A.N.A. Bulletin, 07/06/96

From: "Greek Press & Information Office, Ottawa Canada" <grnewsca@sympatico.ca>

Athens News Agency Directory

ATHENS NEWS AGENCY BULLETIN,

Greek Press & Information Office

Ottawa, Canada

E-Mail Address: grnewsca@sympatico.ca

CONTENTS

[1] Simitis: Political dissension and military must not guide Ankara's policy toward Greece

Prime Minister Costas Simitis yesterday warned Ankara to avoid using its internal political strife as a guide to policy toward Greece.

"It's time that Turkish prime ministers learn that Turkey's internal political differences and pressure coming from the generals cannot be a guide to their actions," Mr. Simitis told reporters upon his arrival in Thessaloniki yesterday to begin a two-da y official visit.

Mr. Simitis said Turkish Prime Minister Mesut Yilmaz "denies, through his stance, international law, international treaties and all the rules and practice on which Europe and peace were built after World War II."

The prime minister added that "Mr. Yilmaz and anyone else who has designs on Greek territory does so in vain."

The latest Greek-Turkish diplomatic tension this week erupted after a Turkish naval officer serving at NATO's regional headquarters in Naples demanded that Gavdos, an inhabited island lying south of Crete, be excluded from the planning of a NATO exercise scheduled for September as being a "disputed area". The alliance immediately rejected the request.

Speaking in Brussels on Wednesday, the Turkish premier claimed that the legal status of Gavdos was "the subject of a political dispute." It marked the first time Ankara has directly questioned Greek sovereignty of an inhabited island.

Replying to journalists questions as to whether he is concerned for national issues, Mr. Simitis said "there is no worry," and added that "Greece is united and can face any danger and any provocation."

Foreign Ministry spokesman Costas Bikas earlier yesterday described as "unfounded" the Turkish claims questioning Greek sovereignty over Gavdos.

In commenting on the issue, Mr. Bikas noted that Athens always took seriously and examined the neighboring country's threats.

"Turkey must eventually stop living in a world of delusionary dreams and come down to earth in the world of international law and order," government spokesman Dimitris Reppas said later yesterday, commenting on statements by Turkish Premier Mesut Yilmaz questioning Greek sovereignty of Gavdos.

"The government will not allow this policy of Turkey's to continue," Mr. Reppas said. He attributed Turkey's actions, however, to the neighboring country's internal political problems, which he said "lead to a foreign policy verging on absurdity."

Replying to other questions, Mr. Reppas said Foreign Minister Theodoros Pangalos would undertake the task of briefing his European Union (EU) counterparts on what he described as "increasing Turkish provocativeness."

[2] Evert letter

In a related development, main opposition New Democracy (ND) leader Miltiades Evert addressed a letter to the presidents of the European Commission, the European Parliament and the European People's Party (EPP) as well as the NATO secretary general, urging that Turkey be "brought back to its senses and normal international behavior."

Mr. Evert said the purpose of the letter, sent also to the ambassadors of EU member-states, the United States and Russia in Athens, was not to underline the obvious groundlessness of Turkey's unilateral and sudden claim over Gavdos, but to stress the growing dangers in the region caused by Ankara's "purely expansionist policy."

"There are limits, and I am afraid that they have been surpassed once again," Mr. Evert states in the letter, adding that "national dignity, respect for international legality, the defense of territorial integrity and the safeguarding of peace are rules which cannot be overlooked or ignored."

"This new threat finds all our nation united, irrespective of political positions," he adds.

Later, while on an official visit to the island of Limnos in the northeastern Aegean, Mr. Evert said "the Greek people, united and steady, must reply," before charging that the government is following a policy he characterized as a "continuously yielding attitude that feeds into Turkey's unacceptable ambitions."

He called for a long-term national strategy, an appropriate buttressing of the nation's defense, and the economic development of the islands.

[3] Other opposition statements

Political Spring party leader Antonis Samaras criticized the government for what he said was a lack of a stable and comprehensive national strategy, and of facilitating, with its policy, Greece's partners in "assuming the role of Pontius Pilate".

Communist Party (KKE) General Secretary Aleka Papariga called on the government to ask NATO and the European Union to make existing borders in the region secure.

Ms. Papariga stressed that the matter went beyond Greece and Turkey.

"If NATO and the EU had in practice secured the borders and had not exercised this policy in the Balkans of changing borders, then Turkey would not have had the nerve to put forward, now the Imia question, now the Gavdos question, or to open the way for a re-examination of the Treaty of Lausanne," she said.

If NATO and the EU do not take steps to make the borders secure, she added, then Greece must review its position.

Commenting on the same issue, Coalition of the Left leader Nikos Constantopoulos noted that while Turkey, which was in the wrong, acted on the basis of plans, Greece, who had justice on its side, reacted each time in a piecemeal and spasmodic fashion.

He called on the government to demand from international organizations, the European Union and the United States to pressure Turkey decisively into complying with international law, "instead of pretending surprise".

[4] Attention may bring power station to isle

Meanwhile, Greek EU Energy Commissioner Christos Papoutsis said yesterday that he is examining a proposal by New Democracy party Eurodeputy Costas Hatzidakis for the financing of a power station on Gavdos using renewable sources of energy.

According to reports, Mr. Hatzidakis, in questions submitted to the Council of Ministers and the European Commission, has raised the issue of Turkey's disputing of the status of Gavdos, asking to be informed what their position on the matter is, and what measures they intend to adopt in order to stop Turkey from undermining stability in the sensitive region of the eastern Mediterranean.

[5] Turkish warplanes repeatedly violate Athens FIR

Turkish warplanes yesterday violated air traffic regulations in the Athens Flight Information Region (FIR) and Greek airspace in at least 15 instances over the eastern Aegean.

The violations were mainly centered east of the island of Hios, press reports said.

Ankara's fighters were reportedly participating in a Turkish military exercise, code-named "EFES '96," taking place in the region. In all cases the Turkish aircraft were recognized and intercepted by Greek fighters.

According to reports, air-to-air confrontations occurred in some instances.

[6] Inflation posts slight drop

Inflation dropped slightly to stand at 9.1 per cent at the end of May, compared to 9.2 per cent at the end of the previous month, according to figures released yesterday by the National Statistics Service (ESY). ESY said the downward trend was expected to continue in June, given current market indications.

The agency's general secretary said "inflation's downward trend is beginning again."

The slight drop in May was due to the fact that the Consumer Price Index rose by 0.6 per cent, compared to an increase of 0.7 per cent in the same month last year.

The O.6 per cent rise was a result of an increase in the hospital fees of private clinics and increases in the prices of clothing, rents, heating oil, pork, fish and fruit.

These increases were offset by reductions in the prices of fresh vegetables and potatoes and the return of restaurant prices to levels before the Easter bonus added to bills.

[7] Premier states Gov't resolve to establish Thessaloniki as the center of its Balkan policy

Prime Minister Costas Simitis yesterday reiterated the government's resolve to turn Thessaloniki into the headquarters of its Balkan policy, and set out the measures for implementation of this policy.

Speaking at the Helexpo Conference Center in the Macedonian capital, the prime minister said the government's strategy could open new horizons for Greece and its economic and social potential, but also for the citizens of the Balkans, in an opening of new pathways of communication and prosperity.

He referred in detail to the large projects which must be implemented for Thessaloniki to be able to respond to such a role, and placed special emphasis on devolution, through the transfer, in particular, of services of the ministries of agriculture and education, of the sport secretariat, and of international economic relations to the city.

He described the Egnatia Highway under construction across the breadth of northern Greece as the backbone of development in the region, forecasting completion by the year 2000.

The city's Makedonia Airport will be extended and modernized, becoming an important center in air transport in order to meet the rapidly increasing traffic, which is predicted to double in the next 15 years.

The establishing of an Inter-Balkan Technological Co-operation Center will be promoted in co-operation with the United States, to facilitate the modernization of production in all Balkan countries, and the attraction of foreign investment in sectors of high technology.

Support will also be offered to the efforts of the Inter-Balkan and Black Sea Business Center and Black Sea Co-operation Bank, which are based in the city.

Mr. Simitis said another sector in which Thessaloniki could play a leading role was education and culture, noting the considerable opportunities in contributing to training in other countries.

"Broad possibilities for education and training in the whole region must be created with the utilization of all educational establishments. European Union programs, both in Greece and other countries, allow the financing of this inter-Balkan education al co-operation, which is a precondition for the success of the broader economic and political co-operation," he said.

Referring to next year's assumption by the city of the title of Cultural Capital of Europe, Mr. Simitis said a great deal of work was still needed in order to turn it into a symbol of a new era, co-existence and confluence of civilizations.

Projects budgeted at 62 billion drachmas will not only host events, but will continue supporting cultural activities in future, he said.

[8] State Department comments on Gavdos issue

State Department spokesman Nicholas Burns commented late yesterday evening (local time) on the most recent dispute by Ankara of Greek sovereignty over Gavdos, an inhabited island south of Crete.

"We're sorry that tension between Greece and Turkey exists over a particular matter. As you know, one of our main goals as we approach this relationship... between the United States, Greece and Turkey, is how to reduce tension between the two countries,"

Mr. Burns said, declining to further clarify his statement.

"I don't think it's productive for me to begin talking about the details over the dispute surrounding this particular island near Crete, and I just want to inform that, of course, we will move discreetly on this issue, and naturally we will inform the governments of Greece and Turkey on our views."

In response to a press question, Mr. Burns said his reluctance to directly comment on the issue does not mean that he has no position on the sovereignty of the island, but that he did not want to discuss the issue publicly.

[9] Romeos meets with EU presidential representative for Cyprus

Prospects for a solution to the Cyprus issue, in view of an expected United States initiative and mediating efforts by the European Union, were discussed in a meeting yesterday by Alternate Foreign Minister George Romeos and the Italian EU presidency's representative for Cyprus, Ambassador Federico di Roberto. Mr. Romeos stressed that there were two prerequisites for a recommencement of dialogue between the Greek Cypriot and Turkish Cypriot communities

The first was that the subjects for discussion would have to be clarified, namely in the form of an agenda for talks and, secondly, the Turkish Cypriot side would have to show that it was well-intentioned and sincere.

These conditions were necessary, Mr. Romeos pointed out, to ensure that the impasses of the past were avoided.

He said it was important also for the EU's interest in finding a solution to remain strong, since Cyprus was an associate member of the EU, which was therefore obliged to participate in efforts to resolve the problem.

The efforts of those working for a solution could be successful, Mr. Romeos underlined, only if the parties involved were willing to exert pressure on the Turkish Cypriot side to abandon its intransigent stance.

[10] High-ranking Spanish general to visit Greece next week

Spain's chief of the army general staff, Gen. Jose Faura Martin, will visit Greece next week at the invitation of his Greek counterpart, Lt.-Gen. Manoussos Paragioudakis.

During his stay, Gen. Martin will meet with the political and military leadership of the national defense ministry and visit military facilities as well as archaeological sites.

[11] Simitis holds talks with Pangalos, Arsenis

Prime Minister Costas Simitis discussed issues concerning the government foreign affairs and defense council's secretariat with foreign Minister Theodoros Pangalos and National Defense Minister Gerassimos Arsenis at the Maximos Mansion yesterday.

According to reports, the latest developments in Greek-Turkish relations were also discussed.

The meeting lasted one hour and the two ministers made no statements afterwards.

[12] Simitis meets with Kaklamanis, Skandalidis

Prime Minister Costas Simitis examined the ruling socialist PASOK party's course toward its congress later this month in consecutive meetings yesterday with Parliament President Apostolos Kaklamanis and PASOK central committee Secretary Costas Skandalidis .

Mr. Skandalidis said there was great certainty that all would be in their positions after the congress as well, in the sense that PASOK's unity was not in danger.

He reiterated that the country had a premier and that a premier would not be voted at the congress.

[13] Five PASOK Parliamentary spokesmen candidates nominated

The PASOK Parliamentary group yesterday voted for the first time for the election of five deputies who will be recommended for selection as Parliamentary spokesmen by party president Andreas Papandreou.

Among the deputies Georgakopoulos, Haralambous, Brakatsoulas, Zafeiropoulos, and Kedikoglou, elected in that order of preference, Mr. Papandreou will select three.

[14] Kaklamanis to attend CoE Parliament speakers conference

Parliament President Apostolos Kaklamanis is representing Greece in a conference of presidents of European parliaments, due to begin in Budapest today. The conference will be officially opened by Hungarian President Gyula Horn and President of the Council of Europe's (CoE) Parliamentary Assembly Lenni Fischer.

The conference, which will be attended by representatives of the 41 member-states of the CoE will be "the role of parliaments in the building and exercising of pluralistic democracy, under the conditions of market economy." The possibilities for finding solutions to social problems will also be examined during the sessions, as will the role of the legislating powers. The conference will also examine the closer co-operations between national parliaments regarding the EU's intergovernmental conference.

[15] Gov't denies BBC report alleging East German connection to PASOK funding

Government spokesman Dimitris Reppas yesterday strongly rejected a BBC report claiming that the former East Germany state security agency (Stasi) decided in 1984 to finance the then and now ruling PASOK party with 2 per cent of the turnover of the Greek hi-tech firm "Intracom".

Describing the report as "slanderous, unfounded and totally false," Mr. Reppas said PASOK had never accepted such funding "as a matter of principle."

[16] Parliament discussion

Tension rose in Parliament during discussion of a draft bill on party finances yesterday, when New Democracy party deputy Manolis Kefaloyiannis quoted a report in the German "Berliner Zeitung" newspaper, alleging that the former East German regime used to finance PASOK with 2 per cent on all trade deals with Greece in the 1980s.

Reacting sharply, Interior Minister Akis Tsohatzopoulos said it was unacceptable for such groundless allegations to be relayed within the chamber, and called on the deputy to take it back.

Mr. Kefaloyiannis replied he had only relayed what he had heard in the news, and that he was satisfied with the minister's answer. He later charged, raising tensions again, that parties are dependent on particular businessmen.

A third "round" occurred when Communist Party spokesman Antonis Skyllakos, addressing ND party deputies, said they were not in order accusing his party of having been financed by former east European regimes when their own had been involved in the financing and support of the Berisha regime in Albania.

During discussion of the draft bill, Mr. Tsohatzopoulos reiterated that there would be no change in the electoral law, and elections would take place in October 1997.

[17] Experts point to Avlona as best choice for new Athens landfill

Athens University and Polytechnic experts have determined that a site near Avlona, some 50 kilometers north of Athens, is the most appropriate for the sanitary burial of the greater Athens area's garbage.

The announcement yesterday caused a strong reaction among residents in that region, with Mayor Dimitris Kyriakou asking for Prime Minister Costas Simitis' personal intervention to avert implementation of the findings.

"They are trying to turn Avlona into Athens' backyard. With manufacturing units, tanneries, prisons, and landfills, the state is trying to downgrade the area. They will find us all in opposition, and I fear that reactions will be uncontrollable," he said in a press conference at the Foreign Press Association.

The mayor, backed by a team of scientists, presented facts in support of their opposition to the recommended site, including the area's designation by the environment ministry as protected from building activity last year, and citing its proximity to a forest area.

Meanwhile, the situation with garbage disposal in the capital has again become problematic, following the Ano Liosia municipal authority's decision to indefinitely close a landfill in the municipality in protest against what they called the government's procrastination and the site's exhausted capacity.

Responding to the developments, New Democracy party Deputy Fani Palli-Petralia called on the government to reopen the Ano Liosia landfill, criticizing Environment, Town Planning and Public Works Minister Costas Laliotis and the government of "playing their personal games at the expense of citizens' health."

[18] Avlona residents set fire to railway line to protest proposed landfill

Residents of the Avlona municipality set fire to the railway tracks last night in protest of plans for the creation of a landfill in the area. The fire caused at least two train routes to be canceled.

According to reports, the residents were determined to remain on the train lines throughout the night, and said they will increase the force of their mobilizations if another solution is not found for the creation of the landfill.

[19] Earthquake recorded off Zakinthos

A strong earthquake occurred at 7:26 yesterday evening in the area between the island of Zakinthos and the Katakolo peninsula in the western Peloponnese region.

The quake, with an epicenter 230 kilometers west of Athens and measuring 5.4 on the Richter scale, was felt mainly in the prefectures of Ilia, Zakinthos and Ahaia. Police said no damages have been reported as yet.

[20] Legal assistance for tourists program again provided

The Consumers Union for Quality of Life (EKPOIZO) is providing legal assistance for tourists for the third consecutive year this year, participating in the implementation of the corresponding European programme.

Apart from Greece, the programme is being implemented in Spain, Italy and Portugal. It will start on July 1 and will be completed on Sept. 30.

The programme for legal assistance in Greece is being promoted in Athens, Volos, Kavala, Iraklion and Patra in co-operation with consumer unions in these cities.

[21] European Bank Federation congress held here

The European Bank Federation congress, on the level of secretary generals, was held yesterday in the Delphi Conference Center. Greece was represented by the secretary general of the Greek Bank Union (EET) I. Manos and EET's legal advisor for labor issues G. Tsatiris.

Discussions during the convention included issues concerning employment and labor relations in the European sector's modern environment, as well as the issue of joint negotiations and of collective bargaining agreements in European banks.

Financial and monetary union was also discussed, as were the consequences it may have in social relations and on certain banking services.

Research was presented during the convention regarding employment trends in the banking sector. The research revealed that demand for specialized personnel is expected to rise.

[22] OTE to organize 65th session of EUTELSAT in Crete

The Hellenic Telecommunications Organization (OTE) will organize the 65th session of EUTELSAT's board of directors' meeting next week, where the issue of privatizing EUTELSAT is expected to dominate.

The European Organization of Satellite Systems and Communications (EUTELSAT) is headquartered in Paris and operates on the basis of inter-state agreements between its member-states, covering by satellite a region extending from the Atlantic to the Black Sea and beyond. It is responsible with developing satellite communications in Europe.

OTE is a participant in EUTELSAT together with 43 other member-states.

The meeting will be held in Agia Pelagia, Crete on June 17-21.

[23] Gov't announces increases in low pensions

Prime Minister Costas Simitis yesterday announced the inner cabinet's decisions on pensions, which introduce a "social solidarity allowance" and other benefits aimed primarily at relieving the plight of senior citizens on low pensions. Pensioners currently receiving minimum pensions, regardless of the social security fund to which they belong, will be eligible for the "social solidarity allowance" (EKAS), provided they are over the age of 65.

The allowance will be equal to two daily wages of an unskilled worker - i.e. 11,400 drachmas - and will be given to all pensioners whose monthly pensions did not exceed 100,000 drachmas during 1995. Mr. Simitis underlined that the increase was equal to income assistance of 10-20 per cent.

The government also decided to introduce an automatic readjustment of minimum pensions, to be linked with consumer price index increases, as of Jan. 1, 1997.

Those receiving pensions between 100,000 and 110,000 drachmas will be entitled to an allowance calculated on a sliding scale of 1.5 to 0.5 daily wages of an unskilled worker. For example, a pension of 105,000 drachmas will qualify for an increase of 5,7 00 drachmas.

Mr. Simitis stressed that until now, Greece was the only European Union country that had not taken measures to assist persons on low pensions.

He described yesterday's measures as "a step toward modernizing the system" and the fulfillment of his party's election pledge.

The premier said the demand of the General Confederation of Greek Workers (GSEE) for relinking minimum pensions with 20 daily wages of an unskilled worker had been rejected "after much consideration" because the repercussions on social security funds could not be foreseen. He left open the possibility of measures in this direction, however, at some future time.

The main criterion for the government's decisions, Mr. Simitis said, was to help those on low pensions "who suffer most", in correlation with the cost of the measures, "which must not be allowed to jeopardize the economic convergence programme."

Mr. Simitis said the cost of the measures was estimated at 52 billion drachmas annually.

Labor and Welfare Minister Evangelos Yiannopoulos expressed his outright disagreement with the measures, saying the former government of New Democracy had broken the link between minimum pensions and 20 daily wages of an unskilled worker, a system the ruling PASOK party had promised to reintroduce.

Mr. Yiannopoulos said he had proposed a gradual re-linking, indirectly expressing disappointment that the inner cabinet had approved the measures unanimously.

[24] Opposition statements

Reacting to the announced measures, the New Democracy party said "the deception of pensioners by the government is continuing... embellished, this time, with the supposed disagreement on the part of the labor minister."

Political Spring party leader Antonis Samaras referred to increases as amounting to a "tip" to pensioners.

The Communist Party of Greece (KKE) said measures announced by the government for the country's pensioners constituted "mockery and deception," adding that "none of their claims were met."

"The supposed dialogue conducted by the government was to gain time and to present the government as one which 'listens'. However, it proved once again that it only listens to the voice of its masters, the European Union and the Federation of Greek Industries," an announcement by KKE stated.

KKE proposed to pensioners and the union movement to follow the "path of struggle."

[25] Evert, Kastanidis meet on issue of state procurements

Transport and Communications Minister Haris Kastanidis visited main opposition New Democracy party leader Miltiades Evert and briefed him on a legislative settlement being promoted on the issue of state procurements.

The meeting was attended by former transport minister Theodoros Anagnostopoulos, who said he proposed to Mr. Kastanidis to create an administrative council at the Hellenic Telecommunications Organization (OTE) by members of inter-party acceptance.

Mr. Kastanidis did not reject Mr. Anagnostopoulos' proposal, saying he would bring it to the attention of Prime Minister Costas Simitis.

[26] Meeting with Samaras as well

Political Spring leader Antonis Samaras also agreed yesterday with the proposal made by Mr. Kastanidis for creation of an inter-party committee to deal with procurements and public works.

During yesterday's meeting between Mr. Samaras and Mr. Kastanidis, the Political Spring leader said the proposal made by the transport minister is moving in the right direction, but asked the minister for a high-ranking judicial official to be appointed by the judiciary in order to participate in the committee.

[27] EOT told '96 arrivals through airports at roughly last year's level

Representatives of the International Air Transport Union held talks with National Tourism Organization (EOT) Secretary-General Vassilis Kourtesis yesterday, informing him that the total number of arrivals in Greece would remain roughly at last year's levels (8.5 million).

The meeting, attended by Olympic Airways representatives, focused on the entire circuit of air transport in Greece, while specific mentions were made on what has to be done at certain airports around the country to enable them to become more operational .

Mr. Kourtesis offered assurances that every effort would be made to have problems resolved immediately, in co-operation with Olympic Airways.

[28] Name shares amendment ratified

An amendment excluding foreign companies participating individually or in joint ventures of public works tenders or procurements from being obliged to have to name shares was ratified in Parliament yesterday amid tension and bickering.

The amendment was carried with a majority vote since the main opposition New Democracy party did not request a rollcall vote as had been expected.

Tension flared when ND leader Miltiades Evert claimed that with the amendment the government "is obscuring the issue of interwoven interests even more."

Defending the amendment, National Economy Minister Yiannos Papantoniou said the amendment clarified and analyzed the law on name shares, adding that it was imposed by developments since some of its points concerning interwoven interests were not comprehensible.

Mr. Papantoniou also said that Greek law could not be imposed on foreign companies.

[29] DEH signs power linkage agreement with Italy

An agreement on an electric power link between Greece and Italy by underwater cable was signed in Rome yesterday by Public Power Corp. (DEH) general director A. Papathanasiou and Italy's ENELSPA general director Claudio Poggi.

DEH President George Birdimiris said the project had additional economic and political importance since it made Greece a crossroad for electric power networks in Europe.

The project will cost ECU 304 million and is expected to become operational by the year 2000.

The investment will be covered by DEH for up to 25 per cent and by ENEL for the remaining 75 per cent, while 38 per cent of the cost will be subsidized by the European Union.

According to an announcement by DEH, completion of the project will provide the corporation with the opportunity to supplement a series of important activities such as securing the building of DEH's unit in Lavrion, promoting its development programme, restoring its smooth operation and profit-making (9.3 billion drachmas in 1994 and 60 billion drachmas in 1995) and consolidating its position in international money markets.

[30] Strong Greek participation noted in Belgrade trade exhibit

More than 60 Greek companies are participating in the "Multiproducts EXPO '96" exhibition, which opened in Belgrade yesterday and will close on Sunday. It is being organized by the Greek company ABC Group and the Yugoslavian company Jenex.

Products being exhibited include textile goods, leather products, footwear, clothing, linen, food, clothing industry machinery, woodwork machinery, bathroom accessories and restaurant equipment.

The exhibition was opened by president of the Serbian Chamber of Commerce Vlaiko Stoikovic, who said the exhibition does not only aim to sell Greek products, but also constitutes a good opportunity for the broadening of economic co-operation between the two countries.

Mr. Stoikovic said Greece was one of the few countries which helped Serbia financially during the sanctions and stressed that Yugoslavia and Serbia wish to approach the market of EU member-countries through Greece.

End of English language section.