Can sanctions deter North Korea?

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

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STORY HIGHLIGHTS

• N. Korea said Thursday it plans to carry out new nuclear test and more long-range rocket launches


• It said they are part of new phase of confrontation with United States


• George A. Lopez says North Korea's aim is to be recognized as a 'new nuclear nation by fait accompli'


• The Security Council sanctions aim to deteriorate and disrupt N. Korea's programs, says Lopez

Editor's note: George A. Lopez holds the Hesburgh Chair in Peace Studies at the Kroc Institute, University of Notre Dame. He is a former member, UN Panel of Experts on DPRK.

Indiana, U.S. (CNN) -- North Korea has responded to new Security Council sanctions condemning its December 12 rocket launch with a declaration that it plans a third nuclear test and more missile launches. Politically, it has made unambiguous that its "aim" is its enemy, the United States.

In this rapid reaction to U.N. sanctions, the young government of Kim Jong Un underscores what Security Council members have long known anticipated from the DPRK. Their end-game is to create a vibrant, integrated missile and nuclear weapons program that will result - as in the cases of Pakistan and India - in their being recognized as a new nuclear nation by fait accompli.

Read more: North Korea says new nuclear test will be part of fight against U.S.

In light of DPRK defiance - and a soon to occur nuclear test - the Security Council's first set of sanctions on North Korea since 2009 may seem absurd and irrelevant. These sanctions will certainly not prevent a new DPRK nuclear test. Rather, the new sanctions resolution mobilizes regional neighbors and global actors to enforce sanctions that can weaken future DPRK programs and actions.

Read more: U.N. Security Council slams North Korea, expands sanctions

The utility, if not the necessity, of these Security Council sanctions are to deteriorate and disrupt the networks that sustain North Korea's programs. Chances of this degradation of DPRK capabilities have increased as the new sanctions both embolden and empower the member states who regularly observe - but do nothing about - suspicious vessels in their adjacent waterways.

The resolution provides new guidance to states regarding ship interdiction, cargo inspections, and the seizure and disposal of prohibited materials. Regarding nuclear and missile development the sanctions expand the list of material banned for trade to DPRK, including high tech, dual-use goods which might aid missile industries.

Read more: South Korean officials: North Korean rocket could hit U.S. mainland

These new measures provide a better structure for more effective sanctions, by naming new entities, such as a bank and trading companies, as well as individuals involved in the illicit financing of prohibited materials, to the sanctions list. To the surprise of many in the diplomatic community - the Council authorizes states to expose and confiscate North Korea's rather mobile "bulk cash." Such currency stocks have been used in many regions to facilitate purchases of luxury goods and other banned items that sustain the DPRK elites.

Finally, the Security Council frees the Sanctions Committee to act more independently and in a timely manner to add entities to the list of sanctioned actors when evidence shows them to be sanctions violators. This is an extensive hunting license for states in the region that can multiply the costs of sanctions to the DPRK over time.

Read more: North Korea's rocket launches cost $1.3 billion

Whatever their initial limitations, the new round of U.N. sanctions serve as a springboard to more robust measures by various regional and global powers which may lead back to serious negotiations with DPRK.

Despite its bluster and short-term action plan, Pyongyang recognizes that the wide space of operation for its policies it assumed it had a week ago, is now closed considerably. To get this kind of slap-down via this Security Council resolution - when the launch was a month ago - predicts that any nuke test or missile launch from Pyongyang will bring a new round of stronger and more targeted sanctions.

Read more: North Korea silences doubters, raises fears with rocket launch

Although dangerous - a new game is on regarding DPRK. Tougher U.N. measures imposed on the North generated a predictable response and likely new, prohibited action. While DPRK may be enraged, these sanctions have the P5 nations, most notably China, newly engaged. A forthcoming test or launch will no doubt increase tensions on both sides.

But this may be precisely the shock needed to restart the Six Party Talks. Without this institutional framework there is little chance of influencing DPRK actions. And in the meantime, the chances of greater degrading of DPRK capabilities via sanctions, are a sensible next best action.

Read more: Huge crowds gather in North Korean capital to celebrate rocket launch

The opinions expressed in this commentary are solely those of George A. Lopez.

Read More..

At least 55 dead in Venezuela prison riot: hospital

CARACAS: At least 55 people were killed and 90 others wounded in clashes between prison gangs and security guards at a facility in northwest Venezuela, a hospital director said Saturday.

Television images had earlier shown National Guard troops surrounding the Uribana prison in Lara state as inmates in bloody clothes were taken out of the building.

Behind the barriers, relatives of the prisoners -- most of them women -- waited for news of their loved ones, many of them in tears.

"There are 55 dead already in the morgue," hospital director Ruy Medina said Saturday.

Around 30 people were still being treated, he said, adding that the patients are "progressing satisfactorily," and that more would likely be released during the day.

Medina had earlier said that most of those injured had suffered gunshot wounds, and that 14 people had injuries severe enough to require surgery.

He had called the initial death toll of 50 "alarming," saying it was based solely on bodies brought to the hospital.

Prison authorities have not yet released an official figure for the toll of those killed and wounded in the riot, but a press conference is expected later Saturday from Iris Varela, the minister responsible for Venezuela's prisons.

Vice President Nicolas Maduro, freshly back in the country after visiting recovering President Hugo Chavez in Cuba, called the riot "regrettable" and "tragic," and said an investigation had been launched.

Varela said the riot was sparked after inmates rebelled when prison authorities launched a sweep of the facility in search of illicit weapons.

Authorities had swept to "completely disarm" the prisoners after receiving a tip-off that prison gangs were readying to fight, she said.

Opposition parties immediately attacked the government, accusing it of exercising lax control over the prison system.

"Who will they blame for this massacre this time around?" opposition leader and former presidential candidate Henrique Capriles said on Twitter, calling the government "incapable and irresponsible."

Humberto Prado, head of the non-governmental Venezuelan Prison Monitoring Organisation, said the government "had failed to take responsibility for the events" and instead was "piling blame on the media."

The situation in Uribana prison has been monitored by the Inter-American Court of Human Rights since 2006, he added.

"The court told the Venezuelan government that no more inmates should be dying in this jail, but the government did not comply with this request, and now we have such a serious outburst of violence," he said.

Venezuela is notorious for the poor state of its prisons, which suffer from some of the highest levels of overcrowding in Latin America.

Originally built to house 14,000 inmates, the country's prisons now hold almost 50,000 people, often with low sanitary standards and high levels of violence.

In August 2012, at least 25 people were killed and 43 wounded during a clash between rival gangs in Yare I prison near Caracas. In June 2011, dozens died in a riot that erupted at El Rodeo prison.

- AFP/jc

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'Anonymous' threatens Justice Department

A screenshot at 3:35 a.m. ET on January 26, 2013, of the homepage of the United States federal sentencing website after it had been hacked by a group that identified itself as "Anonymous."

STORY HIGHLIGHTS

• NEW: The FBI is handling the incident as a "criminal investigation"


• Hackers say they have a file of incriminating information ready to launch


• Anonymous is believed to be the loosely defined collective of so-called "hacktivists."


• The threat note cited anger over the death of Internet activist Aaron Swartz

(CNN) -- In anger over the recent death of an Internet activist who faced federal charges, hackers claiming to be from the group Anonymous threatened early Saturday to release sensitive information about the U.S. Department of Justice.

They claimed to have one such file on multiple servers ready for immediate release.

The hackers apparently hijacked the website of the U.S. government agency responsible for federal sentencing guidelines, where they posted a message demanding the United States reform its justice system or face incriminating leaks to select news outlets.

The lengthy, eloquently written letter was signed "Anonymous."

Richard McFeely, executive assistant director of the FBI's Criminal, Cyber, Response, and Services Branch, said the bureau was immediately aware of the threat and is "handling it as a criminal investigation."

"We are always concerned when someone illegally accesses another person('s) or government agency's network," he said.

The suicide of Internet activist Aaron Swartz on January 11 triggered the posting of the hackers' message to the web address of the United States Sentencing Commission, they said.

His death, which they blamed on the justice system, "crossed a line," the letter said.

How Aaron Swartz helped build the Internet

A YouTube video accompanied the message, and made use of images from Cold War nuclear scenarios and games of strategy. The letter contained nuclear metaphors to refer to chunks of embarrassing information.

The hackers said they have obtained "enough fissile material for multiple warheads," which it would launch against the justice department and "its associated executive branches."

It gave the "warheads" the names of U.S. Supreme Court justices, such as Thomas.Warhead1 after Justice Clarence Thomas or Ginsburg.Warhead1 after Justice Ruth Bader Ginsberg.

'Anonymous' threatens Westboro Baptist

Anonymous accused the FBI of infiltrating its ranks and claimed the federal government is applying "highly disproportionate sentencing" to ruin the lives of some of its members.

Swartz, 26, was facing federal computer fraud charges and could have served 35 years in prison. Anonymous said he "was killed," because he "faced an impossible choice."

His family has issued a statement saying that federal charges filed over allegations that he stole millions of online documents contributed to Swartz's decision to take his own life. The files were mostly scholarly papers from the Massachusetts Institute of Technology.

Opinion: Why the Net grieves Aaron Swartz

Swartz's suicide has inspired a flurry of online tributes and mobilized Anonymous, the loosely defined collective of so-called "hacktivists" who oppose attempts to limit Internet freedoms. Both Swartz and Anonymous have been stark proponents of open access to information and open-source programming.

A review of a cached version of the USSC.gov website showed the Anonymous message on its homepage since at least 1:40 a.m. ET. Efforts to get to the website were unsuccessful by some by 6 a.m. E.T.

Anonymous also posted an editable version of the website, inviting users to deface it as they pleased. Multiple pages -- not only the home page -- appeared to allow users to alter them.

The "warhead" names appeared as links, most leading to 404 error messages of pages not found, but some leading to pages of raw programming code.

CNN has left multiple messages with the U.S. Sentencing Commission requesting a response to the hack.

The hackers said they chose the commission's website because of its influence on the doling out of sentences they consider to be unfair.

CNN's Carol Cratty, Jason Moon, AnneClaire Stapleton contributed to this report

Read More..

Hackers take over gov't website to avenge Aaron Swartz

This screenshot shows the website of the U.S. Sentencing Commission after it was hijacked by the hacker-activist group Anonymous, early Saturday, Jan. 26, 2013, to avenge the death of Aaron Swartz, an Internet activist who committed suicide. The website of the commission, an independent agency of the judicial branch, was replaced with a message warning that when Swartz killed himself two weeks ago "a line was crossed." / AP Photo

WASHINGTON The hacker-activist group Anonymous says it hijacked the website of the U.S. Sentencing Commission to avenge the death of Aaron Swartz, an Internet activist who committed suicide.

The website of the commission, an independent agency of the judicial branch, was taken over early Saturday and replaced with a message warning that when Swartz killed himself two weeks ago "a line was crossed."

The message read in part:

Citizens of the world,
Anonymous has observed for some time now the trajectory of justice in the United States with growing concern. We have marked the departure of this system from the noble ideals in which it was born and enshrined. We have seen the erosion of due process, the dilution of constitutional rights, the usurpation of the rightful authority of courts by the "discretion" or prosecutors. We have seen how the law is wielded less and less to uphold justice, and more and more to exercise control, authority and power in the interests of oppression or personal gain."

The hackers say they've infiltrated several government computer systems and copied secret information that they now threaten to make public.

Family and friends of Swartz, who helped create Reddit and RSS, say he killed himself after he was hounded by federal prosecutors.

Officials say he helped post millions of court documents for free online and that he illegally downloaded millions of academic articles from an online clearinghouse.

By mid-morning Saturday the website was offline.

Read More..

Cops Using More Private Cameras to Nab Suspects

Philadelphia detectives were able to quickly make an arrest in the murder and burning of a female pediatrician by viewing surveillance video of nearby stores and a hospital that captured the suspect entering the doctor's home and later getting into his truck.

In the hours after Dr. Melissa Ketunuti's body was found strangled and burning in her basement, city's Homicide Task Force collected surveillance footage from a coffee shop, drug store and hospital overlooking Ketunuti's block. It was footage taken from Ori Feibush's coffee shop that allowed cops to identify Smith.

The suspect, an exterminator named Jason Smith, soon confessed to detectives, police said.

Lately a range of crimes have been solved by the seemingly ubiquitous security videos maintained by private companies or citizens, and investigators have been able to quickly apprehend suspects by obtaining the video, deftly turning private cameras into effective police resources.

Philadelphia Police Arrest Suspect in Doctor's Killing Watch Video

Pa. Doctor Killing: Person of Interest in Custody Watch Video

Private surveillance cameras have become so pervasive that the face of a suspect who allegedly shot a Bronx, N.Y., cab driver in a botched robbery on Jan. 14 was splashed throughout the media within days because the cabbie had rigged his vehicle with a camera.

The New York Police Department arrested Salvatore Perrone after he was caught on surveillance video recorded near two of three shopkeeper slayings in Brooklyn, N.Y., in November. He has since been charged with murder.

And in Mesa, Ariz., surveillance footage taken in November by resident Mitch Drum showed a man rolling on the ground trying to extinguish flames that had engulfed his shirt, which had caught fire while he was allegedly siphoning gas from a car by Drum's house. The man was arrested.

Though surveillance cameras have been a staple of security since a network of government operated cameras dubbed the "ring of steel" was introduced in London in the early 1990s, police have recently launched programs to partner with more businesses.

In Philadelphia, police have launched a program for businesses to register private cameras with the department. According to the SafeCam website, businesses will only be contacted when there is a criminal incident in the vicinity of the security camera. At that point, police will request a copy of the footage for their investigation.

"Businesses are saying, 'I have a camera at this location, and it may or may not be of use to you. It's a registration to say, 'feel free to call me,'" Sgt. Joseph Green told ABCNews.com

Read More..

Cantor CEO: 'Off the fiscal cliff we go'

Part of complete coverage on

By Ramy Inocencio, for CNN

January 25, 2013 -- Updated 1453 GMT (2253 HKT)

STORY HIGHLIGHTS

• "U.S. fiscal cliff still coming" in form of failure to raise debt ceiling - Cantor Fitzgerald CEO


• More than 25% of CEOs feel world economy will get worse in 2013, says PwC survey


• U.S. House of Representatives passed short-term debt ceiling increase Jan. 23


• Lutnick: "Dumb lending" caused 2008 credit crisis

Hong Kong (CNN) -- The world thought the U.S. fiscal cliff deadline was December 31, but "the fiscal cliff is (still) coming", says Howard Lutnick, CEO of global financial services firm Cantor Fitzgerald.

"You're going to watch the U.S. do crazy, crazy things this year," Lutnick told CNN's Richard Quest at the World Economic Forum in Davos, Switzerland. "The Republican Party that was elected to control Congress... (is) going to cross their arms and they are not going to raise the debt ceiling ultimately unless they get severe spending cuts, and the Obama administration is not going to give it to them."

If Congress fails to act, the U.S. and the world economy will have a "dreadful" 2013, Lutnick said.

Following this week's PricewaterhouseCoopers survey of global CEO confidence, Lutnick appears to be one of the more than 25% who think the world economy is more likely to deteriorate in 2013.

Despite Lutnick's concerns, on January 23 the Republican-controlled House of Representatives did pass a bill that would allow the U.S. Treasury to borrow new money through mid-May. President Barack Obama has said he would not oppose the proposal if it reaches his desk, although he prefers a long-term debt ceiling increase.

Lutnick adds that to avoid a repeat of the 2008 financial crisis, regulators need to actually address issues that caused it.

"What caused the credit crisis was just dumb lending. When you lend money to people who can't pay you back, you go broke."

Looking ahead to 2013, Lutnick says the biggest risk to global growth is the U.S. hitting the debt ceiling -- whether in the short- or long-term.

"Off the fiscal cliff we go. We (the U.S.) are irrational and we are silly... we are dopey."

Part of complete coverage on

January 23, 2013 -- Updated 1308 GMT (2108 HKT)

Global policymakers, leading thinkers and key entrepreneurs are gathering in Davos. CNN brings you the latest news, views and musings live.

January 25, 2013 -- Updated 1508 GMT (2308 HKT)

Free trade, transparency and a crackdown on tax cheats will be at the heart of Britain's G8 presidency, Prime Minister David Cameron told the World Economic Forum in Davos on Thursday as he set out his vision for a more competitive Europe.

January 25, 2013 -- Updated 1559 GMT (2359 HKT)

Walk the halls of Davos and you're bound to bump into celebrities, heads of state and even princes and princesses.

January 25, 2013 -- Updated 1155 GMT (1955 HKT)

While Prime Minister David Cameron's speech this week -- voicing his intent to let the British people vote on whether to stay in the European Union -- has caused concern on the continent, the mayor of London says it's all part of democracy.

January 25, 2013 -- Updated 1119 GMT (1919 HKT)

A top European Union official says there's no need for Britain to make threats to leave the union in order to reform its membership.

January 24, 2013 -- Updated 1937 GMT (0337 HKT)

Kenyan Prime Minister Raila Odinga says his country will not negotiate with al Qaeda-linked Somali militants who have threatened to kill Kenyan hostages unless Nairobi releases all Muslims charged with terrorism.

January 24, 2013 -- Updated 1904 GMT (0304 HKT)

LeWeb founder Loic Le Meur is looking to "digital hippies" as a potential theme for his next conference.

January 25, 2013 -- Updated 1347 GMT (2147 HKT)

The head of Airbus says the European aviation giant will take care to learn from its own mistakes -- and rival Boeing's -- ahead of the launch of its new widebody A350 aircraft.

January 23, 2013 -- Updated 1040 GMT (1840 HKT)

As extreme weather events cost the global economy billions each year, the "neglected" risk of climate change seems to be rising to the top of the agenda, Andrew Steer writes.

January 23, 2013 -- Updated 1342 GMT (2142 HKT)

Economic empowerment offers a win-win scenario for Saudi Arabia and its women, Mounira Jamjoon writes.

January 23, 2013 -- Updated 1154 GMT (1954 HKT)

The recession in Europe is entering its fifth year and unemployment doesn't look like it will be returning to normal levels anytime soon.

January 22, 2013 -- Updated 1324 GMT (2124 HKT)

What has been made clear by current events and financial upheavals since 2008 is that the global economy has become truly that -- global.

January 21, 2013 -- Updated 1458 GMT (2258 HKT)

On July 1, 2013 the 27-nation European Union will become 28. But is the Adriatic country ready to join Europe's elite club?

Read More..

US scholar urges dramatic rethink on Taiwan

WASHINGTON: With Beijing growing in strength, a US scholar is calling for a major rethink on Taiwan in which the island would cut its troop numbers in half and rebrand its army as a self-defence force.

The proposal marks a rare break from the conventional view of American and Taiwanese policymakers that the island needs to close the military gap with Beijing, but its author said an opposite course could strengthen Taipei.

Scott Bates, president of the Washington-based Center for National Policy, said the balance was "irretrievably shifting" in China's favor and it was politically and economically unrealistic that Taiwan would commit enough to close the gap.

Instead, Taipei can take the lead by halving the size of its army, rebranding it as a Self-Defence Force in the style of Japan and renouncing any military action on mainland China's soil, he argued.

"If Taiwan were to take a bold step like this, that would change perceptions on the mainland and perhaps win some popular support for the Taiwanese position," said Bates, a former congressional aide.

"If there were a showdown, it might make (Beijing) think twice."

Taiwan should turn the new force into a disaster response team ready to deploy throughout Asia and also highlight the island's democracy through a major initiative that supports civil society across the continent, Bates said.

And instead of waging a battle to preserve a dwindling number of nations' recognition of Taipei instead of Beijing, Taiwan can use its diplomatic resources to seek solutions on Asia's bitter territorial disputes, he said.

The new Taiwanese approach would give the island the moral high ground, winning over global opinion and ensuring that China would appear to be the aggressor if it attacked, he argued.

"Mainland Chinese public opinion is beginning to matter more. The Chinese Communist Party cannot ignore its own people without repercussions," Bates said.

China considers Taiwan to be a territory awaiting reunification, by force if necessary. China's defeated nationalists fled to Taiwan after defeat by the communists in 1949, with the island developing into a self-ruling democracy.

The United States switched recognition from Taipei to Beijing in 1979 but at the same time Congress passed the Taiwan Relations Act, which requires Washington to provide the island with means to defend itself.

Bates said that his proposal would complement efforts by Taiwan President Ma Ying-jeou, who has sought to ease tensions with China by expanding economic ties, though domestic critics accuse Ma of jeopardising the island's de facto independence.

Bates supported the continuation of the Taiwan Relations Act, saying the island needed a credible deterrent. While cutting its army, Bates called for Taiwan to launch a major upgrade of its air defences and navy to show that any effort to gain supremacy over the island would be costly.

The Taiwan Relations Act enjoys virtually unanimous support in the US Congress, where lawmakers have pressed President Barack Obama to sell to the island new F-16 jets - a step that China strongly opposes.

Bates' ideas, however, are unlikely to win quick support.

Joseph Bosco, a former Pentagon official, sharply criticised the proposal, saying it went against accepted concepts of deterrence and that Taiwan already had the moral high ground.

"Taiwan does not need to disarm unilaterally in order to prove its moral or political legitimacy," Bosco said on Wednesday at an event where Bates presented his proposal.

Bates, who spoke last year at Taiwan's National Defence University and wrote an opinion piece in the Taipei Times, said he wanted to start a debate.

"It doesn't have to be my plan, but there does have to be a strategic rethink," he said.

- AFP

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Ship that hit reef too damaged to tow

The USS Guardian sits aground on the Tubbataha Reef earlier this week.

STORY HIGHLIGHTS

• The USS Guardian has several holes in its hull, admiral says


• The 1,300-ton minesweeper will have to be lifted onto a barge


• The ship damaged more than 10,000 square feet of the Tubbataha Reef


• The reef is a UNESCO World Heritage Site

(CNN) -- The U.S Navy minesweeper that grounded on a Philippine reef last week has taken on water and sustained too much damage to be towed off, the Navy says.

"It's got hull penetrations in several places, and there is a significant amount of water inside the ship," Rear Adm. Tom Carney said at a briefing Thursday.

The Navy said it will use ship-borne cranes and heavy-lift vessels to lift the minesweeper, the USS Guardian, off the Tubbataha Reef.

"As the crane ships arrive, we will take items off the Guardian to lighten the weight of the ship so we are able to remove it from the reef," Carney said. "The option that we had hoped to tow the ship off the reef is not available. The ship is too badly damaged."

The Guardian would be removed from the area on a barge or other ship, Carney said.

"The ship cannot move on its own, and it is not operational," he said.

The 224-foot-long,1,312-ton ship was on its way from Subic Bay, Philippines, to its next port call in Indonesia when it struck the reef, about 80 miles (130 kilometers) east-southeast of Palawan Island in the Sulu Sea, on January 17.

Initial efforts to free the Avenger-class mine countermeasures ship at high tide were unsuccessful. Its crew of 79 was evacuated to other vessels, and the ship was battered by waves that pushed it farther onto the reef.

Carney said the Guardian now rests about 20 to 30 meters (22 to 33 yards) from the edge of the reef. Originally, only its bow was on the reef, but waves have now pushed the entire ship onto it.

Lt. Cmdr. James Stockman, a Navy spokesman in Manila, said Friday that the heavy-lift vessels would arrive at the grounding site in about a week. The guided missile destroyer USS Mustin, the oceanographic survey ship USNS Bowditch and the rescue and salvage ship USNS Salvor, as well as tugboats and Philippine navy and coast guard vessels, are on station, he said in an e-mail to CNN.

"Extracting the ship safely, while minimizing further damage to the reef, is a very complex process that requires careful and detailed planning and specialized equipment," Stockman said. "Although we are moving as expeditiously as possible, we want to ensure it is done safely while minimizing damage to the reef and surrounding environment."

It could take two weeks to remove the Guardian from the reef, Carney said.

"We are committed to moving the ship from the reef as soon as possible. ... That is the focus of all our efforts," he said.

The Navy said Friday that the ships on station have removed about 15,000 gallons of diesel fuel from the Guardian.

Carney said there have been no signs of oil or fuel leaking into the waters above the reef, which is a Philippine national park and UNESCO World Heritage Site.

The reef is home to a vast array of sea, air and land creatures, as well as sizable lagoons and two coral islands. About 500 species of fish and 350 species of coral can be found there, as can whales, dolphins, sharks, turtles and one of the last surviving colonies of breeding seabirds in the region, according to UNESCO.

Philippine officials said this week that the Philippines would seek compensation for damage to the reef. About 1,000 square meters (about 10,760 square feet) of the reef have been damaged.

"It's a damage to a world heritage site. It's a damage to our natural resources. It's a damage to an important site. We cannot but put emphasis on the importance of this reef as a heritage site," presidential spokesman Edwin Lacierda said.

He said the salvage operation must ensure that the reef sustains no further damage.

As to how the ship got stuck on the reef in the first place, Stockman said the Navy is looking at a number of factors.

He said the U.S. National Geospatial-Intelligence Agency, which prepares the digital navigation charts used by the Navy, has reported the location of the reef was misplaced on a chart by nine miles.

"The U.S. Navy investigation will review what charts Guardian was using. While this erroneous navigation chart data is important information, no one should jump to conclusions," Stockman said. "It is critical that the U.S. Navy conduct a comprehensive investigation that assesses all the facts and circumstances surrounding the Guardian grounding."

Read More..

Older smokers priced out of Obamacare?

Washington Millions of smokers could be priced out of health insurance because of tobacco penalties in President Obama's health care law, according to experts who are just now teasing out the potential impact of a little-noted provision in the massive legislation.

The Affordable Care Act — "Obamacare" to its detractors — allows health insurers to charge smokers buying individual policies up to 50 percent higher premiums starting next Jan. 1.

For a 55-year-old smoker, the penalty could reach nearly $4,250 a year. A 60-year-old could wind up paying nearly $5,100 on top of premiums.

Younger smokers could be charged lower penalties under rules proposed last fall by the Obama administration. But older smokers could face a heavy hit on their household budgets at a time in life when smoking-related illnesses tend to emerge.

Workers covered on the job would be able to avoid tobacco penalties by joining smoking cessation programs, because employer plans operate under different rules. But experts say that option is not guaranteed to smokers trying to purchase coverage individually.

Nearly one of every five U.S. adults smokes. That share is higher among lower-income people, who also are more likely to work in jobs that don't come with health insurance and would therefore depend on the new federal health care law. Smoking increases the risk of developing heart disease, lung problems and cancer, contributing to nearly 450,000 deaths a year.

Insurers won't be allowed to charge more under the overhaul for people who are overweight, or have a health condition like a bad back or a heart that skips beats — but they can charge more if a person smokes.

Starting next Jan. 1, the federal health care law will make it possible for people who can't get coverage now to buy private policies, providing tax credits to keep the premiums affordable. Although the law prohibits insurance companies from turning away the sick, the penalties for smokers could have the same effect in many cases, keeping out potentially costly patients.

"We don't want to create barriers for people to get health care coverage," said California state Assemblyman Richard Pan, who is working on a law in his state that would limit insurers' ability to charge smokers more. The federal law allows states to limit or change the smoking penalty.

"We want people who are smoking to get smoking cessation treatment," added Pan, a pediatrician who represents the Sacramento area.

Obama administration officials declined to be interviewed for this article, but a former consumer protection regulator for the government is raising questions.

"If you are an insurer and there is a group of smokers you don't want in your pool, the ones you really don't want are the ones who have been smoking for 20 or 30 years," said Karen Pollitz, an expert on individual health insurance markets with the nonpartisan Kaiser Family Foundation. "You would have the flexibility to discourage them."

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Unplanned Pregnancies Hurt Military Women

Women in the military have access to some of the nation's best health care, which includes free birth control. But a new study shows that many women are not using it and the rate of unintended pregnancy is double that of the general population.

And today, with the Department of Defense having just ended its longtime ban on women serving in combat roles, an unplanned pregnancy could have wider ramifications not only for a woman's health, but for her opportunities for advancement.

An estimated 10.5 percent of active duty women, ages 18 to 44, reported an unplanned pregnancy in the prior 12 months in 2008, the last year for which there are statistics, according to researchers at Ibis Reproductive Health, a nonprofit organization that supports women's sexual and reproductive rights.

That number was higher than in 2005, when the rate was 9.7 percent.

In the non-military population, about 5.2 percent of women of reproductive age report an unintended pregnancy each year, according to the study, published this week in the February issue of Obstetrics and Gynecology.

The Ibis study was based on surveys of more than 7,000 active-duty women; the statistics were obtained from the Department of Defense under the Freedom of Information Act. Rates were equal among those women who were deployed and those serving stateside.

Women make up 202,400 of the U.S. military's 1.4 million active duty personnel; more than 280,000 women have deployed over the last decade to Iraq and Afghanistan.

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"It's terrific that women are getting recognition for their role in combat missions and are being considered for all types of promotions in the armed services," said lead author Kate Grindlay, senior project manager at Ibis. "But for women to reach their potential, they must be able to access birth control for their personal health and well-being."

Military warned to maintain readiness as women move toward combat.

About 900 women had been unable to deploy in the past year due to a pregnancy, either planned or unplanned, according to the study. The highest rates were among younger women with less education who were either married or cohabitating, researchers said.

The authors of the study say that an unwanted pregnancy not only disrupts a woman's military career, but takes a toll on military readiness because pregnant women cannot be deployed or must be evacuated from war zones. They say the military needs to take a more "comprehensive approach" to address the problem.

A July 2012 Ibis study, based on women deployed over the last decade, revealed they face a variety of barriers to accessing contraception.
Women said they did not speak with a military medical provider about birth control before they deployed overseas -- either it was never offered or the woman never asked.

Military policies that forbid sexual activity between fellow service members "led some women to think contraception was not available or not needed," said the report.

Others said they had trouble getting preferred types of birth control -- the IUD, for example -- or adequate supplies before deployment.

"In addition to these access barriers, the high rate of sexual assault in the military also puts women at risk of unintended pregnancy," said the July study.

New documentary explores rape in the military.

Abortions are only provided at military hospitals in cases of rape, incest or life endangerment. A woman must either risk an abortion at a local hospital during deployment or be sent home. Tricare, the military insurance plan, does not cover an abortion.

"Women who are deployed in Iraq wouldn't have any abortion options and must be evacuated and it could compromise confidentiality and access to care," said Grindlay.

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Neanderthal cloning? Pure fantasy

A display of a reconstruction of a Neanderthal man and boy at the Museum for Prehistory in Eyzies-de-Tayac, France.

STORY HIGHLIGHTS

• Arthur Caplan: It would be unethical to try and clone a Neanderthal baby


• Caplan: Downsides include a good chance of producing a baby that is seriously deformed


• He says the future belongs to what we can do to genetically engineer and control microbes


• Caplan: Microbes can make clean fuel, suck up carbon dioxide, clean fat out of arteries

Editor's note: Arthur Caplan is the Drs. William F and Virginia Connolly Mitty professor and director of the Division of Bioethics at New York University Langone Medical Center.

(CNN) -- So now we know -- there won't be a Neanderthal moving into your neighborhood.

Despite a lot of frenzied attention to the intentionally provocative suggestion by a renowned Harvard scientist that new genetic technology makes it possible to splice together a complete set of Neanderthal genes, find an adventurous surrogate mother and use cloning to gin up a Neanderthal baby -- it ain't gonna happen anytime soon.

Nor should it. But there are plenty of other things in the works involving genetic engineering that do merit serious ethical discussion at the national and international levels.

Arthur Caplan

Some thought that the Harvard scientist, George Church, was getting ready to put out an ad seeking volunteer surrogate moms to bear a 35,000-year-old, long-extinct Neanderthal baby. Church had to walk his comments back and note that he was just speculating, not incubating.

Still cloning carries so much mystery and Hollywood glamour thanks to movies such as "Jurassic Park," "The Boys From Brazil" and "Never Let Me Go" that a two-day eruption of the pros and cons of making Neanderthals ensued. That was not necessary. It would be unethical to try and clone a Neanderthal baby.

Why? Because there is no obvious reason to do so. There is no pressing need or remarkable benefit to undertaking such a project. At best it might shed some light on the biology and behavior of a distant ancestor. At worst it would be nothing more than the ultimate reality television show exploitation: An "Octomom"-like surrogate raises a caveman child -- tune in next week to see what her new boyfriend thinks when she tells him that there is a tiny addition in her life and he carries a small club and a tiny piece of flint to sleep with him.

The downsides of trying to clone a Neanderthal include a good chance of killing it, producing a baby that is seriously deformed, producing a baby that lacks immunity to infectious diseases and foods that we have gotten used to, an inability to know what environment to create to permit the child to flourish and a complete lack of understanding of what sort of behavior is "normal" or "appropriate" for such a long-extinct cousin hominid of ours.

When weighed against the risks and the harm that most likely would be done, it would take a mighty big guarantee of benefit to justify this cloning experiment. I am willing to venture that the possible benefit will never, ever reach the point where this list of horrible likely downsides could be overcome.

Even justifying trying to resurrect a woolly mammoth, or a mastodon, or the dodo bird or any other extinct animal gets ethically thorny. How many failures would be acceptable to get one viable mastodon? Where would the animal live? What would we feed it? Who would protect it from poachers, gawkers and treasure hunters? It is not so simple to take a long dead species, make enough of them so they don't die of isolation and lack of social stimulation and then find an environment that is close enough and safe enough compared with that which they once roamed.

In any event the most interesting aspects of genetic engineering do not involve making humans or Neanderthals or mammoths. They involve ginning up microbes to do things that we really need doing such as making clean fuel, sucking up carbon dioxide, cleaning fat out of our arteries, giving us a lot more immunity to nasty bacteria and viruses and helping us make plastics and chemicals more efficiently and cheaply.

In trying to make these kinds of microbes, you can kill all you want without fear of ethical condemnation. And if the new bug does not like the environment in which it has to exist to live well, that will be just too darn bad.

The ethical challenge of this kind of synthetic biology is that it can be used by bad guys for bad purposes. Biological weapons can be ginned up and microbes created that only infect people with certain genes that commonly associate with racial or ethnic groups.

Rather than worry about what will happen to real estate values should a new crop of "Flintstones" move in down the street, our public officials, religious groups and ethicists need to get serious about how much regulation the genetic engineering of microbes needs, how can we detect what terrorists might try to use, what sort of controls do we need to prevent accidents and who is going to pay if a bug turns out to cause more harm than good.

We love to think that the key to tomorrow lies in what humanity can be designed or empowered to do. Thus, the fascination with human cloning. In reality, at least for a long time to come, the future belongs to what we can do to design and control microbes. That is admittedly duller, but it is far better to follow a story that is true than one such as Neanderthal cloning that is pure, speculative fantasy.

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The opinions expressed in this commentary are solely those of Arthur Caplan.

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Keppel Corp's net profit falls 22% on-year in Q4

SINGAPORE: Falling margins from building oil rigs has hit the bottomline of Keppel Corp.

Net profit for the world's leading rig builder fell 22 per cent on-year to S$305 million in the fourth quarter last year.

Still, full year profit for the conglomerate came in 15 per cent to S$2.24 billion.

Despite lower net profit in the three months ended Dec 31, Keppel Corp still declared a final dividend of 27 cents per share.

As part of its 45th anniversary, Keppel Corp is handing out more goodies to its shareholders.

The company has proposed to distribute one Keppel REIT unit for every five Keppel Corp shares.

That is about 27.4 cents per share based on Keppel REIT's closing price of S$1.37 on Thursday.

Together with the interim dividend of 18 cents, total distribution for 2012 will be 72.4 cents per share.

Keppel Corp said the lower net profit was partly due to lower contributions from its offshore and marine unit.

Offshore and Marine's contribution was 12 per cent lower from a higher base in 2011 when margins were at record highs. It contributes to half of Keppel Corp's net profits.

"Keen rivalry from Chinese and Korean yards have suppressed prices and squeezed margins on newbuilds," said Choo Chiau Beng, chief executive officer at Keppel Corp. "In 2013, we will be completing a record of 22 newbuild units."

Analysts remained upbeat of Keppel's prospects going forward.

They say their financial results still outperformed market expectations.

Keppel Corp expects crude oil prices to stay above US$100 per barrel, supporting the need for more global exploration and production.

But global challenges like the slower US economy and the eurozone crisis from last year will continue to pose uncertainties for Keppel Corp's business.

Keppel Corp's property arm, led by the listed Keppel Land, boosted the group's earnings.

Net profit for the property division was 2.5 times higher than in 2011, offsetting the lower earnings from business in the offshore and marine, and infrastructure.

But Keppel Corp does not expect its property arm to perform better this year.

This is because recognition from sales of completed units at its development Reflections at Keppel Bay is expected to be lower this financial year.

- CNA/xq

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North Korea makes new threats against U.S.

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

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Kim Jong Un and his military

Kim Jong Un and his military

Kim Jong Un and his military

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STORY HIGHLIGHTS

• NEW: North Korea is upset by a recent U.N. security council resolution, an analyst says


• Pyongyang says it plans a new nuclear test and further long-range rocket launches


• These are part of an "all-out action" targeting the U.S., it says


• North Korea has conducted two previous nuclear tests, in 2006 and 2009

Seoul, South Korea (CNN) -- North Korea said Thursday that it plans to carry out a new nuclear test and more long-range rocket launches, all of which it said are a part of a new phase of confrontation with the United States.

The North's National Defense Commission said the moves would feed into an "upcoming all-out action" that would target the United States, "the sworn enemy of the Korean people."

Read more: U.N. Security Council slams North Korea, expands sanctions

Carried by the state media, the comments are the latest defiant flourish from the reclusive North Korean regime, whose young leader Kim Jong Un has upheld his father's policy of pursuing a military deterrent and shrugging off international pressure.

The defense commission statement follows a United Nations Security Council resolution on Tuesday that the United States pushed for, condemning a recent recent rocket launch by North Korea and expanded existing sanctions.

Read more: North Korea silences doubters, raises fears with rocket launch

The North's angry statement "should have been the expected outcome" from the U.N. decision, said Daniel Pinkston, senior analyst for the International Crisis Group covering Northeast Asia.

"I think they are completely outraged and insulted by it," he said.

Read more: N. Korea's launch causes worries about nukes, Iran and the Pacific

North Korea, which often issues bellicose statements in its state media, said Thursday that it rejected all Security Council resolutions concerning it.

It described this week's resolution as "the most dangerous phase of the hostile policy toward the DPRK," using the abbreviated version of its official name, the Democratic People's Republic of Korea.

Read more: U.S. official: North Korea likely deceived U.S., allies before launching rocket

Analyst: Threat meant as a deterrence

The threats toward the United States, a constant theme in the North's propaganda, have more to do with deterrence than a desire for full conflict, Pinkston said.

"I don't believe they have the capability, the intention or the will to invade or destroy the United States," he said. "They wish to deter interference from the U.S. or any outside powers."

Read more: North Korea's rocket launches cost $1.3 billion

North Korea's successful rocket launch last month nonetheless changed the strategic calculations for the United States, showing that the North's missile program is advancing despite an array of heavy sanctions imposed on it.

Analysts say it still has a lot of work to do to master the technology necessary to mount a nuclear warhead on missile or accurately target it.

Read more: South Korean officials: North Korean rocket could hit U.S. mainland

At the same time, Pyongyang has been hinting for a while that a new nuclear test could be in the cards.

Just before the North sent out its latest hostile statement Thursday, a U.S. State Department official was telling reporters in Seoul that Washington hoped that Pyongyang wouldn't go ahead.

Read more: Huge crowds gather in North Korean capital to celebrate rocket launch

"We think that that would be a mistake, obviously," said Glyn Davies, the U.S. special envoy on North Korea. "We call on North Korea, as does the entire international community, not to engage in any further provocations."

North Korea has carried out two previous nuclear tests, in 2006 and 2009, both of which were condemned by the U.N.

Pyongyang didn't say Thursday when exactly it would carry out a third test, but it could happen "at any time," according to Pinkston.

He said that it was hard for anybody outside the North Korean nuclear sector to know if the country is technically ready to carry out the test, but that politically, "it seems an appropriate time."

Demands unlikely to sway North

South Korean defense officials said last year that they believed the North had been in a position to carry out a new test whenever leaders in Pyongyang gave the green light.

North Korea's nuclear program is "an element of threat to peace not only for Northeast Asia but also for the world," Park Soo-jin, deputy spokeswoman for the South Korean Unification Ministry said Thursday.

"North Korea should immediately stop its nuclear test and other provocation and should choose a different path by cooperating with the international community," Park said.

That appears unlikely at this stage, though.

After a failed long-range rocket launch in April, North Korea ignored international condemnation and carried out a second attempt last month. That one succeeded in putting a satellite in orbit, Pyongyang's stated objective.

But the launch was widely considered to be a test of ballistic missile technology. And it remains unclear if the satellite, which the North insists is for peaceful purposes, is functional.

Both North Korea's previous nuclear tests took place weeks or months after long-range rocket launches.

Those tests were carried out under the rule Kim Jong Il, the father of the current leader, and the man who channeled huge amounts of money into North Korea's nuclear and missile development programs.

Kim Jong Il died in December 2011 after 17 years in power, during which the North Korean people became increasingly impoverished and malnourished.

Economically, the country relies heavily on trade with its major ally, China.

CNN's K.J. Kwon reported from Seoul, and Jethro Mullen from Hong Kong. CNN's David Hawley in Seoul contributed to this report.

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Polar air mass keeps icy grip on Northeast

PORTLAND, Maine Polar air settled in earnest over the Northeast after trekking through the Midwest, grinding trains to a halt, bursting pipes and bringing further misery to folks still trying to recover from superstorm Sandy.

The coldest temperatures were expected to continue Thursday, after which conditions should slowly moderate before returning to normal, said John Koch, a meteorologist with the National Weather Service regional headquarters in Bohemia, N.Y. For the most part, temperatures have been around 10 to 15 degrees below normal, with windy conditions making it feel colder, he said.

The Canadian air mass that arrived in the Upper Midwest over the weekend prompted the National Weather Service to issue wind chill warnings across upstate New York and northern New England.

In a storm-damaged neighborhood near the beach on New York City's Staten Island, people who haven't had heat in their homes since the late October storm took refuge in tents set up by aid workers. The tents were equipped with propane heaters, which were barely keeping up with the cold, and workers were providing sleeping bags and blankets for warmth.

The temperature was expected to dip to around 11 degrees before dawn Thursday.

Play Video

Sandy victims left in the cold

Anthony Gambino has been sleeping in one of the tents off and on since Sandy severely damaged his home, CBS News correspondent Elaine Quijano reports. The former mechanic lives on disability.

"Next week they're talking about getting warmer, but let's face it, we're going into February," said Gambino. "February is unpredictable. March is unpredictable. We may get worse. We may get better. Who knows? Right now, we gotta deal with the moment, and the moment is bad."

The University of South Dakota in Vermillion offered a third consecutive night of free hotel rooms to 500 students who had to leave when a water pipe froze over an electrical room and damaged components. The cold also caused circuit problems on the Metro-North railroad serving areas north of New York City, creating rush-hour delays that were resolved by late Wednesday morning.

In northern New Hampshire, a man who crashed his snowmobile while going over a hill on Tuesday and spent a "bitterly cold night" injured and alone on a trail died on Wednesday, the state's Fish and Game Department said. Friends who went looking for John Arsenault, of Shelburne, when he didn't show up for work found him unconscious Wednesday morning, and he died later at a hospital, authorities said.

In Pennsylvania, officials at a park on Lake Erie warned visitors to stay off hollow "ice dunes" forming along the shore because of the danger of frigid water underneath. A ski resort in New Hampshire shut down Wednesday because of unsafe ski conditions: a predicted wind chill of 48 degrees below zero.

In northern Maine, the temperature dipped to as low as 36 below zero Wednesday morning. The weather service was calling for wind chills as low as minus 45.

Keith Pelletier, the owner of Dolly's Restaurant in Frenchville, said his customers were dressed in multiple layers of clothing and keeping their cars running in the parking lot while eating lunch. It was so cold that even the snowmobilers were staying home, he said.

"You take the wind chill at 39 below and take a snowmobile going 50 mph, and you're about double that," he said. "That's pretty cold."

For Anthony Cavallo, the cold was just another in a litany of big and small aggravations that began when superstorm Sandy swept through his Union Beach, N.J., neighborhood and flooded his one-story house with 4 1/2 feet of water.

Still waiting for the go-ahead to rebuild, Cavallo and his family have been living in a trailer they purchased once it became clear they couldn't afford to rent.

Wednesday's frigid temperatures temporarily froze the trailer's pipes, which Cavallo's 14-year-old daughter discovered when she tried to take a shower at 4:30 a.m. Cavallo spent the morning thawing out the pipes and stuffing hay under the trailer to help insulate them.

"Every day it's something, whether it's frozen pipes or getting jerked around for two months by insurance companies," the 48-year-old security system installer said. "I just kind of want to wake up one day and have no surprises."

In New York City, food vendor Bashir Babury contended with bone-numbing cold when he set up his cart selling coffee, bagels and pastries at 3 a.m. Wednesday. On the coldest of days, he wears layers of clothing and cranks up a small propane heater inside his cart.

"I put on two, three socks, I have good boots and two, three jackets," he said. "A hat, gloves, but when I'm working I can't wear gloves."

A little cold air couldn't keep Jo Goodwin, of Bridgewater, N.H., off the slopes at Sugarloaf ski resort in Carrabassett Valley, Maine, where she was skiing Wednesday with her husband and her sister. The snow conditions were great, and there were no lift lines.

To keep warm, she uses a toe warmer, a hand warmer, a face mask, extra underwear and an extra wool sweater. She was told the wind chill was minus 30 midway up the mountain and 50 below zero near the top.

"Sometimes," she said, "it's better not to know."

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Exterminator Charged in Pa. Doctor's Murder

An exterminator named Joseph Smith was arrested and charged today in the strangling and burning death of Philadelphia pediatrician Melissa Ketunuti.

Smith, 36, had been sent to Ketunuti's home on a service call where the two got into "some kind of argument" in Ketunuti's basement on Monday, Capt. James Clark of the Philadelphia police department said this morning.

"At her home they got into an argument. It went terribly wrong. He struck her, and knocked her to the ground," Clark said. "Immediately he jumped on top of her, started strangling her. She passed out, and then he set her body on fire."

Clark said Smith burned the woman's body "to hide evidence like DNA." He said "at some point, he bound her up." The doctor was found with her hands and feet tied behind her back.

The captain said that before today's arrest Smith's record consisted of only "minor traffic offenses."

Philadelphia Doctor's Murder Leaves Police Baffled Watch Video

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Police received a call from Ketunuti's dog-walker about the house fire around 12:30 p.m. Monday, and once inside found Ketunuti with her hands and feet bound. They believe Smith hit her and strangled her with a rope, causing her to pass out, and then bound her body and set fire to it in order to destroy evidence, including DNA evidence.

Ketunuti, 35, was fully clothed and police do not believe she was sexually assaulted.

She was a doctor at Children's Hospital of Philadelphia and had lived alone in the Graduate Hospital neighborhood of the city for about three years.

Clark said that homicide detectives scoured the neighborhood for surveillance videos from nearby stores and businesses, and through the video identified the suspect.

Smith was spotted on video getting out of the vehicle and following Ketunuti to her home. The man left her home after an hour and was seen on video circling her home.

Detectives drove to Clark's home in Levittown, Pa., outside of Philadelphia where he lives with a girlfriend and her child, on Wednesday night and brought him back to the Philadelphia police station.

A silver Ford truck was towed from Smith's home, which was the same truck spotted on surveillance video Monday in Ketunuti's neighborhood, sources told ABC News affiliate WPVI.

There, he gave statements that led police to charge him with the murders, Clark said.

Smith will face charges of murder, arson, and abuse of a corpse.

Ketunuti's hospital issued a statement Tuesday that she was "a warm, caring, earnest, bright young woman with her whole future ahead of her," adding that she will be deeply missed.

"[She was] super pleasant, really nice," one neighbor said. "Just super friendly."

Read More..

2013 could be 'climate game-changer'

An ice sculpture entitled 'Minimum Monument' by Brazilian artist Nele Azevedo outside Berlin's Concert Hall, September 2, 2009.

STORY HIGHLIGHTS

• The "neglected" risk of climate change seems to be rising to the top of leaders' agendas


• Extreme weather events are costing the global economy billions of dollars each year


• Gas can be an important bridge to a lower carbon future but it's not the answer


• More investment in renewable energy is needed, with fewer risks

Editor's note: Andrew Steer is President and CEO of the World Resources Institute, a think tank that works with governments, businesses and civil society to find sustainable solutions to environmental and development challenges.

(CNN) -- As leaders gather for the World Economic Forum in Davos, signs of economic hope are upon us. The global economy is on the mend. Worldwide, the middle class is expanding by an estimated 100 million per year. And the quality of life for millions in Asia and Africa is growing at an unprecedented pace.

Threats abound, of course. One neglected risk -- climate change -- appears to at last be rising to the top of agendas in business and political circles. When the World Economic Forum recently asked 1,000 leaders from industry, government, academia, and civil society to rank risks over the coming decade for the Global Risks 2013 report, climate change was in the top three. And in his second inaugural address, President Obama identified climate change as a major priority for his Administration.

Andrew Steer

For good reason: last year was the hottest year on record for the continental United States, and records for extreme weather events were broken around the world. We are seeing more droughts, wildfires, and rising seas. The current U.S. drought will wipe out approximately 1% of the U.S. GDP and is on course to be the costliest natural disaster in U.S. history. Damage from Hurricane Sandy will cost another 0.5% of GDP. And a recent study found that the cost of climate change is about $1.2 trillion per year globally, or 1.6% of global GDP.

Shifting to low-carbon energy sources is critical to mitigating climate change's impacts. Today's global energy mix is changing rapidly, but is it heading in the right direction?

Coal is the greatest driver of carbon dioxide emissions from energy, accounting for more than 40% of the total worldwide. Although coal demand is falling in the United States -- with 55 coal-powered plants closed in the past year -- it's growing globally. The World Resources Institute (WRI) recently identified 1,200 proposed new coal plants around the world. And last year, the United States hit a record-high level of coal exports—arguably transferring U.S. emissions abroad.

Meanwhile, shale gas is booming. Production in the United States has increased nearly tenfold since 2005, and China, India, Argentina, and many others have huge potential reserves. This development can be an economic blessing in many regions, and, because carbon emissions of shale gas are roughly half those of coal, it can help us get onto a lower carbon growth path.

However, while gas is an important bridge to a low carbon future—and can be a component of such a future—it can't get us fully to where we need to be. Greenhouse gas emissions in industrial countries need to fall by 80-90% by 2050 to prevent climate change's most disastrous impacts. And there is evidence that gas is crowding out renewables.

Renewable energy -- especially solar and wind power -- are clear winners when it comes to reducing emissions. Unfortunately, despite falling prices, the financial markets remain largely risk-averse. Many investors are less willing to finance renewable power. As a result of this mindset, along with policy uncertainty and the proliferation of low-cost gas, renewable energy investment dropped 11%, to $268 billion, last year.

What do we need to get on track?

Incentivizing renewable energy investment

Currently, more than 100 countries have renewable energy targets, more than 40 developing nations have introduced feed-in tariffs, and countries from Saudi Arabia to South Africa are making big bets on renewables as a growth market. Many countries are also exploring carbon-trading markets, including the EU, South Korea, and Australia. This year, China launched pilot trading projects in five cities and two provinces, with a goal of a national program by 2015.

Removing market barriers

Despite growing demand for renewable energy from many companies, this demand often remains unmet due to numerous regulatory, financial, and psychological barriers in the marketplace.

In an effort to address these, WRI just launched the Green Power Market Development Group in India, bringing together industry, government, and NGOs to build critical support for renewable energy markets. A dozen major companies from a variety of sectors—like Infosys, ACC, Cognizant, IBM, WIPRO, and others— have joined the initiative. This type of government-industry-utility partnership, built upon highly successful models elsewhere, can spur expanded clean energy development. It will be highlighted in Davos this week at meetings of the Green Growth Action Alliance (G2A2).

De-risking investments

For technical, policy, and financial reasons, risks are often higher for renewables than fossil-based energy. Addressing these risks is the big remaining task to bring about the needed energy transformation. Some new funding mechanisms are emerging that can help reduce risk and thus leverage large sums of financing. For example, the Green Climate Fund could, if well-designed, be an important venue to raise funds and drive additional investments from capital markets. Likewise, multi-lateral development banks' recent $175 billion commitment to sustainable transport could help leverage more funds from the private and public sectors.

Some forward-looking companies are seeking to create internal incentives for green investments. For example, companies like Unilever, Johnson & Johnson, and UPS have been taking actions to reduce internal hurdle rates and shift strategic thinking to the longer-term horizons that many green strategies need.

Davos is exactly the type of venue for finding solutions to such issues, which requires leadership and coalition-building from the private and public sectors. For example, the the G2A2, an alliance of CEOs committed to addressing climate and environmental risks, will launch the Green Investment Report with precisely the goal of "unlocking finance for green growth".

Depending on what happens at Davos—and other forums and meetings like it throughout the year—2013 could just be a game-changer.

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The opinions expressed in this commentary are solely those of Andrew Steer.

Read More..

Japan presses Algeria for answers as toll hits nine

ALGIERS: A senior Japanese official met Algeria's prime minister on Wednesday to press for an explanation of the gas plant siege, as Tokyo confirmed the deaths of two more nationals, taking its toll to nine.

Senior Vice Foreign Minister Shunichi Suzuki arrived aboard a government jet that is to repatriate the bodies of those known to have been killed in the hostage crisis, along with the seven Japanese who survived.

Tokyo announced late Wednesday that it knew for sure that nine Japanese were killed after Islamist gunmen overran the desert facility. One Japanese citizen remains unaccounted for.

"Unfortunately, we have been able to confirm two more deaths," said Chief Cabinet Secretary Yoshihide Suga. "The Japanese government expresses sincere condolences to the families and people concerned."

"The use of violence cannot be tolerated for any reason. We firmly condemn acts of terror," he said adding the government would do its utmost to confirm the fate of the final missing person.

Seventeen Japanese were at the facility in In Amenas when jihadists struck last Wednesday at the start of a four-day siege that left dozens of foreigners dead. Seven of them made it to safety.

Suzuki carried a letter to Algerian President Abdelaziz Bouteflika from Japan's Prime Minister Shinzo Abe, Suga told reporters in Tokyo earlier.

As well as Prime Minister Abdelmalek Saleki, Suzuki also met Foreign Minister Mourad Medelci, Japan's Kyodo News reported, citing Tokyo's foreign ministry.

Japan has asked Algeria to fully investigate events at the gas plant and exactly how individuals died, Suga said in Tokyo.

"Algeria has promised to cooperate as much as possible," he said.

Algeria has said 37 foreigners of eight different nationalities and an Algerian were killed in the siege, which ended on Saturday.

Several people are still missing and the bodies of others are so badly charred that they have not been identified.

Wednesday's visit came as it emerged that Britain, Japan, the United States and other countries whose nationals were caught up in the events at the In Amenas plant issued a joint demarche to Algeria last Friday.

A demarche is a formal diplomatic move in which a country's stance is conveyed in person -- rather than by note -- to another government.

In a conference telephone call, vice foreign minister Minoru Kiuchi told foreign minister Medelci that Tokyo wanted Algiers to do all it could to protect captives.

"Japan is strongly concerned about acts that put the lives of the hostages at risk, and it is regrettable that the Algerian government pressed military rescue operations," he said, according to the foreign ministry.

Japan was among the more forthright of nations as the hostage crisis unfolded, summoning Algiers' ambassador to demand answers and to push for military restraint as armed forces surrounded the plant.

The Japanese plane's arrival in Algiers came as Tokyo announced it was shutting its embassy in neighbouring Mali, evacuating staff and urging its nationals there to leave because of the deteriorating security situation.

The kidnappers claimed they launched their attack in protest at Algeria's complicity in a French military campaign against Islamists in Mali.

The Japanese death toll in Algeria -- the highest in a terror attack since Al-Qaeda crashed airliners into New York's Twin Towers when 24 Japanese died -- has shaken a country not accustomed to its citizens being made targets abroad.

There has been blanket media coverage of events half a world away and anguished demands for more to be done to protect Japanese working in trouble spots, including beefing up spy networks.

Kyodo on Wednesday said Suga indicated Tokyo's willingness to consider increasing the number of defence attaches at Japanese embassies to strengthen the country's ability to gather information.

"I am aware of the need. We need to think about the most effective (crisis-response) measures," Suga said.

-AFP/ac

Read More..

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Deep freeze grips Midwest, slides toward Northeast

MADISON, Wis. The Upper Midwest remained locked in a deep freeze Wednesday as the bitter temperatures crept eastward where at least one mountain resort warned it was too cold even to ski.

Overnight, ice-covered Chicago firefighters spent hours fighting a massive fire at a warehouse on the city's South Side, hindered by the single digit chill.

The cold snap arrived Saturday night as waves of Arctic air swept south from Canada, pushing temperatures to dangerous lows and leaving a section of the country well-versed in winter's pains reeling. The National Weather Service said states from Ohio through to the far northeast of Maine could expect to be slammed by that Arctic blast on Wednesday.

The numbers so far are chilling in themselves: 35 below at Crane Lake, Minn., on Tuesday; Embarrass, Minn., at 36 below on Monday; and Babbitt, Minn., at 29 below on Sunday, according to the National Weather Service.

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Frigid weather could precede Northeast snowstorm

Meteorologist Mike Augustyniak, of CBS station WCCO, says the overall weather pattern won't change Wednesday and Thursday "with really cold stuff settled in across the Northeast and now back again to the Upper Midwest."

But he added that the Northeast could get a nasty surprise at the end of this cold snap.

"By the weekend, a (warmup) will be happening. But as that happens, late Friday into Saturday, there could actually be several inches of snow moving through the mid-Atlantic," Augustyniak reports.

The weather service issued a wind chill warning for Wednesday in the far north of Maine. In Presque Isle and Caribou, temperatures are not expected to rise above 7 below. And the wind chill could make it feel more like 40 below. Vermont was similarly afflicted, with wind chill advisories and highs peaking in the single digits. Forecasters said Boston and New York City could expect temperatures in the double digits, but that the wind chill would make it feel 5 below. And in mid-Massachusetts, high winds up to 30 mph in Worcester will add to the weather misery.

At least one ski resort in New Hampshire was planning to close Wednesday and Thursday because of the extraordinary cold. Wildcat Mountain in the White Mountains region said it was expecting temperatures in the negative double digits and a wind chill of 48 degrees below zero — conditions that would not be safe for guests or employees on the slopes.

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Deadly freeze grips Midwest

Late Tuesday, some 170 Chicago firefighters — approximately one third of the city's fire department — turned out in frigid temperatures to battle a blaze at a warehouse on the South Side. Officials said the fire prompted the department's biggest response in recent years, according to The Chicago Sun-Times. Despite the scale of the fire, firefighters' soaked jackets and hats froze, and icicles formed and dangled from hoses and hydrants.

Authorities said exposure has played a role in at least four deaths.

On Sunday, a 70-year-old man was found frozen in his unheated home in Des Plaines, Ill. And in Green Bay, Wis., a 38-year-old man was found dead outside his home Monday morning. Authorities in both cases said the victims died of hypothermia and cold exposure, with alcohol a possible contributing factor.

A 77-year-old Illinois woman also was found dead near her car in southwestern Wisconsin on Saturday night, and a 61-year-old Minnesota man was pronounced dead at a hospital after he was found in a storage building Saturday morning.

The bitter conditions were expected to persist into the weekend in the Midwest through the eastern half of the U.S., said Shawn DeVinny, a National Weather Service meteorologist in suburban Minneapolis.

Ariana Laffey, a 30-year-old homeless woman, kept warm with a blanket, three pairs of pants and six shirts as she sat on a milk crate begging near Chicago's Willis Tower on Tuesday morning. She said she and her husband spent the night under a bridge, bundled up under a half-dozen blankets.

"We're just trying to make enough to get a warm room to sleep in tonight," Laffey said.

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