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USD 1 = NOK 7.30 No. 28 - 14 September 1993
CONTENTS:
Political landslide blocks EC membership (1-2)
Norway's peace brokers internationally acclaimed (3)
Skaanland goes out with a flourish (4)
Major new hydropower plant (5)
Massive rise in foreign investments (6)
New Northern Hiking Paradise (7)
Norwegian industry world's cleanest? (8)
Clinton's ambassador - Thomas Lofthus (9)
Liv Ullmann to direct 'Kristin Lavransdatter' (9)
Popular literature (10)
New production record in North Sea (10)
norinform/1-2 14 September 1993
POLITICAL LANDSLIDE BLOCKS EC MEMBERSHIP
The Labour Party Government of Prime Minister Gro Harlem Brundtland was
returned to power with increased representation after the general
election on 13 September, marking the first time since 1977 that a
sitting government has received a vote of confidence from the
electorate. Labour moved forward 3 percentage points to win four more
mandates to add to its present 63. But the real winner was the Centre
Party, which swept past the Conservatives to become the second biggest
block in the new Storting, returning 32 representatives in the best
result in the party's history.
What the election results really reflected was a massive rejection of EC
membership, as voters from both right and left flanks abandoned their
usual party affiliations to rally around the flag of Anne Enger
Lahnstein and the strongly anti-Europe Centre Party, which tripled its
parliamentary representation. The decided losers were the Conservatives,
who in their worst election for 20 years lost a quarter of their seats,
and the far-right Progress Party, whose parliamentary representation was
halved. Disappointment was also keen in the ranks of the Socialist Left,
which lost 4 of its 17 seats in the Storting. The Christian Democrats
fell back a little, losing 1 of their 14 mandates. The Liberal Party
will return one representative to parliament, after an absence of 8
years, while for the first time ever, the far-left Red Electoral
Alliance secured a Storting mandate.
The quoted results are partly based on prognoses as a computer breakdown
at Oslo polling stations made it impossible to issue any results from
the capital at the time of writing. However, is is unlikely that the
Oslo results will make a major difference to the overall national
picture.
Gro Harlem Brundtland's expectations of an absolute socialist majority
were dashed but she can secure a majority through issue-to-issue
cooperation with the Socialist Left, the Centre Party and even the
Conservatives. However, the Prime Minister will have a more difficult
task in recruiting the aid of a substantially stronger Centre Party
which is in more of a position to dictate terms. The strength of the
Centre Party will make it almost impossible for the Prime Minister to
win support for the biggest issue on her agenda, EC membership. A group
of more than 70 representatives are declared Euro-opponents. As neither
the Centre, Socialist Left nor Red Electoral Alliance Parties say they
will necessarily respect the results of an EC referendum, their combined
strength - 46 seats - is sufficient to block a ratification of EC
membership; Norway's present Constitution requires a three quarter
majority in the Storting on issues involving the relinquishment of
national sovereignty.
Voter interest appears to have been lukewarm, as only 75.9 per cent of
the electorate chose to exercise their voting rights, a decrease of 7.1
percentage points since the 1989 election and the most disappointing
turnout since 1927.
The expected results of the Storting election are as follows: figures in
brackets are the 1989 results.
Labour: 37.1 per cent (34.3) - 67 seats (63) * Centre Party: 18.5 per
cent (6.5) - 32 seats (11) * Conservatives: 15.6 per cent (22.2) - 28 or
29 seats (37) * Christian Democrats: 8.4 per cent (8.5) - 13 seats (14)
* Socialist Left: 7.9 per cent (10.1) - 13 seats (17) * Progress Party:
6.0 per cent( 13.0) - 9 or 10 seats (22) * Liberals: 3.6 per cent (3.2)
- 1 seat (0) * Red Electoral Alliance: 0.5 per cent (0.4) - 1 seat (0) *
Others: 2.4 per cent - 0 seats (1).
norinform/3 14 September 1993
NORWAY'S PEACE BROKERS INTERNATIONALLY ACCLAIMED
Norway has received international acclaim for its contribution to the
historic breakthrough in negotiations between Israel and the PLO. (see
Norinform no. 27 - 7 September 1993). US President Bill Clinton called
the agreement a giant step towards peace in the Middle East. Now that
the agreement has been signed in Washington, Norway's Minister of
Foreign Affairs Johan Joergen Holst, who must be given much of the
credit for steering the negotiations towards a successful conclusion,
says he is very optimistic about the future. However, he underlines that
the peace process is far from complete. "First and foremost, the
antagonisms which have built up over the years must be resolved. After
that, the two sides must cooperate on building a new future," says
Holst.
The final details in the historic agreement on mutual recognition were
hammered out when the Holst "delegation"- which also included Terje Roed
Larsen of the Norwegian Trade Union Centre for Social Science and
Research (FAFO), and Head of Division Mona Juul at the Ministry of
Foreign Affairs - were in direct contact with the Israeli government in
Jerusalem and PLO leader Yasir Arafat in Tunis. Holst was then called to
Tunis to be present at Arafat's signing of a letter to Israeli prime
minister Yitzhak Rabin. After this, he flew to Jerusalem where a new
signing ceremony took place.
>From some quarters in Norway have come proposals that Johan Joergen Holst
should be nominated a candidate for next year's Peace Prize in
recognition of his role of peace broker. However, others point out that
such a proposal should come from foreign sources.
norinform/4 14 September 1993
SKAaNLAND GOES OUT WITH A FLOURISH
When Hermod Skaanland, Governor of Norges Bank, retires at year's end, he
will hand a mammoth-sized surplus on to his successor. At the end of
July, the bank's operating profits stood at USD 1.65 billion, compared
with USD 420 million at the same time last year. At end 1992, the bank's
surplus was an all-time record, USD 1.5 billion. But only seven months
into 1993, this sum had already been exceeded by USD 69 million.
The bank's financial director, Harald Haare confirms that this year's
profit has surpassed all previous records, despite the fact that falling
interest rates have substantially reduced net capital gains. But high
earnings on exchange, not least from the US dollar, have offset these
losses. The main reason for the record-breaking figures is the steep
rise in currency reserves, which were depleted last year in measures to
defend the NOK, says Leif Eide in the market operations division. But
both he and Haare stress that these winnings are only to be found on
paper at present. The central bank does not run short-term trade with a
view to making gains. This also implies that fluctuations on the
international market kan rapidly eat up parts of the profit.
Winnings generated by alterations in the exchange rate are taken to
income in their entirety. But appreciation on securities is not
normally included to any extent, as these are entered at the lowest
purchase price and market value. Thus, Norges Bank is likely to have
accumulated substantial hidden assets on its huge bonds portfolio - in
addition to the incomes which are included in the accounts.
norinform/5 14 September 1993
MAJOR NEW HYDROPOWER PLANT
Norway's state power producer, Statkraft, last week opened its latest
major hydropower plant, Svartisen, in north Norway; the plant cost USD
420 million to build. Svartisen generates 2,170 million kilowatt hours
of power, enough to cover the needs of about 200,000 people. Statkraft
has also signed a deal on power deliveries to Germany.
Svartisen boasts not only Norway's largest aggregate, but also the
world's biggest turbine of its type. By 1998 a large new dam is also to
be built, at a cost of USD 125 million.
Statkraft has completed a deal on the exchange of power with the German
power-producer PreussenElektra AG. Under the terms of the deal,
Statkraft will supply about two billion kilowatt hours of power every
year. In addition, the companies will exchange power when price and
cost conditions warrant it. The agreement also covers import of power or
further exports of up to 6.5 billion kilowatt hours per year, partly by
way of a new cable between Norway and Germany and partly via existing
cables to Denmark.
norinform/6 14 September 1993
MASSIVE RISE IN FOREIGN INVESTMENTS
Overseas investors bought shares in Norwegian companies worth a total of
USD 1.7 billion during the first half of 1993. This is 20 times more
than in the corresponding period last year.
The lion's share of the increased investments (USD 1.2 billion) was
provided by Kraft General Foods when it purchased Freia Marabou.
American investors account for a total shares purchase of USD 1.4
billion.
Norwegian companies purchased foreign shares worth USD 260 million in
the first six months of the year. Compared with the same period of 1992,
this is a drop of USD 27 million. Head economist Jon Rogne in the
Norwegian Trade Council believes that investments abroad will increase
in the second half as the improved economy of Norwegian companies, low
interest rates and rising market trends start to have an effect.
Newly released statistics from Norges Bank show that Norwegian companies
are putting their money into Europe and North America. At the beginning
of 1992, Norwegian capital investments abroad totalled USD 10.2 billion.
Only 72 million of this had been channeled into other regions than
Europe and North America. The total increase amounted to USD 1.4 billion
in comparison with the preceding year.
At the start of this year almost 60 per cent of total Norwegian capital
invested abroad had gone to EC member countries.
norinform/7 14 September 1993
NEW NORTHERN HIKING PARADISE
On the occasion of the 125th anniversary of the Norwegian Mountain
Touring Association, an 800-kilometres long hiking track was recently
opened in "Nordkalotten", the regions of Norway, Sweden and Finland
which lie north of the Arctic Circle.
On 2 September no less than two monarchs and a president rendezvoused at
"Treriksroeysa", the cairn which marks the meeting point of the three
countries. King Harald and Queen Sonja came from the Norwegian side,
King Carl Gustaf and Queen Silvia from the Swedish side and president
Mauno Koivisto and his wife, Tellervo, from Finland. They met amidst
beautiful scenery at a ceremony to mark the link-up of the three hiking
routes. It was particularly appropriate that this also happened in the
year which the Norwegian Government has dedicated specially to exercise
in the open air.
Nordkalottruta, as the track has been named, is a Nordic cooperation
project. The track, which will be open only in the summer, runs between
Kautokeino and Sulitjelma in Norway and Kvikkjokk in Sweden. Those who
walk the entire route will cross national frontiers no less than 9 times
and have the opportunity to stay at any of 40 cabins scattered along the
route.
The path runs through a varied landscape ranging from lofty mountains to
open heathland. People have moved along tracks between the three
countries since time immemorial, and those who decide to follow in their
footsteps today will have a chance to observe bears, wolves, lynx and
wolverines along their way.
norinform/8 14 September 1993
NORWEGIAN INDUSTRY WORLD'S CLEANEST?
"Within a few years, I'll be willing to vouch that Norwegian industry
will be the cleanest in the world," says Harald Rensvik, head of
Norway's State Pollution Control Authority. Rensvik's confident
statement followed the recent presentation of MIA, Norwegian industry's
programme in connection with the international environmental project
"Responsible Care". The programme was presented during the recent
Environment Northern Seas conference in Stavanger.
Norwegian companies have been invited to take part in MIA under the
umbrella of PIL - The Federation of Norwegian Process and Manufacturing
Industries. PIL embraces 450 companies with a total payroll of 53,000,
together accounting for almost 60 per cent of Norwegian commodities
export. PIL plans an ambitious programme aimed at more efficient
exploitation of energy and resources, the promotion of recycling and the
proper disposal of waste.
According to the MIA presentation, Norwegian industry has already got
off to a flying start. Discharges of nitrogen into water have been
reduced from 5,000 to 2,000 tonnes since 1985 and there are prospects of
a further 50 per cent reduction by 1995. Emissions of highly toxic
cadmium have been slashed - from 25 tonnes in 1985 to 500 kg in 1991.
Major reductions have also been registered in discharges of sulphur
dioxide and chloric acid. But the major success story concerns mercury
discharges which - thanks to improved production processes and new
technology - were down to 60 kg last year, a 90 per cent reduction in 6
years. Some of the cleansing technology has been so successful that it
is now an export commodity; 10 per cent of the world's mercury
discharges are now cleansed with the aid of technology developed by the
Norzink concern in West Norway.
norinform/9 14 September 1993
CLINTON'S AMBASSADOR - THOMAS LOFTHUS
President Bill Clinton's recent appointment of Thomas Lofthus (age 48)
as the new American ambassador to Norway came as no surprise to
political observers. In Washington D.C. last week he began an intensive
course in Norwegian to prepare for his new job. The former state
politician from Wisconsin has close ties to Norway - both his fraternal
and maternal grandparents emigrated from Norway in the last century.
Lofthus, who 'came in second' when he ran for governor of Wisconsin in
1990, got to know Bill Clinton while the President was still governor of
Arkansas, partially through a mutual interest in children's rights.
LIV ULLMANN TO DIRECT 'KRISTIN LAVRANSDATTER'
The Norwegian actress and film director, Liv Ullmann, is directing a
film based on the first novel in Sigrid Undset's trilogy, "Kristin
Lavransdatter". Placed in the Middle Ages, it is a story of a woman's
fate, involving strong emotions, love, religious faith and superstition.
Ullmann is looking for a Norwegian actress to cast in the role, and
filming is scheduled to start in May next year, and is expected to be
completed by 1995. A television version in three episodes will be
produced simultaneously and both film and TV versions will be launched
internationally. "Kristin Lavransdatter" will be the second film
directed by Ullmann, after last year's success, "Sofie".
norinform/10 14 September 1993
POPULAR LITERATURE
Norwegian literature for young people is steadily gaining popularity in
other countries and is being translated into more and more languages.
Author Tormod Haugen's books are particularly well liked and his latest
book "Tsarens juveler" (The Tsar's Jewels) is now to be issued in, among
other languages, Russian and German. Several of his previous books have
been translated into about 15 languages.
Torill Thorstad Hauger's medieval novels for young people have been
translated into a number of European languages and her latest work "Den
lange reisen" (The Long Journey) is to be translated into four
languages. Stig Holmaas's book "Tordensoennen" (The Son of Thunder) will
be issued this autumn by an American publisher. The most popular of the
contemporary Norwegian authors of adult literature is Gerd Brantenberg
who is also the most translated of Norwegian authors.
NEW PRODUCTION RECORD IN NORTH SEA
Oil companies operating on Norway's continental shelf have pumped up
more oil from the North Sea this summer than ever before. Fresh official
figures from the Petroleum Directorate show that average daily
production was 2,359,000 barrels of oil. Contributing richly to this
record were the Gullfaks, Statfjord, Snorre and Oseberg fields.
Despite the fact that oil production in the first two months of the year
was hampered by bad weather, the year's total production seems set to
exceed last year's. Petroleum production now stands at 78 million tonnes
of oil equivalents, compared with 76.7 million tonnes at this time last
year. Production delays at the beginning of the year have now been
compensated for and the prospects for the rest of the year are good, say
Petroleum Directorate representatives.
.