2,400,000 people relocated, flood precautions. What is the quality of the replacement housing? How much did it cost? How does it compare to Palaces For The People "High & Dry" flood security plan? What is the cost of the lost productivity? How many man-years of totally unnecessary flood disruption? How fast is the "bounce-back" recovery. See photo: http://straitstimes.asia1.com.sg/mnt/media/image/launched/2003-10-06/a401.jpg A "waist-high flood" raise in water should not displace anybody, nor destroy anything. When one lives on the "Water Planet" one learns to adapt to the ways of water. Palaces is that adaptation: it is time we all learn it. Four news items follow below: =============================== http://news.xinhuanet.com/english/2003-10/05/content_1110863.htm Nation relocates 2.4 million people ahead of floods www.chinaview.cn 2003-10-05 11:33:13 BEIJING, Oct. 5 (Xinhuanet) -- China has since 1998 moved 620,000 families, or 2.42 million people, from their homes in the Yangtze River Valleys to make way for river water. The year 1998 witnessed the worst floods of the Yangtze River for decades, which prompted China to take active measures to alleviate flood damage. In 1998, China started building floodwater diversion projects and turning farmland into lakes in Hunan, Hubei, Jiangxi and Anhuiprovinces in the Yangtze River Valleys, which led to massive re-locations. As a result, the water surface of the Yangtze's trunk stream and Poyang and Dongting lakes has been expanded by about 2,900 square kilometers, which helps increase floodwater storage by 13 billion cubic meters, according to the China International Committee for Natural Disasters. Enditem =============================== http://straitstimes.asia1.com.sg/asia/story/0,4386,213292,00.html Beijing faces huge deficit but forced to spend China is staring at a huge budget shortfall, no thanks to Sars, floods, earthquakes and costly projects By Mary Kwang GUANGDONG'S lychee growers took a hit in the pocket - a hard one - because of the Sars outbreak earlier this year. TRIPLE WHAMMY: China's cashflow is taking a hammering on three fronts: Sars; natural disasters such as severe drought in the south, floods (above) and general inclement weather; and costly projects such as the 2008 Olympics. Exports to Japan, a big market for them, slumped because Japanese quarantine inspectors suspended visits to the province, a major lychee producer, where the Severe acute respiratory syndrome (Sars) virus is believed to have originated. The lychee growers were only a small part of the rural population affected by Sars. Across the country, rural per capita income slipped by 35 yuan (S$7.30) between April and June this year at the peak of the Sars crisis. The drop is significant given that the quarterly average income per person in the countryside was around 580 yuan in the first half of the year, according to data provided by the State Bureau of Statistics. But rural folk are not the only ones in dire financial straits. The central government too has found itself staring at a huge budget deficit this year, no thanks to Sars, natural disasters like floods and earthquakes and some hugely expensive projects. The only way out is to borrow. However, as it sinks deeper into debt, it will face increasing pressure to review its present policy of pursuing economic growth and other national objectives at the expense of an ever widening deficit. And with eventual full convertibility of the yuan, widely seen as inevitable because of the opening up of its financial sector under the terms of its World Trade Organisation membership, it will also have to exercise greater fiscal discipline. The ballooning deficit is just one of China's many serious economic problems which outsiders mesmerised by all the talk about its being the 'factory of the world' tend to overlook. But much as Beijing worries about the deficit, for now, it has, in some instances, no option but to spend. For example, to prevent another Sars outbreak and curb other infectious diseases, it will have to raise 11 billion yuan this year and improve health care facilities in the countryside. But the other side of the ledger does not look promising. Beijing is bracing for a drop in revenue, not least because of tax concessions granted to hotels, airlines and other businesses hit by the Sars outbreak. This explains why even as early as May, Finance Minister Jin Renqing thought it prudent to warn that it would be more difficult for the central government to achieve the fiscal targets announced just two months before. The projection in March was that the budget deficit this year would hit 319.8 billion yuan, itself already a record. Now, it is almost certain to be much more. So concerned about the fiscal deficit is the Ministry of Finance that on Aug 3, it repeated Mr Jin's message that spending would rise in the second half of the year while revenue could slow down. It said that apart from Sars, spending would rise because of prolonged drought and severe floods in several parts of the country. According to the Civil Affairs Ministry, more than 90 million people, and 6.8 million head of livestock, were affected by the recent drought in 12 provinces in southern and eastern China, the worst experienced in 30 years. Furthermore, the worst floods since 1991 inundated parts of Anhui, Jiangsu, Henan, Hubei, Shaanxi, Jiangxi, Guizhou, Sichuan, Guangxi, Zhejiang, Hunan and Chongqing. In Shaanxi alone, more than half a million people were evacuated when the Weihe, the largest tributary of the Yellow River, overflowed in the past two months. All told, the floods there cost the province 6 billion yuan and affected 4.4 million people. Even areas spared the floods were affected by inclement weather. Around Wuwei city in Anhui province, the Li family planted cotton but heavy rain prevented the crop from maturing. 'They couldn't harvest because it wouldn't grow,' said Ms Qin Wenxia, a relative. According to a Ministry of Civil Affairs estimate, this year's natural disasters inflicted total economic losses of 151 billion yuan. The ministry had to spend 2.7 billion yuan on rescue and relief. On top of all these, there are also other demands on national coffers. Among the big-ticket items are China's maiden manned space flight, the 2008 Olympics, a South-North water diversion project, a Beijing-Shanghai high-speed rail link, military modernisation, welfare for the growing hordes of the unemployed and recapitalisation of state-owned banks. To fund these, the central government plans to sell a record 615.4 billion yuan in treasury bonds this year, 4 per cent more than last year's 592.9 billion yuan. This will also help to refinance 295.6 billion yuan of maturing debt. Beijing cannot be sanguine about the rising deficit and debt. In 1996-97, China's fiscal deficit stood at 0.78 per cent of its Gross Domestic Product. It surged to 3 per cent last year. Officials argue that the ratios of government debt to the GDP and the budget deficit to the GDP are still below internationally recognised danger levels. However, if the non-performing loans of state-owned banks and social security liabilities are taken into account, the deficit could be over 70 per cent of GDP, past the 60 per cent level of most developed countries. To be fair, the central government has taken steps to rein in the deficit although some of them are seen as inadequate. Significantly, it decided to slow down defence spending, approving only a 9.6-per-cent rise this year, the lowest after 13 years of double-digit increases. Local governments were also told to curb extravagance and to trim the number of overseas trips abroad, meetings and forums. However, analysts such as Associate Professor Li Kui Wai of City University said Beijing was caught in a bind. 'The Chinese government cannot stop spending,' he said. 'The deficit is a result of expenditure demands like infrastructure, the space programme and social security.' He said that tough political and economic decisions like scaling back spending on national projects had to be made by the top leadership if it really wanted to balance the budget. He also said there would be more discipline once the yuan became convertible. 'At present, China's money supply is not linked to anything,' he said, adding that this in a way lulled Beijing into spending freely. At present, between economic growth and a balanced budget, it would invariably choose the former as it has to create jobs for the growing army of the unemployed and ensure social stability. But despite GDP growing at 7-8 per cent each year since 1998, this has not been sufficient to create enough jobs for those laid off and new job market entrants. In the end, apart from more prudent spending, raising more revenue is the only other effective way to narrow the gap. The central government has taken steps to ensure more efficient collection at all levels. But as Dr Frank Song, director of Hong Kong University's Centre for China Financial Research and an adjunct professor at Beijing University's China Centre for Economic Research, put it, its best hope is that as the economy grows, increased revenue will cover the deficit. =============================== http://www.thestar.com.my/news/story.asp?file=/2003/10/7/latest/14404Floodinga&sec=latest Flooding affects 100,000 in China BEIJING (AP) - Persistent flooding along China's mighty Yellow River in recent days has affected at least 100,000 people in two provinces, the state-controlled China Daily newspaper reported Tuesday. The national ministries of finance and civil affairs joined to allocate 10 million yuan (US$1.2 million) to help with relief work in the areas - central China's Henan province and eastern China's Shandong province, the newspaper said. It said one county was given 500 tents and another 1,000 to house affected people. The newspaper didn't say, however, what it meant by "affected'' or whether the people's homes were destroyed when the flooding hit late last month. Yellow River runoff has submerged 4,000 hectares (9,900 acres) of farmland in 17 villages in Henan's Lankao County, China Daily said, while the river's waters are still flooding Shandong's Dongming County. So far, 96,800 people in 130 villages in Dongming County have been impacted by the flooding, and 12,000 hectares (29,500 acres) of farmland have been submerged with an average 1.5 meters (more than 4 feet) of water, China Daily said. Both serious flooding and drought plague China annually. In northern China this week, relief officials said more than 105,000 people had been moved to temporary shelters after their homes were destroyed by the swollen Wei River. Authorities were trying to drain flooded areas to allow people to return to their villages and rebuild homes before winter. - AP =============================== http://www.mg.co.za/Content/l3.asp?ao=21476 Malaysia, China under water Mail & Guardian, South Africa -- 05 October 2003 09:19 More than 10 000 people fled their homes on Sunday after three days of incessant rain sparked massive floods in northern Malaysia. Also, flooding along China's mighty Yellow River and one of its tributaries has forced 238 000 people to flee their homes in northern China, while another 11 000 people in east China must be relocated. In Malaysia, most of those evacuated were from villages and towns in the northern states of Penang and Kedah, where flood waters as high as 5m submerged homes and disrupted train services, a spokesperson for a flood-monitoring centre said on condition of anonymity. No casualties have been reported, though The Star newspaper said an eight-year-old boy was missing after he was last seen near a swollen river. About 11 000 flood victims were staying in state-run relief centres on Sunday, with the figure expected to rise as heavy rains continue, the national news agency Bernama reported. Tropical downpours that trigger flooding in Malaysia are common during the monsoon season, affecting tens of thousands of people every year, usually between November and February. In China, about 300 000 people in Weinan city in north China's Shaanxi province have been relocated as continuous heavy rain since September 27 has caused flooding along the Wei River, a tributary to the Yellow River, said a local anti-flood official. The official said of the people moved, 105 000 people have been relocated in Weinan city's smaller Huayin city, while another 133 000 people have left their homes in Hua county in Weinan city. "The fifth flood crest on the Wei River this season has arrived a few days ago and has not passed yet, but it has stopped raining and the weather is sunny," said another official, Ji Dan, with the Hua county flood control office. "There are no deaths or injuries so far." The Huashang newspaper said on Sunday Huayin city, the most endangered in the area, had dispatched 45 000 people to patrol the river's dikes each day. About 500 labourers and 400 People's Liberation Army soldiers have also been dispatched to repair problems on the dikes, it said. Recent rains have left protective dikes saturated and in some places damaged after downpours at the end of August. More than 20 000ha of farmland in the Huayin area have been flooded, the newspaper said. Only weeks earlier, half a million of Shaanxi province's inhabitants had to be evacuated from the river's rising waters. In east China's Shandong province, dike breaks along the Yellow River have forced 11 000 people to be relocated in Dongming county. So far only 5 900 have been moved, an official with the county flood control command centre said. The dikes broke on September 18, causing 247 square kilometers of farmland to be flooded, the official said. The ruptured dikes still have not been fixed and water was steadily rushing out from a 200m-wide opening at a rate of 2 500 cubic meters per second, the Beijing Star Daily said. The Xinhua news agency said on Saturday more than 86 000 people in the Shandong area are facing the threat of rising floodwaters due to dike breaches. Water pouring through the burst dikes has surged through low-lying areas of eastern Shangdong province, endangering the lives of residents in 127 villages, Xinhua said. It quoted local officials saying floodwaters in low-lying areas have risen 3,5m. -- Sapa-AFP, Sapa-AP __________________________________ Do you Yahoo!? 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