Chernobyl Reactor's Shelter in 'No Danger of Collapsing'

KIEV, Ukraine -- The crumbling concrete and steel shelter hastily erected over the destroyed nuclear reactor at Chernobyl is in no danger of collapsing, a senior Ukrainian official has said.

Fears have been growing that the shelter built 19 years ago after Chernobyl’s reactor No. 4 exploded and caught fire is deteriorating, which could lead to the release of dangerous radiation. Earlier this month, the West offered more money to the cash-strapped government to help fund a replacement.


Chernobyl Reactor No. 4 After Explosion in 1986
David Zhvania, head of the Emergency Situations Ministry, told Ukraine’s Channel 5 in an interview yesterday that construction work would begin within 18 months.

In the meantime, he insisted that the current shelter is safe.

“There is no danger that the shelter we currently have may break apart and cause a catastrophe,” he said. “Such a thing can’t happen. It’s excluded.”

Zhvania said that work will begin only after all preliminary plans are complete. The European Union and the Group of Eight industrial nations pledged a combined £101.5 million towards the project at a conference in London earlier this month. Ukraine has also promised to pay £12 million.

More than £329 million had been pledged earlier by 28 donor governments. Total costs are estimated at £550 million.

The protective shelter is meant to contain remnants of the reactor, which was the site of the world’s worst nuclear accident in 1986. The explosion spewed radiation over much of northern Europe. Some 4,400 people died and about seven million people in the former Soviet republics are believed to have suffered from radiation-related health problems.

Yuriy Andreev, the head of the Chernobyl Union action group, said that danger levels are still high because used fuel remains stored in the ground under reactor No. 4. Chernobyl’s remaining reactors were closed in 2000.

Officials say the proposed confinement structure – a 328ft-high steel arch spanning some 853ft – could be the largest moveable structure ever built. It is expected to be complete by 2009 and to last 100 years.

Source: Scotsman

Ukraine to Build New Sarcophagus Over Chernobyl Reactor

KIEV, Ukraine -- The construction of a new sarcophagus over the reactor of Ukraine’s Chernobyl nuclear power plant will be begun in one and a half years, Ukrainian Emergency Situations Minister David Zhvania said.

“There is no danger that the facility Shelter that we have at present can destroy and a catastrophe can happen. There can be no such thing, this is excluded,” he told reporters on Tuesday.


Existing Chernobyl Sarcophagus
The new facility that is to bury the reactor that exploded on April 26, 1986, for 100 years will be 257 meters long, 150 meters broad and 108 meters high.

In late April, Ukraine called on the work community to come with more substantial technical and financial assistance for overcoming the consequences of the Chernobyl nuclear accident, in particular increasing donations to the Shelter Foundation, as donor countries had promised.

Ukrainian Fuel and Energy Minister Ivan Plachkov said Ukraine needs increasing the bankrolling of the Shelter Foundation from 758 million dollars to 1.1 billion dollars.

The plan of action at the Shelter facility includes 93 contracts worth 326 million dollars, 241 million of which have been spent since the beginning of the shelter construction, Plachkov said.

The US promised to issue 45 million dollars and G-7 countries 160 million dollars to the Shelter Foundation.

Russia will contribute five million dollars in 2005 and five million in 2006

Source: ITAR-Tass

Russia Suffers Money Transfer Disappointment in Ukraine

MOSCOW, Russia -- The National Bank of Ukraine introduces a license system for money transfer before the end of this year, closing a key business profile for Russian banks. To get license in Ukraine, a paying system is to submit a certificate of its registration by place of establishment. This document is beyond the reach of Russian systems, as its is not required and, therefore, not issued under the laws of the country.

Justice Ministry of Ukraine sealed early May the ruling of the National Bank that requires from the banks operating with any international money transfer system to get registered with the said bank before close of this year. This move of Ukrainian bank followed FATF requirements, which added Ukraine to the list of countries favoring money laundering in 2002-2003.


National Bank of Ukraine
In particular, the banks are to submit to the National Bank of Ukraine documents confirming that their payment systems identify the clients transferring over $10,000. The banks also have to provide a copy of the registration certificate or any other certifying registration document issued by the foreign authority.

The above innovation can severely handicap the better part of the Russian money transfer systems. Under the Russian laws, the business of money transfer calls for no license, therefore, such systems are unable to provide registration certificates to their Ukrainian partners.

In Russia, all local money transfer systems, but for STB-Express that has a separate license, could be viewed as the bank product. Operating under clearing banks, they hold no licenses of the kind, said Igor Klyuchnikov, deputy chairman at Eurotrust and head of Migom system.

The loss of Ukrainian market will be quite sizable, like the loss of any key revenue. Ukraine could be called one of the most advantageous and profitable markets, specified Alexey Abromiitsev, head of the interbank ties department at Impexbank.

Source: Kommersant

Visas for Ukraine

BRUSSELS, Belgium -- “President Viktor Yushchenko has instructed the Foreign Ministry to see to it that Ukrainian nationals, who wish to travel to EU member-countries and Switzerland, enjoy simplified visa procedures,” said Deputy State Secretary Markian Lubkivskiy. According to Lubkivsky the task must be completed by September 2005 and should mean multiple five-year visas for Ukrainian citizens.

“Visa facilitation is a key priority. I believe that it will send a strong signal to Ukraine’s people,” said Benita Ferrero-Waldner, European Commissioner for External Relations and European Neighbourhood Policy. “I want to see an end to the frustrating, time-consuming, and expensive processes that make it so difficult for Ukrainians to visit us,” continued the Austrian EU Commissioner.

Speaking late last month in Brussels Ferrero-Waldner noted progress in talks: “We have already held several meetings with Ukraine to prepare the mandate for negotiating visa facilitation, and I hope the member states will also act quickly. This way we show that we really do see Ukrainians as our close partners and friends.” Visa regimes are expected to form part of the agenda at the Ukraine-EU Cooperation Council in Luxembourg on 13 June.

On 1 May, Ukraine unilaterally introduced a visa-free regime for EU nationals and Swiss citizens, partly to facilitate travel before and after the Eurovision song contest held in Kyiv. Although, the visa-free regime remains in effect until 1 September 2005, President Yushchenko wants to further extend the visa-free regime. Ukraine's State Statistics Committee has noted an increase in foreign tourists of 17 percent since visa rules were relaxed for EU and Swiss citizens.

According to Ukrainian President Viktor Yushchenko the measure underscores "... the truly open nature of Ukrainian society, implement the policy of integration into European society and create proper conditions for attracting investment." But keeping free travel for EU citizens will eventually mean allowing Ukrainians to enter the EU without visas.

The EU will need to beef up its border management, especially in new Member States, to meet the growing demands from its larger neighbors in the east, Russia and Ukraine, for visa-free travel. For more than ten years, borderless travel in 12 EU Member States, and now Norway, Iceland, and Switzerland, has been a fact of life following the Schengen Agreement. But whilst freedom of movement is one of the most basic rights for citizens of the EU, MEPs accuse Member States of failing to settle upon a common policy on migration and managing EU borders.

Assisting new members in adapting the future external borders, is the EU's so-called 'Schengen facility' with a budget of €960 million for the period 2004-06. "These funds are efficient and sufficient to implement the Schengen agreements before the end of 2007," notes Robert Rybicki, Justice and Home Affairs Counsellor at the Polish Representation to the EU. Additionally, an EU 'burden-sharing fund' of €2.5 billion could be shared among Member States according to criteria such as the length of their borders and how many visas are issued annually.

"EU citizens want freedom of movement. They should have minimum checks in the Schengen area," said MEP Michael Cashman. The UK socialist's report on the management of the EU's external borders will be voted upon in the European Parliament Strasbourg session in June. Cashman feels citizens from the new EU members may travel freely but still do not have full rights of free movement. "Border guards and third country nationals wishing to enter EU borders also need clarity. That's why the amendments I presented bring forward clarity, focus, certainty and accountability."

Whilst freedom of movement is one of the most basic rights for citizens of the EU, MEPs accuse Member States of failing to settle upon a common policy on migration and managing EU borders. The European Commission would like to see a 'principle of burden sharing' for border controls. An EU 'burden-sharing fund' of €2.5 billion could then be shared among Member States according to criteria such as the length of their borders and how many visas are issued annually.

For more than ten years, borderless travel in 12 EU Member States, and now Norway, Iceland, and Switzerland, has been a fact of life following the Schengen Agreement. Temporary restrictions on movement, though, remain in place for citizens from the ten new countries. They should, in theory, die out by the end of 2007, when the new members join the Schengen area of free travel. By then the new members should be ready to ensure common provisions on border management and to implement the new generation of the Schengen Information System.

Assisting new members in adapting the future external borders, is the EU's so-called 'Schengen facility' with a budget of €960 million for the period 2004-06. "These funds are efficient and sufficient to implement the Schengen agreements before the end of 2007," notes Robert Rybicki, Justice and Home Affairs Counsellor at the Polish Representation to the EU.

UK Socialist Cashman also wants a more human touch to third country nationals: "Third country nationals should have the right to enter the EU if all the entry conditions are met. First and second line checks should be done in a respectful and dignified manner by the border guards." He said national authorities should inform those rejected of the reasons for refusal, where possible in their own language.

The EU also needs to beef up its border management with growing demands from its larger neighbors in the east, Russia and Ukraine, to allow for visa-free travel. Ukraine last week scrapped visa requirements EU and Swiss citizens, at least until the end of September. According to Ukrainian President Viktor Yushchenko the measure underscores "... the truly open nature of Ukrainian society, implement the policy of integration into European society and create proper conditions for attracting investment." But keeping free travel for EU citizens will eventually mean allowing Ukrainians to enter the EU without visas.

In 2003, the Commission proposed the creation of a European Agency for External Borders to encourage cooperation between national border surveillance agencies. This was to have started work in January 2005, but this had been delayed as Member States could not agree on where the agency should be established - Budapest, Warsaw, Ljubljana, Valetta or Tallinn.

Source: Euro Reporters

Enlargement Risks Being Biggest Casualty of Vote

BRUSSELS, Belgium -- Future enlargement of the European Union to include Turkey, the Balkan states and even Ukraine could become the highest-profile casualty of France's No vote to the EU constitutional treaty, according to political and diplomatic observers in several member states.

Doubts about the enlargement process emerged as a central theme fuelling opposition to the treaty in both France and the Netherlands in recent weeks. This included not only hostility to the prospect of Turkish membership, but also criticism of the social and economic effects of last year's EU enlargement from 15 to 25 members.


'No' vote supporters celebrate after France voted against the ratification of the European constitution
As a result, the EU's plans for accession talks with Croatia, Turkey, Albania and the rest of former Yugoslavia have been thrown into varying degrees of doubt.

Bulgaria and Romania, which have already signed accession treaties to join in 2007, still have strong hopes of entering, although officials admitted yesterday they were facing "the most difficult phase of the process" requiring ratification by all 25 present members.

Ukraine, which was biding its time before making a formal application to join is in an even more tenuous position, as are long-shot hopefuls such as Georgia and Moldova. During the referendum campaign, many French voters expressed fears about central European workers with low wages taking French workers' jobs and factories moving from France to eastern Europe.

Yesterday, the European Commission tried desperately to disentangle worries about enlargement and the constitution. "The ratification of the constitution and future steps in enlargement policy are two separate procedures," said a spokeswoman for José Manuel Barroso, Commission president. But officials acknowledge the prospects for the continued expansion of the Union are looking poor.

Germany's Christian Democrats, favourites to win the federal election expected in September, have already indicated they may try to block the accession of Romania and Bulgaria, widely regarded as ill-prepared for the burdens of membership. The Christian Democratic Union also opposes Turkey's eventual membership.

Croatia, which was to have begun entry talks in March, is in a limbo of its own, after the EU said it had not co-operated enough in finding Ante Gotovina, an indicted war criminal. Nevertheless, Berlin and a group of central European states champion Zagreb's cause.

Meanwhile, the countries of the western Balkans - Serbia, Bosnia, Montenegro, Macedonia and Albania - risk becoming forgotten even though their small size could make them easier to accommodate than Turkey or Ukraine.

France's No vote creates particular problems for Poland, which is to keen to promote stability in the former Soviet republics on its border.

The Polish concern is that failure of the constitution would leave Europe too absorbed by its internal problems to use the lure of eventual membership to influence its neighbours.

Marek Belka, Poland's prime minister, said it would be difficult in the near future to conceive of any EU expansion: "That is so obvious you do not need diplomatic language to say so."

Ukraine's government played down the importance of the French vote, although Boris Tarasyuk, foreign minister, admitted it could delay further EU expansion. "The situation shouldn't be over-dramatised," he said. "The EU still exists and develops, and it hasn't become less attractive."

Source: Financial Times

Police Say Yanukovych Fails to Appear for Questioning

KIEV, Ukraine -- Ukrainian police said May 30 that former Prime Minister Viktor Yanukovych had failed to appear for questioning in connection with alleged mishandling of government funds, but Yanukovych's camp said he had not received a proper summons.

Yanukovych was summoned last week to testify as a witness about alleged illegal government donations amounting to some 4.8 million hryvnas ($950,000, 740,000 euros) for the overhaul of the airport in his eastern Ukrainian hometown, Donetsk.

"Yanukovych was summoned through media, including news agencies and all TV channels," said Valeriy Geletey, a police official. "We are waiting for an explanation."

Vyacheslav Chornovyl, a key Yanukovych ally, said Yanukovych had refused to appear before the investigators because "he and his lawyer did not receive a proper subpoena."

"The police move was a clear violation of Ukrainian laws. When and if he receives a proper subpoena he will testify," Chornovyl said.

Yanukovych's Party of Regions accused police of persecuting the government's political opponents.

"The authorities want to present the opposition as the people's enemy, and they are using the Internet and TV to summon opposition leaders for questioning," the statement said.

Olena Lukash, a Kyiv-based legal expert, described the police move as "abuse of power and apparent legal illiteracy of law enforcement bodies."

"Authorities can summon someone only through a subpoena and the ways and means of delivering it (the subpoena) are clearly defined by law," she said.

Yanukovych lost a bitterly-contested presidential election last year after the Supreme Court annulled his victory on grounds of massive fraud and ordered a revote that was won by pro-Western opposition leader Viktor Yushchenko.

Earlier this month, Ukrainian prosecutors questioned Yanukovych over the business dealings of Boris Kolesnikov, a jailed regional official, but no charges were brought.

Yanukovych and Viktor Medvedchuk, a former chief of staff of ex-President Leonid Kuchma, were also summoned to appear as witnesses in a land misappropriation case on June 1 before investigators in the western city of Ivano-Frankivsk.

Yushchenko has pledged to root out corruption and alleged government links with organized crime that plagued Kuchma's decade-long rule.

Yushchenko has pointed to the pro-Russian Donetsk region, where hostility to him runs highest, as a stronghold of organized crime and corruption.

Source: Kyiv Post

Yushchenko Says Investigators Have Found More Evidence About Gongadze’s Death

KIEV, Ukraine -- Investigators have found more evidence in the death of journalist who crusaded against corruption during the tenure of Ukraine's former leader Leonid Kuchma, President Viktor Yushchenko said in comments televised May 29.

Yushchenko said investigators discovered "new and important evidence" about the death in 2000 of Georgy Gongadze, an Internet journalist whose headless body was found after he went missing nearly five years ago. He also claimed authorities were "closing in" on a suspect.

Kuchma's opponents have accused him of involvement in the slaying. Yushchenko, a former opposition leader who beat Kuchma's favored successor in a divisive election in the former Soviet republic last year, has said solving the case is a top priority for his government.

Yushchenko did not describe the evidence, but he and lawmaker Hrihoriy Omelchenko, a parliamentary deputy who has focused public attention on the killing, said they hope investigators will find the journalist's severed head soon.

Opponents of Kuchma have accused him of giving the orders that led to Gongadze's abduction and killing, which sparked months of protests. Kuchma has repeatedly denied any involvement.

A key witness, former Interior Minister Yuriy Kravchenko, committed suicide hours before he was to be questioned about Gongadze's slaying in March.

Also in March, two former police official were detained and charged with murder. Another former police official suspected of involvement remains under orders not to leave Kyiv, and a fourth, Oleksiy Pukach, is being sought on an international warrant.

"Before this case goes to the court we must arrest Pukach ... we're closing in," Yushchenko said in comment broadcast on television networks May 29.

Source: Kyiv Post

VimpelCom Moves to Ukraine Cutting Norwegian Corners

MOSCOW, Russia -- Having masterminded another scenario to approach Ukraine and upstage Norwegian Telenor, VimpelCom bosses announced Friday the company will get Ukrainian Radiosystems (URS) via a certain private investment fund and authorize URS to use BeeLine brand in Ukraine. The experts expect such move to exacerbate the conflict between Alfa Group and Telenor to such extent that the withdrawal of one of them from VimpelCom will be the only way out.

Ukrainian Radiosystems (or URS; Wellcom, Mobi brands) that has been operating since October 1998 is licensed to render GSM 900/GSM 1800 cellular services in the whole territory of Ukraine. URS had 51,200 subscribers, 0.31 percent of the cellular market, as of May 1, 2005, Ukrainian Communication Department said.

VimpelCom’s scenario to approach Ukraine despite Telenor’s ban was unveiled Friday. According to VimpelCom GD Alexander Izosimov the company is looking for a private investment fund to buy out URS especially for VimpelCom, granting a long-term option to the cellular operator. The money to construct and develop URS network will be raised with equipment makers via commercial loans, Izosimov specified. The experts estimate the required investments at between $300 million and $400 million. VimpelCom top managers point out URS may get the right to use BeeLine brand in Ukraine.

This scenario is expected to take effect already this year, meaning although not final but still a sizable victory of Alfa in the joint stock contest of the latter and other VimpelCom major – Norwegian Telenor. Alfa that holds 32.9 percent in VimpelCom has been long advocating its foray into Ukraine but always rebuffed by Telenor (29 percent). Telenor has a Ukrainian subsidiary and blocks URS acquisition in the VimpelCom BOD. As to the decision to make an agreement with an investment fund and assign the brand, it could be taken by the company’s top managers with no Telenor authorization required. But Telenor still may block the future purchase of URS by VimpelCom and it doesn’t ease the talks with a potential buyer, Izosimov pointed out.

Telenor shrugged off Izosimov’s statement and made no comments concerning the new scenario Sunday. In Alfa Telecom that is in charge of the telecom assets of Alfa Group, they embrace any ways empowering VimpelCom to enter Ukraine.

The experts speculate Bee Line’s appearance in Ukraine will lead the conflict between Alfa Group and Telenor into a deadlock that could be broken only if one of the holders decides to dispose of its share in VimpelCom.

Source: Kommersant

Chernobyl Plant Denies Accident Has Occurred

CHERNOBYL, Ukraine -- The Chernobyl Nuclear Power Plant has denied allegations in the media that an accident has occurred at the plant.

"The controlled parameters of the Shelter facility are within limits set by the technological regulations," the plant's public relations department said in reference to a concrete encasement built over the Chernobyl unit that in 1986 became the scene of the world's worst ever nuclear accident.



"No transgression of the control levels of the parameters of the state of the Shelter facility have been recorded," the department said.

It said radiation had stayed at an average of 70 microroentgens per hour this week in the area of the plant's management premises and at 1.51 milliroentgens per hour in the area of Shelter's sighting pavilion.

The department said routine maintenance operations were in progress at the Shelter.

The plant is a Ukrainian state enterprise.

Source: Interfax

National Assembly Chairman Welcomes Ukraine's University Delegation

HA NOI, Viet Nam -- National Assembly Chairman Nguyen Van An on May 29 received a delegation from the Ukraine's Donetsk University Managing Board led by its Deputy Rector Napka Ilia.

As a former student in the Ukraine, NA Chairman An expressed his thanks to Ukrainian universities, including Donetsk, for having helped Viet Nam in personnel training during the past struggle for national independence.

NA Chairman Nguyen Van An spoke highly of the cooperation in training between Viet Nam and the Ukraine, which he said he believed, would continue to develop alongside with the traditionally cooperative and friendly ties between the two countries.

On behalf of the delegation, the University Deputy Rector briefed NA Chairman Nguyen Van An of the results of and potentials for educational cooperation between Ukraine and Viet Nam. He also expressed his hope that more Vietnamese students would enroll at Ukrainian universities in the future.

Source: Viet Nam News Agency

Those Who’ve Gone Too Far

MOSCOW, Russia -- The main mistake made by the ex-leaders of the countries of “colour” revolutions was not that they had oppressed their people. Quite on the contrary, Ukraine under Leonid Kuchma, Georgia under Eduard Shevarnadze and even Kyrgyzstan under Askar Akaev were quite democratic states (compared to other former USSR countries) with political parties, more or less independent mass media and some institutions of civil society.

The main mistake was of a different kind. Former Ukrainian, Georgian and Kyrgyz rulers upset the balance of elites, the power being concentrated in the hands of one clan among others deprived of it (that’s what we call Family in the contemporary Russian history). The experience of any communities, let it be a kindergarten or a mafia clan, shows that when appetites of one person or a small group of people rise too high, all other people unite and take actions. Some go to the teacher, others clash and kill the opponents who went too far.



The same is in the politics. “A revolutionary upsurge of working people” was once some spontaneous force that experienced leader made use of, the way a yachtsman uses the wind, and a surfing-rider uses the surf. Everyone was against the clan that had assumed too much. Opposition was often led by those who had earlier been in office but had been ousted as a result of inter-clan fights.

If we look at the present leaders, we will see that people who could have opposed each other under other circumstances became allies. Mikhail Saakashvili and Zurab Zhavia, Viktor Yushchenko and Yulia Tymoshenko, Kurmanbek Bakiev and Felix Kulov. The gap of contradictions between some of them is as wide as that between each of them and prior authorities. Besides, “second players” of these pairs may have as well claimed the leading role.

But they stepped aside. Many foresaw here the future split. But in spite of all evident indications that the predictions would hold true, the ringing clique remains in fact united. Zurab Zhavania’s team is still in office afte his death; the public bickering between Viktor Yushchenko and Yulia Tymosheko did not prevent their announcement of running for the 2006 parliamentary elections together.

All this testifies to one fact. Seemingly unnatural unions of such different politicians reveal an ever-increasing understanding of political elites that a time has come to share powers and keep the political groups from rising above others. Otherwise, all those hurt will sooner or later create their own coalition, and the country’s current leaders will turn into the heads of Families, like those they had once so vehemently otherthrown from the pedestal.

Source: Kommersant

Gongadze Case Not Resolved Yet – Ukrainian President

LVIV, Ukraine -- The investigation of journalist Georgy Gongadze’s murder has not brought sufficient results, but “I have done my best for its soonest completion,” Ukrainian President Viktor Yushchenko told the press in Ternopol on Sunday.

He is visiting Ternopol to attend a meeting with 1975 graduates of the Finance and Economy Institute.

The investigators “still need to collect evidence and find people involved in the journalist murder,” Yushchenko said. He said the police are detaining suspects with a high social status. “The head of the murdered journalist may be found only after the arrest of Police Gen. Pukach,” he said.

Ukrainian Prosecutor General Svyatoslav Piskun said on Saturday they still need to find former head of the Ukrainian Interior Ministry’s Surveillance Department Alexei Pukach (who is the crime’s suspected perpetrator), question former major of the State Guard Service Nikolai Melnichenko who currently lives in the United States, and finalize the body’s identification by request of the family.

The body is under an international examination, which involves specialists from Germany, the Netherlands, Switzerland and Ukraine, he said.

Opposition journalist Gongadze disappeared in September 2000, and a decapitated body was found in the Tarashcha forest near Kiev two months later.

Source: ITAR-Tass

Ukraine's Cabinet of Ministers

KIEV, Ukraine -- The Cabinet of Ministers (Government) of Ukraine is the supreme executive authority. Its actions are based on the Constitution, laws of Ukraine and presidential orders.

The Government is responsible to the President and is controlled by the Verkhovna Rada of Ukraine, to which it also must report. In practice, this dependency results in presidential appointment of a Prime Minister (with parliamentary consent).



The President may also suspend Prime Minister's authorities and discharge him/her. Upon Prime Minister's submission, the President appoints and discharges the members of Cabinet of Ministers and other heads of central executive authorities.

Source: Kiev City Guide

Odessa Beauty on Miss Universe Jury

ODESSA, Ukraine -- The stunning Sasha Nykolyenko has been picked to be one of the jury members at this year’s Miss Universe final, which will take place in Thailand on 31 May.

The former What’s On cover girl has won several major beauty titles, including Miss Ukraine 2001 and Miss American Dream 2001. Sasha represented Ukraine at last year’s Miss Universe contest and was actually invited back to participate this year. The actress and TV host declined citing her busy work schedule but did accept the offer of joining the celebrity jury.

Source: What's On

Country Profile: Ukraine

KIEV, Ukraine -- Ukraine gained independence after the collapse of the Soviet Union in 1991. Sandwiched between Russia and Europe, it tries to keep on good terms with both.

Western Ukraine has close historical ties with Europe, particularly Poland. Both Orthodoxy and the Uniate (Greek Catholic) faith have many followers there. Ukrainian nationalist sentiment is traditionally strongest in the westernmost parts of the country which became part of Ukraine only when the Soviet Union expanded after World War II.



Overview

A significant minority of the population of Ukraine are Russians or use Russian as their first language. Russian influence is particularly strong in the industrialised east of the country, where the Orthodox religion is predominant, as well as in Crimea, an autonomous republic on the Black Sea which was part of Russia until 1954. The Russian Black Sea Fleet has its base there.

Crimea is also the homeland of the Crimean Tatars whom Stalin accused of collaborating with the Nazis and deported to Central Asia in 1944. Over 250,000 have returned since the late 1980s.

In 1932-1933 Stalin's programme of enforced agricultural collectivization brought famine and death to millions in Ukraine, the bread basket of the USSR. Not until the twilight years of the Soviet Union did details of the extent of the suffering begin fully to emerge.

News of another Soviet-era calamity, the 1986 accident at the Chernobyl nuclear power station, rang alarm bells around the world immediately. About 8% of Ukraine's territory was contaminated as were large areas in neighbouring Belarus. Millions continue to suffer as a result.

The country's first president after independence, former Communist Party official Leonid Kravchuk, presided over a period of economic decline and runaway inflation. He was narrowly defeated in the 1994 presidential election by Leonid Kuchma.

The economy at first continued to fare badly under President Kuchma who became embroiled in a series of stand-offs with parliament and failed to push ahead with economic reforms. Corruption was a major problem and investors were wary. The new millennium brought economic growth for the first time, with rising industrial output, improving exports and falling inflation.

By the end of 2004, Russia was the country's largest trading partner although Ukraine was also looking to build partnership with the West.

It took an active part in Nato's Partnership for Peace programme and has declared EU membership to be a strategic objective. In May 2002 it announced that it intended to abandon neutrality and apply formally for Nato membership. The alliance has welcomed the bid but says that further political, economic and military reforms are needed before it can be successful.

Ukraine sent over 1500 peacekeepers to Iraq as part of the stabilisation force there, and has also contributed troops to peacekeeping operations in Kosovo and Afghanistan. However, outgoing President Leonid Kuchma ordered the withdrawal of Ukrainian forces from Iraq after eight servicemen were killed in an incident there. His successor, Viktor Yushchenko, has since confirmed that all of Ukraine's peacekeepers will be pulled out by October 2005.

Facts

Official Name: Ukraine
Capital City: Kiev (Kyiv)
Location: Eastern Europe, bordering the Black Sea, between Poland, Romania, and Moldova in the west and Russia in the east
Political Divisions: 24 oblasts (regions) and 1 autonomous republic (Crimea)
President: Viktor Yushchenko
Prime Minister: Yulia Tymoshenko
Latitude/Longitude: 49° 00'N, 32° 00'E
Languages: Ukrainian, Russian, Polish, Romanian, Hungarian
Official Currency: Hryvnia (UAH) - 1 Hryvnia = 100 Kopiykas
Exchange Rate: $1.00 USD = 5.10 UAH (May 2005)
Religions: Ukrainian Orthodox - Moscow Patriarchate, Ukrainian Orthodox - Kiev Patriarchate, Ukrainian Autocephalous Orthodox, Ukrainian Catholic (Uniate), Protestant, Jewish
Population: 47,732,079 (2004 est.)
Land Area: 603,700 sq km (223,090 sq miles)
Independence: August 24, 1991 (from the Soviet Union)
GDP: Purchasing Power Parity - $256.5 Billion
Inflation Rate: 8.2% annual
Industries: Coal, electric power, ferrous and nonferrous metals, machinery and transport equipment, chemicals, food processing (especially sugar)
Time Zone: GMT+3
Mobile Phone: GSM 900/1800 Standard
Mobile Operators: Golden Telecom, Wellcom, UMC, DCC and Kyivstar
Main Post Office: 22 Khreschatyk Street (Independence Square)
Electricity: 220-260 Volts/50 Hz Standard
Credit Cards: American Express, Cirrus, Maestro, MasterCard/Euro Card, Visa, Visa Electron
Personal Checks: Non-existent
Travelers Checks: Not popular, accepted at only a few banks
ATM Machines: Readily available, accept most credit cards and dispense cash in UAH. Some locations also dispense cash in US dollars
Business Hours: 10:00 - 18:00
Express Mail: DHL, UPS, Federal Express, TNT
Country Tel. Code: 38
Kiev Tel. Code: 044
Country Visa: Required for most countries
Speed Limits: City - 60 kph/37 mph, Country - 90 kph/56 mph, Highway - 120 kph/72 mph
Driving /Drinking: Zero tolerance country

Source: BBC News and Kiev City Guide

The Black Sea - Oil Over Troubled Water

LONDON, England -- In classical times, the Black Sea was perversely known as the Euxeinos Pontos, a sea friendly to strangers, even though its notoriously turbulent waters were nothing of the kind. The hope was that if you gave the place a nice name, the invisible powers who governed its towering waves might feel placated and behave more calmly. To this day, it remains a temperamental stretch of water that can generate sudden squalls and treat outsiders in unpredictable ways, even when efforts are being made to appease its restless spirits.



In 1992, the late Turkish president, Turgut Ozal, thought he could assuage those spirits for ever and turn the sea into a zone of peace and co-operation, where ancient trade routes would thrive anew. The fruit of that post-cold war vision is the Istanbul-based organisation for Black Sea Economic Co-operation. For over a decade, its members (all the littoral states, plus near neighbours Greece, Moldova, Albania, Armenia, Azerbaijan and, as of recently, Serbia) have trundled along to meetings without ever realising Mr Ozal's vision. The fact that Armenians and Azeris were locked in armed confrontation, backed respectively by Russia and Turkey, has hardly helped.

About a month ago, and entirely unnoticed by the world, BSEC suddenly did something rather unfriendly to a stranger. It flatly turned down a request from the United States for observer status. While the brush-off was explained in arcane procedural terms, it was an open secret that Russia had blocked the application­to the embarrassment of the group's other ex-communist members. In fact, eight of them issued a separate statement saying Uncle Sam's presence would have been a welcome boost, and they regretted his exclusion. (If NATO members Greece and Turkey had any feelings on the matter, they did not air them.)

What America would have done if it had attained its lofty ambition may never be known. But to judge by the word on the think-tank circuit, there is a strong feeling in Washington that the Black Sea region is ripe for transformation into a new sort of security club, whose members co-operate to keep ports and pipelines safe from terrorists and other undesirables.

As steadily increasing amounts of energy flow into, and out of, the Black Sea, the stakes are certainly high. This week saw the formal opening, in Azerbaijan, of one of the world's most important energy conduits, a 1,770-km (1,010-mile) oil pipeline linking Baku in Azerbaijan with the Turkish port of Ceyhan via the mountains of Georgia. Gas from Azerbaijan, Iran and possibly east of the Caspian will soon be flowing along a similar route into Turkey, and thence to south-eastern Europe. The pipeline promises to bring a bonanza for Azerbaijan, and a modest boost to the hard-pressed finances of Georgia.

While America has taken the lead in lobbying for the construction of pipelines which bypass Russia, and therefore deny the Russians any chance to use energy as a political weapon, it is the European consumer who will be most affected by these emerging routes. On present trends, Europe's reliance on Russian energy will increase sharply, whatever happens; the new pipelines will ease that dependence.

But a complex pattern of interests is already emerging. A recently constructed gas pipeline has started bringing energy across the Black Sea from Russia to Turkey. That has reinforced a burgeoning economic relationship between those two historic competitors and made it harder for the Turks to side unequivocally with the Americans if the contest for influence in the Black Sea ever becomes a straight fight between America and Russia. Indeed one school of thought in Washington regards the "old NATO" partners, Turkey and Greece, as less reliable than the eagerly pro-American countries that have only recently emerged from the grip of communism, and are poor and vulnerable enough to be grateful for anything they get.

One reason for heightened American attention to the region is the sense that the future of many countries is still a wide-open question: they could follow Central Europe into the warm embrace of western institutions or they could slide back into authoritarianism or stagnation. Bruce Jackson, an influential American lobbyist for NATO's expansion, put the point dramatically in some congressional testimony in March: "The democracies of the Black Sea lie on the knife-edge of history which separates the politics of 19th-century imperialism from European modernity."

The very fact that some parts of the region are quite advanced on the road to "European modernity" could be a divisive factor. One of the BSEC's more effective bits is its financial arm, the Black Sea Trade and Development Bank, which issues credits for export finance and cross-border projects. Its strategy director, Panayotis Gavras, says much the biggest factor driving investment in the region is proximity to the European Union; investors look eagerly at Bulgaria and Romania, which stand on the Union's threshold, and view other places far more warily.

As Britain prepares to take over the EU's rotating presidency, many people are expecting a fresh Black Sea initiative: something that would give heart to countries doing "well" in western eyes without dashing the hopes of the laggards and, if possible, without alienating Russia.

As Foreign Office mandarins ponder their options, they can take heart from some of the region's pleasant surprises. On June 6th, BSEC members will gather in Yerevan, the capital of Armenia, for a meeting of their affiliate bank. According to Turkish data, trade between Armenia and Turkey is precisely zero; the border is sealed, out of solidarity with Azerbaijan. As the delegates will observe, every shop in Yerevan brims with Turkish goods.

Source: The Economist

Ex-Security Chief Smeshko Still Concerned About Ukrainian President's Safety

KIEV, Ukraine -- The former head of the Security Service of Ukraine (SBU), Ihor Smeshko, has described the continued spotlight on his alleged involvement in the poisoning of the then presidential candidate, Viktor Yushchenko, in 2004 as a diversion to attract attention away from two other serious attempts on the president's life.


Ex-Security Service Chief Smeshko
Interviewed by the Ukrainian tabloid Fakty i Kommentarii, Smeshko suggested that Yushchenko could still be in danger if the incidents are not investigated properly. He said: "If those who ordered those crimes went this far, what can stop them? Failure to establish the truth in this case is fraught with more than just speculation..."

As an example, he recalled the arrest of two Russian citizens with 3 kg of explosives on 21 November 2004 on suspicion of plotting to blow up Yushchenko's election HQ on polling day in the presidential election runoff.

Smeshko said that, although the detained men said they had arrived "to imitate a terrorist act against a presidential candidate to boost his rating", the threat to Yushchenko was quite real, given the large amount of explosives and a professionally made and tested radioelectronically-controlled explosive device found in their possession. He said the men also named the person who ordered the attack.

Smeshko also rejected accusations of blocking the investigation into the murder of journalist Heorhiy Gongadze in 2000 voiced recently by Prosecutor-General Svyatoslav Piskun. Piskun had said Smeshko telephoned him in 2003, telling him to slow down in investigating the murder. Smeshko said he had never phoned Piskun about the Gongadze probe.

He said he wants Piskun to apologize and has already filed a lawsuit against Piskun. He described Piskun's statement as a publicity stunt intended to earn him "political dividends". Meanwhile, it was the SBU that played a key role in gathering key evidence against Gongadze's murderers, Smeshko said.

Source: BBC Monitoring Service

Yushchenko Promises to Cut Bureaucracy

KIEV, Ukraine -- Ukrainian President Viktor Yushchenko on Wednesday urged dialogue between the government and business leaders, promising to cut down on bureaucracy and end the corrupt ties that flourished under former President Leonid Kuchma's regime.

"I want to start dialogue with business from scratch," Yushchenko said at a meeting with leading business executives and government officials in downtown Kiev. Those hidden connections between officials and some businesses were preventing the state from moving ahead with its reform plans, Yushchenko said.

The Ukrainian leader also said the government would reconsider its tax policy to balance the burden on businesses.

Yushchenko who became president following last year's bitterly contested presidential vote, pledged that the partnership between government and business would be a key priority.

He vowed to "drastically reduce contacts between entrepreneurs with state bodies" and to curb bureaucracy.

At the meeting, Ukrainian Prime Minister Yulia Tymoshenko announced that the government had created a new council of entrepreneurs that meets each Monday to consider problems of business and said that the government would not adopt any new decree without approval of the new body.

"I want you (business people) to trust the new government," said Tymoshenko.

However, Andriy Dashkevych, the head of the state committee on entrepreneurship, claimed that many governmental moves involving small and medium-sized businesses were made "in violation of the law."

"Our government makes one step forward and two steps back ... it is high time to start a dialogue," said Aleksandra Kuzhel, a businesswoman.


Source: MSN Money

Tymoshenko, Yushchenko Settle all Disputable Issues

KIEV, Ukraine -- Ukrainian Prime Minister Yulia Tymoshenko and President Viktor Yushchenko have overcome all misunderstanding over the government’s work.

“I had a nice conversation with the president. We settled 99% of issues and planned our joint work in a way designed to remove all facts of disharmony in the work of the new authorities,” Tymoshenko told reporters after the Cabinet of Ministers meeting on Thursday.



“We want the society to feel that it can rely on us. Nothing can prevent us from doing our jobs even if meteorites start falling down from the sky,” the Ukrainian premier went on to say.

Tymoshenko explained that frictions inside her government had been prompted by the fact that “the change of the old guard to a new team was carried out instantly rather than in an evolutionary manner.”

The Ukrainian premier said that the government would hold a new meeting with the presence of President Viktor Yushchenko on June 1 to consider a bill “On the Cabinet of Ministers”.

“If we pass this bill, we will remove all the uncertainties concerning the distribution of powers between the branches of power,” Tymoshenko explained.

Ukrainian media outlets reported that the conflict between Yushchenko and Tymoshenko had become public after last week’s meeting with Russian oil dealers during which the president had allegedly asked Tymoshenko to resign. Witnesses claim that the row began after Tymoshenko fended off Yushchenko’s criticism that the government’s administrative measures in the oil market had produced a petrol crisis in Ukraine.

Source: ITAR-Tass

Interior Ministry Summoned Yanukovych and Medvedchuk

KIEV, Ukraine -- According to the Ministry of Interior, ex-Prime Minister Viktor Yanukovych, ex-chief of the Presidential Administration Viktor Medvedchuk, ex-deputy governor of the Ivano-Frankivsk Oblast Myroslav Bloshchuk are due to come to the Ivano-Frankivsk Oblast Department of the Interior Ministry at 10:00 AM on 1 June, to explain the receipt of allotments and the embezzling of state funds.


Medvedchuk (L) and Yanukovych (R)
The Ministry wants Yanukovych and Bloshchuk to explain to police how they, and other people, received allotments and built cottages at the “Mulytsia” reserve, which is included in the nature-conservation fund of Ukraine, and is a botanic monument to nature.

In addition, they will also have to explain the building of a gas pipeline and electric mains to these cottages at the expense of state.

As for Medvedchuk, he will have to explain the illegal annexation of lands for building the “Beskyd” rest complex in the village of Myslivka, Ivano-Frankivsk Oblast.

Medvedchuk will also have to explain whether the above-mentioned rest complex belongs to him or to his relatives, and explain how he paid for this building.

Source: UNIAN

Analysts Turn a Critical Eye Toward Yushchenko's Early Record

WASHINGTON, DC -- Ukraine watchers are abuzz about a May 25 article in Lvivska Hazeta, in which the paper's Moscow correspondent called upon Ukrainian President Viktor Yushchenko to dismiss Prime Minister Yulia Tymoshenko.

According to an eyewitness account published in Zerkalo Nedeli, Yushchenko did call for Tymoshenko's resignation in front of Russian oil executives that same week. His request came after she had questioned his authority on three occasions during the meeting held to negotiate a way out of Ukraine's fuel crisis. Yushchenko later denied that he had called upon her to resign.


Yushchenko and Tymoshenko During Orange Revolution
Whatever the particulars of this incident, Yushchenko seems to no longer be the media darling he was during the Orange Revolution.

On May 18 the Washington Post ran an editorial by Anders Aslund, head of the Russia and Eurasia Program at the Carnegie Endowment for International Peace, entitled "Betraying a Revolution." Aslund outlined his criticism further at a seminar held in Carnegie's Moscow Center. "Betraying a Revolution" comes six months after Aslund's highly optimistic articles in the Moscow Times that had applauded the Orange Revolution.

Other Western and Ukrainian commentators have provided mixed reviews on Yushchenko's first 100 days in office. One author described this mood swing as an "Orange Depression" leading to "post-revolutionary apathy". Nevertheless, Aslund's article was by far the most scathing attack to date on the record of the Yushchenko presidency and Tymoshenko government.

Aslund is co-author of a Blue-Ribbon Commission report drawn up by the United Nations Development Programme and the Carnegie Endowment that proposes an extensive array of "new wave" reforms under Yushchenko. The Commission's proposals were outlined in the Financial Times under the title, "Reform in Ukraine Must be Swift and Sweeping." With constitutional reforms reducing presidential power set to go into effect in September, Yushchenko had a six-month window of opportunity to introduce a radical reform agenda.

A Stratfor commentary agreed with the main economic arguments outlined by Aslund, bluntly noting, "The government has undertaken no economic reforms." Stratfor points to divisions in the Ukrainian leadership between supporters of free market policies and state regulation. Zerkalo Tyzhnia/Nedeli places Yushchenko in the free-market category, while Tymoshenko, "is in favor of the government's dominating role in the country's economy."

The lack of economic reforms is compounded, Stratfor and Aslund believe, by high inflation, declining economic growth, fears of re-privatization, and extravagant social spending. A higher tax burden is also forcing some small and medium businesses to again operate in the shadow economy. Yushchenko has promised to deal with this issue and demanded that governors reduce regulatory measures for registering new businesses.

Ukraine's economic growth of 12% last year was the highest in Europe and was unlikely to continue at such a record pace. As polls showed during the election year, most Ukrainians did not personally feel any improvement in their living standards as a consequence of this high growth and did not therefore give credit to the Viktor Yanukovych government.

The criticism of high social spending is misplaced on political-institutional grounds. The Yushchenko team inherited very high pensions and state salaries, which the Yanukovych government had deliberately increased as an election bribe. By increasing state salaries still further the government seeks to compliment a widespread anti-corruption drive by making it no longer necessary for state officials to steal to survive.

Yushchenko's team also must take into consideration the upcoming 2006 parliamentary elections. They must secure a pro-Yushchenko parliamentary majority if the reforms at to work in the near term. This, in turn, will have a great influence on the success of Ukraine's Euro-Atlantic integration during a second Yushchenko term, which would begin in 2009.

The authorities in eastern and southern Ukraine in particular may need higher social spending between now and the elections to secure popular support. Different polls show the Yushchenko-Tymoshenko team supported by around half the population, with only 16-24% opposed. On its own, Yushchenko's People's Union-Our Ukraine party can only muster a maximum of 30-35% of the vote. This figure is forcing him to ally with Tymoshenko and People's Party leader Volodymyr Lytvyn in the 2006 election campaign to secure a parliamentary majority.

The Orange Revolution dramatically improved Ukraine's international image. A growing number of foreign investors are interested in Ukraine but have stopped short of moving from intent to actual investment. They remain unclear about whether the threat of re-privatization is across the board or officially restricted to a limited number of companies. Yushchenko and Deputy Prime Minister Anatoliy Kinakh have spoken of 29 re-privatizations, a figure that Tymoshenko was publicly contesting until Yushchenko's threat to remove her.

Other areas of concern reflect impatience with certain reforms not having been undertaken yet. These include land reform, which is unlikely with a Socialist agricultural minister, and a neo-Soviet commercial code, which Justice Minister Roman Zvarych has called to be changed. These reforms are more likely to be adopted by next year's parliament; that is, if it has a pro-Yushchenko majority.

Yushchenko has launched a challenging agenda, and his second 100 days in office may determine its chances of success.

Source: Eurasia Daily Monitor

India, Ukraine to Sign MoU for Stem Cells Research

NEW DELHI, India -- The Union Government will soon sign a Memor-andum of Understanding (MoU) with the Ukraine Academy of Medical Sciences (UAMS) to jointly work in the area of stem cell research, informed sources say.

Besides, a delegation from Denmark will soon be in India to work out collaborative agreement between the two countries for stem cell research programme.



Keen to rope in all available expertise to its planned strengthening of the stem cell research programme in the country, the Indian government has also initiated talks with select European nations such as the UK, Sweden and Germany and expects to sign fruitful deals in the next six months.

‘‘The Centre is eyeing a MoU with Denmark and a delegation from Denmark will be in the country to explore avenues of co-operation. The government also plans similar stem cell research tie-ups with the UK, Sweden and Germany,’’ official sources informed.

Under the agreement with Ukraine, the Centre plans to utilise Ukraine’s expertise in establishing stem cell banks in India and it will provide training as well as technological inputs for the planned project.

Top officials from the country during a recent visit to Ukraine has met with the UAMS authorities and the details are worked out, said sources.

The two countries are expected to sign an MoU shortly. This is in line with the National Biotechnology Development Strategy draft put in the public domain by the Science & Technology minister recently. It may be noted that the government has announced in the draft policy document that a virtual network of stem cell centres will be established, using a city cluster approach to network scientists and clinician. Two core stem cell research centres will be established together with several network sub-clusters and an umbilical cord stem cell bank will also be set up, stated the policy document.

India has plans to set up at least three stem cell banks, although the centres are yet to be finalised the possible list include top healthcare facilities like the PGI Chandigarh, AIIMS, New Delhi, CMC Vellore or KEM Hospital Mumbai. Autologous cord blood and cord blood collection for research, are the key objectives of the project.

Parents can use banks to store the umbilical cord blood upto 20 years after childbirth, which could be used in future to treat any genetic and other disorders/diseases that the child may face. However, this would be expensive as well.

Under the programme select centres across the country will also collect cord blood to be utilised for advancing basic research that will result in clinical application for complex unresolved health problems. Although earlier, cord blood was discarded as medical waste after child birth, recognising the unique qualities and potential of stem cells in therapy, countries across the globe started banking the cord blood as well as initiated aggressive research.

Stem cells are commonly used in bone marrow transplantation. Cord blood originated stem cells also find application in acute and chronic leukaemias, stem cell disorders, myeloproliferative disorders, lymphoproliferative disorders, phagocyte disorders, liposomal storage diseases, histiocytic disorders, inherited erythrocyte abnormalities, congenital (inherited) immune system disorders, other inherited disorders, inherited platelet abnormalities, plasma cell disorders, other malignancies (certain tumours/cancers) and autoimmune diseases.

Research is at different stages across the globe in these different arenas and the other emerging clinical stem cell applications are in Alzheimer’s Disease, Parkinson’s Disease, stroke, diabetes, liver disease, lupus, multiple sclerosis and spinal cord injury, etc.

Source: Healthcare Management

Poll Says Russian Spin Doctors Bracing for “Velvet Revolution"

MOSCOW, Russia -- 58 percent of Russian experts, who have taken part in the latest poll, believe that the country may soon face a regime change similar to the recent “velvet revolutions” in former Soviet states, Georgia, Ukraine and Kyrgyzstan. Less than a year ago only 28 percent of analysts shared this view, Nezavisimaya Gazeta daily reported.


Russian Demonstrators with a Banner Reading “Government Greasing, People Starving"
Center of Public Opinion Studies Glas Naroda (Voice of the People) polled 42 Moscow political scientists and 120 experts from Russian regions. Most of them said the revolution may happen even before the 2008 presidential elections, but at the same time express concern that radical nationalists may come to power after the collapse of Putin’s regime.

In December 2004, by the time Georgia’s charismatic Mikhail Saakashvili had forced former Soviet-era leader Eduard Shvarnadze to resign and Ukraine’s “Orange Revolution” was in full swing, more than a half of experts from Moscow and 69 percent of regional specialists insisted that a similar developments would never happen in Russia.

But Ukraine, Glas Naroda says, has proved that the revolution is possible even in the country where economical situation is quite stable, and power clans are mighty. Moreover, Kyrgyzstan has shown that even a weak opposition can succeed.

Presenting the poll, Glas Naroda, however, underlined that it shows only the opinions of experts, but not Russian citizens.

Source: MosNews

Kiev Counts Cost of Eurovision Hosting

KIEV, Ukraine -- The Kiev authorities are clearing up after ten days that saw the city play host to thousands of followers of the Eurovision Song Contest.

The Ukrainian minister for Humanitarian Affairs, Nickolay Tomenko, has instructed the National Television Company of Ukraine to report on the costs of staging the 50th contest. He said, “I have asked those in charge of Eurovision at NTU to make it public just how money was spent on the contest. I will then issue an audited report on the funding of the show.”



Tomenko feels that the investment made in new state of the art broadcasting equipment will benefit the company in coming years. He also pointed out that a large chunk of the proposed state funding was not spent, as the sums were covered by advertisers and sponsorship deals.

With the last signs of the contest being cleared away, the Ukrainian press is asking whether the contest has proven a boost for the city or been a non-event. The results, say most lies somewhere in the middle.

There are continuing concerns that things were left too late by the city council. When tourists arrived in the city, the area around the Sports Palace was still a building site.

The use of orange as a predominant colour upset many. One commentator said, “The orange ribbons and banners were already inappropriate on Inauguration Day in January, because they injected a note of factionalism into proceedings marking Yushchenko’s becoming president of what should be a united country. They were all the more inappropriate four months later. Ukraine is not a country for orange supporters only. Whoever decorated Kyiv for Eurovision should not have given tourists the idea that it is.”

The press have also singled out Ukrainian TV star Masha Efrosinina for criticism, “She sounded as if she had never studied English, but was reading her lines phonetically off cue cards. She was painful to listen to,” said the Kiev Post. The fact that President Viktor Yushchenko took to the stage at the end of the show did not please everyone, some commentators thought it undignified.

The fact that Kiev was not ready to host the numbers that wanted to come to the city has not escaped attention. When Kiev pledged to host the contest, it was agreed that several four and five stars hotels would be built. The ‘Orange Revolution’ interrupted plans and as a result, many fans could not find rooms. Those that did, were forced to pay well over the odds or consider using a camp site. The interest in ‘Eurocamp’ was dismal with just 380 out of a projected 10,000 visitors, just 70 being from overseas.

The levels of policing were felt to be too high for many. “This was striking, because this is, after all, a city in which even the revolutions aren’t heavily policed by beat cops. We wonder if Eurovision visitors found the uncharacteristic police presence reassuring or oppressive, “ said the Kiev Post.

Despite everything, the city feels that the Eurovision Song Contest proved that Kiev could pull off a major international event and with more development of the basic tourism infrastructures could be well placed to bid now for the Olympic games in the future.

Source: Doteurovision

Ukraine's ex-PM Questioned Over Funds

KIEV, Ukraine -- Ukrainian police say they have summoned former Prime Minister Viktor Yanukovych for questioning in connection with alleged mishandling of government funds.

Yanukovych was summoned to testify as a witness next Monday about alleged illegal government donations amounting to 4.8 million hryvnas ($ 1 million) for the overhaul of the airport in his eastern Ukrainian hometown of Donetsk, the Interior Ministry said in a statement posted on its official website.


Viktor Yanukovych
Yanukovych lost a bitterly-contested presidential election last year after the Supreme Court annulled his victory on grounds of massive fraud and ordered a revote that was won by pro-Western opposition leader Viktor Yushchenko.

Earlier this month Ukrainian prosecutors also questioned Yanukovych over the business dealings of Borys Kolesnikov, a jailed regional official, but no charges were brought.

Yanukovych, who heads the opposition Party of Regions was not available for comment on Thursday. He earlier described his appearance before investigators as "political persecution" of opposition leaders.

President Yushchenko, inaugurated in January, has pledged to crack down on corruption and government links to organised crime that plagued former President Leonid Kuchma's decade-long tenure.

Yushchenko has pointed to the pro-Russian Donetsk region, where hostility to him runs highest, as having one of the worst records of corruption.

Source: AAP

Ukraine: Yushchenko, Tymoshenko Clash Over Gasoline

KIEV, Ukraine -- The hottest news in Ukraine last week was not the Eurovision song contest in Kyiv -- an unusual event in this post-Soviet country by any standards. The real shocker was a report in the Kyiv-based weekly "Zerkalo nedeli" that President Viktor Yushchenko suggested that Prime Minister Yuliya Tymoshenko should tender her resignation over her incompetence in dealing with the country's fuel crisis.

To toss even more gasoline on that fire, the report asserted that the suggestion was made "half-publicly" during a heated Yushchenko-Tymoshenko exchange at a 19 May meeting with senior executives from the Russian oil sector, including Transneft, LUKoil, and TNK-BP.


Tymoshenko-Yushchenko Campaign Poster from November 2004
Have the two heroes of the Orange Revolution already had enough of their partnership and resolved to launch an internecine war?

Soothing Words

For the time being, it appears they have not. A string of statements from Yushchenko's and Tymoshenko's press services that followed the report on their 19 May meeting avowed that the relations between the president and the prime minister remain friendly and full of mutual trust. "I trust the prime minister, my generally positive assessment of the government's work is unaltered. Only those doing nothing make no mistakes," Yushchenko asserted in one statement. "We have found a formula to resolve the oil problem, because we have found courage in ourselves to conduct an open, public, and honest dialogue as well as to make hard and responsible decisions both within and outside [our] team," he stressed.

Moreover, on 22 May, during a solemn occasion at the grave of Ukrainian national poet Taras Shevchenko in Kaniv, Yushchenko and Tymoshenko renewed their earlier pledge to form a coalition for the 2006 parliamentary elections of Yushchenko's Our Ukraine People's Union, Tymoshenko's Fatherland Party, and the People's Party headed by parliamentary speaker Volodymyr Lytvyn. "I'm sure that the Orange Revolution and the values with which we came to Kyiv's Maydan [Independence Square] truly belong to these three political forces," Yushchenko said in Kaniv. Tymoshenko added, "I support with all my soul our union, our teamwork, our joint political activity for many years ahead."

But some skeptics in Ukraine immediately recalled another election alliance made in Kaniv, by four presidential candidates during the 1999 presidential campaign (Yevhen Marchuk, Oleksandr Moroz, Volodymyr Oliynyk, and Oleksandr Tkachenko), which lasted no longer than three weeks.

Sparkling Conversation

What actually transpired between Yushchenko and Tymoshenko on 19 May? According to the influential and usually well-informed "Zerkalo nedeli," which attributed its information to four unnamed participants in the meeting, Yushchenko apologized to the Russian oil traders for Tymoshenko's cabinet, which, Yushchenko claimed, had obstructed their work. Yushchenko purportedly said he wished he had never appointed Tymoshenko as prime minister. He also is said to have suggested that she might tender her resignation and join the opposition Social Democratic Party-united and the Party of Regions in order to "blow their pipes and beat their drums." To add insult to injury, Yushchenko reportedly invited everyone except Tymoshenko to the next room to have champagne. All this purportedly took place after Tymoshenko categorically and repeatedly disagreed with Yushchenko's assessment that she had dealt with the fuel crisis by way of essentially administrative and non-market levers.

Leaving aside the shocking nature of the Ukrainian "family quarrel" under the Russian eyes, as "Zerkalo nedeli" put it, one could argue that Yushchenko was to a large extent correct. Gasoline prices began to rise in Ukraine in early April, presumably stimulated by a more than 50 percent rise in the price of crude oil, a 30 percent increase in the excise tax, and increased tariffs for rail transport. Tymoshenko ordered in mid-April that prices for gasoline be stabilized at a level below 3 hryvnyas ($0.6) per liter. Simultaneously, the Ukrainian Economic Ministry warned Russian oil companies that it would guarantee their property rights for Ukraine's refineries only if they agreed to cut retail fuel prices -- which they did. But following the cuts, some Russian-owned refineries in Ukraine significantly decreased their daily output or halted it altogether for "planned repairs." As a result, Ukrainians saw long lines at gasoline stations run by LUKoil and TNK-BP, some of which reportedly introduced rationing.

Seeking more market-oriented methods to defuse the fuel crisis, the government hurriedly drafted a bill to abolish import duties on fuel; the Verkhovna Rada equally hurriedly passed the legislation earlier this month. The aim of the legislation is twofold -- to stop fuel prices from rising, and to create a more competitive environment for fuel imports from refineries not owned by Russians, notably from Lithuania and Romania. And the law seems to be working, at least for the time being. Fuel prices have now been fixed at 3.2 hryvnyas, 3 hryvnyas, and 2.85 hryvnyas per liter of A-95 gasoline, A-92 gasoline, and diesel fuel, respectively. And some suppliers have begun looking for Lithuanian fuel.

A Russian 'Plot'?

On the other hand, Tymoshenko's arguing that the fuel crises was a "plot" by Russian oil traders to destabilize the government that is not liked by the Kremlin, seems to convince many Ukrainians as well. A poll conducted by the Razumkov Center among some 700 Kyiv residents last week found that more than 50 percent of respondents attributed the fuel crisis to "Russia's economic pressure as a means of influence on Ukraine's policy," according to "Zerkalo nedeli." That should come as no surprise, not only because of the popular belief in Ukraine that Russia is to blame for most of Ukraine's political and economic troubles but also because of the situation on the Ukrainian fuel market.

Russian oil traders control 75 percent of fuel supplies to Ukraine, which effectively creates an informal foreign cartel that can easily coordinate its pricing policies in Ukraine not only to secure higher margins but also to achieve other economic or political objectives, especially when such policies are consecrated by "market rules." Russian President Vladimir Putin said in an interview with "Komsomolskaya pravda" on 23 May that Russian companies need to apply market-based pricing policies in the export of energy resources. Referring specifically to Georgia and Ukraine, Putin said it is necessary to find "transparent, market tools for interaction" with these countries. But Putin singled out Belarus, saying it is an exception in Russia's market-based export policy, since, the Russian president explained, "We are trying to find a way to build a union state with Belarus." This seems to be a circuitous way of saying what Tymoshenko essentially, and less diplomatically, said about the roots of Ukraine's fuel crisis.

"There is no Russian conspiracy here [in the fuel crisis]," Yushchenko said at a business forum in Kyiv on 25 May. "I demand only one thing of the government: Learn lessons like that of oil markets." To which, according to Reuters, Tymoshenko, who sat alongside him, responded: "May my president forgive me."

But an equally essential question here is whether she has forgiven Yushchenko for his words during last week's meeting with Russian oil traders -- for what seemed to be a severe blow to her self-worth if not an outright humiliation. The answer to this question might also include an answer to the question about the viability of the current political establishment in Ukraine.

Source: Radio Free Europe

Resist Orange Depression!

KIEV, Ukraine -- A little more than 100 days have passed since the end of the Orange Revolution. Unfortunately, there has arisen an annoying fact: there are more of us than ever, but we are not together.

The Orange Revolution has choked on its own energy and is slowly turning into the “Orange Depression”: with each day the number of disappointed people grows. But in what and in whom they’re disappointed, I personally don’t know.

In principle, if you look at what’s going on in Ukraine from the sidelines, then it’s easy to convince yourself that the situation is developing in the right way. The Orange Revolution aimed Ukraine’s social and governmental development into the necessary channel. It’s another thing altogether if this channel was unused by the former authorities for so long that a lot of filth and garbage is rising to the surface.



“What did we stand on Independence Square for?” thousands of ex-revolutionaries are asking themselves today. For some reason they’re forgetting that the majority of them stood out there against Viktor Yanukovych, Leonid Kuchma, and Viktor Medvedchuk – against unfairness and lawlessness. And now it turns out that they were standing out there for Viktor Yushchenko and Petro Poroshenko.

There you have it – post-revolutionary apathy is understandable.

At some point in the revolution, after all, Yushchenko and the political strategists managed to change its real slogans and ideas – “for the truth,” “for freedom,” “for our rights,” “against the bandits in power” – into “Yes, Yushchenko!” That is, to change the nascent formation of a national community into a quasi-fight between “good” and “evil.”

And so the deception of which everybody today is accusing the new government began not with Roman Zvarych or new appointees who changed their colors. It began back when they made Yushchenko into an angel, and Yanukovych into a devil. Back then, people were aware of the deception, and took sides with him temporarily, in the interests of the revolution.

Of the new authorities, one can cite the lines from the Russian pop song: “We created it from what we had, and then we loved what we created.” And now we’re ceasing to love it.

Our problem today is not with authorities who are “amoral in the old fashion,” but in the fact that for some reason we don’t want to remember that these people were not angels, and that we – knowing that – supported them.

Revolutionaries – people who stood out on the frosty plaza and won an unequal battle with the machine-tooled Kuchma-Medvedchuk regime – are now slackening their grip, right after the first victory.

We won in an unequal battle, and now – when the moral and strategic advantage has passed from “Kravchenko’s hawks,” the supporters of Pikhovshek and the corrupt authorities to the tent people and Pora – instead of carrying on the fight we’re ready to shamefully give ourselves up to the blue and white faction, having conceded defeat.

A true Independence Square revolutionary doesn’t have the right to so much as think of the word “disappointment,” because by doing so he’s giving the Zhirinovskys, the Putins, the Yanukovychs and the Vitrenkos of the world the chance for revenge. And be certain: the Russian and our own blue and white propaganda won’t let pass the chance to take it.

We still haven’t won the first round – we only gained the right to play under fair circumstances and under independent referees.

Allow me to continue with this football analogy. Our football players (who aren’t all great, but they’re the best we have!) now need even more support and help and constructive criticism and good coaching – but the tribunes of their supporters have, from the first minute of the match, started to hoot with indignation.

Who’s to blame for this? We all are – because all of us, even though we knew that our team is weak and unprepared, for some reason counted on a fast victory. And most of all to be blamed are our social movements, who once coped very well with the task of opening peoples’ eyes to what “Kuchmism” was, and proving that “It’s time!” – but who forgot that the most complicated fight in any revolution starts after the first big battle, even if that battle is a victory.

And what should we say about the far-sightedness of our activists, if – having put into people’s hands the tools of civil resistance – Vladislav Kaskiv, the servant of the new authorities, has already issued an order to cease activity, declaring the closing of the Pora campaign? The leader of yellow Pora has already realized his goals, but it seems as if society’s goals no longer interest him.

It’s hard to fully understand the behavior of black Pora and other more socially based movements. From the very beginning, black Pora talked about how the revolution was only the first step in the struggle, and even declared the opening of the next one. But where is this second step? Just as the new government team turns out to be unprepared for the harmonious management of the country, so too did the most active citizens turn out to be unprepared. They got used to revolutionary conditions and got disoriented in a time of peace.

Why have there disappeared the stickers with which black Pora contrived to sticker every pole in Ukraine during the flourishing of “Kuchmizm” – and without one kopeck’s worth of grant money?

Why are there no stickers up with a photo of Zvarych and the heading “No to lies”? Why aren’t they working in every region to explain to people what a bad governor is? This is not the fault of Yushchenko or his circle, but of the local inhabitants, who should go out on the central squares of their own cities and not leave until they achieve victory on their own Independence Squares.

No less guilty than the civil movements are the journalists, on whose heads freedom of speech fell like snow – and they don’t know what to do with it. For the majority of them, freedom of speech is associated with criticism of the authorities, and not always objective criticism. But in fact freedom of speech is merely the opportunity to notice and openly grapple with the most important social problems.

We are all to blame for the fact that there’s no gasoline, that the price of meat is rising, and that they haven’t raised the salaries of doctors and teachers since January 1, as Prime Minister Yulia Tymoshenko promised to do when the budget was being amended.

Yes, ladies and gentlemen – it’s not Yushchenko, Tymoshenko, or Poroshenko who are betraying the Orange Revolution, but we ourselves, because it wasn’t their revolution, but ours. And if we took on ourselves the responsibility of naming Yushchenko good, and Yanukovych bad, and wore orange ribbons, then we ought to take our responsibility for the new authorities through to the end.

We should help them, expose them to criticism, but we should never yell about how we’re “disappointed.” We bear responsibility for the Orange Revolution if not in front of ourselves, then in front of that part of the populace that stood under blue and white flags.

No, authority has not yet become transparent, or honest, or responsible. We’ve just begun to make it that way. It’s time that we ourselves become responsible for Ukraine – and everything that happens in it.

Source: Kyiv Post

U.S., Ukraine to Safeguard Nuclear Waste

KIEV, Ukraine -- The United States and Ukraine signed an agreement Thursday to safeguard nuclear waste in the former Soviet Republic that could be used by terrorists to make a dirty bomb, pledging to work together to upgrade security at storage facilities.

The deal was signed by Energy Secretary Samuel Bodman during a two-day visit in which the United States is expected to press for improved nuclear security and cash-strapped Ukraine is expected to push for more funding.


U.S. Energy Secretary Samuel Bodman
The agreement "is a significant step forward in our partnership to safeguard these radioactive materials and advance the security of the region," Bodman said after signing the document with Ukrainian Minister for Emergency Situations David Zhvaniya.

A dirty bomb combines conventional explosives with radioactive material to disperse the waste over large areas. It is estimated that a medium-size bomb could contaminate several city blocks.

Under the agreement, the U.S. National Nuclear Security Administration's Office of Global Radiological Threat Reduction will work with local officials to upgrade security at the six Ukrainian nuclear waste facilities.

Bodman said President Bush and Ukraine President Viktor Yushchenko had pledged to cooperate to promote nuclear safety, security of nuclear materials, and nonproliferation after meeting in Washington earlier this year.

Bodman, who met Yushchenko on Thursday, was to also use his visit to encourage the handover of Soviet-produced, enriched nuclear fuel to Russia, the U.S Embassy in Kiev said.

He was also expected to review the conversion of Ukraine's research reactors to the use of low-enriched uranium. Such a conversion would lower the risk of accidents and possible leakage of nuclear components to terrorists.

Cash-strapped Ukraine needs additional financial resources for the expensive task of sending used fuel rods back to Russia for reprocessing and converting its reactors to low-enriched fuel.

Ukraine's Soviet-built reactors are fueled by high-enriched uranium that could also be used for the production of weapons-grade nuclear material. Ukraine doesn't have the capacity to reprocess the used fuel itself.

At a recent conference in London, Western donors including the United States pledged more funds for the upgrade of Ukrainian nuclear power plants and for the handling of nuclear waste.

The West also offered additional money for building a new structure that will cover crumbling concrete and steel shelter hastily erected over the destroyed reactor at Chernobyl, which exploded and burned in 1986 in the world's worst nuclear disaster.

Source: LA Times

Bentley Opens Car Dealership in Ukraine

KIEV, Ukraine — Bentley, an ultra-luxury British car brand owned by Germany's Volkswagen AG, on Thursday opened a dealership in Ukraine, its first such venture in the former Soviet republic.

Vipkar, a Kiev-based car dealer that received dealership rights from Bentley earlier this year, opened the showroom in the Ukrainian capital's plush Arena shopping mall.


2005 Bentley Continental Flying Spur
The most prominent model exhibited at the opening was a 2005 Bentley Continental Flying Spur with a $187,000 price tag.

"During the opening day we sold two cars, ... and we already delivered six others ordered before the opening," said Geoff Dowding, Bentley's regional director for Europe. He refused to identify the customers.

Dowding said the company has already developed a considerable market in neighboring Russia -- its dealership in Moscow sold 70 cars last year -- and that Bentley's sales in Ukraine should also perform strongly.

Source: LA Times

Ukraine Wants Back to the USSR

MOSCOW, Russia -- Working groups from the Foreign Ministries of Russia and Ukraine finished their consultations on Thursday on the sea border on the Black Sea, Sea of Azov and Kerch Bay. If Ukraine is unable to reach an agreement bilaterally with Russia, Kiev is prepared to defend its interests in international court.


Russian patrol on the Sea of Azov
The Ukrainian delegation's visit to Moscow came after the recent agreements between the presidents of the two countries on legal and treaty establishment of the Ukrainian-Russian border. The talks on the sea borders are a continuation of the policy of the new Ukrainian administration's policy of settling border problems with its neighbors. They were begun on March 22 of this year when Romanian Foreign Minister Mihai-Razvan Ungureanu visited Kiev and an agreement was reached to renew consultations in the UN International Court on the sea borders of Ukraine and Romania in the Black Sea.

Dmitry Svistkov, deputy head of the Ukrainian Foreign Ministry press service, summed up Ukraine's position before the delegation's departure. He said that Ukraine was interested in the quickest possible delimitation of the sea borders in the Black Sea and Sea of Azov along their entire perimeters. “As for the Kerch Bay, the boundary line from Soviet times should be confirmed,” he said.

The main source of contention between Russia and Ukraine over sea borders is the methods of defining them. Moscow is suggesting defining them on the seabed, while Ukraine insists that they should run on the surface of the water.

More evidence of the attention the new Ukrainian leadership is paying to border questions can be found in the information on the first 100 days of the new government distributed by the Ukrainian Foreign Ministry. Among the six priorities for 2005, the third is “The borders of Ukraine: transparent for people and business, closed to criminals.” The text also mentions “significant work to settle issues concerning the state border on its whole perimeter, attracting broad international financial and technical aid to improve the border infrastructure.” The document also notes the need for greater cooperation of Ukraine with Russia and Romania in fishing, shipping and ecological security in the Sea of Azov and Black Sea and Kerch Bay.

This time, if Ukraine is unable to reach an agreement with Russia, it is prepared to defend its interests in international court. A 20-member expert group has been set up by the Ukrainian Foreign Ministry for that purpose. “The group's main task is to make conclusions and evaluations and examine a number of highly specialized questions that will come up in the course of the negotiations in the UN International Court,” the document states.

Source: Kommersant

Orange Revolution Comes to Paris

KIEV, Ukraine -- After 100 days, the Ukrainian Orange Revolution went over to Europe. In France it became the object of a book that just has come out in Paris “Even the snow was falling orange” (Les petits matins publishing house).

This book relates the events happened in Ukraine on last November and December. Through a number of the reports, it relates, how the power clan was forced to capitulate before the protesters.



They took bitterly the Maidan in hard frost all 17 nights and 17 days long. The author got in behind the scenes of the revolution in order to disclose the persons who led it and why they did it.

The author reports how, at the height of the revolution the Russian Embassy held the New Year reception at the premises of the KGB.

The author discloses, how the young leaders of PORA, settling at the private pub on Khreschshatyk street directed its troops, and worked out the strategy how to complicate the life of Mr Kuchma.

The author reveals how the power was tempted to use force against the rally on the night of 28 November, and why they failed.

Alain Guillemoles, French journalist, is the author of the book. He covered the Orange revolution, he had been constant correspondent in Ukraine in 1995-1996. The book includes up to three dozens snapshots, black and white, by Syril Horiszny, which restitutes the atmosphere of the revolution.

Source: Pravda UA

Yushchenko Promises to Cut Bureaucracy

KIEV, Ukraine -- Ukrainian President Viktor Yushchenko on Wednesday urged dialogue between the government and business leaders, promising to cut down on bureaucracy and end the corrupt ties that flourished under former President Leonid Kuchma's regime.

"I want to start dialogue with business from scratch," Yushchenko said at a meeting with leading business executives and government officials in downtown Kiev. Those hidden connections between officials and some businesses were preventing the state from moving ahead with its reform plans, Yushchenko said.

The Ukrainian leader also said the government would reconsider its tax policy to balance the burden on businesses.

Yushchenko who became president following last year's bitterly contested presidential vote, pledged that the partnership between government and business would be a key priority.

He vowed to "drastically reduce contacts between entrepreneurs with state bodies" and to curb bureaucracy.

At the meeting, Ukrainian Prime Minister Yulia Tymoshenko announced that the government had created a new council of entrepreneurs that meets each Monday to consider problems of business and said that the government would not adopt any new decree without approval of the new body.

"I want you (business people) to trust the new government," said Tymoshenko.

However, Andriy Dashkevych, the head of the state committee on entrepreneurship, claimed that many governmental moves involving small and medium-sized businesses were made "in violation of the law."

"Our government makes one step forward and two steps back ... it is high time to start a dialogue," said Aleksandra Kuzhel, a businesswoman.

Source: AP

Victor Yuschenko: Ukraine’s Jews Will Live Better Than in Israel

KIEV, Ukraine -- During a recent meeting between the President of Ukraine, Victor Yuschenko, and representatives of North American Jewish organizations, the Ukrainian leader expressed that state authorities in Ukraine want to do everything possible so that "any Jew residing in Ukraine will say that he lives better here than he would live in Israel.”

Their meeting took place on Monday and focused on issues related to the national minorities residing in Ukraine. President Yuschenko emphasized that there is no place for xenophobia, anti-Semitism and inter-ethnic conflict in Ukraine, an idea that he has expressed on several occasions prior.

"We guarantee equal rights to all national communities in Ukraine, including the Jewish community," he added. The Ukrainian President also assured the guests that the country would place special emphasis on creating worthy conditions for all ethnic communities that reside on the territory of Ukraine.

The Jewish leaders, who were visiting from North America, expressed their respect for President Yuschenko as a person "who is re-building civil society in Ukraine".

Source: FJC News

Sheckley to be Released from Kiev Hospital

KIEV, Ukraine -- Famous American fantasy author Robert Sheckley, who is now in a private clinic in Kiev, will be transported home Thursday, Director of the Boris Clinic Alexei Gromazin told the News-Ukraine Agency Tuesday.

Sheckley is in grave but stable condition, but "there are some improvements in his state," Gromazin said.

According to Gromazin, a Kiev businessman picked up the tab for Sheckley's stay at the clinic.

"We know him, but he did not want his name to be mentioned," he said.

The 76-year-old Sheckley arrived in Kiev in the middle of April to take part in a forum for fantasy writers. Within three days he was hospitalized and diagnosed with progressive respiratory deficiency.

After it became known that Sheckley had lost his insurance policy, and difficulties arose with the payment of his medical bills, the "My Computer" Publishing House, which had invited him to Ukraine, guaranteed it would cover the costs, while Sheckley's relatives appealed to his fans for help.

Sheckley's insurance company did not comment on the situation.

Source: RIA Novosti

Russia Asks Council of Europe to Investigate "Political Repression" in Ukraine

WASHINGTON, DC -- Russian President Vladimir Putin justified his policy of supporting Prime Minister Viktor Yanukovych in the 2004 Ukrainian presidential elections by stating that it was Russian policy to only work with the elected authorities, not with the opposition. Russia has also declared that the election-monitoring missions sponsored by the Organization for Security and Cooperation in Europe are hopelessly biased. However, both statements run counter to the actual policies that Russia is pursuing towards Ukraine. This confusion reflects Russia's unwillingness to accept that Viktor Yushchenko is now president of Ukraine.


Kuchma (l), Putin (c) and Yanukovich (r)
On May 20, the State Duma overwhelming voted to instruct the Russian delegation to the Parliamentary Assembly of the Council of Europe (PACE) to call upon PACE to condemn, "negative tendencies in the internal processes of Ukraine which infringe OSCE principles". The Russian State Duma is, according to the statement, "deeply concerned at the numerous facts of repression of representatives of the political opposition in Ukraine by the new Ukrainian authorities."

That one country should take such a deep interest in alleged "political repression" in a neighboring country is unusual in international affairs. However, Moscow refuses to regard Ukraine as a truly foreign country. Russia's massive involvement in last year's presidential election, although condemned by the United States, has therefore never been seen as "interference" by Moscow. To do so would be to acknowledge that Ukraine is part of the "Far Abroad." While Yushchenko wants Ukraine to be distanced from Russia, Moscow has difficulty even accepting that Ukraine is part of the "Near Abroad."

The Ukrainian Foreign Ministry (MZS) issued a strongly worded rebuttal that reflects the newly assertive Ukrainian foreign policy under Yushchenko. The MZS classified the State Duma statement as an "unfriendly act" that calls into question Russia's sincerity in supporting democratization, institutionalizing the rule of law, and upholding human rights in Ukrainian society.

The MZS then turned the State Duma statement around by reminding that many of its members until recently ignored the "massive falsification" of election results by the regime of former Ukrainian president Leonid Kuchma. Worse still, "They actively stood on the side of those in Ukraine who adopted anti-democratic practices as a norm in social life, but who today describe themselves as the ‘opposition.' The State Duma statement twists the facts and demonstratively supports these same political forces."

The Russian statement also condemned the alleged attempt in Ukraine at "establishing political and ideological control over the mass media" and "pressure against journalists who criticize representatives of the authorities." This allegation clearly reveals Russia's double standards. Media freedom in Russia is far worse now than under Yeltsin, whereas in Ukraine it has greatly expanded since Yushchenko's election.

Even hollower are Russia's complaints about alleged attempts to impose "ideological control over the mass media" in Ukraine. Russian political technologist Sergei Markov has admitted that, during the Kuchma era, Russia was directly involved in preparing secret instructions (temnyky) that the Ukrainian presidential administration, then headed by Viktor Medvedchuk, would send to media outlets. Ukraine's 1+1television channel has revealed that the presidential administration threatened to shut them down if they did not follow these guidelines.

Yet Medvedchuk has now warned the OSCE that Yushchenko is turning Ukraine into an "authoritarian state". He also advised the OSCE that Yushchenko's new party of power, People's Union-Our Ukraine, would abuse its access to state-administrative resources in next year's parliamentary elections. This is quite rich coming from the man who was directly involved in the worst abuses of state-administrative resources in the 2004 elections.

The Ministry also expressed its surprise that the State Duma would appeal to PACE, which has often declared its dissatisfaction with the state of democracy in Russia. Since Yushchenko's election, Kyiv has distanced itself from the Kuchma regime's statements backing Russian criticism of the OSCE.

Ukraine, like Georgia and Moldova, has pulled out of the CIS Election Observation Mission (CIS EOM) because it was established to provide an alternative to the OSCE monitors by whitewashing election fraud in the CIS. The CIS observers did not see any election fraud in round two of Ukraine's 2004 election, a conclusion sharply at odds with the OSCE, the Council of Europe, and the United States.

Putin has defended his support for Yanukovych by stating that it was Russia's policy to only deal with the authorities. Evidently, this policy did not carry over to the Yushchenko government. Russia has become the defender of the opposition while refusing to condemn the corruption and election fraud that these ousted leaders have committed. This selective memory was on view in January when Putin met Yanukovych in Moscow before Yushchenko's inauguration. During his chat with Yanukovych, Putin agreed to support the opposition in Ukraine in the 2006 parliamentary elections.

Moscow's allegations of "political repression" are linked to Yushchenko's forthright statements that some 16,000-17,000 Ukrainian officials have been released because they supported the previous regime and were involved in corruption and election fraud. He has promised to continue this housecleaning by replacing the head of every rayon administration. Ukraine's political opposition has failed to convince the Western media and international organizations that this replacement of officials and the launching of criminal charges against some of them are tantamount to "political repression." Only Russia is convinced of this claim.

During a recent conference in Kyiv, the president of the European Court of Human Rights, Luzius Wildhaber, did not observe any human rights abuses in Ukraine. He stated, "Some areas need to change quickly, some require legislative changes, and one needs to give the authorities time if you really seriously want to see change".

Source: Jamestown Foundation

Nutritek Goes for Milk to Ukraine

MOSCOW, Russia -- Russia’s Nutritek Group is en route to acquire a majority stake in Ukrainian largest baby-food maker Khorolsky Concentrated Milk Plant, authorized by the agreement of intent sealed in late April. In case of success, Khorolsky enterprise will be the second company purchased by Nutritek in the countries of the former Soviet Union during the recent half a year. The experts say geographical expansion is the only way for the companies similar to Nutritek to get access to milk resources.

The assets of Nutritek Group are split into two divisions – dairy and baby-food. 2004 net profit stood at $13.9 million, revenues – $169.8 million, EBITDA – $28.6 million. Core holders of Nutrinvestholding that is the head company for the Group are Trade Estate (31 percent), Accord Asset Management (19 percent), Spektr (19 percent), Inter Consult (18 percent), Uralsib Depository Co. (13 percent).

Khorolsky Concentrated Milk Plant, in the Poltava Region, is Ukraine's largest maker of evaporated milk formula. Monthly production stands at 200 tons to 250 tons depending on the season. The plant also produces full cream powder, butter and sour-milk products. The key brands are Malyutka, Malysh, Femilak. The annual turnover is estimated at $6 million to $7 million.

It was announced Tuesday that Nutritek sealed an agreement of intent in respect of Khorolsky Plant and would pile up a majority stake in it by buying out the stocks from its private holders. Although the deal value has never been disclosed, the experts estimate it at between $10 million to $15 million. The deal is expected to be finalized this summer, Nutritek said in the investment memorandum.

Source: Kommersant

Poland Will Help Ukraine With Petrol

KIEV, Ukraine -- Poland has promised to deliver 50 thousand tons of petrol to Ukraine in the near future.

Beginning on May 22, 50 thousand of the cheapest A-95 petrol will be delivered to Ukraine.

The minister of transport and communication of Ukraine, Evgeny Chervonenko, declared about it after the first meeting of 89th session of European Conference Ministers Council.

"Poland is making a friendly gesture to help overcome the petrol crisis in Ukraine," said the minister. Chervonenko also admitted that delivery will be realized by railway.

Source: ForUm

Yushchenko Wants to Build International Burn Center in Kiev

KIEV, Ukraine -- "An International Burns Center will be created in Kiev. The main purposes of it will be scientific researching in the field of skin grafting and the treatment of burn patients," said the president of Ukraine at a press-conference in Poltava.

Yushchenko pointed to the fact that he will "willingly accept all propositions" touching upon this subject, if they "satisfy the concept of the project."

The president also informed that he had sent proposals for cooperation to many international centers and to the Shriners Burns Hospital in Boston, in particular.

Source: ForUm

Induction of 40 U.S. Peace Corps Volunteers to Take Place in Kiev

KIEV, Ukraine -- On Wednesday a ceremony will take place at the historic Ukrainian Teacher's House, at which U.S. Ambassador John Herbst will administer the oath of service to forty new Volunteers.

The new Volunteers will solemnly promise to promote Peace Corps' principles of respect and friendship across national and cultural boundaries as they serve in institutions across the country.


U.S. Ambassador John Herbst
Peace Corps Ukraine is the largest Peace Corps Country Program of more than seventy Country Programs worldwide.

Peace Corps was established in Ukraine based on a Bilateral Agreement signed in May 1992 by Ukrainian President Leonid Kravchuk and American President George Bush. The Peace Corps Ukraine Program offers practical language and management skills education to Ukrainian people in support of the Ukrainian Government's goals of entry into the global economic community and accession to the European Union.

The new group of Volunteers will be working in the framework of two projects - Youth Development and Economic Development. 23 Volunteers to be sworn in under the Youth Development Project will teach youth between the ages of 12 and 18 civic responsibility, healthy lifestyles, leadership, computers and Internet technology, basic business skills, and good environmental practices. They will work in rural and economically disadvantaged areas in 9 oblasts of Ukraine.

17 Economic Development Volunteers will work in local universities, NGOs, and municipalities teaching management skills and economics, facilitating community development, strengthening participation in civil society by teaching critical thinking, strategic planning, leadership, project design and implementation, gender education, and other subjects.

Over the past thirteen years Peace Corps Volunteers in Ukraine have taught, worked alongside and otherwise impacted more than one million Ukrainians. At present 298 Peace Corps Volunteers are working in more than 160 Ukrainian villages, towns and cities in 24 oblasts and the Autonomous Republic of Crimea.

The ceremony will feature speeches by U.S. Ambassador Herbst and dignitaries from the Ukrainian National and Regional Governments, including representatives of the Ministry of Economy and European Integration, the Ministry of Education and Science, and the Ministry for Youth and Sports. Peace Corps is funded by American taxpayers.

The organization promotes peace and friendship among peoples of different nationalities and cultures. During over four decades, Peace Corps has worked in more than 120 countries. In Ukraine Peace Corps sponsors three main program activities: Teaching English as a Foreign Language, Economic Development, and Youth Development.

Source: UNIAN

Ukrainian Police Say Child Victims of Sex Trade Soaring

KIEV, Ukraine -- The number of Ukrainian minors who have become victims of commercial sexual exploitation soared this year, an official said Tuesday.

More than 2,000 Ukrainian children and teenagers have become victims of the sex trade so far this year, a 60-percent increase compared with the same period last year, said Mikhaylo Tsymbaliuk, a top Interior Ministry official. "It is a big tragedy for the state," Tsymbaliuk said at a news conference in Kiev.

The Interior Ministry announced earlier this year that combating human trafficking and commercial sexual exploitation of children would a key priority. It also recently formed a special department tasked with combating human trafficking.

A majority of minors abused by criminals in this former Soviet republic had been forced into the sex tourist industry, child pornography and prostitution, Tsymbaliuk said. "Criminals are making big money from this."

In a report published earlier this year, police researchers claimed that some 20 percent of all Ukrainian prostitutes were teenage girls. They also indicated that 18 percent of homeless children in Ukraine usually became victims of sexual violence. "A mere 10 percent of the runaway children's families are actually trying to find their kids," the document said.

Making the illicit industry more difficult to combat, Tsymbalik said, "the commercial sexual exploitation of children often remains unreported because victims are either scared or intimidated."

Also Tuesday, La Strada, a key international watchdog that fights trafficking of women, claimed that some 8,000 children fell victim to sex exploitation in Ukraine last year. According to the International Organization for Migration, an U.N.-run body, 10 percent of all trafficking victims who return to Ukraine are aged between 12 and 18.

Ukraine gained notoriety as a key starting and transit point for human trafficking because of its porous borders and poor bilateral agreements on borders crossing with neighboring Russia, Moldova and Belarus. The European Union and the Organization for Security and Cooperation in Europe [OSCE] have pledged to help Ukrainian police and border guards to improve their effectiveness.

Source: AP

Kuchma's Son-in-Law Funds U.S. Author Sheckley's Treatment

KIEV, Ukraine -- Viktor Pynchuk, the son-in-law of former Ukrainian president Leonid Kuchma, has paid for the treatment and repatriation of U.S. science fiction author Robert Sheckley, who fell ill during a visit to Kiev, according to Pynchuk's office.

Sheckley was placed in the Borys private clinic on April 27 and is due to be discharged and leave for the United States on Thursday.

"On Monday, all the bills at the Borys clinic, where Sheckley is hospitalized, were paid for the period up to the day of his discharge on Thursday," the Ukrayinska Pravda quoted the office of Pynchuk, who is a businessman and parliamentary deputy, as saying.

The office put the sum paid for the author's treatment at 47,000Hr ($10,000).

Source: Interfax

World Bank Gives Ukraine US$87 Million to Improve Education

WASHINGTON, US -- The World Bank’s Board of Executive Directors approved a US$ 86.59 million loan for the Equal Access to Quality Education in Ukraine Project on Tuesday. The four-year Project is the first phase of an Adaptable Program Loan (APL) to support Ukraine’s reform initiatives in the education sector, the World Bank said on its website.

The World Bank believes “Ukraine’s education system suffered greatly from the country’s years of economic collapse. A drop in funding and salaries for education, along with deteriorating schools, brought about a decline in the quality of education.”

The Project will help Ukraine achieve equal access to quality education and improved efficiency of the education system, the bank said.

According to Ana Maria Jeria, Program Team Leader, “about 22,000 schools, of which 70 percent are located in rural areas, half a million teachers, and more than 6 million students will ultimately benefit from the project’s support to Ukraine’s ongoing education reforms.”

The loan will be at the Bank's standard interest rate for LIBOR-based, single currency dollar loans, repayable in 20 years, including a 5-year grace period.

Source: ITAR-Tass

Chernobyl's Radiation Improves Children's Immune System in Radiation-Polluted Regions of Ukraine

MOSCOW, Russia -- There is a threat of radioactive pollution in Ukraine's south, on the Crimean Peninsula. Carcasses of strategic bomber planes, which participated in A-bomb tests in Semipalatinsk, are buried on the outskirts of the city of Kerch. Ecologists say that the radiation level considerably exceeds the norm on the site of the burial.

Local authorities do not take any measures to protect the secret object. Local residents collect metal scrap there, hunt for hares and pick mushrooms. Children enjoy playing on the territory behind barbed wire. Doctors say that a half of local schoolchildren suffer from thyroid enlargement. The Emergency Ministry of Crimea addressed to the government of Ukraine with a suggestion to take the radioactive wastes away from the territory and utilize them. There has not been an adequate decision made on the matter yet.

It is worth mentioning that radiation has had a stimulating effect on a lot of children living in the areas that suffered from the Chernobyl disaster. Doctor of medical sciences, a professor of the Bryansk State University, Vladimir Mikhalev, shares such an opinion: the doctor has been studying children's development in both the Chernobyl area and in non-polluted regions for years.

According to Dr. Mikhalev, a lot of children living in Chernobyl-affected areas started growing faster in comparison with other children. They have better reactions; their brain activity is more active as well. Such children have a more powerful immune system in comparison with their equals residing in other territories. The professor also said that he could apply such a conclusion to the settlements, where increased radiation was registered and where people were consuming pesticide-free food and water.

Source: Pravda Ru

Ukraine's Political Rift Bad News for Russia and the West

PARIS, France -- Ukraine has finally outgrown its decade-long, east-vs.-west identity crisis. Ukrainians are no longer wondering whether to turn to Moscow or Washington for prosperity.

They're wondering whether they need the rest of the world at all.

This quandary came close to all-out battle this weekend when internationalist President Viktor Yushchenko angrily suggested that his nationalist prime minister, Yulia Timoshenko, quit. They later insisted that their unity remained uncompromised, but few appeared convinced.

The new identity crisis reflects Ukraine's increased confidence after last December's voter-driven revolution, and has accomplished what diplomats couldn't: It has put Russia and the West on the same side of the Ukraine question, at least for now. Russian and European investors want access to Ukraine's markets, even if it pits them against each other - and Timoshenko's populist policies have them rattled.

Russia's reasons for concern are more obvious and immediate. Russian companies are in no mood to lose their significant holdings in Ukraine in an overly zealous "re-privatization" campaign. The two countries' economies are so intertwined that any Ukrainian policy shift is bound to have repercussions on Russia. Saturday's showdown came at a meeting with Russian oil and gas executives over Ukraine's extension of price caps on fuel for the sowing season. Russian suppliers, who had agreed to the initial caps but not to the Timoshenko-driven extension, slashed supplies in protest.

Yushchenko's subsequent outburst at his premier buoyed Russian observers, and produced some of the most positive coverage of him in the Russian media in years.

Western investors, meanwhile, are waiting in the wings, and many are secretly rooting for the Russians - or at least hoping for some sign of compromise signaling that it's safe to enter the Ukrainian stage.

The U.S. government, which made Ukraine a symbol of the democratic regime change that President George Bush wants to see worldwide, is watching closely, too. If the new Ukraine turns out as stagnant or statist as the old one, Bush will need to cast about for another poster child. That would also discredit democratic movements elsewhere in the former Soviet Union, especially in Russia.

Yushchenko's problem is that Timoshenko's policies are highly popular among Ukrainians - and his aren't. With parliamentary elections 10 months away, this is no trivial matter. Yushchenko won western backing last fall with pledges to clean up and step up privatizations and adopt European standards and values, with an eye to EU and NATO membership. Timoshenko is answering to Ukraine's factories and farmers, who say they've had enough of outside interference.

The Ukrainians' position is understandable. Centuries of dominance by outsiders (usually Russian) were followed by a decade of post-Soviet "independence" that left Ukraine desperate and dependent on western aid and Russian politics. But despite Timoshenko's rhetoric, Ukraine can't climb out of this pit alone.

Russian observers draw parallels between today's Ukraine and Russia's experiences in the 1990s, when Boris Yeltsin and his government's U.S. advisors launched unpopular economic reforms and faced off against a nationalist opposition that tapped voter frustrations. The result was years of turmoil: the bloody 1993 events at the White House, runaway inflation, rigged privatizations, and a president hopelessly alienated from his population.

Yushchenko is in a stronger starting position than Yeltsin was. Ukraine has already survived the toughest post-communist reforms, and is no stranger to inflation or funny privatizations. A careful study of Russia's mistakes over the past decade could help Yushchenko recognize and defuse threats before they overtake him, and save his country from a similar struggle. The question is whether Yushchenko is too focused on a future in Europe to look for guidance in his eastern neighbor's past.

Aside from the parliamentary elections, Yushchenko's other impending nightmare is constitutional reform. According to a deal struck during the December's election crisis, he pledged to relinquish many presidential powers in favor of more power for the premier. Even the deal's European backers are getting nervous. They'd much rather have Yushchenko at the helm than Timoshenko, who is more unpredictable and less beholden to them.

Saturday's blowup may have been enough to scare Timoshenko into compromises in the near term to keep her post. That would be good news for Yushchenko, caught between his prime minister and the rest of the world.

Source: RIA Novosti

Mortgage Credit Line Extended to Raiffeisenbank Ukraine

KIEV, Ukraine -- The EBRD is extending a $10 million mortgage credit line to Raiffeisenbank Ukraine to support the fast-growing Ukrainian mortgage market. Half of the loan is expected to be syndicated internationally. It is the second transaction under a $30 million framework set up by the EBRD last year.

With domestic mortgage market growth topping 84 per cent in 2004, the sector has become increasingly attractive for local commercial banks. However, the absence of long-term funding and the low capitalisation of the Ukrainian banking sector increase the risks for sustainable growth of mortgage financing. The mortgage credit line to Raiffeisenbank Ukraine will help channel long-term financing to individual borrowers for buying, building or renovating their homes.

EBRD financing will support Raiffeisenbank Ukraine strategy to turn into a bank serving all segments of the market and, in particular, to become one of the leaders in retail banking.

The EBRD’s assistance for development of mortgage finance should have a significant economic and social impact through support for wider home ownership and improvement of housing conditions for the population, in line with the Bank’s new strategy for Ukraine. It should also help increase competition among local banks in this market, as well as develop specialised financial products

The Bank’s cumulative investments in Ukraine stand at €1.7 billion through 67 projects.

Source: Harold Doan Associates

Ukraine's Premier Stays on Russia's Wanted List

MOSCOW, Russia -- Yulia Tymoshenko, Ukrainian prime minister, stays on the international wanted list. "Russia has not cancelled search for her," Alexander Savenkov, Military Prosecutor General, said at a RIA Novosti conference today.

"There is a criminal case on which the facts of Yulia Tymoshenko's wrongful acts are investigated, and her file has not been modified. The investigation is going on, and a judicial verdict on the measure of restrain remains valid," he said.

"There are no obstacles for her to pursue her prime-ministerial duties, including her visits to Russia, because being the head of the government, she has immunity," the prosecutor said.

The Russian Military Prosecutor General's Office had indicted Tymoshenko for bribing certain officers of Russia's Defense Ministry to entice them into signing contracts lucrative to her.

The Ukrainian premier flatly refused to go to Russia for questioning and Russia applied for her international search to be launched.

Source: RIA Novosti

Ukraine's Yushchenko Admits Mistakes in Appointing Some Officials

KIEV, Ukraine -- President Viktor Yushchenko said Tuesday his government erred in appointing a number of officials and pledged to rectify the mistakes.

Speaking during a visit to eastern Ukraine, which largely supports the opposition, Yushchenko was quoted by the Interfax news agency as saying that "a government's strength is determined by how swiftly it can react to its own errors, including personnel policy."

His remarks appeared to respond to criticism in Ukraine's industrialized and mainly Russian-speaking east that the government has deliberately neglected regions who overwhelmingly voted against the new president in last year's bitterly contested elections.

The pro-Russian opposition, mainly from the former Soviet republic's east, has also accused the government of persecuting its political opponents.

The new western-leaning authorities, who came to power in January following a wave of protests against election fraud in the presidential race, have denied such accusations and claim they are just fighting corruption that flourished under former president Leonid Kuchma.

Yushchenko did not identify on the officials whose appointments he now considers a mistake, but in recent months the government has replaced all regional governors and some mayors as well as a number of civil servants in what it says is an effort to improve the country's administration.

Yushchenko recently ordered his office to form a special desk to handle thousands of people's complaints.

The president said Tuesday that democracy "cannot be created overnight" and that some of 18,000 new officials appointed throughout the county in only two months "were not good."

"We need honest people, capable people, people who care about their nation. Where to find them, that's not simple," Yushchenko was quoted as saying.

Yushchenko's government came under fire earlier this month after U.S.-born Justice Minister Roman Zvarych acknowledged he had never received a master's degree listed in his official resume, and over Prime Minister Yulia Tymoshenko's handling of a recent fuel crisis.

On Monday, Ukraine's top human rights official, Nina Karpachova, also criticized the authorities for police brutality and launched an investigation into an alleged police attack on three opposition legislators in the west of the country.

Source: CNews

Really Betraying a Revolution

KIEV, Ukraine -- On May 18, a mischievous and disingenuous article critical of Ukraine Prime Minister Yulia Tymoshenko’s new government appeared in Washington Post, an august, respected US newspaper that once had the temerity to publish investigative reports that brought down US President Richard M. Nixon in one of the darkest chapters in US history. The May 18 article was inappropriately titled “Betrayal of a Revolution”, written by Anders Aslund, director of the Russian and Eurasian Program at the Carnegie Endowment for International Peace.

The primary thrust of the article was to condemn review of corrupt privatization deals under Ukraine’s former, pre-revolutionary regime. According to Mr. Aslund, who enjoys a respectable bully pulpit due to his job title, most of the ills in new Ukraine’s economy are directed related to Prime Minister Tymoshenko’s management. He states, as an article of faith but without any corroborating evidence to demonstrate cause and effect versus mere correlation, that “economic growth is screeching to a halt as a result.” Peppering his criticism are words like “populist”, “socialist”, and “state capitalism” – suggesting, again as articles of faith and nothing more, that these are necessarily bad things that can only contribute to economic problems.


Who is interested in the "betrayal of the revolution"?
Increasing pensions and salaries, to move workers and retirees a little further out of poverty-level income, were condemned as budget busters that Ukraine’s new government cannot afford – despite the fact that not doing so essentially guarantees perpetuation of graft and corruption. Elimination of graft and corruption, and raising the overall standard of living for ALL Ukrainians rather than a few insanely greedy oligarch clans, was the main underlying and implied reason for the Orange Revolution – at least from hundreds of people, activists and otherwise, I talked with on the ground during and after the Revolution. Further, as director for any sort of peace institute, Mr. Aslund is obliged to review the connection between poverty and peace. Peace does not and cannot exist for people in poverty, unless they are harshly suppressed by government or other forces. Poverty is a horrible existence and lifestyle, and is bound to breed violence, not peace.

Therefore, it is appropriate to question, how, precisely, fulfilling the very things that the revolution was about constitutes “betrayal of a revolution.” Betrayal would be to NOT take those actions.

Mr. Aslund comes across as an economic hit man. I recently became a bit concerned about his grasp and representation of simple factual evidence in reading another article from him in Kyiv Post, “Aslund discusses Ukraine’s economy.” Therein, he states at the start that “the Orange Revolution was not about economics...It was all about freedom, democracy, against corruption and for a Western choice, a European choice.” It’s only a matter of opinion, at best, as to whether the revolution was about economics: the whole point of freedom and democracy, as far as I could see and hear, assumed economic improvement as a result of freedom and democracy.

If everyone in Ukraine had a nice home, a nice car, plenty of food, good income, good health care, there would have been no need for revolution – nor would there likely have been one. Too many people were being crushed by the old regime, their voices and opinions were rarely if ever listened to by an utterly corrupt government, and the only conceivable solution was freedom and democracy as an essential first step to change things. The “Western choice” was not about idealistic ideology, it was very pragmatic looking to superior economic standards common across Europe and the West. To say the revolution was not about economics is patently absurd.

Then, this question from KP: “A lot of people believe that capping gas prices is the wrong move for anybody who advocates market values. What do you think about that?” Aslund: “This is a small problem, but it’s not wrong.[PM Tymoshenko] is discussing a series of reforms and she is discussing cost, which is not what you should be discussing when you are discussing the oil price. You should discuss when you look at what’s happened to the world market price. World market prices are skyrocketing. Ukraine today has a petrol price which is about the same as in the US. In the US, there is no tax whatsoever on petrol. In Ukraine, there are significant taxes on petrol. And for Ukraine to have a vastly lower price is extraordinary, and to complain in this situation that Ukraine is subject to market monopoly manipulation just doesn’t make sense.”

In the Washington Post article, Aslund stated “The predominantly Russian oil companies have increased their prices as world market prices have risen. Tymoshenko has imposed strict price controls on gasoline and forced the remaining state oil companies to deliver it at prices below market levels. Not surprisingly, oil supplies have declined, and gasoline shortages have erupted.” This, despite him saying only three weeks earlier that Tymoshenko’s price controls are “not wrong.” Was he mistaken then, or is he mistaken now?

Further, the US does, indeed, tax petrol, and have done so for decades with the Federal Excise Tax on petrol. His statement to the contrary is simply wrong.

Regarding world oil market prices and Russian monopoly manipulation within Ukraine, “Russian crude oil is currently being sold to Ukraine at $340 per ton, compared to $318 for the same quality of Russian oil on other European markets. Moreover, Russian refiners have increased product prices on the Ukrainian market by approximately 30% since April.” 4

Meaning, of course, that despite fluctuations up AND down in world oil prices, Russia is especially targeting Ukraine with higher prices, and therefore costs, and is clearly manipulating Ukraine’s market. Worse, TNK-BP, a 49% British-owned oil company and one the dominant Russian oil companies in Ukraine, is engaging in these practices which can only be aimed at weakening and attempting to undermine Ukraine’s new democratic government. To be clear: a major Western oil company is intentionally trying to help undermine democratic government in Ukraine.

Tymoshenko is now on an economic hit list, and to a lesser extent President Yushchenko because he is playing the role of meek apologist for his Prime Minister, a woman who has the guts and spine to stand up, speak out, and do the right or wrong thing depending apparently on mood and time of month for critics like Aslund. The real, underlying reason for her attempted damnation, and to a lesser extent Yushchenko’s as long as he continues to apologize for Tymoshenko, gets straight to exactly what Aslund is complaining about in the more recent Washington Post piece. That is, Ukraine’s democratic government has the audacity to review and consider corrupt privatization deals, which robbed Ukrainian citizens time and again of any real financial benefit from companies that they, as state citizens, financed, bought, and paid for to start with.

Tymoshenko’s greatest “crime”, for which she is now being castigated by economic hit men, is that she sees no crime in retaining control and therefore profits from lucrative state enterprises to benefit common Ukrainian people instead of private buyers who care nothing whatsoever for Ukraine or Ukrainians. Aslund counters with name-calling: “state capitalism”, “populist”, and worst of all at least in US vernacular, “socialist.” “Socialist” is a bad word in US politics, but not so bad in Europe – where Ukraine is heading, not to the US. He used those words in a US publication knowing very well the nasty impact they would have. This, in a country where at least one in six people live in poverty, and probably closer to one in four – if honest poverty statistics ever come to the fore.

Moreover, it is a bit difficult to separate notions and condemnations of “state capitalism” from the US experience while companies like Halliburton are looting the US treasury, war profiteers are making out like bandits, all on a pack of lies for US going into Iraq to enable said profiteers to do exactly what they’re doing now at a cost to US taxpayers of more than one billion dollars per week. This is state capitalism in its blackest, most cynical form – with increasing poverty, tens of thousands of civilian deaths, while any shred of human decency is almost entirely removed from profiteering in an illegal and utterly fraudulent war in Iraq. 5

Such things should not matter excessively to Ukraine, except for getting out of the war in Iraq; withdrawal is underway now. I’ve said before, and say again, there is no crime or sin in a country using its own assets for the broadest benefit possible of all of its citizens. Citizens are the rightful owners. Condemnations to the contrary are fundamentally dishonest, by Mr. Aslund and anyone else. Mr. Aslund made no case whatsoever for any sort of cause and effect between what Ukraine’s new government is doing and how that affects the economy.

Turning the corner against corruption to an honest, democratic government is bound to be a difficult transitional period. Not turning the corner, and letting sleeping dogs sleep in the way of corrupt assignations of huge state assets to criminals, is far worse. At the least, Tymoshenko is honestly trying, and if Yushchenko maintains his support and doesn't leave her hanging, she will likely get it done. In the meantime, destructive noises from men with fancy, prestigious job titles should be taken for what they’re worth – nothing – and Ukraine should not cave in.

Finally, it is no accident that noise and criticism of Tymoshenko is building during the run-up to Yushchenko's meeting with World Bank in mid-June – now headed up by one of the worst chickenhawks in the Bush cabal, Paul Wolfowitz. What will be discussed is US$1.5 billion in loans to Ukraine for 2005 for – poverty relief. What economic hit men will surely try to do is persuade Ukraine to give up lucrative state assets to private buyers – and thus lose most of that revenue base – in exchange for the “privilege” of borrowing billions of dollars and going into debt to Western governments, particularly the US.

That’s the deal, and that is what and all is going on with most of this noise against Ukrainian Prime Minister Yulia Tymoshenko at this point in time. God forbid that she have the courage to do the right things for Ukraine. It is simply not done in many countries, including the US, which will likely be one of the main sources of vitriol against her in coming weeks and months unless her government relents on strong, progressive social policy and gives in to demands to give up lucrative state enterprises.

Someone is surely interested in the "betrayal of a revolution." But, there is no credible evidence that it is Yulia Tymoshenko and her government, whereas there are more than enough grounds for suspicion towards outside troublemakers and profiteers, from both sides of the world.

Source: Maidan

Former Ukraine Leader Will Appeal Remaining US Convictions

SAN FRANCISCO, USA -- A lawyer for a former prime minister of Ukraine said today he plans to appeal the remaining 14 criminal counts left in place against his client by a federal judge in San Francisco.

Last week, U.S. District Judge Martin Jenkins affirmed a jury's conviction of Paulo Lazarenko, 53, on 14 counts of money laundering conspiracy, money laundering and transfer of millions of dollars Lazarenko allegedly gained through extortion and kickback in Ukraine.


Paulo Lazarenko and son (background right)
But Jenkins dismissed 15 other counts of wire fraud and transfer of stolen property on which the jury convicted Lazarenko last year. The judge said there wasn't enough evidence for those counts.

Lazarenko was prime minister -- the second-highest position in Ukraine -- in 1996 and 1997.

He was accused in the U.S. trial of using American banks, including several in San Francisco, to launder millions of dollars he allegedly obtained through extortion and kickbacks while holding a series of Ukrainian government posts in the 1990s.

Defense attorney Doron Weinberg said today, "We are very pleased the court set aside 15 counts. We believe we have very strong issues on appeal and we definitely plan to appeal the remaining convictions.''

The appeal will be lodged with the 9th U.S. Circuit Court of Appeals in San Francisco.

Kevin Ryan, the U.S. attorney for Northern California, said the ruling "validates the jury's convictions of Paulo Lazarenko in connection with his efforts to conceal and invest ill-gotten gains through American financial institutions.''

Ryan said, "Corrupt public officials, at home and abroad, whose activities violate the laws of the United States, are on notice that they can and will be zealously prosecuted and convicted here for these activities.''

Lazarenko was originally charged with a total of 53 counts. In an earlier ruling midway through the trial last year, Jenkins dismissed 24 other wire fraud and transfer counts.

The unusual trial required prosecutors to prove both that the alleged money laundering, wire fraud and stolen property transfers took place in violation of American law and that the money was gained illegally under Ukrainian law in effect at the time.

Defense lawyers contended Lazarenko gained his wealth legally through business deals during a tumultuous time in the early 1990s as Ukraine moved from a Communist to a capitalist economy.

The case is only the second time that a former foreign leader has been prosecuted in a U.S. court.

In the other case, deposed General Manuel Noriega of Panama was convicted in federal court in Miami in 1992 on cocaine trafficking charges and is now serving a 30-year sentence.

Lazarenko is currently free on house arrest at undisclosed location on an $86 million bond. Weinberg said the former prime minister is paying for the costs of a security task force to maintain the house arrest.

Jenkins set a hearing for June 23 to set a future date for Lazarenko's sentencing.

Lazarenko faces a maximum possible sentence of 20 years in prison for each money laundering count, but the actual sentence will be determined by the judge after considering federal guidelines.

Weinberg said he expects the dismissal of 15 counts to have a substantial impact on Lazarenko's potential sentence.

But Luke Macaulay, a spokesman for Ryan's office, said, "We expect significant time" to be ordered in the sentence on the remaining 14 counts.

Federal prosecutors are also seeking forfeiture of $21.7 million in alleged ill-gotten gains.

Source: CBS

Kiev Probes Police Attack

KIEV, Ukraine -- Ukraine's top human rights official said Monday that she has opened an investigation into a possible police attack on three opposition lawmakers.

"The use of force against lawmakers is a clear sign of a police state," Nina Karpachova said in a statement.

Ukraine's opposition Social Democratic Party of Ukraine (United), claimed that its lawmakers had suffered injuries in the western city of Uzhgorod while attempting to prevent police from transferring a former regional official from hospital back to jail.

Ukrainian investigators detained Ivan Rizak, a former governor of the western Zakarpatye region, earlier this month and charged him with abuse of power and bribery. Rizak, who suffers from a heart condition, was later transferred to a hospital for treatment, but last Friday doctors reported he was fit enough to return to jail.

Interior Ministry spokesman Volodymyr Mulko said Monday that it was "too early to draw any conclusions."

Rizak is a staunch backer of former Prime Minister Viktor Yanukovych, who lost last year's bitterly contested presidential vote to then-opposition leader Viktor Yushchenko.

Authorities loyal to Yushchenko recently arrested several former officials on charges ranging from abuse of power to conspiring to commit murder.

Yanukovych and other opposition politicians have accused Yushchenko's government of persecuting its political opponents, but the new authorities say they are just fighting corruption that flourished under the former Kuchma regime.

Ukraine's new pro-Western leadership came to power after mass protests over election fraud last year. It has promised to improve human rights after the decade-long rule of former President Leonid Kuchma, who was accused of violating civil freedoms.

Source: St. Petersburg Times

Russian Companies Are Not To Blame For The Oil Crisis In Ukraine

MOSCOW, Russia -- On Monday, Anatoly Kinakh, vice-premier of the Ukrainian government, offered apologies to Russian industrialists and entrepreneurs engaged in oil business in Ukraine.

"I apologize, on behalf of the country's government, for blunt statements made by some Ukrainian officials during the peak of the oil crisis," said Anatoly Kinakh at a meeting with Russian businessmen.

Kiev put the blame for the oil crisis in the republic on Russian companies accusing them of corporate collusion and a steep rise in gasoline prices (its prices became twice as high as in Russia as a result).

In Anatoly Kinakh's words, they have found ways to resolve issues related to the regulation of the petrochemicals market.

"The Russian companies, such as Lukoil, the Tyumen Oil Company (TNK), Tatneft and others, saw how difficult it was to resolve this issue," he continued. He drew his companions' attention to the statement made by Ukraine's president Viktor Yushchenko that no non-market, administrative, forceful measures should be applied in resolving it.

"The authorities must be in constant dialogue with business on an equitable basis, not only in the crisis situation like this one," Anatoly Kinakh stressed.

In his words, "the time has come to think of a new ten-year Russian-Ukrainian agreement on oil transportation via Ukraine."

Anatoly Kinakh recalled that annually Ukraine needs 75 billion cubic meters of gas and 20-24 million tons of oil, with domestic production of about 20 billion cubic meters of gas and only 3 million tons of oil (together with gas condensate).

"Some 80% of energy resources are imported to Ukraine (mostly from Russia and also from Turkmenistan by Russian gas pipelines). In our opinion, Ukraine's energy security can be achieved through energy saving, diversification and creation of conditions for a civilized market," Anatoly Kinakh said in conclusion.

Source: Russian News Agency

Fuel Crisis Drags Yushchenko Back Into the Fray of Ukraine's Politics

KIEV, Ukraine -- Little more than 100 days after Viktor Yushchenko won the Ukrainian presidency on the back of "Orange Revolution" pro-democracy protests, a petrol shortage has forced him to delve into the nitty-gritty of managing the country.

Mr Yushchenko, a former central bank chairman who had sought to maintain a detached, presidential role away from day-to-day government, last week stepped in to defuse a fuel crisis sparked last month when Yulia Tymoshenko, his hand-picked prime minister, ordered price caps on oil.

The move was intended to lower prices and overall inflation, but Russian energy companies, which meet 80 per cent of Ukraine's oil needs, sharply reduced imports, causing severe shortages.

Mr Yushchenko then ordered the caps to be gradually lifted, satisfying suppliers and easing fears that Ms Tymoshenko was pushing the country too far to the left.

In an interview with the Financial Times, Mr Yushchenko said: "I wouldn't draw the conclusion that what has happened in the government's first 100 days represents the absolute fundamentals of economic and social policy."

He also appealed for understanding from foreign investors who have been put off by some of his government's early moves.

The fuel crisis sparked speculation that Ms Tymoshenko would be asked to resign. During the weekend, both she and Mr Yushchenko denied a rift.

The Ukrainian president, in a statement, said his team was "as monolithic as always" and that his "positive evaluation of the government's work remains unchanged".

Ms Tymoshenko grabbed headlines in recent weeks with accusations against oil companies, and also announced plans to increase the state's role in a range of markets, including petrol, electricity, insurance and mortgages.

She also fanned worries among business leaders in Ukraine and Russia - who have heavily invested in the country - that a review of previous privatisations would not be limited to a pre-defined list of companies, as Mr Yushchenko had promised.

Mr Yushchenko, however, reiterated in the interview that a fixed list of companies subject to review would be published in "the near days". A list of 29 companies that was published this week by the Russian newspaper Kommersant was a preliminary but "not official" version, he said.

The list published by Kommersant was dominated by steel plants, ore mines and other metallurgy companies sold in 2003-2004 to domestic tycoons. However, it also included several Russian-owned companies.

Mr Yushchenko said he would support moves to improve the management of state assets, including the creation of a vertically integrated state oil company, but he would not permit any nationalisation. The companies whose privatisations will be reviewed could be re-auctioned, with current owners allowed the chance to keep their companies by matching the highest bid.

Mr Yushchenko said he did want to reduce Ukraine's dependence on Russia as a supplier and transit route for oil and gas by pursuing a range of investment projects.

Ms Tymoshenko had argued the oil price caps were necessary to fight what she claimed was politically motivated collusion among Russian oil companies eager to make things difficult for the pro-western president.

The president, however said he saw no evidence of cartel behaviour and criticised the price-cap policy for not being "liberal or market- oriented".

"To go in that direction is not correct, and it won't happen. I was obliged to again remind the government that such policies don't fit in the goals or methods of the new administration," he said.

He also pointed to his government's "colossal success" in quickly tackling what he argued had been a thoroughly corrupt and dysfunctional political system. He said more than 16,000 civil servants were replaced in the government's first 100 days in a crackdown on corruption and inefficiency.

Source: Financial Times

Ukraine's NATO Flirting

BRUSSELS, Belgium -- “In the past statements praising Ukraine's Euro-Atlantic aspirations underlined the strategic nature of our relations with the Alliance. However, due to the level of democracy in our country as well as inconsistencies in foreign policy, they were rightly regarded as unrealized declarations and lost opportunities rather then real steps forward,” said Ukraine's head of mission to NATO Volodymyr Khandogiy.

Speaking at a lunch debate organized by Brussels-based Ludwig von Mises Institute Europe, Khandogiy, a former Ukraine foreign minister in Soviet times, stressed that Ukraine's European integration is inseparable from NATO: “I could hardly imagine Ukraine's full integration into the European economic structure without sharing security commitments. Taking into account our geopolitical situation, a lack of security pillar would make such integration incomplete and therefore unlikely.”


Volodymyr Khandogiy at NATO Headquarters
Khandogiy admits that Ukrainians, whilst favorable to joining the European Union, are not convinced about the US-led military alliance: “NATO is a performance-based organization. Intentions are important, provided they are backed by hard work. But security integration efforts alone will not bring us any closer to NATO if we do not succeed in convincing Ukrainians to get rid of the old stereotypes about NATO as an 'aggressive block'.”

The ambassador is aware that NATO integration is not for tomorrow: “We understand and accept that. Our approach is realistic and pragmatic. We do not expect radical decisions on membership to be taken immediately. Neither Ukraine nor NATO is ready for such a decision to-day.”

For Khandogiy, NATO integration is inseparable from friendly relations with Russia, the Ukraine's 'eternal strategic partner'. “It's impossible to build security in the Euro-Atlantic area without taking into consideration the interests of Russia. Moscow's statements on treating Ukraine as a sovereign and equal partner, as well as Russia's acceptance of our efforts to develop independent foreign policy sound very optimistic in this regard,” Khandogiy said.

Nonetheless, Ukraine's full NATO integration appears blocked as long as the Russian Black Sea Fleet remains in the Crimea. An agreement between the two countries, signed in May 1997, foresees the withdrawal of Black Sea Fleet from its historic base in Sevastopol by 2017. “I hope we will not wait that long. Our ambition is to become a member of NATO soon,” said Khandogiy. “Personally, I do not think that the presence of Russia's Black Sea fleet on Ukrainian territory is an obstacle to becoming a member of NATO.

At the moment, we're not discussing modalities but principles. In our discussions this issue has not been raised.” Khandogiy talks of 'new and innovative' ways of satisfying Russia, NATO and the Ukraine. “The time has not yet come to discuss this issue, but I think when it does we'll find a solution.”

Khandogiy, albeit stressing that good relations with Russia remain a priority, is frank as to the Commonwealth of Independent States: “As far as Ukraine is concerned, our parliament has never ratified the founding treaties of the CIS. Formally speaking, we are not even full members of this organization although we participate in its work and try to make it more effective.” Khandogiy would like to see a restructured body, with less Russian domination, and more practical benefits such as a free trade zone for former Soviet countries.

“The CIS was created to arrange the peaceful and orderly divorce of the former Soviet Union. That was basically the aim. This organization has lived on until now, but the effectiveness of the organization is low. Unless the CIS becomes an effective body for solving issues that concern all participants it will have no future. Still, I am far from saying it should be dissolved.”

Relations with neighboring Moldova, the former Soviet republic locked in a conflict with the separatist Transnistria regime, are also a priority: “Ukraine will enhance efforts for a settlement of Transnistria conflict. There should be no qualification of the territorial integrity of states and borders as formed historically in Europe. Although with respect to Moldova, we always emphasize that a political solution should be found by the parties concerned with international mediators, that include Ukraine.”

Source: Euro-Reporters

Ukraine to Resume Asset Sales Soon to Help Sustain Economic Growth

KIEV, Ukraine -- Ukrainian deputy prime minister Oleh Rybachuk said the government will accelerate state-asset sales as soon as the second half of the year after reviewing prior sales under the former administration of President Leonid Kuchma.

‘‘We expect a sharp increase in investments’’ because the government will be selling assets to the highest bidder, Mr Rybachuk said in an interview on Sunday at the annual meeting of the European Bank for Reconstruction and Development in Belgrade. ‘‘It won’t be the same process anymore when in order to participate in Ukraine’s privatisation you’d have to be a member of Mr Kuchma’s family or at least a friend of somebody’s in the government.’’

Ukraine wants to resume state-asset sales to help sustain economic growth and attract foreign direct investment. Its near $60 billion economy is expected to grow at least 8.2% this year, compared with 12.4% in 2004.

‘‘We clearly need a new privatisation programme’’ and the government expects to agree on it by mid-June, when the country holds a so-called ‘mini-Davos’ investment forum in Kiev,’’ Mr Rybachuk said.

The country may overturn the sales of about 30 companies that were sold at discount prices by Mr Kuchma’s administration, he said. Viktor Yushchenko, who won December presidential elections, has said he wants to revise the 2004 sale of VAT Kryvorizhstal, the country’s biggest steel maker, to a company co-owned by Kuchma’s son-in-law.

Once the list of controversial asset sales is issued, the government will ‘‘draw a line’’ under the process to give ‘‘a clear signal it won’t be extended once approved,’’ he said.

Asset sales of state-owned companies have been stalled since before the first round of presidential elections in October 2004 and no foreign investor won tenders to buy Ukrainian assets for at least two years.

The government may sell companies such as VAT Ukrtelecom, the country’s national telephone company, and some electricity companies to investors via open tenders, Mr Rybachuk said.

Ukraine expects to join World Trade Organisation by the year-end, according to an ‘‘optimistic scenario,’’ which would also help to further improve investment climate, Mr Rybachuk said. Ukraine also seeks further integration with Europe, said Rybachuk, who is responsible for integration with Europe.

‘‘I can’t say when I expect to see Ukraine in the EU,’’ Mr Rybachuk said.

‘‘I believe there will be a first opportunity to look at the chances after a’’ summit meeting between Yushchenko and UK Prime Minister Tony Blair ‘‘in Kiev this autumn.’’

Source: Bloomberg

EBRD Offers Financial Aid to New Ukrainian Government

BELGRADE, Serbia -- The European Bank for Reconstruction and Development (EBRD) promised to provide Ukraine's new government with finance to strengthen the country's banking system, upgrade infrastructure and improve the climate for investors.

"Having successfully come through a difficult political test, Ukraine is now taking important steps towards integrating into the European and world economy," the EBRD said in its latest strategy update of the country, unveiled on the closing day of the bank's annual conference in the Serbian capital.

"The EBRD, a major investor in the country (Ukraine), having already invested 1.7 billion euros (2.1 billion dollars) through 67 projects, can play an important role in supporting Ukraine in this process," the bank said Monday.

Founded in 1991 to assist the transition of former communist nations to market economies, the EBRD operates in 27 countries covering southeastern and central eastern Europe, the Baltic states and the Commonwealth of Independent States (CIS).

Regarding Ukraine, it said it would support the private sector by encouraging and sharing risk with foreign direct investors and increasing investment in large local manufacturing, maturities, as well as promote syndications.

It added that it would actively support consolidation in Ukraine's banking sector by providing equity finance and the bank would support the restructuring and modernisation of Ukraine's roads, railways, harbours and airports, as well as energy sectors.

The EBRD's two-day meeting was to close later Monday, having centred on its investment projects in Balkan countries, some of which were hoping to be accepted into the European Union before the end of the decade.

Ukraine's West-leaning president Viktor Yushchenko was elected in December following a peaceful revolution that saw the overthrow of a pro-Russian government.

Source: AFP

Euro-Unity and Divisions in Kiev

KIEV, Ukraine -- Witnessing the 50th Eurovision Song Contest in Kiev's Sports Palace was a strange mixture of excitement, camaraderie and political division.

The vast arena was filled to the brim with both seasoned fans and Ukrainians enjoying the musical spectacle on home soil for the first time.


Winner of the Eurovision song contest Helena Paparizou of Greece holds the Greek flag
While the flag-waving was distinctly partisan, there was a palpable sense of harmony in the arena.

I spent the long event next to a Ukrainian, who said she knew nothing of the contest and simply came to enjoy the show.

Nearby was a party of Irish fans, who came to be entertained and were not disheartened by their country's failure to qualify for the final.

As the slick and colourful show wore on, we exchanged notes on which songs we favoured, clapping to some and standing up to dance for others.

Every one of the 24 hopefuls were greeted with a rapturous reception as they attempted the tricky task of persuading voters across Europe that they had the winning formula.

Maltese balladeer Chiara struck the right note with her soaring voice - sending a collective tingle down the spine of the vast crowd.

Voting blocks

But it seemed there were no performances which were unengaging, each with their own beguiling charm.

The Eurovision experience took a dramatic shift when the music stopped and it was time for the lengthy and highly controversial votes to come rolling in.

Some people began to file out of the arena, convinced the show was over, and the crowd fell into an almost reverential hush as countries delivered their intriguing verdicts one by one.

This year's voting patterns suggested that Eurovision unites Europe less than ever.

The Scandinavians stuck together, while the mighty Balkan block vote proved more powerful than ever.

The audience expressed their distaste at certain decisions, such as when Greece gave Cyprus their perennial douze points.

Upbeat ending

Turkey, however, caused the auditorium to erupt when they presented their old adversary Greece with full marks.

But another Eurovision club we hear remarkably little about was on good form this year.

The UK, Malta and Cyprus exchanged goodwill points, while Ireland's eight points to its nearest neighbour saved singer Javine from nul points shame.

As the contest drew to a close with a convincing victory for Greece, seasoned Eurovision pundits were suggesting that it is time for the biggest contributors to the contest to pull out.

Spain, the UK, France and Germany were sat glumly at the foot of the table as Ukrainian President Viktor Yushchenko handed Helena Paparizou her prize.

The appearance of Ukraine's head of state put the whole contest into perspective.

The voting temporarily paled into insignificance when the event closed on a exuberant note of celebration.

Source: BBC News

Revolutionaries In Ukraine No Longer Singing Same Song

KIEV, Ukraine -- Demonstrators were again packing the streets of Kiev this weekend, six months after their Orange Revolution.

But this time their focus was not on confrontations with riot police, but on a celebration of Eurovision. Written off by many as kitsch, the song contest has provided the focus for an outpouring of emotion.

But not everybody is happy. Revolutions have a habit of eating their children, and Ukraine is no different. Pora, the youth group that spearheaded the December protests, has tried, and failed, to enter politics.



Victor Yushchenko, Ukraine's president, has cold-shouldered the movement, grudgingly giving it a single cabinet post and telling Pora that if it wants more, it will have to stand for election, just like anybody else.

Pora - it means "it is time" - is now trying to form a political party, but its membership drifted away with the end of the street protests and, shorn of its pro-democracy zeal, the leaders struggle to define what they stand for.

For Eurovision, Pora reopened the camp it formed as a focus for the winter revolution. But the Kiev authorities, having just resurfaced the roads, ordered the camp be set up on an island on the Dnipr river, so barely a tenth of the 5,000 expected inhabitants showed up.

Many, even inside the movement, now want Pora to stay out of politics, instead making sure future governments stick to the right path. "Some think we can be the guardians of democracy," said Nina Sorokopud, a Pora press officer. "If it were not for Pora, then maybe the revolution would not have happened."

Meanwhile, there are tensions between Mr Yushchenko and Julia Timoshenko, his prime minister. During the revolution, they were an inseparable double-act, with Mr Yushchenko playing the role of sober father- figure and Ms Timoshenko providing the fire and the passion.

Since then, they have gone their own way.

Ms Timoshenko has worried economists by splashing out on a generous programme of pensions and social payments that the government cannot afford. That has made her popular, as has her shrill campaign to root out corrupt tycoons who grew rich under the previous government. Dozens of its privatisations have been revisited, starting with the sale of a giant steel works by the former president Leonid Kuchma to his son-in-law.

"She is a pain in the neck for a lot of strong men in Ukraine," said Peter Burkovski, of Kiev's School for Policy Analysis.

Despite their squabbles, the Yushchenko-Timoshenko team remains popular, regularly scoring 60 per cent in opinion polls. And most expect their alliance to hold, if only out of self-interest. "They are destined to work together," said Mr Burkovski. "If they break up, it will be a huge blow to both."

Meanwhile. their opponents have lost ground. Victor Yanukovich, the former prime minister who lost the presidential election to Mr Yushchenko, has seen his popularity tumble.

And the westerners living there say the downfall of the old regime has eased corruption.

Mr Yushchenko recently chose to hold his birthday party in Kiev's Irish pub, O'Brien's. Its owner, Desmond Reid, said: "Everything has become a lot more transparent. It's too early to say how successful they will be, but they are heading in the right direction."

Rougher times lie ahead. Kiev may find a cash crisis because of Ms Timoshenko's spending on social services, unless she can find extra money from the anti-corruption investigations now under way.

But, for now, after a history of domination by Russia, the Soviet Union and home-grown despots, many in Kiev are simply savouring democracy. "The number one emotion you find on the streets is hope," one western diplomat said.

Echoing that point, Anna Voznita, a hotel worker, said: "This is like a new circle of history for us. It is not just empty optimism. With the revolution, our country was reborn."

Source: The Scotsman

Ukraine Leader Dismisses Notion PM Should Quit

KIEV, Ukraine -- Ukrainian President Viktor Yushchenko on Saturday dismissed a report that he had suggested his prime minister, criticized over her handling of a fuel crisis, resign or join an opposition party.

The weekly Zerkalo Nedeli said the president had made the suggestion to Prime Minister Yulia Tymoshenko at a meeting this week with Russian and Ukrainian oil executives.

Yushchenko, propelled to power last December after mass "Orange Revolution" protests, has been increasingly at odds with Tymoshenko over how to rejuvenate the economy as part a broad policy of moving out of Russia's shadow and closer to Europe.

Tymoshenko has accused Russian companies of a "plot" in raising prices of products sent to Ukraine and favored imposing limits on petrol prices.

But Russian firms, which own four of six refineries in Ukraine and dominate the retail market, cut supplies. That caused shortages, with motorists queuing for hours at pumps.

Yushchenko launched a broadside against her this week, saying the moves had violated market principles. The economy minister was given a week to rescind moves to cap petrol prices.

But a statement on his Web site www.president.gov.ua dismissed any notion that he had asked the premier to quit.

"I trust the prime minister. My approval of the government's work remains unchanged," Yushchenko said.

"Only those who take no action make no mistakes. The ideals of Independence Square -- honesty, transparency and open government -- remain with us," he added, referring to last year's huge rallies in Kiev's main square.

Shortages have since eased. Fuel prices have risen and Russian companies have pledged to increase supplies to Ukraine.

Speaking at the opening of Thursday's talks with oil executives, Yushchenko said events on the market had been "a clear example of how not to manage affairs."

Zerkalo Nedeli's account, quoting meeting participants, said the president described his government as "the worst in Europe" and said he regretted appointing Tymoshenko.

It said the premier repeatedly rejected his criticism. Yushchenko then proposed she "tender her resignation and go off to play the pipes and beat the drum" with the opposition.

Yushchenko's spokeswoman, Iryna Gerashchenko, appeared to suggest the matter was now closed.

"Naturally, he wants the prime minister to remain," she said by telephone. "The president is firm in saying that discussion of policy must not take place in public. But there is no point in looking back. That is a path to nowhere."

Source: Reuters

Greece Wins Eurovision Song Contest in Ukraine

KIEV, Ukraine -- Greece won the 50th Eurovision song contest Saturday, with Helena Paparizou's fast-moving "My Number One" beating 23 other competitors.

Paparizou, who finished third in Eurovision in 2001, scored 230 points in telephone voting from viewers in 39 countries for a performance relying heavily on Greek folk music.


Winner - Greece's Helena Paparizou
Finishing far behind in second place was Malta's Chiara, who sang "Angel," perhaps the most traditional of all the performances with a minimum of glitter.

Romania's Luminita Anghel and her group Sistem, singing "Let me Try" with a variety of steel drums on stage, was third.

Ukraine, last year's winner, hosted the contest in what was widely seen as a means to showcase the country after last year's "Orange Revolution" protests.

Hundreds of thousands watched the contest on screens erected in Independence Square, focal point of last year's rallies.

The contest has in recent years attracted far more attention in post-communist eastern Europe than in the West, where the performers and their songs are treated with a degree of disdain.

"I am so happy that this finally came to Greece," Paparizou, an ethnic Greek raised in Sweden, told reporters.

A hot favorite before the contest, she paid tribute to last year's Ukrainian winner, Ruslana, whose frenetic "Wild Dances" was similar in using folk themes.

"Ruslana was an inspiration for other countries to do more traditional things," said Parizou, sporting a revealing short dress like virtually all the female competitors.

President Viktor Yushchenko, who has pledged to take Ukraine closer to Europe after winning last year's bruising election, took to the stage to present an additional prize, a golden fern.

"This is a Ukrainian prize for the best European performer in favor of uniting Europe," the president said, embracing Paparizou on both cheeks.

Some 120 million viewers tuned in to the broadcast, little different from past editions of varying talent, trite lyrics and flamboyant performances.

Several entries used folk melodies, notably Turkey, winner two years ago, Hungary, Croatia and Serbia and Montenegro.

Moldova, an outsider finishing close to the leaders, underscored folk music with a smiling elderly woman in traditional dress beating a drum.

Ukraine sang a modified version of the tune which inspired last year's election protesters, but finished far back.

Grappling with a lack of hotel rooms and patchy post-Soviet tourism facilities, authorities scrubbed Kiev down and closed off the main street for days to create a carnival atmosphere.

Many had hoped the contest would help change Ukraine's image after years of association with political scandals, corruption and the effects of the 1986 Chernobyl nuclear disaster.

Source: Reuters

Ex-Ukraine Leader Seen Getting Decade in U.S. Jail

BERKELEY, USA -- A former Ukrainian prime minister is likely to be sentenced to at least 10 years in U.S. prison even though a federal judge threw out half the charges against him, the case's former prosecutor said.

After a complex trial last year, a San Francisco jury convicted Pavlo Lazarenko, who became a multimillionaire while in power in Ukraine during the 1990s, of extortion and laundering money through California banks.

U.S. District Court Judge Martin Jenkins ruled late on Friday that there was not enough evidence to sustain convictions on 15 out of 29 counts against Lazarenko, Ukraine's prime minister from 1996 to 1997.

But the former head of the U.S. Attorney's team prosecuting the case, Martha Boersch, said the judge's decision was not likely to affect the amount of time Lazarenko spends in U.S. prison.

Each of the eight money laundering charges — which represent most of the 14 remaining charges — carries a maximum penalty of 20 years in prison.

"The bottom line is that in the end it does not matter," she told Reuters. "It will be at least ten years."

The judge said a sentencing date would be determined on June 23. The former Ukrainian leader remains under house arrest at a San Francisco apartment.

Lazarenko's lawyer, Daniel Horowitz, was thrilled by the judge's ruling, calling it "a tremendous victory."

A U.S. jury hearing the case last June found Lazarenko guilty on all 29 counts, which included conspiracy to launder money, money laundering and fraud, as well as transportation of stolen property.

Defense lawyers are still appealing the case.

Lazarenko became a multimillionaire while in power in Ukraine during the 1990s, a time of poverty and upheaval in the former Soviet nation of Ukraine. Testimony in his case provided details of how those in power profited in the tumultuous transformations after the Soviet Union's 1991 collapse.

Boersch, now a private attorney, spearheaded a U.S. probe dating back to the late 1990s that found Lazarenko used his position to extort millions of dollars and laundered funds through California banks.

Source: ABC News

Ukrainian PM Denies Rumors of her Resignation

KIEV, Ukraine -- Ukrainian Prime Minister Yulia Timoshenko branded as "political rumor and gossip" the media reports that President Viktor Yushchenko had asked her to resign. The Prime Minister's comment, the Novosti-Ukraine news agency reported on Saturday, was handed over to the Internet newspaper Ukrainskaya Pravda for publishing.

"We (President and myself) are a united team; we have come to power for long and are set to pursue a common policy. We are moving ahead together and no media-based provocations can stop us. Therefore, I would like to ask journalists to ignore all kinds of political rumor and gossip," Timoshenko said.

Earlier, Ukraine's Week Mirror weekly reported that President Yushchenko had asked Prime Minister Yulia Timoshenko to resign during a meeting with Russian oil producers on May 19. According to the weekly, four participants of the meeting confirmed the information.

The weekly alleged that the President suggested that the Prime Minister should hand in her resignation after Timoshenko said that she could not agree with the President's decree referring to the actions undertaken by the government to settle the current petroleum shortage crisis in Ukraine as incompatible with market practices.

With regard to the above, Timoshenko's press secretary Vitaly Chepinoga stated in his remarks broadcasted live by the Ekho Moskvy radio station on Saturday that the reports covering the meeting in question "have been presented in a somewhat distorted fashion."

According to him, when Timoshenko, in the course of the meeting, expressed her disagreement with the arguments contained in the decree the President said: "We work as a team, therefore discussion can take place only at the discussion stage; after a decision has been made there is no place for discussion. Those who do not agree with that can resign."

When saying that, Chepinoga emphasized, the President did not address Timoshenko personally, "he was addressing the team as a whole."

On the following day, both the President and the Prime Minister attended a meeting of Ukraine's National Security Council. According to Timoshenko's press secretary, "the President and the Prime Minister keep normal working relations, with the general situation developing quite well".

In late April - early May, Ukraine was hit by a "petroleum crisis." Filling stations across the country were experiencing a sharp shortage of petroleum. According to oil producers, the shortage resulted from the lower output of the oil-refining industry due to pre-scheduled repairs at the Lisichansk and Kherson refineries.

In Yulia Timoshenko's opinion, however, it was a disruption in Russian oil supplies to Ukraine that caused the fuel crisis. In response, Russian oil companies came out with statements denying any disruption in their Ukrainian export operations. Among others, such statements were made by Lukoil, TNK-BP and Tatneft.

The Timoshenko-led government has undertaken a number of measures to cope with the crisis, including establishment of price caps on oil products.

Many experts regarded these measures as "non-market" practices. The latter definition figured in Viktor Yushchenko's aforementioned decree "On Measures to Stabilize Situation in the Oil and Oil Product Market." The decree has re-established market-based environment in the oil refining industry.

Source: RIA Novosti

Norway, Greece in Eurovision Race

KIEV, Ukraine -- A group of middle-aged metalheads from Norway and a glamorous Greek chanteuse were bookmakers' favorites ahead of Saturday night's Eurovision Song Contest, the annual pop music competition that glues a large chunk of the continent's people to their television sets.

As technicians and sound engineers checked lighting and sound systems in the Palace of Sports in downtown Kiev, finalists made a last test of their riffs and outfits for the final round. More than 150 million people are expected to watch the show of musical acts from 25 countries.


Norway (l) and Greece (r)
British dance star Javine said she will wear a golden silk costume decorated with Swarowski crystals. "It's really bling bling," she said as quoted as saying on Eurovision's Web site.

Norway's Wig Wam and Greek singer Helena are seen as the top contenders, with Hungary's Nox, a black-attired ensemble mixing folk tunes with electronica, considered a dark-horse possibility. The winner is determined by telephone voting.

Despite the intense interest in Europe, Eurovision's performers rarely achieve worldwide fame. Some exceptions have been Sweden's ABBA, Britain's Lulu and Canada's Celine Dion, who won as Switzerland's entry.

Last year's winner was Ukraine's Ruslana. She startled the audience in Istanbul, Turkey, with her "Wild Dances," a hectic workout based on music from the wild Carpathian Mountains region.

Ukraine is unlikely to notch a second consecutive win. Kiev hip-hop band Greenjolly will perform a song that was the unofficial anthem of the last year's Orange Revolution protests.

"We will cheer our band, but let us be honest, they have no chance against other performers who offered real pop-songs and not just a bunch of revolutionary slogans," said Svetlana Dmytrenko, a student from Rivne who traveled to Kiev to watch the contest.

The government of President Viktor Yushchenko, who was elected after the protests, is eager to use Eurovision to promote his drive to bring the former Soviet republic closer to Europe. City authorities have decorated downtown Kiev with orange ribbons -- Yushchenko's campaign color and even traffic policemen donned caps decorated with orange ribbons.

On Saturday riot police stepped-up security around contest's venue after Thursday's clashes with opposition supporters loyal to former Prime Minister Viktor Yanukovych who tried to protest alleged persecution of political opponents.

Several police river boats were seen patrolling the Dnipro River and the banks of the Trukhaniv island just outside city center, a home of a tent camp erected as an alternative accommodation for anticipated thousands of Eurovision fans on Trukhaniv Island, just outside the city center.

The camp was however largely deserted late Friday with authorities registering a meager total of 350 guests, including only 80 foreigners.

Because of overbooked and overpriced hotels and lack of proper accommodation in the city many foreign visitors simply canceled their trips to Ukraine and decided to watch the event from home.dle-aged rockers.

Source: CNN International

Competitors Ready for Eurovision

KIEV, Ukraine -- Twenty-four nations are preparing to do battle in the 50th Eurovision Song Contest in Kiev on Saturday.

Greek singer Helena was an early favourite to win, followed by Norwegian rock band Wig Wam. The UK is represented by 24-year-old Javine.

Multi-Eurovision winners Ireland had a shock exit from the contest on Thursday when singers Donna and Joe failed to make it through the semi-final.


Greek singer Helena is an early favourite
The final will be broadcast on Saturday on BBC One and Radio 2 from 2000 BST.

Revolution Site

The annual song contest is one of Europe's major TV events, with more than 150 million people expected to watch the final.

The winner is determined by telephone voting in 39 countries.

This year's event is hosted in the Ukraine after it won the 2004 contest with a leather-clad performance of Wild Dances by singer Ruslana.

It has rapidly staged the event at capital Kiev's Sports Palace following last year's Orange Revolution, in which mass protests led to opposition leader Viktor Yushchenko taking office.

Ukraine was not expected to notch up a second consecutive victory on Saturday, however, with bookmakers regarding its entrant Greenjolly as unlikely winner.

One of Greenjolly's rap songs was the unofficial anthem of last year's protests.

Ireland was one of 15 entrants to be ejected by public vote during the semi-final on Thursday.

Hungary, Romania and Israel were among 10 semi-finalists to make it through, joining acts from 14 other countries who automatically won slots.

UK representative Javine will be the second entrant to perform on Saturday, with each song limited to three-and-a-half minutes.

Her full name is Javine Hylton and she began her pop career in 2003 after narrowly losing out on a place in reality TV band Girls Aloud in 2002.

"I can't see myself coming last," she has said. "I know I'm going to be in the top 10."

The UK last won the Eurovision Song Contest in 1997 with Love Shine a Light by Katrina and the Waves.

Source: BBC News

Judge Drops Convictions Against Lazarenko - Denies New Trial

SAN FRANCISCO, USA -- A federal judge has tossed out half of the convictions against former Ukrainian Prime Minister Pavlo Lazarenko in a multi-count money-laundering and fraud verdict - but refused to grant a new trial.

In a painstaking review of 29 counts in the verdict, U.S. District Judge Martin Jenkins in a ruling Friday dismissed 15 of the counts, a number of them for wire fraud. But he reaffirmed 14 other convictions, primarily for money laundering and interstate transportation of stolen property.


Former Ukrainian PM Pavlo Lazarenko
Lazarenko, 51, was convicted last June in connection with a series of shady business deals in his homeland while he was prime minister.

He denied he siphoned funds or accepted bribes, claiming his multimillion dollar fortune was earned legitimately at a time his country, emerging from the Soviet Union's collapse, had a new, and lawless, free-market economy.

U.S. Attorney Kevin V. Ryan said Friday that the ruling "validates the jury's convictions ... in connection with his efforts to conceal and invest ill-gotten gains through American financial institutions.

"Corrupt public officials, at home and abroad, whose activities violate the laws of the United States, are on notice that they can and will be zealously prosecuted and convicted here for such activities," he added.

But Lazarenko's attorney Dan Horowitz was also pleased with the ruling.

"Half the counts have been knocked out and we haven't even gotten to the Court of Appeal yet," said Horowitz. "This is just another step toward victory. It's not over." Horowitz has argued that Lazarenko was targeted by his political rivals. Horowitz said that the former president of Ukraine, Leonid Kuchma, withheld evidence that could have exonerated him.

Lazarenko sought political asylum in the United States in 1999 during his country's presidential election campaign, claiming he had survived three assassination attempts. Instead, the U.S. government arrested him.

He was the first former head of government to be tried in the U.S. since Manuel Noriega of Panama.

Source: AP

Skulduggery Claims Fly at Eurovision

KIEV, Ukraine -- Accusations of political skulduggery are flying in advance of tomorrow night's final of the Eurovision song contest, the annual extravaganza of Euro-pop kitsch.

The event is being hosted by Ukraine, last year's winners. But suspicions have been roused by the fact that Ukraine's entry for this year's competition is none other than the election campaign anthem of the new Ukrainian president, Viktor Yushchenko.


Ukraine's Ruslana winner of Eurovision 2004
The group Greenjolly’s "Razom Nas Bahato" (Together We Are Many) was sung by demonstrators on the barricades as they protested against former president Leonid Kuchma’s regime in Kiev’s Independence Square.

The surprise choice of Greenjolly - a group largely unknown before the revolution, and added to the list of entries at the last moment - unleashed an torrent of criticism of the new government, which was accused of manipulating the vote.

The criticism was all the more intense because Greenjolly was running against local pop star Ani Lorak - who backed the former prime minister Viktor Yanukovich in the Ukrainian presidential election that eventually brought Mr Yushchenko to power.

The victory of Mr Yanukovich, Kuchma’s choice, in last year's polls triggered huge protests in Independence Square which ultimately led to the result being overturned by the country's highest court. Mr Yushchenko then went on to triumph in rerun elections.

One of his first moves after taking office in January was to state his commitment to hosting Eurovision, describing it as a showcase that could help the new Ukraine move closer to its aim of joining the European Union. More than 150 million viewers from across Europe tune in to watch.

Ukraine’s Ruslana won the contest in Istanbul last year and thus it fell to Kiev to host this year’s event.


Ukrainian riot police hold back Yanukovich demonstrators
Yesterday, there were scuffles between police and several hundred opposition protestors who tried to approach Kiev's Palace of Sports, where on Saturday some 4,000 police officers will guard the contest.

And the protests are coming not just from disappointed Yanukovich supporters. "During the revolution, many no doubt listened with pleasure to this dilettante rap (Greenjolly)," said the online newspaper Ukraiinska Pravda. "But don’t the singers themselves understand that this emotion-charged work should have remained ... a part of history and nothing more?"

To deflect criticism the group was obliged to modify the lyrics of the song. One verse in the original version went: "No falsifications! No lies! No machinations! Yes Yushchenko! Yes Yushchenko! This is our president!" The new version removes mentions of the current president’s name.

The dilemma of where to lodge the 40,000 people who turned up in a city that lacks mid-range hotels has led the authorities to set up a tent city in a park beside the Dnieper river that runs through the capital. Eurovision fans will be charged 10 dollars a night for the amenity.

This in its turn has enraged ecologists, who complain that the campers will frighten the birds, especially the nightingales, that live in the park, and could cause them to abandon their nests. "Is Kiev paying too dearly its conquest of European hearts?" asked the Den newspaper.

The Eurovision contest, first held in 1956, is often associated with music of questionable merit, bizarre costumes and marked political bias in the voting. Yet all these elements have contributed to its enduring popularity.

First staged in 1956, Eurovision introduced the world to ABBA - 1974 winners with "Waterloo" - and to the Canadian chanteuse Celine Dion, who won under a Swiss flag in 1988. More recent winners have tended to sink without trace, victims of the "curse of Eurovision."


ABBA - 1974 winners with "Waterloo"
Britain is a five-time Eurovision champion, but has not won the contest since 1997, when Katrina and the Waves took the title. Our heyday was the 1960s, when big names like Lulu and Cliff Richard flew the Union Jack and, in Lulu’s case, won the contest.

Most Britons profess themselves too sophisticated to embrace the sort of cheesy Euro-pop that Eurovision celebrates, but every year some 8 million viewers tune in to watch the British entry being trounced.

News that this year's British hopeful Javine Hylton has developed a sore throat the day before the contest seems unlikely to enhance Britain's chances. The 23-year-old Girls Aloud reject had an early night yesterday but woke up this morning with an inflamed throat. Her spokesman said she was still intent on singing, and that she had been prescribed antibiotics.

Ms Hylton says her aim is to restore British pride with the up-tempo number "Touch My Fire," but bookmaker William Hill rates her a 25-1 outsider. The smart money is on "My Number One" by Greek singer Helena, a sultry, bouzouki-flavored number that bookies make the 2-1 favorite.


Greek singer Helena favorite of British bookmakers
Many blame Britain's recent lack of sucess on politics. The contest’s complex voting system, where each country awards others a sliding scale of points from 1 to 12 based on viewers’ telephone votes, gives rise to allegations of bias and favoritism.

Research released this week by academics at Oxford University suggests disgruntled Britons may have a point.

"Our analysis enables us to confirm that there are unofficial cliques of countries," noted the authors of the scholarly paper How Does Europe Make its Mind Up? Connections, Cliques and Compatibility Between Countries in the Eurovision Song Contest.

The study identified clusters of countries with similar voting patterns, including the Hellenic axis of Greece and Cyprus and a "quasi-Nordic clique" of Scandinavian and Baltic states. Britain was among the countries that gave and received votes most widely.

"Despite the British tendency to feel distant from Europe, our analysis shows that the U.K. is actually remarkably compatible, or ’in tune’ with other European countries," said Neil Johnson, one of the authors of the study.

BBC presenter Terry Wogan, always sardonically unsurprised when Norway gives maximum points to neighbor Sweden, disagreed, blaming Britain’s dismal 2003 result, in which duo Jemini received the dreaded "nul points" on a backlash against the unpopular Iraq war.

But Mr O’Connor begs to differ. "It was because it was a really, really bad song," he said.

Despite the disagreements, it seems that nothing can lessen the appeal of a competition as fraught with diplomacy, feuding and delicate allegiances as the United Nations. Seven countries participated in the first-ever competition - 39 are competing this year, with 24 making it through to tonight's final. Lebanon, due to compete this year for the first time, pulled out after its national broadcaster refused to show the Israeli entry.

"The great thing about Eurovision is you can come at it from so many different angles," said John Kennedy O’Connor, a fan since the 1970s and author of the official history of the competition.

"There are some people who take it deadly seriously, as if it were a major political contest. Others watch to see how bad it will be. You can enjoy it on so many different levels."

Source: Times Online

Russia’s Roshal, Ukraine’s Yushchenko Among Europe’s Stars

MOSCOW, Russia -- Russian famous doctor Leonid Roshal and Ukraine’s president Viktor Yushchenko have been included in the list of 25 Stars of Europe issued by BusinessWeek magazine.

Roshal and Yushchenko are among five top agenda setters, along with Serbia and Montenegro’s Natasa Kandic, founder and director of Humanitarian Law Center, Britain’s Ben Verwaayen, chief executive of BT Group, and Luxembourg’s Bo Vesterdorf, president of the Court of First Instance.

Roshal, 71, director of Moscow Institute of Emergency children’s surgery department, became famous after negotiations with terrorists that seized the theater in Moscow in October 2002. After that, in September 2004, when the armed gang seized the school in Beslan, the gunmen requested Roshal to come for the talks. He also helped save children’s lives after both tragedies. He was awarded as a Hero of Russia after the 2002 theater siege.

Yushchenko became president of Ukraine in December 2004, after a scandal connected with reports on falsification of the election results. His rival, the then Ukrainian prime minister Viktor Yanukovich supported by Kremlin was announced winner in the second round but Yushchenko registered a claim to the Supreme Court. After Yushchenko’s supporters organized a wave of protest that was called “orange revolution” for the color of their clothing and banners, he won in the rerun. The magazine called him a revolutionary leader “in the tradition of Vaclav Havel, Lech Walesa, and more recently, Georgia’s Mikheil Saakashvili.”

Source: MosNews

Kiev Euphoria Sliding into Disillusionment

KIEV, Ukraine -- The excitement generated by Ukraine's Orange Revolution has dissipated. Now, while Yushchenko guides his country toward the West, his prime minister, Yulia Tymoshenko, finds herself under fire. Her tactics, critics say, are reminiscent of the authoritarian government she helped sweep from power.

May moves in to Kiev from the south. The chestnut trees bear their magnificent blooms, the street cafes open at the crack of dawn, and people mill about on the Ukrainian capital's central boulevard.

Only a few months ago, downtown Kiev was impassable. Tens and even hundreds of thousands of demonstrators blocked the city's main arteries surrounding Independence Square, the Orange Revolution's stage for several weeks -- until former President Leonid Kuchma resigned and the country's highest courts confirmed that Kuchma's heir apparent Viktor Yanukovych had been the beneficiary of election fraud.


Ukraine was full of hope when protests swept in a new government in the autumn and winter of 2004. Is the euphoria gone?
The two protagonists who directed Eastern Europe's most celebrated and most TV-friendly popular uprising since the fall of the Berlin Wall from the stage on Independence Square are now managing the country. Viktor Yushchenko is now president and Yulia Tymoshenko is his prime minister.

But little remains of the euphoria from those winter days when the beginning of a new era seemed to be dawning in Ukraine. The dominating economic oligarchs, it seemed, had reached the end of their rope. The corrupt government was falling and the strait-jacketed media would soon be free to provide the people of Ukraine with the truth. That euphoria, however, has evaporated. Now, disillusionment reigns in this city on the banks of the Dnepr River.

The faces of the revolution haven't disappeared. In fact, they are more in evidence than ever. The face of Yushchenko in newspapers and on television, a face still gray and scarred as a result of a presumed poisoning attempt during the campaign, has become a symbol of Ukraine's growing political importance. Whether he is visiting the White House in Washington, Berlin's Reichstag or Russian President Vladimir Putin in Moscow, Yushchenko, gentle and unwavering, is a fine salesman for his country on the global stage.

Ukraine Looking West

And the West is schmoozing back. NATO is dangling potential membership in front of Ukraine's nose -- even though Russian warships will continue to dock at the Crimean port of Sebastopol until 2017. The European Union -- while not promising full membership -- is offering what it calls a "neighborly policy." The World Trade Organization has also hinted at possible membership.

Yushchenko is interested. He has reoriented Ukraine's military toward gaining NATO and EU membership. In doing so, Ukraine -- divided as it is between the Russian Orthodox Church and the Catholic Church -- has shown determination in steering away from its Soviet past and toward a European future.

The second face of the revolution -- Yulia Tymoshenko -- continues to beam under her trademark halo-shaped, braided blonde locks. The Ukrainian prime minister has graced the cover of Elle and is a seemingly constant presence at the side of Yushchenko.


Is Prime Minister Yulia Tymoshenko becoming a liability for President Viktor Yushchenko?
But when it comes to Tymoshenko's performance as prime minister, the jury is still out. Her approval ratings -- it is true -- have been rising, especially since public officials and public servants received pay hikes of up to 57 percent and retirees a 24 percent jump in their pensions. The disabled, orphans and single mothers have also benefited from her governance.

But critics note that such blessings are nothing but a continuation of the politics employed in Kuchma's day -- that of dangling overflowing cornucopias of gifts before the eyes of the populace while the government loses sight of curbing inflation and government debt. They say that Tymoshenko's cabinet is showing a tendency toward implementing measures reminiscent of Putin's Russia, citing the state's growing involvement in the economy, and the arrest of unpopular opponents.

Limited Success in Finding White Collar Criminals

And there have been few moves to bring members of the criminal former government to justice. The only leading figure arrested so far is the governor of the Donetsk region, the Russian-speaking industrial area in the southern Ukraine and source of the greatest opposition to those currently in power. Others, like Donetsk billionaire Rinat Achmetov have gone into hiding. International arrest warrants have been issued for others.

Additional criticism of the young government has resulted from the fact that little of the $7 billion in foreign investment promised for 2005 at the World Economic Forum in Davos, Switzerland has yet materialized.

And, concern is quickly developing among Ukrainian property owners. Yulia Tymoshenko has become something of the Robespierre of Ukraine's national revolution, and she has announced that up to 3,000 privatizations will soon be reviewed by the courts -- and possibly reversed.

President Yushchenko had promised otherwise. He had said that no more than 30 such cases were to be reexamined. Now, after Tymoshenko's announcement, Yushchenko has demanded that the government immediately provide him with a list of disputed cases. He wants to make sure that domestic and foreign investors are not scared away. Yet despite the threats, only the largest case has actually gotten anywhere. During Kuchma's term in office, the government apparently sold the steel company Krivorishstal for a mere $1.5 billion -- half the highest bid. The firm has since been re-nationalized.

That, however, was an easy target. After all, the beneficiary of the shady deal was Viktor Pintchuk, son-in-law of President Kuchma and the second-wealthiest man in Ukraine. The acceptance of the joint bid he submitted with Achmetov, the leader of the Donetsk clan, further sharpened popular distaste for the country's oligarchs. Pintchuk now plans to file suit in the European Court of Human Rights, claiming illegal expropriation. Yulia Tymoshenko had barely taken office before she declared the Krivorishstal auction to have been invalid. And despite warnings from economists that such expropriations could harm Ukraine's economy, Tymoshenko seems intent on settling the score with those who once benefited from Kuchma's favoritism.

Enemies Abound

Her single-minded offensive aside, many detect opportunism in her policies -- and enemies of Tymoshenko abound. In the early 1990s, during the establishment of Ukraine's post-communist order and the struggle for control of the country's rich natural resources, she was on the side of her current opponents.

Tymoshenko knows the country's power brokers. Like billionaire Pintchuk, she also comes from Dniepropetrovsk, the industrial metropolis in the heart of the country. Like Pintchuk, she married well (the son of a once-powerful party boss), into one of the country's big-name families, and she and Pintchuk were still in business together in the mid-1990s, selling natural gas through the firm Sodruzhestvo.

Until recently, Tymoshenko had imposed a 20-percent tax on oil imports into Ukraine and banned reselling abroad. The people thought it was a great idea, but the justice minister was unhappy -- his wife happens to be involved in the multimillion dollar business of brokering oil. The fact that Tymoshenko made her own fortune in exactly the same way, except with natural gas instead of oil, and only a decade ago, is now practically forgotten.

In his book "Casino Moscow," Matthew Brzezinski, nephew of Jimmy Carter's national security advisor Zbigniew Brzezinski, describes the Tymoshenko of the 1990s as the "eleven-billion-dollar woman" who controlled just under a fourth of the Ukrainian gross domestic product. Brzezinski also claims that the US government has evidence of payments Tymoshenko made to the dubious former Ukrainian prime minister Pavel Lazarenko, who is currently in prison in San Francisco serving a sentence for fraud and money-laundering. From time to time, Lazarenko gives advice to his former protégé in the form of interviews conducted from his prison cell. If US authorities are in fact concealing evidence that could implicate Tymoshenko in Lazarenko's illegal dealings, the prime minister could be held hostage on two fronts. Russia too says it has dirt on Tymoshenko and the Moscow chief public prosecutor announced in April that an old warrant for the arrest of Tymoshenko had been reinstated.

It also hasn't helped that an old party chum of Lazarenko and Tymoshenko was installed as the new chief of the Ukrainian secret service.

Indeed, the delicate-looking but iron-willed Yulia, a driving force behind the uprising against the cleptocrats of the Kuchma era, has become a risk factor in President Yushchenko's power structure. Even as the prime minister fights for the future of Ukraine from her Kiev office, she is constantly being confronted by her own past.

Tymoshenko Under Fire

The Ukrainian chief public prosecutor, Svyatoslav Piskun, who only two years ago had publicly accused Tymoshenko -- together with Lazarenko -- of having misappropriated $2 billion from the state budget, is now in charge of prosecuting the cases demanded by Tymoshenko against the beneficiaries of privatization. Yushchenko follower Roman Bessmertny, who as recently as January was claiming he would only work under Tymoshenko at the president's request, is now her deputy.

Finally, the "chocolate king" of Kiev, Pyotr Poroshenko, uses every opportunity he can to harm the prime minister. An extremely wealthy industrialist, Poroshenko feels that his position as director of the national security council is an inadequate reward for his role as the Orange Revolution's financier and TV master of ceremonies. When Tymoshenko cancelled an April trip to Moscow at the last minute, probably because of the warrant that had been issued for her arrest there, Poroshenko went in her place. When he met with Putin, he made sure to act the role of budding statesman.


Tymoshenko was one of the icons of the "Orange Revolution"
Many comrades-in-arms from the Orange Revolution still have trouble swallowing the fact that Yushchenko, considered morally unassailable, entered into a coalition with former oligarch Tymoshenko in the summer of 2004 -- paving the way for her to assume the office of prime minister. Now they are accusing her of populism, poor coordination with the president and of an overly brusque manner.

Even within the government, there has been backbiting. When she successfully negotiated caps on gasoline prices with the petroleum multinationals Lukoil and TNK-BP, her minister of trade and commerce spread the rumor that, during he negotiations, Tymoshenko threatened the Russians with nationalizing their refineries. Minister of Transportation Yevgeny Chervonenko, for his part, complains that the decisions reached by the cabinet are being altered when she puts them into writing.

Because Chervonenko, as Yushchenko's former head of security, is also a close ally of Yushchenko, sources in Kiev suspect that the attacks on Tymoshenko have been sanctioned from the very top. Yushchenko fervently denies such claims and has nothing but praise for his relationship with Tymoshenko. Yulia Tymoshenko, for her part, says that rumors about her imminent resignation also raise questions about the president's future: "It is impossible to separate me and President Yushchenko. We are a team and we will remain a team."

Parliamentary elections are scheduled for next March. Under the country's new constitution, and in keeping with a promise made during the campaign, the popular prime minister is to be confirmed by the people's assembly. It will be the Ukrainian people's first chance to evaluate the success of the Orange Revolution.

Source: Spiegel

Viktor Yushchenko

KIEV, Ukraine -- Until recently, most people regarded Ukraine as an international backwater, not a beacon of freedom for the new Europe. But that changed last November, when the world watched transfixed as opposition leader Viktor Yushchenko led a peaceful revolution. Backed by millions of protesters in Kiev and other cities who braved subzero temperatures to defend their right to a free election, he forced the government to hold a repeat ballot -- and won by a wide margin. In the process, Yushchenko, now President of Ukraine, has become a revolutionary leader in the tradition of Vaclav Havel, Lech Walesa, and more recently, Georgia's Mikheil Saakashvili.


President Viktor Yushchenko after taking oath of office in January
Six months later, Ukrainians are putting the revolution behind them and picking up the pieces of their everyday lives. Some are disappointed that change isn't coming as fast as they expected. But overall most Ukrainians are feeling pretty positive about the future: Consumer confidence reached an all-time high in the first quarter of the year, and 54% of the population approves of the new government's agenda, vs. 17% who don't, according to an April poll by Democratic Initiatives Foundation. "I still have high hopes that the new team will come through with the reforms they promised, though it's becoming clear that the process will be difficult," says Fedir, a café owner in Kiev.

In the larger world the movement Yushchenko launched, dubbed the Orange Revolution after the color worn by his supporters, has shaken up political agendas from Brussels to Moscow. It showed that a decade and a half after the end of the cold war, Europe is not doomed to a new continental divide that would abandon Ukraine and the other states of the old Soviet Union to authoritarian systems characterized by rigged elections and political intimidation. "Free and fair elections have brought a new generation of politicians to power, not encumbered with the mentality of the Soviet past," Yushchenko told the U.S. Congress on Apr. 6.

Yushchenko, 51, has made membership in the European Union a central plank of his political agenda, forcing the EU to redefine its policy toward the former Soviet states. His victory has strengthened the hand of new EU members in central and eastern Europe, led by Poland, that favor eventual expansion of the EU farther to the east. In the former Soviet states the Ukrainian revolution has been a bombshell. It has inspired a copy-cat uprising in Kyrgyzstan, where autocratic ruler Askar Akayev was toppled in April. In Russia the Orange Revolution has starkly exposed the limits of "managed democracy," leading to intense speculation about possible upheavals in 2008, when President Vladimir V. Putin is due to step down.

The long-term effects may turn out to be even more significant. If Yushchenko succeeds in turning Ukraine into a European-style democracy, it will set a hugely positive example for all the states in the region, particularly Russia. It's too early to say whether hopes of radical reform in Ukraine will be fulfilled. But Yushchenko has made early symbolic moves, such as replacing 18,000 state officials to show his determination to reform the bureaucracy. And he has begun to expose the massive corruption of the previous regime, moving to revise the results of controversial privatizations. There's a danger that this drive could turn into a crude settling of scores with his political enemies. But Yushchenko says the review will revisit only the most notorious cases and promises that new sales will be open to foreigners.

The new President's worldview is shaped by deep personal convictions. "The main driving force behind him is his patriotism and strong faith in God, which he got from his parents," says Kateryna Chumachenko, Yushchenko's American-born wife. "Their upbringing made him a strong believer in the battle of good vs. evil." Yushchenko's father survived Auschwitz and refused to join the Communist Party when he returned to Soviet Ukraine. The lack of a party card limited his career opportunities, and he became a village schoolteacher. Like his father, Yushchenko has had to pay a price for his beliefs. Once admired for his rugged good looks, he was permanently disfigured by an attempt to poison him during last year's election campaign.

His early career hardly suggested a revolutionary hero in the making. Trained as an agricultural accountant, he worked his way up through the USSR State Bank, becoming governor of Ukraine's National Bank in 1993. His financial skills came to the fore in 1998 when he stewarded the Ukrainian currency through the devastating Russian financial crisis. That success led to his appointment as Prime Minister in 1999. Yushchenko's market-based reforms kick-started a boom that has continued ever since.

Despite these achievements, Yushchenko was forced out of office in April, 2001, when his rising popularity made him a threat to President Leonid Kuchma and the clan of businessmen around him. Many doubted that the mild-mannered banker had what it takes to stage a comeback in the dirty and often violent world of Ukrainian politics. But Yushchenko's dismissal only boosted his popularity, enabling him to unite the fractious opposition and turning him into a hero to the many Ukrainians who were fed up with corruption and the country's growing political repression.

The rest, as they say, is history.

Source: BusinessWeek

Diva Tactics in Play at Eurovision

KIEV, Ukraine -- The 50th Eurovision Song Contest started with a bang in the Ukrainian capital, as 25 countries slugged it out for 10 places in Saturday's grand final.

Kiev's Sports Palace was transformed into a cavernous concert venue filled with flag-waving fans from across Europe.


Belarussian entry Angelica Agurbash failed to qualify
The competition on stage was fierce, with many contestants employing elaborate tactics to win those all-important votes.

The semi-finals seemed dominated by women, who used all manner of devices to out-diva one another.

Overblown Gimmickry

There were the voices, with power ballads courtesy of Israel (who got through) and Monaco (who didn't) - but the battle of the lungs was won by Dutch singer Glennis Grace, with shades of Whitney Houston. She didn't get through either, though.

Another Dutchwoman - representing Andorra - plumped for a subtle stage routine complete with scantily-clad male wood nymphs. However, this didn't give her success either.

The award for overblown gimmickry went to Angelica Agurbash from Belarus, who went through two costume changes flanked by disco-dancing attendants apparently from the court of Versailles - all in the space of three minutes.

The performance from the star, well known across the former Soviet Union, lit up the arena. But she also failed to qualify, which was a huge disappointment for a very vocal contingent of Belarussian fans.


Model with red body-paint ad for the Eurovision Song Contest in Kiev

Huge Surprise

A more contemporary offering from Romania and another female lead singer also made a visual impression, thanks to illuminating oil drums complete with welders' sparks - and hit the mark with Eurovision voters.

Second-timer Selma from Iceland turned up the heat with a perky dance routine to If I Had Your Love.

The fancied singer's failure to make the final was a huge surprise.

With a couple of girl bands - both from Estonia with one representing Switzerland - it seemed that the men were being outplayed in this qualifier. The Switzerland team got through to the final.

But then the Norwegians took to the stage.

Zipped into a silver cat suit and with huge glittering platforms to match, Wig Wam's lead singer brought glam rock to the Eurovision final and an appreciative auditorium. They got through.

Shock Exit

And a rousing hand was saved for Ireland's Joe, one half of the country's duo Donna and Joe and the youngest man in the contest at 17.

But an enthusiastic routine was not enough to save the most successful Eurovision country from being cast into the wilderness.

This year's full-on folk onslaught made its presence felt in Kiev, with Hungary's well-received leather-slapping answer to Riverdance, and a rousing chorus from Croatia. Both were successful.

The vote for the most popular tune in the house went to zany Moldova, whose drum-toting grandmother was surely one of the oldest contestants Eurovision has seen.

The former Soviet republic's contest debut got off to a flying start with a place in the grand final.

The semi-final victors - some of them unexpected - will do it all over again on Saturday, along with 14 other countries who went through to the final automatically and therefore have only one chance to woo Eurovision voters.

Source: BBC News

Pynzenyk Calls On Businesses to Come Out Of the Shadow and Promises Recognition

KIEV, Ukraine -- The Ministry of Finance of Ukraine made an appeal to entrepreneurs to stop their fight for tax break renewals.

“The Ministry of Finance of Ukraine calls on some businesses to halt their fight for subsidy renewals because under the current conditions this fight is not a fight against the government, but against the large group of citizens that started receiving higher payments thanks to the new social budget”, said Minister of Finance of Ukraine Victor Pynzenyk during his address.


Minister of Finance Victor Pynzenyk
“We appeal to Ukrainian entrepreneurs to legalize their businesses, to pay taxes, and to stop trying to come up with various schemes that would exclude them from taxation”, was stated in the document.

Government policy of tax breaks elimination is aimed at balancing the tax conditions and improving the investment climate, noted in the address.

In addition, the Minister announced that the government is making strides in creating a new liberal system of relationship between business and state government, as well as developing measures directed towards de-regulation and promoting businesses.

“Businesses started to come out of the shadow. And we want to thank everyone who already made this step. We want to thank everyone who is just getting ready to make it. And we appeal to those that are still struggling with this decision, those that still live with the weight of the past. There will be no going back. Step by step we will break down the old system”, stated Pynzenyk in his address.

He also called on businesses to believe in government intentions and to be patient. “We would like to discontinue the practice of overprotective business assistance and state regulatory function as it serves as a breeding ground for breaking the law and limits entrepreneurial activity”.

The Minister of Finance recognized that entrepreneurs still continue to encounter bureaucracy, indifference, incidents of bribery and extortion. Additionally, tax reimbursement decisions for honest exporters take months.

“We know these issues, we understand them and we will be partners in finding the solutions. It is necessary for our whole society… There is the will of the President, there is a government taskforce to solve specific painful issues for our business and society “, - noted the address.

Pynzenyk promised to give special recognition for those who will agree to work with the government. Additionally, the Ministry of Finance will create a “hotline” where entrepreneurs will be able to direct their requests.

The Ministry of Finance will start recognizing businesses with the highest quarterly increase in tax payments, by publishing a quarterly list of the ten leading companies in its financial reports and the media.

Source: Ukrayinska Pravda

Yushchenko Moves to End Fuel Row

KIEV, Ukraine -- Ukraine's President Viktor Yushchenko has issued a decree blaming the government for creating a fuel crisis by trying to fix petrol prices.

Mr Yushchenko gave the economics ministry a week to remove a petrol price freeze, saying it was not in line with the principle of a market economy.

Petrol stations began running out of fuel, 80% of which comes from Russian sources, after Ukraine froze prices.


PM Yulia Tymoshenko
Prime Minister Yulia Tymoshenko had said Russian oil firms were at fault.

On Monday, Ms Tymoshenko said Russian firms, including Lukoil, Tatneft and TNK-BP, had suspended deliveries and created an "artificial crisis" in an effort to "bully" Ukraine.

However, the oil companies said repair works had restricted supplies and oil was still being pumped to Ukraine.

TNK-BP, which is jointly owned by UK oil giant BP, said it was supplying a smaller volume of crude because of work on one of its pipelines.

Regulation

Mr Yushchenko's decree, issued late on Wednesday, said the crisis over fuel supplies had developed as a result of "incorrect actions" by the government, which amounted to excessive regulation of the market.

It said the government had one week to lift price caps on petrol, which did not correspond "to the basis of a market economy".

It also ordered the government to lift VAT on oil transit through Ukraine, set up a programme for a state oil reserve consisting of 10% of annual demand and start talks with other countries on oil supplies.

The problems began last month, when the Ukrainian government froze petrol prices after accusing Russian firms of conspiring to increase them.

Adding to the pressure, Moscow announced an increase in crude oil export duties from $102 (£55) to $136 a tonne, to take effect from 1 June.

With two of Ukraine's six refineries closed for repairs and maintenance by their Russian owners, petrol shortages ensued.

By last weekend, petrol stations throughout Ukraine - run mainly by Russian companies - were selling fuel only to drivers who had special coupons or customer cards, turning numerous cars away.

'Sabotage'

On Monday, Ms Tymoshenko said Russian companies had failed to supply 20,000 tonnes of crude oil to a third refinery, Kremenchuk, between 7 and 12 May.

"Oil deliveries to Ukraine are being deliberately stopped, even though all contracts have been paid for," she said.

"It is no more than a plot, sabotage. They want to put Ukraine in its place."

Relations between Kiev and Moscow have been strained since last year's Ukrainian "orange revolution" that resulted in victory for the pro-Western opposition led by Mr Yushchenko.

Russia had backed rival candidate Viktor Yanukovych.

The Russian authorities accuse Ms Tymoshenko, a former gas industry oligarch, of bribery and are pursuing a criminal case against her.

Source: BBC News

Eurovision and the Revolution

KIEV, Ukraine -- On the souvenir stalls of the Maidan Nezalezhnosti, Kiev's Independence Square, the two key events of the city's recent history sit side by side. Mugs and T-shirts bearing the logo of the imminent Eurovision song contest nestle between mementoes of last winter's orange revolution, which locals call "the Maidan". There are scarves printed with revolutionary mottoes and flattering portraits of President Viktor Yushchenko, whose disputed election defeat by the incumbent's chosen candidate, Viktor Yanukovich, triggered massive demonstrations in the square and the end of a decade of political corruption in Ukraine.

It has been the unenviable task of Svante Stockselius to try to separate the two. In March, Stockselius, the executive supervisor of Eurovision, decreed that the contest be "non-political" after the shock winners of the poll to find Ukraine's entrant were a trio called GreenJolly, with their orange anthem, Razom Nas Bahato (Together We Are Many). One verse ran: "No falsifications! No lies! No machinations! Yes Yushchenko! Yes Yushchenko! This is our president!", which certainly makes a change from Boom Bang-a-Bang. "If it is political propaganda, then it might be against the rules," Stockselius fumed. Holding back the tides of politics six months after a revolution, however, is the kind of challenge only King Canute would propose.

It may seem bizarre that a country's new cultural era should begin with an event customarily associated with kitsch outfits and appalling lyrics, but that is how the cards have fallen. One of Yushchenko's first actions after taking office on January 23 was to affirm his government's commitment to hosting Eurovision slogan: "Awakening"), acknowledging that this is Ukraine's chance to show off its best side and move closer to its goal of EU membership.

Ukraine is the largest country in Europe and one of the least well known. In 2002, a continent-wide survey of attitudes to the country yielded the dismaying news that most people associated it with the 1986 Chernobyl disaster and the endemic corruption of former president Leonid Kuchma's regime. If, that is, they associated it with anything at all.

"The first ambition is to show people from Europe that Ukraine exists, that it is a normal country with normal people," says Dr Oleksandr Sushko of the Centre for Peace, Conversion and Foreign Policy of Ukraine, a Kiev-based think tank. "The major problem was not the bad reputation of Kuchma - the country was unknown. I am not a fan of Eurovision as a style of music, but it is very nice that so many young people are coming here."

Like the process of reforming Ukrainian politics, this year's contest has been a bumpy ride. The press has pounced on any hint of scandal. Amid rumours of ticket mis-selling, vote-rigging and spiralling costs, it was reported that the European Broadcasting Union was ready to move the whole contest to Malmo in Sweden.

At the Palace of Sports a week before the contest, however, everything seems to be going swimmingly. The Soviet hulk has been renovated and swathed in green, the official colour of this year's contest (orange makes only a small, if potent, appearance in the logo). On the hi-tech stage, amid a dizzying whirl of revolving screens and tilting mirrors, dress rehearsals are taking place. Suntribe appear to be the Estonian Girls Aloud, and Wig Wam are definitely the Norwegian Darkness.

It's business as usual in the press pack, too. Most of the 1,500 accredited journalists are Eurovision fans, and at the press conference for Belarus's entry, former model Angelica Agurbash, there is a conspicuous lack of questions about her autocratic homeland's crackdown on rock bands who support the opposition. Instead, an interviewer from Cyprus begins his interrogation with the zinger: "First I want to say how beautiful you are."

That's Eurovision for you. During its 50 years, politics have traditionally been confined to the blatantly partial voting, in which countries reliably confirm old loyalties and enmities. Only rarely has a song carried a political message: Portugal's 1974 entry, After Goodbye, was the coded signal to launch a coup against the country's rightwing dictatorship, and Bosnia-Herzegovina funnelled the trauma of war into The Whole World's Pain in 1993.

There was nothing contentious about last year's Ukrainian offering. Ruslana Lizhichko was only the country's second-ever Eurovision entrant when her Wild Dances stormed to victory in Istanbul, instantly making her a national hero.

Like most pop icons, Ruslana is tiny. Dressed in jeans and T-shirt rather than her customary medieval leather, she shows off a shelf laden with accolades. Jostling with the usual industry trophies are more singular honours: a certificate naming her a Unicef goodwill ambassador (she campaigns on behalf of the children of Chernobyl), a flag from the activist organisation Pora and an orange medal awarded by Yushchenko's government in recognition of her support.

Last November, despite Yanukovych's attempts to co-opt her popularity, Ruslana appeared in Independence Square to announce a hunger strike in protest at the election result. She plays me a DVD that shows her standing on stage in an orange jumper, singing through a megaphone and greeting Yushchenko in front of cheering crowds.

Did she consider herself political before then? She shakes her head. "I was never involved in politics. I see myself only as a singer."

But we're watching her on screen in the heart of a revolution. "Psychologically speaking, the orange revolution was unique," she explains. "The Ukrainian nation is very peaceful and calm. We don't like ups and downs. A lot of Ukrainians still don't believe that they all went out into the street."

Ruslana was one of the reasons they did. The Maidan was a very modern revolution, broadcast on giant screens. As the protesters shivered, popular bands such as 5'nizza and Tartak performed in aid of Yushchenko. Ruslana remembers receiving panicky calls from musicians who had initially backed Yanukovich and now wanted to come to the Maidan but feared the crowd's reaction.

"A lot of people think that this revolution was so widely successful only because there was music in Maidan and people could get away from the stress of the situation," says GreenJolly's frontman, Roman Kalyn, sitting in a cafe near the Palace of Sports. "Everybody involved in those free concerts was putting themselves in jeopardy because nobody knew how the revolution would end."

GreenJolly owe their success to the Maidan. They have been together since 1997, specialising in Ukrainian comedy reggae - a genre of somewhat limited appeal. During the early days of the revolution, however, Kalyn, Roman Kostyuk (guitar) and Andriy Pisetskyi (keyboards and saxophone) wrote Razom Nas Bahato in just four hours, channelling key war cries into an infectiously strident hip-hop track. When a local radio station posted it on its website, the track became an anthem overnight. The next day GreenJolly performed it in Independence Square to 50,000 protesters; a few days later the crowd had swollen to half a million.

Razom Nas Bahato missed the Eurovision heats but was entered for the final vote, allegedly at the behest of deputy prime minister Mykola Tomenko. It beat the glamorous favourite, Ani Lorak, who publicly backed Yanukovich during the Maidan and complained that she lost phone and text votes due to suspicious technical problems.

It's a touchy subject with GreenJolly. "Ani Lorak lost because she selected a song that was not her best," says Kalyn. "We believe our song won, not the political position."

GreenJolly's victory didn't upset just Lorak - who burst into tears - but also Svante Stockselius, who demanded that they write new lyrics. The band duly took out Yushchenko's name, but their insistence that "the song doesn't contain any politics any more" is less than persuasive, given that the first line is: "We won't stand this - no! The revolution is on!"

The selection process controversy has been just one of several headaches for Pavlo Grytsak, the contest's 25-year-old executive producer. Early preparations were mishandled by the state television company, NTU, and understandably sidelined during the Maidan. Since being appointed NTU's vice-president in January, Grytsak has conjured up Ukraine's biggest ever entertainment event from next to nothing. It is certainly the biggest challenge Kiev's tourism industry has faced. Every hotel room in the city has been snapped up and 5,000 extra fans will be housed in a specially constructed tent city called EuroCamp. The total television audience is expected to top 120 million.

As the finals approach, the speed at which Grytsak dispatches cigarettes and cups of coffee betrays the strain he is under. However, he cheerfully counters all the rumours with: "There are no big projects without big problems." So, yes, there were problems with online ticket sales but that was only because high demand made the servers crash. Yes, costs rose, but the contest has come in under its final budget of 104m Ukrainian hrivnias (£11m). No, he was never officially informed about moving the contest to Sweden. And no, GreenJolly's victory wasn't fixed. "Actually, I'm not a big fan of GreenJolly, but people voted for them," he says. "Hundreds of thousands of people were standing in the square in the snow and rain and GreenJolly were singing for them. This is about social and emotional links, not only about the music."

So is Stockselius doomed in his quest to make Eurovision politics-free? "I appreciate Svante's position," Grytsak says evenly. "We agreed that it shouldn't be a political project, but after such a turbulent time it cannot only be an entertainment project. It is a social project. [The Maidan] was not only about political issues, it was about social and cultural changes as well."

Walking through Kiev as the sun reflects off the glass domes of Independence Square, you can sense the buoyant new mood. Six months after the Maidan, there is a stage in the square once more, but this time its purpose is simply to showcase Ukrainian bands rather than to orchestrate a revolution. "The people who promote democracy and freedom of speech have won," says Kostyuk. "Absolutely everything has changed."

Source: Guardian Unlimited

Eurovision Semifinals Under Way

KIEV, Ukraine -- Eurovision, the continent's annual extravaganza of florid musical groups and cheerful cheesiness, got under way Thursday with contestants from 25 countries competing in the semifinals.

Greece's Helena and the Norwegian band Wig Wam are seen by bookmakers in London and Kiev as the odds-on favorites in Saturday's finals. Ten semifinalists will advance and performers from 15 other countries already won slots automatically, including Britain, France, Germany and Spain.



Switzerland's all-female Vanilla Ninja and Hungary's Nox also are seen as strong possibilities, and Bosnia-Herzegovina's Feminem appeared likely to make the cut for the finals,

Eurovision is one of Europe's major media events, with more than 150 million people expected to watch the televised final round. The winner is determined by telephone voting.

Despite the intense interest in Europe, Eurovision's performers rarely make much of a dent in other cultures' consciousness - a notable exception being ABBA, whose 1974 win with "Waterloo" launched them into worldwide stardom.

Eurovision contestants tend to go for tunefulness, vivid outfits and stage shows that eschew refined tastes. Many, however, draw heavily on their countries' musical traditions.

Last year's winner, Ruslana, was the epitome of both. Known for her negligible leather and fur outfits, she danced with modern aerobic intensity but her song was based on ancient tunes from Ukraine's wild Carpathian Mountains region.

Ukraine is unlikely to notch a second consecutive win, bookmakers seeing its entry as around an 80-1 shot. Even the group's name is a shaky proposition. Usually transliterated from Cyrillic as "Hryndzholi," the name's listed on Eurovision's website as "Greenjolly" - a peculiar decision in that Ukrainians generally pronounce "g" as "h."

However they're spelled, the group's music may be unexpectedly familiar to anyone who watched TV coverage of last year's Orange Revolution. One of their rap songs was the unofficial anthem of the protests, often chanted by the huge crowds that gathered in downtown Kiev to protest rigged presidential elections.

"It was the song of the revolution, it has some meaning for Ukrainians, but not for the rest of Europe ... and it's not the best song we've ever heard," admitted a Kiev bookmaker who gave his name only as Anatoly out of fears for his job security. Betting is not entirely legal in Ukraine.

The government of President Viktor Yushchenko, who was elected after the protests, is eager to use Eurovision to promote his drive to bring the ex-Soviet republic closer to Europe.

City authorities have decorated downtown Kiev with orange ribbons - Yushchenko's campaign color.

According to organizers from the state-run National Broadcaster of Ukraine, the finals were sold out, and even many accredited journalists were told they will not be allowed into the venue.

Security was tight near the Sports Palace, the contest's venue, and in downtown Kiev, where police searched cars and passers-by.

Police even deployed several river boats and divers to patrol the Dnipro River and the tent camp erected as an alternative accommodation for thousands of Eurovision fans on Trukhaniv Island, just outside the city center.

Source: AP Wire

Ukraine's Yushchenko Blasts Government Over Fuel Crisis

KIEV, Ukraine -- Ukraine's President Viktor Yushchenko intensified criticism of his government on Thursday and vowed to stick to market principles while tackling a fuel crisis that led to long queues for petrol.

Yushchenko, who came to power just over 100 days ago after a bruising election and "Orange Revolution" protests, appointed his radical ally Yulia Tymoshenko to head the ex-Soviet state's government in February.

He has appeared increasingly at odds with her over both the dramatic fuel shortages and plans to review some of the privatisations of industry conducted under his predecessor. In a decree issued late on Wednesday, Yushchenko criticized Tymoshenko's government over the shortages, demanding prompt action to stabilize the situation, reduce energy dependence and allow the market to function without impediment.

On Thursday, he told executives from Russian and Ukrainian oil firms: "What happened on the oil market was a clear example of how not to manage affairs. I saw no professional approach. Today, I am asking for this page to be turned."

He pledged to do everything possible to "make it profitable, on strict market principles, for oil to be brought to Ukraine, refined and used on the domestic market.

"I give my word that we will do everything to make Ukraine attractive as a transit country."

Yushchenko has linked nearly every policy move to a drive to emerge from Moscow's shadow and one day join the European Union.

His decree, using unusually harsh language, said government policy "does not correspond to the basis of a market economy."

"This crisis emerged because of the improper actions of the Ukrainian government in terms of setting prices and excessive administrative regulation of oil and oil products," it read.

It was the second time this week Yushchenko had chided Tymoshenko's cabinet, though queues shortened at petrol stations. A 10-liter limit per customer remained in force.

RUSSIAN PLOT

Tymoshenko, who roused crowds with calls for radical action during last year's mass protests, blames the fuel crisis on a "plot" by Russian companies, which control four of six Ukrainian refineries and dominate the retail fuel market.

The president's decree gave the Economy Ministry a week to rescind decisions setting prices on the oil market.

It ordered the government to produce a solution within a month on creating a comprehensive oil company able to explore, produce, refine and sell oil. A separate order called on Tymoshenko to transfer state shares from three refineries into a fund intended to help create the company.

Ministers were commissioned to set up a program for a state oil reserve and draft a law eliminating all value added tax on oil transiting through Ukraine. And the government was ordered to start talks with other countries on oil supplies.

Tymoshenko has appeared increasingly on the defensive in recent weeks amid mixed economic results and policy disputes. Growth has slowed from last year's record level of 12.1 percent though the premier says previous figures were exaggerated.

Yushchenko on Wednesday blamed her government for being "two to three weeks behind" in tackling the fuel crisis.

The prime minister has also been at odds with Yushchenko on calls to submit to a review privatisations deemed dubious with the possibility of staging new tenders.

Tymoshenko on Wednesday denied her government was drafting a list of such companies and accused two ministers of "intrigues."

Yushchenko last week said officials were drawing up a list of 29 companies that could be sold off again, but gave no names.

Source: Reuters

Ukrainians Aware of Yushchenko’s Corruption Fight

KIEV, Ukraine -- Many adults in Ukraine commend their government’s efforts to combat illegal activity, according to a poll by the Razumkov Center. 23.1 per cent of respondents believe much has been done in the fight against corruption, while 53.8 per cent say some measures have been taken.

Viktor Yushchenko won last December’s presidential election in Ukraine, with 51.99 per cent of the vote in an unprecedented third round against Viktor Yanukovych. The head of state vowed to fight corruption and develop a closer relationship with the European Union (EU).

In February, Yushchenko said his administration would verify the privatization deals signed by previous governments. Several state-run enterprises were sold during the tenure of head of state Leonid Kuchma. Yushchenko has promised to develop a specific list of deals that "will be limited and final and will not be extended after its completion."

The once state-administered Kryvorizhstal steel mill—considered as one of the world’s most profitable—was bought in 2004 by a consortium that includes Kuchma’s son-in-law Viktor Pinchuk. Yushchenko said the mill had been "stolen" and vowed to "return it to the nation."

On May 13, former governor of Transcarpathia Ivan Rizak was arrested. Rizak faces several corruption charges, including extortion and electoral fraud. Borys Kolesnykov—the Donetsk regional council chairman—is currently awaiting trial on similar violations.

Polling Data

Would you say the government has done much, some or nothing in the fight against corruption?

Much has been done - 23.1%

Some has been done - 53.8%

Nothing has been done - 15.0%

No answer - 8.1%

Source: Razumkov Center. Methodology: Interviews to 2,010 Ukrainian adults, conducted from Apr. 23 to Apr. 28, 2005. Margin of error is 2.3 per cent.

Source: Angus Reid Consulting

Ukrainian Privatization "Black List" Leaked

MOSCOW, Russia -- The influential Russian business daily Kommersant has published what it says is a leaked list of 29 companies in Ukraine whose privatization will be reviewed by the new government. Ukrainian officials had previously confirmed the existence of the list but refused to say which companies were on it. Kommersant said it received the list from a source in the Ukrainian president's secretariat. Four of the companies are Russian-owned, the paper said.

President Viktor Yushchenko called last month for a definitive list of privatization deals subject to review to be published in order to end uncertainty among investors. But Prime Minister Yuliya Tymoshenko expressed doubts about the legality of such a list. She said that in order to avoid accusations of bias, the cabinet of ministers would instead submit a bill to parliament setting out clear criteria for a review of
dubious privatization deals.

Reversing controversial sales of big companies during former President Leonid Kuchma's tenure is one of the new government's key policy priorities. But the government indicated that it would allow the present owners to keep their assets if they meet the highest bid at an auction and pay the difference between the price they paid and the real market price. It also stressed that there would be no massive reprivatization campaign in Ukraine.

The following is the list of companies published by Kommersant:

1. Open Joint Stock Company Kryvorizhstal - (steel giant sold to a consortium of Ukrainian tycoons Rinat Akhmetov and Viktor Pinchuk)
2. Open Joint Stock Company Central Ore Enrichment Plant
3. Open Joint Stock Company Nothern Ore Enrichment Plant
4. Open Joint Stock Company Inhuletskyy Ore Enrichment Plant
5. Open Joint Stock Company Sukha Balka Ore Enrichment Plant
6. Open Joint Stock Company Kryvyy Rih Iron Ore Plant
7. Open Joint Stock Company Novotroitsk Ore Directorate
8. Open Joint Stock Company Dokuchayiv Dolomite Flux Plant
9. Open Joint Stock Company Kryvbasvzryvprom [Kryvyy Rih Basin Explosive Industry]
10.Open Joint Stock Company Nikopol Ferrous Alloys Plant (owned by Ukrainian tycoon Viktor Pinchuk)
11.Open Joint Stock Company Severodonetsk Azot Plant
12.Open Joint Stock Company Zaporizhzhia Aluminium Plant (Russian-owned)
13.Open Joint Stock Company Mykolayiv Alumina Plant (Russian-owned)
14.Open Joint Stock Company Lukor (Russian-owned chemicals company)
15.Open Joint Stock Company Rosava (Russian-owned car tyre manufacturer)
16.State Company Black Sea Shipyard
17.Halychyna Oil Refinery
18.Open Joint Stock Company Rivneazot
19.Open Joint Stock Company Dnipropetrovsk Dzerzhynskyy Metallurgical Plant National 20.Joint-Stock Insurance Company Oranta
21.Open Joint Stock Company Nikopol Southern Pipe Production Plant
22.Open Joint Stock Company Pure Metals
23.Open Joint Stock Company Azovmash
24.Open Joint Stock Company Kherson Shipyard
25.Open Joint Stock Company Rubizhne Cardboard Plant
26.Open Joint Stock Company Kherson Cotton Plant
27.Open Joint Stock Company Ukrpapirprom [Ukrainian Paper Industry]
28.Irshansk Ore Enrichment Plant
29.Volnohirsk Ore Enrichment Plant

Source: Kommersant

Yushchenko Assails Own Oil Policy

KIEV, Ukraine -- Ukrainian President Viktor Yushchenko signed into law on Wednesday a bill allowing duty-free imports of oil products, but blamed his government for shortages and rising prices gripping the country.

Parliament on Tuesday voted overwhelmingly to remove duties from imports to tackle the country's fuel crisis.

Yushchenko said his government had acted "in far from the best fashion" in its initial steps, including a freeze on prices and a ban on exports.

"Ukraine was two to three weeks behind in adopting a proper and publicly stated means of regulating the crude oil and oil products market," Yushchenko said in a statement.

"Today the president and the government have said once and for all that nobody will regulate prices in Ukraine by administrative means."

Prime Minister Yulia Tymoshenko accused Russian oil companies, which control four out of six Ukrainian refineries, of unjustifiable price rises. The government froze oil products prices until June 1 to help farmers with the sowing campaign.

Russian oil firms said higher world oil prices were behind increases in Ukrainian retail prices. Motorists have been forced to join long lines at gasoline stations, which have imposed strict limits on sales per customer.

In addition, two of Ukraine's major refineries are closed for maintenance at a time when demand for fuel usually increases due to demand from the farming sector. Lysychansk oil refinery, controlled by Russia's TNK-BP, would resume operations next week.

Yushchenko said a government delegation would fly on Thursday to Libya for preliminary agreements on oil supplies.

Source: Reuters

Betraying a Revolution

KIEV, Ukraine -- Ukraine's Orange Revolution was an exhilarating and joyful event. It was a classical liberal revolution for democracy and freedom and against corruption. Viktor Yushchenko became the democratically elected president, promising freedom from fear and corruption.

Alas, the new Ukrainian government of Prime Minister Yulia Tymoshenko, another revolutionary hero, has surprisingly opted for an economic policy that appears to be socialist and populist in nature. The results have been immediate: Last year Ukraine enjoyed economic growth of 12 percent; in the first four months of this year, the growth rate plunged to 5 percent, while inflation has surged to 15 percent. How could things turn so sour so fast?


Viktor Yushchenko (L) and Yulia Tymoshenko (R)
The biggest blow to the economy has been the new government's foggy plans for re-privatization. During the election campaign, Yushchenko advocated the renationalization of Ukraine's biggest steel mill, Kryvorizhstal, to be followed by a new privatization deal. The goal was to undo the sale of the mill to Ukraine's two biggest oligarchs in a sweetheart deal last year. The new government quickly acted to recover Kryvorizhstal, but the owners have taken the case to the European Court of Justice, where the proceedings are expected to be prolonged.

For months top Ukrainian officials have discussed publicly how many flawed privatization deals should be reversed -- the possibilities range from 29 to 3,000 -- and how this would be done. The government is trying to recover many enterprises through the courts, and it has drafted a broad law that could undo much of Ukraine's privatization. The dispute can be settled only by the fractious parliament, which will need months to come to a decision -- if, indeed, it ever decides anything.

Meanwhile, the property rights of thousands of enterprises are in limbo. In Kiev, rumors abound that oligarchs connected to the old regime are trying to sell their enterprises to Russian business executives and are preparing to escape the country. Naturally, executives are cutting off investment, and economic growth is screeching to a halt.

To make matters worse, a new socialist minister of privatization has been appointed who opposes privatization in principle. She asked recently: "What is so bad about re-nationalization?" Tymoshenko concurred in a recent newspaper interview: "The biggest enterprises, which can easily be efficiently managed, must not be privatized, and they can give the state as an owner wonderful profits." This sounds like state capitalism.

The old regime doubled pensions, saddling Ukraine with the highest pension costs in the world as a share of national income. The new Ukrainian government has added to this excessive burden by raising state wages no less than 57 percent.

To finance these and other huge social expenditures, the government is scrambling to find more revenue. A lot of discretionary tax exemptions have, sensibly, been abolished, but the overall tax pressure has risen dramatically. Meanwhile, Yushchenko continues to talk about his plans for sharp tax cuts.

Incredibly, this new regime brought to power by the middle class and small entrepreneurs has abolished the simplified taxation that served those segments of society so well. The result has been that tens of thousands of small entrepreneurs have been forced to close their businesses, while others have fled into the underground economy.

Reformers have long demanded that the lawless tax police be abolished and that the tax administration be forced to obey the law. But Tymoshenko is cheering the tax police on and has declared that the performance of the regional governors will be judged by their ability to collect taxes.

Inflation is skyrocketing with increasing public expenditures. The predominantly Russian oil companies have increased their prices as world market prices have risen. Tymoshenko has imposed strict price controls on gasoline and forced the remaining state oil companies to deliver it at prices below market levels. Not surprisingly, oil supplies have declined, and gasoline shortages have erupted. She has also started controlling the price of meat, which has begun to disappear from markets. The price controls are accompanied by abuse of private producers and praise of state companies.

Tymoshenko does not talk about reform of state monopolies but instead about their reinforcement. In an additional effort to squeeze business profits and boost state re venue, she wanted to boost railway tariffs for metals by 100 percent, but settled magnanimously for a hike of only 50 percent.

The contrast between the declarations of the Orange Revolution and current government policy could hardly be greater. Curiously, this discrepancy continues. In an editorial on Yushchenko's first 100 days, the Kiev Post points out that "while Yushchenko is making grand statements abroad, the rest of the government does not seem to follow his lead."

The official justification for these populist policies is that they are meant to boost Tymoshenko's popularity for the parliamentary elections next March. Both Ukrainians and Ukraine's foreign friends need an explanation of what is going on.

Source: Washington Post

Ukraine May Host International Anti-Terror Center - Yushchenko

KIEV, Ukraine -- Ukrainian President Viktor Yushchenko said on Wednesday that the Security Service's anti-terrorist center in Kyiv might be used as the basis for an international anti-terror center.


Ukrainian President Viktor Yushchenko (2nd L) looks at a protective uniform of an 'Alfa' special police unit officer during his visit to a training centre
"I'm sure that an international anti-terrorist center or a division of the United Nations or of other institutions may be set up in Ukraine on this basis. I will be the first supporter of such projects," Yushchenko told reporters after a visit to the center, where he was shown the resources of the Alfa anti-terrorist unit of the Security Service.

Source: Interfax

Ukraine President Transforming Country into a Nation of God

KIEV, Ukraine -- Ukraine President Yushenko listed earlier this year his agenda for the country. Since then he has gone about transforming the nation's leadership into a unit focusing and being led by God - something unprecedented in the Eastern European country.

In his agenda he imposed a clear historical new stand against corruption said Pastor Sunday Adelaja of the embassy of the Blessed Kingdom of God for All Nations – Europe’s largest church in Kiev.


President Yushchenko in St. Yura Cathedral in Lviv
Assist News service reported how Adelaja has reported encouraging news from the Eastern Europe country. Assist quoted Adelaja as saying, "For the first time in the history of Ukraine, the President invited the entire country to join him for a second public Inauguration and Oath of Office on Independence Square. Following the Inauguration on Sunday, January 23, he started his first working day with public prayer and blessing. He invited the heads of all Ukrainian Christian denominations to join him."

He continued, "This is a totally new thing for our nation. Remember, Ukraine is a former communist society."

President Yushenko has also made the decision to choose a woman – Yulia Timoshenko – as the Ukrainian Prime Minister to lead the Parliament.

Adelaja said of Timoshenko, "She is not simply the most popular politician in Parliament, she is a born-again, Spirit-filled believer."

President Yushenko shocked the country, Adelaja reported, when he took his stern stance against corruption. The President made three main points:

1) "My government will NOT STEAL! I know it is a fantasy in Ukraine to hear this, but I assure you that this government will not steal anything from the public. I take full responsibility for my government's actions.

2) "My government will never give or receive bribes! I demand this standard from every member of this government and I say right now, that if anyone is caught giving or taking a bribe, he will suffer the full penalty of the law. I also would like to say that if you catch any member of this government in bribery or theft, it is your responsibility, as citizens, to please report the situation to me, that I might take immediate action.

3) "To the Parliament, I want you to know that we will never use money to shift lobby votes! That practice has ended, as of today! I demand that the principle of openness, transparency and uprightness filter throughout every department and cabinet. No decision should be taken in secret. Everything must be done openly and in public view."

Prime Minister Timoshenko then joined the President and made one simple point: "Our government has come to the conclusion that Ukraine can never rise on her feet until she bows down her knees before the Almighty God."

Adelaja continued to tell of the shock of the people as the country’s leaders bring the country close to God, "This takes us back to the Monday morning when the President started his work. After the prayer and blessing, he took his wife and children a few steps closer to the altar, and they bowed down on their knees, bringing the nation before the Lord. This is an unprecedented act in this part of the world and all the media and priests could do was stand in awe, and shock at what was happening."

After Yulia Timoshenko's program was announced, the Ministers were named, Adelaja reports.

Adelaja then told at the amazing twist of the history of God, as the new head of the SBU (Ukrainian KGB) was announced as Alexander Turshinov. This person, he told, is a believer who grew up in a Baptist family during the Communist regime. Now he will lead the organisation that once tried to destroy everything that he believes in.

Other new Christian ministerial appointments are the positions held by the Minister of Culture: a born-again Catholic woman, and the Personal Advisor to the President, Leonid Chernovetskiy, a member of Adelaja's church.

Adelaja concluded, "We know that the changes taking place here in Ukraine are born from above, and they are proving to be both encouraging and highly delightful! May you rejoice with us as we keep believing God for total transformation. Nothing is impossible for the Lord!"

Source: Christian Today

Ukraine-NATO Talk Annoys Russia

KIEV, Ukraine -- As Ukraine makes steady progress towards joining NATO, Russia’s grumblings grow more threatening and some observers warn the US against provoking the “Russian bear” unnecessarily.

Anyone who heard Russian President Vladimir Putin recently grumbling and vaguely threatening over Ukraine’s possible entry into NATO should get used to it. For all the grand talk about speeding up NATO integration following Ukraine’s “Orange” revolution, it will still be years before Ukraine joins the alliance. Neither Ukraine nor NATO appear in much of rush, though Russian opposition is only partly to blame.


Ukraine Minister of Foreign Affairs, Borys Tarasyuk (L) and NATO Secretary General, Jaap de Hoop Scheffer
While Ukraine’s membership is not yet on the horizon, Putin has evidently decided that he should air his displeasure as soon as possible. “The fact that NATO exercises a great influence on Ukraine or Georgia does not indispose us,” he said in an interview broadcast on French television on 7 May. “On the other hand, all enlargement of NATO does not (necessarily) improve security in the world.” And, he said, rather ominously, “Ukraine could have problems, I say this frankly.”

Ukraine’s Westward Progress

Whatever his motivations, that Putin even deemed it necessary to express his misgivings about Ukraine’s integration represents progress in itself. Just a few months ago, before the election to the Ukrainian presidency of the reform-minded and pro-Western Viktor Yushchenko, Putin’s words would have seemed premature. Under the previous government of president Leonid Kuchma, integration had stalled over continued democratic failings and rampant corruption.

Kuchma himself was implicated in the illegal sale of the Kolchuga radar system to Iraq, and, in response to repeated criticism from NATO, he signed a decree changing the country’s defense doctrine. The specific goals of joining NATO and the EU were removed and replaced with the vaguely worded intention to strive for “Euro-Atlantic integration”. Kuchma had also hand-picked a successor, then-prime minister Viktor Yanukovych, who seemed intent on closer ties with Russia. NATO membership seemed only a dream to a group of pro-Western reformers.

Kiev Readies Itself Militarily

Yushchenko’s victory and his vow to make NATO accession a major priority have rapidly reversed those previous calculations. Foreign Minister Borys Tarasyuk has said that Kiev could complete the necessary military and political reforms within just three years. Yushchenko just celebrated his first 100 days in office - far too early to make any judgments about democratization - but the idea that Ukraine could be ready militarily in the near future is not far-fetched.

Ukraine has been involved in NATO’s Partnership for Peace (PfP) activities since the program began in 1994, and in 1997, the country signed a “Charter on a Distinctive Partnership”. In December 1999, Kuchma initialed a decree on defense reform that paved the way for NATO to monitor Ukraine’s reforms and provide regular consultations and advice. In the past few years, real defense reform has taken place, with sharp reductions in troops, an increase in readiness levels, and heightened transparency.

Western Reluctance

The real obstacles to accession may loom elsewhere, including in the West’s reluctance to upset Putin. In April, NATO foreign ministers offered Ukraine a plan for fast-track membership, but officials stressed that Kiev would not be offered a fixed date for entry, for fear of harming relations with Russia. Those sensitivities may have been heightened further last week with the signing of a partnership between the EU and Russia.

On Tuesday, the two sides initialed an agreement on boosting cooperation in areas such as the economy and external security. The EU is Russia’s largest trading partner, with over half of Russia’s exports going to the bloc, including one-fifth of the EU’s oil and gas need. Russia is the EU’s fifth-largest trade partner, with bilateral trade totaling US$125 billion in 2004.

‘Poking the Russian Bear’

In addition, for all the admiration and raucous applause that Yushchenko received on his recent visit to Washington, opinion in the US also appears split on how quickly to push for Ukraine’s membership in NATO. The lead editorial in last Wednesday’s LA Times, for example, called on President George Bush to tone down his rhetoric about NATO accession for some of the former Soviet republics. Entitled “Poking the Russian Bear”, the article read: “Before he goes any further in emboldening Georgia and Ukraine, Bush should reconsider and avoid needlessly antagonizing Russia.

Washington should have good relations with the former Soviet republics and encourage their democratic evolution, but it would be counterproductive for the US to make Russia feel increasingly encircled by NATO.” The editorial continued: “The fate of Russia’s own democracy is uncertain under Vladimir V. Putin, and Western disregard for Russian pride and security concerns could make matters far worse by unleashing a nationalistic backlash.”

A Repeat of NATO’s 1990s Accession

In many ways, the talk of Russian pride and a “nationalist backlash” is remarkably similar to language used in the early 1990s before the first wave of NATO accession. The Times’ warnings that “the West needs Russia as a friend, not an enemy” (to deal with problem areas such as Iran and North Korea) could have been lifted verbatim from editorials opposing NATO enlargement a dozen years ago, especially in relation to the Baltics. Yet, over time, Russia modified its stance and understood that it could do little to nothing to delay the process.

Putin made clear in the interview on French television that the incorporation of Lithuania, Estonia, and Latvia still represented a sore point. “I don’t see in what way enlarging to our Baltic neighbors, for instance, can improve the security of the world,” he said. His bitterness, however, seemed just as much tied to what Russia perceives as discrimination against the Russian-speaking minorities in these states.

Other Reasons for Western Reluctance?

Yet “not upsetting” Russia may also be a convenient excuse used to mask the unwillingness of key Western allies to enlarge for different reasons. “I suspect Western resistance to Ukraine’s Western integration [into NATO and the EU] has increasingly less to do with Russia,” says Tomas Valasek, the director of the Brussels office of the Center for Defense Information (CDI). “Now that the Baltic states are in NATO the Rubicon has been crossed, so to speak.

Some of the allies - mostly grouped around the key EU founding states [such as France and Belgium] - are not too keen on seeing NATO enlarge or do anything particularly useful, for that matter. They would like to see most of its defense and security responsibilities gradually migrate over to the EU. Enlargement of NATO to Ukraine goes against this strategy; it makes NATO more useful, more relevant, more vigorous.”

Practical Concerns

But there are a number of practical concerns that also make Ukraine’s accession unique compared with the other Central and Eastern European states that have entered the alliance in recent years. For one thing, none of the new member states still had Russian troops or bases on their territories during the accession process. Ukraine does and will have for the near future. Stationed in the port city of Sevastopol on the Crimean peninsula since the early 19th century, the Black Sea Fleet’s continued presence on Ukrainian territory falls under a 1997 agreement that will expire only in 2017. Top Ukrainian officials, including President Yushchenko, have complained numerous times in recent weeks that Russia has refused to honor key points of the deal, including allowing Ukrainian inspectors to enter the grounds of the Sevastopol naval base to check on the technical state of the berths.

In March, a more visible violation occurred when a Russian naval landing force conducted a large-scale military exercise, entered Ukrainian waters, and seized a beachhead without notifying Ukraine or asking for permission. But despite their criticism, Ukrainian officials have said they would not unilaterally cancel the agreement. They have also insisted that NATO has made clear that the Black Sea Fleet would not be a stumbling block in accession talks. “The Black Sea Fleet is not an obstacle for NATO ‘in principle’,” says James Sherr, a fellow in the Conflict Studies Research Centre at Britain’s Defense Academy and a leading authority on Ukraine and defense reform. “Yet it will be in practice until Ukraine is happy with the terms under which the fleet is based and with Russia’s observance of those terms.” What is needed, he says, is for the two sides to work out their differences and for the Ukrainian parliament to approve a NATO-style Status of Forces Agreement. “NATO will pose no obstacle so long as the basing modalities are not a subject of dispute,” he adds.

A Legitimate Area of Concern

Putin may have been trying to intimidate with his talk of the “problems” that integration would bring Ukraine, but one of the examples that he raised - military research and development - is a legitimate area of concern for both Russia and Ukraine. Currently, many Ukrainian companies act as suppliers for the Russian military machine.

Putin said that relationship would end: “If there were a NATO military presence in Ukraine, I wouldn’t maintain our latest technologies and our sensitive armaments.” The cancellation of such contracts would certainly lead to a loss of jobs and could have a serious financial impact on parts of the country that are dependent on military production.

Ukraine’s Own Political Will

Despite all these largely external obstacles, the greatest factor in slowing down Ukraine’s integration in the alliance may actually be the country’s own will. Yes, Yushchenko and others have reaffirmed the Ukraine’s bid and become welcome guests in Brussels, but they have also said EU accession was more important. Much of the political elite does, however, understand that NATO membership will be a key step that will make the EU more obtainable. The question remains if the public will agree. Yushchenko has said the issue should be put to a referendum. And, unlike the experience in most of the new NATO member states, a “yes” vote could be very much in doubt.

“There should be no hurry with this,” says Oleg Varfolomeyev, a Kiev-based political analyst. In fact, if a NATO membership referendum were held now, Ukrainians would most certainly reject the idea. NATO is unpopular in Ukraine, and not only decades of the Soviet brain-washing are to blame for this.” Varfolomeyev points to the unpopularity of the NATO-led bombing of Yugoslavia, as well as the popular confusion that NATO played a role in the Iraq war. “Last week, Yushchenko mentioned some sociological research that showed that only 2 per cent of Ukrainians are sure that they know what NATO is all about. Education will take time,” he adds.

Source: International Security Network

Cool Eurovision Stuff

KIEV, Ukraine -- This week in Kyiv hardly anyone’s talking about anything else than the Eurovision Song Contest. Beginning May 18 with a three-hour show at Independence Square, Europe’s biggest music spectacle will be staged by Volodymyr Vovkun, the director of President Viktor Yushchenko’s inauguration ceremony. It will feature a laser show, performances by top Ukrainian bands and singers including Ruslana, and a colorful dance show and fireworks.

While the official opening of the 50th Eurovision Song Contest was held May 16 at Kyiv’s Mariyinsky Palace, the real thing won’t start until May 19, when singers from 25 countries (from an original 39) will compete in the semi-finals. On May 21, 10 finalists selected by the contest jury will perform, and they will be joined by 14 finalists from last year’s Eurovision in Istanbul. The grand prize winner will be selected by the international audience (this means you) via phone- and sms-voting.


Greece (L), Hungary (C) and Norway (R)
Apparently, the biggest question of Eurovision 2005 is who’s going to win. Will it be Helena from Greece with her hit “My Number One,” or Nox from Hungary, or Norway’s Wig Wam? According to the British bookmaking agency William Hill, the odds are in favor of one of these three.

As for the chances of Ukraine’s entrant, Greenjolly, they seem rather low. One reason is that they’re the only hip-hop outfit participating in what is usually a pop music contest. The other reason? Everyone’s had enough of them.

No Rain, Yes Ruslana

It’s difficult to guess the winner, but at least there are two other things about the upcoming Eurovision festival we already know for sure.

Firstly, it is not going to rain this week, at least not during the contest, or so say city authorities, who will shoot apart any threatening rain clouds by using specifically designed shells that condense water. Uh-huh. Good luck.

Secondly, Ruslana will be one of the Eurovision show hosts, and neither will bruising boxer Volodymyr Klitschko.

Ten days ago it was officially announced that the hosts of Eurovision 2005 will be DJ Pasha and Novy Kanal morning show starlet Masha Efrosinina. Ruslana, however, will perform to open the finals of the event.

Source: Kyiv Post

Kiev Now Takes on a Musical Revolution

KIEV, Ukraine -- Ukraine is about to pull off a coup that may be more challenging than its Orange Revolution last winter: hosting the Eurovision Song Contest.

With one day left before the semifinal, Kiev has taken on the air of a busy house staff preparing for a major party. Contestants hold dress rehearsals while construction workers hammer, haul wires and install lighting at the Sports Palace, where the contest will be held.



Kiev's main boulevard, Khreshchatyk, which only months ago was blocked by thousands who camped out in tents to protest falsified elections, has been torn up and repaved. Oversized blue and green banners touting Eurovision are being draped over buildings. All of this is an effort to show that Ukraine is under new management and open for business.

An oddity to Americans, the Eurovision Song Contest for 50 years has been a huge attraction in Europe, where millions tune in on television to pick the continent's best song. The international careers of Celine Dion, Abba and other artists have been jump-started by Eurovision victories.

Ukraine first participated in the contest two years ago with a respectable showing. Last year's entry, Ruslana, surprised nearly everyone by winning Eurovision and bringing the contest to Ukraine this year.

Kiev's city administration immediately started fretting about the show, but Ukraine's tense political showdown last year meant that organizational work didn't begin in earnest until three months ago.

Worried that Ukraine wouldn't be ready in time, Eurovision's management was about to change the venue to Switzerland when the new president, Viktor Yushchenko, convinced them his country was up to the challenge.

Since then, crews from 50 companies have worked around the clock to refurbish Kiev's Soviet-style Sports Palace as the country has counted down the days.

With last winter's dramatic political events in mind, a tent city also has been erected on a Dnipro River island, where about 5,000 of the expected 40,000 visitors will find a cheap place to stay and a chance to relive the spirit of Ukraine's Orange Revolution.

"We are here because we want to feel what demonstrators felt," said Alexsei Koshovoy, 24, who with two friends was the first to arrive at the camp on Saturday morning.

Ukraine's Eurovision entry this year has raised questions.

The band Green Jolly, whose song "Razom Nas Bahato" became the anthem of the Orange Revolution, was slipped into the national final in February, bypassing the regular competition. The group then had to change some of its song's revolutionary lyrics to reflect the supposedly nonpolitical spirit of Eurovision.

The group has remained unfazed by the negative publicity about the song. "People like the melody," lead singer Roman Kalyn said.

Source: Washington Times

Poles Upset by 'Stalinist' Take on History

WARSAW, Poland -- A Polish magazine has called on its readers to send Russian President Vladimir Putin a postcard depicting him as the long-nosed lying fairy tale character Pinocchio for presenting a "Stalinist version of history."

The campaign comes amid a rise of anti-Russian sentiment in Poland and drew a statement of concern from Russia's foreign ministry about a "worsening atmosphere" in bilateral ties. Many in Poland were angered by Putin's May 9 Red Square speech marking the end of World War II in Europe, in which he failed to condemn the 1939 Soviet invasion of Poland as many had hoped.



In response, this week's issue of Wprost magazine comes with a pre-addressed postcard that reads "With greetings for Putinocchio" above the computer-generated image.

On the other side, a brief text in Polish and Russian asks Putin to apologize for failing to condemn the 1939 secret Nazi-Soviet pact, which set the stage for World War II.

The card also said Poles felt humiliated that Putin thanked the Italian and German anti-fascist resistance but failed to mention the Polish sacrifice.

Ties between the two countries have been strained in recent months.

Russia was irked at Poland's intervention in the Ukrainian presidential election crisis last year, which led to the victory of pro-Western opposition leader Viktor Yushchenko.

Formerly Communist Poland joined the European Union last year and has been one of the strongest supporters for Ukraine's EU membership hopes under Yushchenko, as he seeks to steer his former Soviet republic away from Russia's influence.

Russia, meanwhile, raised Poland's ire in March when the country's top military prosecutor said an investigation into the 1940 Katyn forest executions of 21,768 Polish military officers, intellectuals and priests had concluded that the massacre did not constitute genocide. The Soviet secret police executed the prisoners, taken during the invasion of Poland, on Josef Stalin's orders.

Source: AP

Businessmen Trying to Put Yushchenko and Tymoshenko at Odds - Deputy PM

KIEV, Ukraine -- Mykola Tomenko, Ukraine's deputy prime minister for humanitarian affairs, has accused a group of businessmen and politicians of trying to put the country's President Viktor Yushchenko and Prime Minister Yulia Tymoshenko at loggerheads.

Commenting on several Tuesday media reports claiming that there is an obvious conflict between Yushchenko and Tymoshenko, Tomenko said that "there are attempts by a group of businessmen and politicians to convince Yushchenko that such a conflict exists."

Speaking at an Internet conference organized by the Ukrayinskaya Pravda publication, the deputy prime minister said that Russian will not be Ukraine's second state language.

Tomenko also criticized shortcomings in the government's personnel policy, "particularly at the local level, and the absence of a unified clear decision-making procedure in the entire system of executive power institutions."

The deputy prime minister, however, supported steps the Cabinet has been taking on the market for oil products.

"My opinion is that the government's position is right, since surgical operations, rather than pills, are needed to cure this disease of monopolism," he said.

Commenting on his further political career, Tomenko said he would like to run in the upcoming parliamentary elections on the unified list of the Our Ukraine People's Union and Yulia Tymoshenko's bloc.

Source: Interfax

Hearts Lit All Over Ukraine Open The Eurovision Song Contest 2005

KIEV, Ukraine -- The celebrations in the heart of Ukrainian capital is the final chord of a key large communicational program “Ukraine the Heart of Europe” created and implemented by Kyivstar company to show the atmosphere of the European holiday of music to every citizen who doesn’t have an opportunity to attend the Song Contest at Sports Palace but wants to be involved in such a tremendous event of Ukrainian life.

That’s why Kyivstar Company decided to fill Ukrainian Eurovision with bright memorable events making its own contribution to consolidate the interaction between Ukraine and foreign countries. As Vasyl Vovkun pointed out, the art show idea is calling up with Eurovision stylistics expressed by words “awakening in a mystical forest”.



The organizers say that the opening of Olympic Games exemplified the Eurovision show on Maidan. “All modern show elements including coloured smoke, pyrotechnical effects, garlands, “golden” rain, torches, bright cloths, huge balloons as well as the release of fifty-thousand small ones in the shape of hearts will be used. And anyone who wishes can become a part of this event and demonstrate that our country is a big “heart” of Europe”, said a well known Ukrainian producer Vasyl Vovkun. The initiator of the “European heart beating” Kyivstar has engaged the assistance of Vasyl Vovkun and his team from “Art-Veles” art agency, to organize the art show that will be taking place on Maydan Nezalezhnosti.

The show is comprised of three parts. According to plan, the fantasy art show will start with the performances by collectives of the best-known Ukrainian choreographic and music studios. Their artistic works are called “Awakening”, “The First Thunder”, “Spring Downpour”, “Blossoming”, “The playing of Rays”, and “Sun”.

In the second part of the Art-show “Ukraine – The Heart of Europe” groups and musicians who participated in the selection process for Eurovision 2005 will participate: “Talita Kum”, “NeDilya”, “Daleko”, “Shastia”, “Mad Heads”, “Motor’rolla”, “Mandry” and “Tartak”. Their performances will be accompanied by theatrical choreographed compositions as well. This is the first time that all the choreographic groups have performed together – they are uniting in a joint musical-choreographed composition “Ukraine – The Heart of Europe”.

In the third part, culmination of the celebratory event is to declare Ukraine united with Europe. The singer Ruslana, who brought Eurovision from Istanbul to Kyiv, will play a main role here. Together with the children’s collective she will give everyone who gathered on Maydan Nezalezhnosti, the gift of the premiere and the musical symbol of Eurovision, the new song “In the Rhythm of the Heart”, created with the support of Kyivstar specially for the Song Contest.

The winner of last year’s Eurovision will also light the symbolic “heart” of Ukraine, which will represent the union of all Ukrainians and will become an original greeting for the opening of Eurovision 2005. A “heart” of a pyrotechnical fountain will provide a neo-new light over Maydan Nezalezhnosti throughout the entire period of the contest – until May 22. The conclusion of the Art-show “Ukraine – The Heart of Europe” is the fireworks, which will be accompanied by a laser graphics depicting the map of Ukraine, which will burn with the city-hearts. This laser-pyrotechnical show will last for 10 minutes.

The symbolic Eurovision opening will be held in the cities of Odesa, Kharkiv, Lviv, Dnipropetrovsk and Donetsk. Concurrently with Kyiv, 5 girls with the name Ruslana will light Ukrainian “hearts” at 9.15 p.m. sharp. These celebrations also symbolize the unity of all Ukrainians.

Source: Kyivstar

Russia, Ukraine Continue Work on An-70 Plane Project

LYUBERTSY, Russia -- The Deputy Commander-in-Chief of the Russian Air Force, Colonel-General Anatoly Nogovitsin said on Tuesday Russia and Ukraine continue to work on the project for the joint manufacture of the An-70 military transport plane.

“Joint work is underway,” he said. “We have no plans for putting the An-70 on the market yet. The plane is still in the testing phase,” Nogovitsin said.


An-70 Military Transport Plane
The Air Force Deputy Commander-in-Chief for armaments, Major General Alexander Pavlov said for his part that “a team of Russian specialists returned from Ukraine recently, where it worked on eliminating flaws of the An-70’s D-27 engine.”

In the near future the engine will be tested in flight.

Moscow and Kiev plan to carry out large-scale flight tests of the An-70 by late 2005, Russian Defense Minister Sergei Ivanov said after the talks with his Ukrainian counterpart Anatoly Gritsenko on April 26.

“We agreed that this year we will divide intellectual property shares and property protection duties evenly between us,” Ivanov said.

The Russian minister recalled that the work on the An-70 production began back in the 1970s.

“The work is unduly delayed. Both parties have invested heavily in the project,” Ivanov said.

Source: Itar-Tass

Poland Urges EU to Admit Ukraine

WARSAW, Poland -- Polish President Aleksander Kwasniewski called on the European Union to support democratic reforms in Ukraine and bring the nation into the fold.

Kwasniewski supported Ukraine's efforts to join the EU while opening a two-day meeting of the Council of Europe in Warsaw.

"We must lend our support to all of those who want to live in accordance with European standards and democratic value in whatever region of our continent," Kwasniewski said.

The Council of Europe, founded in 1949 in Strasbourg, France, has become the continent's main human rights monitor.

The EU plans, however, to form its own human rights body and council officials asked for guidance about their future mission.

A number of major nations -- including England, France and Russia -- skipped the Council of Europe gathering as its influence wanes and the EU's grows, Voice of America reported.

Source: UPI

Ukraine Seeks Russian Talks on Deepening Fuel Crisis

KIEV, Ukraine -- Ukraine's president, Viktor Yushchenko, yesterday called for negotiations with Russian oil companies to end a deepening fuel crisis.

Mr Yushchenko, who discussed the fuel shortage with Vladimir Putin, Russia's president, last week, said foreign companies had adopted "a very cautious attitude" to Ukraine after Yulia Tymoshenko, the prime minister, imposed petrol price controls last month.



Ms Tymoshenko had lashed out at Russian oil companies earlier in the day, blaming them for running a cartel.

Ms Tymoshenko denied that price controls were to blame and accused Russian oil companies of trying to undermine the new Ukrainian leadership, which defeated a Moscow-backed candidate in presidential elections held in December.

"It's simply a plot, it's simply sabotage. They simply want to show Ukraine her place," Ms Tymoshenko said. "Nobody [in Russia] can accept that Viktor Yushchenko won the presidential elections. Nobody can accept that a new government has come to power, and nobody can accept that we have started to clean up after the old authorities," she added.

The accusations, which came as Russia's Lukoil announced it was introducing rationing at its Ukrainian petrol stations, increased the temperature in a bitter dispute between Ms Tymoshenko's government and the Russian oil companies that own the bulk of Ukraine's refining industry and supply more than 80 per cent of the country's crude oil. Lukoil has imposed a limit of 10 litres of oil products per vehicle.

Ms Tymoshenko capped prices last month as part of an effort to control inflation, but is now facing a cooling economy. Gross domestic product figures released yesterday showed annual growth slowing to 3.9 per cent in April, down from 13.3 per cent in April last year. Ms Tymoshenko said the previous government might have been "cheating" when it reported rapid expansion in 2004.

She is calling on parliament to rush through a bill lifting duties on imported oil products to allow emergency fuel supplies from Belarus and Lithuania.

The prime minister also announced plans to build a large, modern refinery near Odessa that would use Caspian oil, increasing the government's influence over the fuel market and reducing the importance of Russian refineries.

Source: Financial Times

Eurovision Song Contest Officially Open in Ukraine

KIEV, Ukraine -- The official opening ceremony of the 50th Eurovision-2005 Song Contest took place on Monday in downtown Kiev in front of Marinsky Palace, Ukrainian media reported.

The contest semi-final will take place on May 19 in the Palace of Sports, where about 40 young performers from all over Europe will sing for 100 million TV viewers. The finalists and a winner will become known on May 21.



The Ukrainian capital that won the right to host this year’s contest after the rising star Ruslana with her song Wild Dances won against 36 rivals in Istanbul, has been “dressed” in orange again to show the guests of the city what the recent revolution was like.

A private company is inviting the tourists to sleep in the same military tents that were used by supporters of the Ukrainian opposition during the days of the contest. The camping area is also decorated with authentic revolutionary banners and other memorabilia.

This year the country is represented at the Eurovision by a group called Grindzholy, the performers of the unofficial anthem of the Orange Revolution. Ruslana, together with the famous boxer Vladimir Klichko, will host the show.

Russia’s representative is Belarusian citizen Natalya Podolskaya, a participant in the Russian version of the Pop Idol reality show.

In past years the Eurovision contest was regarded as a platform where dozens of singers tried to launch a career. It made stars from Celine Dion who won for Switzerland and Abba for Sweden in 1970s. But critics say that the format no longer works, adding that this year many performers will try to copy last year’s winner, Ruslana.

Source: MosNews

They Give 10 Liters of Gasoline in Ukraine

MOSCOW, Russia -- The fuel crisis in Ukraine is exacerbating. TNK-BP Ukraine and LUKOIL-Ukraine restricted Monday the gasoline release to 10 liters per car. Ukrainian Prime Minister Yulia Timoshenko promised to do away with the fuel shortage within two weeks by attracting additional gasoline from Belarus and the Baltic States.


Prime Minister Yulia Timoshenko and LUKOIL CEO Vagit Alekperov meet in Kiev
Ukrainian Economy Ministry revised at the end of past week its ruling, which had fixed the maximum prices for petroleum product till June 1, 2005. As a result, the top prices for diesel fuel and gasoline could go up from 1.4 percent to 8.7 percent. The decision was made in the environment of heavy deficit on retail gasoline market of Ukraine built up, first of all, because of repair halt at Khersonsky NPZ refinery (member of Alliance) and because the repair of TNK-BP’s Lisichansky NPZ would complete May 25 vs. the scheduled May 10. Due to the acute shortage, a raft of filling stations are selling Ai-95/92 gasoline only for non-cash settlement. Some stations have completely stopped retail sales of gasoline.

Fuel and Energy Minister of Ukraine Ivan Plachkov announced yesterday LUKOIL-Ukraine and TNK-BP Ukraine resume gasoline retail in their filling stations. The quantity will be limited, no more than 10 liters of gasoline per a car, spokesmen of the above companies specified.

The government of Ukraine links gasoline shortage to the secret understanding reached among the Russian oil giants. In a move to solve the problem, Prime Minister of Ukraine Yulia Timoshenko pledged Monday to do away with the fuel shortage during a fortnight. To this effect, Ukraine will materially facilitate customs clearing for petroleum import. According to Timoshenko, the Cabinet has submitted to the Supreme Rada a bill on abeyance of duties and all taxes (but for the 20-percent VAT) for imported petroleum.

Kommersant found out that Supreme Rada’s Speaker Vladimir Litvin has agreed with the deputies to consider the bill as a top priority so that it could be passed already today.

Once the bill is passed, the imported petroleum will be able to compete with the fuel produced by domestic refineries of Ukraine. Plachkov assured Ukraine would import from Belarus and the Baltic States as much as 70,000 tons of refined oil in the near term. Plachkov didn’t name the definite suppliers though. The state-run Ukrneft is expected to act as an importer. The gasoline will be sold at the filling stations of Ukrtatnafta and Neftegaz Ukraine.

To avoid petroleum deficit in future, Ukraine will be diversifying the sources of oil shipment to the country, for instance, by entering into a respective agreement with Kazakhstan. Actually Kazakhstan is expected to cover one-third of the country’s needs in petroleum product and become the core supplier of crude to Odessa refinery, which construction will start quite soon, Timoshenko said, promising to launch the works in a year and a half.

Source: Kommersant

Singer from Belarus Represents Russia at Eurovision 2005

MOSCOW, Russia -- Singer Natalia Podolskaya from Belarus will represent Russia at an international song contest Eurovision-2005. On Thursday, the singer has presented a video clip presenting her song "Nobody hurt no one" at a press conference at the Itar-Tass news agency.

The 23-year old Natalia Podolskaya is the winner of the Russian national qualifying contest for the Eurovision- 2005 song festival with a final concert due in Kiev on May 21. It was the TV audiences who voted for Podolskaya and her song at the qualifying contest held in Russia, rather than an expert commission, who nominated the candidate to represent Russia at the Eurovision -2005 song festival, Director of Music Broadcasting Department of First Television Channel Yuri Aksyuta told the press conference.


Singer Natalia Podolskaya
Viktor Drobysh, composer and author of the song for the Eurovision festival, said that the video clip was made in Finland. Producer Igor Burloff and stylist Natalia Pilat created the singer’s image, Drobysh said.

The organizers who will represent Russia at the Eurovision song contest have assured that Natalia Podolskaya's song is the best in terms of the ideas it brings home to the people and that the song gives the most powerful energetic impulse to the audiences. Two poets from the United States and Finland wrote the verses to the music composed by Viktor Drobysh. The song has obvious repercussions with the famous documentary film by Michael Moore "Bowling for Columbine" that advocates the idea of banning free weapons in the United States.

It was not immediately known whether the message of the song would be as moving to the European audiences. Anyway, Viktor Drobysh has assured that "it is this song that will conquer the European hearts".

For her part, Natalia Podolskaya declared that she was determined to win no matter whatever the circumstances might be. She will celebrate her birthday on the eve of the final performance. "I am confident that I shall put my heart into the song and present it with proper energy," Podolskaya told the press conference.

Natalia Podolskaya comes from the city of Mogilev (Belarus) and the beginning of her artistic career was connected with Belarus. Podolskaya enjoys great popularity at home since 2002 when she first performed at Slavyansky Bazaar Festival in Belarus and became a laureate. Then, she moved to Russia to take singing lessons from famous Russian singer Tamara Miansarova. Natalia Podolskaya has been successfully performing in Russia, Belarus and other countries.

Source: Itar-Tass

Three Minutes Over Europe

KIEV, Ukraine -- Children of the 1970s probably have fond memories of groovin' along with (or running away from) ABBA's "Waterloo", a winning song from the Eurovision contest that catapulted the Swedish quartet into the international spotlight. The parents of those children might be surprised to learn that 1950s radio staple "Volare"-- covered by a litany of artists including the Maguire Sisters and Dean Martin-- was actually a rewrite of an Italian song from this competition ("Nel blu, dipinto di blue", from 1958). Any hipster worth a damn knows about Serge Gainsbourg, though he might not realize the Frenchman wrote a song for this contest. Katrina and the Waves won the contest in 1997, many years after "Walking on Sunshine" became a staple of nostalgia-driven compilations. Everyone's favorite Russian faux-lesbian pop duo Tatu lost the contest in 2003, just a few years after kicking doors down in America with "All the Things She Said". The undying popularity of godless things like Celine Dion or Riverdance can be attributed to the Eurovision Song Contest. And yet despite that, it's safe to say that most Americans probably never knew such a thing existed.


Entries for the Eurovision song contest (L-R) Javine Hylton of the United Kingdom, Ortal of France, Shiri Maimon of Israel and Glennis Grace of the Netherlands
This is especially galling as the phenomenon that is American Idol might not exist were it not for the European Broadcasting Union's decision in 1956 to invite 10 European nations to participate in a televised song contest. Only seven of the 10 invitees actually participated in the original Eurovision contest-- the remaining three countries failed to submit their entries on time. The early years of Eurovision are typified by a charming incompetence one would associate with a high school talent show: Myriad technical difficulties, no rules to account for a tie, countries failing to tabulate vote totals properly, nation s either unable or unwilling to host the event. Even the historical summary compiled as part of the press materials for this event strikes a tone that reflects its modest and mawkish beginnings: "1966 was the year of young girls at Eurovision. Among others, Germany, Belgium, Denmark, and Portugal all sent sweet, virginal young things to the contest."

Nowadays, the Eurovision contest is big business. So big, in fact, that newly elected Ukrainian president Viktor Yuschenko temporarily canceled the need for members of the European Union and Switzerland to obtain entry visas to his country, which is hosting this year's event. According to the Ukrainian News Agency, "This step was taken for the purpose of transparency of Ukrainian society and realisation of the policy of integration with the EU, and also for creating conditions for investments and acceleration of personal contacts." While the cost of the show is large, the amount of money the Ukraine will receive from festival attendees and participants will go a long way towards offsetting that expense. The 2005 version of this contest, to be held in Kiev, will feature representatives from 39 nations performing live over the course of two days. The semifinal round, featuring 25 performers vying for 10 spots in the finals, happens on May 19. The finals, featuring the top 10 semifinalists and 14 other performers, happens on May 21.

The rules of the Eurovision contest are simple. In order to participate, the country an entrant represents must be a member of the European Broadcasting Union, an organization that includes non-European countries like Israel and Egypt and Switzerland. All EBU members that did not participate in the previous year's competition are automatically entered into this year's competition. France, Germany, Spain, and the United Kingdom-- the countries that perennially contribute the most money to the EBU-- are always eligible to compete, regardless of previous years' performance. The eligibility of other EBU countries in the contest is based on their scoring average of their performances over the past five years. These averages account for years where a country does not participate, of course-- that way, a country that's only participated twice in five years isn't penalized.

Scoring is tabulated through televoting. As with American Idol and other like-minded shows, television viewers can call in and vote for any one song aside from the song representing their home country-- this way, a small country like Moldova theoretically has the same chance of winning as France or Spain. Of course, such precautions don't prevent favoritism from occurring-- according to the Wikipedia entry for the Eurovision Song Contest, regionally and culturally biased voting frequently occurs. "Former Yugoslav states have the habit of voting for each other. With the introduction of voting by the public, Turkey gets many points from Germany and the Netherlands due to large Turkish expatriate communities in those countries, France, with a large Portuguese community, often awards a high score to Portugal, and former Soviet states, with large Russian populations, frequently award high scores to Russia."

Once viewer votes are tallied, points are awarded to the top 10 votegetters. The lowest eight spots receive points equal to their rank, the second highest vote-getter receives 10 points, and the first place finisher receives 12. All this tallying occurs soon after the final song is performed. These totals are then announced by a designated spokesperson over the air, and the Grand Prix goes to the participant with the highest point total. In addition to the honor of winning Eurovision (and any publicity such a victory garners), the winning representative's country will host the following year's contest.

Despite the goodwill that this competition seeks to engender in Europeans, the political realities of these countries often make themselves known. Throughout the contest's history, countries have often opted to not participate because of another country's presence. For instance, tensions between Turkey and Greece in the 1970s meant that one of these countries sat out. In 1964, there was an outcry to ban both Spain and Portugal, due to dictatorships in charge of those two countries. This year, Lebanon's passive-aggressive actions forced their ouster from the contest. According to an article posted on EscToday.com on March 18th:

"...It came out that on the official Lebanese Eurovision Song Contest website, Israel was not listed as participant. After a demand from the European Broadcasting Union to solve the issue, it was decided to remove the complete list of participants and in this way avoiding the problem. According to the Lebanese broadcaster in a statement to the EBU, legislation in Lebanon makes it nearly impossible for Télé-Liban to broadcast the Israeli performance."

Since all Eurovision participants are supposed to broadcast the entire competition, Lebanon was forced to withdraw. It's a shame, too, as Lebanon's entry-- Aline Lahoud's would-be disco staple "It's Over"-- could probably do rather well. As it stands, oddsmakers have Greece, Hungary, and Norway as the favorites, three selections that go a long way in illustration the diversity of the Eurovision entries.

Greece is represented by "My Number One", an exemplary pop tune sung in English flecked with enough ethnic spice (courtesy of some Middle Eastern violin) to give off an exotic air that's not offputting to outsiders. Hungary's "Forojg Vilag" possibly errs on the side of too much homeland pride-- the tune is sung in Hungarian, and its display of indigenous musics overwhelms the more universal portions of the track. Norway's song, "In My Dreams", sidesteps issues of staying true to their country by sounding like Def Leppard covering either AC/DC's "Money Talks" or Bon Jovi's "Livin' on a Prayer".

The other songs in the competition cover all sorts of ground, including some ground folks might like better uncovered. Moldova offers a track that asks the burning question, "What if 311 covered a Barenaked Ladies song?" The Ukraine's Greenjolly provides something that sounds a lot like the worst Eminem song ever-- the fact that its lyrics (previously protesting the pre-Yuschinko election results) had to be changed doesn't help any. Another notable track is from Austria's Global.Kyner-- "Y Asi" features lyrics in Spanish and English, and tells the story of a Cuban woman who comes to Austria and falls in love with a man who can dance and yodel. And, yes, there is yodeling in the track as well. From Avril Lavigne clones to maudlin balladry to something that could be from No Doubt's first album, this year's Eurovision entrants show the diversity that can be had within pop music.

Despite their differences, they all have one thing in common, which is possibly the most important rule of the contest: All songs must be no longer than three minutes long. This was undoubtedly instituted for pragmatic reasons: Twenty-five three-minute performances back-to-back, with five-minute breaks between songs, would take over three hours. It's also a rule that points to the history of pop music. The physical limitations of vinyl 78s and 45s meant that only three to four minutes' worth of music could fit on one side. While the popular song itself did evolve throughout the 20th century, this song length limit-- mandated by the technology used to bring this music to the masses-- remained constant. Even now, in the 21st century, in the age of the iPod and peer-to-peer file-sharing, where songs are reduced to zeroes and ones, a group of countries that might only have geographic locality in common bridge cultural and physical gaps via three-minute pop songs. English might be the international business language, but music is the one language that everyone in the world can understand.

Source: Pitchfork

We, the People of Eurovision...

KIEV, Ukraine -- This year the Eurovision Song Contest (ESC) is introducing a new concept, which will happen during Eurovision week.

The National Television Channel of the Ukraine and CFC Consulting Company, who are official partners of the Eurovision 2005, have decided to hold an art exhibition with the theme "We, the people of Eurovision". According to Marina Skomorohova the project manager the exhibition symbolizes unity of the peoples of Europe by the power of music.

Every participating country has been asked to take to Kyiv one art piece and one photo representing the citizens of the country. These items will be exhibited at the Sports Palace, official venue of ESC 2005, from the 16th to the 21st of May. One winner, for each category, will be chosen out of all participants. The stars and heads of delegation of the ESC-2005 will be the judges of the contest. The winners will be awarded prizes and certificates.

For this exhibition Malta will be represented by the contemporary artist Norbert Francis Attard, and the photo artist Kevin Casha.

The art object, by Norbert Francis Attard, is an interactive sculpture, titled swing. Swing consists of a pair of link chains and a pair of replica military guns with barrels welded opposing each other. They form a seat slung between the chains hung from the ceiling. For the artist this symbolizes freedom opposing the confinement that war imposes on people.

The photo, by Kevin Casha, portrays two young woman as the subject and is titled New Horizons for New Generations.

This exhibition intends to give a new dimension to the Eurovision Song Contest, it opens another window for other art forms to be appreciated.

Source: di-ve

Ukraine President: Russian Oil Conflict Can Be Settled - Tass

KIEV, Ukraine -- Ukrainian President Viktor Yushchenko said Monday it will be possible settle his country's differences with Russia over oil pricing, Itar- Tass reports, citing UNIAN news agency.

According to earlier reports, Ukrainian Prime Minister Yulia Timoshenko has charged that Russian oil major Lukoil (LKOH) and Russian-British oil major TNK- BP haven't met their obligations to keep oil product prices stable until June 1.

Since the beginning of the year, oil product prices have increased by 10% to 15%, Timoshenko was reported saying. But oil companies operating in Ukraine increased prices even further through "cartel agreements," she said. Russian companies control about 90% of Ukraine's oil product market, she said.

But Yushchenko, said "I am convinced the Ukrainian team acted not in the best way," and Ukraine would promise to more predictable and clearer on such delicate matters as pricing, Yushchenko said, according to Itar-Tass.

It said the Ukrainian president said that prior to his visits to Lithuania and Poland he talked with Russian oil suppliers, and it was agreed he would be informed of the Russian side's view of the situation that would help settle the conflict. He said that on Thursday, May 19, he would convene a conference of all the sides involved in the situation. Yushchenko said he would invite Russian businessmen who supply crude oil and oil products and also chiefs of oil refineries.

"We should begin the talk from scratch. I believe both sides have by now made some steps that harmed each other's reputation and the principles of a sound market," Itar-Tass reported Yushchenko saying.

Source: Dow Jones

Ukraine Raps Russia Oil 'Bullies'

KIEV, Ukraine -- Ukraine's Prime Minister Yulia Tymoshenko has accused Russian oil companies of trying to "bully" her country by causing fuel shortages.

Petrol stations began running out of fuel, 80% of which comes from Russian sources, after Ukraine froze prices.

Ms Tymoshenko said Russian firms, including Lukoil, Tatneft and TNK-BP, had suspended deliveries and created an "artificial crisis".

However, the oil companies said repair works had restricted supplies.

Russian media quoted representatives of the firms as saying that oil was still being pumped to Ukraine.

TNK-BP, which is jointly owned by UK oil giant BP, said it was supplying a smaller volume of crude because of work on one of its pipelines.

'Sabotage'

Problems began last month, when the Ukrainian government froze petrol prices after accusing Russian firms of conspiring to increase them.

Adding to the pressure, Moscow announced an increase in crude oil export duties from $102 to $136 a tonne, to take effect from 1 June.

With two of Ukraine's six refineries closed for repairs and maintenance by their Russian owners, petrol shortages have ensued.

By last weekend, petrol stations throughout Ukraine - run mainly by Russian companies - were selling fuel only to drivers who had special coupons or customer cards, turning numerous cars away.

Ms Tymoshenko said Russian companies had failed to supply 20,000 tonnes of crude oil to a third refinery, Kremenchuk, between 7 and 12 May.

"Oil deliveries to Ukraine are being deliberately stopped, even though all contracts have been paid for," she said.

"It is no more than a plot, sabotage. They want to put Ukraine in its place."

Changeover

Ms Tymoshenko said Russia could not come to terms with the fact that a new President, Viktor Yushchenko, and a new government had come to power in Ukraine.

She said Ukraine was negotiating contracts to buy oil from Kazakhstan instead and petrol supplies would be back to normal by June.

Relations between Kiev and Moscow have been strained since last year's Ukrainian "Orange Revolution" that resulted in victory for the pro-Western opposition led by Mr Yushchenko.

Russia had backed rival candidate Viktor Yanukovych.

The Russian authorities accuse Ms Tymoshenko, a former gas industry oligarch, of bribery and are pursuing a criminal case against her.

On Monday, Ms Tymoshenko cast doubt on Ukraine's record growth figures for 2004, produced under the administration of former President Leonid Kuchma.

She said the government would "seriously analyse" the statistics for GDP and industrial output, adding: "From our point of view, we may put a question mark here."

According to the figures, GDP grew by 12.1% last year.

Source: BBC News

Yushchenko Wants Visa-Free Europe

WARSAW, Poland -- Ukraine, which hopes eventually to join the European Union, renewed pleas on Monday for the bloc to ease visa rules for its citizens following Kiev's temporary lifting of visa requirements for visitors from the 25 EU states.

"We have introduced a visa-free system for EU and Swiss citizens and we count on similar improvements for our compatriots," Ukrainian President Viktor Yushchenko said in a speech at a Council of Europe summit in Warsaw.


Viktor Yushchenko at the Council of Europe in Warsaw
"I would like to appeal to the heads of European states to respond to measures we have taken."

He said removing barriers to travel between the 46 Council of Europe member states would help Europe become a truly united continent.

EU citizens will be able to travel to Ukraine without visas between May 1 and Sept. 1, 2005, as part of what Kiev calls an experiment to show the open nature of Ukrainian society.

But there is no indication Brussels plans any reciprocal concession as it beefs up its fight against smuggling, illegal immigration and trafficking in drugs and people.

Ukraine borders new EU members Poland, Slovakia and Hungary.

Yushchenko, who took office in January after popular protests helped unseat a rival preferred by long-dominant neighbor Russia, has made eventual EU membership a key plank of government policy. He has set 2016 as a target date for entry, but no official timetable exists.

The EU is already examining proposals to ease visa rules for Ukrainians as part of Kiev's three-year "action plan" to move closer to the EU and eventually win membership.

Source: CNN International

NatureScene Explores Kiev

COLUMBIA, SC -- From the pedestrian bridge overlooking Independence Square in Ukraine’s capital of Kiev, St. Sophia Cathedral rises in the distance. One of Europe’s oldest churches, its golden onion domes sharply contrast with the new shops, teeming restaurants and citizens who bustle in the streets below.

The vantage point of old and new is the setting for the opening of tonight’s special edition of ETV’s long-running series NatureScene.


St. Sophia Plaza
“Kiev is such an amazing city, with a truly unique combination of the old and the new, as well as a place where history and natural history connect in some very special ways,” said naturalist Rudy Mancke, executive producer of NatureScene.

NatureScene’s production coincided with the celebration of a high holy day in the Russian Orthodox Church, which has its origins in Kiev. Director-cameraman Allen Sharpe photographed a procession of church leaders and priests, dressed in colorful liturgical robes.

Across a plaza from St. Sophia is St. Michael’s Monastery. Founded in the 12th century, the monastery was almost destroyed during the Stalinist era. Today, however, St. Michael’s has been rebuilt, symbolic of the vibrancy of post-Soviet Ukraine.

Not all of Kiev’s religion stretches to the skies, however.

“Kiev is very hilly, almost like San Francisco, with huge bluffs leading down to the Dneiper River,” Mancke said. “In one particular bluff hillside, there are several caves. The geology of the area lends itself to easy tunneling, and this allowed for the caves to be created.”

Church leaders established a monastery, called Pecherskaya Lavra in the caves in the 11th century. Monks originally lived and worked in the caves, more than 500 meters long.

Kiev’s forested river bluffs also play a role in the NatureScene program.

• Vladimir’s Park, Kiev’s equivalent of New York’s Central Park, is the city’s primary green open space.

NatureScene captured not only the park’s beauty but also the easy way in which animals mingle with people in this city of 3 million.

“In this place, humans have interacted with other animal species and plants for thousands of years,” Mancke said.

• Babi Yar appears to be a bucolic green space but actually is the communal grave for more than 100,000 Jews, dissidents, prisoners of war and others killed by the Nazis.

Today, all signs of atrocities are gone, replaced by a monument to Babi Yar’s victims.

As the NatureScene camera panned Babi Yar’s green slopes, Mancke found a sense of renewal. “Nature has a way of healing the land, of making things better, of somehow putting back together the pieces of the puzzle that is life.”

Source: ETV Series

Ukraine in a Struggle Between East and West

ODESSA, Ukraine -- This country, Europe's largest apart from Russia, seems about midway between the industrial West and the Third World. Odessa's town center, with its panoply of 19th century architecture, delights the eye with its pastel colors and its liveliness.

Yet there are the beggars who have been left behind by the new capitalist economy, usually older people with their outstretched hands, mumbling blessings for those who put a few coins into their plastic cups.


Odessa Port
In this month, with its Soviet anniversaries of May Day and the end of World War II, there is much debate between those who favor closer relations with the West and others who prefer to follow Moscow's lead. This comes after the April visit of President Victor Yushchenko to the United States, where his "Orange Revolution" was widely applauded. But it is worth remembering that about 40 percent of Ukrainians are not Yushchenko supporters.

Indeed, in this port, the "Pearl of the Black Sea," most people speak Russian, not Ukrainian, as their first language, and the place is redolent with the memories of everyone from Catherine the Great (who founded the city) to the great writer Alexander Pushkin, to Catherine's lover Potemkin, for whom Odessa's majestic stairway to the port is named.

Like many countries of the ex-Soviet bloc, Ukraine does not have a monolithic identity. In the west, where some of its territory was once Poland, it feels Western and is mostly Catholic.

Here in the east, where the nearby Crimea was given to Ukraine as a capricious gift of Nikita Khrushchev, people look mostly to Moscow for cultural and political identity. One frequently hears the phrase, "Never mind what the Western press says. We are really Russian."

At one of Odessa's many Orthodox churches, I cheerfully greet a female caretaker, asking if there is an admission charge, as I would like to see the church's icons.

"No, there is no charge," she snaps in almost comically Soviet style, "But you can buy some candles. For people like you, the cost amounts to nothing." Complimenting her on the precision of her English, I buy a raft of mostly defective candles. My profuse thanks elicit only the slightest glimmer of a smile.

At the very Soviet-style monument to the unknown sailor, the atmosphere is paradoxically more cheerful, perhaps because it is manned by teenagers from the local naval academies. There is also the zany touch of Hare Krishna devotees chanting away in the distance. Two boys with guns stand next to the red granite obelisk, while two unarmed girls periodically do a very competent goose-step around the square, swinging their arms theatrically. People leave red flowers at black marble slabs with the names of the scenes of World War II carnage: Kiev, Kursk, Smolensk, Minsk, Sebastopol.

A few hundred yards away in this park by the sea is a monument to the 200-odd sons of Odessa who lost their lives in a less glorious cause, the Afghanistan war. This sculpture seems particularly fitting: An exhausted-looking soldier seated - and the dates 1979-1989, with the seven tumbling against the nine, its neglect suggesting that this is a war everyone would prefer to forget.

Ambiguity in relations with Russia is everywhere in the eastern Ukraine. One item of local gossip is the story of a Russian bank having bought a Ukrainian coastal dacha once frequented by Leonid Brezhnev for the use of Vladimir Putin. Like so many acquisitions in today's Russia and the Ukraine, the conditions of sale were decidedly shady, and Yushchenko's government says it is investigating.

As one Odessa resident told me, "Of course, they will find fraud. ... The new government here is just trying to embarrass Russia, so as to separate our two countries."

Yet 100 miles north of Odessa, in the seemingly interminable steppes of fertile black soil, the attitude toward Russia is different. Here the popular memory still is haunted by the terrible collectivization campaigns of the 1930s, in which some 5 million people are said to have died.

"They're always talking about the Holocaust of World War II against the Jews. Even the Armenians get their share of attention. But who remembers the millions of Ukrainians starved to death by Stalin?" one farmer asks, and then recites a roll call of his relatives who died.

So where does Ukraine belong? Many in Washington apparently believe that it belongs in NATO, though that is not a popular idea here. One man comments, "We Ukrainians are complicated and divided, so we should avoid new controversies while we find a common way forward."

Source: The Register-Guard

Russian Oil Companies Say Oil Supplies to Ukraine Never Stopped

MOSCOW, Russia -- Russian oil companies said official Kiev’s accusations of disrupting oil supplies to Ukraine were baseless.

“The oil refineries that belong to Russian companies work as usual,” they said on Saturday.

The press service of the company Tatneft told Itar-Tass that oil is supplied to Ukraine’s largest Kremenchug oil refinery continuously. “We have not stopped oil supplies to Kremenchug,” the press service said.



LUKoil and TNK-BP, which supply oil to the Odessa and Lisichansk oil refineries respectively, said they did not have any problems with Ukraine.

“We supply oil in the same amounts as before and have no plans to reduce them,” LUKoil spokesman Dmitry Dolgov said.

The TNK-BP press service said, “Planned repairs are under way at the Lisichansk oil refinery, and it is possible that the volume of supplies may slightly decrease because of that.”

However, “If this happens, supplies will resume in the previous volume immediately after the end of the repairs,” the press service said.

Russia’s Transneft oil transportation company said it had made all planned oil supplies to Ukraine’s Kremenchug’s oil refinery and brushed off Ukrainian Prime Minister Yulia Timoshenko’s accusations of deliberately halting shipments.

The company said the halt had been caused by the fact that it had supplied the agreed-upon amount of oil to Ukraine’s largest Kremenchug oil refinery ahead of schedule.

According to the Prime-Tass news agency, 240,000 tonnes of oil will be supplied to the Kremenchuk oil refinery in May.

Another reason for the decrease in oil supplies to Ukraine is that Russian oil producers prefer to ship oil to other consumers who pay more.

Timoshenko, who has earlier accused Russian oil companies of collusion, now suspects them of intentionally suspending oil supplies to the Kremenchug oil refinery.

“Unfortunately Russia forces us to invent unusual ways because there was no oil to transport for five days even though all contracts were paid and all agreements are in order. It looks like intentional suspension of oil supplies to Ukraine,” Timoshenko told journalists on Saturday.

She did not specify what exactly she meant by “suspension of oil supplies to Ukraine”.

Earlier, Fuel and Energy Minister Ivan Plachkov spoke about problems with oil supplies to the Kremenchug oil refinery on May 7-11. But the ministry told Itar-Tass that oil supplies resumed on May 11. However it did not say what caused the problems.

The consulting company UPECO doubts that the halt in supplies was intentional and tends to blame it on technical problems in Ukraine. On May 6, one of the major pipelines was depressurised in the Sumy region as a result of an attempt to siphon off the oil. The Ukrtransneft oil transportation company confirmed that the pipeline did not operate for two days.

Source: Itar-Tass

A Song for Europe in the Wake of Revolution

KIEV, Ukraine -- The shop windows of Kiev are being cleaned, the boats that take tourists up and down the river have been given new coats of paint and even the golden domes of the churches seem to be shining brighter than they ever did in the time of former President Leonid Kuchma. The Eurovision song contest is finally coming to Ukraine.


Ukraine's Ruslana Winner of Eurovision 2004
Invigorated by the experience of the Orange Revolution, when half a million people occupied Kiev's main square in November to protest at rigged election results, the people of Kiev are now expecting something revolutionary from the Eurovision. Even intelligent people with good taste in music have taken to pronouncing Eurovision in respectful tones, but it is really the 'Euro' bit of the word that they revere. Even before the events of November, most Ukrainians considered themselves European, but it took a revolution to attract Europe's attention to this country.

During the Orange Revolution, protesters set up a 'tent village' on the city's busiest street, Khreschatyk, and a similar method of protest has been taken up by those opposing Viktor Yushchenko's new government. They have pitched their tents opposite the cabinet of ministers' building, though the tents are usually empty. Another tent protest continues outside the mayor's office. This one is organised by revolutionaries unhappy with the mayor.

More recently, a new tent-city has sprung up on Trukhanov Island in the river Dnepr, but this one is to cater for the anticipated influx of Eurovision visitors, offering budget accommodation for €10 a day and a programme of entertainment.

When chatting to an American friend of mine and his 16-year-old son recently in Paris, the son asked his father: 'So when did they discover Europe?' The father laughed and looked to me to provide a response. After a moment's hesitation I said: 'Western Europe was discovered a long time ago, even before America, but Eastern Europe is still being discovered and very slowly at that.'

Kiev has 1,500 years of history and is the 'birthplace' of Christianity in Europe. The Dnepr, which skirts the hilly centre of town, was once part of the trading route between Scandinavia and Greece. I have the impression that the descendants of those traders can now be found doing their business in the Argentinean restaurant in Podol. Podol is the 'lower town'. It was once the Jewish quarter and it has remained almost unscathed by 'Soviet architecture'. There are plenty of cosy and modestly priced cafés, restaurants and bars, and churches of a dozen different denominations, synagogues and the Chernobyl Museum peacefully co-exist.

The Upper Town, which lies between the Pechersk Lavra ( Pechersk Monastery) and the 11th-century St Sophia Cathedral, has always been the more aristocratic part of town. Most government offices are located here, including the grey Stalinist building that was used by the Gestapo during the war and then repossessed by the KGB. That building now houses the Ukrainian version of the KGB, the Ukrainian Security Service. Judging by interviews given by a number of top generals, this organisation played a significant role in the 'orange victory'.

The best known - and the steepest - street in Kiev joins the lower town and upper town and is called Andreivski Uzviz (Andrei's descent). Once formed by a river, this cut in the hills now provides for the ambling movement of tourists and off-work Kievites between the two parts of the city. People tend to walk down this street slowly. There are over a dozen art galleries, a similar number of restaurants and several museums.

The most famous museum, the Bulgakov, is at number 13. It was this house and, indeed this street, that Mikhail Bulgakov describes in his novel The White Guard. After independence in 1991, the first to arrive on the street were the souvenir traders, followed quickly by the protection racketeers, who also saw profit in the souvenir business. The racketeers are long gone, or are now manning the bigger souvenir stalls where the matrioshki (Russian wooden nesting dolls) reflect every shade of today's political reality - Putin, Bush, Osama bin Laden and Saddam Hussein - and it is amusing to guess who is inside whom. But if you want a more authentic, Ukrainian souvenir, go for the pisanki painted eggs or embroidered shirts and blouses.

Kiev is beautiful in May. This is the time when the chestnut trees and lilac are in bloom in the city's many parks and squares. In one of them, just opposite the 'Red' building of Kiev state university, you will find the outdoor chess club. Every day, for the last 50 years, chess enthusiasts have come here to play for money and for sport.

Then there's the Hydropark on an island in the Dnepr. This is a place for sport and drinking. In winter the island is frequented by 'walruses' (folk who enjoy plunging into the ice-cold river water). In summer the smell of shashlik kebabs and the huge numbers of visitors makes it the favourite haunt of Kiev's tramps and homeless children.

The pagan love of all things underground has influenced the development of the city. An underground labyrinth of hermit dwellings and burial places built by Christian monks from the 13th to 17th centuries, stretches for miles in the hills above the Dnepr. A part of this underground is owned by the Kiev Pechersk Lavra (monastery) and it still houses the remains of sainted monks. These 'caves' can be accessed via the monastery. All you need to do is buy a candle.

The walk through the dark passages from one coffin to the next is a dubious pleasure. I got lost down there as a boy and wandered about for three hours trying to find an exit. No horror movie I have seen since comes close to having the same effect.

Ukraine's black soil is so fertile that the occupying Nazis tried to export it in bulk to Germany. Food supply should never have been a problem for this country. None the less, Stalin succeeded in inducing two terrible famines, in 1933 and in 1947, which claimed the lives of some three million people.

Food is an important part of Ukrainian culture. Home cooking is most respected and there is no tradition of restaurant going among ordinary people. Among the new business elite, however, there's a tendency to stay in restaurants day and night.

First stop for most visitors arriving in Kiev for Eurovision will be the Maidan (Independence Square); the venue for the most peaceful revolution ever. The revolutionary graffiti on the wall of the main post office has been covered with Perspex to save it for posterity. Nearby, 'orange' souvenirs can be purchased - cups and plates with pictures of President Yushchenko and the new Prime Minister, Yulia Timoshenko, and compact discs with the hits of the revolution, one of which, in a more peaceful version, will represent Ukraine in this year's Eurovision.

Source: The Observer

Ukrainian PM Accuses Russia of Stopping Oil Deliveries

KIEV, Ukraine -- Ukrainian Prime Minister Yulia Tymoshenko accused Russia on Saturday of having deliberately suspended oil deliveries to Ukraine for five days.

"Oil deliveries to Ukraine are being deliberately stopped even though all contracts have been paid for," Tymoshenko told reporters. "For five days, no oil was pumped at all, even though we have all the necessary agreements."


Prime Minister Yulia Tymoshenko
The Ukrainian government is making all efforts to maintain the stability of the domestic oil market, she added.

Gasoline has been in short supply recently in Ukraine. Most gas stations in the capital Kiev have stopped offering No. 95 gasoline since Friday.

However, a representative of the Russian oil company Lukoil was reported as saying on Saturday that his firm was still pumping oil to Ukraine as required by the agreement of the two sides. He was not clear which company Tymoshenko was referring to.

Ukraine saw a steep rise in oil prices from late March to early April. Kiev blamed the increase on the monopoly of some Russian oil companies. After the government put controls over the prices of several oil products, the oil market regained stability.

Source: Xinhua

Belarus: NGOs Deny Plot to Overthrow Govt

BRATISLAVA, Slovakia -- Slovak NGOs have dismissed claims by the Russian secret service that they and other international groups have met to prepare the ground for a revolution in Belarus.

Nikolai Patrushev, director of Russia's Federal Security Service (FSB), the successor organisation to the KGB, said Thursday that international non-governmental organizations (NGOs) had met in the Slovak capital late last year during Ukraine's Orange Revolution to plan the downfall of the regime of Belarus president Alexander Lukashenko.


Vladimir Putin (l) and Nikolai Patrushev
Speaking in the Russian state Duma May 12 he said that preparations were being made for a peaceful revolution similar to the Orange Revolution in the Ukraine. He spoke of plans to use NGOs to bring ”orange functionaries” into Belarus to advise people on mounting a revolution.

He also claimed that five million dollars had been put aside by various western organisations to fund the revolution and set up a new post-Lukashenko government.

But Slovak NGOs have dismissed Patrushev's statements as ”nonsense” and called on the Slovak foreign ministry to raise the issue with Moscow.

Pavol Demes, head of the German Marshall Fund for Central and Eastern Europe, told the Slovak daily Pravda: ”I am surprised by the nonsense of this baseless statement. I do not know of any subversive meeting which could confirm these accusations.”

Balazs Jarabik from the Slovak Pontis Foundation which provides support for the Belarussian opposition told the Slovak daily Sme: ”We have very good relations with the Belarussian opposition but these statements are the product of fantasy.”

The Slovak Foreign Ministry has refused to comment on the FSB director's statements, and the Slovak secret service has said it is unaware of any such meeting having taken place in Slovakia.

On Friday night the Slovak foreign ministry said it had called the Russian charge d'affairs in Slovakia, Yuri Chingovatov, for a meeting to explain the comments made by the FSB director.

The Slovak government has publicly declared its support for the Belarussian opposition.

Many analysts believe that the statements are evidence of a growing concern in the Kremlin at a weakening influence in the affairs of its neighbours and of the potential for the recent revolutions in places like Georgia and the Ukraine to spread to other post-Soviet states.

Western observers have pointed to the violent revolution in Tajikistan in March as evidence not just of the instability of the regions around Russia but also of the diminishing influence Moscow appears to have in such places.

Worryingly also for NGOs, Patrushev said new legislation would be proposed to the Duma in the near future on regulating the activities of foreign NGOs in Russia. He did not say what the legislation would involve.

”Imperfect legislation and a lack of efficient mechanisms for state oversight creates a fertile ground for conducting intelligence operations disguised as charity and other activities,” he said.

The FSB has already suggested that volunteers for the U.S. Peace Corps, which operated in Russia until 2003, had acted as spies - a charge the organisation denied.

In his speech to the Duma, Patrushev said NGO workers were being used by foreign secret services as spies to gather information.

The statements come at a time when NGOs in and outside Russia are becoming increasingly concerned over the Kremlin's stance towards Russia's third sector.

In February this year just before U.S. President George W. Bush and Russian President Vladimir Putin met for a summit in Bratislava, an international group of scholars, human rights leaders, democracy activists, and former government officials called on Bush to encourage Putin to ”ease regulations on funding non-governmental organisations and end the harassment of Western-funded democracy and rights NGOs.”

Balazs Jarabik from the Slovak Pontis Foundation said Russia would not be able to stop any revolutions by restricting the activities of NGOs.

”No non-governmental organisation can import a revolution. Russians still do not understand what civil society is,” he told Sme.

Opposition leaders in Belarus have said they do not support a revolution in the former Soviet state.

”A change in government will certainly take place but legally. We do not believe in coup d'etats,” deputy head of the opposition Belarussian National Front Ales Michalevic told Sme.

Source: Inter Press Service

Ukraine Could Join WTO in November

MOSCOW, Russia -- Ukraine should do its best to become a member of the World Trade Organization in November 2005, Ukrainian President Viktor Yushchenko told a meeting of the Ukraine’s National Security and Defense Council yesterday. He stressed that the issue should be considered at a meeting of the council.

According to Yushchenko, Ukraine’s steps paving the way for WTO accession implemented before May 2005 are rated optimistically. “We have all reasons to believe that Ukraine has good chances to become a WTO member,” Yushchenko was cited as saying by the press department of his office. Yushchenko also stressed that the recent crisis on the Ukrainian petrochemicals market had entailed anxiety of Ukrainian partners, including the WTO.



Yushchenko said that the National Security and Defense Council should also consider the current situation on the energy market including the petrochemical one. “I believe this issue relates to national security at the moment. Finding out a wise response, we will retain market stabilization, and not only for the petrochemical market, in 2005,” he added.

Yushchenko has also stressed that Ukraine should work out an exact position on principles for holding talks within the frameworks of forming the common economic area and determine the projects in which it will participate. Earlier Ukrainian authorities announced a simpler task – to joint the WTO in 2005. The term has been cut as it hopes to be granted WTO accession by November 2005. Experts believe that Ukraine joining the WTO will result in new difficulties for Russia also seeking WTO accession.

Yesterday, head of the trade negotiations department of the Russian Economic Development and Trade Ministry Maxim Medvedkov expressed his opinion that delays in Russia joining the WTO would result in a rising stake for Russia, which seeks accession to the organization, as the rules of the game could change, among other reasons, due to new members such as Ukraine. This means that Russia will face new requirements, he stressed.

Source: Ross Business Consulting

Ukraine Not to Discriminate Against Russian Language

KIEV, Ukraine -- The Russian language will not be oppressed anyhow in Ukraine, the country's President Viktor Yushchenko has said in a television interview.

Russian is the language of millions of Ukrainian citizens and the government should make these people feel comfortable. The Russian language is important, as this is the language of Ukraine's neighbor and strategic partner.

Yushchenko believes that it is necessary to develop the Ukrainian language within the framework of a special law, "as Russia does within the framework of the law on the Russian language." At the same time, the head of state commented that one language should develop without detriment to the other.

Source: The Russia Journal

Ukraine: Yuliya Tymoshenko Marks First 100 Days as PM

KIEV, Ukraine -- Yuliya Tymoshenko first came to prominence in Ukraine as a spectacularly successful businesswoman whose company reputedly earned billions of dollars in the energy sector in the 1990s.

She spent six weeks in jail in 2000 while being investigated for her business activities. Her husband and father-in-law were also imprisoned. Tymoshenko says the arrests were all politically motivated and ordered by former President Leonid Kuchma, whom she implacably opposed.


Prime Minister Yuliya Tymoshenko
Now, one of her government's declared priorities is to battle corruption. Toward that end, many inside and outside the government would like to see an investigation launched into allegations that Kuchma was guilty of fraud and corruption while he was president. Kuchma has also been questioned in connection with the slaying of an investigative journalist five years ago.One of the most important factors in building a fairer society, Tymoshenko said, is pushing through sweeping reforms of Ukraine's judicial system.

Tymoshenko sat down with RFE/RL this week in her wood-paneled office in the cabinet building in Kyiv. Dressed in a pink jacket and black dress, with her blond hair wound around her head in her trademark braid, Tymoshenko appeared calm and at ease, but made no secret of her strong desire to see Kuchma answer for his alleged crimes.

"I'm not a prosecutor or a judge. I can't deliver verdicts, and I can't initiate criminal proceedings," Tymoshenko said. "But as a person who has been a politician, I know that nobody exists who has committed bigger crimes against Ukraine -- [against] its interests and against the Ukrainian people -- and that if [Kuchma] is not made to answer before the law for what he has done to Ukraine and to our people, then I think there will be little justice in this life."

She says the desire to see Kuchma stand trial is not motivated by revenge. Rather, she says, such a trial would demonstrate to state officials that the new regime does not tolerate corruption -- a problem she likens to "a cancer that penetrates every cell of our society."

"Corruption -- the shadow economy -- is a legacy that has been left to us by officials with links to [oligarchic] clans which we have not yet been able to change because the sacking or appointment of officials is done according to specific procedures. In instances where we could dismiss them by decree, we did. But officials who were appointed by parliament or who have been in their positions for many years are still there, and those links [between oligarchic clans and officials] are still blossoming. But I think that step by step, we will change this and put honest people in these posts."

Some 18,000 officials have already been dismissed across Ukraine, but Tymoshenko says not all of their replacements have been ideal. She says new procedures will be introduced to ensure that new state employees are honest.

During the two days RFE/RL spent with Tymoshenko, she met with the French ambassador and apologized repeatedly as she paused to variously answer each of her five office telephones, including a call from Yushchenko himself.

Outlining what she wants to achieve before parliamentary elections scheduled for spring 2006, she said: "Our priority is to build a fair system in Ukraine. That means in the legal system, in economic activity, in the social welfare system, so that people can feel that the government is treating them fairly. That means that we have to provide a dignified, reasonable standard of living for people. All our priorities revolve around this."

One of the most important factors in building a fairer society, she emphasized, was pushing through a sweeping reform of Ukraine's judicial system -- a system she said "has become rotten and which operates only on the basis of corrupt judges -- not on a proper system, not on responsibility."

Tymoshenko knows her government will not be considered successful until it brings about significant improvements to the economy. She says she wants to create conditions that will make the country's business sector confident about operating transparently and help it extract itself from Ukraine's vast shadow economy.

She believes businesses will be willing to pay taxes if they are treated fairly.

"Without a doubt, we have to deal with the shadow economy, which doesn't allow the average person to live properly, to adequately finance their health costs and education. Everything that is needed for the budget -- that which should go to the state and to those people who have only small resources -- remains in the shadows," she said.

"I very much want people who are socially deprived or who are unable to work to be protected -- children, invalids, the elderly," she added. "This can be done on the basis of providing the conditions needed for honest businesses to develop in every sphere of our lives and to have a basis for economic growth. We -- the president and the government -- will work to the utmost to encourage as many investment projects in Ukraine as possible so that we can feel that we are economically strong."

Tymoshenko's government has been harshly criticized because of a sharp hike last month in the value of Ukraine's national currency, the hryvna, against the dollar. Many Ukrainians keep their savings in dollars and saw the value of their nest eggs decline sharply.

Tymoshenko says Ukraine's National Bank works independently of the government and took the revaluation decision on its own. She denies reports that she encouraged the move, but notes that most Ukrainians are paid in and buy things using the national currency. She believes a strong hryvna will benefit the poorer members of society by increasing their purchasing power.

Tymoshenko has also been plagued by poor relations with Russia. The Kremlin is suspicious of her and believes her to be anti-Russian, which she denies. Before she became prime minister, Moscow had issued a warrant for her arrest. It accuses her of bribing army generals during a corrupt business deal in the past. Tymoshenko canceled an official visit to Moscow in April after Russia's prosecutor-general said the warrant was still valid.

She says Russia must change the way it views Ukraine. "I think what is needed to build a partnership and civilized relations is for Ukraine and Russia to both understand that the relationship -- the partnership between Ukraine and Russia -- should be on an equal basis," she said. "But it seems to me that Ukraine sees these civilized relations in one context, and Russia sees them in another. Russia became used to Ukraine being insignificant or seeing it as an insignificant country that acted in accordance with the interests of the Russian Federation."

She added: "I think that if we are to see in each other the possibility of friendship in this geographical and political horizon, then we have to acknowledge that we are sovereign nations, equal nations, and that we want good things for both our peoples. And therefore we have to find a compromise and not to apply pressure or to use -- shall we say -- unusual methods."

Tymoshenko says she's proud of her close working relationship with Yushchenko, which she says is built on mutual trust, respect, and a shared moral outlook. She opposes constitutional changes due to be introduced that would devolve many of the president's extensive powers to the prime minister.

She says Yushchenko's supporters were forced to vote for the changes last winter as part of a compromise deal with pro-Kuchma authorities during efforts to end the country's political crisis. In theory, the changes will make her position more powerful. Nevertheless, she says she has challenged them in Ukraine's Constitutional Court and hopes they will not be implemented.

Tymoshenko has pledged that her government will run next year's parliamentary elections honestly and will do everything to minimize electoral abuse. However, she thinks there may be attempts to cheat in some of the areas in eastern Ukraine known as being strongholds of the old government.

But she says she's certain the old regime will not be returned to power.

"They won't return. I don't think there will be a resurgence, and I'm sure that our united team, with Viktor Andreyevych [Yushchenko], will only be strengthened by those political forces which will join us and will create a common political platform -- and these are key figures in our society," she said. "I don't see our team being split apart. I don't know what the exact configuration will be. The important thing is that the configuration will be within one team. Our aim will be to get the largest number of seats in the parliamentary elections."

A number of events are scheduled on Sunday and Monday to mark Tymoshenko's first 100 days in office. They include a public walkabout in an open-air museum near Kyiv and on the capital's main street, where she is due to field questions about her record directly from the public.

Source: Radio Free Europe

More Cash Pledged to Make Chernobyl Safe

LONDON, England -- Leading nations pledged about $200 million on Thursday towards a cover to encase the Chernobyl power plant's fourth reactor which exploded nearly two decades ago in the world's worst civil nuclear accident.

The latest contributions, which bring the total raised by 28 donor governments to about $800 million, mean work can start on a permanent shelter for the reactor to stop radioactive leaks.

"I have been to Chernobyl many times and I think it is very important that this project is brought to a successful conclusion," Hans Blix told reporters after a meeting at the European Bank for Reconstruction and Development (EBRD).

Blix, a former UN chief arms inspector, was head of the International Atomic Energy Agency at the time of the explosion on April 26, 1986.

The European Union and G8 group of industrialised nations, which promised about $200 million on Thursday, are the biggest contributors. Russia is expected to make its first donation to the Chernobyl Shelter Fund in the next few days.

The fund's managers expect five or six more countries to come up with contributions soon to raise the total to the $1 billion needed for completion.

The Chernobyl blast in what was then the Soviet Union sent radioactive clouds across Europe and contaminated vast tracts of land in Ukraine, Belarus and Russia.

Several thousand deaths have been attributed to the explosion. Millions were evacuated or received treatment for various illnesses, particularly thyroid cancer.

"I flew over the site in a helicopter a few days after the explosion and saw black smoke from the burning," Blix told Reuters. "It was quite cataclysmic."

The shield will replace the crumbling concrete and steel "sarcophagus" which was hurriedly erected around the burning fourth reactor in the weeks after the explosion.

The station later resumed electricity generation but was closed in 2000 at the insistence of the international community.

Ukrainian President Viktor Yushchenko last month called on the government to speed up the project and said he hoped construction could be started by the 20th anniversary of the disaster next year.

The project to make the destroyed reactor safe is due to be completed in about 2008.

"I would like to thank the bank and the international community for helping us resolve this matter together," said Ukrainian minister for emergencies Davyd Zhvaniya.

Ukraine is contributing $22 million to the fund, administered by the EBRD, and has reassured donors that its government will supervise the project properly.

The EBRD said it had evaluated bids from two consortia to carry out the engineering work and that it planned to award the contract later this year.