THURSDAY, APRIL 10, 2014 LOCAL No subsidized energy, fuel...

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LOCAL THURSDAY, APRIL 10, 2014 News GCC crisis ‘resolved’ KUWAIT: Well-informed sources said that GCC states have finally reached an agreement to end recent disagreements and make a new start. The sources added that details of the agreement would be declared soon and that the GCC Secretary General Abdullatif Al-Zayani would announce the return of Saudi, UAE and Bahraini ambassadors to Qatar soon. The sources stressed that a GCC memo of understanding has been reached under Kuwaiti supervision and media- tion. The sources also added that both Qatar and the three states have responded to Kuwaiti efforts and are keen on resolving GCC differences. “The few past days witnessed reaching an agreement, leaving only the final touches to be made,” said the sources. Early warning system KUWAIT: High-ranking security sources said that Deputy PM and Minister of Interior Sheikh Mohammed Al-Khaled recently okayed building the world’s most up-to-date border security sys- tem that involves early warning by underground sensors linked to the borders’ central security operations room that would help detect intruders and infiltrators. The sources stressed that the sen- sors have proven highly successful during testing. The company executing the project has already started installing the new system over a 78-km long stretch of the border with Iraq. 3 Kuwaitis kidnapped KUWAIT: Well-informed sources said that Kuwait’s foreign ministry had started intensive communications with Turkish authorities over reports of the kidnapping of three Kuwaiti citi- zens in Syria. The sources explained that the three Kuwaitis and two GCC nationals delivering aid were kidnapped by gangs after their guide betrayed them and demanded a ransom. in brief KUWAIT: The government and parliament agree on the need to eliminate subsidies on public services through a mechanism that does not affect Kuwaitis with limited income, a lawmaker said Tuesday. This agreement might have already gone into effect based on information that Oil Minister Ali Al-Omair has sent an official letter to the Ministry of Finance requesting cancelation of diesel fuel subsidies, said MP Jamal Al-Omar. The government and parliament had dis- cussed the financial position of the state during a closed session last week. The discussion revealed that removing subsidies from some goods and services can save the state nearly KD 7 billion, according to Omar. “The money saved from removing those subsidies and addressing the imbalance in the public sector’s payroll can be directed towards the national budget while allocating a share for the future generation’s fund,” Omar told Al-Rai daily. The government is studying a ‘strategic alter- native’ project to organize the payroll system in the public sector and unify salaries of workers with similar job classifications and requirements. Under discussion Omar said that he has information about plans to remove subsidies from electricity and water in the commercial and investment sectors, but not the housing one. This means that shops and apartment buildings will have to pay actual energy prices, while citizens living in govern- ment houses will still pay the subsidized fares. The plan is also to remove gas fuel subsidies, while granting ‘subsidy cards’ to citizens that they can use when they fill their car tanks, Omar added. The card would be similar to the Tamween ration cards that Kuwaitis use to obtain food items with subsidized prices. Expatriates are not entitled to these cards. The plans are still under discussion with no clear date on when they could be officially adopted. Discussions regarding potential removal of subsidies have become more com- mon this year after the government highlighted the need to cut spending in order to avoid a budget deficit by 2021. Kuwait’s welfare system includes providing subsidized petrol and energy for all residents, in addition to food and housing for Kuwaitis only. Subsidization has allowed Kuwait to maintain one of the world’s cheapest electricity and water fee rates for decades. In November, Prime Minister HH Sheikh Jaber Al-Mubarak Al-Sabah said that the welfare state was ‘unsustainable’ and mentioned the need to rationalize spending in order to maintain decent welfare levels for Kuwaiti citizens. No subsidized energy, fuel for expats? Govt studying ‘strategic alternative’ Jamal Al-Omar KUWAIT: Interior Ministry Assistant Undersecretary for Traffic Affairs Abdelfattah Al-Ali honored outstanding employees at the Traffic General Department, as well as supporting departments as part of the unified Gulf Traffic Week. —Photos by Hanan Al-Saadoun KFAS Director General wins Qatari int’l energy award DOHA: Director General of Kuwait Foundation for the Advancement of Sciences (KFAS) Dr Adnan Shihab Ad-Deen yesterday won the Abdullah Bin Hamad Al-Attiyah International Energy Award 2014 in recognition of his efforts in energy researches. Speaking following the award- giving ceremony, he said his researches in energy aimed to serve not only Kuwait but the Gulf coun- tries and all oil-exporting countries as well. “The researches focus on draw- ing up policies geared to make the best possible use of the energy resources and enhance the oil and gas technologies; they were pre- sented to regional and global scien- tific forums,” Dr Shihab Ad-Deen said. He dedicated the award to His Highness the Amir Sheikh Sabah Al- Ahmad Al-Jaber Al-Sabah and His Highness the Crown Prince Sheikh Nawaf Al-Ahmad Al-Jaber Al-Sabah as well as the government and peo- ple of Kuwait, saying: “I wouldn’t be able to make these scientific achievements without their spon- soring and encouragement. “I’ve had the honor to enjoy this sponsoring inside and outside the country through my selection to represent Kuwait at international organizations such as the UNESCO, the IAEA and lately the OPEC,” he added. The foundation of Abdullah Bin Hamad Al-Attiyah International Energy offers five annual awards for scientific achievements in the ener- gy industry on the local and interna- tional levels. —KUNA KUWAIT: Five senior officials at the Kuwait Airways are set to become officially retired today after they recently refused offers to stay in office for six months. KAC Chairperson and Managing Director Rasha Al- Roumi reportedly informed the directors that their con- tracts can be renewed on a monthly basis for a maximum of six months; after which they will not be retained to the recently-privatized company. She gave her statements on Tuesday before leaving to Hamburg to attend the Aircraft Interiors Expo. The directors, who include Acting CEO Sharifa Al- Ibrahim, refused the contracts on the basis that they were unfair, which means that their retirement goes into effect by today, Al-Qabas daily reported yesterday. A decision to hire replacements is pending Al-Roumi’s return scheduled this weekend. On that regard, sources quoted in the report suggest that current directors could be assigned over other department temporarily before new officials are appointed. KAC directors reject extension KUWAIT: National Guard Undersecretary Lt Gen Nasser Abdullah Al-Dei honored Maj Khalid Anwar Al-Nouri, for obtaining a Masters Degree in Business Management from Gulf Science and Technology Department. — Photo by Hanan Al-Saadoun By Frank Baker British Ambassador KUWAIT: As many of you will know, our Great British Week - which ended up stretching out to a fortnight - drew to a close on April 3 with a keynote speech by former British Prime Minister John Major. The preparations and implemen- tation for what was the largest series of events ever organised by the British Embassy in Kuwait was a huge amount of effort, and the team at the British Embassy has been working day and night to pull it off. Thanks to all this hard work, the events were a great success. We had British fashion designers, celebrity chefs, musicians, artists and academics and even the world’s fastest man coming through Kuwait to interact with their peers, counterparts and with Kuwaitis in general. I really hope that we were able to give everyone in Kuwait the opportu- nity to see a little bit of what the UK has to offer. If you missed it, do check out the coverage on instagram - @ukinkuwait and #greatweekq8. But what GREAT British Week really meant for me was something more pro- found that then events we put on. What’s really pleased me more than any- thing was the engagement and appetite of the general Kuwaiti public. It was the bloggers who covered our fashion show, the people who ensured Gary Rhodes’ dinner was a sell out, the Kuwaiti institu- tions and individuals who partnered with us, and the hundreds of people who attended events across Kuwait - who made GREAT British Week what it was. It wasn’t just a celebration of the UK, but a celebration of the UK and Kuwait, and a friendship and mutual respect that frequently leaves me hum- bled. I think the attendance of Sir John Major was a case in point - Sir John flew here almost straight from a tour of the Far East to deliver the first ever Dickson Lecture at Kuwait University. He did it because he knows and understands Kuwait, its people, its history and its hos- pitality. He wanted to talk about the UK’s commitment to Kuwait and about the ways we can cooperate together for our mutual benefit. If you haven’t seen his speech, I recommend you do; particular- ly if you’re interested in foreign relations and how countries can work together in the modern world. And I really think that GREAT British Week has planted seeds for UK-Kuwait partnerships between individuals and institutions that could reach fruition in the future. Wing Commander Andy Green, the driver for the BLOODHOUND SSC car which aims to break the land- speed record and inspire a generation of engineers, is talking to Kuwait Engineers Society about potential partnership on the project. The British performers who brought new and interesting music to the amazing UK-Kuwait mash-up con- cert at LoYAC are already corresponding with young Kuwaitis and looking at ways to bring their talents together. Leading British Entrepreneur Rekha Mehr met and connected with young Kuwaiti entrepreneurs from the British Council’s entrepreneur network. Some of these connections of course already existed, in different ways; fashion designer Maria Grachvogel’s stunning creations at Harvey Nichols in the Avenues; the GREAT British cars brought to Kuwait by Al-Zayani Automotive and Ali Al-Ghanim and Sons; the magnificent and unique collections of British-Kuwaiti stamps and coins put on show by Kuwait’s philatelic and numismatic soci- ety at historic Dickson House. Overall it was a great show, which I thoroughly enjoyed. Thank you to our sponsors - particularly headline spon- sors Shell and Mabanee - and to all the partners who worked with us or organ- ised their own events. And thank you Kuwait for the hospitality, energy and zeal with which you greeted everyone who came and everything we did. Thank you Kuwait!

Transcript of THURSDAY, APRIL 10, 2014 LOCAL No subsidized energy, fuel...

Page 1: THURSDAY, APRIL 10, 2014 LOCAL No subsidized energy, fuel ...news.kuwaittimes.net/pdf/2014/apr/10/p02.pdf · LOCAL THURSDAY, APRIL 10, 2014 News GCC crisis ‘resolved’ KUWAIT:

L O C A LTHURSDAY, APRIL 10, 2014

News

GCC crisis ‘resolved’ KUWAIT: Well-informed sources said that GCCstates have finally reached an agreement to endrecent disagreements and make a new start. Thesources added that details of the agreementwould be declared soon and that the GCCSecretary General Abdullatif Al-Zayani wouldannounce the return of Saudi, UAE and Bahrainiambassadors to Qatar soon. The sources stressedthat a GCC memo of understanding has beenreached under Kuwaiti supervision and media-tion. The sources also added that both Qatar andthe three states have responded to Kuwaiti effortsand are keen on resolving GCC differences. “Thefew past days witnessed reaching an agreement,leaving only the final touches to be made,” saidthe sources.

Early warning system KUWAIT: High-ranking security sources said thatDeputy PM and Minister of Interior SheikhMohammed Al-Khaled recently okayed buildingthe world’s most up-to-date border security sys-tem that involves early warning by undergroundsensors linked to the borders’ central securityoperations room that would help detect intrudersand infiltrators. The sources stressed that the sen-sors have proven highly successful during testing.The company executing the project has alreadystarted installing the new system over a 78-kmlong stretch of the border with Iraq.

3 Kuwaitis kidnapped KUWAIT: Well-informed sources said thatKuwait’s foreign ministry had started intensivecommunications with Turkish authorities overreports of the kidnapping of three Kuwaiti citi-zens in Syria. The sources explained that the threeKuwaitis and two GCC nationals delivering aidwere kidnapped by gangs after their guidebetrayed them and demanded a ransom.

in brief

KUWAIT: The government and parliament agreeon the need to eliminate subsidies on publicservices through a mechanism that does notaffect Kuwaitis with limited income, a lawmakersaid Tuesday. This agreement might have alreadygone into effect based on information that OilMinister Ali Al-Omair has sent an official letter to

the Ministry of Finance requesting cancelationof diesel fuel subsidies, said MP Jamal Al-Omar.

The government and parliament had dis-cussed the financial position of the state duringa closed session last week. The discussionrevealed that removing subsidies from somegoods and services can save the state nearly KD7 billion, according to Omar. “The money savedfrom removing those subsidies and addressingthe imbalance in the public sector’s payroll canbe directed towards the national budget whileallocating a share for the future generation’sfund,” Omar told Al-Rai daily.

The government is studying a ‘strategic alter-native’ project to organize the payroll system inthe public sector and unify salaries of workerswith similar job classifications and requirements.

Under discussionOmar said that he has information about

plans to remove subsidies from electricity andwater in the commercial and investment sectors,but not the housing one. This means that shopsand apartment buildings will have to pay actualenergy prices, while citizens living in govern-

ment houses will still pay the subsidized fares.The plan is also to remove gas fuel subsidies,while granting ‘subsidy cards’ to citizens thatthey can use when they fill their car tanks, Omaradded. The card would be similar to theTamween ration cards that Kuwaitis use toobtain food items with subsidized prices.Expatriates are not entitled to these cards.

The plans are still under discussion with noclear date on when they could be officiallyadopted. Discussions regarding potentialremoval of subsidies have become more com-mon this year after the government highlightedthe need to cut spending in order to avoid abudget deficit by 2021. Kuwait’s welfare systemincludes providing subsidized petrol and energyfor all residents, in addition to food and housingfor Kuwaitis only. Subsidization has allowedKuwait to maintain one of the world’s cheapestelectricity and water fee rates for decades.

In November, Prime Minister HH Sheikh JaberAl-Mubarak Al-Sabah said that the welfare statewas ‘unsustainable’ and mentioned the need torationalize spending in order to maintain decentwelfare levels for Kuwaiti citizens.

No subsidized energy, fuel for expats?Govt studying ‘strategic alternative’

Jamal Al-Omar

KUWAIT: Interior Ministry Assistant Undersecretary for Traffic Affairs Abdelfattah Al-Ali honored outstanding employees at the Traffic GeneralDepartment, as well as supporting departments as part of the unified Gulf Traffic Week. —Photos by Hanan Al-Saadoun

KFAS Director General wins

Qatari int’l energy awardDOHA: Director General of KuwaitFoundation for the Advancement ofSciences (KFAS) Dr Adnan ShihabAd-Deen yesterday won theAbdullah Bin Hamad Al-AttiyahInternational Energy Award 2014 inrecognition of his efforts in energyresearches.

Speaking following the award-giving ceremony, he said hisresearches in energy aimed to servenot only Kuwait but the Gulf coun-tries and all oil-exporting countriesas well.

“The researches focus on draw-

ing up policies geared to make thebest possible use of the energyresources and enhance the oil andgas technologies; they were pre-sented to regional and global scien-tific forums,” Dr Shihab Ad-Deensaid.

He dedicated the award to HisHighness the Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah and HisHighness the Crown Prince SheikhNawaf Al-Ahmad Al-Jaber Al-Sabahas well as the government and peo-ple of Kuwait, saying: “I wouldn’t beable to make these scientific

achievements without their spon-soring and encouragement.

“I’ve had the honor to enjoy thissponsoring inside and outside thecountry through my selection torepresent Kuwait at internationalorganizations such as the UNESCO,the IAEA and lately the OPEC,” headded.

The foundation of Abdullah BinHamad Al-Attiyah InternationalEnergy offers five annual awards forscientific achievements in the ener-gy industry on the local and interna-tional levels. —KUNA

KUWAIT: Five senior officials at the Kuwait Airways are setto become officially retired today after they recentlyrefused offers to stay in office for six months.

KAC Chairperson and Managing Director Rasha Al-Roumi reportedly informed the directors that their con-tracts can be renewed on a monthly basis for a maximumof six months; after which they will not be retained to therecently-privatized company.

She gave her statements on Tuesday before leaving toHamburg to attend the Aircraft Interiors Expo.

The directors, who include Acting CEO Sharifa Al-Ibrahim, refused the contracts on the basis that they wereunfair, which means that their retirement goes into effectby today, Al-Qabas daily reported yesterday.

A decision to hire replacements is pending Al-Roumi’sreturn scheduled this weekend. On that regard, sourcesquoted in the report suggest that current directors couldbe assigned over other department temporarily beforenew officials are appointed.

KAC directors

reject extension

KUWAIT: National Guard Undersecretary Lt Gen NasserAbdullah Al-Dei honored Maj Khalid Anwar Al-Nouri,for obtaining a Masters Degree in BusinessManagement from Gulf Science and TechnologyDepartment. — Photo by Hanan Al-Saadoun

By Frank Baker British Ambassador

KUWAIT: As many of you will know, ourGreat British Week - which ended upstretching out to a fortnight - drew to aclose on April 3 with a keynote speechby former British Prime Minister JohnMajor. The preparations and implemen-tation for what was the largest series ofevents ever organised by the BritishEmbassy in Kuwait was a huge amountof effort, and the team at the BritishEmbassy has been working day andnight to pull it off.

Thanks to all this hard work, theevents were a great success. We hadBritish fashion designers, celebrity chefs,musicians, artists and academics andeven the world’s fastest man comingthrough Kuwait to interact with theirpeers, counterparts and with Kuwaitis ingeneral. I really hope that we were ableto give everyone in Kuwait the opportu-nity to see a little bit of what the UK hasto offer. If you missed it, do check outthe coverage on instagram -@ukinkuwait and #greatweekq8.

But what GREAT British Week reallymeant for me was something more pro-found that then events we put on.What’s really pleased me more than any-thing was the engagement and appetiteof the general Kuwaiti public. It was thebloggers who covered our fashion show,the people who ensured Gary Rhodes’dinner was a sell out, the Kuwaiti institu-tions and individuals who partneredwith us, and the hundreds of peoplewho attended events across Kuwait -who made GREAT British Week what itwas. It wasn’t just a celebration of theUK, but a celebration of the UK andKuwait, and a friendship and mutualrespect that frequently leaves me hum-bled.

I think the attendance of Sir JohnMajor was a case in point - Sir John flewhere almost straight from a tour of theFar East to deliver the first ever DicksonLecture at Kuwait University. He did itbecause he knows and understandsKuwait, its people, its history and its hos-pitality. He wanted to talk about the UK’scommitment to Kuwait and about theways we can cooperate together for ourmutual benefit. If you haven’t seen his

speech, I recommend you do; particular-ly if you’re interested in foreign relationsand how countries can work together inthe modern world.

And I really think that GREAT BritishWeek has planted seeds for UK-Kuwaitpartnerships between individuals andinstitutions that could reach fruition inthe future. Wing Commander AndyGreen, the driver for the BLOODHOUNDSSC car which aims to break the land-speed record and inspire a generation ofengineers, is talking to Kuwait EngineersSociety about potential partnership onthe project. The British performers whobrought new and interesting music tothe amazing UK-Kuwait mash-up con-cert at LoYAC are already correspondingwith young Kuwaitis and looking atways to bring their talents together.Leading British Entrepreneur RekhaMehr met and connected with youngKuwaiti entrepreneurs from the BritishCouncil’s entrepreneur network. Someof these connections of course alreadyexisted, in different ways; fashiondesigner Maria Grachvogel’s stunningcreations at Harvey Nichols in theAvenues; the GREAT British cars broughtto Kuwait by Al-Zayani Automotive andAli Al-Ghanim and Sons; the magnificentand unique collections of British-Kuwaitistamps and coins put on show byKuwait’s philatelic and numismatic soci-ety at historic Dickson House.

Overall it was a great show, which Ithoroughly enjoyed. Thank you to oursponsors - particularly headline spon-sors Shell and Mabanee - and to all thepartners who worked with us or organ-ised their own events. And thank youKuwait for the hospitality, energy andzeal with which you greeted everyonewho came and everything we did.

Thank you Kuwait!