EUOBSERVER / AGENDA (1 - 8 August) - Next week will see the first European Parliament plenary session after the summer break, but the main event will be an extraordinary EU leaders' meeting to discuss the situation in Georgia.

The emergency summit, called by France - currently chairing the six-month rotating EU presidency, take place on Monday (1 September) in Brussels and will aim to reassess the bloc's relation with Russia, after Moscow's attack on Georgia earlier this month and its decision to recognise the independence of Georgia's two breakaway provinces of Abkhazia and South Ossetia.

EU leaders will meet on Monday to reassess the bloc's relations with Russia following the crisis in Georgia.

French foreign minister Bernard Kouchner said that sanctions would be among the measures considered by the bloc's leaders - but his statement was met with mockery by Moscow and later rejected by another French diplomat who noted: "the time for sanctions has not yet come."

Additionally, EU diplomats indicated this week that despite the increasing tension, only a small number of countries are currently pushing for a tough line against again Russia, while most EU states are reluctant to take punitive measures and sanctions are unlikely to go beyond a possible postponement of negotiations on a new EU-Russia treaty.

At an emergency summit, the EU condemned Russia's recognition of South Ossetia and Abkhazia and urged other countries not to do the same. In a draft declaration the bloc vowed to remain vigilant in its ties with Russia.

EU leaders gathering for an emergency summit in Brussels on Monday vowed to be "vigilant" in their ties with Russia. The European Union could take decisions "concerning the future" of relations, according to a draft declaration being discussed by EU leaders.

"We expect Russia to act responsibly, in line with all its commitments. The Union will remain vigilant," the statement said.

The bloc will "examine carefully and deeply the situation and the different dimensions of EU-Russia relations," the statement said, noting that the results of this examination could become apparent by an EU-Russia summit in November.

PODLESNY, Russia: The fields around this little farming enclave are among the most fertile on earth. But like tens of million of acres of land in this country, after the collapse of the Soviet Union, they literally went to seed.

Now that may be changing. A decade after capitalism transformed Russian industry, an agricultural revolution is stirring in the countryside, shaking up village life and sweeping aside the collective farms that resisted earlier reform efforts and remain the dominant form of agriculture.

The transformation is being driven by soaring global food prices (the price of wheat alone rose 77 percent last year) and a new change allowing foreigners to own agricultural land. Together, they have created a land rush in rural Russia.

"Where else do you have such an abundance of land?" Samir Suleymanov, the World Bank's director for Russia, asked during an interview.

Until recently, discussion of possible NATO membership has not been a lively political topic in neutral Finland and Sweden, but Russia's actions in Georgia have encouraged those who back membership to become more vocal.

"We need to reconsider our security policy," said the Finnish Foreign Minister Alexander Stubb in an interview with Austria's Die Presse on Saturday (30 August).

Mr Stubb --  Russia's actions have changed the context of the NATO debate

Traditional conflicts are making a comeback in the post-9/11 era - he argued - saying Finland needs to begin to consider NATO membership, that the Georgian conflict has highlighted the UN's problems and the need for a more active security policy.

"The talk about how nothing has changed is inconceivable to me," said the conservative Mr Stubb, who represents the smaller coalition party in the government.

Germany's Left Party has voted to enter into an alliance with the center-left Social Democrats and the Greens in the state of Hesse. A tie-up with former communists is a risky move for the SPD. If the "red-red-green" government fails, the SPD will suffer in next year's general election, say commentators.

SPD Hesse regional leader Andrea Ypsilanti wants to have herself elected as state governor with the support of the Left Party. Germany's Left Party agreed at a regional party conference on Saturday to back an attempt by the center-left Social Democrats and the Greens to form a minority government in the western state of Hesse to oust current caretaker governor Roland Koch.

Koch, who is a member of Chancellor Angela Merkel's conservative Christian Democrats, has been managing a caretaker government ever since he lost his absolute majority in a January election. That vote prompted months of to-ing and fro-ing by the SPD about whether to form a government in Hesse with the help of the Left Party, which is made up of ex-communists and disenchanted former members of the SPD.

The SPD had pledged before the election not to join forces with the Left Party. However, the party failed to reach the necessary majority for its preferred coalition with the Greens in that election and regional SPD leader Andrea Ypsilanti has since changed her mind about seeking Left Party backing and has secured the blessing of national SPD leader Kurt Beck.

MADRID, Sept 1 (Reuters) - Spanish Prime Minister Jose Luis Rodriguez Zapatero on Monday injected a note of caution into government forecasts for strong growth to resume in the second half of next year. "The forecasts, and what everyone and all the international organisations expect, is that we will return to the path of growth in the second half of next year," Zapatero told Telecinco television, before adding a proviso.
"I want to stress these are forecasts, because it could be that we start growing a bit earlier or a bit later as it depends on factors which no one can control, for example the oil price," he said, blaming the economic downturn on the U.S. subprime crisis.
Spain's gross domestic product, which grew an average 3.8 percent a year over the past decade, has sunk close to stagnation this year, with quarterly growth reaching a 15-year-low 0.1 percent from April to June as the credit crunch tore a hole in a property bubble.
The Socialist government has insisted the country will return to near 3-percent annual growth in 2010, although some economists expect years of sluggish performance as the country works off high private sector debt and improves its poor competitiveness.

Here are the principles, in the words which President Medvedev used in an interview with the three main Russian TV channels (translated by the BBC Monitoring Service).

1. International law

"Russia recognises the primacy of the basic principles of international law, which define relations between civilised nations. It is in the framework of these principles, of this concept of international law, that we will develop our relations with other states."

2. Multi-polar world

"The world should be multi-polar. Unipolarity is unacceptable, domination is impermissible. We cannot accept a world order in which all decisions are taken by one country, even such a serious and authoritative country as the United States of America. This kind of world is unstable and fraught with conflict."

3. No isolation

"Russia does not want confrontation with any country; Russia has no intention of isolating itself. We will develop, as far as possible, friendly relations both with Europe and with the United State of America, as well as with other countries of the world."

4. Protect citizens

"Our unquestionable priority is to protect the life and dignity of our citizens, wherever they are. We will also proceed from this in pursuing our foreign policy. We will also protect the interest of our business community abroad. And it should be clear to everyone that if someone makes aggressive forays, he will get a response."

The economic downturn is set to lead to more crime, fewer police, more illegal immigration and a rise in far right extremism, a leaked Home Office letter reveals.

A blunt assessment of the pressures that a recession will bring on law and order is detailed in a document which is to be sent to Number 10 from Jacqui Smith, the Home Secretary.

It outlines the potential rises in crime, including violent crime, that could occur because of the credit crisis. Overall crime is expected to rise as a result of the more difficult economic times, which could also fuel terrorism, it warns.

The document also claims there will be an increase in "hostility" towards migrants as people question the financial assistance newcomers are given by the state.

The Conservatives said the revelations "ripped the veil" off complacent statements made by ministers about improving performance at the Home Office. In particular there is concern about lack of resources at Britain's border security operations.

An opinion poll in five major European countries--France, Germany, Italy, Spain and the UK-- found a strong majority (87%) of those surveyed support an urgent reduction in new car fuel consumption of 25%--equivalent to the 120 g CO2/km target being discussed by the European Parliament. The results come ahead of decisive votes in the European Parliament on proposed new legally-binding target for new car CO2 emissions.

The poll--carried out by TNS Opinion--probed close to 5,000 people in the five countries. Almost half (46%) of respondents think that requiring manufacturers to reduce the fuel consumption of vehicles is the best approach to reduce fuel consumption and emissions, ahead of tax incentives (27%) and promoting fuel-efficient cars through better information (13%). Seven percent support restrictions on the use of cars.

European Federation for Transport and Environment: European poll shows huge public support for fuel efficient cars (August 28th)

...

Also, around two thirds (64 per cent) of citizens support the statement that such measures will be good for their national economy because people will buy less fuel and have more money to spend on other things. Respondents listed fuel consumption (64 per cent) as the most important factor, apart from price, when choosing a new car. Safety was second (37 per cent) and environmentally clean third (26 per cent).

The findings seem to show that citizens don't buy carmakers' claims that the proposed legislation would damage their industry.

German respondents felt the most strongly that requiring manufacturers to reduce fuel consumption was the best way to improve efficiency, despite the German car industry's attempts to weaken the planned legislation.

HRW Continues False Accusations Against Russia
In its August 15 and 21 press releases HRW accused Russia of using cluster ammunition in Shindisi near Gori in Georgia. In the September 1 press release HRW admits that the submunition found there was not Russian, but 'western' M85 submunition as used by the Georgian army.

But as this current screenshot of the HRW homepage shows, it is still accusing Russia and it is still distributing the obviously false 'evidence' to make that case.

Japan was in political confusion tonight after the sudden and puzzling resignation of Yasuo Fukuda, the Prime Minister, which came without warning after a year of parliamentary deadlock and failed attempts to invigorate the Japanese economy.

There was no obvious trigger for the announcement, the second change of leader in less than a year, which opens the way to the right-wing nationalist Taro Aso to become prime minister, and increases the likelihood of a general election in the next few months.

Mr Fukuda's announcement took the Japanese political world by surprise and his explanation -- that he wished to hand over power to a new leader in advance of a new session of parliament -- was puzzling, given that the next prime minister is certain to face difficulties just as punishing as Mr Fukuda.

"I thought there should be a force to take things forward," he said in nationally televised press conference. "There should not be any political vacuum. A new force will be needed to implement policies, I thought, so I have decided to resign."

Russia is planning to send members of its security forces to train their counterparts in Afghanistan for the first time since the Soviet Union withdrew from the country in 1989, The Times has learnt.

At a meeting with President Karzai in Tajikistan last week President Medvedev offered to send 225 Russian police officers to help to train the Afghan National Police (ANP), according to Afghan officials. Mr Karzai, who met the Russian leader at a summit of the Shanghai Cooperation Organisation on Thursday, accepted his offer and the details are being discussed, the officials said.

The Afghan Interior Ministry confirmed that there was a verbal agreement, and an official at the Russian Embassy said that there could be more information later this week.

The number may be tiny compared with the 70,000 or so troops from Nato, the US and its allies now deployed in Afghanistan, some of whom are already training the ANP, but the agreement highlights Russia's determination to reassert its influence in Central Asia, the Caucasus and other regions that it sees as lying within its strategic "sphere of influence".

As the nation focuses on Sen. John McCain's choice of running mate, President Bush has quietly moved to expand the reach of presidential power by ensuring that America remains in a state of permanent war.

Buried in a recent proposal by the Administration is a sentence that has received scant attention -- and was buried itself in the very newspaper that exposed it Saturday. It is an affirmation that the United States remains at war with al Qaeda, the Taliban and "associated organizations."

Part of a proposal for Guantanamo Bay legal detainees, the provision before Congress seeks to "acknowledge again and explicitly that this nation remains engaged in an armed conflict with Al Qaeda, the Taliban, and associated organizations, who have already proclaimed themselves at war with us and who are dedicated to the slaughter of Americans."

The New York Times' page 8 placement of the article in its Saturday edition seems to downplay its importance. Such a re-affirmation of war carries broad legal implications that could imperil Americans' civil liberties and the rights of foreign nationals for decades to come.

Dozens of protesters will be arraigned Tuesday in front of a [Denver] municipal judge, with many expected to plead not guilty, to force a jury trial. The city had 154 convention-related arrests, mostly for interfering with police authority. On Friday, seven of 24 accused protesters pleaded guilty. The rest want to go to trial.

"This was an overblown security plan," said Glenn Spagnuolo, co founder of protest group Recreate 68. "As a visual deterrent in general, people were afraid to get out and express their dissent because of the presence."

http://www.denverpost.com/politics/ci_10340317

Either John McCain has lost his mind or we're being punked.

He's got two days to pull her before she's officially nominated.  Pulling her means a possible collapse and floor fight in St Paul, likely between the social conservatives and the supply-siders.  That's Mittens and Pawlenty.

It will not be pretty if it comes to that, but the alternative (keeping Palin) could be even worse, because it's basically become an hourly news dump.  The McCain campaign can't keep its story straight on the vetting.  The party elders have got to be losing their shit in DC.

And tomorrow, Gustav won't be gumming up the headlines.

The press smells blood, so I wouldn't bet on Palin lasting.

Popcorn sales in America's urban and suburban centers may go sky-high.  Invest accordingly.

Where's your motherf*%&ing flag pin?

Stein says that as mayor, Palin continued to inject religious beliefs into her policy at times. "She asked the library how she could go about banning books," he says, because some voters thought they had inappropriate language in them. "The librarian was aghast." The librarian, Mary Ellen Baker, couldn't be reached for comment, but news reports from the time show that Palin had threatened to fire her for not giving "full support" to the mayor.

When Palin, who went on to win re-election by a landslide, was finally forced out of the Mayor's office by term limits in 2002, her husband Todd's stepmother Faye Palin ran for Mayor. She did not, however, get Sarah Palin's endorsement. A couple of people told me that they thought abortion was the reason for Palin not supporting her family member -- Faye is, they say, pro-choice, not to mention a Democrat. A former city councilman recalls that it was a heated race, mainly because of right-to-life issues

The roads are crumbling and the power and water supply is erratic but British investors are placing bets. Welcome to Tivat, which is being described as the Monaco of the Balkans.

It may lack the cachet of Cannes, but developers have big plans for Tivat, a derelict port and former Yugoslav naval base in the tiny former communist country of Montenegro.

A group of high-profile investors, including Lord Rothschild, the financier and friend of the Prince of Wales, and his son Nat, are converting what used to be the dockyard into a marina for the oversized yachts of the rich and famous.

It is hoped that Porto Montenegro, as it is to be christened, will become a magnet for mega-rich yacht owners cruising the Mediterranean.

A British amateur diplomat tried to make a peace deal with Germany in World War II, National Archive files reveal.

Old Etonian James Lonsdale-Bryans travelled to Italy to meet German diplomat Ulrich von Hassell.

He proposed to him that Germany could have a "free hand" in Europe while Britain ran the rest of the world.

MI5 files released under the Freedom of Information Act show that security service officials knew of the Rome trip but did not try to stop it.

China is planning to build the world's fastest bullet train, to link Beijing with the financial capital Shanghai.

In a sign the country's ambitions to go faster, higher and bigger have not been dimmed by the end of the Olympics, the Ministry of Railways says it is raising the speed it intends the new line connecting the cities to reach when it opens in 2012.

New technology will enable trains to travel at 380 km or 236 miles an hour, 30 km per hour (18mph) more than the current generation of bullet trains, according to the ministry's deputy chief engineer, Zhang Shuguang.

"It is possible that we can start to manufacture 380 km/h trains in two years' time, and put them into service on the Beijing-Shanghai high-speed railway," he said, according to state media.

The high-speed line from Beijing to Shanghai has been an on-off project for several years, but work finally began in April.