Economist: Greece has performed better than expected

"Greece has performed better than expected, but still has much to do", according to an Economist΄s article entitled "Up, but not out".

What a difference a year makes. Last May Greece seemed to be heading out of the euro. Lagging reforms, political in-fighting and violent protests had worn out creditors’ patience. An election failed to produce a clear winner. Athenians stashed euros in safety-deposit boxes and under mattresses amid fears of instability and a chaotic return to the drachma.

Greece is still in recession, but recovery could be around the corner. The threat of “Grexit” from the euro has receded. Hedge funds are snapping up sovereign bonds and bank shares; one has made a bricks-and-mortar investment in a Greek energy company. Bail-out funds from the European Union and IMF are flowing in as reform “milestones” are reached. Greece expects to record a small primary budget surplus (ie, before interest) of about 0.5% of GDP. The economy should grow a little in 2014 and by more than 2% in 2015.

This summer should see a record 17m tourists crowding Greek beaches. Bookings from Germany and Russia are soaring, say travel agents. A projected rise of €1.5 billion-2 billion in tourist revenues will give the budget a boost, even though many hoteliers are struggling to service bank debts. Greek contractors expect to resume work in the autumn on €6 billion of EU-financed motorway projects stalled since the crisis. They could create 30,000 jobs.

Privatisation is under way after several false starts. Opap, the state gambling monopoly, has been sold for €712m to a consortium of Greek and east European investors. Gazprom is expected to bid for Depa, the natural-gas monopoly. Sintez, a private Russian energy company, and Socar, Azerbaijan’s state gas producer, are vying for the gas distributor Desfa.

Antonis Samaras, the centre-right prime minister, sounded confident on a visit to Beijing that Chinese investment is coming. Cosco, a state-controlled shipping operator that leases a container terminal at Athens’s port of Piraeus, wants to buy Olp, Piraeus’s port owner. Some consultants bemoan a lack of interest from the EU. But one says that, since its partial default last year, “Greece has become a frontier market that is too risky for western companies.”

Mr Samaras has managed to keep his awkward coalition under control. The PanHellenic Socialist Movement (Pasok) and the Democratic Left have even accepted deep cuts in health and welfare spending and now job losses for civil servants. They put the blame on the EU and the IMF. “The troika (the EU, European Central Bank and IMF) hold all the cards—you can’t negotiate with them,” said Antonis Manitakis, the civil-service minister, a Democratic Left appointee, after agreeing to cut 25,000 public-sector jobs by the end of the year. Street protests have faded.

Yet the crisis has left a terrible legacy. Five-and-a-half years of recession have wiped out over 25% of output and more than a million private-sector jobs. Tens of thousands of retailers and small manufacturers have gone under. Unemployment is above 27%, a record; for youths it is over 60%. With jobs disappearing, emigration by skilled young Greeks is growing; more than 34,000 went to Germany last year, a 43% increase on 2011. Poverty has become widespread, especially in urban areas. The suicide rate has doubled in three years.

Yannis Stournaras, the finance minister, says Greece is two-thirds through a €13.5 billion programme of spending cuts and tax rises, but the remaining one-third will be tough. “It’s like running a marathon: you’ve completed most of the distance, but you’re starting to get tired.”

capital.gr

DEPA/DESFA To Highest Bidder - Gazprom Eyes DEPA

The highest bidder will win a tender to buy DEPA and DESFA, Greece's natural gas distribution companies, Stelios Stavridis, head of the Hellenic Republic Asset Development Fund said this week.

In comments made in Greek radio, Stavridis said there were certain issues, such as a letter of guarantee.

     "The Russians' initial letter of guarantee - at 20 pct of the first offer of 900 million euros - was extremely high," he said. "Thus, the value of the letter of guarantee was lowered to become more rational. Another big problem in the energy market is that because of the crisis everybody owes to everyone. It is the government's obligation and up to government will to find a solution to the problem."

On Tuesday, Samaras received Gazprom CEO Alexey Miller, the head of the Russian energy giant and largest global producer of natural gas, at the government's headquarters in the Maximos Mansion. The meeting was also attended by Deputy Environment, Energy and Climate Change Minister Asimakis Papageorgiou, Hellenic Republic Asset Development Fund (HRADF) CEO Yiannis Emiris and government spokesman Simos Kedikoglou.

According to an announcement issued by Gazprom, the two sides held talks on the "excellent cooperation in the sector of natural gas and expressed their interest in further developing mutually beneficial cooperation".

Gazprom is among the companies planning to bid in an international tender for the privatisation of the Public Gas Corporation (DEPA).

According to sources, Gazprom intends to submit a binding offer for DEPA but they did not specify whether agreement was reached on the demands made by the Russian side concerning the terms of the tender, such as the letter of guarantee required of participants and the debts toward DEPA.

The same sources said the talks with the government included discussion on the terms and prices for the supply of natural gas to Greece in the framework of an existing contract that expires in 2016.

Gazprom's announcement said that natural gas deliveries to Greece began in 1996 and, according to preliminary figures, total deliveries for 2012 came to 2.5 billion cubic metres.

(Combined Reports)

London School of Economics: Window of Opportunity Now Open For Greece

“Mediating a Greek Success Story?” is the title of an article published at the official website of the London School of Economics and Political Science (LSE).

On 17 May 2013 the German tabloid newspaper Bild portrayed on its front page Greek Prime Minister Antonis Samaras as a successful politician who has managed to save the country from chaotic default and an exit from the eurosystem. This constitutes a symbolic example of the improvement of Greece’s international coverage in recent months. Similar cases can also be found in the media discourse.

The Wall Street Journal, for instance, concentrated on Mr Samaras’ attempt to stabilise the national economy and cool political tempers. For its part, Die Welt praised the Greek Prime Minister for his courage and spirit in times of recession. Existing problems such as the rise of the neo-fascist Golden Dawn party and the impact of unemployment on young people partly attract the attention of foreign journalists. But their general stance vis-à-vis the country seems to have entered a new era.

The relatively positive image of Greece in the international media discourse has to be principally attributed to its determination to implement necessary reforms and deliver. As it had also happened in the period between May 2010 and November 2010, when the then centre-left government of George Papandreou was showing initial dynamism to apply the bailout terms, the international media now observe a similar tendency. On 13 July 2010, for example, French newspaper Le Monde regarded Greece in its print edition as the ‘good student’ of the European Union who had learned from mistakes of the past and could be a model for other problematic members of the eurozone.  At that time, the PA.SO.K government was insisting on the need to liberate closed professions in spite of opposition by trade unions.

There are two main reasons that explain the optimism penetrating the current coverage. The first is the ongoing survival of the coalition government – led by conservative New Democracy and supported by PA.SO.K and the Democratic Left party. The cohesion of this government had been significantly doubted in autumn 2012 during voting procedures in the Parliament on new austerity measures. And the second reason is the significant reduction of the Greek twin deficits, the budget and the current account one. German politicians have not been economical in acknowledging this reality. Speaking in the Bundestag on 30 November 2012, German Finance Minister Wolfgang Schäuble framed – for the first time – the debate on Greece on the basis of the country’s achievements and not failures or omissions.

An analysis of the coverage of the Greek crisis by the international media since October 2009 suggests that journalists tend to follow developments and use international surveys and the domestic press as a source of information. Writing for Foreign Affairs in April 2012 I deconstructed the argument that their majority had been – a priori – biased against the country, as many Greek officials were openly suggesting. By contrast, I found signs of objectivity in their work on the basis of Greece’s poor performance regarding issues such as corruption, competitiveness, underground economy and public spending. In parallel with this, the so-called ‘credibility deficit’ of politicians could not but play a negative role. I recall a live interview I gave for ‘The Hub’ a few days after the first Greek national election on 6 May 2012, in which BBC anchorman Nik Gowing emphasised the question of whether political interests were being put ahead of national ones!

In the aftermath of the second national election of 17 June 2012 Greek pathogenies have not been eliminated. As the Financial Times recently put it in an editorial, ‘a deeper political transformation is required’. For foreign journalists covering the country, however, a sense of routine and fatigue has started to dominate their work. Even personal stories dealing with corruption or tax evasion can hardly be of high interest to their editors or audiences. In parallel with this, credit should be given to the personal communication strategy of Greek Prime Minister Antonis Samaras who is prepared to regularly grant interviews actively demonstrating the will of his government to remain committed to the path of reforms and privatisation.  In August 2012, for instance, he personally arranged a meeting with the editorial team of Bild newspaper in Berlin in order to elaborate on the Greek-German misunderstanding.

It is premature to suggest that foreign journalists are mediating a Greek success story. A country suffering from recession, unemployment, the rise of extreme political parties and widespread public pessimism about the future, has a long way to go in order to change its course. But, on the other hand, a window of opportunity is now open. Valuable time has been offered for Greece to benefit from the current international climate in order to meet its fiscal targets and return to growth. It is in the hands of the coalition government to positively surprise international media leading them to rebrand the lemma ‘Greece’ and disassociate it from terms such as ‘fakelaki’ and ‘rousfeti’.

capital

SYRIZA - Gov't Is Cornered By Troika

the logo of syriza (Photo credit: Wikipedia)

The only purpose of the government's talks with the troika is to create the impression among the people that there is actually a negotiation going on, main opposition Radical Left Coalition (SYRIZA) said on Tuesday. A party statement underlined that, while the economy and society are suffocating because of the austerity programmes being implemented, both the government and the troika are determined to carry on with their common and pre-decided plan for layoffs in the public sector, privatisations and the demolition of labour rights.

     "All the rest is happening just to fool the people," SYRIZA added, noting that "aside from their minor differences, that do not touch the core of the implemented policy, the three government partners have their hands tied behind their backs as a result of the memorandum commitments they have undertaken. They have no alternative proposal, no solution that will help the country overcome the impasse into which it was led by the memorandum policy."

SYRIZA underlined that only a government determined to have as a priority the needs of the society and not the capital holders' or the lenders' needs, can put an end to the downhill course the country has entered because of the memorandum. AMNA

State To Launch Privatisation Process for Local Airports

Samos airport (Photo credit: SamosBeach)

International tenders for the privatisation of Greece's local airports is apparently going to be launched by April. According to Development, Competitiveness, Infrastructure, Transport and Networks Minister Kostis Hatzidakis, tenders are going to be for long-term concessions to exploit the commercial operation and management of the airports, which are going to remain the property of the Greek State. The Minister specified, that the new airport of Kasteli on Crete is however going to be exempted from the above procedure since it was "targeted at a different class of investors".

Hatzidakis noted that the aim of these privatisations (and concessions) was not only in the framework of raising state funds, but also as a way to boost economic growth.

Under the terms of the concessions, the Greek State is to retain ownership, supervisory powers and control of the airports and is also apparently going to preserve existing airports on all islands, regardless of size. The concessions are expected to be offered for a minimum period of 30-35 years, in order for charges to remain on a competitive level, while an option for extension might also be given but this was not confirmed.

SPECIAL REPORT - US: Cyprus Natural Gas Via Turkey Not Greece! - "Yes" to Nabucco "No" to TAP!

Nabucco pipeline (Photo credit: Wikipedia)

Since the late 1940s the United States has enjoyed the role of overlord of the whole of the Eastern Mediterranean, but this does not mean that it has always supported Greek and Cypriot interests. In fact Greece and Cyprus' interests in the area of the Eastern Mediterranean are not parallel with US energy interests, or at least this is what specific US politicians claim.

One such "politician" voiced his opinion again on Monday against the South Stream pipeline project, but also the Bourgas-Alexandroupolis pipeline as well. Even those who are still optimistic that the US will finally support Greek interests in the area were dumbfounded with the comments that were made by Matthew Bryza (US Energy Secretary) at the Athens Energy Forum 2013 (which was an event that was held on Monday by a company that conducts public relations for Lockheed Martin in Greece).

- He openly (and without any shame) spoke in favor of transporting the natural gas from that has been discovered in Cyprus and Israel via Turkey to Greece. In other words, Turkey will "open" and "close" the supply of gas that was found within its territorial waters and Turkey will hold the on and off button on the flow of gas from the Eastern Mediterranean to Europe! He even argued that this option is more economical than the construction of an undersea pipeline that will connect Cyprus with Greece.

- He spoke out against the bid to award Russian companies with DEPA-DESFA, but did not specify whether the money from the financial loss suffered by Greece would be paid by the US. It needs to be noted that US companies have shown no interest whatsoever in Greece's privatization program.

- He stated that he believed that the Government of Azerbaijan (he is a former ambassador to Azerbaijan) and the European Commission are in favor of the Nabucco pipeline to transport natural gas from the Shah Deniz deposit to Europe, since it offers access to more countries.

In other words, Bryza, stood up in front of members of the Greek government -who were present at the event- and the voice of the TAP project, Minister for the Environment, Energy and Climate Change Mr. A. Papageorgiou and without any hesitation said that Greece has no hope to join the game of energy pipelines.

If this does happen, and the TAP pipeline is not preferred, then it would definitely be the ultimate tragedy for our country. Every move our country has made in order to be part of this new energy game has been blocked by all those voices that support Turkey. Although Greece wants good relations with the United States, there are still some people in Washington (thankfully not all,) but nonetheless some big honchos who have fought tooth and nail against Greece's participation in the South Stream pipeline project, or any other pipeline project. In fact Greece was the only country where their propaganda war actually worked.

Bulgaria, which was until recently governed by Mr. Borisov (an American alley) is going to participate in the South Stream project and now that this country is going to participate in TAP the US is pointing to the Nabucco pipeline as well. No propaganda wars here at all! If we did not know any better, it is almost like some US politicians are purposely working at keeping Greece (100 percent) out of the energy game, and this is indeed puzzling and surely very, very troublesome.

At the same conference, the vice president of BP, John Baldwin, who is responsible for operating the Shah Deniz deposit, presented the investments that are required for the transit of gas through Georgia and Turkey as well as the pipeline that will eventually be selected to transport the gas to the EU. Unfortunately he too more or less "photographed" the Nabucco pipeline!

(Conclusion - Both the US and the UK are obviously working together against Greece's interests.)

And if that wasn't enough, Mr. Hugh Pope, an executive member of the International Crises Center presented his proposal for supplying Europe with natural gas from Eastern Mediterranean gas supplies through Turkey (and not through Greece) and even characterized this as the only realistic solution.

On his part, the director of the Hellenic Foundation for European and Foreign Policy (ELIAMEP) Mr. T.Dokos referred to the possibility of Iranian natural gas to the EU. He also said he believed that there will not be substantial progress in Greek-Turkish relations this year, especially not before the elections in Turkey. Although he did not speak in favor of transporting natural gas to Europe via Turkey, he nonetheless did not reject the possibility ...


Background On Mathew Bryza & His Involvment in Greece & Cyprus' Energy Designs

Some of you may recognize the name of Matthew Bryza. For those who don't know who he is, Bryza is a diplomat who was directly/indirectly no one knows) involved in a story that deals with sex, marriage and natural gas and oil pipelines.

In April 2001, Bryza joined the US National Defence Council as Director for Europe and Eurasia, with responsibility for coordinating US policy on Turkey, Greece, Cyprus, the Caucasus, Central Asia, and Caspian energy.

On June 29, 2007, Mr. Bryza, cast a warning shot to the then prime minister Costas Karamanlis in a story that was featured in the Greek daily "TO BHMA" stating the former premier should "not move ahead with the pipeline" project. (Meaning the Bourgas-Alexandroupolis pipeline venture). Karamanlis did not take any of this seriously, and continued to move ahead with the project and several days later the former PM signed the agreement with (the then) Russian Prime Minister Vladamir Putin.

This was apparently not appreciated and on August 23, 2007 a whopping 170 fires suddenly and mysteriously broke out all over the Peloponnese where dozens of innocent people lost their lives. On the same day though, in Constantinopole, Bryza was marrying his sweetheart Turkish journalist Zeyno Baran, who coincidentally wrote an article in the March 14, 2007 edition of the American journal NATIONAL REVIEW about the Bourgas-Alexandroupolis pipeline, warning about the dangers of the Greek, Bulgarian and Russian energy agreement.

Her article essentially threw another warning shot to former Prime Minister Costas Karamanlis that he was amongst "bad company". Coincidence, one would say ... But is it?

(Read more about there sudden love story, and who they really represent by clicking here).
http://hellasfrappe.blogspot.com/2011/12/special-report-where-fires-of.html

On March 16, 2007 an article in the National Review by Bryza said:

    “By now, almost everyone in Europe is aware of Russia’s use of energy as a political weapon. Even so, as the EU struggles to reach a common stance toward Russia, the Kremlin is about to extend its control over Greek and Bulgarian energy infrastructures–another ominous development in the relationship between Russia and the EU.
    President Putin’s upcoming trip to Athens this week places the Greek leadership in a difficult situation. Greece is expected to approve the Russia-backed Burgas-Alexandroupolis (B-A) oil-pipeline project. If it permits Moscow to create such a valuable infrastructure asset, which will be 51 percent owned by Russia, Athens risks undermining not only its own energy security, but that of the entire European Union. Furthermore, the construction of B-A would strain Greece-Turkey relations.
    Greece should instead take the politically difficult but strategically wise decision to shelve the project, thus maintaining its sovereignty, contributing to European energy security, and preserving the critically important energy partnership that it is developing with Turkey.
    At issue are two interlinked projects:  the B-A oil pipeline and the Turkey-Greece-Italy (TGI) gas pipeline. On both, there exist ways to cooperate that would benefit European energy security and diversification away from Russia.
    Increasingly large volumes of oil from Russia and the Caspian flow into the Black Sea and through the Turkish straits to world markets. Since this dangerously narrow and congested waterway cannot handle more oil-tanker traffic, all agree that there is need for at least one bypass pipeline. There are thus several competing proposals for the development of Black Sea export routes, from Ukraine, Romania, Bulgaria, and Turkey. Of these, however, only the Bulgarian route is directly backed by the Kremlin.
    B-A, which would begin in the Bulgarian Black Sea port of Bourgas and end at Alexandroupolis on the Greek Aegean coast, is yet another Russian project undertaken not on a commercial basis, but strictly for political reasons. Some companies have been pressured by Russia to support B-A against their will. Although the Greek government seems to believe that it needs this pipeline for strategic reasons, the pipeline will only damage Greek–and European–interests.
    Deputy Minister of Industry and Energy Andrei Dementiyev, Russia’s coordinator for the B-A project, stated clearly at the beginning of this month, “With Transneft as the operator of this pipeline, we envisage that Burgas-Alexandroupolis would be a de facto part of our own pipeline system.” While the EU is struggling to come up with a common position in working with Russia, if two of its members–Greece and Bulgaria–give control of their pipelines to Russia, they would be damaging EU solidarity. Because the Greek government seems to be locked into thinking it absolutely needs this pipeline, it has agreed to terms that will leave it under Russian control.
    Furthermore, in order to secure oil for B-A, Greece may have to agree to accept the participation of the Russian natural-gas monopoly Gazprom in the separate TGI pipeline–which would entirely negate the whole purpose of a non-Russian gas transit route to Europe. TGI is a win-win project between Turkey and Greece that will deliver Azeri gas to EU markets. Considering Europe’s tremendous need for energy supplies (specifically gas), and in light of Russia’s intimidation-based energy policy towards the EU, access to an alternative source of gas is extremely important. TGI is already making real progress, and by the end of this year Azerbaijan will already start sending small volumes of much-needed gas to Greece via TGI. In nine years Azerbaijan could export one-third of what Russia currently sends to Europe. This significant volume would free the EU to a considerable extent from Moscow’s grip.
    If Greece goes ahead with the B-A pipeline, it will lead to tension with Turkey, which prefers the Samsun-Ceyhan bypass route instead. In its attempt to reduce tanker traffic through the Straits, Turkey itself considered an even shorter bypass oil-pipeline that would end in the Aegean, but dropped it in part due to a number of environmental risks. It is now developing a much longer oil pipeline that would bring oil to the Mediterranean port of Ceyhan.
    Greece needs to be strategic: it doesn’t need the B-A pipeline, especially not the way it is structured, but it does need the TGI gas pipeline, which is dependent on cooperation with Turkey.
    As we have seen before in Lithuania, Poland, and elsewhere, EU and NATO memberships are not sufficient to protect a country from Russian pressure. Now that this is happening again with key EU member and NATO ally Greece, will the transatlantic alliance finally say “enough”?
    The Ukrainian gas crisis in January 2006 brought energy security to the forefront of the EU agenda, finally awakening European nations from the apathy they exhibited towards Russia for many years. In a sign of hope, the EU leaders under the leadership of German Chancellor Angela Merkel began to exhibit this new approach when last week in Brussels she agreed on measures to help Europe reduce its reliance on Russia by 2020. Yet, however hopeful, such measures can never be truly effective if a single member state can undermine them. If Greece does not make the right decision next week, it will surrender to the Kremlin a key piece of the EU’s energy infrastructure–turning this strategic vision into a strategic mess.”

(Conclusion: If the government of Costas Karamanlis moved ahead with the deal with Russia then this would sour the US.)

In the US at the time, and in accordance with reports, American President Barak Obama was ignoring repeated warnings that the candidate he was nominating as Ambassador to Azerbaijan in May 2010 had serious flaws. Members of the Senate Foreign Relations Committee accused Bryza of having a pro-Azerbaijani bias and questionable ties to Azeri officials. The Senators were troubled by reports that foreign officials had given Bryza lavish gifts at his Istanbul wedding, during which the Foreign Minister of Azerbaijan had served as a groomsman.

In addition, Bryza's Turkish-born wife Zeyno Baran was accused of conflicts of interest while working on Caspian energy issues at a Washington think tank. She had also antagonized the Armenian-American community by testifying against recognition of the Armenian Genocide at a Senate Subcommittee hearing.

When Obama failed to take these concerns seriously, Senators Barbara Boxer (Dem.-CA) and Robert Menendez (Dem.-New Jersey) had no choice but to place a hold on Bryza’s nomination, effectively blocking his confirmation. Obama then compounded his error by appointing Bryza as Ambassador to Azerbaijan in late 2010 without Senate approval. The President seemed oblivious to the potential damage to his own reputation, the prestige of the United States, and US-Azeri relations, should the Senate not confirm Bryza’s nomination forcing him to leave his post and return to Washington upon expiration of his 12-month appointment.

Bryza’s temporary assignment was ending in December 2011 and Obama administration officials pressured Senators Boxer and Menendez to allow him to continue serving in Azerbaijan by confirming his nomination. The two Senators remained steadfast in opposing Bryza even though it is not easy for these Democratic politicians to turn down a request from the President of the United States who also happens to be the nominal leader of their own party.

The Senators were also pressured by the government of Azerbaijan and its powerful lobbying firms which went into overdrive to justify their exorbitant fees. Through their special connections they were able to get the Wall Street Journal and the Washington Post to publish editorials attacking the Senators and the Armenian National Committee of America which had spearheaded a public campaign against this unqualified Ambassadorial nominee.

Not surprisingly, the Wall Street Journal heaped lavish praise on Bryza, calling him a “respected career foreign service officer,” and accused the two Senators of “kissing up to the Armenian-American lobby.” The Washington Post was even nastier. Its editorial could be described as outright racist and anti-Armenian. Contrary to its claim of defending “the larger U.S. national interest,” the newspaper was actually advocating the confirmation of an Ambassador with questionable credentials who would weaken, rather than strengthen America’s interests.

The Washington Post concluded its shameful editorial by accusing “oil-poor” and “isolated” Armenia as being the biggest "LOSER" in the Bryza controversy.

Of course we here at HellasFrappe disagree. This is an American issue and Armenia had no role in it. In fact, the biggest losers are those who lobbied long and hard for the confirmation of an ill-qualified Ambassador who was more intent on serving the interests of Baku in Washington than those of America in Azerbaijan.


Background of Richard Mornigstar & His Involvment in Greece & Cyprus' Energy Designs

Bryza was replaced by Richard Morningstar as ambassador to Azerbaijan. Yes, the same man who has said that in order for Greece to be permitted to exploit its hydrocarbon deposits it has to share half of its wealth with Turkey.

Richard L. Morningstar was sworn in on June 20, 1999, as US Ambassador to the European Union. His nomination, announced by President Bill Clinton on April 21, 1999, was confirmed by the US Senate on June 17. Since July 1998, Ambassador Morningstar had been Special Advisor to the President and the Secretary of State for Caspian Basin Energy Diplomacy. Ambassador Morningstar was responsible for assuring maximum coordination within the Executive Branch of US policy and programs relating to the development of oil and gas resources in the Caspian Basin. Development of the Caspian and open commercial access to its energy resources are key priorities of the Administration.

In July 2011 HellasFrappe featured an article titled "SPECIAL REPORT– Hillary came to Greece to seal oil exploration deals!". In this article we revealed how Hillary Clinton came to Greece with Morningstar as well as several other key figures in order to seal the oil deals!

Before leaving Greece, Morningstar held talks with Mr. Spyros Kouvelis who was the then Deputy Foreign Minister (under the George Papandreou government). A statement from the Greek Foreign Ministry had said at the time that the meeting focused on issues concerning recent developments in the energy sector in the wider region of Southeast Europe and Central Asia, as well as investment prospects in the region.

More specifically, there was an analysis of the energy planning of Greece and the country’s emergence as a regional energy hub, while emphasis was put on the need for immediate promotion of the ITGI pipeline. Mr. Morningstar showed particular interest in diversification of natural gas supply sources, and in this context there was reference to the development of the Astakos energy centre in cooperation with Qatar, the statement concluded.

The meeting between Greek and American officials and the innovative proposal of Morningstar came a month after the STRATFOR report on Greece. There the Texas based Global Intelligence Institute reduced Greece into a status of a “LOSER” and urged Athens indirectly to cooperate with Turkey on the Aegean natural resources.

In the same month, Turkey sailed two seismic survey ships or the Piri Reis and the Cesme in the Northern Aegean and in the East Mediterranean. This prompted Greek diplomats to issue protest notes and complain to Turkey ‘for violating Greece's continental shelf”. But this did not stop the Piri Reis which continued to conduct seismic surveys until August 20, 2010.

Of interest as well is an interview of Morningstar that was featured in the Greek daily KATHIMERINI at the end of July in 2011. At the time, he said that:

    “US State Department’s Special Envoy for Eurasia and Energy Richard Morningstar proposes trade agreements between Greece and Turkey and pooling of oil and natural gas reserves located in the Aegean Sea. The pooling can happen even if the two countries have not previously resolved their differences, says Morningstar.

In March 2012, Hellasfrappe featured an article titled "SPECIAL REPORT - US Supports Turkey In Energy Game, Greek-Cyprus-Israeli Agreement Not Signed". In this article we Morningstar sent a clear message to all the countries in the Eastern Mediterranean "to settle their differences" so that they can play a role in the emerging energy map of the area.

Morningstar basically rallied in favor of Turkey at the time by noting that he is vindicating the positions of Turkey and Turkish Cypriots on the Cyprus issue. And what is more he also underlined that the issue of natural gas and new energy resources in the Eastern Mediterranean are above and beyond the power of the countries which are directly involved (Cyprus, Israel and Greece). Essentially, what he meant -or rather the message that he was trying to get across- was that the three countries have a very valuable and significant commodity that is needed by the global community, and therefore cannot be managed by themselves!

In August 2012 HellasFrappe featured an article titled "EXPOSED - The US Plan For Greece - Energy, Euro, "Bridge" to The War In Middle East". In this article we analyzed a story from Seeking Alpha which said that:

     "To resolve matters with Turkey, there is a proposal by both Clintons' operative Richard Morningstar to form an oil revenues deal offering Greece 20%, Turkey 20% and the US-backed Noble Energy (NBL) of Houston (the company drilling in Greek and Israeli offshore waters) the lion's share of 60%.
    This has upped the prospect for a geopolitical gambit by the U.S. that has several objectives:
   "1 - To gain influence on Aegean Sea as well the Levantine oil and gas assets, and to establish a Greek Corridor of influence between Cyprus, Israel and Greece. The area off Israel and Cyprus has been the site of new oil and gas discoveries. Cyprus, too, is an insolvent EU basket case. This article from Oil Price.com discusses the "pipeline battle" between Russian and U.S. interests.
The article then says that with recent confirmation of oil in the Greek Aegean and off Israel, the U.S. has stepped up its game.     "The strategy is to offer Greece and Cyprus carrots. After all, it's the European Troika that is the hardball creditor, not the U.S. In fact, by offering Greece "almost unqualified support in the event of a return to the drachma," the U.S. is betting on the strong likelihood of Greece becoming formally insolvent before any more bailout monies are available from Berlin-am-Brussels."
    2 - The Greek corridor can be used to transport aid to the Theatre of Operations in the Middle East. This vital corridor cannot and should not be allowed to be checked by Turkey, as it will then be vulnerable to any intervention. PPC Quantum Energy SA formally announced the launch of a 2,000-megawatt undersea electricity cable to link up the electricity grids of Israel, Cyprus and Greece. Also, Israel has a deal with Greek Cyprus and Greece to build a gas pipeline through Cypriot waters to Greece, leaving Turkey out. The U.S. enters the equation because of the offshore Levantine discoveries in the area made by Noble Energy, for which Bill Clinton is a key lobbyist. Security for Israel's new resources will also be paramount.
    IMF and EU government officials, some of them German, are pressuring Greece to sell its valuable ports and public energy companies, such as the country's oil companies, in order to reduce the country's debt. The assets would only bring the country perhaps €50 billion at best. Plans call for the Greek state-owned natural gas company, DEPA, to privatize 65% of its shares to reduce debt. The Russian firm Gazprom has shown an interest, something the U.S. strongly opposes. Buyers would likely come from outside the country, as few Greek companies are in a position, in the current crisis, to take it.
    The US has other energy and security plans for Greece and Cyprus and seeing those countries crippled by overwhelming debt, reduced to begging from the EU, and doing fire sales to Europeans and Russians does fit into the plan."

In September 2012 HellasFrappe featured a suspicious article titled "Race to tap fuel is on, adding profit motive to island’s political tension" by James Kanter in The International Herald Tribune (Date: August 31, 2012) sides with Richard L. Morningstar's views on how Cyprus' natural reserves should be pooled.

The article shockingly said that "American company, Noble Energy, based in Houston, is leading the drilling in Cypriot waters, along with Israeli partners, giving both the United States and Israel huge stakes in the find. They are working with Greek Cypriot leaders, many of whom regard the undersea area as theirs to exploit as they please, at least for now."

(Kind of makes you want to swallow a few sedatives doesn't it? THE NATURAL RESERVES BELONG TO CYPRUS YOU BLOKE!)

He continues by writing that "Turkey has threatened to send its navy. To underscore its displeasure, in recent months Turkey has erected a large oil and gas exploration rig above Sinirustu, a village near the coast of occupied area of Cyprus, and festooned it with flags. Even before any gas has been tapped, the discoveries have created ''risks, big risks, as well as a myriad of legal issues". The issues ''go beyond Cyprus, they go beyond Israel, they go beyond Greece - they affect the whole region.''

The only thing he did not say is that only the US can manage these natural resources not Cyprus, not Greece, not Israel... only the West can (or rather has the right to)!


Conclusion

Draw your own conclusions, but clearly there are some hotheads in Washington that do not want Greece or Cyprus to ever develop their energy reserves, nor do they want our countries to ever pull their heads out of the water. Clearly they are promoting Turkey as the "regulator" of the region.

One may ask: Why should people around the world be concerned about a conflict between three nations in the Aegean? It is simple. This can have a negative impact on the stability of the entire region.

By utilising its economic and military strength, Turkey is seeking a strategic role as a strong regional power in the region and promotes its monopoly interests in the Balkans, Caucasus, in the Black sea, in the Mediterranean and in the Middle East, in the framework of extracting the largest possible share of the natural resources and markets of the wider region, utilising in addition religious sentiments. Sometimes it presents itself as an alleged “protector of the Palestinians”, but at the same time supports the Turkish occupation of 37% of Cyprus. Ankara talks about zero problems in the region, but it continues its provocations and threats against Greece and Cyprus against the sovereign rights of each nation. And let us not even analyze its involvement in the Syrian crisis.

Our opinion of course is that all these hotheads, whether they are based in Washington, Brussels, or even in Ankara are playing a terrible game against the Greek and Cypriot people, and this is kind of frightening us here at HellasFrappe because the Greek community in all these countries -especially in the United States is one of the wealthiest minorities and most influential-. We wonder if they are aware of what is really going on in Greece, and what efforts have been taken to state Greece's position. How are Turkish lobbyists influencing specific US politicians to vote in favor of something so undemocratic and unjust? Also, are there Greek and Cypriot voices that are working with these interests? And if yes, then who are these people so that we can know and signal them out.

Greece and Cyprus have been oppressed far too long and need to stand on their own feet without the clouds of the Ottoman Empire hanging over their heads. Our people have experienced enough sorrow and hardships because of foreign interests on our lands and we only want peace and stability in our region.

Our countries are friendly nations that only want to be on the best of terms with all nations, especially the US. If the US, Russia and some buffoons in Brussels are at an odds end about the subject of energy then someone should lock them up in a room and not allow them to come out until they reach some sort of consensus. Why play out their super-power games on the backs of Greeks and Cypriots?

We have the right as democratic nations to develop our own reserves and this cannot be debated.

It is now or never.

Signed
Marina Spanos


References

SPECIAL REPORT– Hillary came to Greece to seal oil exploration deals! - http://hellasfrappe.blogspot.com/2011/07/special-report-hillary-came-to-greece.html

SPECIAL REPORT - Classified documents reveal US energy coup & Papandreou's retreat on FYROM - http://hellasfrappe.blogspot.com/2011/10/special-report-classified-documents.html

SPECIAL REPORT - The End To A Tale Of Sex, Marriage, Natural Gas And Oil Pipelines - http://hellasfrappe.blogspot.com/2012/06/special-report-end-to-tale-of-sex.html

Direct Intervention of US On Privatisation of DEPA-DESFA - They Must Not Fall Into Russian hands! - http://hellasfrappe.blogspot.com/2013/01/direct-intervention-of-us-on.html

SPECIAL REPORT - US Supports Turkey In Energy Game, Greek-Cyprus-Israeli Agreement Not Signed - http://hellasfrappe.blogspot.com/2012/03/special-report-us-supports-turkey-in.html

EXPOSED - The US Plan For Greece - Energy, Euro, "Bridge" to The War In Middle East - http://hellasfrappe.blogspot.com/2012/08/exposed-us-plan-for-greece-energy-euro.html

SPECIAL REPORT - Extortion On Cyprus' Natural Reserves: - Co-Management Or Possible Confrontation? - http://hellasfrappe.blogspot.com/2012/09/special-report-extortion-on-cyprus.html

defencenet - http://www.defencenet.gr/defence/item/%CE%B7%CF%80%CE%B1-%CF%84%CE%BF-%CF%86

Good Year For Tourism Ahead - Early Bookings Rise By 20%

(Photo credit: Wikipedia)

The tourism industry remained a strong supporter of the Greek economy after achieving its targets of attracting 16 million international arrivals and 10 billion Euros in tourism receipts in 2012, Andreas Andreadis, president of the Federation of Hellenic Tourism Enterprises (SETE) said on Monday.  Addressing an event held on the occasion of the presentation of the Bank of Greece governor's report to the central bank's annual general shareholders' meeting, Andreadis said that annual investments worth 2.5 billion Euros were needed in order to raise tourism's contribution to 40 percent of the country's future economic growth. He added that this figure was fully feasible and probably underestimated and stressed that the first 11 significant new investment plans were currently under licensing procedures by Greek authorities. Promotion of an ambitious privatisation program and the sale or lease of idle tourist real estate assets by banks were also expected to help towards achieving this year, he noted.

He underlined as extremely important to speed-up procedures for visa issuing, reducing a VAT on the restaurant industry to 13 percent and of the VAT on coastal shipping to 13 percent, with the goal of reducing a VAT on tourism to 6.5 percent. Andreadis said the messages received so far four tourism trends this year were optimistic, with a 20 percent increase in bookings from the UK, a 15 percent rise in bookings from Germany, France and Skandinavia and a more than 20 percent increase in bookings for developing countries, such as Russia, Ukraine, Israel and Turkey, among others. (AMNA)

Samaras Pledges No More Cuts On Minimum Wage

Antonis Samaras (Photo credit: Wikipedia)

In an interview with the Sunday edition of the Real News newspaper, Prime Minister Antonis Samaras underlined that there will be no further cutbacks in the minimum salary.

"Of course I pledge this, even European Commissioner (for Economic and Monetary Affairs) Olli Rehn said it," said Samaras, while he clarified that he has already put forward the matter of the the IMF's so called "mistake" (on the fiscal multiplier) and has achieved substantial results. "We do not negotiate in public, these (negotiations) become known when we announce the results, because usually when you pre-announce them, you burn them...", he said.

According to the Greek Prime Minister, all the above have been included in the new loan agreement because it was understood that the preceding conditions were leading us to a vicious circle of recession, and he also underlined that what will change is that wasteful state expenditures will be halted, the structural changes will move forward, a blow will be dealt to bureaucracy and the privatisations will proceed.

Asked what Greece seeks from its lenders, Samaras said that by adhering to our commitments we can seek changes to all those (measures) that do not function or that bring the opposite results, and referred to the citizens' ability to pay their obligations to the Tax Bureau and to the banks. At the same time he noted that the target for 2013 is to achieve a primary surplus and underlined that this programme can work and meet its targets.

Samaras also warned that if "we have strikes every day, takeovers of streets public offices, Athens' centre is blocked or the circulation is prevented on national roads and everything is paralyzed, then no programme can work. He said that this was what some aspire todo " but we will not let them".

Questioned on the prospect of a government reshuffle, the Greek PM said that it will take place "whenever necessary".

Referring to main opposition SYRIZA leader Alexis Tsipras, he said that the latter "imitates the worst political attitudes of the past, although he is young himself.. "He hastened to become old," Samaras added.

Finally, on the farmers' demands and mobilisations, he said that his government has done everything it could possibly do, but there are no more margins, and "I do not want and cannot deceive them".


Article in Greek on realnews

HRADF Concludes Deal For First Land Privatisation

The Hellenic Republic Asset Development Fund (HRADF) announced yesterday the approval of a binding offer made by NCH Capital for the privatisation of the property at Kassiopi, Corfu.  According to a Fund statement, NCH Capital offers € 23 million to purchase the rights of the property for a period of 99 years, another € 2.3 million for the possible participation of the Fund in the future added value of the asset after six years, as well as € 75 million for investments in the area, acculumating thus about € 100 million in benefits from the privatisation.

The property surface area is 490,000 sq.m. (120.83 acres), of which more than 320,000 sq.m. will be accessible to the public, while the investor has the right to develop another 36,000 sq.m. for mild tourism projects. The HRADF has also approved tender procedures for another four projects. greeknewsagenda

Samaras & Erdogan Meet In Qatar - Greece Raises Issue Of EEZ

credit newspost

Greek Prime Minister Antonis Samaras and his Turkish counterpart Recep Tayyip Erdogan had a informal 40-minute-long meeting on Tuesday at the hotel where both leaders are staying in Doha, the capital of Qatar. The meeting was held in the presence of Turkish Foreign Minister Ahmet Davutoglu and the Greek prime minister's diplomatic office director Stavros Vassilopoulos.

Prime Minister Samaras raised the “issue of the Greek rights in the sea”, while privatisations were also among the issues briefly discussed at the meeting, with Erdogan noting that they had helped his country overcome the crisis. They also discussed issues of mutual interest, as well as economic developments in Europe and the region.

The two leaders agreed to hold a broad-spectrum intergovernmental meeting on March 5 in Ankara to be attended by the Greek prime minister and a number of ministers. (AMNA)

IMF Now Says Gov't Economic Program Leading to Recovery

 (Photo credit: Wikipedia)

 The government's economic program is apparently going to give Greece the opportunity to recover, IMF representative Paul Thomsen told the Sunday Edition of "To Vima". The article quoted him as saying that "political stability is an element of substantial importance in recovery," but also added that the troika of lenders is not infallible in its predictions. The IMF official did not rule out the possibility of a new haircut of the debt, referring instead to the EU's commitment for "further lightening of the debt as long as Greece applies its economic programme fully." He also stressed the need for speeding up privatisations, as results in that sector had "fallen greatly behind in terms of the binding commitments." If delays continue to mid-year, he said, it will be suggested to the government that it contacts experts in global markets "who can maximize the benefits for all Greeks."

Greece's DEPA - Russian Geopolitics In Play - Will Germany Look East?

Gazprom (Photo credit: Wikipedia)

Russia’s state-run gas monopoly Gazprom has offered  €2bn to buy DEPA, Greece’s state owned gas company. The sum vastly exceeds DEPA’s real value, but the deal would bring Russia closer to a monopoly in the Greek energy market. The 65% government-owned DEPA was offered for sale as an asset to be disposed of thanks to Greece’s debt ‘problems’ Two other Russian giants, Sintez company and Azerbaijan’s Socar, are also bidding.

The Gazprom offer worries Washington, and Moscow sources say the White House has called on the Greek government not to take the Gazprom offer. Since the start of the Greek fiasco, US influence and energy considerations are as central to the issue as is the madness in Berlin-am-Brussels. But the Russian gas company’s action won’t be welcomed by the European Union either, because if Gazprom buys DEPA, then it will become a serious competitor in European gas projects.

However, in geopolitical energy terms, America will be the big loser. Greece, Cyprus and Israel are planning to supply gas from Israeli deposits and future gas fields being developed off Cyprus. This is an American-backed project, but if Gazprom secures DEPA, it would shut out such supplies from the Greek market.

As reported, Germany too has been trying to scupper the EastMed triad. The Russian move now raises the spectre of what might happen globally if Berlin turned east to become friendlier with Moscow.

The Slog

Related articles

• Direct Intervention of US On Privatisation of DEPA-DESFA - They Must Not Fall Into Russian hands!
• Is Germany Out To damage Cyprus-Greece-Israel Energy Triad?

Ambassador Threatens Greek MP Over Energy Policy - Connected To Karamanlis Assassination Plot

The "Pythia" plan which was apparently designed in the framework of eventually assassinating former Prime Minister Costas Karamanlis and destabilizing Greece's economic, political and social life was under the microscope recently by several blogs, that argue that there is new evidence that can possibly crack this case wide open and send a multitude of "gangs" and shady figures to jail for literally destroying Greece and its people. This includes politicians, journalists, publishers and bankers!

A lot has been written about the fall of the Karamanlis government. Some magazines, such as Epikaira, or web sites such as olympia and newsbomb, even went as far as exposing details that were unknown by the general public. Every single story had two things in common: One, they all confirmed -with classified documents- that there was indeed a very threatening plot to destabilize Greece's political leadership at the time because of its ENERGY policy. And two all the reports spoke about foreign interests behind this plot.

Unknown until today, there were other reasons for the the fall of the Karamanlis government that include direct threats by a foreign Ambassador to a Greek government Minister.

If you sign it, you will fall - This is the message the government of Karamanlis received in April 2008 so that it can stop moving ahead with its energy policy which we all know would have benefited Greece greatly. In fact if Karamanlis was allowed to pursue this energy policy it would have made our country into a powerful energy hub, and a fair player in the global geopolitical game.

But unfortunately Karamanlis' pipeline diplomacy, which included the Bourgas - Alexandroupolis pipeline, drew much discontent and many threats were made against his government that we all found out later were actually part of a broader plan titled "Pythia".

The Pythia Plot had four main points

• First Phase: Political instability. During Karamanlis' run as Prime Minister, the political climate in Greece began to crumble and the mainstream media (which some hint sold its soul to hostile interests) suddenly began broadcasting stories suggesting that the government of Karamanlis was accepting kickbacks or was involved in money laundering such as in the case of Monastery of Vatopedi. The news began to slowly tarnish the image of Karamanlis’ Cabinet, while the aim was to strike at the core… In other words, Karamanlis himself, so that he could lose his credibility with the people. It took a while, but it worked. After months and months of propaganda, people turned their back on Karamanlis, his political career was totally tarnished, and he lost the elections to George Papandreou in October 2009.
• Second Phase: Economic unrest: This was achieved with various methods that even included the various kidnappings of several prominent businessmen, and especially throwing the business community in a panic and complete chaos.
• Third Phase: Social instability. This was implemented with various forms of social unrest, including violent riots and terrorist acts.
• Fourth Phase: Weaken Foreign Policy. Karamanlis’ strong foreign policy suddenly began to show signs of weakening and Greece then started to lose ground with its allies. - Read more about that here - PART l - Plot to assassinate Costas Karamanlis revealed (VIDEO)

The huge deposits of natural gas in Greece's subsoil, coupled with the expected privatisation of DEPA -with intense Russian interest- is apparently not appreciated by the same parties (and papandreou regimes) that want (and have always wanted) Greece to remain idle while they loot our very existence.

Until now, even we here at HellasFrappe believed that West began to turn its back on Greece when Greek policy makers decided to move ahead with the Bourgas-Alexandroupolis pipeline. Today we found out, through a shocking confession, that the plan to destabilize Greece, because of its energy policy, was actually because of the underwater gas pipeline project Novorosinsk - Bulgaria. The key here are the words NATURAL GAS and as we all know by now Greece has a lot of it.

The central figure in this case is none other than the former minister of development, Christos Folias, and his confession is of massive importance in this investigation. Folias states that he signed the agreement for the underwater gas pipeline Novorosinsk - Bulgaria in April 2008 with Russian officials. According to him, this deal had two parameters.

• The first was that the pipeline would be aimed at the heart of Europe, passing through Hungary - Austria.
• Secondly - and certainly of massive importance- it would have passed through Greece and Italy.

Just 15 days before the signing ceremony -in March 2008- Folias accepted an invitation to meet with the US Ambassador in Athens and was shocked and dismayed when the diplomat told him: "If you sign this specific contract, you will come into opposition with the supreme national interests of the United States. And it is something that we will not allow to pass".

Disappointed and dismayed, the Karamanlis government was not intimidated and continued with this dynamic national plan, and the events that followed are now known to all.

Just several weeks later, or specifically between April 20-25, 2008 foreign assailants made their first attempt against Karamanlis' life. Soon after the Pythia plan was uncovered by Russian intelligence agents and the rest is history.

Unknown to some is the fact that Karamanlis, despite the threats to his life, was determined to move ahead with projects that would have given Greece the development it needed to broaden its wings in the global market. But he was not only faced with foreign interests that went against these plans, but their agents in Greece who were used to discredit and belittle his work and his government.

One example of this is the Vatopedi case. This case dominated the interest of the media for many reasons. It had it all, mystery, religion, wealth... What people are unaware of is that this case began as a blackmailing scheme set up by several local extortionists in northern Greece, but then was used by the Papandreou regime as a tool to discredit Karamanlis. Once in their hands the whole issue blew out of proportion and with the help of international news networks, the mud-slinging began.

Also, soon after the signing we also witnessed the sudden fleeing of Mr. Christoforakos - or the man of Siemens-. And then later on his sidekick Mr. Karavelas also dominated the news. What people do not know is that both these men are very good "friends" of the West. (This of course under the watchful eye -Editor clearing throat- of the then Foreign Minister Dora Bakoyiannis who we all know was -and still is- one of Karamanlis biggest rivals and a very good friend of the Bush family).

We also witnessed the total destruction -or burning down- of the prefecture of Attiki in 2009. During this period the Greek media would feature tacky images of George Papandreou surveying the areas that were burned, but what they never showed was his escapades to the beach and his canoe rides which were held before and after the cameras would stop rolling. And certainly how can one forget the infamous line "Socialism or Barbarity" at every single speech he gave to show how fed up people were with Karamanlis' tyranny.

(Editor - If Karamanlis' rule was tyranny, and Papandreou's was socialism, we definitely choose barbarity!)

Also, other strange events occurred during this period as well. According to the news sources below, the leadership of the Consul in Thessaloniki suspiciously wanted to extend his term, and what is even more interesting is the fact that there were many frequent -and mysterious- visits to Mount Athos that were being conducted then and of which were kept extremly hush-hush.

And here is another fact that was noted, and although we expected it, we were shocked nonetheless that they are finally reporting it. Everyone associated in this plot was handsomely rewarded VERY HANDSOMELY. In fact publishers who would literally whip the Karamanlis government from the morning to the night in their newspapers, their radio shows and especially on television suddenly enjoyed very generous "sea loans" (from the same banks we just bailed out), while HUGE names in the media and smaller media companies saw their cases with the justice department being miracoulously filed (in other words CLOSED), and so on... and so on. The only losers in this damn play was Greece and her people who not only went from riches to rags within a few months, but almost became a total protectorate of foreigners.

The point of this article is clear. Folias' confession to newsbomb has to be questioned by authorities because it is the missing link needed to tie this whole case together and finally bring those involved to justice. It is inconceivable how this has gone unnoticed by those investigating the case.

Lastly, to all of those wannabe journalists -domestic and foreign- and artsy-fartsy columnists who continue till this day to slam Costas Karamanlis by characterizing him as a joke, or the weak and lazy one, we would advise them to really stop doing so because the biggest prank by far was on them for endorsing and promoting a man that eventually destroyed our nation, its people and its social life... namely George Papandreou. This corrupt media regime must finally be exposed because they deserve to be punished.

And we saved the best two issues for last: One, the sudden confession of the Deutche Bank confirming what has been common knowledge in scientific communities for years about Greece's natural reserves, and two the developemtns in the privatisation of DEPA and the interest of Russia to become an investment force in our country.

Will the present leadership allow all these "interests" to seize our wealth, or will they finally stand tall and proud and scream out "enough"!

Karamanlis did, but he lost the support of the people and therefore could not continue. And this is because when a leader has the support of his people, he can fight entire mountains. Take the example of Hugo Chavez when a staged coup was set up to overthrow him several years ago. If it wasn't for the love of his people, Chavez would have never returned to power.

In regards to public opinion, unlike the days of Karamanlis the present government will not be belittled by the same agents that were used to discredit the former premier because quite simply they are terrified of being exposed for all their dirty dealings. Their "sea loans" are now public knowledge. Also, the word "patriotism" has become fashionable again, unlike the past where it was looked at as being bourgeois, and today there is an unyielding attitude to defend the flag at all costs thanks to the extremities of the far-left which went on overdrive after Papandreou came to power.

Of course things are also different today because of the information that is being generated by the alternate media and of which has allowed citizens to finally educate themselves about subjects that up until yesterday sounded more like conspiracy stories rather than the truth.

Think back to more than one year ago when HellasFrappe began speaking about Greece's EEZ or the amount of gold in Halkidiki. People thought we were on acid when in fact we were just well read on subjects that were ignored by the vast majority.

To this end, all of us have an obligation to defend Greek national interests because the future and survival of this country lies in our own two hands. If the government decides to finally take a stand for the benefit of this country we must defend this position at all costs. This includes our Diaspora in North America and Europe.

References

• docimastikos
• newsbomb.gr
• olympia.gr
• HellasFrappe Archive - Plot to assassinate Costas Karamanlis revealed (VIDEO)
• HellasFrappe Archive - Assassination Attempt Against Karamanlis Makes Int.l Headlines VIDEOS 
• HellasFrappe Archive - Was Mossad, MI6 & CIA Behind Assassination Plot Of Karamanlis?
• HellasFrappe Archive - Greek Watergate Scandal- US Embassy behind phone-tapping of Karamanlis

Direct Intervention of US On Privatisation of DEPA-DESFA - They Must Not Fall Into Russian hands!

The privatisation of Greece’s state gas company DEPA and operator DEFSA, in which Russia’s Gazprom is the most high-profile bidder, has been complicated by reservations from Washington regarding Moscow’s interest in one of the Greece's most dynamic companies and could possibly become a "geo-strategic minefield" for the government of Antonis Samaras.

On Tuesday night, US State Department spokesperson, Victoria Nuland, stated America's position against the possible sale of DEPA-DESFA to Russian gas giants Gazrpom and Sintez. Washington had already warned Athens through the office of US Ambassador to Azerbaijan Richard Morningstar not to let DEPA fall into Russian hands.

In response to a question regarding the sale of DEPA, and Russian interest, and whether or not the US government is cautious about such a perspective, Victoria Nuland said that the "United States supports open and transparent trade discussions and negotiations on issues of power in the Mediterranean." She said that the US advises all nations to have different sources for national energy needs, so they can not be held hostage. Asked if the US government fears that Greece would become a hostage by Russia on energy matters," she argued that "It is a general comment about our policy anywhere in the world."

Her statements only come to prove what we here at HellasFrappe have said from the start, the Eastern Mediterranean Energy Corridor (East Med) and the Southern Gas Corridor are in all reality the setting for an all out US-Russian energy war and unfortunately our nation is caught right smack in the middle of it. The impressive thing is that there is not one single American company that has submitted a proposal for this privatisation venture, therefore the spokeswoman's statements are not protecting US corporate interests, but only support our argument.

So who are the bidders?

Non-bidding offers have come from Russian gas monopoly Gazprom, Russian energy firm Sintez Group (participating via its subsidiary Negusmeft), the Azerbaijani state oil and gas company SOCAR, and two Greek consortiums that comprise of M&M GasCo, Mytilineos Holdings, Motor Oil Hellas Corinth Refineries and a joint bid by PPF and GEK Terna Holding Real Estate Construction. Some or all of these companies are expected to advance to the next stage of bidding offers. Gazprom and Negusneft have reportedly raised the price tag seemingly for geopolitical reasons.

So what has been going on behind the scenes?

The government has been under pressure to find a formula to keep the Russian Gazprom and Sintez out of the game, but the Sintez company seems to have a strong alliance with the Latsis group and this is becoming a little difficult. (This kind of explains why there are so many negative articles about the Latsis family lately both from the US and the UK.)

Similar pressure has also been placed on the government by Greek corporate interests but this group is in no position to face off with the (very generous) Russian bids.

If the government takes the friendly advise of the US (and some movers and shakers in Brussels) then it might even postpone the bidding and focus on other major privatisations taking place.

Interestingly, the money offered by the Greek consortiums against the ones made by the two Russian giants is more or less a joke. Specifically, the Russian bids range between 1,14-1,33 billion Euros and the Sintez bid is said to have reached as much as 1.9 billion Euros! Moreover, the Greek consortiums interested in this privatisation, should really come as no surprise. Most of these groups have significant bank debts and their bids cannot match those given by the two Russian giants. More exactly, the company M&M Gas Company is a consortium comprised of the Vardinoyannis/Motor Oil-Mytilineos groups, and they only want DEPA. On the other, the GEKTERNA-PP Fund (we are guessing Bobolas led) wants to buy only DESFA.

As we said they cannot match the Russian bids, but, these consortiums can collaborate and/or join forces in the next phase of bidding and thus take the whole package, rather than vie for each company separately. This is not as unrealistic as it sounds, because some reports claim that the Vardinoyannis family has represented interests in the GEKTERNA / PP Fund.

The only negative aspect of this is that these oligarchs will not dig deep into their pockets to come up with the amounts needed to match the generous bids made by the Russian giants, and they might end up doing it in a more "business a la Greek" manner: First we take control of what we want because of our political connections, and then we simply borrow the money. If they choose another plan of action they might also come out looking as "strong players". For instance,  they can present the required liquidity by using their political leverage within the government and then make an appearance alongside other giants such as Russia's Rosneft or Lukoil, etc. But the US veto will block any such development, and these Greek groups cannot go against the will of the US with which they cooperate very closely.

So what happens next?

Common sense. A government that respects its citizens, natural reserves and public wealth should not be intimidated by any sort of advice, and in this case that of the US. The notion that the company which imports the gas has to sell or cannot be the owner also of the pipeline is not a law or regulation in the EU, but only a general guideline, and ultimately it was very easy when the previous government launched this venture last year to include this directive in the notice. If they had done this then the Russians and the Azeris would have overlooked this bid and would have not expressed their interest. But this directive was not included in the original notice, so it can not be ignored now. Nonetheless this has not stopped some movers and shakers at the EU Commission to remind Greece of sticking to EU rules.

The US State Department Spokeswoman also commented on the issue of the "energy games" being played in the Mediterranean, (or on the Israeli, Cypriot and Greek cooperation, the protests of Turkey, the involvement of US companies, and Russian interest in the region). She said that obviously the US supports "open and transparent trade discussions and negotiations" while on the subject of Cypriot gas exploration she underlined that: The US continues to support the right of Cyprus to conduct surveys in offshore areas. "Of course, within this context, we strongly support the negotiating process conducted under the United Nations effort to reunify the island into a bi-zonal, bi-communal federation. We continue to believe that the island's oil and natural gas, as well as all its resources should be shared equally between both communities in the framework of an overall solution". 

Obviously folks, this whole issue is more political than economic. This privatisation falls under the general geopolitical context of the gas discoveries in Cyprus and Israel, the exploration for hydrocarbons south of Crete, the Eastern Mediterranean Energy Corridor (East Med) and the Southern Gas Corridor. That is why we are afraid that the government is going to postpone this privatisation because it is a "political risk" and comes in a period when we are getting set to proclaim our EEZ and need the support of all these nations.

Editor's Note - HellasFrappe is not going to take a position in this ongoing energy war, but we are upset that most of the talk on the Greek blogsphere on Wednesday was highly critical about her statements. In fact some blogs and news sites even said that it was a direct intervention into Greek internal affairs, and a move that is reminisent of American intervention in Greece during the 50s and 60s. As a North American blog, with North American writers, we believe that the privatisation of a company is a sole and sovereign decision of a nation, as it would for any country. If Greece complies with national legislation and with the regulations set forth by the European Union then there shouldn't be any problems. This venture should not become a reason for ill feelings between nations.

References in Greek
defencenet
Natiral Gas Europe
New Europe

'Der Handelsblatt' - The Focus Should Be Support for Greece's Real Economy

Handelsblatt (Photo credit: Wikipedia)

Staying "afloat" and supporting the real economy must be Greece's top priority at the present time, Greek Development, Competitiveness, Infrastructure, Transport and Networks Minister Kostis Hatzidakis stressed in an interview with the German newspaper "Der Handelsblatt".

Hatzidakis, who visited Berlin this past week, admitted that unemployment and rising poverty in Greece were his main worries, adding that the government was making efforts to support the weakest social groups to the extent that the restricted budget and the cuts to government spending allowed, while concentrating its efforts on the recovery of economic growth.

"We are sailing in a storm with a strong wind of 10 Beaufort. The first thing we had to do is not capsize. So far we have been able to avoid this...Now we must do everything we can to support the real economy," he said.

According to Hatzidakis, a lack of liquidity in the Greek market was the first problem that had to be solved and the upcoming bank recapitalisation would play a key role in this direction.

During his meeting on Thursday with German Economics Minister Philipp Roesler, Hatzidakis said he intended to convey the Greek government's determination to do everything necessary for the country to make progress and fulfill the expectations of Greece's European partners.

In response to questions about why someone would want to invest in Greece at this time, the minister emphasised that Greece was close to "getting back on its feet" and had carried out significant structural reforms, creating a business friendly environment. "The taxation system is being simplified to a great degree and foreign investors will also benefit from this. In addition, there is close cooperation with the European Commission Task Force in tackling graft," he pointed out.

He highlighted sectors such as tourism, energy and organic farming as highly promising for potential investors, while adding that the government will make every effort to make up for lost ground in terms of privatisations.

The minister referred to 29 privatisation plans now underway, starting with those for the Public Gas Corporation and the OPAP state lottery and football pools company and continuing with ports, airports, real estate, post offices and the railways.

"2013 will be the year of privatisations," he told the newspaper, while stressing that the government's job was to ensure that the right conditions for investments. (AMNA)

Is Cyprus Getting Set For Elections Under Shadow Of A Bankrupt Economy?

(Photo credit: European Parliament)

An update on what’s happening in Cyprus. Two issues are dominating: the bailout deal the government has agreed with the EU, European Central Bank and the IMF to shore up Cyprus’ bankrupt economy and the presidential elections due in February next year. Despite his proclivity for dithering and pathological predisposition to denial, President Demetris Christofias – under pressure from his finance minister and the chairman of the Cyprus Central Bank (and the threat made by opposition leader Nikos Anastasiades to bring charges of criminal negligence against him, should he not sign a bailout deal) – eventually capitulated to the Troika and agreed to the austerity measures demanded of his government in exchange for an estimated €17.5bn for the recapitalisation of Cyprus’ banks and to cover the government deficit.

Already experiencing recession and unprecedented levels of unemployment at 12 percent, the new measures involving increased taxes, cuts to pensions and public sector pay, as well as privatisations and economic liberalisation, will disconcert a society that has, for 30 years, become used to a buoyant economy characterised by full employment, steady growth and ever-increasing levels of disposable income.

Now, why Cyprus has not been able to withstand the shocks to its economy is a matter of debate, with the island’s communist president insisting that global capitalism and the island’s greedy and over-ambitious banks are to blame, with the latter being accused of negligently exposing the Cypriot economy to Greece’s debt.

On the other hand, Christofias’ critics argue that he has been too slow to react to the looming crisis; unwilling, for ideological reasons, to pre-empt the Troika by reforming the economy or constrain soaring public expenditure, choosing instead to maintain the pretence that the Cypriot economy could withstand the buffeting it was taking, by pursuing loans from Russia and China. Charges of economic illiteracy and incompetence have also been levelled at Christofias and his government by Athanasios Orphanides, former Cyprus Central Bank chairman, who has repeatedly accused Christofias of ignoring his advice in October 2011 to argue against a haircut of Greek bonds for fear of the massive losses such a markdown would have on Cypriot banks holding Greek debt. (The fact that Christofias has decided against standing for re-election in February tells you who Cypriots blame for the country’s economic crisis).

Naturally, there have been rumblings of discontent from trade unions about the austerity and reform package, and although we can never underestimate people’s reactions to losing pay, privileges and, indeed, their jobs, I doubt these will amount to much. The main trade unions in Cyprus are not only affiliated to the ruling communist AKEL party, and thus will be discouraged by their political masters from making the government look even more ridiculous by, essentially, calling for strikes against itself; but, also, the strength of the Cypriot economy has meant there is no recent tradition on the island of significant labour unrest. Similarly, although we shouldn’t ignore AKEL’s natural inclination to exploit fear and stoke class resentment, Cyprus does not suffer from the vicious political and ideological discord, which we associate with Greece, while, to continue the Greece analogy and suggest why Cyprus’ difficulties will not lead to a Greece-style social collapse, the Cypriot state continues to function and command the respect of its citizens. It’s also apparent that the discourse that the post-1974 economic model Cyprus has become stale and unsustainable is widely articulated and accepted on the island.

Another factor that will help avert the turning of economic disaster into political crisis is the presidential election due in February, campaigning for which is well underway. The election will have a cathartic effect, since there is a sense that once the ridiculed and despised Christofias leaves office, the island will breathe a sigh of relief and get a fresh start.

It seems to me a foregone conclusion that Nikos Anastasiades, of centre-right DISY, will be Cyprus’ next president. Anastasiades is an unconvincing figure who inspires skepticism and mistrust, forever tainted by his vehement support for the Annan plan in 2004. However, it is an indication of the priorities in Cypriot society at the moment that his views on the Cyprus problem appear less important than his commitment to managing and reforming the economy. Indeed, even DIKO – former premier Tassos Papadopoulos’ centrist party, many of whose supporters regard Anastasiades as a hate figure – is now backing Anastasiades’ candidacy.

Anastasiades support for Annan in 2004 does not mean he will, as president, be more amenable to Turkish demands on the Cyprus issue. For a start, Turkey’s policy since 2004 has hardened and its vision for a ‘solution’ is now way beyond what Anastasiades is prepared to accept. Indeed, because Turkey is not, and never has been, prepared to countenance a solution that isn’t, in one way or another, partition, and because Turkey’s neo-Ottoman, ‘no problems with neighbours’, foreign policy is collapsing all around it, it’s hard to imagine that the Turkish government will do further harm to its imperial aspirations and fantasies by loosening its grip on Cyprus. Having DIKO as governing partner – and the more nationalist Antonis Samaras as prime minister in Greece – will also ensure Anastasiades’ perception that Cyprus needs a solution as a matter of urgency to prevent de jure partition and the irreversible Turkification of the occupied areas, will not lead him to make concessions that will achieve precisely what he says he wants to avoid.

With a Cyprus solution not on the horizon, Anastasiades has been talking in his campaign less about what the nitty-gritty of a settlement might look like, and more about the changes to Cypriot foreign policy he envisages – increasing the involvement of the EU in the UN-sponsored negotiations on a settlement, improving relations with Israel and the USA, applying for membership of Nato’s Partnership for Peace programme – all of which Anastasiades anticipates will bolster Cyprus’ international credibility, thwart Ankara’s efforts to upgrade the pseudo-state and make sure Turkey continues having to expend valuable diplomatic capital to maintain its occupation of one-third of the island. hellenicantidote