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tv   Key Capitol Hill Hearings  CSPAN  November 24, 2014 8:30am-10:31am EST

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that happening. >> host: well, tim hwang is the founder and ceo of fiscalnote. fiscalnote.com is the web site. julian haddam, technology reporter with "the hill. >> guest: thank you. >> c-span, created by america's cable companies 35 years ago and brought to you as a public service by your local cable or satellite provider. >> the center for strategic and international studies today looks at a new report on the global energy outlook. the international energy agency report examines energy trends, nuclear power and improving access to modern energy services. the agency's chief economist will discuss the findings. live at 9:30 a.m. eastern here on c-span2. >> at the republican governors association annual conference in
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boca raton, florida, newly-elected governors discussed their campaigns and their political agendas. the panel is made up of governors-elect from arizona, massachusetts, maryland, texas and arkansas. they're joined by new jersey governor and rga chair chris christie and former mississippi governor haley barbour. this is an hour. ms. . >> we started this year, we had a daunting task ahead of us. we had a pretty difficult map. we were defending 32 of the 36 -- 22 of the 36 races including 19 incumbents in nine states that president obama had won twice. we were able to successfully defend 17 of our 19 incumbents, we won the biggest states in illinois, michigan, wisconsin and florida. and we picked up four states that were previously held by democrats. you see a number of those -- all of them -- a number of them
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represented here today; illinois, maryland, massachusetts and arkansas. arkansas. i was thinking about states that obama had won twice. and today despite $300 million spent by public sector unions, tom story and the environmental -- stire and the environmental lobby, 300 million they put into these races, today we have the largest number of republican governors in nearly two decades. and come january 200 million americans, two-thirds of this country, will be represented by republican governors. [applause] and since 2009 -- and i'm not taking credit for this, this is because of our governors and many, many great people who came before us -- but since 2009 i
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believe this has been the most, if you just look at the facts, the rga has been the most impactful, successful political committee in the country. we've gone from 22 to now 31 republican governors in the country just over the last five years. and if you look at what, you look at what those 31 republican governors are doing, they represent both the political and policy backbone and future of not only our party, but our country. in a very real and fundamental way. and so it is my distinct honor to introduce someone who really has a great deal to do with that. he was generous enough to take a chance on me five years ago and hire me at the rga. he has been really somebody that governor christie and i attempted to emulate this year, throughout this year, this very big year with 36 races. he's been a good friend, he was
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a great governor, he's a great leader for our party and our country. please give a warm welcome to governor haley barbour. [applause] >> thank y'all. thank y'all. be careful about that applause, you know what they say about politicians. when you applaud, it only encourages them. [laughter] we don't need -- we need time for these guys. chris christie, congratulations. you going to say something to get us started or to get us closed? >> why don't you start it -- >> we'll end up with you. >> yeah. >> it's great to have these new governors up here who have won big races and have got big futures in front of them. and what i want to try to make this session about is a little bit about the election, about how they won, but more about how the election sets them up for their administration.
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or their agenda. what are the, what does the public who elected you expect you to do, what are the problems they're most concerned about, you know? and since none of y'all have anything to do about it, i'm not going to ask any questions about immigration. [laughter] [applause] i'm not on msnbc's payroll. [laughter] so let me just start off with you've met all these guys i think during the session, but governor ducey of arizona, doug, tell us about your campaign and about where you think you are starting out and where you're headed. >> well, thanks, governor, and i want to thank the rga for everything that happened in our campaign. we ran and started with a broad coalition. so we started out trying to line up the right people and communicate to send a message about what our campaign was
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going to be about. i really learned a lot last year at this conference. it was in phoenix, and i went to candidates training, and governor christie came in the room and talked about his victory in new jersey not only in 2013, but in 2009. and going into rooms where you were somewhat uncomfortable, where it wasn't the typical republican road to victory and talking about the economy and talking about education. and that just resonated as very true for me and arizona given the current circumstances. so we talked about being governor of all the people from the day we kicked off the campaign. we ran on an opportunity for all agenda, and along the way upon winning the primary we actually had sitting state senators, democrat katherine miranda, democrat o olivia hernandez, democrat carlyle -- [inaudible] from the navajo reservation
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signing onto our campaign because they weren't happy with what was happening in the any economy in their districts, and they weren't happy with what was happening in their children's school rooms. so we just thought that was a winning message, and i'm going to govern as i campaigned. i want to wake up every day to the best of my ability and focus on the economy and focus on education. >> you know, having done this, this it is a great, great advantage that you have an agenda during the campaign, because then when you're governor, you know where you're going to start. you don't have to go now what are we going to do? asa? >> we were able to run the kind of campaign i always wanted to run, and that was because the rga had my back. the rga was able to come in at a critical moment when the democratic governors association spent a million dollars in attack ads against me right after the primary, the rga was there with a response ad that was just perfect, covered me, and it allowed me to continue
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with what i wanted to do for arkansas. and so we were able to run a positive, agenda-oriented campaign. made all of the difference in the world. and so we started out with telling them what i wanted to do for arkansas which was the asa campaign or the asa plan for arkansas, that they could go to the web site, and they could download the six points of what i wanted to do as governor of arkansas. including tax reduction, making arkansas more competitive and our income tax rates compared to surrounding states. we have a 7% rate with all of the republican governors and others around us having lower rates. we had to be competitive. secondly, we needed to concentrate on career education. we needed to talk about computer science at every high school in arkansas and teaching that. we wanted to be able to reduce regulations in health care with choice. these are things that i campaigned on and our six-point
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plan. and the advantage of it is that it was not an easy race, but we won by a great margin. in fact, whenever we won the governor's race, we actually won every federal race, and we won every constitutional office in arkansas. [applause] so as we say in the south, the first time since reconstruction that we've had a republican governor, republican legislature, republican constitutional officers and a republican federal delegation. and so that was, i think, some of the fruits of it. but the advantage of going in to the next legislative session is that i campaigned on an agenda that allows us to accomplish that agenda and say we've got a mandate for change. because we campaigned on it, they supported it. a quick thing on the computer coding. i think i was the only candidate in the nation that used the word
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"computer coding" in a campaign ad. [laughter] and it was, it gave me an opportunity to say something very specific that no one else was talking about, and i illustrated it that we have 30,000 high school graduates in arkansas every year. if only 20% of our students take computer science or computer coding, that means we'll be producing 6,000 aggravated grado the economy every year that know how to program computers. it has an opportunity to change the dynamic of the economy of this state. that's the kind of message i was able to present, campaign on and now govern with because of what the rga was able to do in making sure that we were protected and to supplement the campaign. we had a $2 million financing deficit. they made all the difference. so thanks to the rga and everyone that was able to support that. [applause] thank you, asa.
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i'm going to skip over governor christie, but before i call on you, greg, i do want to make this point. even though we're not letting him talk until last, governor christie ran a campaign for re-election last year where he never said anything bad about his opponent. he ran on his record. and these guys are setting themselves up so they can come back in four years and run on your record, you know? the other side can't run on their record. can you imagine barack obama's campaign saying it's morning again in america like ronald reagan was able to say? but you're going to see from the incumbents as well as these people who got elected new governors, most of our people were able to run on what they've done. and to talk about policy. and to put real problems on the table and real solutions beside 'em. because most of them had already succeeded in doing that. that's the point i think we need to make as a party. the democrats can't run on their record.
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all they can run on is what's wrong with the republicans, what's wrong with this or that, and we're trying here at rga to encourage our governors and candidates for governor to let them learn that there's nothing more powerful than giving somebody something to vote for. and so, greg, with that tell us how you did that in texas, mr. attorney general? >> well, haley, one thing about texans, and that is they expect results. and one way in which texas has achieved results in a way that exceeds any other state, if i may humbly say so, over the past decade is texas has been number one in the nation for creating jobs. you know, the day after the election i received what i think was a playful phone call from scott walker saying that wisconsin was coming after texas. for job creationment and i've -- creation. and i've heard hints and suggestions from some other governors from some other
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states. but i've got some bad news for my fellow governors. i am taking what rick perry built in the state of texas, and we are going to elevate it higher and better than before to insure that texas remains number one in the nation for creating jobs. part of that will come out in some details that we will be announcing in the coming months. part of it relates to reducing regulations even more. part of it includes expediting permits. part of it includes the fact that texas has an actual surplus of about $10 billion. part of what we will do with that $10 billion is we are going to be looking at ways for which we can cut taxes in texas. even though we already have a low tax structure. one area that constituents in texas want to see reduced is
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property taxes. there's another, and that is a business franchise tax that we are looking to reduce. we're going to find some way that works out. mathematically the best to reduce the tax burden in even lower. another thing that we will be doing with the surplus is that we are going to be adding about $4 billion more more year in building out the road infrastructure in the state. part of that comes from the oil and gas tax that is added on whenever there is extraction of oil and gas. part of it will come from some other ways in which we will make the money add up. but we are going to be able to build out the infrastructure to know that texans and businesses that want to do business in the state are going to be able to move faster, more productively than ever before. asa, kind of like what you were talking about, the third thing
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that we focused on is education. we want to start at the very beginning to build a strong foundation for education at the pre-k-4 level. .. that will be one of the goals
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that we seek to attain. last thing i will mention, haley, i know you did want to talk about immigration and i'm not going to talk about immigration. however, it was a key part of my platform and pretty much every candidate that ran in the senate. that we're going to fund a program that secures our border. you all saw all the news about the people who are coming across the border, sometimes a thousand people a day. the reality is the federal government has failed in its fundamental responsibility to secure the border. texans are not going to stand idly by while the federal government fails and refuses to do its job. and one thing texans want to the money spent on is to secure our border. we've got a plan that will ensure that were able to achieve that regardless of what the
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federal government does. all those things combined will ensure a stronger, or productive, wealthier texas than ever before. the last comment i will make is one that demonstrates texas commitment to reaching out to ensure prosperity for everyone from every sector of the state regardless of their background. one way in which we ran our campaign was on heavy outreach to the hispanic community. we achieved remarkable record-setting results in that regard. i did have a secret weapon in helping me achieve that. and that is that when i got elected, my wife became the first hispanic first lady in the history of the state of texas. [applause]
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that's something we are building upon and it demonstrates this is more than just a talking point. this is a genuine part of who we are as texans. and so as my first appointment in texas, secretary of state is not a position that is elected. instead it's a position that is appointed by the governor. i appointed the chief administrative officer from the county on the rio grande valley in the southernmost part of the state of texas, carlos cost goes, a man who was born in mexico but became it is states citizen as my secretary of state to demonstrate that this outreach to the hispanic community is not something that ends on election day but will continue for generations to come, ensuring that we unite to constituencies that junior we agree on most of the issues and that is the republican party
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constituency and the hispanic community. once we marry those two communities the same way that i've been married to my wife for 33 years, we will have lasting republican majority, not just among governors across the united states of america for decades to come. [applause] >> thanks. thanks, gregg. i thought i would ask you all about it. it did mean you all wouldn't talk about it. sunlight. >> i would like -- not only worked for bill wells, big health insurance companies. we went a long way four years ago in 2010. tell us how you changed it and where you're headed. >> first of all i just want to thank the rg for your support of both elections.
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it made a huge difference in our campaign at our ability to compete in a state where 11% of the population, of the elected are republicans. we start with a bit of a hill to climb and a bit of the case to make. but actually as i listened to the other speakers, some of the themes are fairly consistent. that may be true across the country in terms of what it takes to win. we made a decision when we got into the race we are going to case 100% of the vote. we were pretty sure we were not going to give 100% but we made a commitment to ourselves and to the camping we're going to campaign across the commonwealth and we're going to campaign in a lot of places where republicans historically about campaigned. we spent a lot of time and a lot of rooms in front of a lot of audiences where you could not find a republican with a geithner counter. but, you know, what? when you're talking jobs and competitiveness and economic development, when you're talking about the achievement gap in
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education and even though we have some terrific schools and great school districts we have an achievement gap in that district. when you're talking about a state government that' that say0 and is hard-working and this has created and reform oriented as the people of the commonwealth, that's a conversation you can have with pretty much anybody. it cuts across geography, partisanship, gender, race, ideology, the works. that was really fundamentally will be campaigned on. we campaigned on the fact that massachusetts, despite all the wonderful things we're going on there, and we do have a ton of great things going on, it really hasn't grown its job a story much in the past 14 years. we campaigned on the fact that even the with the institutions and great people and tons of innovators and all kinds of small businesses, we are a very expensive, complicated and difficult place to start a
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business, grow a business and live. we also campaigned on the fact that while there's a booming economy that exists in greater boston, the rest of massachusetts not so much. we made a commitment we're going to focus on strategies and tactics that would be designed to bounce our economy up from one at the commonwealth to the other. we wrote down what our proposals would be and how we would approach this and we were very specific about it. we made that in many respects the platform of the conversation we had with a lot of the people we're talking to. if somebody wanted to talk of workforce development, we had a plan. if somebody wanted to talk about what we could do to expand and improve on what ha has been happening in career and vocational and technical schools, we had a plan. is somebody want to talk about strategies to bring back some vitality and life to some of our main streets, some of our cities have not done so well over the course of the past decade, we had a plan and we could talk
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about. in many respects it was that focus on three issues, what we could do to improve our economy, what we could do to close achievement gap and what we could do to bring what i would call sort of fiscal discipline in a professional and aggressive approach to how we manage government. brought a lot of people of georgia and. i heard other folks talk about the fact they get democrats to force them. we did, too. we got a lot of democrats to endorse us in a state where if you're a democrat you, and adores a republican in a statewide race, you are absolutely taking a chance of your political life. a lot of them do it anyway because they bought into what we were selling. their belief was we had the capacity to follow through and deliver on it. as i sit here today having won that election, i really do feel as if we are, in fact, represent 100% of the commonwealth.
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out of the 351 cities and towns in massachusetts, we got more votes than we did in 2010, and 345 of them. which means the work we did saying we're going to case 100% of the vote, campaign from one end of the commonwealth to the other and make our case to people on the stuff we cared about most and we believe is fundamental to them, trying to find a job, you can find one. if you have one you can keep it. you can senior kids out the door every morning and think they're getting the kind of education they need to build a future on, and you have a state government that is is hard-working and thrifty and willing to stretch a buck as you are, that's the cut in massachusetts we want to be part of. the great thing for us so much of that we put together, wrote down and communicate a day after day to the people of the commonwealth. folks know it's coming. the first major deployment we made to our government was we appointed a democrat from
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chelsea which is one of the poorest communities in the commonwealth, a small city just outside of boston. he had been city manager for the past 14 years and have done an incredible job of creating jobs and economic opportunity and improving the quality of life and the quality of the schools in that community. he is a three for from my point of view. we made it more secretary of economic affairs and community develop a. a lot of people were shocked and amazed then reelected republican governor appointed a democrat from chelsea where i didn't do that well on election day, to be our sector of economic affairs and community development. that is exactly the kind of person we were looking for based on the campaign we ran and on the issues we ran on. as this administration plays out you will see us over and over again bringing people to the table ended to our administration who buy into our vision for how we can build a
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great commonwealth from one entity of the. at the end of the day that will be how we will be measured as you pointed out, governor, for years from now, when i look forward to running on our record when 20 team rolls around. thank you very much. -- when 2018 rolls around. [applause] >> larry hogan, i have an office in washington and i spent 10 days a month up there. a week before the election you would never know and it was a race in maryland from listening to the liberal media. we would love to hear your story about how he got elected but also how you're going to go forward. >> thank you very much. it sure is a pleasure to be up here. i can tell you how proud i am to be up there with all these incredible new governors. aren't they great? [applause] >> i guess i am the least likely to be a few. most people did expect to see it happen. we worked incredibly hard.
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maryland was way off track heading in the wrong direction. we have a governor who was one for president, martin o'malley, who like to tout his accomplishments but i start a group called change maryland became the leading voice of opposition to what i saw as the failed economic policies. we talked about the fact that 40 taxes in a row at take an additional $10 billion out of the pockets of struggling young families and small businesses. so that texas governor rick perry can come when the taxi past was a rain text with the only state and nation that taxes the ring. rick perry came up in history to steal some more businesses which was an easy thing to do under governor o'malley. he said it was like spearing fish in a barrel. governor perry said down in texas we pray for rain. but up here your governor taxes it. we're going to try to compete with texas. we are kind of the one surprise a lot of people.
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we worked really hard. we winnin went to areas where mt republicans don't usually go. we talked to people all across our state about the things they cared about. about economy, the loss we've lost 2000 jobs and unemployment doubled. we lost 8000 businesses and by the largest text messages. -- we got to the point where people, regardless of the party affiliation had had enough. i guess the one lesson from our state is if we can do it in maryland, there is no place in this country that our republican principles can't succeed.
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haley barbour came up there and believed in our race, invested in a race and help make us make ethnic governor creasy said he's going to be my haley barbour, and she was. plummeted thing to governor christie for his leadership. [applause] >> we rent a race where we only spent $4 million in this data was more than two to one democrats to republicans. we had only elected one republican in 48 years and when everything but the kitchen sink thrown at us. my opponents outspent me by $16 million, just with his campaign. then we had 3 million come in from the dc-8, several million dollars from union superbikes come in. we have the worst negative attack ad you can imagine against little old me and told her that had a chance but they kept coming after us and we got to as governor christie point out, we got to the five-yard line, through a lot of hard work
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and by going out and convincing blue-collar democrats that we won overwhelmingly in the state of maryland. we did better among african-american voters than anybody had ever done in history of our state. we did better with hispanics and women. a not to take anything away from you, but my wife is going to be the first asian-american first lady in maryland history. [applause] we won overwhelmingly with the asian vote in maryland as well. but we really could not have won this race had not governor christie believed in us. i convinced his colleagues, the great coverage of your with us today to get involved at the last minute, the last 10 days of the race. i think a little over $1 million was put in by rga. played a tremendous fund-raising show. maryland was not on the map. it was not in the budget. maryland was in no way in hell listed. it was way over there. somehow we popped up and it was
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the foresight governor christie for believing in us and for the of the governors for agreeing to step up. i want to thank phil cox and the rga for the leadership, for going into debt for that million dollars to spend on our race. they ran simply commercial at the end. i would not be standing here today without the help of the rga so want to thank each and everyone of you in this room for your support of the rga. i'm hoping you think that million dollars loan was a good investment and that we're happy to have one in maryland we have a lot of work ahead of us. our state is in a terrible financial crisis. our economy has been going down the tubes for eight years under the leadership of martin o'malley. we've got to turn things around. i'm going to put together smart people i can find regardless of party affiliation.
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the first verse we named was the smartest guy in the state on budget issues, the democrat. i happen to believe we've got to reach across the aisle, come up with real commonsense bipartisan solutions to the series problems that face us. in maryland we will have to roll up our sleeves. with 60 days to put a cabinet together and take over a state that's in pretty bad she. we have a $40 billion budget i have to submit two days after i'm sworn in. we have a shortfall of $7.5 billion deficit but we will get to work and do everything we promised to do in the campaign. we will cut spending, cut taxes, streamline regulations. we are going to make maryland a business friendly state which it has not been in a long, long time. we will get the government off our backs and out of our pockets and grow the private sector. put people back to work and to our economy around. i'm going to war some of these governors, usually they laugh about maryland we will compete. we will try to steal some jobs
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from texas. so thank you all very much for having me. [applause] >> larry, thanks. i have no doubt you will make governor christie proud, even as he made a start after he got elected. a great story. i want you guys to get ready. i'm going to let some of these governors asked questions. i want to prod on a couple of things. chairman of the rga will preface by making some remarks about your class. >> first of all, it's great to be here. i think what larry said in his remarks is true, regarding what the role of the rga and the rga chairman should be when we're at our best. it's first and foremost to make sure that we raise the resources to defend our incumbents.
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the men and women who have already been elected under out there serving, we added 19 this year. 19 incumbents. the first thing we need to do was to make sure that we did everything we could to those incumbents. talk about some of the statistics before, but if you look at what happened in florida and michigan and in wisconsin, we spent an enormous amount of money, over $40 million in those three states, to make sure we protected those incumbents. much different than what the senate map was this year. the rga map was the complete opposite. playing a defense in 26 races and being able to defend nine states the president had won twice. we defended eight of those nine seats. what that is about is not just the rga investment. that's a small part. it's for the record of those
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governors and the trust that they established in those states with her citizens. but one of the things i point out to all the new folks is that work begins now. not only that but to establish the trust between you and the people that you have the privilege to govern. if you do that, the people of your states will repay you with their support of your policies and ultimately if you decide to run for reelection, of your political career as well. and then what you really do when you try to get a budget as large as one that haley established in 2010 and the one i built on in 2014 is the ability to go into states where we want to try to take some food off of the of the sides table. not many people thought we would be able to do that but we saw
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opportunities that were based upon the candidates in those states. so you see larry hogan and charlie baker here, bruce was there or in the week, asa hutchinson is here today. those were all states controlled by democrats that are now in january going to be run by good, fiscally responsible, smart republican governors. it also means you take some chances in places that don't work out. we worked hard in colorado. very close in colorado, within a couple of points of winning that race. take a chance but does always work out. whether it's connecticut or rhode island we also challenge. we were in races that were less than six points but if i told you grew going to spend all the money in the race as we spent, 70% of our money in races that were six points or less and i were going to take the maryland wasn't one of those races,
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because he won by eight. by eight points. so the money we borrowed and spent there is not in that 70%. hogan blew the race out. we did wind up in that but you've got to take chances. i remember watching haley to this in 2010, take chances a lot of places and simply super laws. one of the things he taught me as i was doing this job as chairman in this cycle was he reminded me that we lost five states in 2010 where we were challenged by a total of 50,000 votes. five states, 50,000 votes. and so i remember one night sitting at my house about a month before the election, trying to get a handle on the map, and it was a sunday evening and i called hailey and i said, listen, can you give me some time to go to the path with me? we went through the entire map
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together. we were on the phone for over an hour, and he continued to remind me that places you take chances, pay attention to what the other side is doing. let's not let some of these by that kind of small margin. do the little things, encourage your organization and your staff to do the little things that will make a difference between losing by five or 10,000 votes and winning. we see that up here. charlie baker won by about 40,000 votes in massachusetts. that was a place where we came close to four years ago but came up short. the efforts of his campaign and help that we gave you were able to do it. what you will do for us by providing this kind of support that you have overtime, by going from $859 goal for 60 when the budget was to give us the flexibility to take those risks and to do them any first class way, not on the cheap. so that we don't come close and fall short but we actually win.
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from my perspective the most rewarding thing about this experience was sitting there on election night and listening to the voices of both my colleagues and my soon-to-be colleagues on the phone what i could call them and congratulate him after having won tough races to the best phone call i get to make all night, and the great thing is he answered which was the amazing thing. the best phone call i got to make and it will go to questions, was asa hutchinson. i was watching and the race got called for arkansas early, really early. so i picked up the phone and i said i'm going to go asa. i said -- after the phone and i said, governor-elect hutchinson, congratulations. he said what do you know that i don't know? asa will be able to take a story about why he did not not the rae had been called for him at that point but it's great to call and
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tell the person. that they are the governor elect of arkansas. it's because he's a great grandfather and yet his grandchild into watching something else on television and didn't have the tv on for -- that was only two minutes after the polls close. i didn't expect it would get called it a quick. 's i got the lessons about how to do this job. i said earlier at breakfast this morning, i will go on the way i did this one except to say that the foundation for this type of effort, of going from 22-31 in five years, the credit goes to
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two sources. all of you who gave us the financial resources and support to be able to do it, and to governor barbour the build the organization not just to maintain what we had, but to always try to grab more and more all the time and encouraged all of us to do that. so what i have the chance to do this year was ago and built on a foundation that he laid. you look around, this is the class i get to call mine because i was chairman. you look at people who haley barbour brought in 2009-2010, the folks up in leading now and have been reelected as governor throughout this country. can you put up o on the screen e 2015 map again? the last point i will make and then i will let folks talk. this is what i want to point out to all of you.
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i think it's very important. the national media has a lot of fun saying that the republican party is a regional party. we have a son of the regional party and not a national party. i want you to look at that map. let's start up in the northeast and look at paul lepage and charlie baker and myself and larry hogan in the northeast. we are encroaching on what used to be solid blue territory in the northeast. with for republican governors in the northeast. then moved past pennsylvania and go to the midwest. you will have a hard time find a democratic governor in the midwest. making their way into the mountain west, go down into the southwest and look at every place you go. that's now for the pacific coast, the republican governors in every region.
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what the national media should start report is the democratic party has become a regional party. they are a regional party a part of the northeast and the pacific coast, and that's it. that's because of your efforts. [applause] >> not that i've noticed the governors sitting there don't have microphones, so i will call on you all to see if you have any questions. there is a microphone. dennis, okay, matt. >> and one, congratulations to the new governors. exciting things for all of you. one of the exciting things for me is to the governors talk about competing with one another. that is so healthy for this country when every state does a little better. the competition amongst the states helps the country so we look forward to the competition
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and know that you come in our state shooting fish in a barrel we needed a better job. congratulations to all of you. this is the question or maybe a comment for you, chris. congratulations for you and the rg 18. haley, you have a great thing center for all of us and we appreciate it very much. one of the things you have to make hard decisions. i think i've heard you say and who say you will not find landslides. in najaf to make tough calls about where you spend your money. i just wanted you to provide some insight on that, and then secondly with the majority of republicans we have now with a change in the senate, the strengthened in the house, what you view as opportunity for us as a group to address major issues. in the past we have addressed welfare reform, opportunities for energy, what the rga
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governors association can do in terms of sort of a collective effort on policies. so if you could comment on that. >> first off on the tough decisions that you have to make, that we had to make to invest in these races, some of the toughest things were saying no to people. we say no to colleagues who we just had a lot more confidence in them than they had in their cells. you were one of those, matt. matt and i have known each other now for nearly 14 years. we served together as united states attorneys in the bush administration now served together as governors, so it's particularly hard to say no to somebody you've known for 14 years. i knew he was going to win comfortably. part of it is saying no, you have to say no to folks who, not
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that they wouldn't use the money well and not that they were not deserving of the sport, but it is the comment i made publicly. one comment that got a lot of attention but he was smart enough to say publicly. that we don't pay for landslides. we don't invest in lost causes. but it is the philosophy of this organization the people that we need to focus on are the places where we can do different things. so that was the guiding principle all the time. the guiding principle in these decisions were is this the best investment. if it is we have to make it even if we borrow to do it. and if it isn't, we won't. one of the last piece of the comments, i think one of the great things about this organization was established in the last five or six years has been the rga public-policy, where we are working on public
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policy issues that all the governors care about and then use that organization to forward collectively the wisdom of this group to our representatives in washington and to push hard on issues like the ones you brought out, welfare but also medicaid reform, which is such an impactful issue on our budget. you and your staff can have an impact on the policies you were developing in your state to get pushed around the country because not only share that with washington but share it with each other. if you have an issue that comes up in your state that you haven't dealt with yet, you don't have to try to reinvent the wheel. you can go to other governors not just on an ad hoc basis but the group that collects all the different policy issues we're doing around the country and
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makes all the specifics available to you and your stuff. so the great thing that we funded through the rga as well through the support of our donors and supporters. something i think we can continue into the. and i want to apologize to the chairman but hope all of you recognized how important the public policy group is. because the news media tends to cover washington. if these year to cover. they don't have much idea what's going on in the various states, but this gives you an opportunity to learn what's going on in 31 states at least. frankly, by making good decisions, as matt said. i was around when we did welfare reform in 96, and the welfare reform bill was written in 1995.
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it's been immensely successful. we need more time where governors are influence in washington. and helping our party get on the right way for public policy. is the republican congress is going to be about getting things done. it's going to be about economic growth, job creation, and the real problems facing american opportunities. so don't think they can't learn from you, but also you will be able to learn from other governors. so i commend that. gregg, what's the first big problem we face? what's the big first problem you face as governor? >> the first big problem is the border situation. it simply must be addressed. people need to understand that what you saw on tv last summer was not a one time or isolated
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incident. it had been going on for years and it continues to go on. what we anticipate happening tonight will reignite what happened in the aftermath of what the president did two years ago when he spoke from the rose garden. this is a genuine challenge, a genuine challenge to the sovereignty of the united states and continuing challenge to the leadership in this country, but it's a way in which the president is putting more and more financial responsibility and for the states to kerry and do the work that is assigned to the federal government. so we're going to have to step up and address the problem. the other problem i will mention that we face is frankly a good one. i'm glad to hear maryland to talk about it, i'm glad you about scott walker talk about. i'm cloudier every governor talk about. the problem i have is
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maintaining the thank you for being the number one job creation i challenge the other governors from across the nation. you're right, competition always leads to better results. and when we have these other 30 governors from across the nation gunning for texas to create more jobs to take jobs out of texas their policies are striving to be better than ours, that makes us in turn go black and focus us on elevating our gain even more. gene was going to win? all of our citizens. all of this nation. i believe that the way the united states of america's going to turn out better and may not be from the top down. it's going to be from the bottom up with states and governors leading the way. >> larry, you and charlie have a little different situation.
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you have a pretty significant democratic majority. tommy, other than process and getting them to work with you, what issues do you think you have the best opportunities for working together? >> we have two-thirds majorities in both houses. it's been that way for decades. i have said during the campaign that we've got to get away to work together. the only way we'll get things done in maryland is to work in a bipartisan fashion. the good news is that i've had great meetings with the leading democrats already after the election. they seem to realize that we're in bad shape and they had to go in a different direction. there was a great story and one of our local papers yesterday that quoted a top leaders of the democratic party saying they got a message on election day, that voters in maryland want to go in a different direction.
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they can't keep increasing spending by 36%, can't keep raising taxes. while it's going to be difficult, i've reached across the aisle to work with them. i know governor christie has had this experience in new jersey. a lot of folks find work in lieu states. you can disagree on policies and you can stand up for your position without being disagreeable. i think it has a lot to do with how you deal with people. we're not going to go in there in a confrontational way. we're going to try to push our agenda but we'll keep an open mind and work very closely with people across the aisle because it's the only way we can get things done in maryland. i think that's what the voters want us to do. that's why when i was campaigning i heard over and over again from people who are really angry at democrats and republicans that i wish all those politicians would stop fighting with one another and we wish you would sit down and come up with some real commonsense bipartisan solutions. i think it's a path that we to
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be looking at as a party. how to lower the partisanship a little bit and hot about solutions to fix real problems. >> charlie, same issues. >> i would agree to some extent with what larry said. i mean, by the way i grew up with a democrat for a month and a republican for a dead. disagreements are not new to me. my parents taught me a long time ago how to disagree without being disagreeable. we had games in the house and gains in the senate. they were modest but they were gains and a lot of other races that were hotly contested. i think in some respects some of those folks would like to beacon hill realized it was a lot harder than i thought it was going to be. i worked in the administration in a cabin in the 1990s and everything we did was a bipartisan. 27 tax cuts, bipartisan. workers comp reform, the custom
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have you guys cause in the country to having among the lowest, bipartisan. welfare reform, bipartisan. a lot of pieces of legislation that got done, big ones that have real sustainable positive impact on the commonwealth. the big issue for any leader especially in politics and especially if you represent one party and leaders on the other side represent another one, is defined to common ground. there will be common ground. regional people can find. think about the pension reform stuff you get in new jersey. there are plenty of opportunities to find common ground. the most important ingredient to make that work is you have to have trust. like any other organization and any other relationship in life. if there's no trust, the likelihood you ever tried to integrate this small said that to work on building that and convincing people you are coming at this with an appropriate attitude and an appropriate
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attitude about what is possible. the second thing you have to do is you have to be willing to accept the fact that it's a democracy. that means you're probably not going to get everything you want all the time, and that's okay. as long as you are moving her yr commonwealth in the right direction and making yourself more economically competitive and making yourself stronger educationally and doing the sorts of fiscal things to make it possible for a state to grow and be great, you will get all of what you want but you get a lot of what you want. >> asa, you've got a different situation. he got the most republican legislation in arkansas -- >> and we are loving every minute of it. we have challenges but everyone we have worked hard to face and we are excited about opportunities. big challenge right off the bat is the budget. we can't be like washington which is just write checks and
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spend money. we have to balance the budget in arkansas. i'm taking over from a democrat governor. the democratic governor has to submit the budget before he leaves office, and he tries to position it so that the choice is either to cut services such as education or you have got to come if you want to fund education you got to lose the republican tax cuts. so that's the position. i've got to go in there and manage the budget in order to be able to preserve and have a competitive tax system, and a goal and objective is to compete and to create jobs and grow the economy because we as conservatives know that's the right way to focus on education and to fund infrastructure. as part of that is, we've got to be able to push back and to work with our new majorities in the congress to block grants or provide performance grants him
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as i like to call them, to the state so they can and do things like medicaid, so they can manage more of their budget that comes from washington with performance responsibilities to make sure it's working. one of the challenges our medicaid budget of course is exploding, and to be able to more authority at the state level to manage that had to make it work for our citizens is a kind of authority we would like to have from washington as well as on the welfare programs that are so important to our citizens that have been poorly managed, and we can do better. >> take a page out of the mike pence, scott walker book and i'm going to start stealing jobs and corporations from california and we will grow our economy through cross-border trade. i think we have a great opportunity. >> governor, thank you for asking me to do this. to you by the governors elected, we are not only proud of all of you but we have confidence and faith in you that you will be
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able to run for reelection on your record. thank you all very much. [applause] [inaudible conversations] ♪ ♪ ♪ ♪ ..
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our analytics get a lot more granular than just seeing whether or not something passes. so we can break down on a legislative basis how likely they are to vote for a certain bill. from a tactical perspective there's a lot of opportunities for attorneys, lobbyists to say let me look at this bill. here are the 50 people most
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likely to vote for it and the 50 people least likely to vote. you can start looking at developing a strategy in terms of trying to get at the information you need. what i will say is that our analytics don't provide all the answers. it's not a crystal ball we can ask any question. that being said there is power being able to combine the analytics with the raw industry intelligence or human intelligence on the ground. and being able to combine those two things should be able to get to the answers. >> we are live this morning as the international energy chief economist today outlined the 2,014th world energy outlook' chick international studies in washington. the report focused on energy trends and improving access to
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modern energy services. this is expected in just a moment. live coverage on c-span2. breaking news from the ap says a senior administration official says the secretary of state is resigning from president obama's cabinet. the former senate served as pentagon chief since early 2013. the president is expected to announce the resignation today because the person wasn't authorized to discuss the matter publicly i had of the president's announcement. we are likely to have that own the networks and you will be able to see it here on c-span.
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[inaudible conversations]
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is [inaudible conversations]
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[inaudible conversations] we are alive once again this morning at the center for strategic and international studies in washington awaiting the chief economist for the international energy agency. she will be outlining the world energy outlook this morning. the report focusing on energy
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trends come and clear power and improving access to modern energy services. it should get underway in just a moment on c-span2. [inaudible conversations]
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[inaudible conversations] good morning. i'm the director of the energy national security program here at the center for strategic and international studies. we are pleased to have you here in the room and the folks that are joining us on the web for what is one of our favorite events of the year. we have fatih birol the chief
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economist from the iaea and the author on the energy outlook publication that we know all of you have come to count on as a source of insight and analysis on the key energy trends facing the energy sector and some of those ongoing and geopolitical issues we are discussing on a day-to-day basis. we are pleased to have fatih here. i don't know how long we have been hosting and it's one of our very popular events we are very pleased to have you here today. it's quite shocking to have you here. so that is a true testament to the work. without further ado we will have fatih give the outlook with a focus on nuclear energy and the report that you all put out on sub-saharan africa but then also
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the insights on the policy direction and impacts on climate change by the oil market and all the things we've come to appreciate about the work that fatih's team put together in each of these reports, so we will have a bit of a presentation and then a discussion with all of you. please join me in welcoming fatih birol. [applause] >> thank you very much and very good morning to you, ladies and gentlemen. it is always a great pleasure to come back to csi s.. it's one of our favorite events and venues.
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we are always happy for the warm welcome. today i would like to take you through 2014 that we published two weeks ago and i will first take you through the context that we are in and then after the presentation you will be able to get your questions and commands.
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we gave a very good contribution. where are we today? the current market challenges in front of us are set to move up in the agenda very soon. we see the process coming to $80 but what is happening in the middle east may have major
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implications. we are seeing the same move towards time and the security is a permanent and serious issue in putting these things together looking at the countries today such as iraq, libya, ukraine in the price debate coke crisis coming down its visible today the whale and gas activity would be crucial for the policy agenda in the next years to come.
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the other point is about the climate change. we have mixed signals about climate change and of course very good news in a minute but u.s. china joint commitment in the european union to a commitment. but look at the numbers the report shows last year commissions increased 2.6% which put them perfectly in line with a temperature increase which will help the implications for all of us in about 60% of the growth came from the one country last year which is china.
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second, the issue that we highlighted every year in the policy recommendations is the subsidy for the consumers in many countries to consumers at the station pay artificially low prices than the economic venue and the middle east countries and russia, india and indonesia. what does this mean to the subsidy to make the gas price is much cheaper than what they are and what the government are saying to the consumers and
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citizens please do the work and if you do so i will pay you money. or another translation would be to making things cheaper than what they are used the analogy as much as you can. but in line with the recommendations of others, some countries now are taking the prices as an opportunity to phase out subsidies. it is a major process in some other countries but it's a major problem. third, the good news they are much more experienced and they
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all tell us that efficiency is a concept, is a statement that came out in almost every government program like this and so on but for the first time we are seeing significant impact of the policies on the trends and numbers in terms of slowing down the countries in the areas that those policies are introduced. i will give you some examples on that one number i believe that's an interesting number today three out of four new cars sold are subject to the fuel efficiency standards.
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in japan and europe followed by the u.s. administration putting the new standards in china and now india. we are going to see beast points in the climate change and they are both very important. this changed the government policies in that direction or the change to be driven by the events themselves into the first one may be better.
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in the future we see a change about the contribution of different countries. when you look at the last ten years, the global demand is increased by 30% in ten years. about half of that growth came from the one country which is china. u.s., japan and the european countries together, the energy demands expect this to be set for the next years to come is upward pressure with the economic growth and also some downward pressure. the good news for me as we expect china to slow down and
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this is an effect on everything. oil, coal and everything will have measured effects. why is chinese slowing down? three reasons. if there is one country i have to pick up and say this country has very ambitious policies plus more importantly one is the result of china by far. the second reason is the chinese economy is slowing down and the changes to nature moving from the economy slowly but surely this is the second reason we see the slowdown in the energy growth. third, chinese population. it is coming to the peak
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sometime soon following the example. it is out of these three reasons we expect that it will slow down if all of the implications are under the energy markets and climate change. but there is a new driver now which is india plus east asia and the middle east countries. they are the engine of the global energy demand growth and we are already seeing in the last two or three years the numbers are changing the end of the others are growing really strong. now something on the cost which
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is a major issue in europe and japan and other countries are we going to lose our competitiveness because of the cost of energy and our answer is most likely yes with the current policies in place yes. what we have done, we look at the average cost of the consumer pays in the different countries household and industry in the past and in the future how does it change in the different countries. then we look at 2008 and there was a difference between europe, japan and the united states and
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after, we see the cost of energy increased almost everywhere else which puts the united united states in an advantageous position. the question is what is in the future. what we expect is it is still significant versus japan and europe but more importantly we expect it will be higher than even the united states. this is mainly reducing the coal
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and replacing it with others and this is an issue that is good news for the united states and almost all other major players. this may change as there are a lot of policies to use energy more efficiently we can lower the course. and if she were about oil markets, something that we feel we need to put in the evolution of the united states. the many commentators and many
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of us think the result of the shale in the united states now is going down and it looks much better and more comfortable for many years to come and the view that we strongly disagree for the following reason. first of all, global oil demand will increase 14 million per day the question is who is going to meet that demand growth. there are four strong shoulders. u.s., canada, britain and the middle east.
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the north sea, russia, mexico and some increase, some decrease in total, they see the total production declined so how are we going to meet that demand growth? we see the increase in the 20th which is very good news for the global markets and the consumers in the world that the price of oil is kept at a level that is providing very good news but we expect a significant far from
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meeting the entire global oil demand growth and from the eia sometime soon. in canada we also expect some growth coming from oilsands although there are some challenges that it can be overcome you may see the growth that makes an important contribution. the offshore production expects significant growth but there is a big gap around the standard production growth is supposed to and there's one address which is the middle east.
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and it is the very reason why we are very worried about the current developments in the middle east because of that growth in the middle east half of it needs to come from one country which is iraq a. you look at the ongoing plans to end and in iraq is very easy to produce the oil and everything is okay but the only thing is it's less every year to make it come to the markets that today
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how did you offer that into middle eastern countries that are close to zero? and assuming that the issue of the security will not be resolved tomorrow may be with us for some time to come this is a major issue because if you want to see the production growth we have to invest today. you don't wish to push the button and if you are not able to invest now how are we going to see the production growth
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that is needed unless there is a major economic problem that puts the demand found. so from that point of view we are very worried and here the security is not only a problem for the countries because today more than 50% of the oil goes to asia and tomorrow it would be more than 90% would go to asia. so therefore there is a very strong common denominator. it's in the western countries and asian consumers mainly stability and the investment in the middle east countries to increase the production growth then we need around 2020s.
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how does and market fit into this picture? at the same time, there are weak demand. but the question is the process for a very long time. there will be a downward pressure in the next couple of
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years. this downward pressure meaning that it gives a second look at the that it gives a second lookt the spending. and especially the countries defenses that require certain levels of process can be more effective than the others. they're the current price levels and the pressure. there are already some signs from the major companies to cut the spending down and this may
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continue. in brazil a big part of the investment for phased out as the cash flow this may well put an effect on the investment. so the first, the very first effect of the lower prices putting the word pressure on the investment plans and second if they stay at this level today by visited a breathing space for the consumers but that when the prices go down, we may see an upward pressure on the demand growth.
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they may give upward pressure on the demand side. putting these together, putting downward pressure on the production growth especially in the high-cost areas, second, putting the upward pressure on the demand growth might be in a more reliance on the oil which makes the concert he consumes much stronger with the investment challenges that we are facing today. we see that it is growing
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strongly and we take way less the number one fuel. there are exceptions. it doesn't grow. in europe natural gas isn't interested -- is in a winter sleep. we think the consumption will go back to the 2010 levels of. so why they are more or less
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stable, the import needs will increase significantly. they are worried that they are getting a big chunk of the gas from one single source. we see that it is increasing substantially and a 50% is paid by the pipelines, lng and is in favor of the lng as a result.
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the markets were almost 600 but perhaps more importantly, the countries that produce lng are increasing. so it is a double flexibility plus the number of countries are growing. we expect the countries to big projects of australia coming to the market. this would make the consumers stronger in terms of options in front of them. however, we do not really that
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it will bring it down to the gas price levels to the rest of europe. the companies here are going up and shipping the gas from point a to point b.. it is about $11. so this is very important and
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good news for the consumers, but the hope that the gas prices will go down is not the view. a few things on the markets, we see that the coal demand is slowing down with all of its implications. we have seen in the mid-90s and 80s and 2005 and now the most important thing is we see the chinese. this will affect the competition
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and this is what we are predicting a. of demand increased 10% per year and the growth rate was about 5% a year. the difference is equal to all of the asian countries that are put together.
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this is mainly driven by the process. we expect india to move up very strongly and overtake the u.s. as the largest consumer and as i said we see the call slowing down. if the coal industry would like to see a the buttons to be pushed or on the technology front. this will have implications for the market in many aspects.
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coming back to the power sector, again we wanted to challenge one issue. it is such an important sector anymore because the demand slowdown. again it is an idea because in the countries today the need for building new power plants are not coming from the fact that the demand is growing, but mainly the existing capacity is retired. today worldwide we have about 6,000 power plants and in the
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next two decades we will see 40% of the capacity will retire. they produce power and then retire. that is the unfortunate destiny. and then they are thrown out to hear what happens even though it is almost zero, we have to give up power plants especially the internal capacity. and what is the internal capacity coming from in the future. this is the renewable energy as the result of government support
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in subsidies. about half of the growth would be renewable but mainly the hydropower followed by wind and solar but in many countries we've seen the renewables and natural gas. so, the point is this is a timely issue. why it poses an important challenge of the same time it gives you an opportunity if you want to get a new shape to your system.
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we have no chance to reach them again in the countries. in another challenge perhaps in the u.s. as well they are so strong that you do not have enough reliable power to support a. in europe in the next ten years, we need to build a uninterrupted power. of course it is zero now. if you find a balance between
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their renewable policies and the system reliability remains a challenge for europe and the other countries as well. the good news is that a big chunk is coming from wind and solar and hydropower and the amount of subsidies will soon come down as the result of the costly sections. so this is a very good development from the economics point of view but we still need the supply.
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as mentioned every year, we look at all in general but one in particular. this year we look at the nuclear power. we see that many countries in the world are still interested in building nuclear power plants after fukushima. we expected strong growth and this will come driven by the three sectors. many of us. it is good for the energy secretary and second is the
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reliable and fair is very important to reduce the carbon emissions. so the economics and the climate change we expect the renewables to grow but in the current policies we do not see the nuclear renaissance at this time. in europe we are seeing a big decline mainly as a result of the retirement because most of the power plants were 50 or 60 years ago and as a result of the governments such as germany and others want to phase out the entire plants and of course all
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the governments to prove this way or that way i believe it is the governments responsibility to make sure that their economic securities or investment plan. in japan we expect slow but surely we will see them after the incident and will be a few new additions but also retirement in japan as well.
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but in some we expect the power plants .-full-stop play an important role but it will be less pronounced. usually we expect a net increase under construction especially those areas. india and russia are making a significant amount of effort. russia has huge plans but the
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biggest growth of no clear comes from one country only which is china. about 50% of the nuclear capacity in the world will come from china and when you look today we have the plants under construction half of it is being constructed in china so what are the implications of that blacks the first one is that china is today developing its own nuclear technology. and by building and construction a lot of the nuclear power plants, bringing the cost down we may see china soon to be a
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serious competitor in the western countries in terms of exporting the nuclear technology. today they are in north america, europe, japan, korea there may be a serious competitor there. second, today 80% are in these countries and 20% in the non- oecd countries. in this picture 50% of non- oecd
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countries of the nuclear power plants and of course a lot of implications and climate change and all other issues. further clear today we see the major challenges needing the governments that want to invest in a nuclear plant must listen to the concerns of the people and try to address them. first if we expect in the next two decades or so we will see the result of the natural and
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policy related retirement we will see they are going to retire. and up to now, we have experienced about ten nuclear power plants so how are we going to deal with the 212 them what to do? in most of the countries we are not prepared to deal with them and this is not only for the countries that want to pursue nuclear policy but also the ones who want to say goodbye to the nuclear policy. what are we going to do with the 200 nuclear power plants. the second one is today is out
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of the generation of nuclear power in the last few decades we have tons of nuclear waste and this would be doubled based on the predictions i show you end today when we look at the world, we attempt to dispose their clear waste -- nuclear waste as there are many temporary solutions that for a permanent solution they are not at the maximum and therefore there is a need to find a solution and we
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have enjoyed very much the proposal in that context. before finishing the issue which is climate change the energy sector as you all know is the main sector when it comes to climate change because more than two thirds come from the energy sector so we wanted to look very hard because the scientists told us but to keep the world today temperature increase should be maximum of 2 degrees celsius.
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so we want to see where we are today with a this perspective mother nature told us i give you a budget. and more than this, you knew just get ready to be in a different world. when we look at where we are, as of today we already consumed half of the budget given to us.
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so the top of it is already used most of it cold, oil and gas putting a lot of carbon in the atmosphere. and if we continue with our current policies that takes into account the new policies put in place we see that around 2040 we are completely exhausting the budget given to us so than about 80% of the emissions are already determined today, the investments we are making today
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so it means if we don't have a major change in the energy investment we might say goodbye to the world. internet context given a signal to the energy investment in energy efficiency i believe we have a historical chants which is the chance in next year. ..

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