Showing posts with label WORLD NEWS. Show all posts
Showing posts with label WORLD NEWS. Show all posts

Thursday, October 21, 2010

Scattered Protests Still Grip France as Fuel Runs Low

PARIS — After a day of scattered clashes around the country, strikers blocked traffic in several parts of France on Thursday as protesters continued weeks of efforts to thwart pension reforms proposed by President Nicolas Sarkozy. The thrust of the stoppages has been on strike-bound refineries and blockaded fuel depots, with demonstrators taking to the streets in support. Early Thursday, gas stations across France were still starved of fuel despite police operations at three fuel depots that ended blockades, but the authorities said there had been a “slow improvement” with only 14 out of more than 200 fuel depots across the country still blockaded. A final parliamentary vote on the retirement reforms seemed unlikely until the middle of next week.


At the same time, strikers blocked the access road to the airport in the southern port of Marseille for several hours early on Thursday and others held up traffic near the cities of Rouen, Toulon, Le Havre and elsewhere, news reports said. The actions came a day before the start of mid-term school vacations whose impact on the strikes and protests is unclear.

Educations authorities said 312 of the country’s 4,300 high schools had been closed down or disrupted on Thursday by protests among high-school students, some of whom planned a protest march in Paris.

President Sarkozy ordered the police to reopen all the blocked fuel depots and warned of economic dislocations from the continued protests against his determined effort to change France’s retirement plan.

“If this disorder is not ended quickly, the attempt to paralyze the country could have consequences for jobs by disrupting the normal functioning of the economy,” Mr. Sarkozy told his cabinet in remarks released by his office on Wednesday. In public remarks, he said the government would show no weakness towards the hooded youths and protesters who have looted stores, burned cars and clashed with police, calling their actions “cowardly.”

Unions are considering another day of demonstrations next Tuesday. But some union leaders acknowledged that time was running against them, and some quietly acknowledged concern that the largest and most radical French union might be pushing the protests too far.

That union, the C.G.T., was once allied with the Communist Party. It is the largest union among refinery, port, gas and power workers, some of whom are more radical than the union’s leadership.

François Chérèque, head of the second largest French union, the C.F.D.T., called on demonstrators to remain calm and not to give in to provocations, while the white-collar union, the C.F.E.-C.G.C., announced that Tuesday’s demonstration would be its last. Its president, Bernard Van Craeynest, said that in the face of excesses, “it will be necessary without doubt to pause to reorient the actions” of the unions.

He added, “We find ourselves in a situation where the movement is going in all directions.”

But with the more radical union members deployed at choke points for fuel and gasoline supplies, and with more young people protesting, the tone of the demonstrations on Wednesday became more aggressive, making it easier for Mr. Sarkozy to try to shift the public’s focus to the restoration of order.

In Nanterre, youths with hoods and scarves to hide their faces clashed with riot police officers near a high school that was the site of earlier violence, and in Lyon protesters looted stores and fought with the police, sometimes setting fire to cars. Tear gas was used.

The interior minister, Brice Hortefeux, warned rioters, “The right to protest is not the right to break things, the right to set things on fire, the right to assault, the right to pillage.” He added: “We will use all means necessary to get these delinquents.”

The Interior Ministry said that 21 fuel depots had been unblocked since Friday, and that about 1,500 people had been apprehended for violations of social order, 428 of them on Tuesday. There were also work stoppages at two of France’s three terminals for liquefied natural gas, but no immediate risk of shortages.

Toyota recalls 1.53 million cars, mostly in U.S. and Japan

TOKYO — Toyota Motor Corp. said Thursday it is recalling 1.53 million Lexus, Avalon and other models, mostly in the U.S. and Japan, for brake fluid and fuel pump problems, the latest in a string of quality problems for the Japanese automaker.

The world's biggest automaker will call back for repairs about 740,000 cars in the U.S. and 599,000 in Japan. The remainder are in Europe and other markets around the world.


Over the past year, Toyota has recalled more than 10 million cars and trucks worldwide for a variety of problems, from faulty gas pedals and floor mats that can trap accelerators, to braking problems in its Prius hybrid. In August, Toyota called back 1.33 million Corolla sedans and Matrix hatchbacks in the U.S. and Canada because their engines may stall.

The majority of vehicles this time around need to be fixed for a problem with the brake master cylinder, which could lead to weaker braking power, said spokesman Paul Nolasco in Tokyo.

Some models in Japan and elsewhere — but not in North America — have an electrical problem with the fuel pump, which could lead the engine to stall, Nolasco said.

No accidents have been reported from the two defects, he said.

The models affected in the U.S. include the 2005 and 2006 Avalon, 2004 through 2006 non-hybrid Highlander and Lexus RX330, and 2006 Lexus GS300, IS250, and IS350 vehicles, the company said in a release from its U.S. headquarters in Torrance, California.

The release said a small amount of the brake fluid could slowly leak from the brake master cylinder, resulting in illumination of the brake warning lamp.

Owners around the world will be notified by Toyota by direct mail to come for repairs at no charge, Nolasco said.

The models affected in Japan include the Crown, Crown Majesta, Harrier, Mark X, Alphard, Kluger, Lexus GS350, Lexus IS250, and Lexus IS350. The production date of the models range from May 2002 to November 2005.

In Japan, two models — the Lexus GS350 and the Crown — are affected by both problems.

Toyota came under harsh criticism in the U.S. earlier this year for being slow to address safety problems. American regulators hit Toyota with a $16.4 million fine earlier this year for failing to promptly tell the government about its car defects.

Toyota has been working to overhaul its quality controls and respond more aggressively to customer complaints in the fallout of its recall crisis.

In Japan, Toyota's image has taken less of a beating. And despite the safety woes, the Prius has been Japan's top-selling model this year.

Spending Review: Osborne defends 'fairness' of cuts

Chancellor George Osborne has defended the "fairness" of his UK spending cuts after Labour claims they were reckless and would hit the poorest hardest.

He told the BBC that including Budget measures, the top 10% of earners would be hit hardest but everyone was making a contribution to cutting the deficit.


He said "the path to economic ruin" lay ahead if the deficit was not tackled.

Labour called the £81bn cuts - the biggest since the 1970s - a "reckless gamble" with the economy.

It has been estimated that the measures will lead to the loss of 490,000 public sector jobs, but Mr Osborne told BBC Breakfast he expected many more private sector jobs to be created over the four year cuts programme.
Continue reading the main story
The Spending Review: Making It Clear

    * Key points at-a-glance
    * In quotes: Reaction
    * Analysis: Impact still unclear
    * Video and text: Speech in full

Mr Osborne told MPs on Wednesday that he had acted to restore "sanity to our public finances" and deal "decisively" with Britain's record peacetime deficit.

The government says public debt interest repayments now total £120m a day, or £43bn a year.

Hours after Mr Osborne's speech, crowds of demonstrators gathered outside Downing Street to protest against the cuts, which the TUC has said will have a devastating social impact.

Mr Osborne is currently in the midst of a round of interviews explaining his decisions in the Spending Review which, according to the Institute for Fiscal Studies (IFS) think tank, represent the deepest six-year period of cuts since the 1970s - not since World War II as previous plans implied.

The chancellor said he had been able to restrict departmental spending cuts to an average of 19% over four years - not the 20% he said Labour had planned - because of "tough but fair decisions to reform welfare, and the savings we've made on debt interest". He unveiled plans to cut a further £7bn from the welfare budget - on top of £11bn cuts already announced - which include putting a time limit on some incapacity benefits and changes to tax credits and housing benefit.

He also announced that the state pension would rise to 66 for both men and women in 2020 - six years earlier than planned - and there would be a £3.5bn increase in public sector employee pension contributions.

These plans were unveiled alongside other changes, including a permanent bank levy, tax changes and cuts to child benefit for higher earners.

Mr Osborne said "those with the broadest shoulders should bear the greatest burden. Those with the most should pay the most, including our banks".

Banks will find out later how a new levy on their finances will operate.

However, Labour said the Treasury's own figures showed that the poorest 10% of people would pay more to reduce the deficit than everyone other than the richest 10%.
'State retreating'

Shadow chief secretary to the Treasury Angela Eagle told BBC Two's Newsnight: "What we have got here is not actually a blueprint for recovery, it is not actually a plan for a big society.

"When you look at it, it is the state retreating. It is a blueprint for a smaller, meaner and nastier society and we think the government has got it wrong."

Shadow Chancellor Alan Johnson, who labelled the cuts a "reckless gamble with people's livelihoods", said there were "serious unanswered questions on how many jobs will be lost and how much the redundancies will cost the taxpayer". IFS acting director Carl Emmerson told Channel 4 News: "The benefit cuts we heard about today - an extra £7bn - on average will impact those in the bottom half of the income distribution more than the top half of the income distribution. Therefore, they are regressive."

He added that the best estimate suggested that the poorest 50% would also be hit harder by public service cuts.

The IFS also suggested it was still "quite possible" that the chancellor would have to make further spending cuts or put up tax in order to meet his target for tackling the deficit - if it turns out to be larger than the official estimate.

However, the Fitch ratings agency said Mr Osborne's measures should help the UK retain its prized triple A credit rating.

Mr Osborne said the cuts were guided by fairness, reform and growth: "There have been some difficult decisions on welfare, but I have sought to protect the most vulnerable and I think our overall welfare reforms will help give incentives to many in our country who currently don't have them to seek employment."

The main new welfare savings come from abolishing Employment and Support Allowance, which replaces incapacity benefit, for some categories of claimant after one year, raising £2bn.

Universal benefits for pensioners will be retained, as budgeted for by the previous government, and the temporary increase in the cold weather payment will be made permanent.

U.S. Advances Saudi F-15 Package

WASHINGTON—The Obama administration notified Congress it plans to sell Saudi Arabia up to $60 billion in advanced military aircraft, including F-15s equipped with bunker-buster bombs that Washington sees as part of an effort to contain Iran.

The package, the largest overseas U.S. arms deal to date, "supports our wider regional security goals in the Gulf" without undercutting ally Israel's military edge, Assistant Secretary of State for Political-Military Affairs Andrew Shapiro said.


"We want to make sure that they have the tools that they need to be able to defend themselves," he said of Saudi Arabia, a key regional ally. The kingdom had no immediate comment.

Some details of the proposed sale have been known for months, but the inclusion of up to 1,000 one-ton bombs known as Joint Direct Attack Munitions, or JDAMs, and other guided bombs in the package, was revealed in notifications to Congress on Wednesday. The inclusion of these weapons would enhance the capability of Saudi Arabia's air force to bomb hardened bunkers and tunnels, such as those that the West believes are used by Iran to hide nuclear and ballistic missile programs.

The administration said Saudi Arabia would be authorized to buy as many as 84 new F-15 advanced fighters and to upgrade up to 70 existing Saudi F-15s to a more advanced configuration.

Congress could block or amend the sale, but officials said that isn't expected. A small group of lawmakers said they will try to block the deal, arguing it would undercut Israel and support a government with a poor human-rights record.

The package includes an upgraded fleet of attack helicopters that U.S. officials say could be used by the Saudis to bolster border security with Yemen—home to an al Qaeda affiliate of increasing concern to the U.S.—and protect key oil installations.

U.S. officials said the $60 billion figure is an estimate. Saudi Arabia is expected to commit initially to spending about $30 billion, but could come back later to purchase the rest.

Under the package, the Saudis would upgrade its attack helicopter fleet with up to 70 AH-64D Apache Longbows, 72 UH-60 Black Hawks, 36 AH-6i light attack helicopters and 12 MD-530F light turbine helicopters.

The F-15s would be equipped with advanced radar systems and could be armed with an array of missiles—up to 600 High-Speed Anti-Radiation Missiles used to knock out enemy air defenses, 400 Harpoons used against ships, and 300 air-to-air Sidewinders. The number of 2,000-pound guided bombs in the package tops 3,000.

The package could be followed by separate arms deals to provide the Saudis with naval and ballistic missile defense upgrades worth an additional $30 billion or more, officials said.

Rep. Anthony Weiner, a New York Democrat, accused the administration of trying to slip the Saudi deal through Congress while lawmakers were on recess to campaign for the November election. "It's bad policy that now is further tainted by a shameful process," said Mr. Weiner, a leading critic of arms sales to the Saudis. "This deal would destabilize the Middle East and undermine the security of Israel, our one true ally in the region."

Congress will return, however, before the 30-day review period ends. And while Israeli defense officials expressed some misgivings about the sales, they have said they won't oppose it. U.S. officials said Israel was consulted as the package took shape. U.S. officials say the Israelis are increasingly comfortable with the sale because of the planes will not have certain long-range weapons systems. Also, the Israelis are in line to buy a more advanced fighter, the F-35, which could start arriving in Israel in 2015, the same year the Saudis would start to get the F-15s.

Boeing Co., which makes the F-15s and the Apaches, says the Saudi package would directly or indirectly support 77,000 jobs across 44 states, according to U.S. officials.

It is unclear how many jobs, if any, would be supported by the Saudi purchase of Black Hawks, made by Sikorsky. Production levels are already high at Sikorsky, which is owned by United Technologies Co.

Wednesday, October 20, 2010

Powering the tiger

GRABBING hot coals is usually a stupid thing to do. But investors who scrambled to buy shares in Coal India, a big state-run firm, thought their fingers safe enough. India’s biggest-ever initial public offering (IPO) was oversubscribed on its second day, October 19th. By selling 10% of its shares, the government raised about 150 billion rupees ($3.5 billion). The world’s largest coal producer, which extracted more than 430m tonnes last year, is one of India’s ten biggest firms by market value. Local newspapers crowed that India was now in the “IPO big league”.

Nearly everyone seems happy. The government has a trainload of cash. Neither unions nor demagogues made much fuss. Reform-minded officials may take this as a green light to carry on quietly privatising other state-run enterprises, albeit slowly. And a few more Indians are now retail investors, encouraged by a small discount on the share price.

Coal India’s prospects should also be bright. India’s accelerating economy is ravenously short of energy. With renewable fuels barely a flicker, the country will rely for decades on burning mountains of carbon. Coal India accounts for more than 80% of domestic production and controls 18 billion tonnes of reserves, most of India’s total. To expand, it plans to buy foreign mines and import more coal: it has set aside $1.2 billion for an overseas shopping trip, which may include pits in America, Australia and Indonesia.


However, the partially privatised Coal India could be much more productive. The firm used to be a sponge to soak up surplus east Indian labour. Its workforce has been cut by roughly a quarter in the past decade, but still numbers 400,000.

The firm relies heavily on vast open-cast mines but is running short of appropriate places to dig (at least without antagonising gun-toting Naxalite rebels, who plague much of rural India). It is also failing to extract coal from deeper seams. The coal it produces is mostly poor in quality and rich in ash; it should be washed before shipping to make it more efficient, but is not. India’s overloaded railways struggle to deliver enough coal to power stations. Government planners, rather than a market, allocate supplies and set prices and wages. As a result, coal that is nearly the world’s cheapest when dug up is nearly the priciest when it reaches a furnace.

This creaky system struggles to deliver the half-a-billion tonnes of coal that Indians demand each year. If that demand eventually triples, as some predict, Coal India may not cope. Reformers hope that private investment will bring sharper scrutiny and better management. A better idea would have been to break Coal India’s quasi-monopoly and let rival firms vie to deliver coal cheaply. That was politically impossible, however. Greens may cheer, but many of the 400m Indians who lack electricity today will be left in the dark for longer than necessary.

Monday, October 18, 2010

White courts Democratic base in Texas gov's race

FRESNO, Texas (AP) - Former Houston Mayor Bill White, who has distanced himself from President Barack Obama during his tight race for Texas governor, worked to increase turnout among black voters and rally his Democratic base a day before polls opened statewide.


Early voting begins Monday in Texas, with both White and Republican Gov. Rick Perry expected to cast their ballots. Although White has stressed cross-party appeal in the race, he struck a more partisan tone Sunday, which he began at four predominantly black churches in North Texas.

He also campaigned in a largely black neighborhood in Fort Bend County, once the stronghold of former Republican U.S. House Majority Leader Tom Delay but now considered a bellwether in statewide elections.

"Let's turn out our base," yelled Fort Bend County Commissioner Grady Prestage, a black Democrat who helped introduce White at the rally. "Our base is going to get us there ... it's shoe leather, baby."

When White took the stage at the Teal Run community park and recreation center in Fresno, White portrayed Perry - who has aligned himself with the Sarah Palin-wing of the Republican Party - as "somebody who uses state office to create a right-wing political machine." White also made hay out of Perry's upcoming book, "Fed Up!," about the perceived overreach of the federal government.

"We're only one of a handful of states where there is no majority ethnic group," White said. "But we're the ones whose governor has a book on sale co-authored with Newt Gingrich."

Boos rose from the crowd at the mention of Gingrich, the former U.S. House speaker and a firebrand conservative who helped lead a shutdown of the U.S. government in a battle with Democratic President Bill Clinton in 1995.

The Perry campaign said Gingrich wrote an introduction to the book but was not a co-author.

White also criticized Perry's repeated focus on "state's rights," a phrase Southern governors once used to defend segregation. The phrase remains unpopular with many black voters.

Perry has repeatedly sought to tie White to Obama, even though White has criticized spending in Washington and the federal health care overhaul.

White angered some black voters when he decided not to meet with Obama when the president visited Texas in August, but as the election draws near, some black voters and elected officials said they're in a forgiving mood.

"Obama is my president ... but if hugging him is going to hurt your campaign, why would you do something to hurt your campaign?" asked former state Judge Morris Overstreet, who is black.

Obama drove up turnout in the Teal Run neighborhood in 2008, and won almost half the vote countywide, handing a Fort Bend County commissioner seat long held by a Republican to Democrat Richard Morrison. Sporting a red Obama hat at the rally Sunday, Morrison, who is white, said it made sense for White to show up at the community center.

"The (White) campaign is not stupid," Morrison said. "This is the best Democratic box in the county."

White also staged a turnout rally in Galveston and had another planned in Houston.

Perry visited churches in the Dallas suburbs on Sunday, and held an event in rural Cleburne. Perry is the longest serving governor in Texas history, and is running for a third term.

Perry spokesman Mark Miner said White "is for increased taxes and supporting the policies of Obama," and called Perry a "proven and effective leader" who will keep taxes low and help spur economic growth.

Meanwhile, White got the backing of the editorial boards of six more daily Texas newspapers on Sunday, including the San Antonio Express-News, the Lubbock Avalanche-Journal and the San Angelo Standard-Times. White's previous endorsements include The Dallas Morning News and the Houston Chronicle.

Perry, who broke with tradition this year and chose not to seek newspaper endorsements, picked up the Waco Tribune-Herald's editorial board endorsement on Sunday.

Texans can vote early at any polling place in their county between Monday and Oct. 29. Hours of operation vary by county.

Sunday, October 17, 2010

Former surgeon general calls for marijuana legalization

(CNN) -- Former U.S. Surgeon General Joycelyn Elders told CNN Sunday she supports legalizing marijuana.

The trend-setting state of California is voting next month on a ballot initiative to legalize pot, also known as Proposition 19. The measure would legalize recreational use in the state, though federal officials have said they would continue to enforce drug laws in California if the initiative is approved.


"What I think is horrible about all of this, is that we criminalize young people. And we use so many of our excellent resources ... for things that aren't really causing any problems," said Elders. "It's not a toxic substance."

Supporters of California's Prop. 19 say it would raise revenue and cut the cost of enforcement, while opponents point to drug's harmful side-effects.

U.S. Attorney General Eric Holder said in a letter, obtained by CNN Friday, that federal agents would continue to enforce federal marijuana laws and warned Prop. 19, if passed, would be a major stumbling block to federal partnerships between state and local authorities around drug enforcement.

His letter was a response to an August letter from several former directors of the U.S. Drug Enforcement Administration urging the White House to block Prop. 19 if it's approved next month.

Elders stressed the drug is not physically addictive and pointed to the damaging impact of alcohol, which is legal.

"We have the highest number of people in the world being criminalized, many for non-violent crimes related to marijuana," said Elders. "We can use our resources so much better."

Voters seeking change may turn to GOP, poll says

WASHINGTON — President Obama’s winning coalition from 2008 has crumbled and his core backers are dispirited. It’s now Republicans who stand to benefit from an electorate that is again craving change.

Nearly two years after putting Obama in the White House, one-quarter of those who voted for the Democrat are defecting to the GOP or considering voting against the party in power this fall, according to an Associated Press-Knowledge Networks poll released two weeks before Obama’s first midterm elections.


Just half of the voters who backed Obama in 2008 say they definitely will cast a ballot Nov. 2, the poll indicated.

Yet in a reflection of broad dissatisfaction with politics, just as many people who backed Republican presidential nominee John McCain are either supporting Democrats now or still considering how to vote.

Still, McCain voters are far more “fired up, ready to go’’ — to borrow Obama’s campaign rallying cry. Two-thirds say they are certain to vote next month.

It’s a wide enthusiasm gap that’s buoying Republicans, who are poised for big electoral gains, and worrying Democrats, who are seeking to hang onto majorities in Congress as well among governors. Obama’s party hopes its superior get-out-the-vote operation, updated from his groundbreaking campaign, can overcome Republicans’ energized supporters to mitigate expected losses across the board.

Although no president can be expected to fully rally his supporters when he’s not on the ballot, the survey illustrates the wide scope of Obama voters’ disappointment with the president and his policies almost halfway through his first term — and two years before he is likely to seek their backing again.

“He’s not listening to the majority of the people who elected him. It’s like he is ignoring his base,’’ said SaraSue Crawford of Jacksonville, Fla., who points to Obama’s health care overhaul law.

Crawford is deciding whether to support Republicans in the hopes of “shaking up the status quo’’ and restoring a balance of power in Washington. She says she may back Obama in 2012 — if he changes course by listening more.

The president and his wife, Michelle, campaigned together yesterday in Ohio, they first time they have done so since the 2008 race.

They attended an event in Cleveland to support Governor Ted Strickland and raise money for the Democratic National Committee.

Their day ended in Columbus at a rally on the campus of Ohio State University aimed at firing up the young Democrats and first-time voters who helped Obama carry the state.

“When times are that difficult, elections are going to be difficult and understandably so,’’ the president said in Cleveland.

Obama has been campaigning coast to coast as the Nov. 2 midterm elections fast approach. He is trying to convince wary voters that his policies have put the nation’s economy on a path toward recovery.

Though Michelle Obama campaigned heavily for her husband during his presidential bid, she has largely stayed out of politics since moving to the White House.

Her popularity has stayed high, while the president’s has fallen, making her a valuable asset on the campaign trail.

Michelle Obama’s campaign message has echoed the president’s: that he can’t make good on the promises he made during the 2008 campaign unless voters keep Democrats in charge of the House and Senate.

Recent polls suggest Republicans may retake the House and make major gains in the Senate.

To find out how the electorate’s political views have changed since the 2008 election, the AP and Knowledge Networks revisited the same 1,254 people who were part of a random sample of Americans surveyed up to 11 times throughout the 2008 campaign by the two organizations and Yahoo News. The recent interviews occurred Sept. 17 to Oct. 7.

Disillusionment with Obama was evident.

In a reversal from 2008, the survey indicated that Obama backers who expected change in Washington — 63 percent — now think nothing ever will happen. Just 36 percent still think Obama can do it, while a majority of McCain supporters now say things can change if the right person is elected.

On the dominant issue of the 2010 campaign, just 40 percent of Obama backers who are fleeing the Democrats say he will be able to improve the economy over the next two years.

Ahmadinejad Welcomes New Nuclear Talks

Iran's president is welcoming a new round of talks with world powers on Tehran's nuclear program.

President Mahmoud Ahmadinejad spoke Sunday in the northwestern city of Ardebil.  He said Western nations had no choice but to talk to Iran, but the president also warned that his government would not give up any of Iran's international rights.

The comments are Mr. Ahmadinejad's first on talks that could take place in Vienna in mid-November.

European Union foreign policy chief Catherine Ashton proposed the meeting last week, offering to speak on behalf of the five permanent members of the United Nations Security Council and Germany.  The group -- also known as the P5+1 -- had recently expressed a desire to re-establish dialogue with Tehran.

Iran is under four sets of U.N. sanctions for its refusal to stop enriching uranium.  The EU and several countries have also imposed their own penalties on Iran.


The United States and other world powers suspect that Iran wants to create nuclear weapons, a charge Teheran denies.

California struggles with pot legalization

A 2006 report by NORML, a pro-marijuana legalization organization, used U.S. Drug Enforcement Administration estimates to arrive at the $35.8 billion figure. The DEA, in its cannabis eradication program, estimated that there were 22 million pounds of marijuana in the U.S. that it had not eradicated. Using a conservative figure for the going price of marijuana -- roughly $100 an ounce - NORML obtained the estimate.

Of course, there is no official figure because, with the exception of the 14 states and the District of Columbia where it is permitted for prescribed medical use, marijuana is illegal.


That could change for at least one state this November 2. The Regulate, Control and Tax Cannabis Act of 2010, known as Proposition 19, is on the ballot in California.If approved by the state electorate, the law would authorize local governments, if they choose, to regulate and tax the commercial cultivation of the plant. Commercial growth would remain illegal in those cities and counties that did not opt in. Nonetheless, the law would allow individuals 21 years and older to grow 25 square feet of marijuana plants, process and possess the substance, and transport and share up to an ounce.

Passage is no sure thing. Campaigns for and against Prop 19 have been neck-and-neck in the polls, with the legalization side showing a slight edge through the summer. But an announcement last week by the U.S. Department of Justice is likely to have an impact on the outcome this November 2, although how much of one remains to be seen.

U.S. Attorney General Eric Holder said the Department of Justice strongly opposes Prop 19 and intends to enforce the federal Controlled Substances Act in all states, including California.

Holder was responding to a letter from former DEA chiefs who oppose legalization and urged the government to take a stand.

"We will vigorously enforce the CSA against those individuals and organizations that possess, manufacture or distribute marijuana for recreational use, even if such activities are permitted under state law," Holder wrote.

Opponents of Prop 19 hailed the Attorney General's statement as the impetus they need to defeat the measure.

"It takes the smoke right out of their hookah," said Roger Salazar, a spokesman for the No On 19 campaign.