Berlin rejects buyer's premium for electric cars

Transportation

Germany's transport and economy ministers have ruled out state-funded premiums to encourage car buyers to switch to electric vehicles. Their rejection coincides with government talks with the auto industry in Berlin.

Transport Minister Peter Ramsauer and Economy Minister Philipp Rösler said on Monday they did not think offering a state-subsidized premium to prospective buyers would go a long way towards stimmulating sales of electric cars.
In 2008, Germany set a target of having one million electric cars on its roads by 2020 and said back then it wanted to turn Germany into a pilot market by 2014.
But, at the beginning of this year, Germany had only 4,500 electric vehicles among its total fleet 43 million registered cars.
On Monday, Rösler said he did not believe in the magic of a buyer's premium to boost sales.
"Only the market itself and competition are the best drivers for innovation," Rösler told the daily newspaper Rheinische Post ahead of Monday's electro-mobility summit with Chancellor Angela Merkel in the chancellery in Berlin.
Pedaling back?
Transport Minister Ramsauer told the tabloit newspaper Bild that the ball was in auto industry's court to make electric cars more attractive to potential customers.
"As long as I'm in the government, there won't be any buyer's premium," he said.
"It hasn't led anywhere in countries where such a premium was introduced, like in the US or France," Ramsauer said.
Rösler and Ramsauer agreed that current sales figures were disappointing. They stated that electro-mobility was still in its infancy and said joint efforts would be required to achieve a breakthrough.
The government has been financially supporting research in the field and offering tax incentives to electric car drivers.
The head of the Federation of German Automobile Industry (VDA), Matthias Wissmann had said earlier in the year that German manufacturers would be able to offer 15 different models of electric vehicles by 2014.
hg/ipj (AFP, dpa)

• Date 01.10.2012

The race for the White House

US Election

US President Barack Obama and his Republican contender Mitt Romney are fighting a neck-and-neck race in the run-up to general elections on November 6, 2012. Record levels of fundraising are certain to make this the most expensive presidential campaign in history.
The country's flagging economy and high unemployment remain the most important issues for voters. Both candidates will have to work hard to convince Americans that their policies will lead to job creation and economic improvement.
DW looks at the candidates and the major issues marking the campaign.

The candidates

Obama warns that US is at 'crossroads'

President Barack Obama used his speech to warn America about the consequences of a shift to the right on social and economic issues should the Republicans win the presidential election in November. (07.09.2012) 

Michelle highlights Obama's values

US First Lady Michelle Obama has campaigned for the re-election of her husband at the Democratic convention. She described her husband as the average American, who will fight for the middle class. (05.09.2012) 

United behind Romney

The US Republicans have nominated Mitt Romney as presidential candidate and Paul Ryan as his running mate. And Ann Romney worked hard to convince the delegates that Romney is a nice guy. (29.08.2012) 

Romney courts Republican base

Tropical storm Isaac has pushed back Mitt Romney's official nomination as the Republicans' presidential candidate. He has much work to do at the G.O.P. convention to assure the party base that he is the right choice. (24.08.2012) 

Romney banks on Ryan to shore up conservative base

In an era of deep partisanship in the US, Mitt Romney has chosen rising conservative star Paul Ryan as his running mate. Romney is hoping that the party base can deliver him with the White House. (22.08.2012) 

Romney looks to boost foreign policy credentials

Republican candidate Mitt Romney is hoping for a presidential boost with a six-day international trip. But he's only visiting three countries - and so far, he's only been dealing in rhetoric. (26.07.2012) 

Turning the White House into a greenhouse?

Theirs may be a lost cause in the US presidential election, but the Green Party was the first to officially decide on its candidate. The November election will see Jill Stein pitted against Obama and Romney. (18.07.2012) 

Mitt Romney - politician, businessman, Mormon

Mitt Romney may be the frontrunner in the Republican race for a presidential candidate. But he's facing tough questions on the campaign trail about his successful venture capitalist career and his Mormon faith. (05.03.2012) 

The issues

Obama and Romney clash over the economy

If there is one major campaign issue with stark differences between the plans proposed by Barack Obama and Mitt Romney it is economic policy. But one key aspect is simply too hot to handle for either candidate. (24.09.2012) 

US election unlikely to change US foreign policy

As the election nears, President Obama and Governor Romney have tried to draw clear distinctions between their foreign policies. But the next president will face hard realities that leave little room for maneuver. (20.09.2012) 

Romney, Obama fear gun control could backfire

After two mass shootings in a month left 19 people dead and dozens injured in two US states, you'd think gun control would become a major topic of the US presidential race. Instead no one is going near the issue. (23.08.2012) 

Obama starts fight against Chinese import tariffs

US President Barack Obama has brought a case to the WTO about China's increased tariffs on US auto imports. Yet analysts suggest it is about more than merely trade as such. (09.07.2012) 

Romney banking on economic anger

The Republican primaries are now over, and Mitt Romney has sealed the nomination, if not necessarily the hearts of the party faithful. Nonetheless, his chances of unseating President Obama are not all that bad. (28.06.2012) 

Is it a person? Is it a group? No, it's Super-Pac!

This year’s US election race will be the most expensive ever. But while all the rage is about the role of Super-Pacs, they are just the tip of iceberg. The role of money in campaigns is much more complex. (05.03.2012) 

Opinion and Guest Pieces

Don’t believe the hype about presidential debates

Pundits have called the US presidential debates Mitt Romney’s last best chance to win the race. Not so fast, says Vincent Michelot. Debates can change the outcome of the election, but only under certain circumstances. (27.09.2012) 

Occupy 2.0?

One year ago, Occupy Wall Street burst into sight. Reactions to it ranged from peculiar to ineffectual and even revolting. In truth, writes Todd Gitlin, it was both mysterious and deeply revealing of a national shift. (13.09.2012) 

Gone with the wind: Obama's green credentials

One of President Obama's key electoral pledges in 2008 was a commitment to tackle environmental issues. Four years later, little to nothing has happened - and is unlikely to anytime soon, writes Sascha Müller-Kraenner. (06.09.2012) 

Party conventions do matter

Sure, the party conventions can seem like an outdated spectacle with the outcome scripted before the event begins. But contrary to popular belief, they can sway voters, argue Robert Erikson and Christopher Wlezien. (23.08.2012) 

Europeans pay attention: Romney is different

While it may not be easily detected at first glance, the foreign policy of a President Romney would look very different from that of President Obama, argues Henry Nau in a piece for Transatlantic Voices. (09.08.2012) 

Democrats banking on Occupy's social impact

The Occupy Movement in the United States may have provided the Democrats with what could be a winning issue at the ballot box - social justice, writes Andreas Etges for DW's Transatlantic Voices column. (26.07.2012) 

Opinion: Supreme Court ruling is win for Obama - and US citizens

The US Supreme Court has declared that President Obama's health care reform does not violate the constitution. It's good news for both the president and US citizens, says Deutsche Welle's Christina Bergmann. (29.06.2012) 

The great divide

The battle for the White House is developing into a bitter and divisive feud and shows how fragmented US society is, writes Volker Depkat for DW's Transtlantic Voices column. (08.05.2012) 

Interviews

'Gap between Europe and US must not get wider'

The General Secretary of the German Social Democrats, Andrea Nahles, was at the Democratic National Convention. She's rooting for Obama and warns that a President Romney could drive Europe and the US apart. (06.09.2012) 

'Americans have a different view of social policies'

German foreign policy expert Ruprecht Polenz explains in an interview with Germany's Deutschlandfunk radio why Mitt Romney, the Republican candidate for US president, wants to cut taxes and social services. (31.08.2012) 

Audios and videos on the topic

Volunteers play a pivotal role in US election campaign

Romney campaigns for pro-Israel vote

• Date 01.10.2012

Afghan suicide bomber kills civilians and ISAF soldiers

Afghanistan

A suicide bomber on a motorcycle has killed more than a dozen people near a market in Afghanistan's eastern city of Khost, including three NATO soldiers and their translator. More than 60 other people were wounded.

The office of Khost's governor said the dead also included four Afghan policemen, including the commander of a rapid reaction unit. It said the blast occurred in Khost's Adalat Square.
Taliban insurgents in an online message claimed responsibility for Monday's blast.
NATO's US-led International Security Assistance Force confirmed the deaths of its three soldiers and the translator but has not yet disclosed their nationalities. The personnel were on foot patrol when attacked.
NATO has more than 100,000 troops, including a German deployment, in Afghanistan fighting the Taliban insurgency. A NATO pull-out is scheduled by the end of 2014 with newly trained Afghan forces due to take over security.
Wardak incident still unclear

 

The Khost bombing follows a firefight on Saturday in the eastern province of Wardak where three Afghan soldiers, a US serviceman and a civilian contractor were killed.
The incident was initially described as an "insider attack" but NATO's Lieutenant General Adrian Bradshaw later said it could "possibly have involved insurgent fire."
The Afghan defense ministry said it had sent a delegation to investigate.
At least 51 foreign soldiers have been killed so far this year in "insider" attacks by Afghan soldiers, up from 35 in all of 2011.
ipj/rg (dpa, Reuters, AFP)

• Date 01.10.2012
• Author Ian Johnson

Spain suffers through stress test

A brutal autumn of cuts to social services awaits Spaniards as the government sticks to slashing the budget despite wide-spread protests. Spanish banks also announced how much they'll need to survive.

Crisis-hit Spain is facing a fall of brutal cuts. The government has announced a new austerity package despite protests. Now it's become clear how much help the banks actually need.
In times of emergency, people will grasp at any straw. That's why the fact that most of Spain's major banks passed their stress tests has been celebrated as good news. The test was conducted by a management consultancy and commissioned by the Spanish Economy Ministry and central bank.
The stress test was meant to establish what kind and how much help the ailing financial institutions needed. The test is also one of the preconditions for the 100 billion euro ($129 billion) ESM-backed bailout package that was agreed with the European Union in July.

Gros said parts of the Spanish economy resemble Germany's circa 2003 before reforms were passed

Now, after months of tense speculation while the tests were carried out, it has emerged that the banks do not need the whole sum, but a financial injection of around 60 billion euros. As expected, the Bankia Group is in particular need of help. Spain's fourth-biggest financial institution reportedly needs some 24 billion euros.
The banks that will be able to withstand the crisis under their own steam include Santander, BBVA and La Caixa, the stress test showed. This too is no surprise, said Daniel Gros, director of Brussels think tank Center for European Policy Studies (CEPS).
"We knew in advance that the large internationally active banks would have a problem with their domestic business, but will earn enough elsewhere - abroad - to balance that out," he told DW.
Crisis symptoms
The bank bailout is burdened with the hope that the recapitalized financial institutions will finally offer loans to companies for necessary investments and so put the economy back on track.
But Stefan Schneider of DB Research, Deutsche Bank's macroeconomic research group, said he has his doubts that the plan will come off. He argued it was doubtful that increased credit would lead to increased demand. Schneider pointed out that one symptom of the Spanish crisis is that both the private sector and public coffers are highly indebted - altogether, they owe more than 200 percent of gross domestic product.
"The tendency to take up new loans is likely to be very limited for the foreseeable future," Schneider told DW, adding that it was unlikely that the Spanish economy would suddenly shift into gear again because of a massive distribution of credit.

Santander is one Spanish bank that didn't request aid

An actual bank bailout is still a long way off and a number of conditions still need to be met before the ESM can write a check. The ESM, for its part, still needs to be founded before it can respond to calls for assistance - a step that is likely to be finished at the end of October. There is also still no centralized European oversight of the banking sector, as called for at a European Union summit at the end of June. EU regulation of the banks will likely start in January at the earliest, and it's still unclear exactly what steps the regulators will be able to take. While Spain would like to get the money with no strings attached, other countries, including Germany, have called for recipients to be kept on a short leash.
A run on banks
Recent press reports suggested that the government in Madrid is considering using loans intended for the banking sector to fill other holes. Economy Minister Luis de Guindos quickly denied the reports saying any ESM aid, which could total up to 100 billion euros, would be for banks only. Officials in Madrid said they are not willing to cede any independence or sovereignty to Brussels. But as discussions about the state of the Spanish economy continue, Spaniards have been emptying their savings accounts in record numbers fearing their banks may go bankrupt.

The Spanish budget includes 40 billion euros worth of cuts

In addition to the banks, the entire country has also been forced to undergo a stress test. On Thursday, the government announced the additional cuts that would be made as part of its proposed 2013 budget. Despite large protests by the opposition, unions and a large portion of the population, the draft budget calls for slashing 40 billion euros next year. Measures include freezing civil servants salaries for the third year in a row and it seems only pensions won't be put on the chopping block.
Similarities to German reforms
Further protests will not be able to change the austerity program, according to Gros. He said he sees similarities to a set of contested labor market reforms introduced by Germany in 2003/04.
"At the time there were major protests," Gros said of the so-called Agenda 2010 reforms that cut social services. "But it was clear to everyone that there was no other path to take."
The situation in Spain is, however, more dramatic than in Germany at the beginning of the decade as Spain's social expenditures are much higher than even just a few years ago.

Each wave of budget cuts has been met with protests in Spain

Introducing the fifth set of cuts, Prime Minister Mariano Rajoy wants to get the deficit under 3 percent by the end of 2013.
"It's the only thing Spain can still do," Gros said, adding that the country cannot refinance itself on the open market. Spain need "to regain the trust of its partners and the market. That means cutting back its deficit."
Many in Spain are looking at an uncertain future as unemployment is nearly 25 percent, the highest in the European Union. Unemployment among those under 25 is nearly 50 percent and many young people are seeking their futures abroad.
Autonomous regions vs. central government
Meanwhile the list of autonomous regions in need of requesting the central government's support is getting longer. Castile-La Mancha will also request aid, as Catalonia, Valencia, Murcia and Andalusia already have. Madrid, however, has made its support dependent on strict restrictions, which have placed additional pressure on already tense relations between the regions and the national government.

Some in Catalonia want independence

The regional parliament in Catalonia on Thursday called for a referendum to decide whether the region should declare independence from the rest of the country. In addition to having one of Spain's strongest economies, Catalonia also has one of the largest mountains of debt.
"It is always difficult to manage a state where the regions have a lot of influence," Gros said, adding that was also a reason "why Germany broke the stability pact's debt rules in 2003/04. At the time, the federal government could not control the states. Today in Spain it does not look any different."

• Date 30.09.2012
• Author Ralf Bosen / bk, sms
• Editor Andreas Illmer

New wave of anti-Semitism in Berlin

After an attack on a Berlin rabbi on month ago, the German capital has been rocked by two new antisemitic incidents. The Jewish community says society as a whole needs to combat anti-Semitism.

On Wednesday (26.09.2012), the Secretary General of the Central Council of Jews in Germany, Stephan Kramer, was threatened with an attack. On the same day, a taxi driver in Berlin refused to drive a family to a synagogue. Both cases have been picked up by the police for investigation.

Rabbi Daniel Alter said his attackers were of Arab origin

The two incidents took place only about a month after an attack on a rabbi that made the headlines across Germany - 53-year-old Daniel Alter was beaten up by a group of teenagers and verbally abused for being Jewish. The victim said the attacks were of Arab origin.
But Levi Salomon, spokesman for Berlin's Jewish community, does not think that Berlin has become more anti-Semitic. "This city is a mirror of society in general," he said. "I believe that anti-Semitism is simply deeply rooted in Germany."

Wowereit called on civil society to condemn any form of anti-Semitism

The two incidents that took place this week received media coverage from all the major papers in Berlin. The Berliner Zeitung daily wrote in an editorial that society had to react: "It is not enough to ask for the voice of reason. A threat to Berlin's Jewish community is an attack on social order that we cannot accept."
Deep roots
Berlin Mayor Klaus Wowereit strongly criticized the incidents and called on the capital's citizens to take a stand. "Beyond the reaction of the security authorities, it remains society's task to condemn any form of anti-Semitism and xenophobia," he said in a press release.
The incidents took place on Yom Kippur, one of the most important of Jewish religious holidays, though whether this was the motivation for the attacks remains unclear. Speaking through her spokesman on the same day, Angela Merkel had wished all Jews in Germany a good Yom Kippur.

In response to the attack on Daniel Alter, a Berlin flashmob protested against intolerance and anti-Semitism

Bad timing
Salomon believes the political debate on religious circumcision is part of the reason why anti-Semitic attacks in Germany are on the rise. In May 2012, a Cologne court had ruled that the circumcision of boys amounted to bodily harm and was therefore against the law. Both Jewish and Muslim organizations have strongly criticized the ruling. The German parliament is now create a legal basis for allowing religious circumcision, which is to come into effect this autumn.
Though many politicians are alert to the problem of anti-Semitism, some in society see an opportunity to now express their xenophobic feelings, says Salomon. He believes the best way to combat anti-Semitism is to gradually change perceptions in society. "A debate on Judaism in society in general is not only advisable – it is necessary," he said.

• Date 29.09.2012
• Author Andre Leslie / ai
• Editor Ben Knight

Spain floods: Seven die in Malaga, Murcia and Almeria

Spain's weather agency said that up to 245 litres (65 gallons) of water per square metre had fallen on Friday morning alone

Related Stories

• Severe storms batter Spain Watch
• Homes at risk as floods continue
• Spain - Country profile

At least seven people have died after heavy rains triggered flash floods in southern Spain, officials have said.

Among the dead were two children who drowned in a car in the town of Puerto Lumbreras, AP reports.
The strength of the waters overturned cars, closed roads, damaged homes and forced hundreds to leave their properties.
The hardest hit areas were the provinces of Malaga and Almeria, and Murcia region.
At least 600 people had to be evacuated from their homes in Andalucia region, which contains Malaga and Almeria, officials said.
Spain's weather agency said that up to 245 litres (65 gallons) of water per square metre had fallen on Friday morning alone.

An elderly woman died when a river broke its banks and floodwaters flowed past her home in Alora, north of Malaga, AFP reports.
A man was also reported to have been found dead in the south-eastern town of Vera Playa, cut off by the floods.
"In Malaga province there are 800 staff working to return things to normal as quickly as possible. The rains are decreasing and seem to be shifting towards Granada and Almeria," a regional government spokesperson told AFP.
However, torrential rain and violent thunderstorms are predicted to continue in the south of the country during the weekend.
The heavy rains in parts of the south follow months of drought and high temperatures across Spain which triggered dozens of wildfires.

Troops lay siege to Somali rebel bastion

Kenyan troops backed by AU forces surround port city of Kismayo, last stronghold of Somali rebel group al-Shabab. Last Modified: 28 Sep 2012 20:56

Kenyan and Somali troops have invaded Somalia's southern port city of Kismayo, the last bastion of al-Shabab fighters, the Kenyan military has confirmed. Cyrus Oguna, Kenya's military spokesman, said that troops had advanced on Kismayo, seen as a decisive battle in the struggle for Somalia. "For now, we're not everywhere. We've taken a large part of it without resistance," he said. Al Jazeera's Catherine Soi, reporting from Nairobi, confirmed Kenyan forces faced "minimum resistance [but] have not yet taken the whole of Kismayo". Al Jazeera speaks to Somali PM on the fall of al-Shabab There have not yet been any reports of casualties in the operation which has seen the group surrounded from three sides. Residents said they could hear fighting near the beach, 4km outside the city. "Now we hear shelling from the ships and the [rebels] are responding with anti-aircraft guns," Ismail Suglow told the Reuters news agency. "We saw seven ships early in the morning and now their firing looks like lightening and thunder. Al-Shabab have gone towards the beach. Many residents have taken their guns. The ships poured many [African Union] troops on the beach." Al-Shabab, which was driven out of the capital Mogadishu last August and is fighting African Union forces in other parts of the country, said there was heavy fighting going on between the two sides, but denied that soldiers had entered the city. "They invaded the town from the seaside ... This morning, we sent our fighters to push them back and they are still at that position. Kismayo is under the full control of al-Shabab", Abdulaziz Abu Musab, al-Shabab military spokesperson, told Al Jazeera by phone. Residents of the Jubbada Hoose province city, speaking to Al Jazeera, also denied that Kenyan and Somali troops had captured the town. Strategic location Al Jazeera's Mohammed Adow described Kismayo as a very important and strategic town for the group. Kismayo, "is the backbone of the funding of al-Shabab"; it is also the location from which the group bring in their arms and supplies, he said. Losing Kismayo, said Adow, would be "a huge setback for" the group and would leave them with the Somali capital as the only place that can provide al-Shabab with a hideout where they will also have access to "soft targets". Al-Shabab has called on residents of the southern city to take up arms against the Kenyan and Somali troops. For their part, the group has downplayed the importance of the city, Musab told Al Jazeera:"losing Kismayo won't be any worse than some of the other towns we have lost where Kenyan flags are now flying". Along with forces from Uganda, Burundi and Djibouti, Kenyan troops have been battling the group, which is said to have links to al-Qaeda, as part of an African Union peacekeeping force mandated with wiping out the figthers from their strongholds. Kenya sent its troops into Somalia last October after the fighters were blamed for a series of raids on Kenyan soil targeting its security forces as well as Western tourists. Somalia has made progress in the past year in battling the group, who have wanted to impose their interpretation of Sharia law across the country since taking control of large swathes of south-central Somalia from 2007. Elsewhere in Somalia, a journalist was killed in Mogadishu on Thursday night. The death of Ahmed Abdulahi Fanah, of the Somali SAPA news agency, is the fifth such instance this week. So far in 2012, 15 journalists have been killed in the Horn of Africa nation.

Source: Al Jazeera and agencies