Russia 111207

Basic Political Developments

·  Medvedev to raise missile defense and Temelín during state visit - “I don’t want to go deeper into these questions now, but time will be given for the discussion of this issue during talks,” Russia’s ambassador to the Czech Republic, Sergei Kiselyov, told ČTK, referring to NATO’s plans to build an anti-missile defense system (AMD) in Europe. Kiselyov added that Moscow’s position on AMD in Europe is “well known” in Prague.

o  Russia, Czech Republic to set up joint nuclear energy venture - One of the main topics at the talks in Prague will be the bid by the Rosatom-led Russian-Czech consortium to build two new reactor blocks at Temelín NPP. The draft proposal by the consortium meets the highest safety requirements and includes solutions based on lessons of the Fukushima tragedy.

o  Medvedev To Talk Trade In Prague

·  Russia starts implementing new missile defense policy - The Russian armed forces have begun implementing military-technical measures outlined voiced by President Dmitry Medvedev in response to the deployment of the US missile defense system in Europe, General Staff Chief Gen. Nikolay Makarov has said.

o  General Staff: Russia does not want an arms race, but its push for this
NATO distance itself from cooperation on Russia-sponsored initiatives – Rogozin

·  Russia seeks balance of interests in cooperation with NATO

o  NRC will not discuss plans for Russia-NATO summit in Chicago – Rogozin

o  NATO assists assertion of radical political Islam – Rogozin

o  'NATO behind spread of radical Islam' - “NATO’s political and military interference in the Arab spring may bring about a ‘hot Arab summer’, with a whole range of consequences for neighboring regions,” Dmitry Rogozin told Interfax ahead of Thursday’s Russia-NATO Council ministerial meeting.

o  Pragmatism should dominate Russia-NATO relations – Rogozin

o  NATO will not be able to be silent on Medvedev's missile defense statement – Rogozin

o  Dmitry Rogozin expects new aggravation in Africa and Middle East

·  NATO allies meet amid tensions with Russia - They will then meet with Russian Foreign Minister Sergei Lavrov on Thursday to tell him the missile shield will go ahead but that NATO still wants to negotiate a cooperation deal with Moscow, alliance diplomats said.

·  Venezuela’s relations with Russia strategically important – Chavez: At a news conference on Tuesday he said Executive Vice President, Elias Jaua Milano, will lead the Venezuelan delegation to the eighth meeting of the high-level intergovernmental commission that opens in Moscow on Wednesday.

·  Russia, Denmark to boost bilateral relations - The elections to the lower house of Russian parliament, problems in the Arctic, Denmark’s upcoming EU presidency and the situation in Syria were high on the agenda of the talks between Russian and Danish foreign ministers Sergei Lavrov and Villy Sovndal.

·  Russia has no plans to join oil embargo on Iran – Shmatko

o  Russia rejects Iran oil ban - "It is quite obvious that this decision is based on some political motivation ... In these situations we try to be as neutral as possible," Sergei Shmatko told reporters on the sidelines of the World Petroleum Congress.

·  RF African envoy hopes new Libyan govt will be able to impose order

·  Moscow ready to send observers to Syria – FM

·  Bogdanov: Russia Rejects Foreign Military Intervention in Syria, Supports Comprehensive Dialogue

·  EU concerned about Russian election - The European Union's foreign policy chief said she was seriously concerned about media bias and the harassment of independent monitors during Sunday's parliamentary election in Russia, in which Prime Minister Vladimir Putin's ruling United Russia party suffered a sharp decline in support but won a slim majority in the lower house.

·  Lavrov rebukes Clinton’s use of OSCE to criticize Russia

o  ‘US pins labels:’ Russia slams Clinton over election criticism

·  PM Manmohan eyes N-deal in Russia trip despite TN stir - The first two reactors of the Kudankulam nuclear power project may not be commissioned, as scheduled, before the PM's three-day visit to Russia beginning December 15 in the face of public protests, but the two countries are holding intense negotiations to sign contracts for the third and fourth reactors at the site during Manmohan Singh's trip.

·  Moldova looking to extend gas supply contract with Gazprom - Moldova will request Russia's gas giant Gazprom to extend the term of the current natural gas supply contract for three or even six months, so that it does not expire on December 31, 2011, the country's Economy Minister Valery Lazar told reporters.

·  Amid Court Claims, Russia Offers 'Unique Bargain' for Bulgarian Belene NPP - "Taking into account the raging economic crisis in Europe, we have made a very attractive proposal for Belene. It is hard to believe that we will ever make such a unique proposal to another country," said Komarov as reported by the Bulgarian National Radio Tuesday.

·  Russian task force goes on mission in Atlantic, Mediterranean - Russia’s Chief of the General Staff, Gen. Nikolai Makarov, said in November that the mission had been scheduled long time ago and is not connected to the current political crisis in Syria.

·  Russian arms trader to raise exports by 11% in 2011 - “The figures will rise by about $1 billion compared to 2010,” said Viktor Komardin, who is also heading a Russian delegation to the LIMA-2011 arms show in Malaysia.

o  Russia to sell six Su-30 fighter jets to Indonesia – paper

o  Russia to sell two more Gepard ships to Vietnam

o  Russia opens service centers in Sri Lanka - Russia plans to open maintenance centers in Sri Lanka to service Soviet or Russian-made military equipment, a Rosoboronexport high-ranking official said.

·  Why Are Burmese Scientists Studying Missile Technology in Moscow?

·  Russia sends humanitarian aid to Kosovo Serbs - A 40-truck convoy will deliver blankets, power generators, furniture and food supplies, the ministry said in a statement on Tuesday.

o  Russia's EMERCOM to send humanitarian aid convoy to Kosovo Wed

·  The largest Russian military base is located in Otobaya village of Gali district - As news agency Pirveli was informed from the village of Otobaya of the Gali district, the base has been operating for 2-3 months and Russian militaries settled there a long time ago.

·  Irkut aircraft builder to sell 55 Yak-130 fighter trainer aircraft to Russian defence ministry

·  Russian ambassador hands medals to Kazakhstan’s Afghan War participants

·  Medvedev to accept credentials of 15 new Ambassadors to the RF Wed - The following Ambassadors Extraordinary and Plenipotentiary will be Wednesday's guests in the Grand Kremlin Palace: Riyad Haddad of Syria, Ali Gutali of Tunisia, Timothy Earle Barrow of the United Kingdom, Andrei Kobyakov of Belarus, Luis Felipe Fernandez de la Pena of Spain, Pierre Alois Joseph Ferring of Luxembourg, Albert Jonsson of Iceland, Joaquim Augusto de Lemos of Angola, Hashim Hassan Al Bash of Bahrain, Rafael Francisco Amador Campos of Colombia, Mohamed Keita of Guinea, Mario Fernandez Silva of Costa Rica, Seko Intchasso of Guinea-Bissau, Thieng Boupha of Laos, and Abdi Ibrahim Absieh of Djibouti.

·  About 600 people detained for unauthorized action in Moscow - “The police detained 569 people for the attempt at an unauthorized rally on the Triumfalnaya Square. No serious violations were reported,” the source said.

o  Russian human rights adviser criticizes police crackdown on protesters

o  Court to consider legality of Navalny and Yashin’s arrests

o  Russian opposition promises new rallies over election - A group "for honest elections" said on its Facebook page that a new demonstration would take place in central Moscow on Saturday afternoon. More than 5,000 members of the Facebook group have already promised to attend. Another social networking group, calling itself "Against the party of swindlers and thieves" – the opposition's slogan for United Russia – said protests would now take place every day at 7:00pm local time.

o  Kremlin Backers Challenge Protesters - Putin Plays Down Election Setback as Pro-Government Rally Attempts to Overwhelm Opposition

o  Election Observer In Tatarstan Reports Vote Rigging

o  Moscow militia releases arrested Rustavi2 cameraman

·  Boeing overruns runway at Nizhny Novgorod airport

o  No one hurt in plane incident in Nizhny Novgorod

·  Russia May Allow Cabotage by Foreign Airlines, Vedomosti Reports - Russia may allow foreign airlines to fly domestic routes, so-called “cabotage,” in response to a request from Kontinental Hockey League clubs, Vedomosti reported today, citing government documents.

·  Russian skinheads beat Armenian to death

·  Caucasus resorts free from taxes

·  Moscow customs official suspected of taking large bribe

·  Ex mayor assures his wife will report for questioning

·  Russian Press at a Glance, Wednesday, December 7, 2011

·  Update requested - Experts summarize election results Andrey Semenov

·  Surkov and Prokhorov Spin Election - Kremlin spinmaster Vladislav Surkov has weighed inon theDuma elections ina rare interview, denying reports ofwidespread fraud but also proposing anew party for"angry urban communities."

·  Putin May Co-opt Growing Duma Opposition to Smooth Kremlin Bid

·  Can Russia's Communist Party Make A Comeback?

·  Viewpoint: Are post-poll protests a Russian Spring? - By Konstantin von Eggert Kommersant FM

·  From Putin’s Project to a Sovereign Russia: Maxim Trudolubov

·  This Could Be Putin's Last Election - By Yulia Latynina

·  Russia Faces New Air-Safety Crisis - Russia, once a global aviation power, has become the most dangerous country in which to board an airliner.

·  Russian Aviation Agency Official, Interview Excerpts

·  Afghanistan will benefit from saffron, not opium poppy – but that won’t happen tomorrow - talks about Russian-Afghan business cooperation and new ways of combating drug-rafficking Konstantin Volkov

·  Missile Defense Spat - A New Arms Race Looms between Russia and US. By Matthias Schepp

·  U.S.-Russia pact on warheads halts misuse of nuclear materials - By Lynn Edward Weaver

·  Guest post: Russia needs the Brics - By Sergei Karaganov

·  Russian maps suggest Soviet subs cruised Canadian Arctic

National Economic Trends

·  Political risks drive ruble down, Russian stocks mixed

·  Economy leans left - Opposition’s gains in Duma to translate into higher social spending

·  One ruble each: Russia sells off state-owned companies - Called “Strategy 2020”, the program primarily aims to reduce the government's involvement in the business and economic infrastructure.

Business, Energy or Environmental regulations or discussions

·  Russia Stocks Drop Most in 2 Weeks on Moscow Troop Patrols, S&P

·  06.12.2011/FOCUS: Russia puts measures to prevent grid executives from owning power sales

·  Sberbank may offload state stake in 2012

·  FTSE MAKES ROOM FOR MORE RUSSIAN MINERS

·  Russia's Dixy Q3 net profit at 293 mln rbls, below fcast

·  KamAZ forecasts main operations to expand 30% in 2011

·  Rusnano and Nippon Sheet Glass form $397 mln JV

·  Norilsk Nickel buys back $4.5bn worth of shares

·  Mechel Falls in Moscow After Suspending Two Mines on Safety

·  Dependence day for Russian mobile retailer

·  Russians See U.S. As Land Of Start-Up Funding, Investment Opportunity

·  If State Builds It, Foreign Investors Will Come - As if tax relief isn't alluring enough, thegovernment's Special Economic Zones now offers new services tonet international firms.

·  Forum to explore Russian agribusiness - government and business leaders from the U.S. and Russia gather at the Hilton in downtown Omaha for a one-day Russia Agribusiness Forum.

Activity in the Oil and Gas sector (including regulatory)

·  Nord Stream restores gas supplies to Europe

·  LUKOIL qualifies to bid for Norway oil licenses

·  Watchdog Checks Rosneft

·  PetroNeft completes Lineynoye fracking

·  Russia embraces Asian energy demand - Russia’s authorities hope that these new provinces will allow production to plateau at today’s levels for the next ten years.

Gazprom

·  Checks of Gazprom subsidiaries were objective - Mr Gunther

·  Wintershall Sees North Sea Asset Swap With Gazprom Next Year

·  Gazprom Neft may enter Elephant after force majeure lifted

·  Shale gas makes Statoil uncertain about Shtokman

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Basic Political Developments

Medvedev to raise missile defense and Temelín during state visit

http://www.ceskapozice.cz/en/news/foreign-affairs/medvedev-raise-missile-defense-and-temelin-during-state-visit

Missile defense will be discussed during DmitryMedvedev’s visit to Prague, but trade – mainly the Temelín tender – tops the agenda

Tom Jones | 06.12.2011 - 18:26

US-led NATO plans to build an anti-missile defense system in Europe, the European financial crisis, EU-Russia relations, and the Arab uprisings are among the issues that Russian President Dmitry Medvedev wants to discuss while in Prague, the ČTK news agency reported Tuesday, citing the Russian ambassador to the Czech Republic. Nevertheless, trade relations are expected to dominate talks.

“I don’t want to go deeper into these questions now, but time will be given for the discussion of this issue during talks,” Russia’s ambassador to the Czech Republic, Sergei Kiselyov, told ČTK, referring to NATO’s plans to build an anti-missile defense system (AMD) in Europe. Kiselyov added that Moscow’s position on AMD in Europe is “well known” in Prague.

Under the presidency of George W. Bush, the US drew up plans to establish an AMD system in Europe, ostensibly to counter potential threats from “rogue states” including Iran and North Korea, with anti-missile rockets to be based in Poland and an early warning radar system in the Czech Republic. The plans were fiercely opposed by the Russian leadership which claimed the system was also intended to neutralize Russia’s missile arsenal.

The US plans led to deterioration not only of US-Russia relations, but also of Moscow’s relations with Prague and Warsaw. Soon after taking office, US President Barack Obama announced that Washington was scrapping the AMD plan, which led to a certain détente in bilateral relations and paved the way for the New START treaty, signed in Prague by Obama and Medvedev in April 2010.

AMD cooperation in impasse

At the NATO summit in Lisbon in November 2010, NATO provisionally approved plans to build a revised AMD with a degree of cooperation with Russia. Moscow has proposed building a joint NATO–Russia AMD system, but the US and NATO rejected the idea.

The US and NATO partners have, without Russian involvement, forged ahead with plans for a revised AMD system in Europe which NATO claims will be should be able to respond to potential threats from the Middle East. The US has reached provisional agreements with Turkey, Spain, Poland and more recently Romania on hosting parts of the planned system which will include mobile seaborne elements.