneous direction of the powerful countries, where there is poverty, hate, enmity and war," he added.

Oil agreementThe two presidents announced that they would make a joint effort to obtain new oil production cuts.

"Today we know that there is too much crude in the market, that's why we support ... the decisions that have been taken to reduce production and protect the price of oil," Chavez said.

He emphasised that he was sending the message "to all the heads of state in the Opec countries to continue to strengthen our organisation in this direction".

Members of the 11-nation Organisation of Petroleum Exporting Countries (Opec) have expressed concern about the falling price of oil, which has slid 14 per cent since the start of the year.

Ahmadinejad has praised Chavez for his outspoken support of Iran's nuclear programme, which the US and European governments say may be part of a project to build atomic weapons.

Vocal supporterFacing the threat of international isolation and sanctions imposed by the UN Security Council over its uranium enrichment work, Iran is keen to demonstrate it has backing among a number of leaders in Latin America.

Chavez is the most vocal supporter in Latin America for Iran and its president, with both men calling each other "brother" and relishing their status as fierce opponents of Washington's influence.

"Hugo is my brother," Ahmadinejad said during his last visit to Venezuela in September. "Hugo is the champion of the fight against imperialism."

In September 2005, Venezuela was alone in opposing a resolution at the International Atomic Energy Agency (IAEA) that found Iran in violation of nuclear safeguards. Chavez has since backed Iran's right to enrich uranium.

Iran and Venezuela are both important players in Opec and have signed numerous co-operation agreements in the energy sector and other fields.

During a visit to Iran last September, Chavez came out in support of Iran's nuclear programme, as well as denouncing Israeli military operations in Lebanon.

The two presidents also signed deals covering iron and steel production, petrochemicals, pharmaceuticals and health care equipment and munitions.

Cultivating alliesWhile Ahmadinejad seeks to cultivate Latin American allies, Condoleezza Rice, the US secretary of state, is in the Middle East to rally Arab support for a new US strategy in Iraq and counter Iran's alleged "interference" in Iraq.
Ahmadinejad arrived in Nicaragua late on Saturday, where Daniel Ortega has just returned to power. The Iranian president was met at the airport by the new Nicaraguan president.

On Monday, Ahmadinejad will take part in the swearing-in ceremony of Ecuador's new president Rafael Correa, who has vowed to forge stronger ties with Venezuela and not to renew a lease for a US military air base on the country's Pacific coast.
The Iranian president will also hold meetings with other South American presidents including Bolivia's Evo Morales on the sidelines of the ceremony in Ecuador, before finishing his tour on Tuesday.

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Ahmadinejad tours Nicaraguan slums
Mahmoud Ahmadinejad, left, has sought alliances with South American leaders opposed to the US [AFP]
http://english.aljazeera.net/NR/exeres/EC04DC3B-51C8-4350-A52D-BAA76473175B.htm

Mahmoud Ahmadinejad, the Iranian president, has toured shantytowns in Nicaragua with Daniel Ortega, the country's new president.

During Sunday's tour, Ahmadinejad praised Ortega as the latest leftist presidents in the region and as a fellow opponent of the United State.

The trip is the Iranian leader's second to Latin America in four months.
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"We have to give each other a hand," Ahmadinejad told reporters during his visit to Managua, the Nicaraguan capital. "We have common interests, common enemies and common goals."

Many Latin American leaders have welcomed Ahmadinejad as a potential ally against the US influence worldwide.
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Ahmadinejad, an ex-soldier, and Ortega, a former Marxist guerrilla, both came to power on populist platforms.

Ortega drove Ahmadinejad on a jeep tour of Managua's poorest slums, past houses made of plastic sheets and Sandinista supporters waving banners and holding up photographs of the Iranian leader.

Promises to fight corruption

Ortega, a close ally of Hugo Chavez, the Venezuelan president, began his term last week after winning November's election on promises to fight hunger and corruption.

Ahmadinejad is also close to Chavez, a fierce critic of George Bush, the US president, and visited him on Saturday before going to Nicaragua later in the evening.

Ortega said he would sign agreements with Ahmadinejad to help reduce poverty in Nicaragua, the Western Hemisphere's second-poorest country after Haiti. He gave no details.

"In our Iranian brothers we have a people, a government, a president willing to join with the Nicaraguan people in the great battle against poverty," Ortega said.

Nicaragua's troubled history

As president of Nicaragua in the 1980s, Ortega and his Sandinista movement confiscated businesses and farms after toppling a US-backed dictator.

Those policies, combined with a US economic blockade and a civil war against US-backed Contra rebels, plunged the coffee-producing country into chaos.

Since then, Ortega has said he learned his lesson and has dropped Marxism for a center-left program.

Following his stop in Nicaragua, Ahmadinejad will visit Ecuador, where the presidential race was recently won by Rafael Correa, another critic of US policies.

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'Talk of attack on Iran shows seriousness of situation'
By JPOST STAFF AND AP


Talk of a military strike against Iran shows how serious it would be for the Iranians to continue down the path of nuclear development, US Secretary of State Condoleezza Rice said in an interview with Channel 10 Sunday evening.
"I still think there is room for diplomacy, but even talk of such action shows how serious it would be for Iran to continue their actions unabated," Rice said.
Analysis: Neither Olmert nor Abbas has much to offer Rice
Rice elaborated on non-military means of forcing Iran away from its nuclear ambitions when discussing the United Nations Security Council resolution which leveled sanctions against the country.
"The United Nations Security Council resolution will help. It sends a strong message to Iran that the world is united against the path that they have embarked on," Rice said, but she added that sanctions alone was still not enough.
Later in the interview, Rice defended Prime Minister Ehud Olmert's decision not to engage in dialogue with the Syrians, despite the latter's recent peace overtures.
"There is no indication that the Syrians have anything but disruptive plans for the Middle East," she said.
Rice also commented on the recent debate of whether her marital status has influenced her ability to fully appreciate the ramifications of war.
"Of course I am single," she said. "I can't believe that people would think that would make it difficult for me to understand that when people are at war there are terrible sacrifices. We are in a period of extraordinary sacrifice for the American people."
Sen. Barbara Boxer, a California Democrat, told Rice during a testy Senate hearing on Thursday that without an immediate family Rice will pay no personal price for the Bush administration policy in Iraq.
Rice has said she was at first perplexed by the exchange, and later told Fox News, "Gee, I thought single women had come further than that."
Conservative radio host Rush Limbaugh accused Boxer of hitting "below the ovaries."
Standing with Foreign Minister Tzipi Livni, Rice jokingly noted that as a woman with children, Livni is qualified to "make the decisions."
Livni leapt to Rice's defense, saying Rice's strong emotions about the Iraq war toll are clear during their private conversations.
Rice, 52, has never married. She is an only child and her parents are dead.
Boxer's comment came during a Senate Foreign Relations Committee hearing in which Rice was questioned about President George W. Bush's new war plans.
"Who pays the price?" Boxer asked Rice. "I'm not going to pay a personal price. My kids are too old and my grandchild is too young. You're not going to pay a particular price, as I understand it, with immediate family.
"So who pays the price? The American military and their families."
Boxer defended herself in a statement Friday.
"I spoke the truth at the committee hearing, which is that neither Secretary Rice nor I have family members that will pay the price for this escalation," she said. "My point was to focus attention on our military families who continue to sacrifice because this administration has not developed a political solution to the situation in Iraq."

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Egypt questions effectiveness of 'road map'
By ASSOCIATED PRESS

Egypt questioned Saturday the effectiveness of the "road map" to bring peace between Israelis and Palestinians, with President Hosni Mubarak's office saying the Egyptian leader sent a letter to the White House with a counterproposal.
Established in 2003, the US-backed "road map" calls for the dismantling of Palestinian terror groups, a freezing of Israeli settlement activity and the creation of a provisional Palestinian state before a final deal is signed.
But the Palestinians reject the idea of a provisional state, believing it would enable Israel to usurp much of the West Bank, where Israel is pressing ahead with West Bank settlement construction.
Egypt, a regional heavyweight and a top US ally, is a regular mediator in the crisis and is leading efforts to reconcile Palestinian factions whose weeks of deadly fighting have further stalled negotiations for a broader settlement with Israel.
"The last few years proved that unilateral steps ... didn't work out, and its time to talk about a comprehensive peace agreement between the Palestinian and the Israeli sides," Egyptian presidential spokesman Suleiman Awaad told reporters Saturday.
Only broader talks will put the long-stalled peace process in motion again, said the presidential spokesman.
He said Mubarak has sent a letter to US President George W. Bush carrying details of a new Egyptian peace proposal as an alternative to the road map, which he described as having failed.
"The road map stumbled on its first stage, so how about the second phase?" Awaad said.
The spokesman did not describe Mubarak's new proposal, but said the Egyptian leader would discuss it on Monday with visiting US Secretary of State Condoleezza Rice. He said Mubarak's new plan aims a "breaking the frozen peace process."
The Egyptian spokesman warned against a plan proposed recently by the Israeli foreign minister that calls for establishing a provisional Palestinian state with a border following the contentious barrier Israel is building along the West Bank.
"Palestinian President Mahmoud Abbas and the Palestinian brothers are mindful that by establishing a Palestinian state with temporary borders, such state will always remain provisional," Awaad said.

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Madrid conference ends with promise to revive ME peace
By MARION FISCHEL JERUSALEM POST CORRESPONDENT
MADRID

The Madrid + 15 Peace Conference concluded Friday with a decision to put the peace train back on track during the first half of 2007.
The conference, organized by private foundations, brought together diplomats, academics and politicians from Europe, the United States, Russia and Middle Eastern countries. It was called to commemorate the 15th anniversary of the landmark 1991 Madrid peace conference that brought Israelis and Arabs to the negotiating table for the first time.
Spanish President Felipe Gonzalez, speaking at the closing session, attributed the failure of the Oslo Accords to the fact that the negotiations had moved from the private into the public domain before the agreements had become permanent.
He compared the 1991 Madrid Peace Conference to the present one, saying that in 1991, the language had been "tougher than the present language, the distance between the parties was greater and the hope for achieving a true and lasting peace was less." This time, he said, the language had been more direct and rational.
Gonzalez referred to the 2002 Arab League Initiative as "amazing," saying he could not believe that the international community had not recognized it as an irreversible step. He asked that the US play a part in the peace process without "too much involvement." "The Arab-Israeli issue may or may not be the epicenter of the problem," said Gonzalez, "but if it is not solved we cannot advance to the other issues." Gonzalez quoted [former executive chairman of UNMOVIC] Hans Blix as saying that "traditional methods are useless against the new international terrorism and arms proliferation." "The use of force," said Gonzalez, produces more international terrorism, both present and potential.
EU Foreign Policy Chief Javier Solana, who attended only part of the conference, said that "the moment of action has come." "It is imperative to continue with a step-by-step approach. [UN Representative] Terje Roed-Larsen has said that the totality is 'too big,' so let us take the Israeli-Palestinian issue first," Solana continued.
Outlining the formula for a successful peace process, Solana, who defined himself as "a friend of Israel and of the Palestinians," said that the process would need to be "comprehensive," and include "outside monitoring." Spanish Foreign Minister Miguel Angel Moratinos called upon the international community to "intervene but not impose," adding that "It is not enough to concentrate on the Palestinian situation while the issues with Syria and Lebanon remain blocked." Moratinos also called for the Arab world to be included in the Quartet, and for unconditional agreements to be reached.
After the conference, Palestinian legislator Hanan Ashrawi told The Jerusalem Post that she was pleased and hopeful with the outcome of the conference.
"I think this is very significant. It is not just symbolic. There is commonality and an agreement on issues. But this is something that must be taken up and run with immediately," she said.

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Barghouti seeks help from Hadash MK
By SHEERA CLAIRE FRENKEL

Establishing a Palestinian state within the 1967 borders, including east Jerusalem; right of return for Palestinian refugees; and releasing a "significant number" prisoners are the Palestinians' minimum demands, former Fatah Secretary-General Marwan Barghouti told MK Muhammad Barakei (Hadash) on Saturday.
Barghouti, who is currently serving five life sentences for the murder of Israeli citizens at the Rimonim Prison in Israel, may have been conveying a message from Palestinian Authority Chairman Mahmoud Abbas when he spoke to Barakei.
"The Palestinian people tried resistance without negotiation, and negotiation without resistance. The truth is that there is no other way but resistance for the 1967 occupier," Barghouti was quoted as saying during the meeting.
Barakei, who released all of the details of the meeting, said that the most important issue discussed was the release of security prisoners.
"Keeping 11,000 prisoners in Israeli jails is diplomatic stupidity," said Barakei, who added that true peace would only be achieved once a significant number of prisoners were released.
Barghouti also told Barakei that Palestinian prisoners would stage a hunger strike if the violence between Fatah and Hamas loyalists continued.
Barghouti also urged the Hadash MK to "get more involved" in the prisoner exchange issue, and that the Palestinians were interested in a meeting between Abbas and Prime Minister Ehud Olmert.
The Palestinians were interested in a meeting "despite the fact that Israel didn't uphold any of the decisions" that Olmert had made, Barghouti said.

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Iran, Nicaragua promise to work against 'common enemies'
By ASSOCIATED PRESS

The presidents of Nicaragua and Iran promised to battle poverty and work against "common enemies" on Sunday, as Iran's hard-line leader made the second of three Latin American stops aimed at courting allies in his standoff with Washington.
But unlike Venezuelan counterpart Hugo Chavez, who railed against US imperialism during President Mahmoud Ahmadinejad's visit on Saturday, Nicaragua's Daniel Ortega took a less confrontational position, focusing his remarks on how Iran and Nicaragua should work to help the developing world.
Ortega spoke of "constructive agreements to combat hunger, unemployment and poverty."
Ahmadinejad said both leaders "want justice and progress" for the entire world.
"Our two counties have common interests, enemies and goals," Ahmadinejad said. "We may be far apart, but we are close in heart."
The two presidents announced plans to open embassies in each others' countries. They previously had only limited ties through Iran's embassy in Mexico City.
"I'm sure this won't be the last visit" by Ahmadinejad to Nicaragua, said Ortega's foreign minister, Samuel Santos.
After appearing with Ortega, Ahmadinejad drove through a poor, trash-strewn neighborhood in the Nicaraguan capital of Managua, where barefoot children on their parents' shoulders, waved flags from Ortega's Sandinista party.
"We are waiting for this delegation to come and give this country economic support," said Ernesto Picado, among the hundreds who lined the streets.
Ahmadinejad was in Managua as part of a whirlwind tour of Latin America's newly inaugurated leftist leaders as he seeks allies in the international debate over his country's nuclear program and its alleged meddling in Iraq. On Saturday, he and Chavez pledged to spend billions of dollars (euros) financing projects in other countries in a bid to offset Washington's influence around the globe.
Ortega, while pledging close ties to both Ahmadinejad and Chavez, is tempering his anti-US remarks as he tries to maintain friendly relations with Washington, which is wary of his Marxist roots and waged a bloody insurgency against his leftist government during the 1980s.
Ortega and Ahmadinejad were scheduled to sign a cooperation agreement later in the day and the Iranian leader also planned to pray at the Nicaraguan capital's Islamic center.
On Monday, Ahmadinejad will attend the inauguration of Ecuador's new president, Rafael Correa, and meet with Bolivian President Evo Morales, both outspoken critics of the administration of US President George W. Bush and Washington's policies in Latin America.
Venezuela and Iran, both oil-rich nations, had previously announced plans for a joint US$2 billion (€1.55 billion) fund to finance investments in their own countries, but Chavez and Ahmadinejad said Saturday that the money would also be used for projects in friendly third countries."It will permit us to underpin investments ... above all in those countries whose governments are making efforts to liberate themselves from the (US) imperialist yoke," Chavez said.
Ahmadinejad called it a "very important" decision that would help promote "joint cooperation in third countries," especially in Latin American and African countries.
It was not clear if the leaders were referring to investment in infrastructure, social and energy projects - areas that the two countries have focused on until now - or other types of financing.
Before his meeting with Ahmadinejad, Chavez said in his state of the nation address that he had personally expressed hope to Thomas Shannon, head of the US State Department's Western Hemisphere affairs bureau, for better relations between their two countries.
Chavez said he spoke with Shannon on the sidelines of Ortega's inauguration earlier this week, saying, "We shook hands and I told him: 'I hope that everything improves."'
Chavez - a close ally of Cuban leader Fidel Castro whom Washington sees as a destabilizing influence - has pledged billions of dollars (euros) of help to the region in foreign aid, bond buyouts and preferentially financed oil deals.
Iran, meanwhile, is allegedly bankrolling militant groups in the Middle East like Hamas and the Islamic Jihad, as well as insurgents in Iraq, in a bid to extend its influence.

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Conservatives challenge Ahmadinejad's diplomacy tacticsBy ASSOCIATED PRESSTEHERAN, Iran





Conservatives and reformists are openly challenging President Mahmoud Ahmadinejad's hard-line nuclear diplomacy tactics, with many saying his provocative remarks are doing more harm than good.
The unprecedented criticism comes after the UN Security Council imposed sanctions on Iran last month for refusing to halt uranium enrichment.
Some critics view the sanctions as proof that Iran must change its policy. The disapproval even has some Parliament lawmakers considering impeaching Foreign Minister Manouchehr Mottaki if further Security Council resolutions are issued against Iran.
"That all 15 members of the Security Council unanimously voted, against the claim by our diplomatic apparatus that there was no unanimity against Iran, shows the weakness of our diplomatic apparatus," lawmaker Noureddin Pirmoazzen said.
Ahmadinejad's popularity already was weakened after his close allies suffered a humiliating defeat last month in local elections, which were widely seen as a referendum on his 18 months in power.
He left Friday for a visit to Latin America to meet anti-US leaders - his second such visit in four months. Critics say the trip was partly aimed at diverting attention from disapproval over his diplomacy at home.
Despite the criticism, the hard-line leader has remained defiant, sharply escalating Teheran's standoff with the United States and its allies over Iran's controversial nuclear activities. He has repeatedly refused to suspend enrichment, even as its trade allies including China have requested Teheran respond to international demands, and has given the topic top priority in numerous speeches over the past month during provincial visits.
His tactics have angered critics on both sides of Iran's political spectrum.
"That Your Excellency talks about nuclear energy in all cities and in all your speeches doesn't seem to be a correct publicity strategy. ... Your language is so offensive and contains not very nice words that inculcates that the nuclear issue is being dealt with a sort of stubbornness," the hard-line daily Jomhuri-e-Eslami said in a recent editorial.
The daily Aftab-e-Yazb, a reformist paper, said the nuclear policy was hurting Iran's ability to gain nuclear technology.
"Positive achievements of getting access (to nuclear technology) and negative consequences resulting from lack of wisdom at the stage of pursuing it is not hidden to any body. ... Some current leaders act as if any person criticizing (the government) is an agent of the enemy," the paper said in a front-page commentary Saturday.
The Security Council on Dec. 23 voted unanimously to impose sanctions on Iran for refusing to halt enrichment - a process that produces the material for either nuclear reactors or bombs. The US and its allies accuse Iran of secretly trying to develop nuclear weapons, an allegation Teheran denies.
After staying silent over the past year, reformists have been voicing their desire for Iran to dispel fears that it's seeking to build atomic weapons and are asking that the country return to suspending enrichment, the policy under former President Mohammad Khatami.
The Islamic Iran Participation Front, Iran's largest reformist party, said consensus at the Security Council showed Ahmadinejad's government was unable to correctly handle the nuclear dossier.
"Given that resisting the UN Security Council resolution will put us in a more isolated position ... it is recommended that previous policies be enforced to avoid more harms that could not be compensated," the party said in a statement.
"The path of dialogue together with suspension (of nuclear activities) with the aim of returning the nuclear dossier back to the International Atomic Energy Agency can get our country out of crisis," it added.
Ahmadinejad also has sparked international outrage for his comments against Israel and for hosting a conference last month that caste doubt on the Holocaust. The hard-line stance is believed to have divided the conservative base that voted him to the presidency, with many feeling he has spent too much time defying the West and too little time tackling Iran's domestic issues.
"The sanctions imposed on Iran is believed were partly due to Ahmadinejad's anti-Israel rhetoric and the Holocaust conference. Many of the country's leaders are being convinced that Ahmadinejad's rhetoric is harming Iran," said political analyst Iraj Jamshidi.
His diplomacy tactics also are turning Iran's nuclear program, a source of national pride, into a source of dispute, Jamshidi said.
"Ahmadinejad made two major claims in his presidential campaign: to bring oil revenues to the kitchen of every Iranian family and to protect Iran's nuclear achievements. He failed in both," he said.
Esmaeil Gerami Moghaddam, a reformist lawmaker, said even the people who voted for Ahmadinejad in 2005 are gradually losing hope.
"People are now openly showing their dissatisfaction even when Ahmadinejad visits provincial cities. ... The president's nuclear and domestic policies need to be altered," he said.
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Ki-moon raises concern over US attacks in Somalia
By ASSOCIATED PRESS

UN Secretary-General Ban Ki-moon urged the international community on Thursday to redouble efforts to stabilize Somalia and reiterated his concern that US attacks were harming civilians and could have "unintended consequences."
At his first press conference since taking the reins of the United Nations on Jan. 1, Ban stressed the importance of protecting civilians and quickly restarting political negotiations to bring peace to the country.
"The situation in Somalia is a stark reminder of the need to redouble our political efforts to bring stabilization of the political and social situation as soon as possible," Ban said.
Somalia has not had a functioning government since clan-based warlords toppled dictator Mohamed Siad Barre in 1991 and then turned on each other, sinking the Horn of Africa nation of seven million people into chaos.
The rout of the Islamic fundamentalist movement that controlled most of Somalia for the past six months by Somali government troops and Ethiopian soldiers has allowed the country's weak UN-backed transitional government to enter the capital, Mogadishu, for the first time since it was established in 2004.
Ban was asked to elaborate on the concerns expressed by his spokeswoman that US bombing in southern Somalia - which Washington said was aimed at fleeing al-Qaida terrorists - could escalate hostilities and harm civilians who are reported to have been killed in the airstrikes.
"I'm concerned about all this impact on the reported loss of civilians," he said. "I believe that we must make every effort to protect civilians and be cautious of other unintended consequences in this situation."
"I was hoping that while I fully understand this necessity behind this attack, we should be cautious enough not to see (that) ... this kind of situation will lead to unwanted directions," Ban said.
He stressed the need for a "political negotiated process" to peacefully resolve the differences in Somalia. Francois Lonseny Fall, the top UN envoy to Somalia, "is now closely discUSsing this matter with the concerned parties there," Ban said.
The UN Security Council on Wednesday backed the speedy deployment of African troops to Somalia and strongly supported a dialogue among all political players and humanitarian aid for the country.
RUSsia's UN Ambassador Vitaly Churkin, the current council president, told reporters after a closed-door meeting that members regard Somalia as "a high priority matter" and are concerned about instability, security, and the humanitarian situation.
The council backed a UN plan to send a humanitarian assessment mission to the border between Somalia and Kenya and strongly supported an "inclUSive political dialogue among varioUS political forces in Somalia," he said.
Churkin said the council favors speedy deployment of a new force to be set up by the African Union and a seven-nation regional group. Britain's UN Ambassador Emyr Jones Parry said getting this troops on the ground quickly would enable Ethiopian troops to withdraw.
Undersecretary-General for Political Affairs Ibrahim Gambari told reporters after briefing the council that Nigeria, South Africa and Malawi "are said to be considering sending troops" to Somalia.
"We hope that these countries will actually go ahead and commit," he said.
Gambari said he emphasized the need to speedily organize and deploy a stabilization force and to encourage leaders of Somalia's transitional government to engage with clan elders, members of civil society, especially women's groups, and "positive members" of the routed Union of Islamic Courts.
"Everybody acknowledged that this has provided a historic opportunity for the Somalis to achieve national reconciliation," said China's deputy UN ambassador Liu Zhenmin.

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Bush's fourth war against the Muslims
By ERIC MARGOLIS

NEW YORK -- In his memorable, 1961 farewell speech, U.S. President Dwight Eisenhower warned Americans to avoid foreign entanglements and beware the growing power of the military-industrial complex.
It was sharply ironic to see American air strikes being launched this week from the decks of the mighty attack carrier USS Eisenhower against the remote East African nation of Somalia.
"The U.S. has opened a fourth front in the war on terrorism," trumpeted the Pentagon, as if it did not have enough failing wars on its hands.
U.S. warplanes and special forces attacked Somalia from the sea and from the U.S. base at Djibouti. Other U.S. units deployed on the Kenya-Somalia border. Much of Somalia is already occupied by Ethiopia's powerful, U.S.-financed army. Ethiopia invaded defenseless Somalia, with Washington's blessing, under cover of the Christmas holiday.
But was Somalia really a "hotbed of terrorism" as Washington claimed? The U.S.-Ethiopian invasion of Somalia was sparked by last fall's defeat of corrupt Somali warlords armed and financed by the CIA. They had kept Somalia in turmoil and near anarchy for 15 years. Last year, a group of Muslim jurists and notables, the Union of Islamic Courts, managed to defeat the warlords and impose law and order on chaotic Somalia.
The conservative Islamic Courts were sympathetic to pan-Muslim causes. But they were not involved in anti-American jihadist movements and had no identifiable links, as Washington loudly claimed, to al-Qaida. Four or five African suspects on the 1998 bombing of U.S. Embassies in East Africa may have been in Somalia, but going to war against a sovereign nation to try to assassinate or capture a handful of suspects (some reportedly escaped) is like using a nuclear weapon to kill a gnat and is sure to generate more anti-U.S. violence.
But in line with increasing militarization of U.S. foreign policy, the Pentagon's new golden-haired boys, Special Operations Command, pushed aside the humiliated CIA and the feckless State Department and vowed to "drain the Islamic swamp" in Somalia.
Thus begins U.S.President George W. Bush's fourth war against the Muslim world. He failed dismally to capture Osama bin Laden, conquer Iraq, or pacify Afghanistan. Dirt-poor, defenceless Somalia is Bush's last stab at glory.
Once again, the administration is recklessly charging into a thicket of tribal politics in a remote nation it knows nothing about. U.S. policy in Somalia is being driven by rabid neocons seeking jihad against the entire Muslim world, by gung-ho, know-nothing generals, and self-serving advice from ally Ethiopia. Eritrea's 1993 secession took away Ethiopia's natural access to the sea, leaving it landlocked. Ethiopia's prime goal in Somalia is seizing one or more deep-water ports, turning Somalia into a protectorate, and crushing any Islamic movements that might inflame its own voiceless Muslims.
America's attack on Somalia recalls Afghanistan. The U.S. is again blundering into ancient clan and tribal conflicts, using foreign troops and local mercenaries to defend a hated puppet regime without any popular support. Unfortunately, the word "Islamic" triggers murderous, knee jerk reactions by Washington's war party and the Pentagon's dimmer generals. The only good Muslim is a dead Muslim. As U.S. soldiers once said in that earlier counter-terrorism success, Vietnam, "Kill 'em all, let God sort 'em out."
Like Afghanistan, Somalia was easy to invade, but may prove very difficult to rule or eventually leave. The invading Ethiopians, blood foes of Somalis, were not greeted with flowers, as U.S. neocons again promised. Somalis saw the U.S. and Ethiopians as invaders, and the now scattered Islamic Courts militias as their best hope for stability and normalcy.
The White House is using puny Somalia as a straw man to be set up and knocked down. "War president" Bush desperately needs a victory in his bungled "war on terror." After three defeats, a fake victory over a fake Islamic threat in obscure Somalia is just the kind of jolly news Bush & Co. hopes will cheer gloomy Americans and divert attention from the disaster in Iraq.

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Rice Visit Leaves Palestinians Gloomy
Sunday, Jan. 14, 2007
By TIM MCGIRK/JERUSALEM AND JAMIL HAMAD/BETHLEHEM

Palestinian Authority President Mahmoud Abbas listens to a question from a journalist during a joint press conference with U.S. Secretary of State Condoleezza Rice (unseen) in the West Bank city of Ramallah. Rice arrived in Ramallah today for talks with Abbas aimed at reviving the stalled Middle East peace process.

After meeting with Secretary of State Condoleezza Rice, Palestinian President Mahmoud Abbas made no effort to hide his grim expression from his staff. From the Palestinian perspective, the talks hadn't gone well. Abbas had complained to Rice that an earlier chat and a bear hug with Israeli Prime Minister Ehud Olmert, at the Secretary of State's behest, had only landed him in trouble with his fellow Palestinians. According to a presidential aide, he told Rice that "Olmert embarrassed me by not implementing a single Israeli promise."
Olmert had vowed to release $100 million in Palestinian funds frozen by Israel after Hamas became the government last March. Olmert also promised to remove some of the more than 400 roadblocks inside the Palestinian territories. Israel has so far failed to deliver on either promise, according to Palestinian officials who spoke on condition of anonymity.
Abbas was also miffed at the public discussion in the U.S. of Bush Administration plans to secure $86 million from U.S. Congress to arm forces loyal to Abbas for a looming battle with Hamas. According to one insider, Abbas had wanted this kept secret. "This has put us in more trouble with Hamas," griped one Abbas aide.
After Rice and her phalanx of bodyguards and advisers left Abbas's office in Ramallah, one Palestinian source close to the Palestinian president reported gloomily that "She didn't bring anything new." He added: "The American 'Road Map' is a dead body, and implementing the plan will enable Israelis to swallow more of the West Bank." The reasoning, say Abbas supporters, is that Abbas cannot comply with Rice's demands that he disarm Hamas militants, and Abbas's failure to do this will embolden the Israelis to erect more Jewish settlements inside the Palestinian territories. "What she's asking — this is a joke," said one Abbas aide.
Rice also warned Abbas that the Bush Administration took a dim view of the Palestinian leader's proposed trip to Damascus for a meeting with Hamas's exiled leader Khaled Mashaal in a bid to pacify the near-civil war that has erupted in recent months between militants of Fatah and Hamas. Rice made it clear to Abbas, said one Palestinian source, that "she's worried Hamas will impose its conditions on Abbas."
The meeting simply reiterated Abbas's dilemma: "On one hand, Abbas knows it's important to keep U.S. support, but if he does, it will lead him into deeper conflict with Hamas," said one Palestinian source.
Even before this meeting, relations between Abbas and Rice were frosty. A senior Palestine Liberation Organization official, who sat in on meetings between the two says: "She acts like a school headmistress, telling her student in a commanding tone to do this, or don't do that."
Diana Buttu, a political consultant and former legal adviser to the PLO, adds: “They're not interested in solving the conflict in any meaningful way — just uttering nice slogans, that's it."
The view of Rice as being detached from the realities on the ground is underscored by a Palestinian professor who had previously dealt with Rice: "She thinks of big issues as small ones,” he says. "She believed that Israelis could wipe out Hizballah, and she believes — mistakenly — that Abbas can wipe out Hamas from Gaza and the West Bank."
Moreover, Palestinian officials say, their dim view of Rice's efforts is shared by other Arabs. One official spoke of a rift between the Bush Administration and the Saudis that has become so intense that "Abbas was advised by a Saudi official not to believe what Rice says or follow her instructions." Indeed, despite U.S. efforts to persuade Arab regimes to shun and isolate Hamas, the Saudis invited Hamas Prime Minister Ismael Haniyeh to join the Haj pilgrimage to Mecca, giving him royal treatment all the way, including use of a private jet that flew him from Egypt to Saudi Arabia.
Abbas aides say that in private conversations, the Saudis complain that Rice "doesn't understand the chemistry of the Middle East."
But if Arab officials are frustrated by Rice, their Israeli counterparts enjoy working with her: One Israeli official speaking off the record said: "She's an amazing, eloquent and elegant lady, but she can be as tough as nails. She knows what she wants when she goes into a meeting. She's decided beforehand what's possible and what isn't." Daniel Ayalon, ex-Israeli ambassador to Washington, who has been friends with Rice for 10 years, adds, "She has gravitas. She's grown into this job in a magnificent way. She has toughness and grit."
Still, for all those plaudits, Secretary Rice may discover, once again, in the course of her Middle East tour aimed at restarting peace efforts and building support for Iraq and against Iran, that enjoying the confidence of one side is not enough.

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Somali Terror Suspects Still At Large
Thursday, Jan. 11, 2007
By AP/SALAD DUHUL



(MOGADISHU, Somalia) — A top U.S. official in the region said Thursday that none of the al-Qaeda suspects believed to be hiding in Somalia died in a U.S. air strike this week, but Somalis with close ties to the terrorist group were killed.
A day earlier, a Somali official said a U.S. intelligence report had referred to the death of Fazul Abdullah Mohammed, one of the three senior al-Qaeda members blamed for the 1998 bombings of the U.S. embassies in Kenya and Tanzania.
But the U.S. official in Kenya, who spoke on condition of anonymity because he was not authorized to speak to the media, said that Ethiopian troops and U.S. special forces were still pursuing the three suspects in southern Somalia. U.S. and Somali officials said Wednesday that a small team of U.S. special operations forces are in Somalia hunting suspected al-Qaeda fighters and providing military advice to Ethiopian and Somali forces on the ground.
The U.S. forces entered Somalia with Ethiopian forces late last month when Ethiopians launched their attack against a Somali Islamic movement said to be sheltering al-Qaeda figures, one of the officials said on condition of anonymity because of the sensitivity of the information. U.S. officials have also acknowledged launching one air strike aimed at killing suspected al-Qaeda terrorists. Somali officials say the U.S. has carried out additional strikes, but there is no way to independently verify whether those were launched by U.S. or Ethiopian forces.
Fazul, one of the FBI's most-wanted terror suspects, has evaded capture for eight years. The Somali president's chief of staff told The Associated Press on Wednesday that he had been killed in a U.S. air strike early Monday in southern Somalia.
Ethiopian Prime Minister Meles Zenawi said Wednesday that eight suspected terrorists were killed in the attack, but their identities would not be confirmed until DNA testing is completed. The U.S. official in the region said eight to 10 individuals were killed in the attack, most of whom were Somalis and had close ties to al-Qaeda.
Meanwhile, Somali and Ethiopian forces skirmished with Islamic militiamen around the area of Ras Kamboni in Somalia's southernmost tip early Thursday, part of mop-up operations Meles said his troops were carrying out against the fighters that were driven from Somalia's capital weeks ago.
One resident in the area, Mosa Aden Hersi, said there were numerous militant and civilian casualties in the fighting. "We saw the dead bodies of 17 men in military uniform under a small hill, but we do not know their identity," he said by two-way radio.
The remote, forested area has few residents and high-frequency radio is the only reliable form of communications.
The Ethiopian Information Ministry said Thursday its military was also launching helicopter and troop attacks around the town of Dobley, about four miles from the Kenyan border.
Ethiopia intervened to protect Somalia's internationally backed government on Dec. 24 after Islamic forces advanced on the only town the government controlled. Within 10 days, Ethiopian and Somali troops had pushed the Islamic fighters into a corner between the Kenyan border and the Indian Ocean.
A Somali human rights group said Thursday that thousands of Somalis fleeing the fighting were now stranded on the Kenyan border, which has been closed.
"Thousands are in a bad condition and they do not have food and water. They are stranded at the border after Kenya closed it and they cannot go back to their houses for two reasons: the ongoing air strikes and lack of transportation," said Ali Bashi, chairman of the Fanole human rights group.
The Red Cross said more than 850 wounded people, both civilians and soldiers, have been treated at medical facilities since fighting started just over two weeks ago. The group said in a statement it was deeply concerned about the plight of civilians and those captured by Ethiopian and government forces.
In addition to the special forces on the ground, the U.S. has moved additional forces into waters off the Somali coast, where they have conducted security missions, monitoring maritime traffic and intercepting and interrogating crew on suspicious ships.
With the arrival of the USS Ramage guided missile destroyer, there were five ships Wednesday: the USS Dwight D. Eisenhower aircraft carrier, the USS Bunker Hill and USS Anzio guided missile cruisers, and the USS Ashland amphibious landing ship, which officials said they could use as a brig for any captured suspects.
The U.N. Security Council on Wednesday backed the speedy deployment of an African peacekeeping force to Somalia and called for a dialogue among all political players and humanitarian aid for the country.
Somalia has not had an effective central government since clan-based warlords toppled dictator Mohamed Siad Barre in 1991 and then turned on each other. The interim government was established in 2004.
Associated Press writers Lolita C. Baldor and Pauline Jelinek in Washington, Chris Tomlinson in Nairobi, Kenya, and Mohamed Olad Hassan and Mohamed Sheik Nor in Mogadishu contributed to this report.

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Hezbollah chief risks his `winner' image

Analysis Hassan Nasrallah's secret of success has been his ability to make his bold rhetoric come true. He kept his promise to face down Israel's military, but a vow will go unkept if his followers fail to bring down Lebanon's government
January 14, 2007 Andrew Mills
Special to the Star
BEIRUT

Hassan Nasrallah, the charismatic leader of Hezbollah, is not accustomed to declaring defeat.
During 15 years at the helm of the Lebanese political and military group, Nasrallah's Shiite Muslim supporters have come to know him only as a winner, a man who always delivers on his promises.
But six weeks ago, Nasrallah, 46, made a promise that has put his winning track record and his status as one of the Middle East's most popular – and menacing – leaders on the line.
Riding a wave of popularity following last summer's war with Israel, Nasrallah led his supporters into the streets of the Lebanese capital. He told them that, if they refused to leave, they could topple Lebanon's Western-backed government and carve out a more powerful role for Hezbollah and its allies.
"I used to always promise you victory and I promise victory again," Nasrallah told the crowds by video-link from his secret hideout.
In the first weeks, nearly a million people showed up. The city was paralyzed. The government, holed up in its fortified headquarters, appeared powerless.
But six weeks on, the protestors' effect seems to be flagging.
Life outside Beirut's downtown core, where the demonstrators remain camped out, is going on as usual. Prime Minister Fouad Sinoria is determined to survive.
His cabinet has no intention of giving into Nasrallah and continues to go about its business, preparing for a major donors' conference in Paris on Jan. 25.
And when Hezbollah and its allies attempted to raise the stakes last week by scattering protests across the capital, their first march, on offices that house civil servants, the relatively thin turnout of 2,000 dashed hopes of a massive escalation.
Writing in the daily newspaper As-Saffir on Wednesday, editor and columnist Sateh Noureddin declared: "If the opposition believes similar protests to what we saw yesterday will exert more pressure on the government, then the opposition groups are in serious trouble."
Indeed, if it doesn't change tactics, and change soon, Nasrallah might stand to lose the most.
That's because his popularity doesn't stem simply from his pan-Islamic message of fighting Israel until "the liberation of Jerusalem."
That appeals to his followers, but it's hardly a unique battle cry in this region.
What's key is Nasrallah's ability to back up his blustery rhetoric by winning political and military battles – something Arab leaders have rarely pulled off.
Nasrallah is most renowned throughout the Arab world for his militia's past ability to fight Israel's armed forces and win.
He was in charge through much of the 1990s while Hezbollah's militiamen waged a brutal insurgency against the Israeli soldiers who occupied much of southern Lebanon.
And he was quick to take credit for the Israeli retreat in 2000.
Nasrallah was also at the helm last summer when Hezbollah's fighters held on for 34 days while Israel's military attempted – and failed – to destroy the group's military capacity.
"His forces were able to stand up to the mighty Israeli war machine," notes Judith Palmer Harik, author of Hezbollah: The Changing Face of Terrorism. "No Arab leader has been able to do that successfully."
The summer war marked the high point of Nasrallah's popularity in a region where Arab armies have grown accustomed to being led to defeat against Israel.
"Along comes this rag-tag guerrilla group, which successfully stands before Israel and actually calls it victory, because it prevents Israel from achieving its aims," says Amal Saad-Ghorayeb, a visiting fellow at the Carnegie Endowment for International Peace in Beirut.
And to his followers, at least, it didn't matter that it was Nasrallah who sparked the Israeli offensive when he authorized a cross-border raid that resulted in the seizure of two Israeli soldiers on July 12.
It also didn't matter that Israel's subsequent attacks killed some 1,200 Lebanese, destroyed countless homes and much of southern Lebanon's infrastructure, and desiccated the Lebanese economy.
What mattered, Saad-Ghorayeb says, is that Nasrallah fought Israel in a way that "gave back the Arabs that sense of pride they had long lost."
Take the third day of the war, for example. Israel had bombed and shelled Beirut for three days straight.
Dozens of people were dead. Bridges, apartment buildings and factories were pulverized. Beirut airport was burning. And there were rumours that Nasrallah had been killed when one of the bombs destroyed his Beirut bunker.
But that evening, Nasrallah phoned the newscast on Hezbollah's Al-Manar television station, sounding weary but very much alive. Then, he did something no Arab leader has ever done before.
"The surprises I promised you will start now," he said. "Now, in the middle of the sea, facing Beirut the Israeli warship that attacked the infrastructure, peoples' homes and civilians will sink and burn in front of you. This is the start."
And sure enough, while Nasrallah was announcing it on live television, Hezbollah's militiamen launched an Iranian-built missile that whistled across the surface of the Mediterranean and slammed into the side of an Israeli destroyer.
Nasrallah was not only promising something and then doing it, but everyone could watch it unfold on live TV.
"It was such a cinematic performance," says Saad-Ghorayeb. "It was out of this world."
But Nasrallah has not been able to offer up anything remotely as dramatic or satisfying to his supporters in his current face-off with Lebanon's government. Is there a point when his loyal followers will begin to question where exactly their leader is taking them?
"Hezbollah and the opposition are banking on the fact their folks can hold out for longer, but it remains to be seen if that is true or not," says Nicholas Noe, editor-in-chief of Mideastwire.com and editor of a translated compilation of Nasrallah's speeches to be released in February.
"Hezbollah and its supporters are the ones who have suffered most in the last seven months," Noe says. "They're vulnerable to the drawn-out deadlock that's beginning to wear down both sides."
And Nasrallah's opponents in the government are counting on Hezbollah's crowds to flinch first.
"This is affecting his image in the Shiite community," says Boutros Harb, a Christian MP allied with the Sinoria government. "These people, who are really courageous in facing Hezbollah, and I know what I'm saying, th