South Africa

PRETORIA - Convicted fraudster Schabir Shaik applied for a Presidential pardon in April last year, the Presidency says. "The President must consider every application brought before him in terms of his Constitutional responsibilities, as outlined in Section 84 (2)(j) of the Constitution of the Republic." Opposition political parties have reacted with derision and criticism to the possibility that Shaik may receive a pardon. Democratic Alliance (DA) spokesperson James Selfe says that if President Jacob Zuma grants Shaik's application, it will constitute a decisive step toward the "complete corruption of the South African soul". Shaik's conviction constitutes a rare victory for the South African justice system in the fight to keep "a relentless ruling party, which is determined to bend the rule of law to its own will, at bay". If his actions are pardoned, it will signify to the South African public that, even when the justice system prevails, its impact is undermined, its ruling negated, and its meaning subverted, says the DA. Members of the opposition accuse the African National Congress-led government of using State power to provide Shaik with preferential treatment.

JOHANNESBURG - The World Wide Fund for Nature (WWF) South Africa calls on government and State-owned enterprise Eskom to reconsider plans to complete the construction of the Kusile power station, in Mpumalanga, as the new coal-fired plant will add significantly to the country's carbon emissions. At the launch of the ‘Climate Solutions 2' report, WWF South Africa trade and investment adviser Peet du Plooy says that Kusile could add around 20-million tons a year of carbon emissions, on top of Eskom's already existing 200-million-ton emission. WWF South Africa climate change programme manager Richard Worthington says that unless plans for Kusile include a workable scenario for carbon capture and storage (CCS), or unless the plant integrates a gasification combined cycle, the project should be put on hold. The call from the WWF comes shortly after Eskom indicated that it might have to defer certain projects, such as the R100-million Kusile power station, if a far higher tariff path did not emerge. The project could be delayed by between 18 months and 36 months. The first unit of Kusile is currently scheduled to come on line by early 2013. Worthington notes that there is significant room for improvement regarding South Africa's efficient use of power, with the country generally only making use of one-third of the efficiency potential.

Africa & the world

MEXICO CITY - The International Monetary Fund (IMF) is considering creating a new programme to discourage member countries from building up currency reserves, John Lipsky, the IMF's first deputy MD, says. "We are exploring the possibility of improving our existing facilities or adding other insurancelike facilities that will give our members greater confidence that they don't need to self-insure by building up reserves," Lipsky says. Some economists see the massive accumulation of currency reserves by exporters like China as one of the causes of the global financial crisis. The reserves were often reinvested in US dollar assets, which helped keep US interest rates low and, along with weak lending oversight, caused the US housing bubble. Earlier this month, the IMF called on the fund's member nations to increase the amount of capital it could deploy in times of crises by perhaps $1-trillion or more. The IMF wants to dissuade countries like China from building big currency war chests by convincing them that the IMF could come to their aid in times of need.

KHARTOUM - The Khartoum government says that US President Barack Obama's new policy on Sudan has positive points and is a strategy of engagement, not isolation. Unveiling the policy, Obama calls for a "definitive end" to the conflict in Darfur and the implementation of a peace deal that cold end more than two decades of a separate north-south civil war. The strategy offers incentives if Khartoum works toward peace but Sudan faces tougher steps if it fails to act. Obama also says he will renew sanctions on Sudan. Sudanese Presidential adviser Ghazi Salahadin says the absence of the threat of military intervention in the strategy is important and represents "the new Obama spirit and is a strategy of engagement".