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Proposal part of broader privatization effort, would likely lead to increased interest rates.

from the World Socialist Web Site

"A secret internal government report has revealed the plans of the Conservative-Liberal Democrat coalition to sell student loan debt to private investors. An estimated £40 billion of debt is being targeted, composed of loans to students between 1998 and 2012, according to the document seen by the Guardian .

"The report, produced by Rothschild Investment Bank, is an expression of the ruthless manner in which ruling circles are proceeding to extract maximum profits from every area of social and economic life. The proposal is part of a broader programme of privatizations and spending cuts announced in the government’s recent spending review, which included a further £11.5 billion reduction in the welfare budget to cut the UK’s massive budget deficit.

"An increase in interest rates on student loans would be a precondition to make the investments more attractive to private financiers, the document argued. Alternatively a so-called 'synthetic hedge' could be considered, which would involve government subsidies to ensure the profits of potential investors. Currently the interest on student loans stands at the base lending rate set by the Bank of England at 0.5 percent, plus one percent, giving an overall interest rate of 1.5 percent. Such rates of return for investors are deemed unacceptably low. …"

Assessment finds basins studied could hold carbon emissions for 500 years, but doesn't address economic viability.

from grist

"We could liquefy and cram our carbon dioxide emissions into the ground for some 500 years before America’s geologic basins started to overflow with the stuff.

"That’s according to a new assessment by federal scientists, who spent years scouring America for porous rocks thousands of feet beneath the ground that might be appropriate for carbon sequestration.

"They studied 36 geologic basins that could be suitable and found that the best region for storing waste CO2 would be the Gulf Coast. …"

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Strike takes place as right-wing coalition prepares to impose further austerity measures.

from the World Socialist Web Site

"Portugal’s two main trade unions, the Socialist Party (PS) aligned General Workers Union (UGT) and the Communist Party (PCP) aligned General Confederation of Portuguese Workers (CGTP), staged a 24-hour general strike yesterday.

"The strike—the fourth called by the unions since Portugal asked for a €78 billion bailout two years ago—took place as the right-wing coalition led by Social Democrat (PSD) Prime Minister Pedro Passos Coelho prepares to impose further austerity measures next month. There are already 1.5 million people out of work in the country of 10.5 million, with less than half receiving unemployment benefits. The official youth unemployment rate is 42.5 per cent.

During the day thousands of people marched through the capital of Lisbon to the parliament building, which was protected by a large police cordon. Demonstrators held banners reading, “Enough!” and “Government Out!” Other protests were held in towns and cities including Oporto and Faro in the south.

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Previously flooded households wouldn't have been able to renew their home insurance without facing extortionate rates.

from The Guardian

"Hundreds of thousands of flood-hit homeowners will still be able to buy insurance after a deal was reached between the government and the insurance industry.

"The agreement will cap flood insurance premiums, linking them to council tax bands so people will know the maximum they will have to pay. It is expected to protect up to 500,000 households, but they will have to wait until 2015 before the agreement comes into force. Minister Richard Benyon said: "there is still a lot of detail to work out."

"Under the terms of the scheme, known as Flood Re, all UK household insurers will have to pay into £10.50 each to a fund that can be used to pay claims for people in high-risk homes. But the insurance industry said this already happened informally now, so general premiums should not rise. The scheme will operate for 20-25 years, after which homeowners will be expected to protect themselves. …"

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Huge oversupply of carbon pollution permits will cancel out efforts made in other areas to cut carbon, study finds.

from The Guardian

"Deep problems in Europe's carbon trading scheme — its flagship climate change policy — are set to cancel out over 700m tonnes of emissions saved through renewable energy and energy efficiency efforts, according to a new report.

"The study, by carbon trading thinktank Sandbag, found that a huge oversupply of carbon pollution permits means many are being banked to enable emissions after 2020, when efforts to tackle global warming should be intensifying. These emissions, nearly equivalent to Germany's annual carbon pollution, will cancel out efforts made in other areas to cut carbon.

"The report also warns that Europe's emissions trading scheme (ETS) is a 'global dumping ground' for 'dubious' carbon permits created by projects around the world. …"

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