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Thursday, 29 November, 2012
OGRA should fix CNG price to provide relief to masses: PEW ISLAMABAD ONLINE
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HE Pakistan Economy Watch (PEW) has urged the Oil and Gas Regulatory Authority (OGRA) to take independent decisions to determine a new price of Compressed Natural Gas (CNG) in order to provide relief to the masses. He said that OGRA must set aside the pressure of influential CNG association cartel and should take independent decision to fix new CNG price. In a statement issued here on Wednesday, President Pakistan Economy Watch Dr.Murtaza Mughal said CNG cartel had minted billion of rupees from the consumers and therefore now it was reluctant to sell gas at lower rates. “State owned gas companies should take over the CNG stations if CNG owners are not ready to sell gas at low rates to provide relief to the consumers,” he said adding that Competition Commission of Pakistan (CCP) should also take action of CNG cartel that had deprived the consumers of CNG by secret call of strike to CNG station owners to shut down outlets. He said CNG station owners have been seen to repeatedly ignore the apex court directions to sell gas at low rates which has deprived the customers of any relief. He, however, said that OGRA should take into account all valid suggestions of the stakeholders to settle on a new price formula of CNG as per the directions of apex court. “The decision of OGRA to solicit public opinion to determine the prices of CNG for which held public hearing in three major cities of the country including Lahore, Islamabad and Karachi is highly significant,”Dr. Murtaza added.
ADB eyes social protection for the poor ISLAMABAD ONLINE
Social protection systems in most Asian countries fall far short of meeting the needs of the poor and vulnerable even though better safety nets can be affordable for poorer countries. A new study from Independent Evaluation at the Asian Development Bank (ADB) said despite high economic growth in much of the region, public spending on social protection in Asia and the Pacific is lower than in any part of the world except for sub-Saharan Africa. Recent economic and financial
crises, food and fuel emergencies, and the rapidly increasing frequency of natural disasters have starkly exposed the inadequacy of the region’s national social protection systems to guarantee a minimum level of subsistence and meet people’s basic needs. “Governments around the world tend to scramble to adopt social protection programs in times of crisis,” says the Director General of Independent Evaluation Vinod Thomas. “But comprehensive systems built in stable years are much more effective in coping with the human impact of future economic or political crises or nat-
EU reaches compromise on ratings agency rules BRUSSELS AGENCIES
The European Commission, European Parliament and European Council have reached compromise on new rules meant to govern credit ratings agencies, EU Internal Market Commissioner Michel Barnier said on Tuesday. “I welcome the important agreement reached today on additional rules for credit rating agencies which aim to reduce the over-reliance on ratings, eradicate conflicts of interest, and establish a civil liability regime,” Barnier said in statement. These agencies “will have to be more transparent when rating sovereign states,” Barnier added, as well as “respect timing rules on sovereign ratings and justify the timing of publication of unsolicited ratings of sovereign debt” in order to avoid destabilising financial markets.
SAARC’s power lag = 50,000MW ISLAMABAD: The leaders of business community and have reiterated the need tap energy potential in South Asia which is must for maintainable growth and economic revival. These observations surfaced in a seminar titled, “Energy Cooperation in South Asia Commitment and New Dimensions” organized by SAARC CCI in New Delhi in collaboration with the Federation of Indian Chambers of Commerce and Industry. After inaugurating the seminar, Gireesh B. Pradhan, Secretary Ministry of New and Alternative Energy, India emphasized for energy cooperation and stressed a shift towards alternative energy. Vikramjit Singh Sahney, President Saarc CCI said that un-interrupted supply of energy at affordable price was needed to sustain this economic growth. The region is faced with 50 thousand MW of electricity which needs collective efforts to transform South Asia from an energy-starved to an energy efficient region. Speaking on the occasion, Tariq Sayeed, former president of SAARC CCI said that South Asia has 150,000 MW of hydropower potential and .5 million MW solar and wind power potential but the region was faced with 50,000 MW shortfall. Since the energy demand in the region would be doubled by 2020, there was dire need to invest in energy related projects, said Sayeed. P.S. Bami, President India Energy noted that 300 million people only in India had no access to electricity despite the fact that India had more potential of energy production against energy demand. ONLINE
ural disasters.” Widening wealth gaps are also drawing attention to the need for greater social protection in Asia, where income disparities over the past two decades have widened in 11 countries that account for more than four-fifths of the region’s population. All countries spend on the poor in some form or another, although there are considerable country variations in the levels and effectiveness of the spending. Concerns over the cost of universal social protection are deterring some countries, but well-targeted safety nets are not prohibitively expensive, says the study.
In the Philippines, for example, the government’s conditional cash transfer program to uproot extreme poverty costs less than 0.5 per cent of the country’s gross domestic product, yet reaches 15 million people. The program makes regular cash payments to mothers conditional on their children attending school and public health clinics. After just three years of implementation, evaluation findings show positive results on elementary education school enrollment and beneficiary households spending more on the health and education of their children.
ICCI clamours for traders’ residential concerns ISLAMABAD AGENCIES
Zafar Bakhtawari, President ICCI said that the traders of the Federal Capital were facing severe housing problems and demanded that small plots or flats should be allocated to these traders as they played vital role for the development of Islamabad. Mian Muhammad Aslam, Former MNA and Vice President of Jamat-e-Islamai Punjab visited Islamabad Chamber of Commerce and Industry (ICCI) for addressing business community of Federal Capital. Zubair Farooq Khan, Deputy Chief of Jama’at-i-Islami, Islamabad was also present on the occasion. Speaking on the occasion, Zafar Bakhtawari, President ICCI lauded the dynamic role of Mian Muhammad Aslam for social welfare of the common people. He also informed the Former MNA about various problems faced by business community. ICCI President highlighted the problem of balanced rent control because non-existence of a balanced rent law in the federal capital was the main cause of rising rent disputes between tenants and landlords. Bakhtawari demanded that the representation of traders in the CDA board of directors is essential that help in creating a bridge between the citizens and the local administration to understand the rapidly increasing problems of the city and giving their input in the policy making and decision-making process of mega projects. He said that the traders of the Federal Capital were facing severe housing problems and demanded that small plots or flats should be allocated to these traders as they played vital role for the development of Islamabad. He also
proposed that the CDA should also consider a separate housing society for the traders. Mian Muhammad Aslam, Former MNA and Vice President of Jamat-e-Islamai Punjab said that he would provide his full support in execution of balanced rent control act. He asked President of ICCI to make a proposal regarding all concerned issues and assured his support for solving these problems of business community on priority basis. Munawar Mughal, former President ICCI thanked Mian Muhammad Aslam and Zubair Farooq Khan for visiting ICCI and was of the view that political leaders were not fulfilling their colossal promises after winning elections. He stressed all political parties to demonstrate their responsibility and uphold the decent democratic values and norms in their ranks for prosperity of our country.
Asian shares slip on US fiscal cliff fears HONG KONG AGENCIES
Asian markets fell Wednesday, following losses on Wall Street, as traders fret US lawmakers will not agree a deal to avert the fiscal cliff. Forex dealers also ran for cover after the Senate Majority Leader Harry Reid said “little progress” had been made in cross-party talks on the looming tax hikes and spending cuts due to come in on January 1 that would tip the US into recession. Tokyo fell 0.84 percent by the break, Hong Kong lost 0.64 percent, Sydney shed 0.46 percent, Shanghai was 0.45 percent lower and Seoul slipped 0.90 percent. Reid’s comments raised the spectre of another long battle between Republicans and Democrats, similar to last year’s row over raising the country’s borrowing cap, which led to the United States losing its AAA credit rating. “The difficulties with solving the US ‘fiscal cliff’ are coming to a head again
and may present a good selling opportunity for investors,” said Kenichi Hirano, market analyst at Tachibana Securities. The news hit Wall Street shares. The Dow ended 0.69 percent lower, the S&P 500 lost 0.52 percent and the Nasdaq slid 0.30 percent. The losses came despite data showing US consumer confidence rose in November to its highest level since February 2008, while a separate report said home prices rose in September, a fresh sign of recovery in the crucial housing market. Also Tuesday the Organization for Economic Cooperation and Development (OECD) warned that failure to reach a deal would likely see the world’s number one economy fall back into recession, which would have a global knock-on effect. And Richard Fisher, president of the Federal Reserve Bank of Dallas, said a temporary fix with no clarity on tax and regulatory policy could have destructive effects. Currency traders have also been spooked, with euro and dollar falling
against the yen after enjoying a recent rally on hopes for a US deal, while the Greek bailout success had also been priced in. The euro bought $1.2929 and 105.90 yen in early Asian trade Wednesday,
compared with $1.2938 and 106.30 yen in New York late Tuesday. The dollar was at 81.90 yen against 82.16 yen. The yen has seen selling pressure in recent weeks after the man expected to become prime minister after
next month’s election vowed to press for more aggressive monetary easing to lift the economy. Focus has moved to Washington as Greece debt concerns abate after the country was eventually given long-frozen bailout cash on Tuesday. After marathon talks in Brussels, the eurozone and the International Monetary Fund agreed to unlock 43.7 billion euros ($56 billion) in loans and on the need to grant significant debt relief for decades to come. Greece must still meet a series of agreed conditions but “the decision will certainly reduce the uncertainty and strengthen confidence in Europe and in Greece,” said European Central Bank President Mario Draghi. On oil markets New York’s main contract, West Texas Intermediate (WTI) for January delivery, was down seven cents to $87.11 a barrel in the morning, and Brent North Sea crude for January climbed four cents to $109.91 in volatile trade. Gold was at $1,740.20 at 0230 GMT compared with $1,746.42 late Tuesday.