HONG KONG

The South China Morning Post (www.scmp.com) says Hong Kong needs to step out and take action to reduce its own carbon footprint after a study put the city's per capita emissions at 29 tonnes, largely due to its heavy dependence on imports.

"As part of China, Hong Kong will come under Beijing's umbrella at the global climate summit in Copenhagen next month. But an inconvenient truth is that the city has one of the world's largest carbon footprints per head of population -- 10 times that of the mainland and higher even than the United States -- if we include the emissions needed to make the goods and services that we consume.

"Under such a calculation, used in an international study by Noway-based scientists, the city's per capita footprint could be as high as 29 tonnes.

"The explanation is Hong Kong's high level of consumption and its massive imports; less than 17 per cent of the footprint is attributable to domestic activities. This broader measure of the city's carbon footprint accounts for the stark contrast with the official per capita figure of 6.7 tonnes in the greenhouse gases inventory administered by the Environmental Protection Department....

"It is not unusual for developed, rich small places to leave a large footprint because they import emissions. In Hong Kong's case, high per capita GDP and consumption of output of the mainland's high-emission economy play a part. Our government is not obliged to do anything about it because the city is part of China, which under the current Kyoto climate pact does not have to meet binding emissions reduction targets.

"However, publication of the study has put paid to the belief that Hong Kong's role in global warming is minimal and therefore there is not much we can do about it. It has prompted calls for the city to commit itself to more demanding emissions reduction targets....

"We have already taken steps to cut down on waste with the introduction of the plastic bag levy.

"We can and should go further - and play our part not just in reducing our share of carbon emissions, but also improving our environment and way of life."

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INDIA

The Times of India (http://timesofindia.indiatimes.com) recommends a "wait and watch" approach on possible fallout from Dubai's debt crisis.

"Is there cause for knee-jerk panic? Experts the world over seem to think not. They say Dubai is only the latest demonstration of the perils of overleveraged ambitions. The unravelling of what's dubbed "the Dubai model" of breakneck speed development was waiting to happen. Indian authorities, on their part, recommend a calm assessment of Dubai's possible fallout. This is wise.

"Banks are checking their exposure levels, and so is industry. Our real estate firms are largely domestically driven, but even those with projects in Dubai don't seem ruffled so far as their India operations go. So far, it appears that Dubai World's debt woes could have a marginal fallout....

"The focus is also on investor confidence, and its possible domino effect in the form of capital outflows from emerging markets. Where India's concerned, some amount of capital flight may actually facilitate a correction in Dalal Street, in light of a recent surge in FII inflows that raised eyebrows. But the prospect of big outflows looks unlikely. Dubai-based sovereign funds are not big buyers of Indian equities and other financial assets. Nor is there much Dubai-linked private stakeholding in listed Indian companies. So the bourses aren't likely to be too rattled.

"Finally, it's improbable that Dubai World will be allowed to tank by Abu Dhabi, with all its oil money. With many of the developed world's biggest banks surviving on government handouts, a bailout for a Middle Eastern government-owned investment fund would be unexceptionable. Minus the firm promise of a quick bailout, however, the markets could bet on a sovereign default. Today, sovereign debt's piled up everywhere. One sovereign default may make bond holders and markets start doubting the repayment abilities of their debtors. That's something global finance doesn't need."

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THAILAND

The Nation (www.nationmultimedia.com) also looks at the debt crisis and says Dubai is "paying the price for trying to be what it is not."

"It will be interesting to see how global financial markets react today to the technical default of Dubai World, which is controlled by the Dubai government. Late last week, Dubai World sent shock waves around the world when it announced that it would like to delay paying its debt totalling US$59 billion (Bt2 trillion).

"Many Western banks, particularly UK banks, and global investors have put their eggs into this emirate, which has aspired to become the gateway to the Middle East. Over the past four years Dubai has gone on a borrowing binge, raising $80 billion to turn itself into a tourism and property hub of the region....

"The case of Dubai is common with freewheeling capitalism. Dubai does not have oil or other resources. Yet it aspired to become a regional hub for tourism and property and investment. Then it borrowed profusely to turn its vision into reality. Investors and bankers poured in the money.

"The prospects looked good in the beginning because of herd instinct. Dubai went on to invest in all the luxury properties and projects. When the global markets turned the other way, Dubai started to feel the pinch. Now it is asking for a debt moratorium. Any country trying to live beyond its means through leverage or to become what it is not will end up like Dubai. It is better off to be what we are rather than to be what we are not through borrowing. That is a prescription for disaster."

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