Thursday, October 30, 2014

Must-see video on Russia's disinformation war

An absolutely must-see Legatum Institute presentation:

"The Menace of Unreality: Combating Russian Disinformation in the 21st Century "

Starts 29 minutes into this youtube video here.

Speakers:

  • Geoffrey Pyatt, US Ambassador to Ukraine, 
  • Oleksander Scherba, Ambassador at Large, Ministry of Foreign Affairs, Ukraine
  • Michael Weiss, Editor-in-Chief, The Interpreter
  • Peter Pomerantsev. Journalist and Documentary Producer
  • Anne Applebaum, Director of the Transitions Forum, Legatum Institute
p.s.Also well worth watching, this video of a discussion with journalist Oliver Bullough and Anthea Lawson of Global Witness entitled: 

"Looting Ukraine: The East, the West and the Corruption of a Country" 
 

Wednesday, October 29, 2014

Composition of the new Verkhovna Rada

This is an excellent diagram of the configuration of forces in the new parliament.
[Source]

Most journalists axiomatically believe Opposition Bloc, will form a fraction of around 100+ deputies in the new parliament, and that it will be "pro-Russian".

But this may or may not be completely true. Opposition Bloc is not pro Donetsk People's Republic or Luhansk Peoples's Republic - they are  not separatists and have declared they will continue to work for an united Ukraine.

No major figure from former president Yanukovych's coterie or from Party of Regions, and no Ukrainian oligarch can be found in the upper eschelons of the DPR or LPR.

President Yanukovych refused to sign the Ukraine/EU Association Agreement because of tremendous pressure from Russia to boycott Ukrainian goods, including manufactured goods from eastern Ukraine, and to break the back of industries in that region. After invading Ukraine and trashing much infrastructure, such pressure can no longer be applied by Putin - the damage has been done.  Donbas oligarchs have nowhere else to turn but westward - their financial and industrial might, although much reduced after Russia's proxy-led invasion, is too great for them to remain in serious opposition for long. They know which direction the wind in now blowing and will be constantly attempting to cook deals with the new authorities for their own benefit.

There are reports that both of the two leading parties in the new parliament, People's Front and Poroshenko Bloc, are already working hard to recruit successful single-mandate deputies, [many of whom are outwardly independent but are from the PoR stable], into their own ranks in order to gain stronger hands in the formation of a new government. In total there is 94 such single-mandate deputies.

I suspect quite a few will be recruited.. for the sake of personal expediency, for guarantees of immunity, for money etc. etc.

Tuesday, October 28, 2014

Opposition Bloc will enter VR but be impotent? [Update]

So 'Opposition Bloc is expected to be the fourth largest party in the new Verkhovna Rada. They should gain a minimum of 30 seats - and probably more if some deputies in single mandate constituencies join them.

There are suspicions that President Poroshenko and his associates gave Opposition Block an 'easy run' in regained territories in Donbas  - possibly part of a under-the-table deal between Poroshenko and Putin. Pro-Russian elements in Ukraine will now have at least some representation in the VR and  may make Putin a little bit more amenable in any resolution of the current crisis. Some experts even hint this perhaps may be not a bad thing.

There could be substance to these suspicions.

There is lots of 'prima facie' evidence than many on Opposition Bloc's list have been involved in vast fraud and corruption schemes in the past and should be facing criminal charges. Everyone in Ukraine has heard about the Opposition Bloc leader Yuriy Boyko's involvement in the skimming of of hundreds of millions of dollars in the 'Vyshky Boyka' scandal. The fact that he is still 'in business' is a total disgrace.

Others in their ranks have inexplicably acquired great wealth also.  [See previous blog].

Serhiy Klyuyev, who will enter the new parliament has had his business assets seized abroad, and is probably under investigation.

But the Opposition Bloc will always be on tenterhooks, and will have to co-operate with the President - as they have already pledged to do.

The reason for this is the new VR could vote to remove their immunity from prosecution. Those who voted for scandalous laws on January 16 earlier this year, [which would have turned Ukraine into a Yanukovych-led dictatorship], and will now return to the new parliament, could face criminal charges.

Poroshenko will have plenty of kompromat on these guys to threaten them with if necessary.

Update: Ukrainska Pravda provide more information in an article "Elections in Donbas - betrayal of the authorities" about the corrupt manner in which discredited and corrupt Yanukovych 'old-guard' allies have again entered the new parliament...with the tacit approval of Poroshenko?

Poroshenko will be under pressure from Putin to ensure a Russia-friendly premier and cabinet is appointed...but the result was clear- Ukrainians absolutely do not want this.

p.s. FT Beyond Brics seem to agree, in parts, with your humble blogger in this article today.

Many of the Opposition Bloc 'big knobs' are not natural politicians at all, rather their main aim is survival and minimising the rapid diminution of their assets. They much prefer making back-room deals than standing on a box addressing a sceptical electorate...and they know that in the so-called Luhansk and in the Donetsk People's Republics they are finished..They have nowhere else to go.


Friday, October 24, 2014

Ukrainian forces in good shape in Mariupol, says Shuster

Gordonua.com run an interview with one of Ukraine's most well known television journalists - political show host Savik Shuster.

Shuster, who has had a most interesting and colourful career in many countries, had spent a day in Mariupol.

Here is a portion of his observations from the piece which was entitled:

"Shuster: It will be a surprise for Putin that the 'Russian World' in south-eastern Ukraine is braced to fight against Russia"

- What are your impressions from your visit to the Anti Terrorist Operation area?

- I came back last night, and have not yet fully comprehended and thought over everything, but was absolutely impressed by three things.

Firstly, I saw the real Armed Forces of Ukraine - a powerful, organized and cohesive force. It is  constantly being alleged that the Ukrainian army is weak and demoralized. In Mariupol I did not experience this, rather I felt the opposite: Ukrainian forces are of an incomparably higher standar than those I have seen in other military conflicts in the former Soviet Union - and I was in Chechnya, Ossetia, Abkhazia and Karabakh. In Mariupol the armed powers of Ukraine are really organized. That's impressive.

- What else impressed you at the front line?

- Morale. The guys are driven by patriotism. In Kyiv they do not understand this and  they do not understand the circumstances in which Ukrainian ATO fighters now live and fight.

But most importantly, I felt Putin now has great problem. The Russian president does not understand that the "Russian World", which he expects to rise up in Mariupol, will fight against Putin. In the city most people speak in Russian, but they have a maximum pro-Ukrainian outlook. I think for Putin this will be a great surprise, because he is still convinced that the south-east of Ukraine is for Russia. Its nothing of the kind. The Ukrainian Russophone world is against Putin, against his fighters and against Russian aggression.

Although Shuster does not provide an answer how this war against Ukraine will end, he does conclude: "Intuition tells me Russia will never conquer Mariupol."

p.s . Check out this short RFE/RL video [in English] on the kitsch palaces of two Yanukovych-era 'Naftohaz Ukrainy' executives who cannot explain the origin of their families' spectacular wealth but are now running for parliament - and immunity from prosecution.

Wednesday, October 22, 2014

Colder weather adds to despair in Donbas

Citizens, e.g. in the village of Spartak, near Donetsk, are in despair, as can be seen in this sad video.  Out of 5000 residents, less than 400 remain. There has been no electricity, gas or running water for five months as shelling continues...

Until now the weather in Ukraine this autumn has been warm, but a check on the weather forecast shows that by the weekend daytime temperature in Donetsk will drop to low single digit figures centigrade, whilst -4 and -5 centigrade is expected at night.

The coming of frosts will probably attenuate the intensity of armed conflict as fighters expend more effort to survive the cold...a small blessing



Sunday, October 19, 2014

German Intelligence Claims Pro-Russian Separatists Downed MH17 [Updated]

Der Spiegel claims German Intelligence Claims Pro-Russian Separatists Downed MH17

This story will run and run...

p.s. Watched President Poroshenko's being interviewed last night by several Ukrainian journalists. Compared with the stilted, artificial and sycophantic televised press conferences held by Yushchenko and Yanukovych, this was  a proper question and answer session of the sort citizens of any normal western democracy would be familiar with. So, a step in the right direction.

Poroshenko explained one dilemma which was complicating agreement on gas deliveries from Russia. Consumers in the territories held by separatists/terrorists were consuming gas as normal, but Naftohaz Ukrainy [who are responsible for collection of revenue and liable for payment to Gazprom] was not receiving any payment for it, so this was an additional burden for Ukraine to bear. Poroshenko claimed industrial output in these occupied regions was down 70%, and their future as independent but unrecognised entities is not realistic or possible for economic reasons.

Interesting broadcast today on the new English language 'Hromadske International today'. Check it out on YouTube

Professor Timothy Snyder states an "impending, huge humanitarian disaster" [40 minutes into the video] is likely this winter in parts of Eastern Ukraine.

Top journalists Noah Sneider and Christopher Miller who both have spent many days in the region agree with this assessment and add that only brave and determined volunteers are working hard to try and prevent this happening. Should an international humanitarian effort not have been priority #1 in Milan?





Wednesday, October 15, 2014

Insightful analysis from inside 'Novorosisa'

Great analysis from Ollie Carroll, who has been in separatist-held territory for quite a few days now, posted on his facebook page

His conclusions?

"...if "Novorossia" [will] be unable to provide for its people [i.e. to get through the winter], opinion will move very radically against them."

"..the Russian strategy for me? Keep the DNR / LNR soup simmering, while you get back to the main deal: pressure-cooking Kyiv."
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Kyiv has made it clear it will not provide serious funds to sustain and repair the separatist-held territory 'except where there is a Ukrainian flag flying'. The country is all but broke in any case so the possibility of Kyiv paying for any major welfare or regeneration programmes is remote.

And, as Vitaliy Portnikov says, if Putin wants to maintain its influence on this territory which is now being run by his loyalist thugs, or even if he replaces them with saner politicians picked from the local traitors, it will cost Russia a deal of money - we are talking about a war-ravaged infrastructure and millions of people.

But even if does Putin pump the money in, a big if, this being Russia, most of it will be misappropriated in any case.

As I mentioned in my previous blog...a serious humanitarian crisis in Donbas is likely. Those who will suffer most will be the elderly, the infirm, women with young children whose husbands/boy friends have dumped them.... i.e. those least able to fend for themselves.


Thursday, October 09, 2014

A terrible warning for Donbas from 2006

This is from the current Wikipedia entry on Alchevsk, a heavily industrialised city in the Luhansk Oblast of eastern Ukraine which has been under the control of separatists since April.

"Winter disaster of 2006

On January 22, 2006, the district heating system of the city almost entirely collapsed after an underground heat pipe line cracked in unusually cold weather (nearly −30 °C). As a result, heating equipment in the majority of Alchevsk's buildings was frozen and ruptured, leaving about 60,000 residents with only the protection of individual electric heaters. A few days later the sewage system also froze due to a lack of warm tap water.
An investigation revealed the massive, long-time negligence of the city authorities. The whole heating system was designed in a hyper-centralized way, depending on only two boilers and few main pipelines. Moreover, the housing company failed to react to the pipe incident properly: the water from the system wasn't immediately dumped to prevent further freezing.
The Ukrainian government took massive emergency actions to protect Alchevsk residents from freezing. Engineering teams sent by cities and industrial companies from other regions of the country were gradually restoring heating appliances in every apartment affected. Hundreds of children together with their schoolteachers were evacuated to the resorts and hotels in the warmer regions of Ukraine. According to the governor of Luhansk Oblast G. Moskal, it has been the worst human-made disaster in the history of independent Ukraine."
The Ostrov website reports that Donetsk regional council deputy Vitaly Kropachev is now strongly advising those who remain on the territory controlled by terrorist/separatist organizations to urgently leave, otherwise they will die in winter from cold and hunger. 
He provides a detailed analysis of the dire situation that exists in the public services sector which he stressed has now reached the point of collapse. Kropachev believes when the cities of Donbas begin to freeze the leaders of the separatists will 'do a runner' and abandon the citizens of these cities to their fate. He says malnutrition amongst some residents is already a problem. 
Ostrov also mentions the 2006 disaster, but on that occasion the Ukrainian government saved the day. 


Tuesday, October 07, 2014

Ceasefire in Ukraine is a Mirage

Brilliant analysis from Chatham House:

"Ceasefire in Ukraine is a Mirage"

Putin imaged taking the Donbas would be a straight forward re-run of the taking of Crimea. Ukrainians, including, most importantly millions of Russian-speaking Ukrainians, have fought back fiercely to defend their country. Ukrainians will continue to fight and defend their country - this is the biggest reason Putin has eased off his assault.



'Догнать и перегнать' - 'catch up and overtake', was the catch phrase sometimes used by Soviet Communists..If Russia is to succeed in this aim its economic growth must exceed that of neighbours in the years to come. Close co-operation with neighbours is vital because Russia on its own lacks expertise and resources in fields such as scientific and technological research and development, in marketing, banking etc. which have to be shared. Its economy in which extraction of hydrocarbons and minerals predominate is most unbalanced. Tackling rampant corruption is vital component if progress is to be made. Smart money essential for investment is already draining away at a precipitous rate.

Putin's adventure in Ukraine significantly adds to the country's problems and will turn out to be a disaster for its people, perhaps quicker than anyone imagines. And it must always be remembered the Ukrainians who have suffered the greatest hardship from this calamity are those from the Donbas region.

Sunday, October 05, 2014

"Putin's Kleptocracy: Who Owns Russia?"

Watch this riveting hour and one and one half video presentation by Karen Dawisha at the Wilson Center, Washington DC, in which she talks about her important new book:

 "Putin's Kleptocracy: Who Owns Russia?" 

She suggests near the end that one of the reasons for Russia's invasion of Ukraine was that with the flight of Yanukovych,  major assets in Eastern Ukraine and Crimea owned by Russian billionaires tied to Putin could no longer be considered safe.

p.s. The Donetsk 62.ua site considers that continued fighting at the city's airport suits both sides of the conflict. While Kyiv forces engage and resist the separatists there, it relieves pressure elsewhere.

Friday, October 03, 2014

Why Donetsk airport is so important

BBC's Daniel Sandford posted this photo today of the now devastated Donetsk International Airport. It had been built from scratch just a few years ago.


Despite the ceasefire signed in Minsk fighting for the airport has been prolonged and fierce - the Kremlin-backed separatists have brazenly continually attacked it with ever more heavy weaponry, and it has now become an almost totemic target.

Threats of further EU sanctions against Russia if separatists were to gain the airport have not deterred the attackers.

Former head of Ukrainian Intelligence, Mykola Malomuzh explained on Espreso.tv why the airport is so strategically important to the the Kremlin and the Donetsk People's Republic separatists.

He says the Russian military intend to use it as a major forward base in order to threaten Ukraine further. The build-up of Russian armed forces in Crimea and near Ukraine's easterly borders indicate such a possibility is still very much on the cards, despite the so-called ceasefire.

Ukraine's armed forces will soon have to decide soon whether to continue to defend the airport against ever increasing odds, or destroy as much of its infrastructure as possible before retreating.

Sunday, September 28, 2014

Splintered Donetsk People's Republic structure means Somalia scenario is realistic

Several days ago 'The Economist' magazine pondered whether 'A Somalia scenario' awaits Eastern Ukraine where the Donbas "becomes a swathe of ungoverned territory harbouring bandits who cross into the rest of Ukraine to raid, kidnap and steal...or a "Transdniestria [type] region, where organised crime and corruption have flourished under a Russian-backed regime."

Anyone who thinks this is overdramatisation should read Yevhen Shibalov's article "Donetsk People's Republic' from the inside - a short primer" in the 'Dzerkalo Tyzhnya'  newspaper. It explains why it will be so difficult for any normal authority to co-operate with DPR in any meaningful manner to restore order. Here's what he says:

Initially Russian special services and politicians, as well as many of the Donbas elite, and even some Kyiv figures had high hopes for the DPR project, but its chaotic structure and unpredictable and violent nature makes it almost impossible to know how to handle this monster.

The DPR is formed of two often opposing disparate wings - the 'sylovyky' [power people] wing, and the 'polityky'. The sylovyky military wing, which comprises mainly field commanders of varying types, certainly dominates. The sylovyky do not take orders from the polityky...but occasionally take account of their requests when it suits them.

The leadership of the DNR can be split into several groups and sub-groups.

First there are 'The Idealists' who supported the DNR project from the very beginning; they can be split into two sub-groups: The Republicans, and the Anti-Kyivites.

This group's initial aim was federalisation..but as the Kremlin committed more arms and financial resources and violence erupted, their ambitions grew...first to autonomy, and then to creation of a fully independent republic. However this was not what the Kremlin had in mind at all.

The Republicans are led by Andrei Purgin. Many of his supporters have done well for themselves, commandeering apartments... automobiles etc.

The Anti-Kyivite sub-group do not recognise the new authorities in Ukraine's capital, but are ready to accept Donbas remaining part of Ukraine on their own terms. Their leaders include Oleksiy Hranovskyi and Oleksandr Khryakov. Oleksandr Khodakovsky, a 'Vostok' field commander is also attached to this group.

The Idealists included some whose intention was to attach Donbas to Russia proper, but most of these have left the oblast as chances of this occurring fade.

Representatives of the Idealists take part in any negotiations with Kyiv and other parties.

A second significant group in DPR are 'The Betrayed'. These include those who feel betrayed by local elites in Donbas. Many had been members of sylovyk structures under Yanukovych e.g. DPR 'chief of police', form head of Donetsk economic crime unit, Oleh Dykiy, and the above-mentioned Khodakovsky who had been head of an 'Alpha' special forces unit. Amongst 'The Betrayed' are guys who feel betrayed by Ukraine proper, who had come from other parts of the country initially to fight against the DPR, but feel they have been let down, so have switched loyalty to DPR.

A third significant group in the DPR are The Parachutists and Imports from Russia who look down upon the Idealists, but as the chances of Donbas linking up with Russia proper recede, this third group's influence is receding too. Their main man was Vladimir Antyufyeyev, formerly of ex-TransDnistrian security services, but he has now left Donbas. The Parachutists still fulfil a role of co-ordinating supply of arms and humanitarian aid to the region from Russia.

The final group in DNR are the 'crazies' who participated in many serious human rights violations, who have nowhere else to go. They include local thugs and gangsters, foreign mercenaries, 'volunteers', looters, adrenalin junkies etc. They operate in small unorganised units and are accountable to no-one.

The current head of the DPR Oleksandr Zakharchenko has great difficulty coordinating all of these disparate groups. He allegedly recently survived an assassination attempt when the car he was travelling was flipped over. His state of health is unknown. Many of his close team have now left the Donbas oblast.

And amongst this lot of vipers are millions of normal everyday Donbas citizens who just want some peace and quiet and stability, and are not overtly concerned who will be in power. Many have descended into a deep apathy...just  waiting for things to end. Those who can have left, perhaps to seek a better life elsewhere.

Friday, September 26, 2014

Will EU call Gazprom's bluff?

A trilateral meeting on gas issues between Ukraine, the EU and Russia is due to take place on Friday September. 26.

The German "Handelsblatt" newspaper reports that Russian Energy Minister Alexander Novak has threatened to stop the supply of gas to Europe if some consumer countries re-export gas to Ukraine in its hour of need.

Both Russia and the EU are well aware, both as gas supplier and gas consumers, they are absolutely, irrevocably linked. As Owen Matthews in 'Newsweek' explains: "An all-out gas war between Europe and Russia would be the economic equivalent..... “of the old MAD thinking”—MAD being the Cold War acronym for the mutually assured destruction that would follow a nuclear strike. "

So when are individual European countries going to smarten up their act and finally call Russia's bluff?

EU gas utility companies can stop taking back-handers from Gazprom and take control of purchase of Russian gas in a co-ordinated and synchronised manner in order to obtain the best possible single price, most importantly, at the Russian-Ukrainian border. They can sort out further transportation and storage down the line amongst themselves.

It can be done, if the political will exists. Europeans have to sort this out ASAP otherwise they will continue to be blackmailed  by the Kremlin.

Meanwhile Ukrainians, in extremis, will not allow their children and grandparents to freeze in their apartments and houses whilst vast quantities of gas flow through their country.

Could turn out to be quite a battle of wills...

Friday, September 19, 2014

Yevtushenkov's arrest, war in Donbas, and Putin

Vladimir Yevtushenkov, one of Russia's richest men, was placed under house arrest a couple of days ago accused of money laundering. There were suggestions this was primarily an asset grab instigated by Igor Sechin, a close ally of Vladimir Putin.

However Vitaliy Portnikov in Liga.net explains that the arrest may be linked to Putin and his war in Donbas.

Here is a summary of what he has to say:

Yevtushenkov had been building up a web of business and other interests in Ukraine over several years, and had been close to former president Viktor Yanukovych. It was Yevtushenkov who was making offers to the former president "that he could not refuse" in order he scuttle the Association Agreement so carefully constructed between the EU and Ukraine.

But most importantly, Yevtushenkov was the main oligarch standing behind Konsyantin Malofyeyev, about whom I have previously written.

Malofyeyev was one of the main organisers of the invasion and coup in Crimea - the "Orthodox oligarch" obsessed with the restoration the Russia's former empire. He generously financed the separatists/terrorists in the self-proclaimed Luhansk and Donetsk republics, and is allegedly the main sponsor of arms purchases and the paymaster for Russian volunteers/mercenaries currently operating on Ukrainian territory. It may also be that Yevtushenkov was the conduit through which Yanukovych provided operational funding to the separatists from the massive sums he had stolen from Ukraine's budget.  Nevertheless, the overarching mastermind behind the occupation of Crimea and the war in Eastern Ukraine was, and is Vladimir Putin.

In recent weeks Putin and Poroshenko have been holding closed consultations to somehow de-escalate the situation in the Donbas.

[Note: What is being discussed is very hush-hush. Some noted observers like Sonya Koshkina have already declared: "the authorities are making the same fateful mistake as Viktor Yanukovych's team. That mistake is the deficit of openness". E.g. the text of the Minsk declaration was only leaked after several days, and then by OSCE sources..Voting in parliament for new laws providing special status for Ukraine's two easternmost oblasts took place in a closed session...in highly dubious circumstances etc.]

Part of these Putin-Poroshenko negotiations resulted in the unexpected postponement of the implementation of the economic part of the Association Agreement. According to Portnikov, Yevtushenkov's arrest may also be linked to these negotiations, .

If Putin really wants to deprive the militants/terrorists in the Donbas freedom of manoeuvre, he must not only get them to withdraw, but must also cut off their sources of funding.

Yevtushenkov's detention may be a signal that from now on only Putin, and nobody else decides further operation of the Moscow-controlled mercenaries in Donbas. Hitherto this has not been the case. The separatist fighters will begin to understand they can only rely on the ruler in the Kremlin.

Tuesday, September 16, 2014

What most Ukrainians feel in their hearts

Despite today's voting in the Verkhovna Rada granting self-rule and amnesty to Donbas separatists, most Ukrainians would strongly agree with VR deputy Inna Bohoslovka when she declares:

"I did not vote for the law on special status for certain regions of the Donbas.

I will never forgive those who killed, tortured and dares to further torment my fellow Ukrainian countrymen. I will fight them until the last of them will be sentenced or killed."

Bohoslovska was a Party of Regions deputy until end of November 2013..and is a friend of Ukraine's top oligarchs.

At the start of this year she accurately predicted the advent of the plague exported from Russia that has now enveloped eastern Ukraine.

The "special order of local governance in Donetsk and Luhansk oblasts" is a grotesque joke...Does it cover the entire oblasts, or only those portions currently in the hands of separatists? Will towns liberated from separatists again be terrorised by those who have already tortured, kidnapped and murdered their citizens and looted their property?

Poroshenko has been forced to throw millions of Ukraine's citizens into the clutches of lawless cut-throats who have been given carte-blanche to do as they will.

 This was a black day for the EU and a black day for Ukraine..Dark days await....

And for those in Donbas who may have supported the separatists? What kind of victory have the last few months fighting produced for them? What future awaits them? Who is going to fix the huge damage? Russia is not interested...As for Kyiv - the treasury is bare.

The Yanukovych years will be just a pleasant memory.

Monday, September 15, 2014

Get better soon, Ksenia

Russian Journalist Hospitalized After Violent Street Attack

Ksenia Batanova, a producer with Dozhd, Russia’s only independent television news channel, is recovering after unknown assailants fractured her skull. The channel has devoted significant resources to covering Russia’s involvement in the Ukraine conflict and struggled against government pressure.

Watch this brief and most engaging youtube clip of Ksenia talking to camera about herself...what a beautiful person...what a dreadful, cruel crime...

Thursday, September 11, 2014

Can Donbas survive without Ukraine?

With the ceasefire and cessation of hostilities the situation in Eastern Ukraine has reached an impasse. The forces of the so-called Donetsk People's Republic and Lugansk People's Republic now occupy the two major regional cities and about a third of the territory of Donetsk and Luhansk oblasts.

With the respite in the fighting, residents can now begin reflect on where their future lies and what their prospects will be.

Unless there is more significant violence resulting in gains or losses of territory in the next few weeks, with the onset of winter, boundary lines are unlikely to change at least until well into the New Year.

The announcement by president Poroshenko today of withdrawal of the majority of Russian troops and equipment would indicate the heavy fighting is now less likely and current boundaries encompassing rebel-held territory will remain as they are, at least for months to come.

A vital portion of industry in this region is export-orientated. If companies are to survive they require unhindered access to ports and overseas markets. Similarly, new equipment for modernisation and development has to be imported, mainly from abroad. Investors need security and political stability.

The port of Mariupol, which remains in the hands of Kyiv forces, is vital to the maintenance of prosperity in the region. If the separatists and their Russian sponsors and armourers want to conquer the city they would most likely have to launch a bloody and destructive assault.

Two of the three biggest employers in Mariupol are the giant AzovStal and the Illich MetKombinat steelworks which account for about one third of Ukraine's steel production and are the sixth and seventh biggest companies in Ukraine. They produce a major chunk of the country's metallurgical exports. The third biggest employer, AzovMash, manufactures railway freight cars, mainly for export to CIS countries as well as other engineering products; their output has been hit very badly by the troubles.

Mariupol is Ukraine's second biggest gateway for exports, predominantly produce of Donbas.

Donbas and Luhansk oblasts may well be granted special status in the near future. But who will pay pensions, and salaries of teachers, doctors and civil servants in the cities and areas controlled by DNR and LDR separatist gunmen? Who will ensure business and trade can return to normal?

Residents will certainly have much to think about before any elections..

Tuesday, September 09, 2014

Thoughts on Minsk protocol

Sergey Tolstov, writing in Delo.ua describes what may well await the east of Ukraine following signing of the Minsk protocol.

The protocol, most significantly, makes no mention of the presence of Russian forces on Ukrainian territory:

Below is a summary of the conclusion of his well-detailed article:

Elections at gunpoint and [formal] recognition of the Donetsk and Luhansk People's Republics [DPR &LPR]

Until now the DPR &LPR were inherently military forces which have not fulfilled out any administrative function on the territories under their control; they were, and still are, purely parasitic structures.

Under the new [proposed] conditions the leaders of these groups will receive partial political recognition as participants of the settlement process and as representatives of territories having a "special status".

Such recognition, and, especially, participation of the DPR & LPR leadership [and candidates supported by them] in any local elections in territories they control will provide them with political legalisation, enabling them to create their own administrative apparatus.

Moreover, the holding of such elections would open the possibility of direct managerial control by DPR & LDR of public utilities, trade, and transport and energy infrastructure in the territories controlled by them.

As for elections in the territories controlled by the DPR & LPR their leaders are hardly going to abandon the use of repressive measures against political opponents. All sorts of prohibitions and barriers to participation for candidates from Ukrainian political parties can be expected. [Surely an understatement by the writer.]

As to restoration of the economy and infrastructure of Donbas, Russian Prime Minister Dmitry Medvedev has stated that Russia will help the south-east of Ukraine, but Kyiv has to restore it. In other words, the Russian government wants Kyiv to fund areas controlled by the separatists.

It this is to be the Russians stance then Kyiv must insist implementation of the program of economic revival of Donbas and the provision of humanitarian assistance to territories controlled by DPR & LPR  be dependent on the withdrawal of Russian troops. Otherwise Kyiv allocated funds should go only for the restoration of infrastructure in territories controlled by the central government.

In actual fact Tolstov has explained why the Minsk protocol is surely a 'dead duck'

Sunday, September 07, 2014

Better for Ukraine to lose part of its territory than return Donbas on Putin's terms?

Serhiy Vysotsky, in a Liga.net article entitled: 'Does Ukraine have to return Donbas on Putin's terms?' says what perhaps many think, but are unwilling to say right now.

I've loosely translated his thoughts:

Better for Ukraine to lose part of its territory than return Donbas on the aggressor's terms.

According to Putin and Poroshenko the truce is generally being observed. [maybe at time of writing...LEvko]

The situation may now develop along two possible scenarios. If at some point the cease-fire is violated by the Russian army or their proxy separatist militants, the war will continue. Or, more likely, shooting will stop for a longer period until the Winter or early Spring, and the break in the fighting (along with an economic war and the turning off of gas) will be used by Russia to persuade the Ukrainian authorities to capitulate and to provoke a new widespread social revolt.

The aim of the Kremlin in Ukraine is not so much the occupation of the territory, but rather a creeping counter-revolution in response to the EuroMaidan. A strong, modern Ukraine is Putin's nightmare, because such a country would show there is a realistic, clear alternative to his regime. That is why Russian peace terms imposed on the Donbas do not include independence for a terrorist Novorossia. On the contrary, Russia wants Ukraine to remain united, but this unity has to be achieved and maintained on Putin's terms.

It is no secret that the Donetsk clan headed by Yanukovych introduced a gangster-type economy with criminal traditions amongst a Sovietized population, first in its own region, and then in the whole country.

Putin planned the carve-up of Ukraine on clear terms, with kickbacks  for the garage manager [Yanukovych]  on the sale of strategic enterprises, Ukrainian infrastructure and defence industry. Yanukovych almost did manage to sell Ukraine, but then the Maidan sprung up.

The political dominance of Donetsk, the corruption by them of the political classes, their total pressing of public resources and private businesses resulted in a situation where the entire country began to work for the bottomless pocket of the Donetsk clan.

According to Moscow's peace plan, the idea that the Donbas should remain part of Ukraine as a kind of autonomous territory, but with representation in Parliament with the right of veto on foreign policy decisions throughout the country while and at the same being financed from Kyiv, means Moscow wants to return to the status-quo. It intends to hang the Donbas criminal/political yoke back onto the neck of Ukraine.

What is the Kremlin actually offering Ukraine in its peace plan? Instead of the financing of an army and National Guard it proposes the reconstruction of a Donbas destroyed by Russia. But of course, the money will not be for funding the region's recovery, but rather for financing terrorists granted amnesty and legalised through local elections as a new power.

The fifth columnists of the Donets Basin, the fighters who tortured prisoners and killed soldiers and civil society activists, will be formed into a political force that will enter parliament on an anti-Ukrainian ticket. It is easy to imagine what an election will be like on territory controlled by militants - it will be just like the May "referendum".

And who is to supervise such local or parliamentary elections on the occupied part of Donbas - the Russian army? Or will troops and paramilitary forces of the Russian Federation be withdrawn?  Acceptance of the Kremlin's peace plan means surrender.

Despite the complexity of the situation in Ukraine, the direct intervention of Putin's troops and the threat of a full-scale war, the human tragedy and the pain of loss, the fact that the Donbas is soaked with blood of our soldiers and volunteers, despite the tragedy of the few Donetsk and Lugansk patriots who heroically helped our troops, we must honestly ask ourselves: do we need imaginary territorial integrity in exchange for national interests and annihilation of the ideals of the Maidan?

This is a complex, sensitive issue. But it is necessary to give an honest answer. Are we ready to feed an army of invaders, who will not withdraw voluntarily from the Donbas? Are we ready to see in the streets of Kyiv, in parliament, people bragging about the numbers of murdered Ukrainian volunteer battalions? Are we ready, instead of strengthening the army and introducing radical reforms, to work on a huge fraudulent Donbas budget scheme intended to help Akhmetov, Yefremov and other collaborator clans rebuild?

The honest answer is as follows: The only way to return Donbas and Crimea is either win them back after radical reforms and the creation of an effective efficient army, or to return them quietly - through negotiations after the collapse of the Putin regime as a result of sanctions. Meanwhile these occupied territories will be our painful abscess, reminding us of the 23-years of  civil irresponsibility and the time lost in building a functioning state. The loss of part of our territory as a result of aggression is not a sentence. In the current circumstances it is a last chance to create a successful and powerful country.

However, there is one big problem in this sort of speculation. Over the years, a majority of Ukrainians in the easternmost oblasts have considered themselves to be 'patriots of Ukraine'. Should these people be ditched?