News & Reports 2011-11-05

 Hello and Welcome to News and Reports on China Radio International.

 

In This Edition

 

G20 Summit concludes in Cannes with a communiqué in which the G20 economies agreed to secure sustainable growth in coordinated efforts.

 

Greece's centre-right opposition puts out a fresh call for Prime Minister George Papandreou to resign, throwing plans for a unity government into disarray.

 

China says it opposes nuclear proliferation and does not uphold the development of nuclear weapons by any Middle East country.

 

China unveils plans for phasing out incandescent light bulbs to promote energy conservation and emission reductions.

 

 

Hot Issue Reports

 

G20 Cannes Summit Ends with Communique to Secure Sustainable Growth

The Group of Twenty (G20) Cannes Summit has concluded with a final communiqué in which the G20 economies agreed to secure sustainable growth in coordinated efforts.

 

The communiqué says that G20 countries have chosen different measures to tackle their respective priorities. Advanced countries with tight budget commit to adopt policies to build confidence and support growth and to achieve fiscal consolidation while countries with surplus will boost domestic demand.

 

G20 leaders have also agreed to increase the International Monetary Fund (IMF) resources to enable it to play a key role in defending growth and preparing for unexpected shocks.

 

The leaders also pledged to support the IMF's proposal of establishing a single facility to fulfill the emergency assistance needs of its members.

 

Christine Lagarde, Managing Director of IMF.

 

"I clearly have in my bag the support of the G20 to submit to my board, very shortly actually, the new financial facility, which is going to be a precautionary liquidity line. A precautionary liquidity line is intended for countries - any country that is solid on its feet, that has good policies, but that is suffering an external shock as a result, for instance, of the crisis."

 

In this regard, Lagarde has welcomed Italy's decision to submit its reforms to the scrutiny of IMF experts.

 

Food price and unemployment were also on the Summit's agenda. And Chinese President Hu Jintao called for seeking a proper balance between the stabilization of staple commodity prices and the promotion of world economic growth.

 

He also stressed the need to strike a right balance between the stabilization of commodity prices and the promotion of international development and cooperation.

 

Bill Gates Urges G20 Leaders to Bring in Financial Transaction Tax

 

Meanwhile, Microsoft founder Bill Gates has called on G20 economies to consider taxes on financial transactions and other innovative ways to help poor nations.

 

"The world doesn't have one government and so you're just not going to have complete alignment on how tax structures work in all the different countries. I hope some countries look at the tax ideas in the report and consider those - tobacco tax is another one, various fuel taxes that would discourage CO2 emissions is another possibility."

 

Gates is calling for taxes on financial transactions, aviation fuel, shipping fuel, and tobacco as ways to raise new development resources and help countries meet aid promises.

 

The billionaire is also suggesting that state-owned wealth funds invest in infrastructure in poor countries.

 

Fresh Call for Papandreou to Resign

Greece's centre-right opposition has put out a fresh call for Prime Minister George Papandreou to resign, throwing plans for a unity government into disarray.

 

Opposition leader Antonis Samaras has called for snap elections.

 

"A few days ago Mr. Papandreou announced the holding of a referendum, on the new bailout agreement, the trimming of the Greek debt as we call it. We warned that this was extremely dangerous for the country. We promised that we would fight in order to cancel the referendum, and we suggested that the only way out was the direct appeal to the polls, elections."

 

Papandreou's government faces a crucial confidence vote later today. His party only holds a 4-seat majority in parliament.

 

He is also facing split in his own Socialist party over the proposed referendum.

 

Greek finance chief says the vote must not be linked with Greece's future in the Eurozone.

 

However, Papandreou and Eurozone leaders have tied the vote to whether Greece remains part of the Euro bloc.

 

Germany and France have threatened to kick Greece out of the Eurozone if Greek people reject the revised debt deal, which would see Greece get 130 billion euros in total.

 

China, on the other hand, is calling on relevant parties in Greece to put efforts together to overcome difficulties.

 

Chinese Foreign Ministry Spokesperson Hong Lei.

 

"We support the efforts by the euro zone countries and the IMF to solve the European sovereign debt crisis. We hope relevant parties can take active measures, overcome difficulties, stabilise the world financial market, and promote the economic recovery and growth of the EU."

 

China Voices Opposition to Nuclear Proliferation

China has voiced opposition against nuclear proliferation.

 

Foreign Ministry spokesperson Hong Lei says China does not uphold the development of nuclear weapons in Middle East countries.

 

Hong says China wishes to see Iran's nuclear issue resolved through dialogue and cooperation.

 

"To achieve a thorough, long-term and proper solution to the Iranian nuclear issue, first, we need serious and practical dialogues with Iran under the framework of the six-nation talks. Second, the IAEA should adopt an impartial and objective stance and seek positive co-operation with Iran to clarify certain questions."

 

His remarks come ahead of an IAEA report on the Iranian nuclear issue, which media reports say will reveal many of Iran's nuclear plans for its military.

 

Hong says China firmly opposes using force and threats of force when coping with international affairs.

 

He adds that it is extremely important to avoid new turmoil in the Middle East and a peaceful settlement is the common benefit for both the Middle East and international society.

 

The Foreign Ministry spokesperson is also calling on relevant parties and international society to make joint efforts on the issue.

 

Premier Wen Jiabao to Attend the 10th Meeting of SCO

Chinese Premier Wen Jiabao is scheduled to attend the 10th Meeting of the Shanghai Cooperation Organization in St. Petersburg on Monday.

 

The meeting will focus on the implementation of the consensus of Astana Summit, when member states outlined its future development.

 

Vice Foreign Minister Cheng Guo-ping.

 

"The meeting is going to be in the first year of the second decade of the SCO development and coincides with the first Year of Neighborly-Friendliness of the SCO. It will set the tune for pragmatic cooperation in the next 10 years, so it is of great significance to boost the healthy and stable development of the organization and promote regional prosperity and stability."

 

Founded in 2001, the SCO gathers leaders from China, Kazakhstan, Kyrgyzstan, Russia, Tajikistan, and Uzbekistan.

 

Ji Zhiye, deputy dean of China Institute of Contemporary International Relations, says economic cooperation is vital to the security and stability in the region.

 

"The member states have different levels of economy. So far, per capita GDP can reach as high as 10,000 US dollars in some countries, while it is below 500 US dollars in some others. So only through economic cooperation and promoting trade and commerce among countries, can the gap be filled gradually."

 

Ji adds that China plays an active part in the SCO's efforts to promote local economy.

 

"For example, during the global financial crisis, China provided 10 billion US dollars of funds to other SCO countries. Chinese enterprises engage in big projects in some countries, such as the construction of expressways, electric power, and hydropower stations. Moreover, China also invests in local companies."

 

Over the past decade, the SCO member states have signed more than 100 cooperative documents and established multi-tiered, wide-ranging consultative mechanisms.

 

TEPCO Gets 11 Billion US Dollars Bailout Fund from the Government

The Japanese government has approved 11 billion US dollars worth of bailout fund to the operator of the tsunami-hit Fukushima Daiichi nuclear plant.

 

Japan's nuclear minister, Goshi Hosono, says the aid is meant to help the cash-strapped Tokyo Electric Power Company cover the massive cost of ongoing decontamination and future dismantling of its reactors.

 

"We must look into how much funding it would require in the coming months. The restructuring plan we have now in November will develop as new issues arise, so we would take that into consideration and make new budget plans next March."

 

The approval came after TEPCO submitted a business restructuring plan for the struggling utility.

 

Under the plan, TEPCO will have to cut its cost by 32 billion US dollars over the next 10 years and reduce more than seven-thousand employees from its clear-up.

 

China to Ban Incandescent Lamps

China has unveiled a three-step plan for phasing out incandescent light bulbs to promote energy conservation and emission reductions.

 

Imports and sales of 100-watt-and-higher incandescent light bulbs will be banned from October next year.

 

The same rule will apply to 60 watts or higher two years later, followed by the ban of 15-watt-and-higher bulbs in 2016.

 

Xie Ji, deputy director of the environmental protection department with the National Development and Reform Commission, says the potential in energy saving and emission cutting is huge.

 

"After implementing the plan, China will save 48 billion kilowatt hours of power per year and reduce emissions of carbon dioxide by 48 million tonnes annually."

 

Several nations including Australia, Canada and Britain have announced plans to phase out traditional incandescent light bulbs. The European Commission has also passed laws and regulations regarding the use of such bulbs.

 

China's move is welcomed by Christophe Bahuet, deputy country director of the United Nations Development Program. He says China's shift to low-carbon economy is commendable.

 

"UNDP is proud to work with China on its low carbon development path. Providing policy support and technological assistance to China in order to create a more sustainable and less greenhouse gas intensified development path."

 

The Chinese government has pledged to cut energy consumption per unit of GDP by 16 percent while slashing carbon emissions by 17 percent in the next five years.

 

Air Quality Standard to Be Revised

The recent thick fog in northern and eastern China caused heightened public concern about air quality. The Ministry of Environmental Protection says it is now conducting an opinion poll on the revision of its current air quality standards.

 

Li Dong has the details.

 

Foggy weather hit the cities of Beijing, Tianjin, and provinces of Hebei, Henan, Shandong, Anhui and Jiangsu early this week.

 

Highways in these regions were temporarily shut down, and police urged drivers to reduce their speed in the thick fog. Hundreds of flights across the country were cancelled or delayed due to low visibility.

 

The thick fog continues to affect people's health. Ma Yingmin is director of the Respiratory Department at Beijing's Shijitan Hospital.

 

"Because of the heavy fog, the number of patients coming to the Respiratory Department has increased by about 20 percent. There are more airborne particulates during foggy weather. They may have a noticeable impact on our respiratory system especially for people with chronic respiratory diseases."

 

In big cities like Beijing, people worry whether the fog is just mist or an indication of air pollution—and if so, how serious it is.

 

Zou Ji, a professor at the Environment Institute at Renmin University says, human activity plays an important role in the continuous foggy weather.

 

"The haze is mainly because of the rising number of particulate matter in the air. But the particulates are mainly produced by car emissions and industrial manufacturing. They may cause serious losses to traffic, infrastructure and agriculture as well as the public health system."

 

China currently uses PM 10, particulate matter with an aerodynamic diameter smaller than 10 micrometers, to evaluate air quality. But PM 2.5, a stricter standard, is widely used by the World Health Organization and many developed countries like the United States. It measures smaller but more harmful particulates. That's why the data from cell phone apps indicates that Beijing is highly polluted, while figures issued by China's Meteorological Bureau say it is slight pollution.

 

Wang Ruibin, Director of the Atmosphere Department at the China Environment Monitoring Center, says the government is considering revising the existing ambient air quality standards to cope with the changing conditions of ambient air pollution.

 

"China will gradually adopt the PM 2.5 standard to monitor the air quality in 2012 or 2013. It takes time, so the goal will be achieved step by step."

 

In late August, the Ministry of Environmental Protection reviewed revisions to the current national ambient air quality standard. The new standard is expected to be released at the end of the year. The ozone-8-hour standard may be added in the new standard, while the PM 2.5 standard may also be listed as reference standard.

 

For CRI, I am Li Dong.

 

Unfair Car Damage Insurance

Many car owners in China complain that car insurance can be unfair, because they are required by insurance companies to pay insurance fee based on the price of the new car, but they can only be compensated based on the price of the used car when any accident happens. In order to change this situation, the China Insurance Regulatory Commission has released draft policy revising commercial vehicle insurance.

 

Zhang Wan has more.

 

Mr. Gao bought insurance after he purchased his car in 2003. He was asked to pay for the insurance based on the price of his new car. However, when he had a problem with his car and came to the insurance company for compensation, he was told that he could only get compensation based on a deducted price with an annual 0.6% depreciation in value.

 

Here is Chu Qiong, Mr.Gao's agent.

 

"The reality is that although we paid for a premium of 190,000 yuan, we could only get compensation of up to 100,000 yuan. As for the remaining 90,000 yuan, the insurance company said they wouldn't be responsible for that, which means you are paying some insurance costs without anything in return."

 

Currently, high insurance payments and low compensation payouts are common practices among vehicle insurance companies in China.

 

Wang Weiguo, the director of Container Transportation Association of Ningbo city says they have been overcharged by insurance companies to the tune of more than 100 million yuan over the past eight years.

 

"According to the calculations by the insurance company, each of our cars is charged approximately 2000 yuan extra each year. We currently have more than 8000 vehicles in our association, therefore, we have to pay an additional 16 million yuan a year. As a result we have paid 100 million extra over eight years."

 

Currently, there are 199 million vehicles in China. And almost all the insurance companies charge high insurance costs while giving low compensation. And most car owners have experienced high insurance costs and low payouts.

 

Li Xiaohu, a lawyer says this is very unfair for consumers.

 

"Consumers assume obligations, but they are not given the corresponding rights in the insurance policies. These situations have drawn the attention of the authorities, who have started to revise insurance laws. It's expected that the revisions will focus on the unreasonably high insurance costs and low compensation payouts."

 

The China Insurance Regulatory Commission recently released a draft policy on commercial vehicle insurance, saying that the auto insurance costs should be calculated based on the real value of the car, rather than the purchase price.

 

For CRI, I am Zhang Wan.

 

China Wins Opening Match at Volleyball World Cup

China's women's volleyball team has thrashed African runner-up Algeria 3:0 in their opening match at the Volleyball World Cup in Japan.

 

Spiker Wang Yimei has been awarded MVP for the game. It's also her first MVP award.

 

Three-time World Cup winner China has entered the tournament for the first time in eight years.

 

Head coach Yu Juemin says his side was well prepared for the match.

 

"This is our opening match at the World Cup. Our opponent was not as strong and we were well prepared. We did a good job at offense, but also had a number of faults in serving. Perhaps it was because this was our first match. Generally speaking, it was good. I hope our players can do better in the next match."

 

China, ranked world number six, is set to take on defending champion Italy in their next match tomorrow/on Saturday.

 

12 teams are taking part in the round-robin tournament.

 

The top three winners will qualify for the London Olympics next year.

 

Newspapers

 

Chinese Police have seized more than 65 million imitation medicinal tablets and arrested the 114 suspects in what was a cross-provincial raid on counterfeit drugs.

 

Apparently the suspects were found to have used starch or corn powder as ingredients for bogus medicine, or re-packaged expired pharmaceuticals.

 

Police reportedly found animal feed and chemical pigments in the counterfeit products. Some suspects had also added iron powder and diazepam into the fake medicine.

 

The fake drug producers sold the counterfeit medicine under the names of reputable pharmaceutical companies via websites or fraudulent advertisements in newspapers and magazines, that’s according to the Ministry of Public Security.

 

AP

 

Chinese doctors are looking to traditional music therapy to help ease modern day hearing problems such as ear ringing. The music therapy is slowing gaining ground as an alternative treatment to hearing ailments in the city of Shanghai.

 

Five notes are used from ancient Chinese Music, namely "Gong, Shang, Jiao, Zhi and Yu" which are each associated with the five basic elements of earth, metal, wood, fire and water.

 

These five notes also correspond to the five main organs in the body, namely the spleen, lungs, liver, heart and kidney.

Apparently TCM doctors are looking for ways to use this sound therapy to also treat energy imbalances inside the patients.

 

The aim of the therapy is to help patients filter the ear ringing they experience to become a background noise and ease off the discomfort they feel from the symptom.

 

Market Update

 

American investors were taking few chances Friday while waiting for a confidence vote in Greece on the country's embattled prime minister.

 

Stocks fell on concerns that the country might not go through with an austerity program needed to prevent a default on its debt.

 

The Dow Jones industrial average closed down 0.5 percent to 11,983.

 

The Standard & Poor's 500 index fell 0.6 percent to 1,253.

 

The Nasdaq composite shed 0.4 percent to 2,686.

 

In Europe, London's FTSE 100 lost 0.3 percent to 5527.

 

Frankfurt's DAX dipped 2.7 percent to 5966.

 

CAC-40 in Paris went down 2.3 percent to 3124