Tag Archives: European Union

European Parliament Vice-President Eva Kaili arrested by Belgian police in corruption probe

Belgian police on Friday (December 9) arrested Greek socialist leader and one of the vice-presidents of European Parliament Eva Kaili in Brussels, said AFP quoting sources. The reported arrest has taken place in connection with a corruption investigation involving FIFA World Cup hosts Qatar. Kaili’s arrest has come following detainment of four others.

Kaili, who is the partner of one of the four people arrested earlier, as detained for questioning by the police, reported AFP quoting sources.

Belgium’s federal prosecutor announced the earlier arrests after 600,000 euros in cash were discovered when police raided 16 addresses in the capital Brussels. 

The prosecutors did not specify the identities of the suspects or name of the country involved, saying only that it was a “Gulf” state.

“Four people were arrested for questioning and may be brought before the investigating judge,” prosecutors said. 

“Among those questioned was a former member of the European parliament.”

Belgian news outlets Le Soir amd Knack said that the ex-MEP who was detained was the Italian socialist and ex-MEP Pier Antonio Panzeri.

AFP said sources close to the case confirmed press reports that it was focused on suspected attempts by Qatar to bribe an Italian Socialist who was a member of the European parliament from 2004 to 2019.

(With inputs from agencies)

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Eva Kaili: European Parliament VP expelled by party amid corruption probe involving Gulf nation



CNN
 — 

Eva Kaili, one of the European Parliament’s vice presidents, has been expelled by her political party in Greece amid a corruption probe.

The Panhellenic Socialist Movement (PASOK), one of Greece’s main opposition parties, said in a statement Friday: “Following the latest developments and the investigation by Belgian authorities into corruption of European officials, MEP Eva Kaili is expelled from PASOK-Movement of change by decision of President Nikos Androulakis.”

Kaili’s political group within the European Parliament, the Progressive Alliance of Socialists and Democrats, also announced on Friday they were suspending Kaili from the group with immediate effect “in response to the ongoing investigations.”

This comes as Belgium’s federal prosecutor confirmed to Belgian public service broadcaster RTBF on Friday that one of the parliament’s 14 vice presidents had been taken in for questioning as part of a probe into corruption involving the European Parliament and a country from the Persian Gulf.

In a statement, the prosecutor said that for two years, Belgian federal police inspectors “suspected a country from the Persian Gulf of influencing economic and political decisions of the European parliament,” according to RTBF.

The Belgian police suspect that the country transferred “consequential sums of money” or “important gifts” to significant actors within the European Parliament, according to RTBF.

The federal prosecutor did not identify the vice president but said they were one of four individuals taken in for questioning.

“Among the arrested persons (is) an elderly European parliamentarian,” the prosecutor said.

Bahrain, Iran, Iraq, Kuwait, Qatar, Saudi Arabia, and the United Arab Emirates all surround the Persian Gulf.

Searches carried out as part of the inquiry resulted in the seizure of roughly 600,000 Euros ($632,000) in cash, according to RTBF. Computer materials and phones were also seized as part of the sixteen searches which took place in the Belgian areas of Ixelles, Schaerbeek, Crainhem, Forest and Brussels.

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Oil tankers are getting stuck in the Black Sea. That could become a problem



CNN
 — 

A bottleneck is building across an important trading route for oil, which if left unresolved could knock global supply and boost prices at a fragile moment for energy markets.

As of Thursday, 16 oil tankers traveling south from the Black Sea were waiting to cross the Bosphorus strait into the Sea of Marmara, an increase of five from Tuesday, according to a report from Istanbul-based Tribeca Shipping Agency. A further nine tankers were waiting to cross southbound from the Sea of Marmara through the Dardanelles strait into the Mediterranean.

The snarl-up in waterways controlled by Turkey, which Turkish officials said is mostly affecting crude oil shipments destined for Europe, has caught the attention of UK and US government officials who are now in talks with Ankara to resolve the growing impasse.

The snag is linked to a Western price cap on Russian oil that came into effect on Monday. The cap is supposed to limit the Kremlin’s revenues without adding to stress on the global economy by reducing supply. But Turkey is insisting that vessels prove they have insurance that will pay out in light of the new sanctions, before allowing them to pass through the straits linking the Black Sea and Mediterranean.

Although currently causing no disruption to global oil supply and thus prices, the hold-up could become a problem if left unresolved, said Jorge Leon, senior vice president for oil market analysis at Rystad Energy. “This is a very popular route around the world for global trade and specifically for crude,” he told CNN Business.

Countries including Russia, Kazakhstan and Azerbaijan use the Turkish straits to get their oil to world oil markets.

The traffic jam in the Turkish straits arose following the imposition this week of the price cap on Russian oil. The cap bars ship owners carrying Russian oil from accessing insurance and other services from European providers unless the oil is sold for $60 a barrel or less.

In light of the cap, Turkish maritime authorities are concerned about the risk of accidents or oil spills involving uninsured vessels, and are preventing ships from passing through Turkish waters unless they can provide additional guarantees that their transit is covered.

In a notice issued last month by Turkey’s government ahead of the price cap, maritime director general Ünal Baylan said that given “catastrophic consequences” for the country in the event of an accident involving a crude tanker, “it is absolutely required for us to confirm in some way that their [protection and indemnity] insurance cover is still valid and comprehensive.”

The International Group of P&I Clubs, which provides protection and indemnity insurance for 90% of the goods shipped by sea, has said it cannot comply with the Turkish policy.

The Turkish government’s requirements “go well beyond the general information that is contained in a normal confirmation of entry letter” and would require P&I Clubs to confirm coverage even in the event of a breach of sanctions under EU, UK and US law, the UK P&I Club said in a statement.

Turkish officials say this position is “unacceptable” and on Thursday reiterated demands for letters from insurers. “The majority of the crude oil tankers waiting to cross the strait are EU ships and a majority of the petrol is destined for EU ports,” the Turkish maritime authority said in a statement.

“It is difficult to understand why EU-based insurance companies are refusing to provide this letter… for ships that belong to the EU, carrying crude oil to [the] EU when the sanctions in question have been set forth by the EU,” it added.

Western officials, clearly worried about potential disruption to oil supply, say they are in talks with Turkey’s government to resolve the situation.

US Deputy Treasury Secretary Wally Adeyemo told Turkish Deputy Foreign Minister Sedat Onal on a call that the price cap only applies to Russian oil and “does not necessitate additional checks on ships” passing through Turkish waters.

“Both officials highlighted their shared interest in keeping global energy markets well supplied by creating a simple compliance regime that would permit oil to transit the Turkish straits,” the Treasury Department said in a statement.

“The UK, US and EU are working closely with the Turkish government and the shipping and insurance industries to clarify the implementation of the Oil Price Cap and reach a resolution,” according to a statement from the UK Treasury.

“There is no reason for ships to be denied access to the Bosporus Straits for environmental or health and safety concerns,” it added.

Despite the backlog of tankers, the average waiting time to cross the Bosphorus strait is still well below where it was this time last year, according to Leon of Rystad Energy. “Given the reaction from UK and US officials, my hunch is that this is going to be resolved very soon,” he said.

-— Gül Tüysüz in Istanbul contributed to this article.



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Russia rejects $60-a-barrel cap on its oil, warns of cutoffs

KYIV, Ukraine (AP) — Russian authorities rejected a price cap on the country’s oil set by Ukraine’s Western supporters and threatened Saturday to stop supplying the nations that endorsed it.

Australia, Britain, Canada, Japan, the United States and the 27-nation European Union agreed Friday to cap what they would pay for Russian oil at $60-per-barrel. The limit is set to take effect Monday, along with an EU embargo on Russian oil shipped by sea.

Kremlin spokesman Dmitry Peskov said Russia needed to analyze the situation before deciding on a specific response but that it would not accept the price ceiling. Russia’s permanent representative to international organizations in Vienna, Mikhail Ulyanov, warned that the cap’s European backers would come to rue their decision.

“From this year, Europe will live without Russian oil,” Ulyanov tweeted. “Moscow has already made it clear that it will not supply oil to those countries that support anti-market price caps. Wait, very soon the EU will accuse Russia of using oil as a weapon.”

The office of Ukrainian President Volodymyr Zelenskyy, meanwhile, called Saturday for a lower price cap, saying the one adopted by the EU and the Group of Seven leading economies didn’t go far enough.

“It would be necessary to lower it to $30 in order to destroy the enemy’s economy faster,” Andriy Yermak, the head of Zelenskyy’s office, wrote on Telegram, staking out a position also favored by Poland — a leading critic of Russian President Vladimir Putin’s war in Ukraine.

Under Friday’s agreements, insurance companies and other firms needed to ship oil would only be able to deal with Russian crude if the oil is priced at or below the cap. Most insurers are located in the EU and the United Kingdom and could be required to observe the ceiling.

Russia’s crude has already been selling for around $60 a barrel, a deep discount from international benchmark Brent, which closed Friday at $85.42 per barrel.

The Russian Embassy in Washington insisted that Russian oil “will continue to be in demand” and criticized the price limit as “reshaping the basic principles of the functioning of free markets.” A post on the embassy’s Telegram channel predicted the per-barrel cap would lead to “a widespread increase in uncertainty and higher costs for consumers of raw materials.”

“What happens in China will help shape whether the price cap has any teeth,” said Jim Burkhard, an oil markets analyst with IHS Markit. He said dampened demand from China means most Russian crude exports are already selling below $60.

The price cap aims to put an economic squeeze on Russia and further crimp its ability to finance a war that has killed an untold number of civilians and fighters, driven millions of Ukrainians from their homes and weighed on the world economy for more than nine months.

The General Staff of the Ukrainian Armed Forces reported that since Friday Russia’s forces had fired five missiles, carried out 27 airstrikes and launched 44 shelling attacks against Ukraine’s military positions and civilian infrastructure.

Kyrylo Tymoshenko, the deputy head of the president’s office, said the attacks killed one civilian and wounded four others in eastern Ukraine’s Donetsk region. According to the U.K. Defense Ministry, Russian forces “continue to invest a large element of their overall military effort and firepower” around the small Donestsk city of Bakhmut, which they have spent weeks trying to capture.

In southern Ukraine’s Kherson province, whose capital city of the same name was liberated by Ukrainian forces three weeks ago following a Russian retreat, Gov. Yaroslav Yanushkevich said evacuations of civilians stuck in Russian-held territory across the Dnieper River would resume temporarily.

Russian forces pulled back to the river’s eastern bank last month. Yanushkevich said a ban on crossing the waterway would be lifted during daylight hours for three days for Ukrainian citizens who “did not have time to leave the temporarily occupied territory.” His announcement cited a “possible intensification of hostilities in this area.”

Kherson is one of four regions that Putin illegally annexed in September and vowed to defend as Russian territory. From their new positions, Russian troops have regularly shelled Kherson city and nearby infrastructure in recent days, leaving many residents without power. Running water remained unavailable in much of the city.

The other regions annexed in violation of international law are Donetsk, Luhansk and Zaporizhzhia.

Ukrainian authorities also reported intense fighting in Luhansk and Russian shelling of northeastern Ukraine’s Kharkiv region, which Russia’s soldiers mostly withdrew from in September.

The mayor of the city of Kharkiv, which remained under Ukrainian control during Russia’s occupation of other parts of the region, said some 500 apartment buildings were damaged beyond repair, and nearly 220 schools and kindergartens were damaged or destroyed. He estimated the cost of the damage at $9 billion.

Russian Defense Minister Sergei Shoigu met Saturday in Minsk with the president and defense minister of Belarus, which hosts Russian troops and artillery. Belarus has said its own forces are not taking part in the war, but Ukrainian officials have frequently expressed concern that they could be be induced to cross the border into northern Ukraine.

Belarusian President Alexander Lukashenko said at the meeting that his troops and Russian forces train in coordination. “We ready ourselves as one grouping, one army. Everyone knows it. We were not hiding it,” he was quoted as saying by the news agency Interfax.

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Inna Varenytsia in Kherson, Ukraine, and Frank Bajak in Boston contributed to this report.

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Follow AP’s coverage of the war in Ukraine: https://apnews.com/hub/russia-ukraine

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G-7 joins EU on $60-per-barrel price cap on Russian oil

WASHINGTON (AP) — The Group of Seven nations and Australia joined the European Union on Friday in adopting a $60-per-barrel price cap on Russian oil, a key step as Western sanctions aim to reorder the global oil market to prevent price spikes and starve President Vladimir Putin of funding for his war in Ukraine.

Europe needed to set the discounted price that other nations will pay by Monday, when an EU embargo on Russian oil shipped by sea and a ban on insurance for those supplies take effect. The price cap, which was led by the G-7 wealthy democracies, aims to prevent a sudden loss of Russian oil to the world that could lead to a new surge in energy prices and further fuel inflation.

U.S. Treasury Secretary Janet Yellen said in a statement that the agreement will help restrict Putin’s “primary source of revenue for his illegal war in Ukraine while simultaneously preserving the stability of global energy supplies.”

The agreement comes after a last-minute flurry of negotiations. Poland long held up an EU agreement, seeking to set the cap as low as possible. Following more than 24 hours of deliberations, when other EU nations had signaled they would back the deal, Warsaw finally relented late Friday.

A joint G-7 coalition statement released Friday states that the group is “prepared to review and adjust the maximum price as appropriate,” taking into account market developments and potential impacts on coalition members and low and middle-income countries.

“Crippling Russia’s energy revenues is at the core of stopping Russia’s war machine,” Estonian Prime Minister Kaja Kallas said, adding that she was happy the cap was pushed down a few extra dollars from earlier proposals. She said every dollar the cap was reduced amounted to $2 billion less for Russia’s war chest.

“It is no secret that we wanted the price to be lower,” Kallas added, highlighting the differences within the EU. “A price between 30-40 dollars is what would substantially hurt Russia. However, this is the best compromise we could get.”

The $60 figure sets the cap near the current price of Russia’s crude, which recently fell below $60 a barrel. Some criticize that as not low enough to cut into one of Russia’s main sources of income. It is still a big discount to international benchmark Brent, which slid to $85.48 a barrel Friday, but could be high enough for Moscow to keep selling even while rejecting the idea of a cap.

There is a big risk to the global oil market of losing large amounts of crude from the world’s No. 2 producer. It could drive up gasoline prices for drivers worldwide, which has stirred political turmoil for U.S. President Joe Biden and leaders in other nations. Europe is already mired in an energy crisis, with governments facing protests over the soaring cost of living, while developing nations are even more vulnerable to shifts in energy costs.

But the West has faced increasing pressure to target one of Russia’s main moneymakers — oil — to slash the funds flowing into Putin’s war chest and hurt Russia’s economy as the war in Ukraine drags into a ninth month. The costs of oil and natural gas spiked after demand rebounded from the pandemic and then the invasion of Ukraine unsettled energy markets, feeding Russia’s coffers.

U.S. National Security Council spokesman John Kirby told reporters Friday that “the cap itself will have the desired effect on limiting Mr. Putin’s ability to profit off of oil sales and limit his ability to continue to use that money to fund his war machine.”

More uncertainty is ahead, however. COVID-19 restrictions in China and a slowing global economy could mean less thirst for oil. That is what OPEC and allied oil-producing countries, including Russia, pointed to in cutting back supplies to the world in October. The OPEC+ alliance is scheduled to meet again Sunday.

That competes with the EU embargo that could take more oil supplies off the market, raising fears of a supply squeeze and higher prices. Russia exports roughly 5 million barrels of oil a day.

Putin has said he would not sell oil under a price cap and would retaliate against nations that implement the measure. However, Russia has already rerouted much of its supply to India, China and other Asian countries at discounted prices because Western customers have avoided it even before the EU embargo.

Most insurers are located in the EU or the United Kingdom and could be required to participate in the price cap.

Russia also could sell oil off the books by using “dark fleet” tankers with obscure ownership. Oil could be transferred from one ship to another and mixed with oil of similar quality to disguise its origin.

Even under those circumstances, the cap would make it “more costly, time-consuming and cumbersome” for Russia to sell oil around the restrictions, said Maria Shagina, a sanctions expert at the International Institute for Strategic Studies in Berlin.

Robin Brooks, chief economist at the Institute of International Finance in Washington, said the price cap should have been implemented when oil was hovering around $120 per barrel this summer.

“Since then, obviously oil prices have fallen and global recession is a real thing,” he said. “The reality is that it is unlikely to be binding given where oil prices are now.”

European leaders touted their work on the price cap, a brainchild of Yellen.

“The EU agreement on an oil price cap, coordinated with G7 and others, will reduce Russia’s revenues significantly,” said Ursula von der Leyen, president of the European Commission, the EU’s executive arm. “It will help us stabilize global energy prices, benefiting emerging economies around the world.”

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Casert reported from Brussels and McHugh from Frankfurt, Germany. AP reporter Aamer Madhani contributed from Washington.

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Europe agrees to cap the price of Russian oil at $60 a barrel


London
CNN Business
 — 

The European Union has reached a consensus on the price at which to cap Russian oil just days before its ban on most imports comes into force.

News of the deal, which had needed approval from holdout Poland, was confirmed on Twitter by the president of the European Commission, Ursula von der Leyen, marking a key milestone in the West’s efforts to punish President Vladimir Putin without adding to stress on the global economy.

“Today, the European Union, the G7 and other global partners have agreed to introduce a global price cap on seaborne oil from Russia,” von der Leyen said, adding that it would strengthen sanctions on Russia, diminish Moscow’s revenues and stabilize energy markets by allowing EU-based operators to ship the oil to third-party countries provided it is priced below the cap.

The bloc’s 27 member states agreed Friday to set the cap at $60 a barrel, an EU official with knowledge of the situation told CNN on Friday.

The West’s biggest economies agreed earlier this year to establish a price cap after lobbying by the United States, and vowed to hash out the details by early December. But setting a number had proved difficult.

Capping the price of Russian oil between $65 and $70 a barrel, a range previously under discussion, wouldn’t have caused much pain for the Kremlin. Urals crude, Russia’s benchmark, has already been trading within or close to that range. EU countries such as Poland and Estonia had pushed for the cap to be lower.

“Today’s oil price cap agreement is a step in right direction, but this is not enough,” Estonian foreign minister Urmas Reinsalu tweeted Friday. “Intent is right, delivery is weak.”

A price of $60 represents a discount of almost $27 to Brent crude, the global benchmark. Urals has been trading at discounts of around $23 in recent days. Reuters reported that the EU agreement included a mechanism to adjust the level of the cap to ensure it was always 5% below the market rate.

The risk of settling on a lower price is that Russia could retaliate by slashing its output, which would roil markets. Russia previously warned that it will stop supplying countries that adhere to the cap.

With EU countries in alignment, the last remaining obstacle to a wider G7 agreement was lifted. A top US Treasury department official said Thursday that $60 would be acceptable.

“We still believe that the price cap will help limit Mr. Putin’s ability to profiteer off the oil market so that he can continue to fund a war machine that continues to kill innocent Ukrainians,” National Security Council coordinator for strategic communications John Kirby told reporters.

“We think that the $60 per barrel is appropriate and we think it will have that effect,” Kirby added.

The price cap is designed to be enforced by companies that provide shipping, insurance and other services for Russian oil. If a buyer has agreed to pay more than the cap, they would withhold those services. Most of these firms are based in Europe or the United Kingdom.

Investors are already on edge, with the European Union’s embargo on Russian oil traveling by sea set to take effect on Monday. Confusion about the impact of that measure, along with lingering questions about the price cap, have unsettled traders.

“There’s so much uncertainty and doubt and lack of clarity about the policy that no one’s really confident about how to act,” said Richard Bronze, head of geopolitics at the research firm Energy Aspects.

Oil prices have dropped sharply since the summer, as China’s coronavirus lockdowns and global recession fears have dented demand. OPEC and Russia announced a big production cut in October, but that had little sustained impact on prices. The EU embargo and efforts to set a price cap could begin to push them higher again.

— Chris Liakos and Betsy Klein contributed to this article.



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EU edges closer to $60-per-barrel Russian oil price cap

BRUSSELS (AP) — The European Union was edging closer to setting a $60-per-barrel price cap on Russian oil — a highly anticipated and complex political and economic maneuver designed to keep Russia’s supplies flowing into global markets while clamping down on President Vladimir Putin’s ability to fund his war in Ukraine.

EU nations sought to push the cap across the finish line after Poland held out to get as low a figure as possible, diplomats said Thursday. “Still waiting for white smoke from Warsaw,” said an EU diplomat, who spoke on condition of anonymity because the talks were still ongoing.

The latest offer, confirmed by 3 EU diplomats, comes ahead of a deadline to set the price for discounted oil by Monday, when a European embargo on seaborne Russian crude and a ban on shipping insurance for those supplies take effect. The diplomats also spoke on condition of anonymity because the legal process was still not completed.

The $60 figure would mean a cap near the current price of Russia’s crude, which fell this week below $60 per barrel, and is meant to prevent a sudden loss of Russian oil to the world following the new Western sanctions. It is a big discount to international benchmark Brent, which traded at about $87 per barrel Thursday, but could be high enough for Moscow to keep selling even while rejecting the idea of a cap.

When the final number is in place, a new buyer’s cartel — which is expected to be made up of formal and informal members — will be born. Western allies in the Group of Seven industrial powers led the price cap effort and still need to approve the figure.

One coalition official, who was not authorized to comment publicly and spoke on the condition of anonymity, expressed optimism that an agreement could be reached as early as Friday, but cautioned the negotiations would potentially roll into the weekend or perhaps even Monday.

The official added that putting the price cap in place will help end the war faster. On the flipside, the official said failure to put it in place would be “a win for Russia.”

Oil is the Kremlin’s main pillar of financial revenue and has kept the Russian economy afloat so far despite export bans, sanctions and the freezing of central bank assets that began with the February invasion. Russia exports roughly 5 million barrels of oil per day.

The risks of the price cap’s failure are immense to the global oil supply. If it fails or Russia retaliates by stopping the export of oil, energy prices worldwide could skyrocket. Putin has said he would not sell oil under a price cap and would retaliate against nations that implement the measure.

U.S. and European consumers could feel the ramifications in more spikes to gasoline prices, and people in developing countries could face greater levels of food insecurity.

With the EU and U.K. banning insurance for Russian oil shipments, the price ceiling allows companies to keep insuring tankers headed for non-EU countries as long as the oil is priced at or under the cap. That would avoid a price spike from the loss of supplies from the world’s No. 2 oil producer and put a ceiling on Russia’s oil income near current levels.

The Treasury Department has released guidance meant to help firms and maritime insurers understand how to abide by the price ceiling, saying the price cap could fluctuate depending on market conditions.

Robin Brooks, chief economist at the Institute of International Finance in Washington, said the cap should have been implemented earlier this year, when oil was hovering around $120 per barrel.

“Since then, obviously oil prices have fallen and global recession is a real thing,” he said. “The reality is that it is unlikely to be binding given where oil prices are now.”

Critics of the price cap measure, including former Treasury Secretary Steve Mnuchin, have called the plan “ridiculous.”

Mnuchin told CNBC during a panel in November at the Milken Institute’s Middle East and Africa Summit that the price cap was “not only not feasible, I think it’s the most ridiculous idea I’ve ever heard.”

Rachel Ziemba, an adjunct senior fellow at the Center for a New American Security, said that while a worst-case scenario envisions Russia cutting off the global supply of its oil, “the Saudis and Emiratis would boost production.”

“Russia has made is clear the countries that abide by the cap won’t receive their oil and that could result in cuts to natural gas exports as well,” she said. “This will be an interesting few weeks and few months.”

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Hussein reported from Washington. AP writer Aamer Madhani in Washington and business writer David McHugh contributed from Frankfurt, Germany.

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Boris Johnson claims France was ‘in denial’ before Russia’s invasion of Ukraine


London
CNN
 — 

Former British Prime Minister Boris Johnson has claimed France was “in denial” about the prospect of a Russian invasion of Ukraine, and accused the German government of initially favoring a quick Ukrainian military defeat over a long conflict.

Johnson told CNN’s partner network CNN Portugal on Monday that the attitudes of Western nations varied widely before Moscow launched its all-out invasion of Ukraine on February 24, singling out three leading EU countries in comments that are unlikely to be welcomed in European capitals.

While Johnson stressed that EU nations later rallied behind Ukraine and are now providing steadfast support, that was not universally the case in the period before the Russian invasion.

“This thing was a huge shock … we could see the Russian battalion tactical groups amassing, but different countries had very different perspectives,” Johnson told CNN’s Richard Quest in Portugal.

“The German view was at one stage that if it were going to happen, which would be a disaster, then it would be better for the whole thing to be over quickly, and for Ukraine to fold,” Johnson claimed, citing “all sorts of sound economic reasons” for that approach.

“I couldn’t support that, I thought that was a disastrous way of looking at it. But I can understand why they thought and felt as they did,” Johnson went on. Germany has rapidly sought to reduce its reliance on Russian energy since Moscow’s invasion.

“Be in no doubt that the French were in denial right up until the last moment,” Johnson also said.

French President Emmanuel Macron fronted Europe’s efforts to dissuade Vladimir Putin from invading Ukraine, visiting him in the Kremlin just weeks before the Russian leader ordered his troops into the country. In March, the chief of French military intelligence, Gen. Eric Vidaud, was told to step down from his post partly for “failing to anticipate” the Russian invasion of Ukraine, a military source with knowledge of the matter told CNN at the time.

Johnson also criticized Italy’s initial response to the threat of an invasion. He told Quest that its government – at the time led by Mario Draghi – was “at one stage simply saying that they would be unable to support the position we were taking,” given their “massive” reliance on Russian hydrocarbons.

CNN has reached out to the French and German governments. Draghi’s office declined to comment.

Many observers initially believed a Russian invasion of Ukraine would be completed within weeks or days, but Kyiv’s forces instead repelled Moscow’s initial lunge towards the capital and have more recently conducted successful counter-offensives to regain ground in the east and south of the country.

Johnson said that once Russia launched its invasion in February, attitudes across Europe changed quickly.

“What happened was everybody – Germans, French, Italians, everybody, (US President) Joe Biden – saw that there was simply no option. Because you couldn’t negotiate with this guy (Putin). That’s the key point,” the ex-Prime Minister said, adding that the “the EU has done brilliantly” in its opposition of Russia since that time.

“After all my anxieties … I pay tribute to the way the EU has acted. They have been united. The sanctions were tough,” Johnson went on.

During his period in office, Johnson frequently criticized Russia’s invasion and forged a close relationship with Ukrainian President Volodymyr Zelensky. Johnson was forced to resign in July after repeated scandals sank his reputation and caused dozens of his ministers to resign.

Boris Johnson talks about his chances of becoming prime minister again

Johnson told CNN that Zelensky has been “absolutely outstanding” in his leadership. “He’s a very brave guy. I think the history of this conflict would have been totally, totally different it he hadn’t been there.”

He added that “if Ukraine chooses to be a member of the EU, they should go for it. and I think it would be a good thing for Ukraine,” helping it achieve political and economic reform. Kyiv applied to join the bloc earlier this year.

Johnson was replaced in Downing Street by Liz Truss, who had the shortest tenure of any British Prime Minister. Her disastrous seven-week term was sunk by a “mini-budget” that spooked markets and caused global financial agencies to express alarm.

In a euphemistic criticism of that mini-budget, Johnson told Quest: “It’s kind of like when I play the piano. The notes individually sound perfectly OK, but they’re not in the right order, or occurring at the right time.”

Truss has since been replaced by Johnson’s Chancellor-turned-political rival, Rishi Sunak, who visited Kyiv for the first time as Prime Minister on Saturday.

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COP27: Negotiators reach tentative deal on ‘loss and damage’ at UN climate summit


Sharm el-Sheikh, Egypt
CNN
 — 

Despite one major breakthrough on Saturday, international climate negotiations at the UN’s COP27 climate summit are dragging on into early Sunday morning.

The closing plenary of this year’s COP is scheduled to start at 3 a.m. Egypt time, according to a notice from the United Nations Framework Convention on Climate Change.

For the second year in a row, marathon negotiations continued well past their scheduled end, as countries attempted to hammer out stronger language around phasing down all fossil fuels including oil and gas, instead of just unabated coal, according to multiple NGOs observing the talks.

Elsewhere, progress has been made. On Saturday, parties reached a tentative agreement to establish a “loss and damage” fund for nations vulnerable to climate disasters, according to negotiators with the European Union and Africa, as well as non-governmental organizations who are observing the talks.

The United States is also working to sign on to a deal on a loss and damage fund, Whitney Smith, a spokesperson for US Climate Envoy John Kerry, confirmed to CNN.

The fund will focus on what can be done to support loss and damage resources, but it does not include liability or compensation provisions, a senior Biden administration official told CNN. The US and other developed nations have long sought to avoid such provisions that could open them up to legal liability and lawsuits from other countries.

If finalized, this could represent a major breakthrough in negotiations on a contentious subject – and it’s seen as a reversal, as the US has in the past opposed efforts to create such a fund.

All is not yet settled – an EU source directly involved with the negotiations cautioned earlier Saturday that the deal is part of the larger COP27 agreement that has to be approved by nearly 200 countries. Negotiators worked through the night into Sunday. And other issues, including language around fossil fuels, remain, according to multiple NGOs observing the talks.

But progress has been made, the source said. In a discussion Saturday afternoon Egypt time, the EU managed to get the G77 bloc of countries to agree to target the fund to vulnerable nations, which could pave the way to a deal on loss and damage.

If finalized, the deal would represent a major breakthrough on the international stage and far exceed the expectations of this year’s climate summit, and the mood among some of the delegates was jubilant.

Countries who are the most vulnerable to climate disasters – yet who have contributed little to the climate crisis – have struggled for years to secure a loss and damage fund.

Developed nations that have historically produced the most planet-warming emissions have been hesitant to sign off on a fund they felt could open them up to legal liability for climate disasters.

Details on how the fund would operate remain murky. The tentative text says a fund will be established this year, but it leaves a lot of questions on when it will be finalized and become operational, climate experts told reporters Saturday. The text talks about a transitional committee that will help nail down those details, but doesn’t set future deadlines.

“There are no guarantees to the timeline,” Nisha Krishnan resilience director for World Resources Institute Africa told reporters.

Advocates for a loss and damage fund were happy with the progress, but noted that the draft is not ideal.

“We are happy with this outcome because it’s what developed countries wanted – though not everything they came here for,” Erin Roberts, founder of the Loss and Damage Collaboration, told CNN in a statement. “Like many, I’ve also been conditioned to expect very little from this process. While establishing the fund is certainly a win for developing countries and those on the frontlines of climate change, it’s an empty shell without finance. It’s far too little, far too late for those on the frontlines of climate change. But we will work on it.”

At COP27 the demand for a loss and damage fund – from developing countries, the G77 bloc and activists – had reached a fever pitch, driven by a number of major climate disasters this year including Pakistan’s devastating floods.

The conference first went into overtime on Saturday before continuing into the early hours of Sunday morning, with negotiators still working out the details as the workers were dismantling the venue around them. At points, there was a real sense of fatigue and frustration. Complicating matters was the fact that Kerry – the top US climate official – is self-isolating after recently testing positive for Covid, working the phones instead of having face-to-face meetings.

And earlier in the day Saturday, EU officials threatened to walk out of the meeting if the final agreement fails to endorse the goal to limit warming to 1.5 degrees Celsius above pre-industrial levels.

Global scientists have for decades warned that warming must be limited to 1.5 degrees – a threshold that is fast-approaching as the planet’s average temperature has already climbed to around 1.1 degrees. Beyond 1.5 degrees, the risk of extreme drought, wildfires, floods and food shortages will increase dramatically, scientists said in the latest UN Intergovernmental Panel on Climate Change (IPCC) report.

In a carefully choreographed news conference Saturday morning, the EU’s Green Deal tsar Frans Timmermans, flanked by a full line-up of ministers and other top officials from EU member states, said that “no deal is better than a bad deal.”

“We do not want 1.5 Celsius to die here and today. That to us is completely unacceptable,” he said.

The EU made it clear that it was willing to agree to a loss and damage fund – a major shift in its position compared to just a week ago – but only in exchange for a strong commitment on the 1.5 degree goal.

As the sun went down on Sharm el-Sheikh Saturday evening, the mood shifted to cautious jubilation, with groups of negotiators starting to hint that a deal was in sight.

But, as is always the case with top-level diplomacy, officials were quick to stress that nothing is truly agreed until the final gavel drops.

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Sunak’s wealth and right-wing politics mean he is far from representative, British Asians say


London
CNN
 — 

Orange and pink fireworks colored the skies over south London on Monday, as members of the local South Asian community celebrated Diwali.

This year, the holiday aligned with Rishi Sunak, 42, becoming Britain’s first prime minister of Indian descent, as Hindus like him celebrated the festival of lights.

Sunak’s rise to power has split opinion among South Asians in the UK. Some believe his historic appointment is a moment of pride and sign of social progress in Britain, while others point to his immense wealth, privately educated background and adoption of hard right-wing policies.

Evidence of this wide range of views was clear when CNN spoke to South Asians in the London neighborhood of Tooting – home to a bustling migrant community within the British capital.

Flamboyant fabric shops, places of worship and food vendors offering syrupy Indian desserts alongside fresh fruits and vegetables line the streets, with family-run convenience stores dotting nearly every corner.

The London suburb is steeped in the richly diverse heritage of its residents, where people of color comprise over half of the population, according to the 2011 UK census.

The same data found that nearly 30% of people in Tooting identify as “Asian” or “Asian British,” and after English, Urdu and Gujarati are among the most common languages spoken.

“I think it’s a good thing and especially auspicious on the day of Diwali, for him to be appointed,” Raj Singh, a Punjabi-Sikh member of the Khalsa Centre, a local Sikh temple, told CNN.

“It is a sign of progress, but only at the top. Rishi Sunak comes from a very privileged background,” the 58-year-old solicitor said, his glasses tucked behind his bright orange turban.

Singh said he believed Sunak’s ascent is a sign that only South Asian politicians with immense social and economic privilege can “break the glass ceiling.”

Earlier this year, Sunak and his wife Akshata Murty, the daughter of an Indian billionaire, appeared on the Sunday Times Rich List of the UK’s 250 wealthiest people. The newspaper estimated their joint net worth at £730 million ($826 million).

Sunak received a flurry of congratulations from other politicians of South Asian heritage, including former Conservative cabinet minister Sajid Javid and London Mayor Sadiq Khan, who is in the opposition Labour Party. Indian Prime Minister Narendra Modi also sent Sunak “special Diwali wishes,” calling him a “bridge” between the two countries.

Outside the capital, Sanjay Chandarana, who heads a Hindu temple in Southampton, southern England, co-founded by Sunak’s grandparents in 1971, told CNN that Sunak’s elevation was “a Barack Obama moment” for the UK, in a nod to America’s first Black president.

“I think it’s something of importance to the South Asian community … seeing that he is the first South Asian prime minister of the UK. It’s something that I think all South Asians should be proud of,” Irtaza Nasir, a 24-year-old restaurant director in Tooting, said. “I never thought this day would come.”

Anil Shah, a garrulous 75-year-old Hindu Gujarati shopkeeper, said Sunak’s leadership “proves that we have Indians who are clever enough to do the job.”

However, Nilufar Ahmed, a psychologist at the University of Bristol in western England, said Sunak’s leadership is “nuanced and complex,” and cautioned the limits of racial representation at the highest rungs of British politics.

“I think that there was something quite lovely about his appointment coming alongside Diwali. I think that was really meaningful for many South Asians to have that,” she said.

“But I also think that it’s too simplistic to see Rishi Sunak as symbolic of a South Asian community in the UK. This is a man that has had lots of privilege and so he isn’t as representative as some of the discourse around representation is presenting him to be.”

Ahmed said she remains cynical about comparisons between Sunak and Obama’s premiership, citing the absence of a mandate from the general population in Britain.

Sunak was appointed prime minister, replacing Liz Truss, after his lone remaining rival Penny Mordaunt dropped out of the Conservative Party leadership contest. He is the third British prime minister in seven weeks, with his premiership sparking calls from across the political spectrum for a general election.

“Rishi Sunak was not even elected by his own party, let alone by the UK population. And so there will be a resistance in the population against Sunak being appointed. He will not be seen as somebody who perhaps represents the membership or the voters of the Conservative Party,” Ahmed commented.

She added that his premiership could “play out in quite worrying ways,” citing a viral video in which a Conservative party member launched racist criticism against Sunak and told LBC Radio that he “doesn’t love England” and “isn’t even British in most people’s opinion.”

Sunak was born in the coastal city of Southampton and is a British citizen.

For Lubeena Yar, a 56-year-old entrepreneur based in Tooting, Sunak’s appointment “was circumstantial.”

“Conservatives are Conservatives. I don’t think it really matters what color their skin is,” the 56-year-old reflected as she sat on a plush pink chair inside her Pakistani clothes store.

Yar said she did not align with Sunak’s Conservative Party values, but added that she identified with the sacrifices his parents made in migrating to the UK from East Africa in the 1960s.

She recalled that when her parents first came from Pakistan to the UK in the same period, her father was turned away from homeowning opportunities because racist neighbors would say they did not want a person of color living on their street.

“I’ve grown up in that era. And, you know, I remember what my life was or what my parents had to sacrifice so we could get a good education, get our degrees and do what we wanted to. Our parents weren’t from that privileged background, but they made it for us.”

Sunak has inherited myriad challenges as the UK’s new leader, namely the task of steering the country out of a grueling cost-of-living crisis and calming financial markets in the wake of Truss’ short and chaotic premiership.

However, Sunak is also partially responsible for the economic turmoil suffocating the UK.

While serving as the UK’s former finance minister under Boris Johnson’s government, he installed measures worth £400 billion ($452 billion) aimed at strengthening the economy, including a generous furlough scheme, business loans and concessions on eating in restaurants. But that stimulus came at a sizeable cost and left the government struggling to find savings.

He has pledged to bring “stability and unity” to the Conservatives by appealing to multiple factions of the party, which has seen deepening divisions since the 2016 Brexit vote.

He has historically voted to support stronger enforcement of immigration and asylum rules and opposed measures to prevent climate change and promote equality and human rights. Like his predecessor, Sunak promised a tough approach to illegal immigration and vowed to expand the government’s controversial Rwanda immigration policy.

Further north, in the Scottish city of Glasgow, Fariya Sharif, said she failed to see Sunak’s leadership as a sign of equality.

“Rishi Sunak’s appointment makes me feel deflated and devastated at the chaos of the Tories continuing to badly rule our country, especially another PM that wasn’t elected by everyday people,” the 30-year-old Muslim Pakistani chef said by email.

“I don’t see this as racial progress. I see this as tokenism from the Tories trying to push their agenda on wealthier immigrant communities … it encourages an environment where brown people are only accepted if they follow the same harsh rules on immigration and economics.”

Sunak’s premiership has sparked a debate among many British Asians that lies at the intersection of race, class and politics.

The new prime minister has entered Downing Street as one of its richest ever occupants, yet he has the task of leading a country where marginalized communities are falling deeper into poverty in the wake of the coronavirus pandemic.

During his time as chancellor of the exchequer, Sunak was criticized for proposing a negligible 1% pay rise to staff for Britain’s National Health Service, despite the institution crumbling under government cuts and staff shortages.

Rina Patel, a Hindu Gujarati doctor who works at St. Helier Hospital in south London, said she has “really mixed views” about Sunak’s premiership.

“In terms of representing people, I don’t feel that he can represent the poorest people in our society. And as a doctor in the NHS, I see some of the poorest people in our society that are struggling,” the 43-year-old said against the backdrop of a local jeweler.

“In terms of the fact that he is intelligent, has a finance background, I think he will do better than what’s gone before, but that’s no compliment,” Patel added. “I don’t think he represents me.”

“What I see in Rishi Sunak’s, first and foremost … is an incredibly privileged person with enormous wealth and with access to education and resources that the majority of South Asians in the UK do not have. And so, I have far more in common with working-class White politicians than I do with Rishi Sunak,” Ahmed mused.

Sunak may be the first British prime minister with Indian heritage, but his race alone does not qualify him to represent the diverse and nuanced views of the 4.2 million people with South Asian heritage who live in Britain today.

“Seeing someone brown becoming prime minister is something to be proud of, and yet it is also possible to vehemently disagree with the politics or the individual,” Jasvir Singh, a barrister and co-founder of South Asian Heritage Month, wrote by email.

“Politics is much, much more than just about color and race.”



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