holonics
The Big Picture

body

mind

spirit

About
Astraea

Holonics

Library

Blog

Courses

Astraea News and Views
August 2006

• Perspective
• Geopolitics * Risk and terror
• Energy * Climate Change
• IT
• Integral systems and LOHAS
• Activities and Media
• For investment and trade notes see GRI Equity Review

Perspective

In August, the embarrassment of Lebanon and the drama of terror suspect arrests in connection with flights at UK airports drew attention once again to the interconnected nature of our world.  Globalisation of humanity is a natural progression as we grow in prosperity and intelligence.  But that is surely being tested by our willingness to wage war.

What is the cost of war?  It seems that the investment in arms and training, the damage to prosperity locally, the deaths and the devastation must result in some benefit.  It is not the alleviation of terror - that increases as we hype ourselves into melodramatic trauma.  It is not democracy - that may not even be what some states want and the role models are tarnished.  Is it freedom?  Or just the opportunity to join the modern world?  Perhaps so, but there are small groups that benefit. As well as a general economic vitalisation being a common side effect of waging war, war enriches some.  Defence spending has doubled in 5 years, having hardly grown in the previous 10.  Oil companies are raking in the cash. Especially if you're winning; hearts at least.  Doesn't that mean the country that sues for war is obliged to a higher moral standard?  The conflict of interest demands that war can only be in self-defence.  Once you move beyond your borders, people of good character demand an extraordinary ethic.  It is not good enough simply to know better, to be "right".  Parents and teachers always know better, yet the good ones nurture using experience as a tool, but safely.  And the bad ones are those conjured up by Charles Dickens, The Wall (Pink Floyd) and, unfortunately, ourselves today in the Middle East.

It seems that America needs our support, even our love.  It is emotionally torn between loyalty and pride, virtue and hubris.  It is a beautiful country with an important history and a diverse culture.  It has been born from the pains of liberty from Independence to Emancipation, but now needs to go all the way.  It is great for business, but failing on politics and ethics, despite the love of the people.  It has allowed the world to operate with two sets of rules; one for America and one for everyone else.  That is not right. The culture of competitiveness must give way to one of cooperation soon.  It is not appropriate to "win".  America must instead "do it right".

Where is the common sense?   We keep talking about war - a war on terrorism.  Yet we perpetuate terror in fighting terrorists, as the Israeli debacle in Lebanon showed most recently.  We must change the language of politics.  We must sue for peace not war.  A Peace on Terrorism doesn't fit well in one's mouth, but it sits comfortably in one's mind for that is what we truly want: peace.  And we need to reduce terror by bringing peace, not war.  War is a vicious spiral of degradation.  Peace is a virtuous spiral of well-being. Our world today can only survive in peace.

Top

Geopolitics

August was busy in the world of global politics as the quagmire in the Middle East thickens.  Outrage spread from Iraq, which now faces an American troop withdrawal, to Lebanon, which remains at a standstill despite a ceasefire (though the sea blockade has not lifted), and now Iran is at the top of America's hit list.

Israel continued its incursion and bombardment of Lebanon.  A cease-fire was eventually reached and is now being implemented.  The history of this invasion will not look good.  America and others of us in the west demonstrated before the world yet again that we have double standards.  America and Europe stood by while civilians were killed in an illegal war; an invasion that contravened international standards and laws.  As in Iraq, it was waged under false pretence yet we stood by watching, like townspeople watching bullying, a stoning or a guillotining.  We have not yet the courage to stand up for what is right.  And whatever the history of the Middle East, violence by nations has no place in our world; peace is the only ethical option.

America has made a gesture to rebuild Lebanon, but it will hardly make up up for what has been lost - and will certainly not repair the image of America. Bush announced that the US is to boost its aid package to Lebanon to $ 230 million.  It includes 25,000 tonnes of wheat, $ 42 million to help equip the Lebanese army, and assistance in clearing an oil slick from a bombed power station.The new US aid package adds to a previous pledge of $ 50 million.The money would be used to help rebuild Lebanese homes and infrastructure.   The US has said it would help with logistical support, intelligence and command and control, but it is not contributing troops.  A UN resolution calls for 15,000 troops to be deployed to uphold the ceasefire, but some countries have offered fewer troops than expected and others have not yet made firm commitments.

But America can not rebuild its moral authority.  It appears that America was more than complicit in the planned invasion of Lebanon by Israel. The Bush Administration, despite global opinion that Israel was using force "disproportionately" and illegally targeting innocent civilians, turned a blind eye and fast tracked more military deliveries to Israel. During the Bush administration, from 2001 to 2005, Israel has received $ 10.5 billion in foreign military financing (the Pentagon¹s biggest military aid program) and $ 6.3 billion in US arms deliveries.  And it appears that Bush and officials participated in planning an attack on Lebanon earlier in the year - see The New Yorker and Global Research.

And what of Iran?  The relevant history of this story is that in 1953 Iran was a democracy under Mohammad Mossadegh, but this was aborted by the US and the UK with his overthrow. The US and UK then imposed and supported the dictatorial monarchical rule of Mohammad Reza Pahlavi as shah of Iran until he was finally overthrown by the Iranian people in 1979. The post-1979 Islamic regime may be better or worse than that of the shah but the current regime was chosen by the Iranian people.  Bush sermonises on democracy and freedom so should own up to the sorry history, apologise and show some sensitivity for a people of great culture.As Professor Jean-Pierre Lehmann notes, The Mossadegh affair is one example out of so many in the Middle East where history lives on (as it does between Japan and China and Korea) and determines the present and the future, because the past has not been properly addressed.  An apology and respect will be infinitely more effective than sanctions, let alone warfare.

Iran's deadline to stop uranium enrichment passed without compliance and America, the UK and others are calling for sanctions.  But Iran was treated poorly, simply in the arrogant way the request was made but also in that no reassurances nor compensation have been offered.  Tact is especially needed when the Iranian government prospers with high oil revenues as prices are high.  It is unfortunate, or intended, that the US and cohorts designed such a deadline because it has created an atmosphere of conflict, rather than cooperation, which is more difficult to manage.  While the US may want to embark upon further imperial geopolitical policy it is not in the interests of Americans or anyone else.  In fact, by isolating Iran it tends to raise the incentives to fight in the marketplace or battlefield, neither of which is helpful to the emergence of Iran as a developed democracy.  The West's track record in the middle east is poor.  In Iran, democracy was brought down and a monarch installed by the West!  Across the region millions of people, including a large proportion of children, have been killed because of Western policy or action - Lebanon and Iraq are today's most visible tragedies.  Let us hope we do not add Iran to the list.

Iran may have lied in the past and be expected to continue to do so.  But there is no positive role model in this regard - the US, the biggest nuclear weapons power - has lost its moral high ground with repeated unethical behaviour, dishonesty and double standards - from Abu Gharib to Guantanamo from Iraq to Lebanon from oil to carbon.  Iran is home to a rich culture and ancient traditions yet gets no respect in from the international community.  The situation can only deteriorate in this atmosphere.   A timely and appropriate apology from the US for destroying democracy in 1953 would be a big step to setting the right tone for discussions.

It is difficult in America today.  The country is split down the middle, liberal vs conservative, blue vs red, and people have not the time nor energy to seek a reasoned position.  Bi-polar attitudes are convenient and accepted.  Engendered by the competitive American culture which is home to such rich society, the emotional pain is hidden.  The hearts of Americans everywhere are in the right place - you can tell that by seeing the passion at public gatherings, but the connection between heart and action is confused.  Lou Dobbs of CNN tell us why it is Good to be a Superpower.  It is not easy to do the right thing as America shows us.  With all its wealth and connections, leading education and technology, it is failing to slow the spread of violence in the world.  In fact it seems to be getting worse as millions of people, whole societies are insulted and excluded; last month it included Lebanon, Iran and as a consequence other countries in the Middle East.

China's emerging relationship with Africa, and particularly with sub-Saharan Africa (SSA), is gaining analytical interest, both for its economic and its geopolitical dimensions.  Oxford Analytics offers valuable insights:

• At one extreme, China is seen not merely as the source of great opportunity for Africa, but as a 'white knight' promising to liberate the continent from the last vestiges of domination by Western (including World Bank/IMF) neo-colonialism.

• The alternative view is that, despite some obvious benefits, China's engagement with Africa threatens to undermine development efforts: in the extreme, that Africa is laying itself open to a new form of economic -- and even political -- imperialism.

China's demand for raw materials and its global export drive are having both positive and negative consequences for Africa. However, the balance of benefits and costs arising from the various impacts -- direct and indirect, competitive and complementary -- has yet to be definitively determined, partly for lack of data and partly because of the rapidly evolving nature of the relationship. Moreover, there may be negative implications for economic governance.

Top

Risk and Terror

If you wish to reopen your eyes to some of the terror inflicted in Lebanon, please browse the Guardian's The bombing of Beirut.

People took more notice of the bomb scare at Heathrow airport than of the Middle East.  Flights were disrupted, travellers had to check in hand baggage, security and airport administration teams were swamped.  All travelers would rather be stuck in an airport for a few extra hours or even a day, rather than be dead!  But some of the detail seems to be obscured by the cloud of political and media verbosity. Craig Murray, former British Ambassador to Uzbekistan, has revealed some of the facts. None of the alleged terrorists had made a bomb, none had bought a plane ticket, many did not even have passports.  It would be difficult therefore to convince a jury that they intended to go through with suicide bombing.   Many of those arrested had been under surveillance for over a year. So what instigated the arrests? An interrogation in Pakistan (no doubt a painful process) resulted in the "confession". As we have noted before and seen in Iraq, interrogation gives answers, but rarely the truth. This is more propaganda than plot. Of the over 1,000 British Muslims arrested under anti-terrorist legislation, only  12% are ever charged with anything. That is simply harassment of Muslims on an appalling scale. Of those charged, 80% are acquitted. Most of the very few (2% of arrests) who are convicted, are not convicted of anything to do terrorism, but of some minor offence the Police happened upon while trawling through the wreck of the lives they had shattered. As Murray says: "Be sceptical. Be very, very sceptical."  This looks more like a political staging to create fear of terrorism and thus prop up ailing popularity of Blair and Bush and their totalitarian tendencies.

Watching scenes from Fahrenheit 9/11 recently reminded me of the extraordinary coincidences that have surrounded the "War on Terror".  It sounds like a deluded fantasy to say that the people leading our world do not have integrity, or are not competent, or worse, are evil.  Now we collude in creating the world we live in by what we say and do, how we treat other people and the planet we live on and how we spend money.  We are rejoicing in the splendidly fine clothes of our emperors ... who are naked.

Moving away from actual belligerence to emerging belligerence, August saw World Water Week and with it a consensus arose that the planet is short of water because of human demand and interference, which is instigating wars over water fought with words and weapons. The Central Intelligence Agency, the accountancy firm PricewaterhouseCoopers and Britain's Ministry of Defense have all raised the specter of future "water wars." With water availability shrinking across the Middle East, Asia and sub- Saharan Africa, they say violent conflict between states is increasingly likely. An era of "hydrological warfare" in which rivers, lakes and aquifers become national security assets to be fought over, or controlled through proxy armies and client states is emerging, much like the wars over oil.  Here also we must change the approach to one of peace and cooperation.  Recent events illustrate why we must work together through globally responsible initiative to avoid more violence. For example in the recent conflict in Lebanon, almost unnoticed was the destruction by Israeli bombs of irrigation canals supplying water from the Litani River to farmland along the coastal plain and parts of the Bekaa Valley threatening thousands of livelihoods. The Litani irrigation system is not an isolated example. Last month in Sri Lanka, the refusal of Tamil Tiger rebels to open a sluice gate for canals that supply water to rice farmers sparked a full-scale military assault that claimed the lives of 17 aid workers.  Water conflicts are invariably shaped by local factors. But the sheer scale of these conflicts makes it impossible to dismiss them as isolated events. We are facing a global crisis generated by decades of gross mismanagement of water resources.

Energy

In the first week of August BP began to shut down its Prudhoe Bay oilfield, the biggest field in the United States accounting for 8% of U.S. It is uncertain how long the field will be offline.  The outage will cut global daily output by about 0.5%. An Energy Department spokesman said the agency would consider loans from the Strategic Petroleum Reserve if refiners seek them.  "It is appalling that BP let this critical pipeline deteriorate to the point that a major production shutdown was necessary," said Representative John Dingell, the ranking member of the House Energy and Commerce Committee, in a statement. "The United States Congress has an obligation to hold hearings to determine what broke down here and what laws and regulations need to be improved to ensure problem pipelines like these are found and fixed earlier."  BP said it began closing the pipeline after it found "unexpectedly severe corrosion" during inspections resulting from a 200,000-gallon oil spill in March. Data received from a pipeline scanner showed 16 irregularities in a transit line on the eastern side of the field, and follow-up inspections found corrosion, a leak and a small spill of four to five barrels, or about 200 gallons. "We regret that it is necessary to take this action and we apologize to the nation and the state of Alaska for the adverse impacts it will cause," said BP America Chairman Bob Malone in a statement. The 400,000-bpd shutdown will reduce Alaska's tax and royalty revenue by millions of dollars per day.

BP last month announced a $50 million initiative to inspect, clean and replace Prudhoe pipelines. Their March spill leaked oil over 2 acres of tundra and was the largest spill on the North Slope since production began there in 1977. BP had already cut daily production by about 23,000 bpd following the March spill. Among BP's other troubles is a criminal investigation over a March 2005 explosion in Texas City, Texas, that killed 15 workers and allegations from the Justice Department that BP traders illegally tried to corner the propane market in early 2004.

Brazil has joined in the race for hydrogen power, announcing the development of public buses running on this source of "clean" energy. Though the new vehicles will only be commercially viable in some years, a pilot project will be launched. Five buses with hydrogen fuel cells will be put to the test in 2007 in Sao Paulo and neighbouring cities. The four-year experiment calls for total travel of one million kilometres. If they pass the test, the hydrogen bus fleet will be expanded to 100 or 200.  A similar project will get under way next year in Rio de Janeiro. Hydrogen allows the manufacture of quieter-running and more long-lasting vehicles, and is an attractive alternative when faced with the skyrocketing prices of oil and the need to protect the environment.  Hydrogen represents "a jump in efficiency of 20 to 30 percent with respect to the existing combustion engines, which are inefficient and only use one third of the energy generated by liquid fuels," Jayme Buarque de Hollanda, director general of the National Institute of Energy Efficiency. The hydrogen bus project in Sao Paulo, which has the backing of the United Nations Development Programme, opted for electrolysis, the most simple and readily available production technology.

At the moment, with the uncertainty surrounding hydrogen energy, Brazil is staking its bets on hybrid electric vehicles. This technology, used in 43 buses already serving the Sao Paulo metropolitan area, combines electrical generation from fuel, and batteries that accumulate the energy not consumed at certain moments of travel, and making use of it in others, when a boost is needed, such as driving uphill. The hybrids are a good transition option. They can use diesel, gasoline, natural gas or ethanol, maintaining its environmental advantages and saving fuel, as well as having a longer life on the road. An electric motor can travel 1.5 million km, while conventional ones begin to present problems at a distance 10 times less. But hybrid buses cost 30 to 40%more than those that run on diesel. That cost for acquisition could be compensated in the long run, saving fuel, brakes and other components. 

Stricter environmental regulations, as are being implemented in some parts of the United States, as well as government policies for public transportation, could stimulate change in the transport technology base. Once a certain scale is achieved, which would drive down the costs of hybrids, that option could become competitive, overcoming the limitations of the market.

A new study by market research company Synovate shows that 37% of US consumers would consider purchasing a flex-fuel vehicle that runs on gasoline or E85 (85% ethanol) the next time they are in the market to buy a car. However, more than a third of these same consumers lose interest in E85 flex-fuel vehicles  when they learn that there is a reduction in fuel economy.

In China, the southern boomtown of Shenzhen has set an example for power-hungry Chinese cities in energy saving by mandating the use of solar power in new housing construction. The law, the first of its kind in China, will require all new residential buildings with fewer than 12 storeys to install solar powered water heating systems.

Top

Climate Change and Environment

Recent analysis raises the concerns of global warming yet again.  Professor Peter Cox of Exeter University told the Royal Geographical Society in Britain annual conference that the world faces a catastrophic spiral of global warming by 2050 temperatures could rise up to eight degrees by 2100 because of a "compost effect", which could see carbon dioxide levels rise 50% faster than previously estimated, unless urgent action is taken to cut human-induced carbon emissions.  Currently, around one quarter of carbon emissions are absorbed by the soil, and one quarter by the oceans, leaving one half in the atmosphere.  The soil acts as a natural buffer in absorbing carbon emissions and saving the planet from higher temperatures. It had previously been assumed that these proportions would remain the same. But Professor Cox said that the response of soil to temperature was critically important in determining the rate of future climate change.

Following Schwarzenegger and Blair 's accord at the end of July, California announced new legislation that imposes the most sweeping controls on carbon dioxide emissions in the US, putting the state at the forefront of a broad campaign to curb the man-made causes of climate change despite resistance in Washington. It makes California the first US state to impose a cap on expulsion of carbon dioxide and other gases. Schwarzenegger reached a deal with the Democrats who control the state legislature, defying the opposition of his fellow Republicans. The Global Warming Solutions Act cleared its last legislative hurdle in the State Assembly in a 46-31 vote, with opposition from Schwarzenegger's own Republican Party. Under the law, major industries will be required to cut their output of greenhouse gases and will be able to trade emissions credits. Overall, California's emissions should be cut by 25% by 2020. "We can now move forward with developing a market-based system that makes California a world leader in the effort to reduce carbon emissions," the governor said in a statement.

The global carbon market saw record high volumes traded in the first half of 2006 according to Point Carbon.  In total, the equivalent of 684 million tonnes (Mt) of carbon dioxide was transacted globally during the first six months of this year, more than 5x the volume traded during the same period last year, and 85% of the total volume traded in 2005 as a whole. Worth an estimated € 12 billion, the financial value of carbon trades in the first half of 2006 exceeded the entire value traded in 2005. 

The EU Emissions Trading Scheme remains the dominant carbon market segment, with 440 Mt traded during the first half of 2006; close to 65% of the total traded volume worldwide. However, at just € 9.9 billion, the financial value of the EU ETS over this period was considerably lower than expectations, due to the dramatic collapse in EU allowance prices at the end of April.

Kyoto's flexible mechanisms also saw considerable growth in volumes and values this year compared to 2005. In total, carbon credits from the Clean Development Mechanism and Joint Implementation projects equivalent to 226Mt of CO2, worth € 2 billion, were traded during the first half of 2006. By the end of June 2006, CDM trades stood at 193Mt, worth € 1.5 billion, and secondary CDM trades had increased tenfold compared to 2005.  Other markets are also hotting up. The Chicago Climate Exchange in the US and the New South Wales emissions trading scheme in Australia both show four times higher volumes and values than in 2005. Taking all these markets and the EU scheme together, Point Carbon's global carbon market forecast for 2006 as a whole is for a total volume of 1,382Mt traded, worth almost €22 billion, considerably more than the 800Mt, or €9.4 billion, traded last year.

Oil giant BP denied newspaper allegations that it manipulated inspection data to avoid replacing corroded Alaskan oil pipelines. Alaska's attorney general has told BP to hand over all data on corrosion management. Prudhoe Bay is the largest oil field in the United States, usually producing 400,000 barrels of crude oil each day, is currently down to about 220,000 bpd. BP says it only discovered "unexpectedly severe corrosion" on its Alaskan pipelines after regulators asked it to carry out major monitoring tests in March. Alaska's governor, Frank Murkowski, has already accused BP of misleading regulators over the condition of its pipelines, and some BP shareholders have started legal action, accusing the firm of hiding the problems. It is cutting production at Prudhoe Bay in order to replace 16 miles of corroded pipeline at a cost of about $ 170 million.

In an apparent world first, the Canadian government has launched a series of roundtables across the country to explore ways to improve the social and environmental performance of Canadian mining and extractive firms operating abroad. Sparked by particular concerns on the conduct of some mining firms operating in developing countries, the sessions will provide stakeholder input for a report to Parliament, and an opportunity for Canada to take the lead internationally.

Alcan has helped launch a global map on energy and climate, along with its project partners, the energy company Centrica and corporate responsibility specialist Maplecroft. The map explores the interrelated challenges of energy use, greenhouse gas emissions and climate change, and was produced with the help of the World Business Council for Sustainable Development and the Climate Change Initiative of the World Economic Forum. The action is a step in the right direction.  And Alcan has many stakeholders and complex issues to address in the sphere of energy, environment and global responsibility.  But its footprint demands the highest standards of earth care.The global map of energy and climate includes:

• Greenhouse gas emissions map and data - countries are shaded according to Maplecroft's Greenhouse Gas Emissions Index and data tables provide detailed information on emissions levels and trends in 184 countries;

• In-depth analysis of energy and climate issues - including the role of energy in development, the greenhouse effect and the impacts of climate change on the natural world and on people and society;

• Focus on business engagement - making the case for business action on energy and climate issues and detailing what steps business can take to reduce greenhouse gas emissions; and

• Case studies - giving examples of measures business has taken to address the issues of energy and climate.

China's sharp rise in sulphur dioxide emissions, the main component of acid rain, is ruining the nation's croplands and threatening the food chain in rivers and lakes. The emissions, largely caused by burning coal to sate China's booming appetite for electricity and by vehicle exhaust, are further exacerbating severe ecological degradation in the world's most populous nation.  China announced in August that it emitted nearly 26 million tons of sulphur dioxide last year, a 27% increase since 2000, making the nation the world's biggest polluter of acid rain-causing substances.  "The sulphur dioxide acidifies the soil, hurting the roots of the crops and reducing total yields," noted Edwin Lau, assistant director of the Hong Kong branch of Friends of the Earth. "Acidity of rivers and lakes also affects the growth of marine organisms, killing the lower-level species needed by bigger organisms to survive and disrupting the food chain."

 Such negative impacts on the environment could even lead to social instability in acid rain-hit areas as Chinese crop growers and fish farmers increasingly struggle to earn a living in face of a worsening environment.  Each ton of sulphur dioxide causes 20,000 yuan ($ 2,500) in economic losses, according to Li Xinmin, deputy director general of the State Environmental Protection Administration's pollution control department.  This means China suffered nearly $ 65 billion dollars in economic losses last year from sulphur dioxide emissions.

"The effects of acid rain on China is going to be much worse than in the United States and Europe when they had acid rain problems in the 1970s," said Paul Harris, a China expert monitoring the nation's environment from Lingnan University in Hong Kong.  Deteriorating soils will mean the loss of the protective vegetative cover over croplands, which eventually could lead to dessertification as winds and rains further erode planting areas. Harris said "Forests could also be impacted and China is already having problems with forests and have banned logging." If China does not take effective measures to curb rising coal use, then the acid rain will get worse as the economy grows and people get richer and buy even more electric appliances and vehicles.  China needs encouragement to move into alternative energies and implement desulphurization technology at energy plants.

Urbanisation has already reduced farmland.  China's shrinking farmlands are threatening the nation's capacity to grow food, Yang Jian, a senior official at the Ministry of Agriculture told the China Daily.The amount of land dedicated to grain production is expected to continue shrinking, but farmlands will still have to produce a minimum of 500 million tons to feed China in 2010. With shrinking acreage, falling water tables, environmental degradation and a growing population, some grain experts have predicted that China will remain a net food importer for the coming decades.

As mentioned in Risk and Terror, changes in our world are exacerbating the tension over water scarcity.  The Central Intelligence Agency, PricewaterhouseCoopers and Britain's Ministry of Defense have all raised the specter of "water wars." With water availability shrinking across the Middle East, Asia and sub- Saharan Africa, violent conflict between states is increasingly likely. This issue was also on the agenda for the experts from 140 countries gathered at the annual World Water Week forum in Stockholm. Meetings of water experts are not obvious forums for debating issues of global peace and security, but the gathering in Stockholm reflected on the links between water scarcity and violent conflict between states.  

Top

IT

IBM has made another commitment to open technology.  It is launching an Innovation Jam - an online dialogue, open to clients, consultants, employees and their families to discuss its technologies in the pursuit of new ideas.  They expect 100,000 people to join in.  They won't own any of the ideas created by the two 72 hour sessions.  There is also backing of $ 100 million to go behind the best ideas.  The first session was in July, and after a sifting process, a second will be held in September.  IBM is fully aware of the conflict of interest in sharing so openly - clients like MIT will participate - but realises the highly productive use of open space.

MS Windows Vista release has been delayed again.

Wikipedia has been under some criticism recently because it is susceptible to abuse.  It has just been removed as a citable source by the US patent office.  But its scale, scope and accuracy (very high and always up to date, if not 100% accurate) make it a valuable tool.  And Wikipedia is open.  Anyone can edit it.  It is self managing.  Its not perfect, but its very good.

Despite very tough inspections and quality at Sony and Dell, a lithium-ion battery, supplied by Sony, in a Dell computer caught flames at a conference.  The battery recall and replacement will cost the two  companies $ 200 - 400 million. 

Top

Holonics and LOHAS

Holonics * Health * Environment * Education * Living

Holonics

Deepak Chopra is a generous man with much to offer.  He kindly shared the following chart from "Power Freedom and Grace"  which is a valuable example of holonic thinking.  It illustrates some of the old and new ways of perceiving ourselves and the world we live in.  With the help of science, we are shifting into a new paradigm, not only of the human body-mind, but of our very interpretation of nature itself.  This shift in our thinking sees the body-mind as an expression of a larger wholeness.

Health

The GM horror story alluded to above in Trade and FDI and expanded below in environment is mentioned here because the contaminated rice was never approved for release and may have toxic side effects.  The illegal variety of genetically modified long-grain rice from experiments carried out by Bayer CropScience in the USA from 1998 to 2001 may have contaminated the European food chains without detection for the past eight years. The contamination could also affect rice and processed rice products currently served in hotels and restaurants or sold by retailers, including rice flour and baby food recommended for infants in the weaning process.The illegal GM rice, called Liberty Link (LL Rice 601) was developed by Bayer CropScience, a subsidiary of the world’s largest chemicals company BASF (which cancelled a proposed experiment with 450,000 GMO potatoes in Ireland earlier this year).  The patented rice is genetically modified with genes from viruses and bacteria that make it resistant to a weed killer called Liberty, which contains glufosinate ammonium, applications of which can leave toxic traces on the harvested crop. It is a neurotoxin which has been observed to cause defects in unborn mammals. LL Rice 601 has not been approved for human consumption anywhere in the world.

The Interfaith Center on Corporate Responsibility report assesses 15 pharmaceutical companies, and finds all of them falling short of best practice in most areas on AIDS and neglected diseases. During the six days of the 16th International AIDS Conference that took place in Toronto, some 50,000 people throughout the world died of AIDS (given that an estimated three million die of AIDS per year). About the same number died of malaria, and slightly less (about 33,000) of tuberculosis. These are two other diseases that disproportionately impact the poor in developing countries and are known as "neglected diseases" because they receive less attention from pharmaceutical companies than non-fatal problems such as erectile dysfunction. "These are deaths that can be avoided, lives that can be extended, and people who can be saved, if we choose to save them." So says a report entitled Benchmarking AIDS: Evaluating Pharmaceutical Company Responses to the Public Health Crisis in Emerging Markets. The report, authored by Dan Rosan, public health program director, and Kieran Hartsough and Lisa Sachs, public health associates at ICCR, assesses current practices by 15 companies and lays out best practices in six broad areas, some of which are broken into sub-categories. 

One third of UK men will be officially obese in four years' time if current trends continue.  Estimates show 12 million adults and one million children will be obese by 2010 raising their risk of heart disease, Type 2 diabetes and some forms of cancer. The figures in the Health Survey for England, published by the Department of Health and said to be the most accurate estimates to date, say the number of obese girls will overtake boys in four years' time. Then one girl in five, aged between two and 10, will be classed as obese. Overall by 2010, a total of 22% of girls, compared with 16% in 2003, and 19% of boys, compared with 17% in 2003, will be obese. Based on current trends, 33% of men and 28% of women will be obese by 2010. Regional differences also emerged. Among adults, 18% of London men were obese in 2003 compared with 25% in Yorkshire and Humber. In the West Midlands, 29% of women were obese compared with 19% in the south east. Patricia Hewitt, the Health Secretary, said it was up to individuals to maintain a healthy weight. "Government and the NHS will support people in leading healthier lives, but ultimately it is each individual's choice that counts." Campaigners called for stricter rules on advertising junk food and better labelling.

Another study, this one from the US, indicates that the obesity epidemic has no age limitations: Children under age 6, and especially infants, are now more likely to be overweight than their counterparts two decades ago, according to a Harvard Medical School study. The number of overweight infants increased by 74% since the beginning of the study, which covered more than 120,000 children in Massachusetts over the course of 22 years. Infants under 6 months also experienced the greatest jump in risk of becoming overweight (59%), as measured by weight-for-height index.  "These results show that efforts to prevent obesity must start at the earliest stage of human development, even before birth," says the study's senior author, Matthew Gillman, MD. "These efforts should include avoiding smoking and excessive weight gain during pregnancy, preventing gestational diabetes, and promoting breastfeeding, all of which researchers have shown to be associated with reductions in childhood overweight."

A three-month study, carried out at the Berlin Institute of Social Medicine, Germany,  has shown that acupuncture is not only effective at relieving pain but is also a cost-effective treatment. The new study involved more than 3,400 patients suffering from neck pain. During the study half of the patients received acupuncture in addition to conventional treatment.  The researchers, whose work is reported in the Journal of Pain, found that the extra cost of the acupuncture treatment resulted in health benefits that were significant enough to make it cost-effective. 

In the EU, cosmetic companies are going to have to come clean on the nasty side-effects of make-up. Readers of The Ecologist's "Behind The Label" articles will be relieved.  Companies will no longer be able to conceal the facts if their lipsticks, perfumes and other products cause allergic reactions, cosmetic acne, photo-sensitivity, anaphylactic shock or itching. They will also have to tell consumers if the products contain ingredients that could be explosive, corrosive, flammable or toxic.  Unfortunately they haven't had to come clean before.  Now new EU rules mean that make-up companies are obliged to inform consumers who contact them about any reported side-effects or adverse reactions. They will also have to indicate how many people in a million are likely to suffer undesirable effects. Customers will also be able to find out the amount of certain ingredients that go into the products they use on their skin, although companies are allowed to fudge this by giving a range rather than the precise quantity. Apparently this is to protect commercial secrecy and intellectual property.

Amy Finkelstein, an economics professor at MIT, has analysed data going back to the 1960s and has found that insurance has been the main contributor to rising medical costs which were 5% of the economy in 1960 but are 16.5% today.  While here conclusions are disputed, they have certainly challenged the conventional view that technology is at fault and forced a rethink of the sector.

Environment

A couple of stories illustrating the reason why informed people are so against the push of GMO by big science businesses.  First the case of Liberty Rice mentioned above in Health and in Trade and FDI, a GM rice that never got approval but has been released for 8 years and now contaminates exports to Europe, Japan and other countries as well as US domestic supply.  (The story is expanded here.)

Bayer released the GM rice for experiments on US farms in Arkansas and Missouri between 1998 and 2001. But the company decided not to market it and never submitted it for official approval. The reasons for the decision are not known, but independent scientists suspect it could be due to the fact that many GM crops are not uniform and are genetically unstable.The GM rice contamination was first discovered in January of this year. Last week, the Arkansas government said it suspects the crisis began when pollen from the rice tested on US farms spread to contaminate conventional crops. This would mean that it has been present - and presumably been exported - since 1998, when the experiments began.

Bayer waited until 31 July before reporting the problem to the US authorities. But the Bush administration then waited a further three weeks before announcing the contamination on 18 August. The U.S. Department of Agriculture secretary Mike Johanns said his agency withheld the information while trying to validate a test that producers, shippers and customers could use to detect the illegal GMO. According to the USDA, “each test could cost as much as $300, but it is uncertain who would pay for the testing.”

Bayer’s response has been to apply to the USDA for a speedy retroactive legalisation of the banned GM rice, thereby transforming it from a contaminant to an administrative oversight. This is an unethical action, since LL601 is a failed variety which has never been demonstrated to be either uniform or genetically stable. That means that the novel proteins contained within it might, between 1998 and 2006, have become scrambled in quite unpredictable ways. If the USDA connives in this retrospective deregulation, it will further discredit the US regulatory authorities which are known to have close ties with the biotech industry they are entrusted to regulate.

The EC was formally informed about the contamination incident on 18th August, and it responded four days later on 24 August by placing a ban on all future imports of American long-grain rice unless they are accompanied by export-point certification confirming that they are free of LL601 contaminants. The Japanese government immediately banned all US long-grain rice imports, whether or not accompanied by certification. It also instructed Japanese companies not to process or sell any U.S. long-grain rice imported in recent months. Japan is the the second largest importer of rice from the US. South Korea was also considering a ban.

Michael O’Callaghan, who co-ordinates the GM-free Ireland Network  representing 124 farm and food groups North and South of the border, said “This latest contamination scandal shows how easily European and Irish food are being contaminated by imports of both illegal and legal GM food and animal feed from the USA and other countries in North and South America. The fact that such contamination may have occurred for years without being discovered should be the final nail in the coffin of the unworkable EC and Irish Government plans to allow the so-called ‘co-existence’ of GM crops with conventional and organic farming. It makes a farce of the government’s claim that one can keep GM and conventional foods separate from farm to fork. He also said Ireland should follow the lead of the EU’s largest agricultural producer, Poland, and implement a blanket ban on GM seeds and crops with immediate effect.  (More on this story here.)

In another story, an experimental variety of genetically engineered bentgrass has escaped from its test plot in Oregon and has been found growing in the wild as far as three miles away, according to scientists from the U.S. EPA. The biotech plant, designed for golf courses, has not been approved by the USDA, but has already been found dispersing among native grasses in six different locations. Creeping bentgrass, Agrostis stolonifera, had been modified to make it impervious to the herbicide glysophate and was designed to appeal to golf course managers who would be able to spray large areas to kill off weeds without damaging the grass. Scientists say they don't know how it will behave in the wild but admit it may have a strong advantage over native grasses, and could therefore irreversibly damage the ecosystem as it spreads. According to Tom Stohlgren, an ecologist at the US Geological Survey's National Institute of Invasive Species Science, the experimental bentgrass "can tend to outcompete other species...It doesn't need to sexually reproduce - it's like The Blob. It could potentially hit rare species or national parks."

August saw World Water Week in Stockholm.  The growing hydrological warfare (see Risk and Terror) was a hot topic and two reports encourage businesses and governments to urgently recognise the essential economic value of water in their strategies and policies.  In the first, the World Business Council for Sustainable Development says water shortages pose potentially as serious a challenge as climate change.It explores three future scenarios to understand how businesses can contribute to sustainable water management, including an analysis of innovation in water efficiency, security of water supply and water rights. The second report, from WWF, echoes sentiments in the first. Its authors show that water crises are no longer a problem restricted to the developing world. Climate change and poor resource management are leading to droughts across rich countries too. For example, new research in Spain has found 19,000 illegal wells in the Madrid area alone, accounting for over 10 per cent of consumption in the capital - the city is facing a water crisis, with reservoirs less than half full.  The WWF report identifies seven key challenges the developed world must tackle: it must properly value water, agree on a balance between conservation and consumption, accommodate natural flows, modify or repair ageing infrastructure, address water use in agriculture, reduce water pollution, and build knowledge of the water system.  As with other resource shortages facing our world, the developed world must set an example for the developing world.

Most of us are just beginning to grasp how essential water is to everything in life – food, energy, transportation, nature, leisure, identity, culture and virtually all products used on a daily basis,” says Lloyd Timberlake of the World Business Council for Sustainable Development. Ford Motor's Southampton plant, for instance, uses 6,000 litres of water to make one Ford Transit van, including body construction, painting, trimming and final assembly. But Waterwise says the total figure is 150,000 litres if you include the water that goes into processing the van's components. In the developed world, much of the water infrastructure must be replaced in the next 20 years, according to the Pacific Institute, a US think-tank, but other regions are at risk of more severe water supply problems.

In our world 2.6 billion people consume water from unsafe and polluted sources, according to United Nations figures. Against this, we consume far more water than we realise through the use of water to make our food and modern conveniences - so called "embedded water".  According to Waterwise for example it takes up to 100,000 litres to produce 1kg of beef or 780 litres to create one litre of fruit juice. These realities are now colliding, with serious consequences for business. “Everyone understands that water is essential to life.

It takes water to produce ...

In Australia, Queen's University researchers have devised a "green chemistry" cost effective solution to one of the oil industry's biggest problems - cleaning up oil.  Published in Science, the study addresses the recurring problem of separating oil and water mixtures, and targets diverse applications including cleaning up oil spills, and extracting oil deposits from tar sands and reservoirs.  Other potential beneficiaries are plastics manufacturers, chemical and pharmaceutical companies, mining companies and makers of cleaning products. The new process can be used whenever industry requires an emulsion (the mixture of two liquids in which droplets of one are suspended evenly throughout the other), explains lead researcher and Queen's Chemistry Professor Philip Jessop. This might occur when cleaning spills, extracting oil from the ground, de-greasing metal equipment or metal surfaces, and manufacturing chemical products such as plastics.

Greenpeace has launched a "Guide to Greener Electronics", which ranks companies on their use of harmful chemicals and electronic waste recycling. The environmental group says it hopes the guide (Download-PDF) will be used "to create demand for toxic-free electronics which can be safely recycled, by informing consumers about company performance on these two issues." The scorecard ranks the 14 top computer producers and currently all fail to get a green ranking.  Nokia leads the way on eliminating toxic chemicals, since the end of 2005 all new models of mobiles are free of polyvinyl chloride (PVC) and all new components to be free of brominated flame retardants (BFRs) from the start of 2007. Dell has also set ambitious targets for eliminating these harmful substances from their products.

Education

Children who must use computerised speech aids to communicate tend to fall behind their peers in language development. Because kids learn much of their language through social interaction and playing word games with each other, computerised devices that don't permit such spontaneity could impair fluency.  Now, a new software promises to help children develop language fluency playfully: by cracking jokes. Called the STANDUP Project (System To Augment Non-speakers' Dialogue Using Puns), the software was developed by a team of researchers in Scotland using dictionaries, information about words, and simple rules about the structure of puns.  The computer acts as a helper for the children, allowing them to browse through joke forms and try out different words and phrases, explains computer scientist Graeme Ritchie of the University of Aberdeen.  When children can entertain their families and playmates by telling jokes--"What do you call a spicy missile? A hot shot!"--they become more inspired to learn and develop their language skills rather than simply use their voice aids passively to answer questions.

There are differences between genders, but they are not that great. This report in The Economist makes for interesting reading and supports the contention that the aptitudes of females' minds are better adapted to the needs of a modern world.   It also offers evidence that aptitudes can be trained.  The Economist notes

In most intellectual areas, such as vocabulary and verbal reasoning, the differences between men and women are statistically insignificant. But the long tail of mathematical genius does tend to be male, along with higher rates of idiocy and masturbation. While women show less mathematical brilliance than men, their scores are better in some verbal skills (see article).

... Modern professional life is dominated by management, which these days sets high store by emotional intelligence, empathy and communication.

In short, "men are done for"!

Living

It was announced that the UK 2007 City Food Lecture, sponsored for the first time by the FSA, will be given by the Soil Association’s policy director, Peter Melchett, and will be on the subject of organic food.  This marks a strong turnaround for the previously distinctly frosty relations between the Soil Association and the Food Standards Agency.  The improvement began almost as soon as its previous director, Sir John Krebs, left the Agency in April 2005!

Euthanasia is a subject of increasing interest as the taboo weakens and a greater proportion of developed economies' populations are in an age bracket where painful disease is more prevalent.  The linked story tells of one family's experience. When Michael Graham's wife Elizabeth was diagnosed with motor neuron disease, she made up her mind to die before she became completely immobile. Michael knew he would have to help her - even though it could land him in jail. What he wasn't prepared for was how long it would take and how far he would have to go, read An act of love here.

In the US, Democratic Senators voted to block a measure that would have increased the US minimum wage from its current level of $5.15 (£2.80) an hour because tied to it was a reduction in inheritance tax burden for the rich!  The bill, already passed by the US House of Representatives, would have raised wage levels to $7.25 by 2010. But Democrats were unhappy that it was tied to a Republican plan to cut inheritance taxes paid by the rich. Many economists argue that expanding the estate tax benefit would only serve a small slice of the US population, who are already rich.  "The Republicans can get 6.6 million Americans an increase in their basic minimum wage, as long as we promised that the fattest cats in America would get a great big bowl of tax cuts," said Senator Richard Durbin of Illinois, the second-ranking Democrat in the Senate.

In the US, large sports utility vehicles are finally going out of fashion because of environmental worries and demographic trends, according to Ford, in what they describe as a "tectonic shift".  With an eye on future trends, Ford is considering spending $ 1 billion on plants to produce more hybrid vehicles.  The investment, yet to be finalised, would be in its home state of Michigan.

The doping of American athletes continued in the headlines after Landis was found to have cheated in the Tour de France.  World and Olympic 100m champion Justin Gatlin of the US has been banned for up to eight years after accepting he committed a doping violation. Gatlin, 24, was facing a life ban after testing positive for testosterone, his second doping offence, on 22 April.  He will be stripped of his share of the 100m world record.  Gatlin first failed a drugs test five years ago when amphetamines were found in his samples at the USA Junior Championships. Although the IAAF later accepted he was using the medication to treat Attention Deficit Disorder, it was still registered as a first offence. Under the two-strikes rule, Gatlin has effectively been thrown out of the sport for good after testing positive for testosterone since an 8 year hiatus will end his chances of a comeback.

The largest Swiss retailer Migros is urging its toy suppliers to comply with the Business Social Compliance Initiative (BSCI).  businesses will have to increasingly integrate voluntary social standards into their business design.

While many of us had holidays in August, there was also the recognition that in fact we are not taking enough time off.  There is evidence that the vacation is vanishing.  This would be fine if it was being replaced by more time with family and friends on a daily basis, but it appears that people are increasingly attracted to or caught up in the rat race, first to pay bills and then to buy more stuff (houses, cars, stocks etc).  It is proven to be unhealthy and unfulfilling and it is unlikely that anyone reading this is guilty of not sharing leisure time with family and friends.  But it is certainly important to slowdown our lifestyles to get into pace with the natural world lest we destroy it through overconsumption, war or even accident.

New York Nicks point guard (basketball) Stephon Marbury is cool.  He's launching the Starbury One, a $ 14.98 sneaker he'll wear on the court!  He says "Two hundred to buy a pair of sneakers?  That's groceries for the week!"  He wants to show kids how little it costs to make high-quality sneakers.

Activities and Media

Harvest season is in full swing so we are racing to crop, share and preserve the garden output. Courgette, tomatoes, beetroots, lettuce, carrots and more are ready. It is a wonderful bounty. But it is also fragile - inclement weather can cause quick damage and we are reminded of the fragility of nature as well as its bounty. We are looking forward to Autumn in the northern hemisphere after a hot summer.

The World Future Society annual gathering which took place in July has put papers online here.  There are always thought provoking and educational views expressed by this society, particularly useful for business owners, strategists, long term investors and asset managers.

There has been heightened discussion of the role of philanthropy in our world since Buffett gave billions to Gates to manage.  We raised concerns about this laissez-faire approach, notwithstanding that the high profile gift needs to be emulated.  The irony is that private giving in the US is greater than anywhere else in the world, but public aid is so limited that the combination of the two leaves the US lagging far behind its peers.  Scandinavian countries top the list of giving per person. For those of you in a position to consider significant giving we strongly recommend the conference Executive Philanthropy in London on 10 October.  This interactive one day London conference will examine cutting edge practice for mutually beneficial relationships that corporates and charities can form. The conference looks at philanthropy from many perspectives, focusing particularly on innovative ways organisations have achieved corporate value through philanthropic activities, as well as the best practice gleaned from inspiring entrepreneurial pace setters.  Charles Handy, the leading business guru, who has recently released The Philanthropists, will play a key role in the conference.

We also recommend a new blog launched by The Asymetric Threats Contingency Alliance and Deepak Chopra's Intent Blog.  ATCA is populated by 5,000 invited leaders of business and government and offers insightful views on topical issues by leaders in fields of government, research and industry.  The blog is launched with a series of 11 Open ATCA Socratic Dialogues at IntentBlog on The Hydrogen Economy, Climate Chaos, Einstein-Russell, New Orleans, Buddha, Blended Value, Iran, Advaita, Social Entrepreneurship, Unity and Non-Violence.  ATCA conducts collective Socratic dialogue on global opportunities and threats and is worth a browse.

I took another Pratchett detour reading The Carpet People - his first novel but the rewritten, published version. This might also be suitable for younger readers, though his invigorating satire remains.

I also enjoyed One World by Peter Singer.  Singer is one of my favourite authors because of his deeply reasoned and well balanced thought.  He uses illustrations that hit home and raises issues that are often hidden.  One World discusses the necessity of rapidly improving global governance because many of the issues that impact our communities are without national boundaries.  It is strongly recommended for strategists, international lawyers, government related groups and long term investors.

Peace One Day is a website which promotes a film on peace and celebrates World Peace Day on September 21.

Please forward this publication to family and friends, place it on websites, print it, duplicate it and post it freely. Knowledge is power!
This is a publication of: Astraea, Ireland + 353 59 9155037 Subscribe and Unsubscribe

Back to top.

Contact    Legalese   Site Map

know thyself - Socrates