Author: Hafiz Noor Shams

For more about me, please read this.

Categories
Economics Environment

[1119] Of India to sell Malaysia 220MW nuclear reactor?

Now this is a news that we do not get to hear everything. Over at Bloomberg, there is a report that India is planning to sell a 220-MW reactor to Malaysia:

Feb. 27 (Bloomberg) — Nuclear Power Corp. of India Ltd. said it’s in talks to sell small nuclear reactors to Malaysia and other Asian nations once an international embargo on India’s atomic technology ends. [India Seeks to Sell Reactors to Malaysia, Indonesia, Bloomberg, Feb 27 2007]

Now, that would soften the what-the-fuck reaction I made after reading a news report that Uncle Sam would be alright with a nuclear-powered Malaysia, and even support:

KUALA LUMPUR, Feb 27 (Bernama) — The United States said today that it would not oppose if Malaysia were to pursue a nuclear energy programme for peaceful purposes. [US Has No Objection To M’sia Pursuing Nuclear Energy Programme, Bernama, Feb 27 2007]

In recent times, the notion of nuclear-powered Malaysia was probably first mooted in 2006 by Dr. Jamaluddin Jarjis. Therefore, this development in some way should not come as a surprise.

As for me, I am still undecided about nuclear power. The fact that nuclear power could help reduce greenhouse gases emissions greatly attracts many greens to it. It may be an exaggeration but currently as far as the nuclear option is concerned, there is a great schism within environmentalism. I personally am slightly leaning towards acceptance of nuclear power as a piecemeal answer to anthropogenic climate change.

There are two things that still prevent me from fully embracing nuclear as energy.

One is waste management. There is technology out there that could safely store the waste but it is very expensive to say the least.

Second is production cost. On cost, it is quite confusing. Some say nuclear-derived electricity is cheaper than coal or gas. Some say otherwise; if the cost of construction is considered, the price of nuclear-derived electricity is higher than coal or gas. In the US, opponents of nuclear power often cite that nuclear power only become viable after heavy govenrment subsidy. If the deal goes through through, perhaps we could compare the planned roughly RM 1.3 billion 300MV coal power plant in Sabah with a power plant that would utilize the 220MW nuclear reactor.

Further, if the deal goes through, the location of the reactor would be of great controversy.

Categories
Education Personal

[1118] Of congratulations, sir

My headmaster while I was at the Malay College has been promoted:

PUTRAJAYA: Chief Inspector of Schools Alimuddin Mohd Dom has been promoted Deputy Director-General (Schools) at the Education Ministry.

Alimuddin, whose appointment was effective yesterday, received the news from Director-General of Education Datuk Dr Ahamad Sipon three days ago. [Alimuddin named Deputy D-G in charge of schools. The Star, March 2 2007]

Therefore, congratulations sir!

The last time I met him was last year during a brainstorming session.

Categories
Economics

[1117] Of Friday morning starts with free trade

Protectionists always argue that free trade hurts the poor. Professor Mankiw quotes the US Treasury Secretary Paulson as the US battles its own rising sentiment of protectionism:

Thus trade helps Americans provide for their families. When special interests seek protection in the name of low-wage workers, we should acknowledge that limitations on imports do not benefit the vast majority of Americans. They deny people the freedom to choose from a broader array of goods and services, and impose a cruel tax on people who rely on low prices to stretch their family budgets. The cost of protectionism falls most heavily on those who are least able to afford it — the poor and the elderly.

It should be noted that free trade means absence of trade-distorting policies which include tariffs and subsidies.

Categories
Politics & government

[1116] Of dear Malaysians, take me to your leader

Question.

The Prime Minister is in Yemen.

The Deputy Prime Minister is in Saudi Arabia.

So, who exactly is in charge?

The king?

Please do not tell me that it is somebody on the fourth floor.

This case also occurred in 2005.

Categories
Economics Politics & government

[1115] Of it is best for BN-led government to dissolve the Parliament soon

I thought yesterday was scary when Shanghai’s benchmark fell about 9%. Yet, I thought it was a mere blip, some sort of a random walk that usually occurs for no good reason. The Dow Jones followed suit later but I thought it was a reaction to the Chinese performance. As of noon, today, the KL Composite Index has fallen nearly 6%. As a whole, it is not pretty for the region either. This might be the start of a vicious cycle and I am beginning to change my mind about the random walk.

I would like to see data on consumer spending to find out what is really happening though. If we truly are in trouble, consumer spending should start falling. It is only unfortunate that there is a lag in reporting.

Meanwhile, talks of recession are yet again running amok:

Still, traders’ dwindling confidence was knocked down further by data showing that the economy may be decelerating more than anticipated. A Commerce Department report that orders for durable goods in January dropped by the largest amount in three months exacerbated jitters about the direction of the U.S. economy, just a day after former Federal Reserve Chairman Alan Greenspan said the United States may be headed for a recession. [Stocks Have Worst Day Since 9/11 Attacks, AP via Yahoo!, Feb 27 2007]

Alarms have been sounded earlier. That is why I am somewhat skeptical of the feel good atmosphere the Barisan Nasional-led government is trying to paint currently. The economy was relatively good last year — I am willing to accept that much — but between the future and the past, we should concern ourselves with the former, first and foremost.

With a recession expected to hit the US, and — by virtue that the country is Malaysia’s largest trading partner and that Malaysia is hugely dependent on trade — Malaysia, strategically, I feel it is best for the BN-led government to dissolve the Parliament soon. Therefore, I am agreeing with the executive director of MIER, Ariff Abdul Kareem’s opinion.

The later the general election is held, the worse the economy would perform and the worse BN would perform in the election.

Nevertheless, of course, that does not prevent us from savoring the expected Bank Negara’s announcement on last year’s GDP.