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Kids still on vacation Despite the fact that the Ministry of Education had ordered all students back to school on Monday 7th, there was minimal attendance at schools. Hoy reports that public schools in Villa Juana and Villa Consuelo, for example, canceled classes after only 15% of pupils showed up, while just 15 of the Republica de Argentina School's 500 students attended on Monday morning. Most private and public schools are expected to resume classes tomorrow. | |||||||||||||||||||||||||
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Police officers getting pay rise? Interior and Police Minister Franklin Almeyda Rancier has confirmed that the 2008 budget includes a salary increase for police officers and his ministry's officials. Almeyda didn't reveal the percentage increase of salaries, although he did explain that employees would get paid and receive the benefits provided by the ministry. Currently, auxiliary police officers receive RD$3,000 per month plus benefits like paid transport, insurance and the opportunity to obtain scholarships. Police officers who work in Barrio Seguro neighborhoods receive those benefits for a total salary of RD$10,000 per month. Police Chief Rafael Guillermo Guzman Fermin said that a new annual vacation program was going to be put in place as well as an eight-hour working day. | |||||||||||||||||||||||||
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Segura pessimistic about energy State-run Electricity Company (CDEEE) vice president Radhames Segura has expressed pessimism about the energy situation the DR during 2008. Segura said that increasing fuel prices are to blame for this outlook. Segura explained that for every dollar that fuel prices go up energy distributors must find a further US$12 million to purchase the same amount of energy. Segura went on to explain that as a result of current contract restrictions energy generators buy energy from the distributors at US$0.15 cents KW/hour or US$0.16 cents KW/hour while the sale price is at between US$0.18 cents KW/hour or US$0.19 cents KW/hour. Segura added that the distribution margin is US$0.3 cents to the dollar and with that margin no energy distributor, no matter how efficient, can do a reasonable job of distributing energy. | |||||||||||||||||||||||||
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Paying the price of electricity inefficiency Civil engineer and consultant on energy matters Bernardo Castellanos has written to Hoy explaining why electricity in the DR is so expensive. He says that included in the power rates is a US$0.09 intermediation (VAD) cost per kWh. This has increased from US$0.03 in 2004 and US$0.08 in 2005, even before the increase in fuel prices, he points out. He writes to explain that an efficient electricity distribution cost would only need a value-added distribution cost of US$0.03. But as a result of the inefficient operation of the two distribution monopolies (EdeNorte and EdeSur operated by the government) and EdeEste (AES), Dominicans have to pay them a subsidy of US$250 million a year. This is in addition to the US$600 million subsidy that comes from the government, and in addition to the cost of operating the CDEEE, the contracts of the Smith & Enron and Cogentrix generators (US$100 million), and the transmission tolls (US$400 million). He points out that the subsidy from the central government has increased from US$250 million in 2004. Castellanos writes that it is not correct to say that the state is subsidizing the electricity rates. He explains that even with the high cost of petroleum, the power rate should be US$0.14 kWh and not the US$0.20 kWh that is currently being charged. He explains that the distribution companies are purchasing power from the generators at the same prices as the non-regulated users (UNR) that buy energy at US $0.11kWh-US$0.12kWh. He opposes any further increase in the rate of power, as this will only serve to stimulate the power distribution companies' inefficiency. He says that to increase the power rate would be unfair and abusive, because this would mean increasing the VAD to more than US$0.10. He says that the government has already budgeted US$800 million in subsidies for 2008, according to statements from the Minister of Economy and Planning. | |||||||||||||||||||||||||
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San Cristobal scandal City Councilors in San Cristobal are denying accusations by Mayor Jose Montas that they had agreed to give themselves a 49% pay increase equivalent to RD$151,905 per month in so-called "per diems." City council leader Leonardo Reynoso said that the councilors' salaries were only increased to RD$96,000, of which RD$20,000 are taken out in the form of taxes. Reynoso said the salary increase was only 30% and therefore not illegal. Reynoso added that it was totally untrue that the wage increase will be at the expense of the police, fire department, library and other city department budgets, as Montas claimed in his criticism of the increase. Reynoso said that Montas has approved salary increases for high ranking city officials, including himself, totaling between 40% and 75% and that Montas had also agreed to the purchase of RD$10 million's worth of luxury SUVs for high-ranking San Cristobal city hall officials. Regardless of Reynoso's justifications, Interior and Police deputy-minister Domingo Jimenez described the salary increase as illegal. Jimenez explained that no city government could exceed 25% of the budget in personnel payments considering that 40% must go to public works projects. He also explained that no deputy mayor could have a salary that exceeds 60% of the mayor's salary. Adding to the noise caused by the salary increase, PRD and PRSC representatives have also voiced their opposition. PRD general secretary Orlando Jorge Mera and PRSC president Federico Antun Batlle both advised city council members from their respective parties to revoke the decision. | |||||||||||||||||||||||||
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Capital markets exchange update The Dominican capital markets exchange ended 2007 with a total trade value of RD$15.4 billion, representing a total increase of 821% compared to 2006 when total trade was valued at RD$1.7 billion. General manager Darys Estrella Mordan told Hoy that 2007 had been a spectacular year for the exchange. Estrella also said that the shared market only represented 7% of the total volume when she arrived in April 2006, but that in 2007 it totaled 56.26%. Hoy writes that in 2007 seven new bond emissions were registered for a total of RD$8.6 million in sub prime bonds, prime bonds and commercial papers. The emissions came from the Metro Country Club, Banco Ademi, Banco Leon, AES Andres, BHD Valores, Asociacion Dominicana de Ahorros y Prestamos and Banco Popular Dominicano. Estrella, who has more than 15 years experience on Wall Street, is optimistic about 2008, saying that the financial market's priorities are to continue increasing bond emissions, diversification of products and increased maturity of the bonds, as well as increased participation of companies in the exchange. | |||||||||||||||||||||||||
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Reliving history A group of 24 Finnish medical students and engineers, accompanied by four professionals in their fields finally completed a trip of a lifetime. Following in the footsteps of their ancestors, who made the trip 78 years earlier, the crew of 28 arrived in the DR on 1 January 2008 aboard the Goleta Helena. The trip took three months and according to Finnish Vice consul Pasi Kapanen the trip was longer than the one taken by Christopher Columbus. Finnish officials were so excited about the crew's arrival in the DR that Finnish ambassador Mikko Pyhala flew from Caracas, Venezuela, where the embassy is located, to meet the crew at Santo Domingo's Don Diego dock. Pyhala also thanked Higher Education, Science and Technology (SEESCyT) Minister Ligia Amada Melo de Cardona for her help in developing a scholarship program for Dominican students to study in Finland. | |||||||||||||||||||||||||
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DR gang in Madrid A new Dominican gang is now fighting over control for streets in the Spanish capital, according to El Dia. The paper reports that "Los Trinitarios" have split from the DDP (Dominicans Don't Play) gang and use the slogan "Dios, Patria y Libertad," as their gang tagline. Gang members reportedly greet each other with the words "For Love of Country." The gang, which until recently was only present in the DR and Dominican neighborhoods in New York, has now expanded its base to Madrid. Reporter Jose Antonio Hernandez says that the gang claims Dominican founding father Juan Pablo Duarte as their founder, and their leader is a man known by the alias "Tony Toca". Gang members are known to use knives, firearms or even machetes and according to a code of conduct street fighters can receive 300 hits for minor infractions or 844 hits for mayor infractions. Death is also a penalty for some serious actions like desertion or "snitching" to the police. Gang fights have been common as gang members fight for control with the Latin Kings, the largest Latino gang in the US, and the Netas, originating in Puerto Rico. | |||||||||||||||||||||||||
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Jorge Blanco out of intensive care Former President Salvador Jorge Blanco was taken out of intensive care at CEDIMAT yesterday. Hoy writes that Jorge Blanco's situation has been listed as stable, although there are no indications of when he will leave the hospital. The former president was taken to the hospital on Sunday suffering from an infection in his left leg and concerns about his heart. Once he was taken to the hospital he was treated with antibiotics. | |||||||||||||||||||||||||
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Haiti bans Dominican eggs and chickens The Haitian authorities have banned the importation of Dominican chicken and eggs in order to prevent the spread of Avian flu in the country. The ban has worried egg and chicken producers in the Cibao region and Escolastico Suero, spokesperson for egg and chicken sellers at the bi-national market, told Listin Diario that vendors could stand to lose an estimated RD$40 million. Last year the DR exported US$4 million worth of eggs to Haiti. Yesterday, Migration director Bernarda Reynoso and CESFRONT commander Colonel Rafael Roa Cruz and other high-ranking officials met in Dajabon to discuss the situation. During the meeting officials agreed to ask Agriculture Minister Salvador Jimenez to ask the Haitian authorities to lift the ban. Last week the Puerto Rican authorities temporarily banned the importation of Dominican chickens until the situation in the DR was under control. Local reports say that the fighting cocks found to be infected with the H5N2 avian flu strain had been irregularly imported from Puerto Rico. | |||||||||||||||||||||||||
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DR could lose banana market share The DR could lose its share of the international banana market in the aftermath of Tropical Storms Noel and Olga. A delay in the distribution of RD$400 million to get the sector back on its feet, as promised by President Leonel Fernandez, is also causing concern. Fernandez had promised to provide this sum at a preferential rate of 6% through the Banco Agricola, but none of the money has materialized to date. The Dominican Banana Producers Association (ADOBANANO) estimates that 78,000 acres of land were damaged in the storms and that the economic loss is equal to RD$900 million. Also, the damage to the sector has led to the loss of 8,000 jobs. Listin Diario writes that 1,200 producers are directly affected. Eddy Cabrera, speaking on behalf of ADOBANANO said that banana exports have been reduced by 50%. | |||||||||||||||||||||||||
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Losing the war on drugs in court The president of the National Drug Control Department, Major General Rafael Ramirez Ferreira complained about the weak link of the judiciary in the war against drugs. He said that 42% of accused drug dealers were released by the courts, adding that the DNCD's role is to prosecute and arrest people who are caught drug dealing, but it is up to the state prosecutors to prepare the case that could lead to a sentence. As reported in El Caribe, Ramirez Ferreira said that the number of arrests and drug confiscations, especially of cocaine, is there for everyone to see, and that they would continue in their task. Ramirez's statements coincided with celebrations of the Day of the Judicial Branch. Marking the occasion, Chief Judge Jorge Subero Isa said that the true strength of the judiciary is in the moral strength of the judges. | |||||||||||||||||||||||||
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Baseball update Could this be the game that gets the Tigres on a surge to first place? Fans sure hope so. Last night the Tigres beat the fast-fading Gigantes del Cibao 3-2 behind homeruns by Napoleon Calzado and Jose Guillen. Guillen went 2-4 in the game, batting two runs, while Calazdo went a measly 1-4 despite a memorable single hit. In other baseball news, last night's game between the Aguilas and Estrellas was one for the books as pitcher Nelson Figueroa struck out 13 batters to give the Aguilas a 6-1 victory over the Estrellas Orientales. Figueroa pitched a gem, only giving up one hit and one run without giving up a walk in seven innings pitched. The Aguilas are desperately battling to make at least second place, which would secure them a place in the Caribbean Series. The Caribbean Series will be played in Santiago, where the Aguilas are the home team.
Estadio Tetelo Vargas - 8pm: Aguilas - Estrellas | |||||||||||||||||||||||||
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