Showing posts with label leaders. Show all posts
Showing posts with label leaders. Show all posts

Sunday, February 6, 2011

EU Leaders Seek Common Energy Negotiations - New York Times

BRUSSELS — Leaders of the European Union agreed on Friday to give unprecedented leeway to the bloc’s executive agency to take part in negotiating contracts with energy exporters like Russia in an effort to improve security of supplies and safeguard investment.

There is “a need for better coordination” among E.U. countries and for more coherence in “relations with key producer, transit and consumer countries,” the leaders said in a statement at the close of a one-day summit meeting in Brussels.

The meeting was originally dedicated entirely to energy issues and to bolstering innovation. But that focus was overshadowed by the continuing sovereign debt crisis in the euro zone and developments in Egypt.

Negotiations over energy supply and prices are now left to individual member states. But energy deals are a concern for the entire European Union, which has 27 members and imports more than half of its energy, with about 40 percent of its natural gas coming from Russia.

Dealing more effectively with Russia became a priority after a dispute between Ukraine and Russia blocked gas supplies to a number of E.U. countries during the depths of winter two years ago.

Last year, the E.U. authorities struggled to ensure that an agreement between Poland and Russia on a natural gas pipeline between Siberia and Germany that is partly owned by the Russian state-controlled company Gazprom would give other gas operators access to the Polish section of the pipeline.

There are also tensions between the European Union and Russia over an E.U.-backed pipeline called Nabucco that would start delivering gas by around 2015 from the Caspian Sea region, bypassing Russia and Ukraine.

Russia has backed a separate project called South Stream, which would take Russian natural gas under the Black Sea to Europe.

Under the agreement reached Friday, the E.U. energy commissioner, Günther Oettinger, is expected to present a formal proposal in June giving the European Commission, the E.U.’s executive arm, the power to help member states reach contracts with Russia and other governments if the deals are significant enough to affect the bloc’s energy security.

Mr. Oettinger’s mandate would also extend to other sources of energy, like electricity from renewable sources. That would give European companies investing in solar projects in countries like Morocco and Tunisia added security because the commission could impose trade sanctions on those countries if there were any attempt to confiscate facilities in the event of political instability.

Giving the commission a role in such negotiations would also allow it to make sure such agreements mandate common standards for technologies of the future, so that electricity from solar farms outside the bloc can easily be integrated into a European grid.

That could increase the willingness of banks and utilities to invest in a project called Desertec, which would harvest the sun’s energy using a method known as concentrating solar power, or C.S.P., from the vast North African desert and deliver it as electricity, via high-voltage transmission lines, to markets in Europe.

But Mr. Oettinger’s proposal will probably face tough scrutiny by E.U. governments that are wary of giving more power to the bloc’s central authority. The British government was already concerned about “competence creep,” said a British diplomat who spoke on the condition of anonymity, as is customary at E.U. summit meetings.

European leaders also agreed to back an earlier appeal by Mr. Oettinger to direct E.U. funds to Europe’s electricity grids and pipelines, in part to encourage private investment in the sector. The moves are part of an effort to enhance energy security and help integrate renewable sources of power into the bloc’s future energy mix.

Last year, Mr. Oettinger called on E.U. nations and industry to spend up to €1 trillion, or $1.36 trillion, over the next 10 years on energy, with around €200 billion of that dedicated to infrastructure for transmission systems.

Marlene Holzner, a spokeswoman for Mr. Oettinger, said he was likely to offer a list of infrastructure projects and suggestions to pay for them in June. Those could include E.U.-backed loan guarantees, to make it less expensive for companies to raise capital, and E.U.-backed bonds.


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Friday, February 4, 2011

EU leaders demand Egypt transition 'now' - AFP

EU leaders demand Egypt transition 'now'(AFP) – 3 hours ago

BRUSSELS — Europe's 27 leaders demanded the transition to democracy in Egypt start "now" in a joint statement Friday that also condemned violence in the country "in the strongest terms".

Meeting at a one-day summit, the leaders "called on the Egyptian authorities to meet the aspirations of the Egyptian people with political reform not repression."

They called for restraint on all sides and no further violence as the country begins an orderly transition to a broad-based government.

"The European Council underlined that this transition process must start now," added the statement, the European Union's toughest response yet to the turmoil in Egypt.

It also issued a veiled threat of suspending EU aid, which though well below US assistance amounts to almost half a billion euros ($610 billion) in the current three-year period.

"The basis for the EU's relationship with Egypt must be the principles set out in the association agreement and the commitments made," it said.

Copyright © 2011 AFP. All rights reserved. More »


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Germany, Spain leaders hold talks over fiscal crisis - Xinhua

BEIJING, Feb. 4 (Xinhuanet) --Visiting German Chancellor Angela Merkel has met with Spanish Prime Minister Jose Luis Rodriguez Zapatero in Madrid. The meeting comes as euro zone nations ponder ways of saving EU countries in fiscal crisis.

German Chancellor Angela Merkel says Spain is on the right road with its crisis measures and pledged the euro zone would take crucial steps by March to strengthen economic stability.

A show of unity from two countries with very different economic challenges.

The German Chancellor Angela Merkel spent eight hours with her Spanish counterpart Jose Rodriguez Zapatero.

On the agenda at the Madrid summit - the debt crisis, the euro zone rescue fund and Germany's call for euro-wide fiscal rules.

Merkel said, "Change is never easy but changes are taking place around us - sometimes at breath-taking speed - the question is not whether we in Europe are united - with our power slipping - but rather whether are we are united across a continent which is home to progress and innovation."

As both leaders met the European central bank announced it was keeping interest rates at 1 percent for the 21st month in a row.

There was also some good news for Spain - it's borrowing costs fell at a bond auction, largely due to improved investor sentiment towards the euro zone's weaker members.

The Treasury sold 3.5 billion euros in three and five-year debt, in line with its target.

Jose Luis Rodriguez Zapatero said, "The euro is strong but we have to strengthen it further. This strengthening has to come from the work that we are doing at the moment after a year of hard work struggling against the financial crisis and the debt crisis in some euro zone countries."

Markets were calmed last week by better-than-expected news about the exposure of Spain's savings banks to the country's crippled property markets.

New pension reforms were also announced and there are signs that Europe is closer to agreeing changes to the euro zone rescue fund so it could help Spain if need be.

But one in five people in Spain remains unemployed and the government's austerity measures are far from popular.

(Source: CNTV.cn)

Special Report: Global Financial Crisis

 


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