News as of Sept. 30 - Oct. 3 2006

[stepanstas]

I really did not see any news worth posting in the past days. As usual i will post the best.

Ukraine's President presented awards to educators

Victor Yushchenko presented state awards to Ukraine▓s best educators yesterday, President's press office reported.

In his speech, the President said the role of pedagogues in society was immensely important, ⌠for teachers mould outlooks and values of their pupils.■

⌠I am convinced the most important goal of any school is to bring up citizens. You must teach children to love their motherland and be proud of being citizens of their country,■ he said.

Yushchenko opined that good education was a key to progress of any nation, helping it face challenges.

⌠We must be Europe▓s most educated nation,■ he said.

Ukraine's Head of State said the government had introduced independent testing at schools to fairly evaluate knowledge and root out corruption. He added that the cabinet had also established scholarships and prizes to honor the most gifted students and teachers.

He said the welfare of Ukrainian educators was improving and hopes they will earn as much as industrial workers in a couple of years.

Yushchenko explained that his kind attitude toward teachers was due to his origin, for he ⌠was born into a family of teachers and saw this hard work.■

⌠I think this profession is holy,■ he said, wishing those present a happy Teacher▓s Day, which is celebrated on October 1, success and ⌠generous fruits of their tireless labor.■

Ukraine▓s Education Minister Stanislav Nikolayenko attended the award ceremony.

Ukraine is ready to cover Russia's shortages of electric power

According to Deputy Fuel & Energy Minister Aleksei Sheberstov, Ukraine is ready to cover Russia's shortages of electric power, Cabinet's press office reported.

Russia has asked Ukraine for assisting Russia in meeting the latter's commitments with regard to exports of electric power to third nations.

As Ukraine has got several idling facilities to generate electric power Ukraine might offset Russia's shortages, in exchange for supplies of natural gas to Ukrainian fuel-fired power plants, Sheberstov noted.

As he disclosed, the likely deal's commercial nuances are being discussed.

The talks, he disclosed, will be completed in October.

The talks involve the INTER RAO YEES ("Russia's Integrated Energy System") on the Russian side, Sheberstov added.

Ukraine: EBRD Invests USD 9.82 Million in a Brick Manufacturer

The European Bank for Reconstruction and Development (EBRD) decided to invest USD 10 million in a Ukrainian brick manufacturer to support the development of the local building materials market.

Thus, the EBRD will provide a USD 9.82 million loan granted to Slobozhanska Construction Ceramics (SBK), a company active in the production of facing bricks. The Ukrainian company will invest USD 35.6 million into the construction of a new brick-making plant in the Kyiv region with the goal to double brick production capacity.

⌠The proposed project is to construct and place into operation a greenfield plant for the production of hollow porous brick blocks in Kyiv Region and upgrade and expand existing production lines at SBK▓s plants located in the cities of Irpin [Kyiv Region], Kharkiv and Romny [Sumy Region] for total annual production of 262 million brick units,■ the EBRD▓s summary document reads.

At present, SBK produces 120 million brick units a year at its three existing plants in Romny, Kharkiv and Irpin.

⌠The fourth plant will be exclusive among Ukrainian ceramics plants in the production of large format ceramic brick blocks,■ Gumenjuk said.

U.S. government-funded venture capital firm Western NIS Enterprise Fund (WNISEF, currently run by private equity manager Horizon Capital) bought 100 per cent of the SBK brick factory in Romny in 1997.

In 2004, WNISEF sold its entire shareholding in SBK to Austrian investment bank Raiffeisen Investment AG (RIAG) and its partners MARA Beteiligungsverwaltungs GmbH, RIAG▓s holding company, for USD 13.5 million, ⌠achieving a 2.5-time cash-on-cash return,■ according to WNISEF.

Among SBK▓s main Ukrainian clients are construction companies like TMM, Poznyakyzhylbud and Kyivmiskbud.

According to Ukraine▓s State Statistics Committee, the production of all types of bricks in the country has shown steady growth in the last three years, increasing from 1.56 billion ceramic brick units in 2003 to 1.83 billion in 2004, and 1.9 billion in 2005.

Ukraine Opposition Says Gas Will Rise

KIEV, Ukraine ≈ Ukrainian opposition leader Yulia Tymoshenko on Monday accused Ukraine and Russia officials with misleading the public by telling them the price of gas would stay unchanged this year.

Russia's state-controlled natural gas monopoly, OAO Gazprom, said last week that it would maintain the price of natural gas for Ukraine at $95 per 1,000 cubic meters through Dec. 31.

"It is a political deception...the de facto gas price has already been increased," Tymoshenko told journalists, citing unidentified sources in the Russian energy industry.

Tymoshenko did not say what the new price was, but said Moscow had agreed to let Kiev wait to pay the difference in 2007. She called the move an attempt to build up support for Prime Minister Viktor Yanukovych, who is perceived as more pro-Russian than President Viktor Yushchenko. Yanukovych took office in August, and securing a good gas deal for Ukraine has been one of his top tasks.

Ukraine saw a nearly twofold gas price increase in January after a bitter dispute with Moscow. The Russian company briefly turned off the gas to Ukraine, triggering supply concerns in other European countries that receive Russian gas via Ukrainian pipelines.

As part of the deal that resolved last winter's fuel dispute, Ukraine agreed to receive a mix of more expensive Russian gas and cheaper Turkmen imports at a price of $95 per 1,000 cubic meters. Pressure to increase the price rose last month after Turkmenistan hiked the amount Russia pays for the gas it buys and then sells on to Ukraine.

OAO Gazprom American Depositary Receipts trade for about $43.75 over the counter.

Ukraine's President wants no ▒cold war▓

Victor Yushchenko was asked in Lviv if he thought the government led by Viktor Yanukovych ⌠had declared cold war■ on him, President▓s press office reported.

⌠Frankly speaking, I will try to build and maintain exceptionally constructive relations with the government and parliament. I see no reasons for such a conclusion, although I do not like many things the government does,■ the President said.

Yushchenko opined that the new team was introducing its traditions, methods and style, which explains ⌠why, perhaps, they make some erroneous decisions.■ He added that the January 1/2006 constitutional changes also contributed to the problem, complicating their cooperation.

However, Yushchenko said he saw ⌠no deliberate evil intention to make this relationship tense and destructive.■

⌠I really do not see it and believe the premier, like me, strives to build constructive relations,■ he said. ⌠...But those who are going to war with the Presidential Secretariat will lose.■

The Head of State said such non-productive cooperation would undermine the trust of voters.

⌠If we live for Ukraine, these two branches of power, the President and the government, must work to benefit the nation,■ he said.

Please Answer The Following Questions

• Do you think Ukrainian schools are raising proud citizens of their country?
• Do you think the suppy of electric power will improve relations between Ukraine and Russia?
• How much change?
• Do you think the brick manufacture will decrease prices for Ukrainian consumers?
• Did the prices really rise?
• What do you think about Tymoshenko, can she be trusted after betraying the country as Prime Minister?
• Do you think the president will make any changes to the government?