Russia Backs Kyoto Treaty 

The Russia Journal Daily (Moscow) 1oct04

See below: Car Production up in Russia

MOSCOW - The Russian government has approved the bill “On the ratification of the Kyoto Protocol to the United Nations Framework Convention on Climate Change”. [Text of the Kyoto Protocol at UN]

Ministries and government departments were assigned to prepare their proposals on the implementation of Russia’s obligations and rights under the Kyoto treaty, and submit them to the government within three months.

There was a lot of controversy over this decision. Andrey Illarionov, Economic Advisor to President Putin, said this was a forced political decision, “not the one we were pleased to make”.

According to Mr. Illarionov, the ratification of the Kyoto Protocol affects Russia’s national interests, and “it would be wrong to have illusions about either its positive or neutral consequences”. He also urged the President to consider further policy on minimizing the consequences of this decision for Russia.

For his part, Energy Minister Viktor Khristenko said debates about the scientific base of the Kyoto Protocol could continue forever. “To justify it, we would have to wait for another Ice Age,” he said. According to Mr. Khristenko, the Kyoto Protocol leads to the emergence of a new sector on the global market, and also new rights. In view of this, he stressed the necessity to develop a plan on the implementation of Russia’s rights and responsibilities under the protocol.

Yury Izrael, Director of the Russian Academy of Sciences’ Institute for Climate Change and Ecology, said Russia had a small chance to comply with greenhouse gas emission limits set in 1990. According to him, Russia’s greenhouse gas emissions made up 71 percent of the upper limit set by the protocol. But even if Russia does not use its quotas fully, and sells some of them, it will not raise enough funds to modernize its equipment. He said prices for emission quotas were very low in Europe: $5 for 1 ton of carbon dioxide. If Russia sells its quotas, it will only be able to raise EUR 200m to EUR 400m.

For the protocol to come into force, its must be ratified by at least 55 countries that accounted for 55 percent of the world’s greenhouse gas emissions in 1990. Russia’s support it crucial. For its part, Russia is interested in ratifying the agreement because it will help it win the European Union’s backing for its WTO bid. RosBusinessConsulting

source: http://www.russiajournal.com/print/russia_news_45720.html 6oct04

Car Production up in Russia

Ros Business Consulting 6oct04

Moscow — The volume of cars produced in Russia gained 13.1 percent to 923,802 in the first nine months of 2004 against the corresponding period last year. Some 139,222 trucks (an 11.6-percent increase against 2003) and 735,501 cars (a 14-percent advance) were produced in the reported period. In particular, GAZ produced 80,613 trucks and 45,914 cars in January to August 2004 and AvtoVAZ produced 473,559 cars.

source: http://www.rbcnews.com/free/20041006105236.shtml 6oct04