Archive for the ‘economics’ Category

What do you think the arms trade is, a charity? Actually yes, that’s what it is

November 3, 2022

Michael West Media, by Callum Foote | Oct 7, 2022,

All’s not fair at the warfare Expo, where taxpayer-funded arms merchants hobnob with military types by invitation only. “Aggressive” journalists not allowed. Persona non grata Callum Foote reports on Land Forces 2022, Australia’s biggest War Fair.

Land Forces is the annual exposition for the defence industry, or the most profitable corporate welfare exercise in the country. 

Australia is the fourth largest importer of weapons in the world, behind Saudi Arabia, India and Egypt. It is roughly the 20th largest exporter of weapons. This is a disparity former Defence Minister Christopher Pyne, now a defence industry consultant, set out to rectify in 2018 with the launch of the $3 billion Defence Export Strategy after meeting with Abu Dhabi’s Crown Prince Mohamed bin Zayed al Nahyan. Pyne, who was in attendance at Land Forces 2022, stated at the time the goal of making Australia a top-10 exporter.

Over the next decade, the Australian government will invest $200 billion in the Defence Force with an eye to support the weapons export industry. In line with these goals, Australian military spending has shot through the roof – from $10 billion in 2000 to just under $50 billion in the last budget. The big winners? Largely foreign multinational defence contractors, and plenty of small local ones too; they’re growing along with the public spending.

Land Forces is their gathering, the gathering of the year for those looking to earn a profit from this public investment. The conference brings in interest from international weapons makers such as Boeing and Thales as well as 700-odd smaller Australian manufacturers and service providers hoping to get in on the action.

Alms for arms

The company behind Land Forces, AMDA, formerly the Aerospace Maritime and Defence Foundation of Australia, is part of group of companies registered with Australian Charities and Non-for-profit Commission which operates around the country. 

Yes, that’s right: AMDA is a weapons charity; and despite its income of $10m-plus from defence contractors and governments, it also helped itself to JobKeeper subsidies, despite rising profits during the Pandemic.

t has 24 full-time-equivalent employees and had a total revenue in 2021 of $8.5 million – 13% of which came from government grants.

While revenue in 2021 was down from 2020, where the ‘‘charity’’ pulled in $10.5 million, profit was actually up from $2.1 to $3.5 million. Sales revenue also rose slightly in 2021 from $7.2 million to $7.4 million.

Where this charity’s financials differ from most, not even to begin discussing its purpose, is that as of 2021 AMDA has $32.5 million in assets, up from $28 million the year before, with over $10 million of that being in cash or cash equivalents. Were it not for JobKeeper, its large cash reserves would still be large but not quite so large. 

With all this cash, one would think that AMDA could weather any storm. Not so, according to the board which includes not one but two former chiefs of the Australian Navy, a former chief of Army and Air Force and a former CEO of Lockheed Martin Australia, who decided to take JobKeeper payments.

That’s right, over 2020 and 2021 AMDA took $1.2 million in JobKeeper payments, $870,000 in 2021 and $360,000 in 2020. 

In the same period the total remuneration to the key management personnel of the charity, people such as the CEO and the board members, was $1.5 million and $1.4 million respectively.

Despite the fact that this is public money, AMDA has refused to comment on whether it will be returning the taxpayer subsidies it took to line the coffers of its charity while increasing executive pay.

Embedded with the activists

The activists protesting outside the arms fair are up against a powerful foe, and they know it.

While protesting under the banner of Disrupt Land Forces, a campaign organised under the flag of activist organisation Wage Peace, the activists are reluctant to claim that they are a part of any organisation at all. It’s more of a community, they say.

Most protesters are wary of the media and wish to remain anonymous. There are members of more ‘‘hardcore’’ organisations such as Extinction Rebellion and Blockade Australia, 12 of which were arrested last June during civil action related to climate change.

On Tuesday morning, around 50 or so of the protesters gathered outside the Brisbane Convention and Exhibition Centre entrance where a rally received moderate media attention from SBS and Channels 10 and Seven. 

These media outlets were really only interested in the Greens politicians, led by Senator  David Shoebridge, who briefly talked to the activists before clearing off. The cameras then left with them, leaving the activists to the rest of the weeks activities. 

Depending on who you ask, the goal of the protesters is to either meaningfully decrease the attendance of the conference or increase the cost of putting it on……………………………………………………..

A likely Coalition

Many of the protesters have been involved in activism for decades, such as Margie Pestorius, a spokesperson for Wage Peace who has been protesting since the late 1980s.

“I was part of the Melbourne Rainforest Action Group [MRAG] at its height in 1989. We blockaded ships carrying Malaysian rainforest timber threatening the livelihoods and lives of the Indigenous Penan and the ecosystems they had nurtured and lived with.”


Pestorius has since pivoted to anti-militarism activism, which lacks the same support as environmental causes here in Australia.

Among the protesters are Aunty Sue Haseldine, Indigenous elder from Kokatha country who has had to deal with the fallout of atomic weapons testing in her country. Now she has learnt that Souther Launch, an Australian space company who has “aligning their business goals with defence industry priorities” according to Thales will be testing on her land once again.

Aunty Sue says she will refuse to leave if testing goes ahead “If they’re going to destroy heritage then they’re going to destroy me too. That country out there is our church, our school, our spirituality, our pharmacy. It is shameful to know that these weapons will be tested on our country which will then be used to commit atrocities across the world” she told a crowd outside Thales’ office in Brisbane.

Uncle George Dimara from West Papua also spoke outside Thales, decrying the use of Australian-built Thales Bushmasters being used by Indonesian forces in West Papua.

Others include members from Teachers for Peace, a group of Australian teachers who are pushing back against what they see as the encroachment of defence industry spending in the education sector.

The protests lack the wide-scale support seen in the environmental movement such as the thousands strong marches that have taken place in Australia’s major cities over the past few years, but that doesn’t mean these activists are dismayed.

According to Adrian Heaney, a spokesperson for Wage Peace, “these protests have demonstrated our commitment to resisting the profit-fuelled arms race enabled by institutions like Land Forces. Arms fairs of this kind in Australia have been stopped before by people power—it’s our responsibility to continue this tradition. There is no time left for more murder, more destruction. We need collaboration, not more conflict.”  https://michaelwest.com.au/what-do-you-think-the-arms-trade-is-a-charity-actually-yes-thats-what-it-is/

Hard-Wired for Corruption -The arms trade and Australia’s lax monitoring regimes

November 3, 2022

Chris Douglas concludes that from an anti-bribery/corruption risk perspective, Naval Group should not have been put on the shortlist for the Future Submarines program, let alone selected to partner with Australia to build the submarines. The ‘contract of the century’ was mired in unacceptable risk from the outset due to Defence’s poor risk-management processes and non-existent specific anti-bribery/corruption measures. A formal inquiry is needed both to examine how this deeply flawed decision was reached and to help prevent the situation recurring in future major defence procurement projects.

‘In the arms business, it’s always a time of war’, wrote Roeber. Without war, there is no revenue, no profit, no growth. Countries with established arms manufacturing industries therefore have a perpetual economic driver towards conflict and warfare.

To give just one example, there is no visibility around what or how much weaponry Australia has exported to Saudi Arabia or the United Arab Emirates during the years of the Yemen war.

 https://undueinfluence.substack.com/p/hard-wired-for-corruption?utm_source=substack&utm_medium=email Michelle Fahy 1 Aug 22, The international arms trade, worth around US$200 billion a year, represents less than 1 per cent of world trade yet is said to account for about 40 per cent of its corruption. While estimates vary, there is little dispute amongst long-term arms industry researchers that it is the most corrupt industry on the planet. Indeed, it is said to be hard-wired for corruption.

The World Peace Foundation (WPF), housed at Tufts University in America, produces extensive research on the global arms trade, including a compendium of corrupt arms deals. It says that ‘Corruption within the industry is often treated in terms of isolated incidents, when it is, in fact, representative of the business model for the industry’.

This finding is supported by research for Transparency International’s (TI) Government Defence Integrity (GDI) index, which assesses the quality of controls for managing corruption risk in defence and security institutions. The GDI shows that 86 per cent of global arms exports between 2016 and 2020 originated from countries at moderate to very high risk of corruption in their defence sectors, while 49 per cent of global arms imports went to countries at high to critical risk of defence corruption. Australia is rated as a moderate corruption risk in the GDI, with two key areas of concern being the lack of transparency in defence procurement and weak anti-corruption safeguards on military operations.

The legal trade in arms has long been known for its susceptibility to corruption. This is due to the high value and complexity of arms deals, the close association between the arms industry and political power, and the secrecy claimed necessary for national security, all of which shield arms-related activities from scrutiny. As arms industry expert Joe Roeber pointed out, ‘Defence goods are complex and each contract contains a mix of special requirements. Comparison is remarkably difficult and effective monitoring by public watchdogs is all but impossible. An unknowable price can be manipulated to accommodate any amount of covert payments’. Further, there are very few major arms deals on offer globally each year—usually less than 10 in the range of tens of billions each meaning competition is intense—while only a small number of people make the decision on what to buy…

‘In the arms business, it’s always a time of war’, wrote Roeber. Without war, there is no revenue, no profit, no growth. Countries with established arms manufacturing industries therefore have a perpetual economic driver towards conflict and warfare.

For example, in the month leading up to Russia’s invasion of Ukraine, and just days after a horrific attack in Yemen by the Saudi-led coalition using a Raytheon missile that killed 90 people and injured 200, Raytheon’s CEO told investors that global tensions represented ‘opportunities for international sales’, and that he expected to ‘see some benefit’ from ‘the tensions in Eastern Europe [and] in the South China Sea’. Meanwhile, Just Security has noted that the ‘well-documented risks of corruption in the arms industry and the potential for profiteering from an arms race in the Ukraine war’ are risk factors embedded in the massive flow of lethal weaponry from the West into Ukraine…

Blanket secrecy

All countries justify secrecy around arms-related activity with claims of protecting ‘national security’. The Australian government, for example, imposes a high level of secrecy over its arms procurement, sustainment and export deals, with politicians and the Department of Defence resisting demands for greater transparency…

Australia also relies on ‘commercial-in-confidence’ justifications to protect arms industry interests. This, in combination with national security claims, has led to almost blanket secrecy around Australia’s arms exports. To give just one example, there is no visibility around what or how much weaponry Australia has exported to Saudi Arabia or the United Arab Emirates during the years of the Yemen war. The government has only released information about the number of export permits it has approved or declined (by March 2021 Australian approvals to these two nations topped 100). However, permit numbers are not useful, as not all permit approvals translate into actual exports, and permits can cover numerous types of equipment, small or large quantities, extend for varying time periods, and even cover multiple destinations.

This is significant because the decades-long UK Campaign Against the Arms Trade has amassed a ‘mountain of evidence of corruption in arms sales to Saudi’ showing that bribery is central to the Saudi government’s approach to arms deals. Andrew Feinstein, author of the exhaustively researched 600-page book The Shadow World: Inside the Global Arms Trade, told ABC radio in 2018 that he had never seen a Saudi arms deal that didn’t involve ‘massive amounts’ of corruption, and that the percentage of a Saudi contract paid in bribes could be up to ‘about 35 per cent of the contract price’. The United Arab Emirates is also known for its secrecy, corruption, and money laundering links.

Australia’s decreasing commitment to anti-corruption measures

Australia’s extraordinary current spending on military capability—$270 billion in a decade, on top of the usual defence budget—means the domestic arms industry is awash with cash. At the same time, the public’s limited ability to scrutinise this spending has been eroded further by a defence minister, Peter Dutton, who has restricted Defence’s engagement with the media. The combination of record sums of money and little scrutiny provides fertile ground for corruption.

Australia’s performance on anti-corruption measures has nose-dived in recent years:

  • It recorded its worst ever score on a global anti-corruption index in 2022, dropping four points (from 77 to 73) and falling to 18th place. Australia has now dropped 12 points in a decade, from a high of 7th (85 points) in 2012.
  • Its membership status at the Open Government Partnership risks being put under review because it has ‘acted contrary to the OGP process’ and failed to submit its latest national action plan.
  • Its negligible attempts to investigate and prosecute cases of foreign bribery have been criticised by the Working Group for the OECD’s Anti-Bribery Convention (it expressed concern over ‘the continued low level of foreign bribery enforcement… given the size of Australia’s economy and the high-risk regions and sectors in which its companies operate’ and ‘its long-standing challenges in attributing wrongdoing to corporate entities’).
  • It has been named an ‘international laggard’ in expanding anti-money-laundering laws in line with recommendations by the G7’s Financial Action Task Force, one of only three countries, alongside Haiti and Madagascar, to have failed to do so. Australia now risks being put on a grey list of countries that don’t meet international money-laundering standards. (Australia has been resisting anti-money-laundering regulation for fifteen years.)
  • A dedicated federal anti-corruption body still has not been established…

Red flags

‘The biggest corruption risk in an arms deal is a company’s decision to pay bribes to secure the deal’, says Sam Perlo-Freeman, former Program Manager for Global Arms and Corruption, World Peace Foundation, Tufts University. Decisions to pay significant bribes are made at a company’s highest levels, and while no amount of technical anti-corruption measures will eliminate high-level corrupt behaviour, strong whistleblower protection mechanisms can increase the probability of exposure. Other anti-corruption measures are also important, particularly at lower levels where zealous company employees might be tempted to cut corners to advance their careers. However, such technical measures do not tackle the underlying political and economic drivers of high-level corruption in the arms industry, where winning large deals is necessary for corporate survival and price is not the primary concern. As Joe Roeber noted incisively, bribery in this context ‘is not just a simple add-on to the procurement process, but distorts the decisions. What would the equilibrium level of trade be without the stimulus of corruption?’ …

No evidence has emerged of…extensive corrupt practices in Australia, but there are regular red flags of possible arms industry corruption. Chris Douglas, a 31-year veteran of financial crime investigation for the Australian Federal Police, who now runs his own consultancy, is an Australian expert in anti-bribery and corruption measures. He says that such compliance programs are a necessary component of good corporate and public governance—essential for preventing corruption in the defence industry. Although he has lodged numerous Freedom of Information requests (FOIs) with the Defence Department about anti-bribery/corruption measures on major procurements, he says, ‘I have not detected an ABC [anti-bribery/corruption] program being used in any of the major defence projects I have examined’.

Douglas says that the Department of Defence ‘has not caught up with modern corporate management practices’ and has no understanding of how to use anti-bribery/corruption risk-based assessments to manage the significant risks posed by bribery and corruption in its projects, particularly major ones. As he puts it: ‘That any department would not undertake an ABC risk assessment when such large sums of money are involved, in an industry that is rated high for corrupt behaviour, speaks volumes about a poor culture within that department’.

Repeated cost blowouts and delays are just two of the red flags for corruption that are regularly found in Australian defence procurement and sustainment projects. The cost of these to the public is substantial.

While there are numerous examples of red flag projects, here are just three.

Naval Group—submarine contract

This contract was abandoned with the arrival of AUKUS, but the original deal with Naval Group requires a public inquiry to examine the full extent of the process by which the internationally lucrative ‘contract of the century’ was awarded. The need for an inquiry has been amplified given the shock shredding of Defence’s largest ever contract, a decision which made international news and may yet cost Australia billions.

(more…)

Nuclear Power Is a Dead End. We Must Abandon It Completely.

November 3, 2022

In fact, the knock-out arguments against the nuclear industry today are reactors’ cost and deployment time. The greatest barriers to this claimed renaissance—and it is primarily talk, not investment—is its inability to deliver affordable power on time and on budget.

Small nuclear reactors (SMRs) -both slower to deploy than conventional reactors and more expensive per kilowatt capacity. overall, SMRs are inferior to conventional reactors with respect to radioactive waste generation, management requirements, and disposal options.

Even given Europe’s energy crisis, the case against nuclear power has never been so conclusive—and so important.

The Nation, By Paul Hockenos 13 Oct 22,

BERLIN—Amid a confluence of crises—the Ukraine war, an energy crisis, and climate breakdown—nuclear energy is experiencing a renaissance, at least in the rhetoric of politicians and pundits across Europe, North America, and beyond. After all, it’s tempting to propose these generators of low-carbon energy as a panacea to this daunting phalanx of calamities.

But in fact, the case against nuclear power and for genuinely renewable energies has never been so conclusive—and so important. In early March, Russia captured the Zaporizhzhia nuclear power plant in Ukraine—the largest in Europe with six reactors, each the size of the one that melted down in the 1986 Chernobyl disaster—and transformed it into an army base from which it fires artillery at Ukrainian positions.

Although this weaponizing of nuclear reactors had long been recognized as a threat, the vulnerability of nuclear power plants in conflict zones is now center stage in Europe. The battlefield in this case is controlled by an unpredictable autocrat who has threatened that he’ll use every means at his disposal to destroy Ukraine. At the Zaporizhzhia station, the Russian military has taken the Ukrainian nuclear engineers hostage, and is working them at gunpoint. The International Atomic Energy Agency (IAEA) warned in August that there’s a “real risk of nuclear disaster” unless the fighting stops. Russia could sabotage a power plant like Zaporizhzhia and attempt to shift the blame onto Ukraine. A nuclear weapon strike would be a crime against humanity, but a disaster at nuclear plant could blur responsibility and complicate the international response. Nuclear plants, where military-scale security is nonexistent, are sitting ducks for acts of terrorism and wartime targeting.

At the same time, the world’s nuclear power champion, France, has punctured the myth that nuclear power is a round-the-clock energy source that can operate without back-up reserves—a favorite trope of wind and solar power skeptics. Nowhere in Europe today is the energy crisis more acute than in France, where for much of this year, between a third and over half of France’s 56 nuclear reactors have been shut down either because weather-warmed rivers cannot cool their systems or on account of corrosion damage, hairline cracks, staff shortages, and pending maintenance work on their geriatric hardware. The outages have forced France to rely on Germany for electricity imports—culled in large part from the wind and solar farms that supply almost half of Germany’s electricity. In August, France’s power prices hit €1,100 per megawatt-hour, more than 10 times the 2021 price, smashing records across the continent………………………………………

Critics’ original concern with nuclear power, namely its safety, remains paramount. The two most catastrophic meltdowns, in 1986 at the Chernobyl nuclear power plant in the Soviet Union and the Fukushima site in Japan, in 2011, had horrific repercussions that still haunt those regions. But these mega disasters are only the most well known. According to IAEA, there have been 33 serious incidents at nuclear power stations worldwide since 1952—two in France and six in the United States.

These accident numbers don’t include the toxic fallout from lax disposal and storage of nuclear waste.

Between 1945 and 1993, 13 countries, including the UK, the US, and the Soviet Union, heaved barrels of nuclear waste into their seas—a total of 200,000 tons—presuming the vast ocean waters would dissolve and dilute it. Those casks still lie there today.

This sad chapter belongs to the 80-year-old saga of nuclear waste. Currently, there’s over a quarter-million metric tons of spent fuel rods sitting above ground, usually in cooling pools at both closed-down and operative nuclear plants, waiting like Samuel Beckett’s protagonists Vladimir and Estragon for a definitive solution that will never come.

In northern Europe, the Finns claim that they’ve solved it by digging 100 tunnels 1,400 feet into the bedrock of an uninhabited island in the Gulf of Bothnia. Underway now for decades, this $3.4 billion undertaking, the first permanent repository in the world, will eventually hold all of Finland’s spent nuclear refuse—less than 1 percent of the world’s accumulated radioactive remnants—until about 2100. This highly radioactive mass will, its operators promise, remain catacombed for 100,000 years. (Since nuclear waste is lethal for up to 300,000 years, these sites are a time-bomb for whoever or whatever is inhabiting the planet then, assuming geological conditions allow it to lie peacefully for that long.) In light of Finland’s small volume of radioactive waste, the full lifetime price tag of nearly $8 billion dollars is significantly more per ton than the estimated $34.9 billion, $19.8 billion, and $96 billion that the France, Germany, and the United States respectively will shell out for nuclear waste management, according to the World Nuclear Waste Report 2019.

Most countries don’t have barren islands far from groundwater sources, so they have to make do, like Switzerland did in September when it announced that it intends to excavate a geological storage repository near the German border, closer to German towns in Baden Württemberg than Swiss ones. Germany’s borderland communities are vigorously contesting the choice, which will probably be abandoned by the Swiss. Nearly all proposed sites end up scratched for the obvious reason that nobody wants to live next to a nuclear waste dump.

Nowhere in the world has anyone managed to create a place where we can bury extremely nasty nuclear waste forever,” Denis Florin of Lavoisier Conseil, an energy-focused management consultancy in Paris, told the Financial Times earlier this year. “We cannot go on using nuclear without being adult about the waste, without accepting we need to find a permanent solution.”

The inherent danger of nuclear power is often relativized by advocates as the bitter pill we must choke down in light of its other advantages. In fact, the knock-out arguments against the nuclear industry today are reactors’ cost and deployment time. The greatest barriers to this claimed renaissance—and it is primarily talk, not investment—is its inability to deliver affordable power on time and on budget.

Nuclear energy is such a colossal expense—into the tens of billions of dollars, like the $30 billion Vogtle units in Waynesboro, Ga.—that few private investors will touch them, even with prodigious government bankrolling.

The UK government finally found a taker for its Hinkley Point C station in 2016 when it offered lavish subsidies to the French energy firm EDF. But even that deal becomes less sweet the higher construction costs spiral and the longer EDF postpones its opening beyond 2025. So catastrophic are the cost overruns of EDF’s projects worldwide that the company could no longer service its €43 billion debt and this year agreed to full nationalization. But experts say this alone won’t solve any of the fundamental problems at Hinkley C or the Flamanville plant in Normandy, which is 10 years behind schedule, with costs fives times in excess of the original budget. Cost overruns are one reason that one in eight new reactor projects that start construction are abandoned.

While safety concerns drive up the cost of nuclear plant insurance, the price of renewables is predicted to sink by 50 percent or more by 2030. Study after study attests that wind and solar cost a fraction of the price of nuclear power: at least three to eight times the bang for the buck in terms of energy generation and climate protection, at a time when the exorbitant cost of energy is causing recessions and street protests across Europe. It is because solar photovoltaic and wind power are the cheapest bulk power source in most of the world that renewables, grids, and storage now account for more than 80 percent of power sector investment. In 2021, companies, governments, and households invested 15 times as much in renewable energy than in nuclear. They’re simply the better buy.

NUCLEAR IS MUCH TOO SLOW

Indeed, in the face of an ever more cataclysmic climate crisis that demands solutions now—like hitting the EU’s 2030 targets of reducing carbon dioxide emissions by 55 percent of 1990 levels by 2030—the build-out of nuclear is painfully, prohibitively slow. In Europe, just one nuclear reactor has been planned, commissioned, financed, constructed, and put online since 2000—that’s Finland’s Olkiluoto-3 reactors (March 2022). Europe’s flagship nuclear projects—called European Pressurized Reactors—have been dogged by delays from the start. The Olkiluoto-3 reactors in Finland, which had been scheduled to go online in 2009, still isn’t heating homes. Globally, the average construction time—which count the planning, licensing, site preparation, and arranging of finances—is about a decade.

Small-scale modular reactors (SMR), advanced with funding during the Obama administration, are supposedly the industry’s savior—the so-called next generation—although they’ve been around for decades. Purportedly quicker to build, with factory-made parts, they generate at most a 10th of the energy as a conventional reactor. Yet they are not significantly different in terms of their problems. The World Nuclear Industry Status Report 2022 claims that, so far, they have been both slower to deploy than conventional reactors and more expensive per kilowatt capacity. A recent study conducted by Stanford University and University of British Columbia came to the conclusion that “overall, SMRs are inferior to conventional reactors with respect to radioactive waste generation, management requirements, and disposal options.”

NUCLEAR AND RENEWABLES DON’T MIX

Finally, the last claim of nuclear supporters is that the massive baseload supply that reactors provide when they’re up and running is just what systems reliant on weather-based renewables need at down times. In fact, nuclear is the opposite of what decentralized clean energy systems require.

Renewables and nuclear energy don’t mix well in one system, explains Toby Couture of the Berlin-based think tank E3 Analytics. “What renewables need is not so-called baseload power,” he told me, “which is inflexible and unable to ramp up and down, but flexible, nimble supply provided by the likes of storage capacity, smart grids, demand management, and a growing toolbox of other mechanisms, not the large and inflexible supply of nuclear reactors.”

Couture added, “The inability of nuclear power to ramp down effectively to ‘make room’ for cheap wind and solar is one of the main reasons why France’s own domestic renewable energy development has lagged behind its peers.” According to Couture, France’s inability to flexibly accommodate wind and solar has exacerbated the continent-wide power supply crunch.

In light of the energy crisis, Germany may extend the lifetime of two of its three remaining nuclear plants for three months, in a reserve capacity beyond their scheduled end-of-year closure date. This emergency measure, a direct consequence of the previous governments’ failures, does not alter the logic against nuclear power, which even Germany’s own nuclear industry now accepts. Renewables, clean tech, and energy efficiency are easy to rollout, cost-effective, safe, and proven. Let’s concentrate on deploying these technologies at full speed to decarbonize our world before the impacts of climate change overwhelm us. https://www.thenation.com/article/world/nuclear-power-europe-energy/

Russia’s Stranglehold On The World’s Nuclear Power Cycle

November 3, 2022

Radio Free Europe, September 01, 2022 By Kristyna Foltynova [Excellent graphics] “…………………… Here’s how Russia plays a crucial role in the world’s nuclear cycle

It’s Not Just About Mining

Russia is among the five countries with the world’s largest uranium resources. It is estimated to have about 486,000 tons of uranium, the equivalent of 8 percent of global supply…………….

However, uranium mining is just one piece of the nuclear process. Raw uranium is not suitable as fuel for nuclear plants. It needs to be refined into uranium concentrate, converted into gas, and then enriched. And this is where Russia excels.


In 2020, there were just four conversion plants operating commercially — in Canada, China, France, and Russia. Russia was the largest player, with almost 40 percent of the total uranium conversion infrastructure in the world, and therefore produced the largest share of uranium in gaseous form (called uranium hexafluoride).

World Uranium Conversion Capacity

In 2020, almost 40 percent of converted uranium came from Russia.

The same goes for uranium enrichment, the next step in the nuclear cycle. According to 2018 data (the latest available), that capacity was spread among a handful of key players, with Russia once again responsible for the largest share — about 46 percent.Therefore, Russia is a significant supplier of both uranium and uranium enrichment services. According to the latest available data, the European Union purchased about 20 percent of its natural uranium and 26 percent of its enrichment services from Russia in 2020. The United States imported about 14 percent of its uranium and 28 percent of all enrichment services from Russia in 2021.

Purchases Of Natural Uranium

In 2020, Russia supplied about one-fifth of the EU’s natural uranium and was among the top suppliers of uranium to the United States in 2021.

Did Someone Say Nuclear Reactors?

Nuclear reactors made in Russia are known as VVER — an abbreviation for the Russian vodo-vodyanoi enyergeticheskiy reactor (water-water energetic reactor). These reactors use water both as a coolant and as a moderator and were originally developed in the Soviet Union. There are several versions of VVERs (such as the VVER-440 and VVER-1000), with the volume of power being one of the significant differences.

Currently, there are 11 countries where various types of VVERs are operating, including Bulgaria, the Czech Republic, Hungary, and Finland. On top of that, other countries such as Egypt, Turkey, and Argentina currently have these reactors under construction or plan to build them.

Russia is considered the world leader when it comes to the export of nuclear plant development. Between 2012 and 2021, Rosatom initiated construction of 19 nuclear reactors; 15 of these were initiated abroad. That is far more than the next most prolific providers: China, France, and South Korea. Although China started building 29 reactors during the same period, only two of them were initiated abroad. France started building two reactors abroad, and South Korea four.

Exporters Of Nuclear Plants

Between 2012 and 2021, Russia initiated the construction of 15 nuclear reactors abroad.

Don’t Forget The Fuel

To keep the reactors operating, plants need a regular supply of nuclear fuel — usually a certain type of fuel. And this is where another level of dependency on Russia can be observed. Although there are several suppliers on the market, the Russian TVEL Fuel Company is currently the only authorized supplier of fuel needed for VVER-440s……..

Russia is also able to supply high-assay low-enriched uranium (also known as HALEU). It is a type of fuel that will be needed for more advanced reactors that are now under development by many companies across the United States. The main difference from the fuel that is currently being used is the level of uranium enrichment. Instead of up to 5 percent uranium-235 enrichment, the new generation of reactors needs fuel with up to 20 percent enrichment……………. At the moment, the only supplier able to provide the fuel on a commercial scale is Russia’s Tenex (owned by the Russian state-owned company Rosatom).

Looking For New Markets

Selling nuclear technology is also part of Russia’s effort to gain influence and reap profits in countries that are new to nuclear energy. One of the reasons countries want to cooperate with Russia is that it offers a “whole package” solution. Russia can not only build a nuclear plant and supply fuel, but it also trains local specialists, helps with safety questions, runs scholarship programs, and disposes of radioactive waste.

However, offering attractive loans is probably Russia’s most powerful tool. These loans are usually backed by government subsidies and cover at least 80 percent of construction costs. For example, Russia has already lent $10 billion to Hungary, $11 billion to Bangladesh, and $25 billion to Egypt — all to build nuclear power plants.

Russia has operating nuclear reactors in 11 countries, and more are under construction or being planned. Besides that, Russia has also signed either memorandums of understanding or intergovernmental agreements with at least 30 countries around the world, mostly in Africa. These serve as a declaration of interest in nuclear technology or set an intention to cooperate on the building of nuclear plants, respectively.

Russia has operating nuclear reactors in 11 countries, and more are under construction or being planned. Besides that, Russia has also signed either memorandums of understanding or intergovernmental agreements with at least 30 countries around the world, mostly in Africa. These serve as a declaration of interest in nuclear technology or set an intention to cooperate on the building of nuclear plants, respectively.

Some experts warn that African countries might not be ready for nuclear power, but Russia argues that the technology represents an answer to the continent’s increasing demand for electricity. It is also worth noting that African countries represent the largest voting bloc in the United Nations, which might be another reason for Russia to strengthen its ties in the region.

Nuclear Cooperation

There are at least 50 countries with some level of nuclear cooperation with Russia……….  https://www.rferl.org/a/russia-nuclear-power-industry-graphics/32014247.html

ELON MUSK IS NOT A RENEGADE OUTSIDER – HE’S A MASSIVE PENTAGON CONTRACTOR

August 4, 2022

while the 50-year-old businessman presents himself as a maverick science genius – an act that has garnered him legions of fans around the world – a closer inspection of his career shows he earned his fortune in a much more orthodox manner. First by being born rich, then by striking it big as a dot-com billionaire, and finally, like so many others, by feeding from the enormous government trough.

Perhaps more seriously though, SpaceX’s close proximity to both the military and the national security state marks it out as a key cog in the machine of U.S. empire, allowing Washington to spy, bomb or coup whoever it wants.

ALAN MACLEOD, Mint Press News, MAY 31ST, 2022 ”………………………………………….. Musk has deliberately cultivated this image of himself: a real life Tony Stark figure who thinks for himself and is not part of the established order. But behind this carefully constructed façade, Musk is intimately connected to the U.S. national security state, serving as one of its most important business partners. Elon, in short, is no threat to the powerful, entrenched elite: he is one of them.

TO UKRAINE, WITH LOVE

Musk, whose estimated $230 billion fortune is more than twice the gross domestic product of Ukraine, has garnered a great deal of positive publicity for donating thousands of Starlink terminals to the country, helping its people come back online after fighting downed the internet in much of the country. Starlink is an internet service allowing those with terminals to connect to one of over 2,400 small satellites in low Earth orbit. Many of these satellites were launched by Musk’s SpaceX technologies company.

However, it soon transpired that there is far more than meets the eye with Musk’s extraordinary “donation.” In fact, the U.S. government quietly paid SpaceX top dollar to send their inventory to the warzone. USAID – a government anti-insurgency agency that has regularly functioned as a regime-change organization – is known to have put up the cash to purchase and deliver at least 1,330 of the terminals.

Starlink is not a mass-market solution. Each terminal – which is, in effect, a tiny, portable satellite dish – has a markedly limited range, and is useful only in hyper-local situations. Mykhailo Fedorov, Ukraine’s Minister of Digital Transformation, estimated that the 10,000 Starlink terminals were allowing around 150,000 people to stay online.

Such a small number of people using the devices raises eyebrows. Who is important enough to be given such a device? Surely only high-value individuals such as spies or military operatives. That the Starlinks are serving a military purpose is now beyond clear. Indeed, in a matter of weeks, Starlink has become a cornerstone of the Ukrainian military, allowing it to continue to target Russian forces via drones and other high-tech machinery dependent on an internet connection. One official told The Times of London that he “must” use Starlink to target enemy forces via thermal imaging.

Starlink is what changed the war in Ukraine’s favor. Russia went out of its way to blow up all our comms. Now they can’t. Starlink works under Katyusha fire, under artillery fire. It even works in Mariupol,” one Ukrainian soldier told journalist David Patrikarakos.

The reference to Mariupol alludes to the infamous Nazi group, the Azov Battalion, who have also reportedly been using Musk’s technology. Even in a subterranean cavern beneath Mariupol’s steelworks, Azov fighters were able to access the internet and communicate with the outside world, even doing video interviews from underground. In 2015, Congress attempted to add a provision to U.S. military aid to Ukraine stipulating that no support could go to Azov owing to their political ideology. That amendment was later removed at the behest of the Pentagon.

Dave Tremper, Director of Electronic Warfare at the Pentagon, sang SpaceX’s praises. “How they did that [keeping Ukrainian forces online] was eye-watering to me,” he said, adding that in the future the U.S. military “needs to be able to have that agility.”

ROCKETMAN

Such a statement is bound to get the attention of SpaceX chiefs, who have long profited from their lucrative relationship with the U.S. military. SpaceX relies largely on government contracts, there being almost no civilian demand for many of its products, especially its rocket launches.

Musk’s company has been awarded billions of dollars in contracts to launch spy satellites for espionage, drone warfare and other military uses. For example, in 2018, SpaceX was chosen to blast a $500 million Lockheed Martin GPS system into orbit. While Air Force spokesmen played up the civilian benefits of the launch, such as increased accuracy for GPS devices, it is clear that these devices play a key role in global surveillance and ongoing drone wars. SpaceX has also won contracts with the Air Force to deliver its command satellite into orbit, with the Space Development Agency to send tracking devices into space, and with the National Reconnaissance Office (NRO) to launch its spy satellites. These satellites are used by all of the “big five” surveillance agencies, including the CIA and the NSA.

Thus, in today’s world, where so much intelligence gathering and target acquisition is done via satellite technology, SpaceX has become every bit as important to the U.S. war machine as more well-known companies like Lockheed Martin and Boeing. Without Musk’s company, the U.S. would not be able to carry out such an invasive program of spying and drone warfare around the world. Indeed, China is growing increasingly wary of this power, and is being advised to develop anti-satellite technologies to counter SpaceX’s all-seeing eye. Yet Musk himself continues to benefit from a general perception that he is not part of the system.

From its origins in 2002, SpaceX has always been extremely close to the national security state, particularly the CIA. Perhaps the most crucial link is Mike Griffin, who, at the time, was the president and COO of In-Q-Tel, a CIA-funded venture capital firm that seeks to nurture and sponsor new companies that will work with the CIA and other security services, equipping them with cutting edge technology. The “Q” in its name is a reference to “Q” from the James Bond series – a creative inventor who supplies the spy with the latest in futuristic tech………………………..

While at NASA, Griffin brought Musk in for meetings and secured SpaceX’s big break. In 2006, NASA awarded the company a $396 million rocket development contract – a remarkable “gamble” in Griffin’s words, especially as it had never launched a rocket before. As National Geographic put it, SpaceX, “never would have gotten to where it is today without NASA.” And Griffin was essential to this development. Still, by 2008, SpaceX was again in dire straits, with Musk unable to make payroll. The company was saved by an unexpected $1.6 billion NASA contract for commercial cargo services. Thus, from its earliest days, SpaceX was nurtured by government agencies that saw the company as a potentially important source of technology.

NUKING MARS & BACKING COUPS

Like Henry Ford, Musk went into the automobile business, purchasing Tesla Motors in 2004. And also like Henry Ford, he has shared some rather controversial opinions. In 2019, for instance, he suggested that vaporizing Mars’ ice caps via a series of nuclear explosions could warm the planet sufficiently to support human life. If this was done, it would arguably not even be his worst crime against space. During a 2018 publicity stunt, he blasted a Tesla into outer space using a SpaceX rocket. However, he did not sterilize the vehicle before doing so, meaning it was covered in earthly bacteria – microorganisms that will likely be fatal to any alien life they encounter. In essence, the car is a biological weapon that could end life on any planet it encounters.

NUKING MARS & BACKING COUPS

Like Henry Ford, Musk went into the automobile business, purchasing Tesla Motors in 2004. And also like Henry Ford, he has shared some rather controversial opinions. In 2019, for instance, he suggested that vaporizing Mars’ ice caps via a series of nuclear explosions could warm the planet sufficiently to support human life. If this was done, it would arguably not even be his worst crime against space. During a 2018 publicity stunt, he blasted a Tesla into outer space using a SpaceX rocket. However, he did not sterilize the vehicle before doing so, meaning it was covered in earthly bacteria – microorganisms that will likely be fatal to any alien life they encounter. In essence, the car is a biological weapon that could end life on any planet it encounters.

Musk also attracted attention when he appeared to admit that he worked with the U.S. government to overthrow Bolivian President Evo Morales in 2019…………………..  The new government quickly invited Musk for talks. When asked on Twitter point blank whether he was involved in Morales’ ouster, Musk responded, “We will coup whoever we want! Deal with it.”………………………..

WORLD’S RICHEST MAN, FUNDED BY TAXPAYERS

In addition to the billions in government contracts Musk’s companies have secured, they also have received similar numbers in public subsidies and incentives. Chief among these is Tesla, which benefits greatly from complex international rules around electric vehicle production. In a push to reduce carbon emissions, governments around the world have introduced a system of credits for green vehicles, whereby a certain percentage of each manufacturer’s output must be zero-emission vehicles. Tesla only produces electric cars, so easily meets the mark.

However, the system also allows Tesla to sell their excess credits to manufacturers who cannot meet these quotas. In a competitive market where each manufacturer needs to hit certain targets, these credits are worth their weight in gold, and net Tesla billions in profit every year. For example, between 2019 and 2021 alone, Stellantis, which owns the Chrysler, Fiat, Citroen and Peugeot brands, forked out nearly $2.5 billion to acquire Tesla U.S. and European green credits.

This bizarre and self-defeating system goes some way to explaining why Tesla is worth more by market cap than Toyota, Volkswagen, Mercedes-Benz, BMW, GM, Ford, Honda, Hyundai, Kia, and Volvo put together, despite not being even a top-15 car manufacturer in terms of units sold.

Musk’s company also received significant government backing in its early stages, receiving a $465 million low-interest loan from the Department of Energy in 2010, at a time when Tesla was on the rocks and its future was in doubt.

Like many giant companies, Tesla is able to play states off against each other, each job-hungry location bidding against the others to give the corporation as much free cash and tax incentives as possible. In 2020, for example, Austin gave Tesla more than $60 million in tax breaks to build a truck plant there.

This, however, was small fry in comparison to some of the deals Musk has signed. The State of New York handed Musk over $750 million, including $350 million in cash, in exchange for building a solar plant outside of Buffalo – a plant that Musk was bound to build somewhere in the United States. Meanwhile, Nevada signed an agreement with Tesla to build its Gigafactory near Reno. The included incentives mean that the car manufacturer could rake in nearly $1.3 billion in tax relief and tax credits. Between 2015 and 2018, Musk himself paid less than $70,000 in federal income taxes.

Therefore, while the 50-year-old businessman presents himself as a maverick science genius – an act that has garnered him legions of fans around the world – a closer inspection of his career shows he earned his fortune in a much more orthodox manner. First by being born rich, then by striking it big as a dot-com billionaire, and finally, like so many others, by feeding from the enormous government trough.

Perhaps more seriously though, SpaceX’s close proximity to both the military and the national security state marks it out as a key cog in the machine of U.S. empire, allowing Washington to spy, bomb or coup whoever it wants.

It is for this reason that so much of the hysteria, both positive and negative, over Musk’s ongoing purchase of Twitter is misplaced. Elon Musk is neither going to save nor destroy Twitter because he is not a crusading rebel challenging the establishment: he is an integral part of it.  https://www.mintpressnews.com/elon-musk-not-renegade-outsider-cia-pentagon-contractor/280972/

U.S. government high on the narcotic of ”Defense” spending – the war corporations love it !

April 30, 2022

 Exacerbating the dilemma are the close ties between the Washington establishment and the defense industry, which lobbies lawmakers and funds their campaigns.

Another problem is the so-called revolving door, wherein many defense officials tasked with overseeing procurement go on to work for companies in the private sector. In January, the Project On Government Oversight watchdog reported that over the past three years Lockheed Martin hired 44 former Pentagon officials, Raytheon and Northrop Grumman 24 each, Boeing at least 23, and General Dynamics eight.

A staggering $286 billion in US defense spending went to these five well-connected suppliers in 2019 and 2020, according to the report.

Biden’s Ukraine Arms-Buying Spree Boosts US Defense Industry Giants  https://www.urdupoint.com/en/world/bidens-ukraine-arms-buying-spree-boosts-us-d-1493247.html, Muhammad Irfan   April 06, 2022  WASHINGTON (UrduPoint News / Sputnik US defense contractors are raking in additional billions of Dollars as a direct result of President Joe Biden’s policy toward Ukraine, and stand to gain even more based on administration plans to bolster NATO while setting new military spending records.

After Russia launched its operation in Ukraine on February 24, the Pentagon‘s top five suppliers saw their stock prices rise – with three jumping by double digits in the first week, as investors on Wall Street anticipated a surge in weapons orders.

However, the spike began well before Russian forces entered Ukraine and in line with Washington‘s growing support for Kiev. For example, in the second week of January the US delivered about $200 million in security assistance to Ukraine just as lawmakers were set to introduce legislation for $200 million more.

In January, Raytheon chief Greg Hayes told investors on an earnings call that he fully expected to see the company benefit from the tensions in Eastern Europe with new international sales opportunities, a sentiment other contractors echoed, which has now become a reality. Since the beginning of the year, Lockheed Martin’s stock price rose by over 25 percent while Raytheon, Northrop Grumman, and General Dynamics each saw a spike of over 15%.

“War is excellent for business,” Australian global peace activist Helen Caldicott told Sputnik.

Javelin manufacturer Raytheon and Stinger supplier Lockheed Martin are especially ecstatic over the situation in Ukraine, added Caldicott, the founder of the Nobel Peace Prize-winning Physicians for Social Responsibility.

Former Pentagon analyst Chuck Spinney was surprised by neither the conflict itself, which he called a “predictable consequence” of NATO expansion, nor the US defense establishment’s reaction to it.

“It now has champagne corks popping in the Pentagon, in the defense industry, and in their wholly owned subsidiaries in Congress, think tanks, the intelligence apparatus, and the press,” Spinney told Sputnik.

US President Joe Biden has repeatedly boasted about the largess of security aid his administration has bestowed Ukraine, which now stands at $2.3 billion – 70 percent of which has been doled out within the past five weeks alone.

The weapons the Biden administration committed or delivered to Ukraine by mid-March included 1,400 Stinger anti-aircraft weapons,10,000 Javelin and AT4 shoulder-fired anti-tank systems, and 60 million rounds of ammunition, to name just a few of the big ticket items listed on a White House fact sheet. Thousands of other weapons in the packages include grenade launchers, rifles, pistols, machine guns, and shotguns – in addition to 100 tactical drones, 25,000 sets of body armor, and 25,000 helmets.

US allies are also giving defense contractors reason to celebrate. According to the White House, at least 30 countries have provided security assistance to Ukraine since the operation began.

Yet, even before current tensions, Ukraine for years had been a leading recipient of US military aid. Since 2014, the US has provided Kiev with a total of more than $4 billion in security assistance, including the aid authorized under Biden, according to a State Department fact sheet.

Meanwhile, the US troop presence in Europe has jumped from 60,000 to 100,000 following the start of the Ukraine conflict. And the US and its NATO allies have announced intentions to send even more to boost the alliance‘s “eastern flank.”

Spinney said understanding the internal political-economic causes of the US addiction to the narcotic of defense spending is at the heart of the problem.

Citing American strategic thinker John Boyd, Spinney said the strategy is simple: “Don’t interrupt the money flow, add to it.”

Sure enough, on March 28, the Biden administration submitted to Congress a budget request for 2023 that included $773 billion in spending for the Pentagon, a 4% increase from the previous year. Another $40 billion in defense-related spending through other agencies brings the total to $813 billion, which would represent a record level national security budget if approved.

Biden has asked Congress for nearly $7 billion to strengthen NATO and other European partners in order to counter Moscow, according to the White House. In addition, $682 million was requested for Ukraine security assistance, an increase of $219 million, which Biden said was meant to forcefully respond to Russia‘s “aggression” against Ukraine.

Nor is the next wave of weapons spending likely to stop there. Senior military commanders have already staked out the ground for further prodigal spending. On March 29, US European Command chief Todd Wolters in testimony to Congress said he suspected the Pentagon was “going to still need more.”

Only six days earlier, Republican lawmakers called for higher defense spending, saying that Russia‘s operation in Ukraine “has already left us and our NATO allies less secure.”

VICIOUS CYCLE, TWISTED INCENTIVES

The recent spending sprees, the experts said, are consistent with confrontational US policies – from the Cold War to the war on terrorism. Exacerbating the dilemma is the close ties between the Washington establishment and the defense industry, which lobbies lawmakers and funds their campaigns.

Another problem is the so-called revolving door, wherein many defense officials tasked with overseeing procurement go on to work for companies in the private sector. In January, the Project On Government Oversight watchdog reported that over the past three years Lockheed Martin hired 44 former Pentagon officials, Raytheon and Northrop Grumman 24 each, Boeing at least 23, and General Dynamics eight.

A staggering $286 billion in US defense spending went to these five well-connected suppliers in 2019 and 2020, according to the report.

Spinney, who once appeared on Time Magazine’s cover for highlighting reckless defense spending during the Reagan administration, said the “first” Cold War’s 40-year climate of fear was something then-Soviet Premier Mikhail Gorbachev tried to end. But successive US administrations were busy planting the seed money for a new generation of cold-war inspired weapons.

The former Pentagon analyst said President George W. Bush‘s Global War on Terror was the bridging operation that “greased the transition” to Cold War II by keeping defense budgets at Cold War levels.

The 9-11 terrorist attacks helped fuel a climate of fear, he added, that is now needed to sustain Cold War II for the remainder of the 21st Century

Caldicott said the consequences of those decisions have unleashed wars and suffering around the world anew over the past two decades.

“Since 2001, the US has spent $6.4 trillion on killing and destruction in 85 countries, murdering 801,000 people,” Caldicott said while noting that the stocks of the top five defense contractors outperformed the overall market by a whopping 58 percent.

To make matters worse, the peace activist added, all members of Congress received huge amounts of money from these “killing corporations.”

Ukraine war – a great opportunity Each new NATO country was a new customer for the weapons industry

April 30, 2022

“Lockheed began looking at Poland right after the wall came down,” veteran salesman Dick Pawlowski recalled. “There were contractors flooding through all those countries.” Arms makers became the most aggressive lobbyists for NATO expansion. The security umbrella was not simply a formidable alliance but also a tantalizing market.

New alliance members meant new clients. And NATO would literally require them to buy Western military equipment.

Arms Industry Sees Ukraine Conflict as an Opportunity, Not a Crisis,  Jonathan Ng, Truthout , 2 Mar 22,In February, a photograph of Russian President Vladimir Putin sitting hunched over a 13-foot table with French President Emmanuel Macron circulated the globe. News about their sprawling table and sumptuous seven-course dinner was reminiscent of a Lewis Carroll story. But their meeting was deadly serious. Macron arrived to discuss the escalating crisis in Ukraine and threat of war. Ultimately, their talk foundered over expansion of the North Atlantic Treaty Organization (NATO)

Yet the meeting was surreal for another reason. Over the past year, Macron, the leading European Union (EU) peace negotiator, has led an ambitious arms sales campaign, exploiting tensions to strengthen French commerce. The trade press even reported that he hoped to sell Rafale fighter jets to Ukraine, breaking into the “former bastion of Russian industry.”  

Macron is not alone. NATO contractors openly embrace the crisis in Ukraine as sound business. In January, Raytheon CEO Greg Hayes cited “tensions in Europe” as an opportunity, saying, “I fully expect we’re going to see some benefit.” Likewise, CEO Jim Taiclet of Lockheed Martin highlighted the benefits of “great power competition” in Europe to shareholders.  

On February 24, Russia invaded Ukraine, pounding cities with ordnance and dispatching troops across the border. The sonic boom of fighter jets filled the air, as civilians flooded the highways in Kyiv, attempting to flee the capital. And the stock value of arms makers soared.

The spiraling conflict over Ukraine dramatizes the power of militarism and the influence of defense contractors. A ruthless drive for markets — intertwined with imperialism — has propelled NATO expansion, while inflaming wars from Eastern Europe to Yemen.

Selling NATO

The current conflict with Russia began in the wake of the Cold War. Declining military spending throttled the arms industry in the United States and other NATO countries. In 1993, Deputy Secretary of Defense William Perry convened a solemn meeting with executives. Insiders called it the “Last Supper.” In an atmosphere heavy with misapprehension, Perry informed his guests that impending blows to the U.S. military budget called for industry consolidation. A frantic wave of mergers and takeovers followed, as Lockheed, Northrop, Boeing and Raytheon acquired new muscle and smaller firms expired amid postwar scarcity.

While domestic demand shrunk, defense contractors rushed to secure new foreign markets. In particular, they set their sights on the former Soviet bloc, regarding Eastern Europe as a new frontier for accumulation. “Lockheed began looking at Poland right after the wall came down,” veteran salesman Dick Pawlowski recalled. “There were contractors flooding through all those countries.” Arms makers became the most aggressive lobbyists for NATO expansion. The security umbrella was not simply a formidable alliance but also a tantalizing market. 

However, lobbyists faced a major obstacle. In 1990, Secretary of State James Baker had promised Soviet leader Mikhail Gorbachev that if he allowed a reunited Germany to join NATO, the organization would move “not one inch eastward.” Yet lobbyists remained hopeful. The Soviet Union had since disintegrated, Cold War triumphalism prevailed, and vested interests now pushed for expansion. “Arms Makers See Bonanza In Selling NATO Expansion,” The New York Times reported in 1997. The newspaper later noted that, “Expansion of the North Atlantic Treaty Organization — first to Poland, Hungary and the Czech Republic and then possibly to more than a dozen other countries — would offer arms makers a new and hugely lucrative market.”

New alliance members meant new clients. And NATO would literally require them to buy Western military equipment.

Lobbyists poured into Washington, D.C. fêting legislators in royal style. Vice President Bruce Jackson of Lockheed became the president of the advocacy organization U.S. Committee to Expand NATO. Jackson recounted the extravagant meals that he hosted at the mansion of the Republican luminary Julie Finley, which boasted “an endless wine cellar.”

“Educating the Senate about NATO was our chief mission,” he informed journalist Andrew Cockburn. “We’d have four or five senators over every night, and we’d drink Julie’s wine.”

Lobby pressure was relentless. “The most interested corporations are the defense corporations, because they have a direct interest in the issue,” Romanian Ambassador Mircea Geoană observed. Bell Helicopter, Lockheed Martin, and other firms even funded Romania’s lobbying machine during its bid for NATO membership……………… https://truthout.org/articles/arms-industry-sees-ukraine-conflict-as-an-opportunity-not-a-crisis/?eType=EmailBlastContent&eId=734c56bc-48da-4e66-bea1-f2bedb7d1431

”Infinite war” – NATO and U.S. weapons industry found the perfect sales opportunity in Yemen

April 30, 2022

Arms Industry Sees Ukraine Conflict as an Opportunity, Not a Crisis,  Jonathan Ng, Truthout , 2 Mar 22,

In the United States, the industry employs around 700 lobbyists. Nearly three-fourths previously worked for the federal government — the highest percentage for any industry. The lobby spent $108 million in 2020 alone, and its ranks continue to swell. Over the past 30 years, about 530 congressional staffers on military-related committees left office for defense contractors. Industry veterans dominate the Biden administration, including Secretary of Defense Lloyd Austin from Raytheon.  

”’………………….Yemen Burning

Arms makers found the perfect sales opportunity in Yemen. In 2011, a popular revolution toppled Ali Abdullah Saleh, who had monopolized power for two decades. His crony, Abdu Rabbu Mansour Hadi, became president the next year after easily winning the election: He was the only candidate. Thwarted by elite intrigue, another uprising ejected Mansour Hadi in 2015.

That year, Prince Salman became king of Saudi Arabia, but power concentrated into the hands of his son, Mohammed bin Salman, who feared that the uprising threatened to snatch Yemen from Saudi Arabia’s sphere of influence.

Months later, a Saudi-led coalition invaded, leaving a massive trail of carnage. “There was no plan,” a U.S. intelligence official emphasized. “They just bombed anything and everything that looked like it might be a target.”

The war immediately attracted NATO contractors, which backed the aggressors. They exploit the conflict to sustain industrial capacity, fund weapons development and achieve economies of scale. In essence, the Saudi-led coalition subsidizes the NATO military buildup, while the West inflames the war in Yemen.

Western statesmen pursue sales with perverse enthusiasm. In May 2017, Donald Trump visited Saudi Arabia for his first trip abroad as president, in order to flesh out the details of a $110 billion arms bundle. His son-in-law, Jared Kushner, arrived beforehand to discuss the package. When Saudi officials complained about the price of a radar system, Kushner immediately called the CEO of Lockheed Martin to ask for a discount. The following year, Mohammed bin Salman visited company headquarters during a whirlwind tour of the United States. Defense contractors, Hollywood moguls and even Oprah Winfrey welcomed the young prince Yet the Americans were not alone. The Saudi-led coalition is also the largest arms market for France and other NATO members. And as the French Ministry of the Armed Forces explains, exports are “necessary for the preservation and development of the French defense technological and industrial base.” In other words, NATO members such as France export war in order to retain their capacity to wage it.


President Macron denies that the coalition — an imposing alliance that includes Saudi Arabia, Egypt, Jordan, the United Arab Emirates, Kuwait, Bahrain, Qatar, Sudan and Senegal — uses French weapons. But the statistics are suggestive. Between 2015 and 2019, France awarded €14 billion in arms export licenses to Saudi Arabia and €20 billion in licenses to the United Arab Emirates. CEO Stéphane Mayer of Nexter Systems praised the performance of Leclerc tanks in Yemen, boasting that they “have highly impressed the military leaders of the region.” In short, while Macron denies that the coalition wields French hardware in Yemen, local industrialists cite their use as a selling point. Indeed, Amnesty International reports that his administration has systematically lied about its export policy. Privately, officials have compiled a “very precise list of French materiél deployed in the context of the conflict, including ammunition.” 
Recently, Macron became one of the first heads of state to meet Mohammed bin Salman following the assassination of journalist Jamal Khashoggi. Like Trump’s trip, Macron’s diplomatic junket was a sales mission. Eventually, Macron clinched a deal with the United Arab Emirates for 80 Rafale fighters. The CEO of Dassault Aviation called the contract “the most important ever obtained by French military aerospace,” guaranteeing six years of work for a pillar of its industrial base. 


French policy is typical of NATO involvement in Yemen. While denouncing the war, every Western producer has outfitted those carrying it out. Spanish authorities massage official documents to conceal the export of lethal hardware. Great Britain has repeatedly violated its own arms embargo. And the United States has not respected export freezes with any consistency. 


Even NATO countries in Eastern Europe exploit the war. While these alliance members absorb Western arms, they dump some of their old Soviet hardware into the Middle East. Between 2012 and July 2016 Eastern Europe awarded at least €1.2 billion in military equipment to the region. 


Ironically, a leading Eastern European arms exporter is Ukraine. While the West rushes to arm Kyiv, its ruling class has sold weapons on the black market. A parliamentary inquiry concluded that between 1992 and 1998 alone, Ukraine lost a staggering $32 billion in military assets, as oligarchs pillaged their own army. Over the past three decades, they have outfitted Iraq, the Taliban and extremist groups across the Middle East. Even former President Leonid Kuchma, who has led peace talks in the Donbas region, illegally sold weapons while in office. More recently, French authorities investigated Dmytro Peregudov, the former director of the state defense conglomerate, for pocketing $24 million in sales commissions. Peregudov resided in a château with rolling wine fields, while managing the extensive properties that he acquired after his years in public service.  

The Warlords

Kuchma and Peregudov are hardly exceptional. Corruption is endemic in an industry that relies on the proverbial revolving door. The revolving door is not simply a metaphor but an institution, converting private profit into public policy. Its perpetual motion signifies the social reproduction of an elite that resides at the commanding heights of a global military-industrial complex. Leading power brokers ranging from the Mitterrands and Chiracs in France, to the Thatchers and Blairs in Britain, and the Gonzálezes and Bourbons in Spain have personally profited from the arms trade.

In the United States, the industry employs around 700 lobbyists. Nearly three-fourths previously worked for the federal government — the highest percentage for any industry. The lobby spent $108 million in 2020 alone, and its ranks continue to swell. Over the past 30 years, about 530 congressional staffers on military-related committees left office for defense contractors. Industry veterans dominate the Biden administration, including Secretary of Defense Lloyd Austin from Raytheon.  

The revolving door reinforces the class composition of the state, while undermining its moral legitimacy. As an elite rotates office, members insulate policymaking from democratic input, taint the government with corruption and mistake corporate profit with national interest. By 2005, 80 percent of army generals with three stars or more retired to arms makers despite existing regulations. (The National Defense Authorization Act prohibits top officers from lobbying the government for two years after leaving office or leveraging personal contacts to secure contracts. But compliance is notoriously poor.) More recently, the U.S. Navy initiated investigations against dozens of officers for corrupt ties to the defense contractor Leonard Francis, who clinched contracts with massive bribes, lavish meals and sex parties. 

Steeped in this corrosive culture, NATO intellectuals now openly talk about the prospect of “infinite war.” Gen. Mike Holmes insists that it is “not losing. It’s staying in the game and getting a new plan and keeping pursuing your objectives.” Yet those immersed in its brutal reality surely disagree. The United Nations reports that at least 14,000 people have died in the Russo-Ukrainian War since 2014, and over 377,000 have perished in Yemen.

In truth, the doctrine of infinite war is not so much a strategy as it is a confession — acknowledging the violent metabolism of a system that requires conflict. As a self-selecting elite propounds NATO expansion, military buildup and imperialism, we must embrace what the warlords most fear: the threat of peace.The author would like to thank Sarah Priscilla Lee of the Learning Sciences Program at Northwestern University for reviewing this article.  https://truthout.org/articles/arms-industry-sees-ukraine-conflict-as-an-opportunity-not-a-crisis/?eType=EmailBlastContent&eId=734c56bc-48da-4e66-bea1-f2bedb7d1431

Largest increase in the UK nuclear liability regime for 50 years 

April 30, 2022

Largest increase in the UK nuclear liability regime for 50 years take, https://www.jdsupra.com/legalnews/largest-increase-in-the-uk-nuclear-6038616/, 21 Jan 22,  As we flagged last year in this note, the 2004 Protocols updating the Paris Convention and Brussels Convention have finally been ratified. This is likely the biggest increase in the international nuclear liability regime for decades, and has global impact.

In the UK this means that the Nuclear Installations (Liability for Damage) Order 2016 came into effect on 1 January 2022. This immediately increases the liability cap of nuclear operators in the UK from £140m to €700m (approx. £585m), with those caps increasing annually over the next five years to €1.2bn (approx. £1bn). The UK also now has a new operator duty of care not to cause significant impairment to the environment, new categories of compensation for which an operator will be liable (including loss of profit in some instances), and material extensions to the geographical scope covered by the regime (e.g. now including the Republic of Ireland).

The extension of the limitation period for personal injury to 30 years from the date of the incident is likely the one with the largest impact after it became clear last year that insurance would not be available to cover the full period, at least for the time being. The UK Government instead stepping in and indemnifying operators to cover the insurance gap using the powers granted to the Secretary of State under the amended Nuclear Installations Act 1965.

Similar changes to the liability regime in certain other European and Scandinavian signatory countries should also have taken effect.

Please see our detailed note on the topic here for further information.

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Issue for The Australian Radiation Protection and Nuclear Safety Agency (ARPANSA): IS ANSTO’s NUCLEAR REACTOR VIABLE?

December 26, 2021

ISSUES FOR URGENT RESOLUTION BY ARPANSA
The Australian Radiation Protection and Nuclear Safety Agency (ARPANSA) is the national regulator of all federal government aspects of nuclear and radiation sources and activities with the prime objective of protecting and keeping safe the nation’s population and environment from the harmful effects of radiation and other nuclear pursuits.

In its regulatory role ARPANSA will shortly have to address issues linked to nuclear waste and collectively are probably the most important and significant situation that has had to be dealt with by ARPANSA since its foundation over twenty years ago

ANSTO VIABILITY
The first is the need for ARPANSA to obtain an independent andcomprehensive assessment and report on the proposed increased
production of nuclear medicine by reactor generation by the AustralianmNuclear Science and Technology Organisation (ANSTO) at its Lucas Heights precinct

The reason behind this is that ANSTO is relying on its production of nuclear medicine as the mainstay of its activities and intends to become a major international producer and exporter of reactor generated nuclear medicine.

However this appears to be a misconceived and purposeless intention since nuclear medicine generated by reactor isotopes is in significant decline throughout the world due to its dangerous inherent state in being used in medical diagnosis and treatment

There is a world wide turning away by the medical profession from using reactor generated nuclear medicine because of its sever danger to patients coupled with its extremely high production costs.

More alternatives to this form of nuclear medicine are already extensively used as they are far safer and pose little risk to patients and additionally are much cheaper to produce with the involvement of major international drug companies

ARPANSA should seek the independent and expert assessment and review of the proposal and intentions by ANSTO as part of the licensing process for the increased storage facility for nuclear waste at Lucas Heights recently proposed by ANSTO

The assessment and review must include a financial examination to determine commercial and economic viability of the activities and proposals by ANSTO as this is an essential ingredient of the qualifications for the licence for the increased storage capacity

Since the suitably qualified experts for the assessment are not in Australia (as in any case this could create a conflict situation) ARPANSA will need to rely on and engage the highly qualified experts in this field available
from overseas

From the general tenor and prescriptions of the Australian Radiation Protection and Nuclear Safety Act 1998 and applicable regulations – which are referred to as the enabling legislation – it seems quite certain that the commercial and financial aspects must be included by ARPANSAin considering an application for a licence

This should be even more imperative since the funds sought by ANSTO for the increased storage capability at Lucas Heights are being provided by the federal government which is in direct and colloquial terms taxpayers’ money and it is an obligation of the government to protect public revenue and expenditure

There has never been any publicly released information by ANSTO on the financial aspects of the production and sale of its nuclear medicine but as justification for the production ANSTO has relied on the emotivearguments that in their lifetime everyone has or will have a need for nuclear medicine.

ANSTO claims that it has given to the government a recently commissioned independent study into future nuclear medicine supply in Australia and this study should be given to ARPANSA with all supporting information for assistance for its assessment and review as part of the licensing process.