Showing posts with label Europe and public ownership. Show all posts
Showing posts with label Europe and public ownership. Show all posts

Tuesday, July 10, 2012

Athens plans huge wave of privatisations

Terrible news from Greece.

Ben Chacko at the Morning Star reports:

Greece's ruling coalition unveiled an "everything must go" sale of the country's assets over the weekend as Finance Minister Yannis Stournaras gushed that privatisation was his "top priority.

"The privatisation programme aims at attracting important international capital," Mr Stournaras told MPs on Saturday, sketching a vista of foreign corporations rushing in to snap up Greece's infrastructure and services.

The initial wave of the project would include 28 major privatisations, including state natural gas, water and betting companies, a number of key airports including that of Athens, the state railways and various marinas and other properties.

Some services would be taken over entirely by the private sector, he said, while in others the state would rent back the infrastructure from the buyers.

Mr Stournaras added that this was just the beginning, with a second bout of sell-offs, including that of the Public Power Corporation, planned for a later date.

You can read the whole of Ben's report here.

Saturday, May 26, 2012

Neil Clark: Eastern Europe's neoliberal disaster provides a warning for the Arab spring

This article by CPO co-founder Neil Clark appears on The Guardian's Comment is Free website:

I wonder if David Cameron spent any time in eastern Europe in the 1990s.



Judging from his recent remarks about the Arab spring and international aid, the British prime minister seems to believe that having a more "open" and "free", ie privately owned, economy is the key to both economic development and a successful transition from one-party rule.

The evidence from the former communist countries gives lie to that neoliberal viewpoint.


You can read the whole article here.






Monday, March 8, 2010

The Final Chapter for Libraries?

This column on public ownership, by CPO co-founder Neil Clark, appears in the Morning Star.

The NHS is a great example of socialism in action. Public libraries are another. The idea of a place where all members of the community can go to borrow books which are communally owned is a quite wonderful one and totally at odds with neoliberal ideology, which prefers private - and not public - provision.
This is probably why, in this age of neoliberalism, public libraries in Britain are under grave threat.
A new report by the Valuation Office Agency showed that Britain has lost nearly 200 public libraries since 1997.
The number of books available to be borrowed has fallen dramatically - by 13 million in the period 2003-9. And worse could be to come, with swingeing cutbacks in local government spending likely to reduce the library service still further.
Part of the problem with the decline in libraries is that a new generation of people, brought up in an age obsessed with private ownership, prefer to buy books from bookshops rather than borrow them free of charge from their local library.
In 1979, by contrast, two-and-a-half times as many books were loaned by libraries than were bought at bookshops.
It's revealing that older people - brought up in a more collectivist era - use public libraries much more than younger Britons whose formative years were in an acquisitive society where private ownership became our country's new religion.
To reverse the decline in public libraries, therefore, we don't just have to increase spending on them. We need to change the whole ethos of our society to one where people once again relish sharing communally owned goods.

Hoping for change in Germany

One of the most disappointing political events of the last year in western Europe was the return to government in Germany, after an 11-year absence, of the fanatically pro-big business Free Democratic Party (FDP).
The FDP, a partner in the current Christian Democrat (CDU)-led coalition, favours massive cuts in public spending, cuts in the top rate of income tax and further privatisation.
The new German government has stated its intention to proceed with a partial privatisation of the country's state-owned railway Deutsche Bahn.
But the good news is that the plan has met opposition from within the government itself.
Transport Minister Peter Ramsauer - a member of the Christian Social Union party, the Bavarian sister party of Angela Merkel's CDU - said he was not prepared to "squander economic assets" and blamed privatisation plans for the deterioration in services on the Deutsche Bahn-owned S-Bahn in Berlin.
The battle going on within the German government is one between fanatical neoliberals - the FDP - and the more moderate conservative protectors of the Rhineland model.
Let's hope the latter, with help from unions and the German left, can defeat the former and keep Germany's excellent publicly owned railway on track. And let's hope too that the stay in government of the extremist FDP is extremely short-lived.

Tackling the real problem in the NHS

The script is a familiar one. Before a state-owned enterprise is privatised, it is necessary to convince the public that the enterprise in question is failing to deliver the goods and is in urgent need of "reform."
That's what happened in the 1990s with British Rail. And it's what's happening today with the NHS.
Anti-NHS propagandists have made great capital out of a recent report on the failures at Stafford hospital, where at least 400 patients were held to have died due to substandard conditions and care in the period between 2005-8.
But as Unite's national officer for health David Fleming has pointed out, Stafford's problems were not caused by public ownership but by the obsession with what he describes as the "target-obsessed privatisation culture."
Stafford hospital was run by the Mid-Staffordshire Foundation Trust. The Department of Health claims that foundation trusts are "at the cutting edge of the government's commitment to the decentralisation of public services" - which is neoliberal-speak for "they are a great back-door way to achieve privatisation of the NHS."
With their commercialised, profit-obsessed approach - and their £180k chief executives - foundation trusts are inimical to the very ethos of Nye Bevan's NHS.
Last month it was revealed that Royal Surrey County NHS Foundation Trust made a profit of over £300,000 in one year by selling abroad £4m of drugs intended for use in Britain.
The best way to make sure that the deaths at Stafford are not repeated is to scrap foundation trusts and restore the NHS to its original, 1940s socialist ideals, where the needs of patients are put before profits. And that also means bringing all ancillary services, such as cleaning and catering, back in-house.

End the annual energy profits charade

It's become an annual event. Britain's privatised energy companies announce enormous profits having failed to pass on the reduced price of gas to consumers.
Cue harsh criticism from Ofgem and expressions of shock and outrage from politicians and media commentators.
Meanwhile things carry on as before, with the privatised companies continuing to fleece the public.
The one thing that will put an end to this annual charade is the measure that none of our three major parties, still wedded to Thatcherite dogma, will even contemplate - the renationalisation of Britain's entire energy sector.
Public limited companies will always put the interests of shareholders before the interests of the general public. If we want the interests of the public to come before profits, we must have public ownership. It really is as simple as that.

Thursday, October 15, 2009

Privatisation on parole

This article by CPO co-founder Neil Clark, on the fightback against privatisation in Hungary, appears in the New Statesman.

Twenty years ago, Hungary's decision to open its border with Austria triggered the dramatic events that led to the fall of communism in eastern Europe. But today the country is fighting the neoliberal economic model imposed after 1989.

In Pécs, a historic city in the south, the local authority has reacted to public anger over soaring water bills by sending security guards to seize the local waterworks from the French company Suez Environment and to prevent its management from entering the building.

A 48.05 per cent stake in the city's water company was sold to the French multinational, which supplies water to 76 million people worldwide, in 1995. The company also receives an annual "management fee" of 120 million forint (£419,000).
The mayor of Pécs, Zsolt Páva, has accused Suez of profiteering and a lack of transparency, and the town cancelled the contract with effect from the end of September. Suez is countering with legal proceedings. "If 20 commandos arrive at 3am and occupy somewhere, that is not a European solution, and is undoubtedly illegal," a company manager said.

But Suez, whose turnover last year was €12.4bn (£11.5bn), should not expect much sympathy from local people, struggling to make ends meet in an economy where real wages are forecast to fall by up to 3.5 per cent this year. In a poll, 94 per cent said they supported the local authority.

It's not the first time the French company's record has been challenged. The pressure group Food and Water Watch charges Suez with a "range of abusive practices that place profit before the human right to water", including refusing to extend services to poorer areas, cutting off water if people are unable to pay, and "raising rates to unaffordable levels".

Opposition to privatisation is high, so, with a spring election looming, even neoliberal politicians are having to change their tune: in June, Prime Minister Gordon Bajnai said he would prevent privatisation of the water supply. Multinationals may not like it, but 20 years on from capital's conquest of eastern Europe, public ownership, not privatisation, is the vote-winner.

Wednesday, June 3, 2009

Which for real democracy?

This article, by CPO co-founder Neil Clark, appears in the Morning Star.

If you are a UK voter and supporter of public ownership, please read it before casting your vote in tomorrow's European Elections!

On democracy...

"The people of Britain are what is called a democracy," said Moung Ka.
"A democracy?" questioned Moung Thwa. "What is that?"
"A democracy," broke in Moung Shoogalay eagerly, "is a community that governs itself according to its own wishes and interests by electing accredited representatives who enact its laws and supervise and control their administration.
"Its aim and object is government of the community in the interests of the community."
"Then," said Moung Thwa, turning to his neighbour, "if the people of Britain are a democracy-"
"I never said they were a democracy," interrupted Moung Ka placidly.
"Surely we both heard you!" exclaimed Moung Thwa.
"Not correctly," said Moung Ka, "I said they are what is called a democracy."


From The Comments Of Moung Ka in The Square Egg by Saki.

After the revelations of the last few weeks there can be few people in Britain who would take issue with the cynical view of British "democracy" expressed by the great Edwardian comic writer Saki.

But it's not just the MPs' expenses scandal which damns our present system of government. It's the way the leading parties ignore public opinion on the most important issues of the day.

Take public ownership. Despite opinion polls showing a clear majority in favour of renationalising the railways, not one of our leading parties even considers the measure.
The neoliberal, pro-privatisation model has never been so unpopular, yet here we have an election where the four leading parties, according to opinion polls, can only offer more of the same.

Labour offers little for supporters of public ownership - the Labour government, despite Britain's disastrous experience of privatised railways, has been pushing for other European countries to "liberalise" their excellent domestic rail services.
The prospect of Virgin Trains, First Great Western and Arriva being allowed to run services in countries like Belgium is too depressing for words, but if Labour has its way, it could be happening a few years down the line.

In their Euro manifesto, the staunchly neoliberal Conservatives boast of being "strong defenders of the single market" and say that their aim is "working to open up new markets."

At the top of the party's list in the South East region in the poll, is MEP Daniel Hannan, an enthusiastic privateer.

In a recent appearance on Fox News in the US, Hannan claimed the NHS was a 60-year "mistake," which made people "iller" and he urged US viewers not to support plans for socialised health care.

The Liberal Democrats are singing from the same pro-competition hymn sheet. While the party did call for the renationalisation of Britain's railways in its 2005 manifesto, it has embraced a more "free-market" approach since the elevation to leadership of the Blairite banker's son Nick Clegg.

The policy to renationalise the railways has been dropped. Instead, all the talk is about opening markets and increasing "competition."

In its European elections manifesto, the party promises that "Liberal Democrat MEPs will continue our campaign to extend the single market in the areas of energy, financial services and transport to so that British firms can provide services across the EU."

So if you do want to see Stagecoach buses on the streets of Belgium, the "progressive" Lib Dems will be trying to make it happen.

Then there's UKIP, which if opinion polls are correct, could do very well in the poll. UKIP claims to be a "moderate democratic party." But there's nothing moderate about its economic policies. UKIP says that although it will maintain the "free at point of care" principle, it will "radically reform the working of the NHS."

On rail, it says that it will "make customer satisfaction number one for rail firms," but there's no talk of returning the railway to public ownership.

Tim Worstall, fourth on the party's list in the London region, is a fellow of the extreme neoliberal Adam Smith Institute, whose model of railway privatisation was adopted by the Major government in the mid 1990s. Worstall considers rail privatisation to have been "rather a success actually."

It's clear that the four parties currently leading the opinion polls offer nothing for supporters of public ownership.

So what about the other parties?

The Greens, to their credit, promise to spend £2 billion on a railway system "brought back into public ownership" and to reduce Britain's sky-high rail fares to the "European average."

Leading Green candidates, such as my fellow Morning Star columnist Derek Wall who is third on the party's list in the South East region, are strong supporters of public ownership.

It's disappointing though that the party's European manifesto does not pledge to renationalise bus transport as well - or bring back energy and utility companies into public ownership.

On the threats to Europe's state-owned health-care systems, the Green manifesto says that the party will "support moves for a framework to limiting market penetration into public services."

Limiting "market penetration" is clearly better than allowing it to run wild, but why not work to stop all market penetration into public services?

The Christian Party/Christian Peoples Alliance pledges that "multinational companies will be compelled to act in a transparent and accountable manner," but there is no mention of nationalisation in its programme.

The BNP opposes the privatisation of the Post Office and other "public services" including the NHS. It also supports renationalisation of the railways and the public utilities. But the party's racialist stance in other areas precludes it from being a party that progressives could consider supporting.

There are though two non-racialist parties standing in the Euro elections which are strong supporters of public ownership and unequivocal opponents of privatisation.

In its election campaign, No2EU - Yes to Democracy has drawn attention to the recent extension of European internal market rules to cover health care, which are designed to pave the way for private companies to take over state health-care systems, such as the NHS. No2EU leader Bob Crow, whose RMT union has consistently campaigned for the renationalisation of Britain's transport network and which has fought alongside fellow unions in Europe to fight privatisation, says that anyone who believes in "the NHS and public services should be voting No2EU."

The Socialist Labour Party, which, like No2EU, is fighting every seat in the elections, is also fervently committed to public ownership. The party invited me, in my capacity as co-founder of the Campaign for Public Ownership, to speak at the launch of its Euro elections campaign at the Hay Festival.

The SLP, which favours Britain's complete withdrawal from the EU, calls for the renationalisation of all industries and services privatised in the last 30 years.
Supporters of public ownership should use their vote in the election wisely to make sure it goes to parties opposed to the neoliberal privatisation agenda in Britain and the rest of Europe.

The prospect of Britain sending more enthusiastic privateers to Brussels at a time when the neoliberal model has never been more discredited would make a mockery of the idea that Britain is a democracy. Saki would regard such an outcome with a wry smile - as proof that he was right all along.