CENTRIST ALLIANCE TO GET TOUGH WITH LABOUR (Aftenposten)

Centre Party chairman Odd Roger Enoksen, taking a harder line with the Government, demands an end to the under-funding of the municipal sector. He asks for a NOK 5 billion increase above current appropriations to cover extraordinary expenditures. Christian Democratic party chairman Valgerd Svarstad Haugland says her party’s MPs will be tough with the Government. "The Government knows what we want," she says. The Government will present its draft budget on Wednesday, and given the current political situation, few believe the Labour Party will try to enlist support from any parties outside the centrist alliance.

HÅGENSEN OPEN FOR POLITICAL COALITION (Verdens Gang)

Norwegian Confederation of Trade Unions (LO) president Yngve Hågensen feels Labour should be willing to form a coalition government with other parties. With the exception of the all-party Government immediately following the Second World War, Labour has always ruled alone. "I am by no means averse to the idea of Labour forming a government coalition with other parties. There are two ways to do this: one is to form a coalition with other parties, and the other is to secure binding agreements with other parties as a basis for a Labour Government," says Mr. Hågensen.

EU MEASURES RUBBER-STAMPED IN COMMITTEE (Aftenposten)

The Storting’s EEA committee devotes an average of three minutes and 30 seconds to each EU decision incorporated into Norwegian law pursuant to the EEA Agreement. "The EEA is a national deception," says Reiulf Steen, head of the European Movement in Norway. Sigbjørn Gjelsvik of No to the EU agrees. "The way these proceedings are conducted is a disgrace," he says.

EUROSCEPTICS INCREASING IN STRENGTH (Nationen)

Since the anti-EU campaign was launched by Centre Party chairman Odd Roger Enoksen in August, the Eurosceptics have knocked the Eurosupporters sprawling. Anti-membership figures are now at 49.7 per cent, while support for EU membership is at 41.2 per cent. Labour voters in particular are abandoning their earlier pro-EU stands. Mr. Enoksen’s problem, though, is that opponents of Norwegian EU membership do not support the Centre Party, whose ratings are dropping rapidly.

ORKLA BOARD STILL IN THE DARK (Dagsavisen)

Åge Korsvold, Orkla’s new board chairman, says the board still does not know what has become of the block of shares that was suddenly sold to a Dutch bank. It is therefore still difficult to determine whether CEO Jens P. Heyerdahl played an improper part in the transaction which prevented Stein Erik Hagen from buying these shares.

HAGEN GAVE KORSVOLD OPTIONS DEALS (Aftenposten)

Stein Erik Hagen has given Storebrand chief and Orkla board chairman Åge Korsvold two blue chip options packages within the past two years. This special deal represents millions in gains for Mr. Korsvold, who denies that he has received options at a discount. Super-broker Jan Petter Collier of Sundal Collier more or less confirms that Mr. Korsvold was given a discount on the new stock options from Mr. Hagen.

WORTH NOTING

• By a decision of the Gardermoen shuttle railway’s board of directors yesterday, the high-speed shuttle train’s axles will be replaced with axles meeting international standards at a cost of NOK 20 million. It is not known who will pay the bill. (Aftenposten)
• The Banking, Insurance and Securities Commission will evaluate Åge Korsvold’s private stock options investments in light of applicable legislation. Mr. Korsvold sent a report to the Commission yesterday on his own initiative. (Dagens Næringsliv)
• The Orkla directors clearly hold highly diverging views on how to proceed with the investigation of group CEO Jens P. Heyerdahl’s connection with the mysterious share transaction. Financier Christen Sveaas takes the view that outside help is obviously necessary, while board chairman Åge Korsvold calls this a "hypothetical issue". (Dagens Næringsliv)
• Telenor group CEO Tormod Hermansen is working to introduce the state-owned telecom and IT group to the stock market on Monday 4 December. A gigantic Christmas campaign will be launched to induce people to buy Telenor shares. (Dagens Næringsliv)
• British paper The Independent wrote yesterday that the Bank of Scotland was reportedly about to put in a bid on the Kreditkassen bank. The Swedish-Finnish MeritaNordbanken still backs its standing offer of NOK 44 per share. (Dagsavisen)
• The executive committee of the Norwegian Association of Health and Social Care Personnel (NHS) has voted unanimously to leave the Confederation of Vocational Unions (YS) in protest against its wage profile. It is most likely that the NHS will seek affiliation with the Norwegian Union of Municipal Employees. (Aftenposten)
• Fifty-one Storting MPs have served for more than 12 years in the Storting. The average length of service in this group is 17 years. Altogether, they represent 865 years of parliamentary experience. (Vårt Land)

TODAY’S COMMENT from Dagbladet

Norwegian Confederation of Trade Unions (LO) president Yngve Hågensen was unusually crass – even for him – in his remarks concerning governor of Norges Bank Svein Gjedrem and his monetary policy. Mr. Hågensen takes the view that the Government should formulate new instructions for the central bank so that inflation is no longer what determines interest rates. In reality, what his suggestion implies is that interest rates should be subject to political control. It is not always easy to follow Mr. Hågensen’s line of reasoning. The interest rate policy he advocates would impose a tremendous burden on industries vulnerable to international competition. As long as oil revenues keep pouring in and labour is in short supply in the public sector, his proposals could work for a few years, but they are too risky in the long term. Moreover, Mr. Hågensen must not lose sight of the fact that he is a committed supporter of union with the EU. Is he prepared to issue directions to the European Cental Bank? That is going a bit far, even for a Norwegian union leader.

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