Adamant: Hardest metal
Friday, February 14, 2003

University professors studying abroad may have to return home

www.vheadline.com Posted: Thursday, February 13, 2003 By: Patrick J. O'Donoghue

Professors on post-graduate studies abroad are beginning to feel the pinch of the Venezuelan government’s new economic measures. According to a Universidad Central de Venezuela (UCV) scholarship officer, there are around 800 professors that haven’t received salaries since January.

The respective universities have told them that they will not be receiving salaries or scholarship money and other benefits until the exchange rate system has been fixed. Professors claim that they have been suffering the effects of a run on Venezuelan currency, which began in November.

One angry professor claims that an average monthly sum of $1,200-2000 consisting of salaries, scholarships and other benefits has been whittled down considerably making it difficult for beneficiaries to meet utility bills, rent payments … in euros, allowances that were once 800 are now just 300. Some universities say that if they don’t get the money, then they will have to ask beneficiaries to come home.

A government that does not govern

www.vheadline.com Posted: Thursday, February 13, 2003 By: Gustavo Coronel

VHeadline.com commentarist Gustavo Coronel writes: "A government governs...when there is overwhelming consensus ..on the legitimacy of the political system...an effective bureaucracy... a high degree of popular participation in public affairs ... civilian control over the military ...procedures for controlling political conflict" Samuel Huntington; "Political Order in Changing Societies"

A GOVERNMENT THAT DOES NOT GOVERN.

The supreme objective of a government is to govern, not to survive, not to merely exist in a legal and theoretical framework. A government that does not govern has no business in power. The words used by Huntington to define a government can be used to demonstrate that the current Venezuelan government is not governing. Although originally legitimate by virtue of clean elections its dismal and undemocratic performance has rendered it illegitimate. Its bureaucracy is surely the most mediocre and inefficient we have had in the last decades.

Popular participation in public affairs is minimal due to the policy of exclusion entertained by the President. The civilian control over the military is inexistent. Political conflict is not controlled but promoted. According to Huntington's definition this regime is the antithesis of a government.

Let us look at the quality of the bureaucracy, one of the components of government. In Brazil, Lula has just asked his Vice President, Jose Alencar, to put together an Advisory Council to the Presidency and wants to see as members "the most brilliant minds of Brazil". He wants this council to find strategies to make Brazil move forward, to convert a somewhat languid giant into a world class country of full fledged citizens.

  • This initiative has been inspired in similar groups formed elsewhere.

In the US President Clinton asked Vice President Gore to put such a group together, to face the technological challenge posed to the US by the Asian countries. In Spain a high level group was formed to promote tourism and make of Spain one of the most visited countries in the planet. In Taiwan Advisers suggested the intensive use of optic fiber to build a technological competitive advantage for the country.

These initiatives have to do with good government. They represent creative ways to make optimum use of national resources, so that quality of life can be increased. They correlate strongly with national self-esteem. Lula is convening a group of the best and the brightest to help him share the burden of government.

Miles to the north, the regime of the world's best baseball utility player ( see one of my previous ed. commentaries) is already into its fourth year and has not yet started to govern. The fundamental problems facing the country four years ago remain unsolved: Poverty, corruption, unemployment, rotten services, deteriorating infrastructure, environmental degradation, street children, uncollected garbage, high crime, ignorance and collective inferiority feelings.

Most of them have, in fact, become much worse. These problems have not been tackled in spite of some $110 billion of income and relatively high prices of  petroleum in the world markets. The President chose to follow, almost exclusively, the political objective of installing in Venezuela a "revolution", vaguely defined along the lines of the Cuban experience, forgetting to address the real economic and social problems of millions of Venezuelans whom could not care less about his "revolutionary" dreams. In order to accomplish his political, and almost exclusive objective, the President did not require the cooperation of the best and the brightest. To assure unconditional loyalty to his plans, he only required the most servile. As a result, his cabinet and other immediate advisers are some of the most mediocre and the most resentful people available.  The best and the brightest are usually of independent thinking, outspoken, even irreverent. They are not sheep but free spirits. In contrast, Chavez' advisers do not even dare to dissent. They attend the interminable speeches of the President, dutifully laughing at his tasteless jokes or clapping after he sings, off key, a Mexican "ranchera" or a Venezuelan "joropo" over national TV. (He has had 27 networked transmissions so far this year).

Who are these people?  Let me mention just a few examples:

  1. The original ideological mentor of Chavez is Norberto Ceresole, now in disgrace. He is an Argentinean militarist and anti-Semitic far out rightist, who advised Chavez to base his political power in the military.

  2. Adina Bastidas, former Vice President, now member of the Currency Control Commission.  She lived 2 years in Washington without learning English or ever visiting a Museum. She promotes the takeover of PDVSA by the military and the "Tupamaros", a terrorist urban group.

  3. Jorge Giordano, former Planning Minister, who dedicated all his efforts to a Orinoco- Apure Development Project, in order to move Venezuelans from north to south. After hundreds of millions of dollars spent in feasibility studies and isolated infrastructure this project was shelved, together with its author.

  4. Felipe Perez, current Planning Minister, who said that anyone talking about the devaluation of the Bolivar would be committing "a sin against the Holy Spirit." Months after his warning the Bolivar has suffered a 200% devaluation.

  5. Ali Rodriguez, former guerrilla fighter and explosive expert during the Cuban supported Venezuelan insurgency of the 1960`s, who now presides over the destruction of PDVSA and has dismissed 10000 employees and will dismiss 5,000 more if we let him.

  6. William Farinas, a coupster with Chavez, leader of the social programs in construction and hand outs, later ambassador to Russia, he has wasted more than one billion dollars in the construction of faulty housing and ineffective food and money distribution schemes, lacking minimum accountability. He and other military officers such as Victor Weffer and Garcia Carneiro have led the most inefficient and corrupt sector of the Chavez regime.

  7. General Luis Acosta Carles, recently given the highest decoration in Venezuela, The Order of the Liberator, for his work in illegal break-ins of industrial plants, the military takeover of civilian installations such as the Yagua Gasoline Depot and the rough handling of civilians, preferably women. He is also known as the "Burping General" ... now more famous because of this ability than because of his military accomplishments.

These and others are the Advisers Chavez has chosen. I can assure readers that Venezuela has much better candidates than these to help any President to govern and to help moving our country forward.

But, as the saying goes: You can take the horse to the river but you can not force him to drink...

Imminent Attack?

abclocal.go.com American law enforcement officials are warning that a terrorist attack could be imminent — with a focus on today and Friday — and on the nation's previous targets, Washington, D.C., and New York.

Hospital officials in New York have been warned to be prepared to deal with a possible cyanide attack, urging them to build up stocks of sodium thiosulfate, the antidote to cyanide poisoning, as well as treatments for biological and chemical warfare. Doctors were also warned to be on the lookout for clusters of patients with respiratory, neurological or skin conditions.

Meanwhile, police around the country have stepped up patrols and heightened security measures.

Black Hawk helicopters are patrolling the skies over the nation's capital, ready to call in F-16 fighter jets if planes try to violate restricted airspace, and on the ground the military has deployed heat-seeking Stinger missiles with a range of up to two miles, to be used if suspicious planes refuse to respond to orders to leave the area.

In New York, police are out in force in the subways, at train stations and airports and at the bridge and tunnel crossings into the city with radiation detectors and gas masks. Air patrols have also returned to New York.

The FBI and National Infrastructure Protection Center issued an alert to critical industries and key facilities that they should take steps to guard against potential terrorist attacks.

The bulletin advised checking for possible infiltrators among employees, varying security routines and checking Internet sites that describe their facilities to "consider how that information might assist terrorists interested in planning an attack. Operatives will likely research potential targets extensively prior to an attack."

The apparently increasing threat of new terrorism has Americans on edge. Hardware stores have had runs on flashlights and batteries, as well as on duct tape and sheet plastic, which the Department of Homeland Security has recommended for people to use to create secure rooms in the homes.

And it's not just in New York and Washington that people are worried.

"We have some extra food and water put back. An ounce of prevention can go a long way," said Jon McCormick of Indiana. "There is a grim mood from everyone about the possibility of attack, but everyone seems to be prepared to ride it out."

Threats Overseas, Too

American officials say the threat overseas may be just as great, particularly in the Arab countries cited in an audiotape from Osama bin Laden that aired on Arab television on Tuesday.

Among the prime targets, officials told ABCNEWS, could be Saudi Arabia's Ras Tanura oil refinery — the largest in the world. Police in London were putting on a show of force at Heathrow airport that rivals anything seen in the United States.

At Gatwick Airport, outside London, the North Terminal was closed today after police discovered a live grenade in the luggage of a passenger. The man, who police said was from Venezuela and was traveling from Alicante, Spain, was arrested and charged under the Prevention of Terrorism Act.

The State Department today issued travel warnings for Bahrain and Qatar, and upgraded the warning for Saudi Arabia that was issued on Jan. 30. The warnings authorize the voluntary departure of all non-emergency personnel and family members from the U.S. Embassies, and urge private American citizens to rigorously evaluate their own security situations.

‘Packages of Importance’

The heightened alert comes less than one week after the Department of Homeland Security announced that the nation's five-step alert system had been raised to "high," the first time the level had been increased since the anniversary of the Sept. 11, 2001, attacks.

Perhaps more significantly, though, it comes after U.S. intelligence intercepted suspected terrorist communications talking of "the underground" and "packages of importance."

The intercepted communication refers to the end of the hajj Muslim holiday, which is the end of this week and indicates plots with radioactive materials or chemical agents, law enforcement officials said.

"If given the choice, al Qaeda terrorists will choose attacks that achieve multiple objectives, striking prominent landmarks, inflicting mass casualties, causing economic disruption and rallying support through shows of strength," CIA Director George Tenet told the Senate Armed Services Committee.

While the preparations are being made to mitigate the effects of any possible attack, authorities hope that the show of force will rob terrorists of the element of surprise, and possibly forestall terrorists from following through on any plans.

New Bin Laden Tape?

Meanwhile, Washington officials are examining yet another audiotape that may be from bin Laden — the second tape from the al Qaeda leader to surface this week.

"He's obviously raising the confidence of his people. He's obviously exhorting them to do more," Tenet said of the first tape, which was aired on Arab television network al Jazeera on Tuesday. "What he's said is often followed by an attack."

A British-based Islamic news agency says it has a new bin Laden recording, in which the voice purported to be that of the terror mastermind predicts he will die "a martyr" this year in an attack against his enemies.

U.S. counterterrorism officials are reviewing a transcript of the tape, but so far they have not been able to confirm that it's an authentic message from the terror chief.

At the same time, the U.S. government is aggressively pursuing intelligence that Saddam Hussein may have sent operatives to the United States, ABCNEWS has learned.

Sources told ABCNEWS that the possibility of Iraqi infiltrators is one reason why the FBI has launched a massive campaign to interview 50,000 Iraqi-Americans and Iraqis living in the United States. Of particular interest are scores of Iraqis ordered by immigration judges to leave the country, but who may have disappeared.

Most of oil industry's profits come from production, not gasoline sales

Thursday February 13, 2003 - 16:23:51 EST

CALGARY (CP) - Soaring gasoline prices may help fatten profits of Canada's major oil companies, but they contribute far less than rising crude oil prices to the industry's bottom line.

In the 2002 fourth quarter, Canada's four major oil companies - Imperial Oil, Petro-Canada, Shell Canada and Suncor Energy - nearly tripled their profits to a combined $1.3 billion. But much off the profit came from soaring oil and natural gas prices and other factors, which led to dramatic increases in earnings from the so-called upstream end of the business. Profits in the downstream - refining and marketing of gasoline - for the three biggest refiners and marketers - Imperial, Petro-Canada and Shell - rose to $314 million from $208 million in the 2001 quarter.

But with gasoline prices now above 80 cents a litre across the country, federal politicians are accusing the oil industry of profiteering on the backs of drivers.

Federal Liberal MP Dan McTeague, a longtime industry critic, says "consumers are being held ransom" by high gasoline prices and he accused oil companies of raising refinery profits from about five cents a litre to 15 cents.

Those increases, McTeague warns, are going to show up when the oil companies report their first-quarter profits in April for the January-March quarter.

The profits "will be obscene and they will be unprecedented or very close to unprecedented as -a result of maintaining these refinery margins," McTeague said in an interview.

"There's no money in retail. They don't have to make money at retail when they're making 14 cents a litre at the refinery and if they happen to be in the crude business, of course they're making money at the crude level. It's a transfer price within the same company."

In the fourth quarter, Petro-Canada, owner of a national gasoline station chain, said operating profits at its marketing network rose to $15 million from $10 million in the 2001 quarter. Refinery profits, meanwhile, increased to $63 million from $38 million during the same period.

At Imperial Oil, which owns about 2,500 Esso stations, profits in refining and gasoline rose to $128 million from $75 million, with most of the increase coming from the company's refineries.

Meanwhile, Shell Canada, operator of the Shell station network, earned $108 million from its refining and marketing business, up from $85 million in the 2001 quarter.

McTeague said the government needs to consider creating a "firewall" between the retail and refining side of the business so that big companies can't produce, refine and sell gasoline under one corporate umbrella.

It's not a competitive business when the oil companies own the refineries and the gas retailers, he said.

Bill Simpkins, spokesman for the Canadian Petroleum Products Institute, said at the country's gasoline stations "there's a high level of competition for your business as a motorist."

"There's no real big return on selling gasoline," he said, instead additional money is made through the adjoining convenience store and car wash.

"The oil companies that are involved in refining and distribution and marketing, their profit on a litre of gasoline is about a penny. The dealer is working with a return of about three to five cents (per litre) on his business."

"It's a high-volume, low-margin business."

Neil Levine, spokesman for Suncor Energy Products, which operates about 300 Sunoco stations in Ontario, said more government regulation won't work because prices are affected by cost, supply-and-demand and local competition.

"What consumers are concerned about is the volatility. But what we're dealing with here is a commodity and prices go up and down. Regulation hasn't been the answer anywhere it's been tried."

Levine also said the fact Calgary-based Suncor Energy is a major oil producer, refiner and retailer doesn't matter.

"You're paying a world price (for oil). It's not a made-in-Canada price versus a Suncor price versus a Venezuela price. It's a world price for crude oil."

The gasoline price is also based on the world wholesale price for gasoline.

"The price goes up and down. Sometimes the refining end makes more money, sometimes the refining end makes less money. But in the end, take a look at the oil industry as a whole. There are good years and bad years."

"People need to realize they're paying a fair price for their gasoline even at the prices now. They're among the lowest in the world still."

Gatwick terminal re-opens after terror alert

breaking.examiner.ie 13/02/2003 - 10:11:02 pm Gatwick's North Terminal has re-opened after a terror alert. On hearing the announcement hundreds of people rushed to the shuttle train platform in the hope of being the first to get news of their flights. A man is still being questioned by anti-terrorist police after a live grenade was found in a passenger's luggage at Gatwick airport. The 37-year-old Venezuelan arrived on British Airways flight 2048 from Bogota in Columbia. He was held by Sussex Police and was being taken to a central London police station to be quizzed by detectives from Scotland Yard's Anti-Terrorist Branch. Police said the flight stopped at Caracas in Venezuela and BA said it also stopped in Barbados. It was not clear where the man boarded the flight. The grenade was found as he went through Customs so explosives officers were called in and it was found to be live. It was not detonated. Part of the airport's North Terminal was evacuated during the alert and outbound flights were suspended. The grenade was believed to have been in the man's hold luggage, not his hand luggage, although that has yet to be officially confirmed. A BA spokesman said an investigation is underway as to how his baggage had got on to the plane undetected.