Saturday, March 3, 2007

Additional articles on foreign relations

Some other articles on the importance of foreign relations

Today Online
26 Jan 07
Singapore deserves far better treatment from Thailand and Indonesia

1. Letter from Errol Goodenough

I REFER to your report, "Indonesia acts, S'pore regrets" (Jan 25).

Singapore appears to have bent backwards at all levels in reaching out to help our southern neighbour. We have come to their aid in good times and bad, not in the hope of securing favours but often out of genuine concern.

The Indonesian Government's recent policy of refusing to sell sand to Singapore comes so soon after the Singapore Government has publicly said that it would help champion the development of Riau industry. Singapore's commitment to Batam, Bintan and Karimun has been evident for decades and preceded the bickering on the sale of sand.

Somehow Indonesia's policies, coupled with its tardy response on the haze issue, seem to flesh out the saying that "no good deed ever goes unpunished". Far better we build upon our relations with our neighbour to the north, as bilateral relations in this instance now appear to be more comfortable than in the past.

2. Letter from Lim Boon Hee

IF SINGAPORE'S economy booms, Asean also benefits. However of late, this win-win attitude appears to have taken a backseat within Asean.

Indonesia has unilaterally cut off supply of sand to Singapore knowing full well that the construction of our integrated resorts and condominiums will require sand. I wonder if it has anything to do with the haze for which Singapore sought help from the United Nations. Indonesia felt humiliated by it.

Earlier, Malaysia too had banned sand exports to Singapore, worried that Singapore's land area will increase through more sea reclamation.
Meanwhile, the Thai head of Council for National Security (CNS) has made surprising statements on Temasek's stake in the former Thaksin-family-controlled Shin Corp. Without any proof, we have been accused of spying through Advanced Info Service, the mobile phone company owned by Shin Corp.

Although the Thai PM has agreed not to mix politics with business in economic dealings, the rejections of iTV's five proposals and insistence on the 100 billion baht ($4.5 billion) fine is evidence of a tit-for-tat response to Thaksin's antics in Singapore.

Indonesian unions are also targeting the "so-called" business tactics of telcos in which Temasek have stakes in.

Singapore will increasingly come under siege from testy neighbours and suspicions about the motives of the Government's investments through Temasek. There are looming dark clouds around us and we have to stand firm.

Second Newspaper Response


Straits Times
What's behind 'triple whammy' attacks on S'pore?
Waren Fernandez, Deputy Editor & Foreign Editor

Summary

This article, authored by Warren Fernandez questions the validity of the numerous slams and attacks Singapore has received in recent times from its South East Asian neighbours, namely Malaysia, Indonesia and Thailand.

Issues debated on range from the floods in Johor to the sand ban by Indonesia (covered in the previous article), to Thailand’s spat with Singapore because of a visit ousted Prime Minister Thaksin paid to Deputy Prime Minister S. Jayakumar, and lastly the allegation that Singapore was trying to spy on her by routing telephone calls through the Republic.

Comments

In response to ousted Prime Minister Thaksin Shinawatra’s personal visit to Singapore’s Deputy Prime Minister S. Jayakumar, Thailand has to me, overreacted by cancelling a planned civil service exchange programme and an invitation to Singapore’s Foreign Minister George Yeo to visit Bangkok, and consequently attempted to sabotage herself.

This is so because Singapore actually has a significant stake in regulating the Thai economy. Singapore’s investment in Thailand is ranked second, behind Japan and we are Thailand’s fourth largest trading partner. Thus, Thailand actually has more to lose by its impulsive decision of antagonizing bilateral relations.

Luckily for Thailand, our government is willing to accommodate what I deem as a situation of political transition in Thailand, in which the new leaders are being challenged by the global community to establish a stable regime.

As for the issue of floods in Johor, Johor Chief Minister Abdul Ghani Othman originally blamed it on Singapore’s reclamation works at Pulau Tekong.

However, technical studies carried out by both governments proved that the comment was untrue (S’pore rebuts Johor CM’s Flood Claim, ST, 1 Feb).

This in turn forced the Environmental Minister, Datuk Seri Azmi Khalid, to make a public statement, deeming the views of the Johor Chief Minister as “unofficial” and not representative of the government’s, alongside with saying that Malaysian’s drainage systems was actually the key issue here.

I think that Malaysia should not be too quick to blame Singapore for their problems. Sure, it might earn them some temporary reprieve from their citizens, but it will not solve the underlying problem eventually. For by blaming others for their own mistakes, anyone can see that it is akin to discrediting their own government.

Yet, I suppose that I could have been biased in my stand, for having grown up in Singapore, societal pressure have would have tended to influence me into viewing our neighbours as second world, hopeless countries inferior to Singapore.

Moreover, having grown up in Singapore all my life, I would naturally have a sense of patriotism and would then be critical of countries that criticize her.

In summary, what I deduced from this article would be that, with the onset of the twenty first century, bilateral relations with other countries, especially those in our regional sphere, have grown to become even more important. Diplomacy has to be a key aspect of our foreign relations, for Singapore is a small nation with scarce resources, and she cannot afford the long-term resource capabilities needed for wars with other countries.

Singapore has to continue with this tradition of having a patient mentality, of knowing how to accommodate others at times (demonstrated in the above examples), yet without compromising her fixed stands on issues such as drug trafficking and terrorism. Only then can she progress as a nation, a progress expedited by the support she receives from countries in our regional zone.

Before I end off, I would like to quote Sir William Strang, a British diplomat, on one basic truth of diplomacy:

“Diplomacy is not one of the easiest professions. What it calls for above all things is patience.”

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Additional articles on sand issue

Some other articles on the sand issue

Straits Times
03 Feb 07
HDB projects won't be delayed, spike in building costs unlikely

INDONESIA'S ban on sand exports will not result in any delay in Housing Board projects under construction, nor will it have a significant impact on the cost of building the flats.

Home owners will also not be asked to pay more for the upgrading projects in public housing because of the ban. Indonesia is Singapore's sole supplier of the key building resource material.

A spokesman for the board said that the sand needed for these and upcoming projects can be met from existing supplies and if necessary, from HDB's stockpile of sand.

HDB will also be obtaining sand from other sources to address the supply situation in the longer term.

By taking these steps, the spokesman said the board 'does not expect the ban on sand to have a significant impact on the overall development cost of HDB flats'.

He added that in any case, the selling prices of HDB flats are based on their market value rather than cost.

This year, 3,000 to 4,000 Build-To-Order (BTO) flats are being offered by HDB in the Sengkang and Punggol area, while upgrading works are in progress in 19 precincts.

Cost issues aside, the spokesman said that HDB has also been studying refinements in its construction practice to minimise the use of concretingsand.

Alternative designs and materials being used in new public housing developments include steel piles, dry partition walls, prefabricated toilets, glass facades and metal parapets.

To help the building industry move away from its heavy reliance on sand, the Building and Construction Authority (BCA) is also stepping up plans to train the workforce in steel-based construction techniques.

If the industry makes a complete switch and 70 per cent of all building projects are built using structural steel, BCA estimates about 15 per cent of the workforce will have to be trained in steel construction.

This involves re-training existing workers and attracting new ones.

'We will be increasing the capacity of steel-related trade tests at our Overseas Test Centres,' said a BCA spokesman.

The four centres in India and five in Bangladesh are to be operational by year's end.

This response followed industry-wide concerns that the ban would dampen the industry, which is expecting $19 billion worth of contracts this year.

Currently, Singapore imports about six to eight million tonnes of sand from Indonesia a year. Industry players estimate price hikes of 30 per cent from the current $20 per tonne in the future, which is why BCA is encouraging the industry to move to steel-based construction.

For example, in place of concrete floors, metal decks can be used, topped with a thin layer of concrete.

This reduces concrete use by about 30 to 40 per cent. This is the right direction for the industry, said Dr Teo Ho Pin, MP for Bukit Panjang and Mayor of North West District, who has spoken up often in Parliament on issues related to the industry.

The necessary training is available, said Dr Teo, but attracting professionals - especially local workers in experienced supervisory positions - is the difficulty.

But he saw a silver lining - the transition to steel-based construction provides 'a very good window of opportunity' for locals, especially those aged 45 and above who are prepared to pick up new skills and join the industry.

Also in favour of 'going steel' are architects here. Ms Rita Soh, president of the Singapore Institute of Architects, said the choice of materials is decided by developers, which is usually determined by cost.

Steel construction has many benefits, such as better sound acoustics, and it allows for faster construction. 'End users need to change their mindset that dry construction is less solid,' she said.

Dr Teo added: 'This method of construction has been around for a long time. Now, it's a matter of public education.'

Today Online
26 Jan 07
Headache over shifting sands
Contractors feel the pinch now, buyers may hurt later

THEY were warned. As early as September last year, contractors like Mr David Toh, project director of Ley Choon Constructions, were told that the price of sand was on its way up.

Like good businessmen, they factored a moderate rise in the cost of sand into their tender quotations. What they did not expect was Indonesia's blanket ban on sand exports.

Now, instead of this building material costing, say, 20 per cent more, they are looking at its price doubling. And they alone must pick up the tab.

"There is no way to adjust to the rising costs," said Mr Toh as the impact of Indonesia's "sand storm" started sinking in. "We have no choice but to finish the projects and pay the higher price for sand."

They cannot pass on this mounting cost to anyone, because the price is already determined during the tender process. But when it is time for the next round of contracts to be signed, Mr Toh and others like him will make sure that they charge developers for sand prices that could hover closer to $50 a tonne, compared to the current $20 a tonne.

And that is when the buyers, too, may feel the squeeze. "Consumers must be prepared to fork out more, because developers are not going to absorb the increases," said real estate firm Propnex's chief executive Mohamed Ismail. And so a whole new dynamic will be set into motion, affecting not just the players in the construction sector, but even the way structures are built and property is priced.

Singapore imports between six and eight million tonnes of sand each year, almost all of it from Indonesia. The Indonesian ban will affect existing projects, which are worth up to $90 billion, but is not expected to disrupt them.

That is because the Building and Construction Authority (BCA), which manages the Republic's stockpile of sand, is willing to dip into it to make up for any temporary shortfall. But it was likely to price this sand higher than the current market rate of $20 per tonne.

Mr Tan Tian Chong, director of BCA's technology development division, told Today: "The stockpile is meant more for emergencies, so the price will go up. The industry expects it to go up."

The irony is that the impact will be greater precisely because the construction industry has turned around and the demand for sand is greater than ever before. Last year, $16 billion worth of contracts were signed--a 41-per-cent increase from 2005.

Spotting this trend, the Singapore Contractors Association Limited (SCAL) wrote to its members last September, pointing out that the price of sand could rise further. It advised them to factor this in the costing of their works.

The SCAL said there was "an increased demand for sand in Singapore" due to the Housing and Development Board's (HDB) stockpiling and the upcoming integrated resorts. This year, demand will grow further with $19 billion worth of contracts expected to be signed.

Now suddenly, the main supply source has been cut off and the scramble for alternatives has begun. The HDB is already tapping into other sources of sand in the region. "But there's always a chance that other countries could also ban the export of sand, so the industry has to switch to steel," said BCA's Mr Tan.

For those in the construction sector, the timing could not have been worse. Though it grew by only 1.1 per cent last year, it had started to gather steam in the second half of the year--growing by 2.6 per cent in the third quarter and 2.4 per cent in the fourth. Now, it's back to the drawing board.

But while you may have to pay a little more for your next property and Mr Toh will not make much of a profit on the four projects he has in hand, each worth millions, the impact on the economy itself will be limited.

Said Citigroup economist Chua Hak Bin: "I estimate that the construction sector will contribute about 3.5 per cent to the country's gross domestic product this year. The fact that the Government has released the stockpile of sand will provide some breathing space this year, so I feel the impact will not be that significant."

Channel NewsAsia
30 Jan 07
Sand ban a wake-up call for industry: architects
By Farah Abdul Rahim SINGAPORE :

The recent Indonesian ban on the sale of sand to Singapore has been an effective wake-up call for the industry, say architects.

Sustainable construction and alternative materials are now the buzzwords. The Singapore Institute of Architects has also proposed a million-dollar research programme to look into solutions.

400,000 tonnes of sand from a regional country arrived at Jurong Port on Monday, just a week after Indonesia, the main supplier of sand to Singapore, banned all sand exports.

Architects say over-reliance on traditional sources and materials is due to a lack of research into sustainable construction now.

Tai Lee Siang, Council Member, Singapore Institute of Architects, said, "It does mean that what is really the new material that builders architects can depend on? There is a lack of research in the industry, even from the institute's point of view. We noticed that because of the good growth.

"There is a lack of research to anticipate problems to prepare for rainy days, so we want to embark on a research programme, we want the industry players to spend more on research to prepare ourselves, as sustainability issues are very great and environmental changes very great and all these will impact how we build."

Architect Tay Kheng Soon, who has been one of the key voices for sustainable development in Singapore, agrees that more needs to be done.

Tay Kheng Soon, Architect, Akitek Tenggara, said, "It is a great opportunity to rethink our building systems. Any change that happens has to be driven by certain forces - the sand ban is one of them, but the big question is really sustainable development."

And many ideas are already being explored - like those by architect Jeremy Chan, who is looking at dry wall construction and triangular steel frames to reduce the amount of steel used.

He said, "Our industry is very used to using reinforced concrete in most of our construction, so this kind of really throws us into the deep end to think of a totally new way to conceptualising architecture and maximising a different material and expressing it in a different way."

Architect Mak Hon Yue has done an experiment on seacrete or sea concrete - which is an alternative to concrete. Seacrete can be grown by passing an electric current through sea water to build up minerals and eliminates the need for sand.

He said, "There must be a culture of looking at alternative materials which is not really apparent in Singapore. And without that culture, we can't move ahead, we can't begin to develop alternatives if people are not interested in it, or they can't find commercial value in it, they won't pursue it, and I think that's very important.

"The reason why seacrete is not widely used, talked about is because people have yet to see the commercial viability of it - it's definitely sustainable - it's just to get people to see the commercial viability of it.

"And the potential for seacrete is huge. Mr Tay said, "In about 10 years, If you start now, theoretically, you could have a gigantic floating platform out there, outside Pasir Panjang and we could use it for our new seaport or resorts or whatever. We can live without sand."

The Building & Construction Authority has already come out to encourage the industry to adopt new construction materials and methods, while the proposed research programme by the Singapore Institute of Architects will also go some way to reduce the dependence on imported raw materials like sand. - CNA/ms

First newspaper response

Channel News Asia
Indonesia acts, Singapore Regrets
Pearl Forss

Link

http://www.channelnewsasia.com/stories/singaporelocalnews
/view/254450/1/.html


Summary

This article basically talks about Indonesia announcing a sudden ban on land sand exports to Singapore, citing environmental reasons for her decision. It tells us that Singapore had earlier pledged to aid Indonesia in addressing these concerns, but that Indonesia had refused.

Comments

I feel that the real reason behind Indonesia's ban is in reality, not an environmental one, but instead, a political trick employed by Bambang and his government to turn the attention of the citizens away from the country's domestic failures. Drawing on historical evidence, this was also seen in 1962 - 1966, when President Sukarno established a policy of Confrantasi to distract Indonesia's citizens from the country's domestic problems of high unemployment and death rates.

The Intergovernmental Panel on Climate Change (IPCC)’s 2007 report has stated that 98% of forests on Sumatra and Borneo may be gone by 2022 if deforestation continues at this rapid rate. Yet the Indonesian government does not seem to be stepping up efforts to counter deforestation, or perhaps that it is unable to, seeing how agriculture employs 44.3% of the workforce, and even if it wants to, its government, which is plagued by issues of corruption, doesn't seem up to the task.

All this is also coupled with the fact that 660 million tonnes of carbon dioxide is released every year in Indonesia due to the drainage of peat lands; and not forgetting Indonesia has pledged to lower greenhouse emissions by ratifying the Kyoto Protocol?

As for the haze problem: if Indonesia was really concerned about its environment, wouldn't it have stepped up efforts to disallow commercial companies from clearing forests by burning them for plantation agriculture?

The ASEAN agreement on Transboundary Haze Pollution proves this point too. All other ASEAN countries have signed it in 2002 whereas Indonesia has yet to sign it.

And last but not least, it is relatively illogical for Indonesia to turn down Singapore's help if she really wanted to solve its own environmental problems, seeing how she has consistently depended on the Republic for manpower in previous crises, such as the 2004 Boxing Day Tsunami and in the incidence of bird flu.

However, I suppose that I could be wrong and unfair in my stand, in that Indonesia is really trying hard to change for the better; for having been brought up here in Singapore, where the standard of living has always been much higher than that of Indonesia's, being an armchair critic is undoubtedly a much easier option than being a malnourished, poor, homeless person begging for food, like what many people in Indonesia are doing currently.

I have also been swayed by societal negative perceptions towards Indonesia due to the smog issue (1990s), although the incident occurred when I was relatively young. Hence, as I grew up, I gradually developed a prejudiced mindset towards countries such as Indonesia, and this mindset would have influenced my views on this entire issue.

But to conclude, I shall say that even Indonesians oppose the change. That’s telling - they don’t seem to believe that it’s in Indonesia’s interest. Below is a quote from Mr Syahrul Jamal, general secretary of Riau Sand Exporting Businesspeople Association, on how banning sand export to Singapore would negatively affect the Riau Island's economy:

"This decision would damage the islands' sand mining industry, which relies heavily on exports. It could also hurt up to 3,000 workers whose incomes depend on sand mining ... In terms of pricing and payment, exporting sand to Singapore brings in more profits overall, although local buyers pay about $6 more for one cubic m of sand. But with Singaporean buyers, they purchase the sand on the spot, pay in cash and organise transportation. ... The new policy will definitely reduce the production capacity of the Riau Islands' sand mining companies."

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