Questions and Answers at Press Conference

Nay Pyi Taw, 17 Dec —  The press conference was held today at the Ministry of National Planning and Economic Development, here, on the clarification concerning economic growth of Myanmar, implemen-tation of the Millennium Development Goals and Myanmar in cooperation with the UN agencies and internal and international NGOs, development of employment opportu-nities and cooperation between ILO and Myanmar. The following are the replies of the officials to local and foreign journalists and those in-charge of periodicals.
 
U Hla Htwe (Nihon Keizai Shimbun): I am satisfied with the clarification of the Minister for National Planning and Economic Development on sectoral economic growth, especially energy and electric power sectors. However, supply of electricity has been deteriorating during the last two months. Tell me please why electricity cut is happening in Yangon, Mandalay and other major cities from 8 to 10 hours daily. Power deficiency will affect production capacity. Hence, I would like to know arrangements for supply of power.
 
Managing Director Dr San Oo of MEPE: The charts displayed by the Ministry of National Planning and Economic Development show the progress of electric power sector. Today's pro-duction of electricity increased 2.5 times that in 1988, and power supply, 1.9 times. Power demand of the industrial sector becomes higher year after year. Generating power relies on gas turbines and combine cycle power plants in addition to hydel power plants. Though there were 642.8 megawatt generated in October 2006, the generating power declined to 423.7 megawatt in November and December. Bilu-chaung Hydel Power Station No 1 and No 2 are always producing electricity. However, generating of other hydel power plants are depending upon water storage capacity of the dams. Hence, power is being supplied alternately. At present, industrial zones are being supplied with electricity at day time. Now, natural gas power stations are being built. Therefore, arrangements are being made for supplying power to three regions for 12 hours a day.
 
U Aung Hla Tun (Reuters News Agency): I would like to know foreign investment in Myanmar. Furthermore, I want to know circulation of FEC amount in the country.
 
Minister for NPED U Soe Tha: The minister clarified sector-wise and country-wise permitted Foreign Direct Investments (FDI) with the use of charts.
 
Deputy Director-General U Kyaw Zaw of Directorate of Invest-ment and Com-panies Administration: I will now recap the amount of foreign direct investments in all sectors of Myanmar. Invest-ments are US$ 6,030 million in electric power sector, US$ 2,248 million in oil and gas sector, US$ 1,452 million in production sector, US$ 591 million in hotel and tourism sector, US$ 858 million in real estate sector, US$ 309 million in transport and communications sector, US$ 301 million in livestock breeding and fisheries, US$ 193 million in industrial estate sector, US$ 172 million in mining sector, US$ 37 million in construction sector, US$ 34 million in agriculture sector, and US$ 33 million in other services sector totalling 13 billion.

Governor of Central Bank of Myanmar U Kyaw Kyaw Maung: There are 27.305 million FECs in circulation in Myanmar till 31 October 2006.
 
Daw Sint Sint Aung (Nippon TV): What does forced labour mean? According to the deputy labour minister, if an accusation was true, action was taken against anyone who committed forced labour, regardless of civilian and military serviceman. So, I would like to know what degree of action was taken against those who committed forced labour? Was there any action taken against a person whose complaint had been a false one?
 
      I have learnt that the laying of pipelines for natural gas in Sittway, Rakhine State, will displace the wards on Strand Road inlcuding Zaygyi Hospital. Is that true? If so, when and how will they be moved?

Maj-Gen Aung Kyi, Deputy Minister for Labour: Facts about forced labour are being displayed here at the press conference. The Ministery of Home Affairs has issued additional orders (1/99) regarding forced labour. These orders prescribe which kinds of cases mean force labour and which do not mean, and prohibit the cases that concern forced labour and the cases that do not concern.

These orders were issued according to paragraph (2), Article (2) of ILO's Convention (29). In this regard, the five major cases that do not concern forced labour are: (1) conscription prescribed under compulsory military service law, (2) tasks for regional development and health care and social sector carried out under public civics in the interests of the people, (3) hard labour for those who are sentenced to prison terms under law, (4) work done collectively by the people under a state of emergency due to natural disasters such as fire, floods and earthquake, and (5) contributions of the members towards the social organization concerned.

As soon as the news on forced labour had been reported, field observation teams were sent to make an investigation into such a case. If the complaint was found true, action was taken against those who were involved in it. If not, no action was taken against the accused. So far, there have been 50 cases related to local authorities and 12 to military field.

Deputy Minister for Energy Brig-Gen Than Htay:

When a large gas deposit was discovered in a Rakhine offshore area, it was guessed that the gas would be sold to a foreign country through pipelines. And those who could not bear to see the prosperity for the development of the nation and the people due to the discovery manufactured a wilful accusation on the project. We have no plans to relocate any wards in this regard.

U Thet Khaing (Myanmar Times Journal): The ILO put pressure on Myanmar politically. Let me know how Myanmar tries to ease political pressure. At such a time, what is the advantages and disadvantages of cooperation with ILO? My second question is that Myanmar is a signatory of ASEAN Economic Community. Some of the member nations made Economic Structural Adjustment (ESA). Is it necessary for Myanmar to make reforms for ESA? If so, how does the government undertake the issue?

Deputy Minister for Labour Maj-Gen Aung Kyi: Putting political pressure is not the business of ILO. In the preamble of the constitution of ILO worker issues are to be solved through justice and equality. If Myanmar's measures on worker issues can be explained and made public, they will satisfy the problem. Myanmar has positive attitude towards ILO. We hope that a stage that all can accept will come soon and Myanmar informed ILO of continued cooperation. Myanmar will continue to cooperate with ILO as long as its attitudes are not harmful to the interests of the nation and the people.

Minister for National Planning and Economic Development U Soe Tha: ASEAN is trying to establish the ASEAN Economic Community in 2015. The AEC includes commodity trade and service sector and investment sector. Agreements on those sectors were signed among the ASEAN nations. There is no agreements that Myanmar cannot sign. Four agreements among the ASEAN were signed in the Philippines in December.

U Kyaw Swa Min (Yangon Times): It is learnt that ILO will submit Myanmar issue on forced labour to International Court of Justice (ICJ). Is it true? According to the overseas employment agencies, workers do not get jobs abroad and there are some difficulties for them. Is there any arrangements for that issue? Some private factories made workers work the whole night. Is there any action against them?

Deputy Minister for Labour Maj-Gen Aung Kyi: Submitting the issue to ICJ is unnecessary and it is not in accord with the ILO constitution. The government gave instructions to the factories that workers are to work within working hours. If they fail to follow the instructions for the first time, the government sends an official notice to them. They are to sign the pledge if they fail to do so for the second time. In the third time, the government files a suit.

The Ministry of Labour had issued licences to 70 overseas employment agencies. If they do not follow rules and regulations, the licences are revoked. If necessary, legal action is taken against them. Those that violate the rules were given seven years imprisonment and fine.

Nay Tun Naing of Weekly Eleven Journal : What I would like to know is that old service personnel who have retired are now to rely on their retirement pensions. But their pensions are on longer in consonance with the present time. Regarding this, is there any plan to increase their pensions?

Minister for Finance and Revenue Maj-Gen Hla Tun: Since 1 April 2006, service personnel who are currently engaged in government establishments have been facilitated with a new scale of salary. However, old service personnel who have already retired are still being provided with an old scale of salary. Those who are enjoying a new scale of salary will be provided with retirement pensions depending on the new scale of salary when they retire.

U Kyi Soe of Leyarsibwa News Journal: What I would like to know is that the increase in transport charge has an impact on the commodity prices. Although it is now the time of new harvest and new paddy is there no significant decrease in the price of rice. In this regard, is there any measure to be taken for stabilizing the price of rice in the long term?

Minister for National Planning and Economic Development U Soe Tha: To cope with the price of rice we are now focusing on fighting against rising inflation. We are striving to control inflation. In the process, public cooperation is essential.

The rising of commodity prices has a profound impact on the entire people. Those who unintentionally caused the rising of commodity prices will also be hurt by the impact of the rising prices. This being the case, all are to pay serious attention to stabilizing of commodity prices.