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Libyans gather for funerals of alleged victims of airstrike

Tripoli, Libya (CNN) -- After a fifth consecutive night of pounding by coalition jets, Libyans gathered at a seaside cemetery in Tripoli Thursday for the funerals of 33 people Moammar Gadhafi's government said were victims of an airstrike.
State television broadcast the funerals live, calling the dead victims of the "crusader colonial aggression." Earlier, a Libyan government official said coalition planes struck the suburb of Tajura and state TV showed images of fires, smoldering vehicles and the charred bodies of the dead.
CNN could not independently verify the circumstances of the deaths or who the victims were. Regardless, anger trumped grief at the cemetery and Gadhafi's message was loud and clear: innocent people were wrongly killed and the Libyan people will fight back.
Coalition leaders have reported no civilian casualties so far and said that Western jets have dropped precision bombs on military targets.
"It is not likely that civilians were a part of any airstrike today," said Joint Task Force Operation Odyssey Dawn Lt. Cmdr. Jim Hoeft.
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But so far, the aerial war has been unable to stop Gadhafi's armor and the battle for two cities -- Misrata in the west and Ajdabiya in the east -- raged on Thursday.
A Misrata resident told CNN that he heard an explosion and that snipers loyal to Gadhafi were shooting from rooftops in the besieged city.
Earlier, Gadhafi's tanks attacked Misrata's main hospital filled with 400 people, half of whom were patients, a witness said. At one point, the shelling went on for 40 long minutes -- without respite.
"Now, fortunately, no more shelling, but the situation is so serious that all the teams here -- the doctors, the patients -- are paralyzed, scared," the witness said, imploring the international community to intervene in the name of civilians under attack.
The situation, he said, was too dangerous for ambulances to leave the hospital. The hospital had no electricity and was relying on a generator.
Witnesses in Misrata are not being identified by CNN because of security reasons. Journalists have no access to the city and cannot independently confirm reports of violence.
The battle for Misrata, Libya's third largest city, has been ongoing for more than a week.
British Foreign Secretary William Hague said Thursday that many residents remain trapped in their homes without electricity and communications and a dwindling supply of food and water.
In the east, Gadhafi's tanks were shelling Ajdabiya, where fierce fighting had occurred the day before. Loyalist forces still controlled the northern and western gates to the city.
"This underlines the appalling danger its inhabitants would be in without coalition action, as do continued threats by Gadhafi forces to 'massacre' residents in areas under bombardment," Hague said.
An opposition member told CNN that an isolated Gadhafi unit had raised a white flag but when the rebels approached, the unit began firing.
The coalition has been able to establish a no-fly zone that spans from east to west along Libya's coastline. French jets fired air-to-ground missiles on a Libyan combat aircraft Thursday that was in violation of the no-fly mandate, destroying it, the French Defense Ministry said. The plane was struck as it was landing in a Misrata airfield.
undefinedPreparing for battle in Libya
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Though the rebels may be in a better position now, a U.S. official said Gadhafi's forces still have the upper hand.
They remain capable of carrying out attacks on the opposition, are relatively well-organized and continue to fight effectively, the official said.
Aid agencies, restricted from accessing most parts of the country, expressed grave concern for Libyans living in battle zones.
"It's unclear how civilians are faring in the areas affected by hostilities," said Simon Brooks, head of the International Committee of the Red Cross mission in Libya.
"And that's a source of great concern to us," he said. "We're getting alarming reports from cities like Ajdabiya and Misrata, where the conflict has been raging for weeks now."
Brooks said doctors in both cities were working under extremely difficult conditions and "struggling to keep patients alive."
On the sixth day of the coalition's intervention in Libya, myriad questions hounded allied leaders, chief among them: who will eventually take command of the mission?
"These coalition operations are currently under U.S. command," Hague said. "But we want them to transition to NATO command and control as quickly as possible."
NATO already has ships in the Mediterranean Sea to enforce an arms embargo but is still debating who should take charge of the Libyan campaign.
"We need agreement to unified command and control for it to be robust, and we expect to get that soon," Hague said.
A key NATO ally, Turkey, voted Thursday to participate in the alliance's naval operations but only in support of the arms embargo against Libya. It will not conduct military strikes.
Critics are also calling for a clearer explanation of U.S. policy in the North African nation.
U.S. President Barack Obama, who just wrapped up a five-day trip to Latin America, has insisted that the goal of the U.N.-sanctioned military mission is strictly to prevent a humanitarian crisis.
Specifically, the U.N. mandate calls for protecting Libyan rebels and other civilians from attacks by forces loyal to the strongman.
U.S. officials have indicated they hope Gadhafi will be removed quickly by forces currently loyal to him, though they haven't publicly called for a coup
The international airstrikes against Libyan military positions began over the weekend after Gadhafi defied a United Nations-mandated cease-fire to stop attacks against civilians.
The war was sparked in February by protests demanding an end to Gadhafi's nearly 42-year rule. The Libyan strongman responded with force against civilians, prompting the international community to take action.
France launched the air campaign, and Britain and the United States followed. Britain has announced an international meeting for next Tuesday to assess the situation in Libya.

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 French jet attacked Libya plane'

A French warplane has destroyed a Libyan plane which had been flying in breach of the UN no-fly zone, French officials say.
The plane, a smaller trainer aircraft, had just landed in the besieged city of Misrata when it was attacked, they say.
It is the first incident of its kind since enforcement of the zone began.
Dozens of coalition missiles have already hit military bases, with the aim of ending Col Muammar Gaddafi's ability to launch air attacks.
UK officials said on Wednesday that Libya's air force no longer existed as a fighting force.
Single engine
Coalition forces have pounded Libyan targets for a fifth consecutive night.
Initial reports of the French action said the Libyan plane, a G-2/Galeb with a single engine, was in the air when it was hit.
But French military spokesman Col Thierry Burkhard later said the plane had just landed when the attack took place.
The French jet, a Rafale, fired an air-to-ground missile, other reports said.
Earlier, the French military said their planes had hit an air base about 250km (155 miles) south of the Libyan coastline, but did not give any further information on the location of the target or the damage.
Western military planes were also said to have hit the town of Sebha in southern Libya, according to residents and media reports.
Fresh fighting has meanwhile been reported in Misrata, scene of a bitter battle for control which has lasted for many days.
Misrata resident Muhammad told the BBC many large explosions were heard overnight in the city.
"Even now, we continue to hear the aeroplanes circling the air above Misrata," he said.
"Gaddafi's forces have occupied the main street - there are snipers all along the rooftops of that street. They are firing indiscriminately into the main street and the back streets.
"But the heavy artillery and shelling has stopped since yesterday [Wednesday]. In that sense, we are in a much better position."
Further east in the strategically important city of Ajdabiya, residents described shelling, gunfire and houses on fire. One report said rebels were moving closer to the city but remained outgunned by pro-Gaddafi forces.
Nato debate Nato members have been holding talks about assuming responsibility for the no-fly zone over Libya, so far without agreement.
The US is keen to relinquish its current control, but there are disagreements about who should take on the role, and what the exact terms of engagement would be.
Turkey wants any Nato-led action to focus directly on enforcing the no-fly zone and arms embargo, rather than allowing any continuing strikes against ground forces.
The Turkish parliament has backed a government decision to join the blockade. Four frigates, a submarine and a support vessel are being provided by Turkey.
Libya map 24 March 2011


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Rebels close in on oil city as NATO set to take charge
TRIPOLI (AFP) - Rebels battled on to the strategic eastern city of Ajdabiya on Thursday as plans firmed for NATO to take over coalition operations after Tripoli came under attack for the sixth day.
France promised to continue air raids "for as long as necessary" and Italy offered to increase its participation in the coalition operation.
Military officials announced French warplanes had struck a Libyan military base overnight and blasts and anti-aircraft fire rattled the Libyan capital before down.
NATO was preparing for a fresh round of talks to resolve the squabble over transferring command of military operations from a US-led coalition to the 28-nation alliance.
But there were clear signs that Turkey would drop its opposition to the plan and reluctantly join the operation.
French fighter jets attacked an air base 250 kilometres (150 miles) inland from the Mediterranean coast overnight, military officials said Thursday at a press conference.
Italy could offer warships and more planes for operations in Libya on top of four Tornado bombers and four F-16 fighter jets it has already deployed, the defence minister said.
Rebels were fighting to retake Ajbadiya from troops loyal to Moamer Kadhafi, an AFP journalist witnessed.
Shelling and gunfire could be heard at a rebel outpost nine kilometres (five miles) from the oil city where hundreds of fighters amassed in the morning before marching forward.
"They are shooting at us with tanks, artillery and Grad missiles," said Mohamed, a rebel returning from the frontline. "We have nothing but light weapons whereas they have heavy ones."
The rebels, whose weapons range from Kalashnikovs to knives, are trying to enter the city from several fronts and managed to get within one kilometre of Ajdabiya's eastern entrance, said Mohamed.
Tanks guarded the northern and western entrances.
Focus: Libyan fighters, rebels without an officer
Heavy fighting Wednesday forced residents to flee en masse.
undefined
Operation Odyssey Dawn

There were also reports from the southern stronghold of Sebha that the coalition had carried out intensive air raids on the town, bastion of Kadhafi's Guededfa tribe and home to an important military base.
Fresh air raids on Thursday shook Tajura, a residential neighbourhood 32 kilometres (20 miles) east of the capital, with coalition forces targetting Libyan military bases, according to witnesses.
The official JANA news agency said "military and civilian sites from Tripoli to Tajura continue to be the target of raids by the aggressive and colonialist crusade".
Officials when questioned provided no death toll although Libyan television reported "a large number" of civilian casualties as a result of air raids Wednesday on Tajura and broadcast images of corpses at a Tripoli morgue.
A Libyan rebels prepare for battle against government forces a few kilometers from Ajdabiya

The claims could not be independently confirmed.
French Foreign Minister Alain Juppe said Thursday that coalition air strikes against Libya had been a "success" and would "continue for as long as necessary" adding that it was a question "of days and weeks ... but not months".
"We will continue with the airstrikes," Juppe told RTL radio. Tthe strikes were "only targeting military sites and nothing else."
Juppe insisted the operation was aimed at protecting civilian populations from attacks by Kadhafi loyalists, and denied reports that airstrikes had killed civilians. "It is the exact opposite," he said.
He added that France was in favour of handing over responsibility for implementing a UN-approved "no-fly" zone to NATO.
At the same time, however, the coalition led by the United States, France and Britain should maintain political control over the campaign, especially strikes against military installations, he said.
Canadians F-18 jet pilots from the 425 Tactical Fighter squadron arrive in Sicily after a mission

NATO ambassadors were to meet again in Brussels after the latest efforts to reach agreement on the transfer of authority ended in stalemate, partly because Turkey says the coalition bombings must stop first, a diplomat said.
Despite the row, NATO has drawn up the outlines of what its command structure would look like if and when it takes over the no-fly zone, another alliance diplomat said.
Several NATO nations want the alliance to take over the entire campaign, and US officials say they want to hand off responsibility to someone else within days.
France, however, is insisting on leaving political control of the mission in the hands of an international coalition while NATO would run day-to-day operations, arguing that flying the mission under the Western military organisation's flag would alienate Arab allies.
Italy's Defence Minister Ignazio La Russa explained that a naval flotilla composed of the aircraft carrier Garibaldi and three other warships as well as some Eurofighters and F-16s, two more Tornadoes and a C-130 military transport plane could bolster the force under NATO.
A pilot walks on the tarmac after getting off a French Rafale jet fighter in Corsica after a mission in Libya

Italy has threatened to take back control of the seven air bases it has offered for no-fly zone operations if NATO command is not agreed.
The F-16 warplanes sent by Norway to take part in operations over Libya carried out their first mission on Thursday, the country's armed forces said.
Under US command two of the six aircraft, which are based in Crete, took off around midday and headed for Libya as part of the "Odyssey Dawn" operation.

                                          ---------------------------------------------------

West strikes deep in Libya, Misrata, Ajdabiyah besieged

(Reuters) - Western warplanes hit military targets deep insideLibya
on Thursday but failed to prevent tanks reentering the western town of Misrata and besieging its main hospital.Air strikes destroyed government tanks on the outskirts of rebel-held Misrata, but other tanks inside the city were not hit, a resident said, underlining the difficulty of the U.N. backed military mission to protect Libyans from Muammar Gaddafi.
The continued violence has strained the international coalition set up to try to stop Gaddafi's assault on Libyans seeking an end to his rule, with a growing list of countries wary of attacks on ground troops that could kill civilians.
NATO members were still trying to resolve differences over the command and aims of the campaign while Western forces, having taken out Libyan air defenses, moved deeper into Libya and on to other strategic targets.
Gaddafi's tanks rolled back into Misrata under the cover of darkness and shelled the area near the hospital, which was also under fire from government snipers, residents and rebels said.
"The situation is very serious," a doctor in the western town said by telephone before the line was cut off.
A resident called Abdelbasset said around 6,000 workers and family members from Egypt and other African countries were stuck in the port, under the eye of two Libyan warships which moved in on Wednesday. "They haven't attacked but if they do, the thousands of workers will be the first victims," he said.
Clashes between rebels and besieging forces continued on Thursday in the eastern frontline town of Ajdabiyah, said Abu Musab, who left the town by car with his family of 10.
"There is no water, no power and the bombing is random. Everyone has left," he said, adding that Gaddafi's forces were positioned to the east, west and south of the town.
"There are revolutionaries in the town and there is fighting going on right now."
PLANE DESTROYED
France said it had hit an air base in central Libya early on Thursday, the fifth night of Western air strikes, and had also hit a government plane after it landed at Misrata airport.
Al Arabiya television said coalition planes struck Sabha, a Gaddafi stronghold in southern Libya.
A Libyan official said fuel storage tanks and a telecommunications tower in Tripoli were among places hit by what state television called "colonialist crusaders." A target in the Tajoura district which a resident said was a military area was also hit twice on Thursday.
Libyan Deputy Foreign Minister Khaled Kaim said strikes had hit military and civilian compounds in the central Jufrah region and other targets in Tripoli, Misrata and south of Benghazi in the east, home to a emerging alternative government.

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Arm the Libyan rebels to fight Gadhafi

Editor's note: Angel M. Rabasa, a member of the Bosnia Train and Equip Task Force in the early 1990s, is a senior political scientist at the RAND Corp., a nonprofit institution whose mission is to help improve policy and decision-making through research and analysis.
(CNN) -- The no-fly zone and air strikes on military targets of the Gadhafi regime bear close parallels to events in Bosnia in autumn, 1995, when NATO air strikes and the threat of further attacks halted the Bosnian Serb military onslaught against Bosnian Muslim targets.
If effective, the international action might prevent the Gadhafi forces from crushing the rebellion in Libya, but it will not end the conflict.
The Gadhafi regime retains overwhelming military superiority over the Benghazi-based Interim National Council. Unless the military imbalance is redressed, Gadhafi will retain the ability to threaten or renew his attacks on his opposition. As long as this situation persists, international military involvement in Libya -- to enforce the no-fly zone and prevent ground attacks by Gadhafi's forces -- will likely have to continue.
What the United States did in Bosnia might hold the key for an effective response to the crisis in Libya. In Bosnia, the United States sought to redress the military balance, which since the onset of the war in 1992 had heavily favored the Bosnian Serb army.

To restore balance and create conditions for lasting peace in Bosnia, it was necessary to establish a capable Bosnian Federation army. A "train and equip" program was implemented by a small interagency group based in the State Department.
Should coalition support Libyan rebels?
Battle for Ajdabiya
Gadhafi tanks turned into wreckage
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Despite the Europeans' skepticism and dislike for the program, it succeeded. The program raised donations of several hundred million dollars from Muslim countries, supervised the purchase of military equipment for the armed forces of the Federation and arranged for a U.S. contractor to train Federation troops. The program also helped promote other U.S. objectives in Bosnia by diminishing Iranian influence and ensuring the departure of the foreign fighters.
The situations in Bosnia then and Libya now grow more alike as the violence in Libya evolves into prolonged conflict. Despite establishment of a no-fly zone over Libya, there is little reason to expect that air or naval power alone will dislodge Gadhafi from areas he controls.
The U.N. Security Council resolution that authorized the no-fly zone and all necessary measures to protect civilians under attack in Libya did not call for Gadhafi's ouster. There are reports that some Arab countries are considering deploying ground troops to Libya. But if they do, their role would likely be protection of the civilian population in areas outside Gadhafi's control. That outcome would still leave Gadhafi in power in western Libya.
That leaves few effective options if the United States wants to prevent the crisis in Libya from leading to a prolonged armed conflict or de facto partition that leaves a ruthless, embittered dictator with a terrorist record in control of half the country. That situation could have long-term destabilizing consequences for Libya and the Middle East.
The way out of this conundrum would be for the United States to clarify its goals in Libya. Recognizing that lasting stability could only come about as the result of the removal of Gadhafi from power, the United States and like-minded countries could begin by recognizing the Benghazi government as the legitimate government of Libya. The Libyan National Council is, after all, a government set up by a popular uprising against tyranny and therefore inherently more legitimate than Gadhafi's government in Tripoli.
The United States also might consider launching an effort to provide the Benghazi government with arms and equipment to defend itself against Gadhafi's forces and to help it liberate western Libya. The U.S. need not become directly involved in the training and equipping of the Libyan opposition. As with the Bosnia train and equip program, a small U.S. team could help arrange for the purchase and delivery of arms, as well as supply training, possibly by third parties.
There are those who would caution that the United States does not know enough about the Libyan opposition to support it, but this is not entirely true. Some of the opposition leaders are former cabinet ministers and generals in the Libyan government, known to the United States and its allies.
As in all revolutions, a few of Libya's opposition leaders have emerged from the rank and file of protesters. Some may be Islamists, but this was also true in Bosnia during that war. If the U.S. were to simply stand aside, extremists could fill the gap, as occurred in the early days of the Bosnian war.
The U.S. decision to support victims of aggression paid off in Bosnia and advanced America's interests and values. Involvement on the side of the democracy movement in Libya would enable the United States to exercise a positive influence on Libya's evolution and prevent destabilizing outcomes.

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Except for Qatar, Arab nations that called for action against Gadhafi are missing in action

WASHINGTON - As America's NATO allies shoulder a greater share of the mission in Libya, the Arab countries that urged the U.N. Security Council to impose a no-fly zone are missing from the action.
Except for the small Persian Gulf nation of Qatar, which is expected to start flying air patrols over Libya by this weekend, no other members of the 22-member Arab League so far have publicly committed to taking an active role. The U.S. has sold many of these countries, including Saudi Arabia and the United Arab Emirates, billions of dollars in sophisticated military gear over the past decade to help counter Iran's power in the region.
In the latest round of attacks, the international coalition struck at leader Moammar Gadhafi's military sites with jet bombers and more than a dozen Tomahawk cruise missiles, a U.S. defense official said Thursday. Targets late Wednesday and early Thursday included Gadhafi's air defense missile sites in Tripoli and south of the capital as well as an ammunition bunker south of Misrata and forces south of Benghazi, the official said, speaking on condition of anonymity because he was not authorized to speak on the record.
Nearly a week into the campaign to prevent Libyan leader Gadhafi's forces from attacking civilians, the United States increased the pressure on its NATO allies to take command of the campaign, suggesting the U.S. might even step away from its leadership role in a few days, even with the conflict's outcome in doubt.
Officials said there was no absolute deadline to hand over front-line control to other countries, or for an end to all U.S. participation. Still, with the costs of the campaign growing by the day and members of Congress raising complaints over the goals in Libya, the Obama administration wants its allies to take the lead role soon.
Defense Secretary Robert Gates, an early skeptic of American military intervention in Libya, said President Barack Obama made clear from the start of the campaign last Saturday that the U.S. would run it for only about a week. In an exchange with reporters traveling with him in Cairo on Wednesday, Gates was asked if his comments meant the U.S. had set a firm deadline of this Saturday for turning over command.
"I don't want to be pinned down that closely," Gates replied. "But what we've been saying is that we would expect this transition to the coalition, to a different command and control arrangement, to take place within a few days and I would still stand by that."
An American Army general now oversees the campaign from Europe, and an American Navy admiral is the day-to-day commander from a floating command post off the Libyan coast.
While the question of overall command remains unsettled, the Defense Department on Wednesday released statistics showing U.S. aircraft are flying fewer missions than at the beginning of the week.
Between Tuesday and Wednesday, there were 175 air missions — including non-combat flights — in the Libya operation, according to the department's figures. Of that total, 65 percent were flown by U.S. planes and 35 percent were flown by allied aircraft. Three days earlier, the U.S. made 87 percent of the flights compared with 13 percent by allied aircraft.
But when, or if, any Arab League members besides Qatar will participate is unclear.
On March 12, the Arab League called for the no-fly zone over Libya, saying Gadhafi's government had lost its sovereignty. Yet since then, Arab League Secretary-General Amr Moussa has said the air war has caused civilian deaths and gone beyond what the league had backed.
On Tuesday, two Qatar Air Force fighter jets and a cargo jet flew to a Greek air base on the island of Crete, en route to helping enforce the no-fly zone. Navy Adm. Samuel J. Locklear, the day-to-day commander, said he expected Qatar's aircraft to "be up and flying in the coalition by the weekend."
Deputy national security adviser Ben Rhodes told reporters traveling with the president on Air Force One that the U.S. is continuing to talk to Arab states like Jordan and the United Arab Emirates. "Different countries are going to have different contributions to make here," he said.
In Congress, meanwhile, the Republican speaker of the House, Rep. John Boehner of Ohio, said Obama must quickly spell out the nation's precise goals in Libya. Congressional liberals and conservatives have criticized the president — some accusing him of acting too slowly, others saying he moved too quickly. Some have said he should have asked for Congress' approval before committing U.S. troops to combat.
Secretary of State Hillary Rodham Clinton said order could be resolved quickly — if Libyan leader Gadhafi would just quit.
Obama returned Wednesday to Washington after a three-nation tour of Latin America, and several key Democrats lined up in support of his approach in Libya.
Sen. Dick Durbin of Illinois, the No. 2 Senate Democrat, said that when Gadhafi started a violent crackdown on his people, Obama moved with "unprecedented speed," and when Gadhafi remained defiant, Obama worked with allies and the Arab nations. He called it a "prudent course of action for the president and for our nation."
But, Boehner, in a letter to the White House, said Obama still must provide a clear and robust assessment of the mission and how it will be achieved.
Administration officials conceded there is no clear end to the fighting, although the Pentagon contended that Gadhafi's air force is essentially defeated and coalition planes are targeting more of his ground forces.

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Portugal, Ireland woes dominate EU summit

BRUSSELS (AP) -- Just on the day EU leaders were hoping to present the final version of their plan to solve the region's debt crisis, their summit in Brussels was overwhelmed Thursday by debate over Portugal's political crisis and Ireland's banking woes.
The meeting was supposed to be the event where governments signed off on closer economic cooperation and an overhaul of the size and powers of the region's bailout funds. Instead, all the focus turned to whether Portugal will take a bailout and how Ireland will cope with its banks' losses.
The defeat of Portugal's minority government over planned austerity measures puts one of Europe's most financially troubled countries into political limbo just as it faces huge debt repayment deadlines.
Pedro Passos Coelho, the leader of Portugal's main opposition party and the most likely candidate to become its next prime minister, said it was "impossible" to tell whether the country could avoid an international bailout like the ones taken by Greece and Ireland.
He said he didn't have complete information about public finances, but emphasized that the country needed "a stronger government, more committed to reducing the public deficit and controlling debt levels."
Passos Coelho's center-right Social Democratic Party and other opposition parties Wednesday night refused to endorse Prime Minister Jose Socrates' spending cuts and tax increases, triggering his resignation.
Passos Coelho was meeting other conservative EU politicians at a pre-summit meeting just outside Brussels, while Socrates represented his country at the actual summit. However, Passos Coelho said Socrates would not have a mandate to negotiate a bailout on behalf of his country.
Most analysts believe an international rescue is only a matter of time, as the EU's bailout fund is ready to be tapped.
Jean-Claude Juncker, the prime minister of Luxembourg, said EU leaders would hold talks with both Passos Coelho and Socrates to get a clear idea of the situation.
Some, like German Chancellor Angela Merkel, said they regretted Socrates' defeat over austerity measures.
"Portugal had presented a very courageous reform program for the years '11, '12 and '13," she said. "I think it will depend very much on everyone who speaks for Portugal feeling committed to the goals of that program. That is not only important for Portugal but also for the entire eurozone."
The political crisis in Portugal takes the shine off the EU's new crisis strategy, which was due to be signed off at the summit.
Over the past week eurozone policymakers reached deals on the size and powers of their provisional and future bailout funds, and committed to improve the competitiveness of their economies by targeting wage increases and unsustainable public pension systems.
But a growing unwillingness among taxpayers - and politicians - in some countries to bet solely on austerity measures to overcome the region's financial crisis was starting to put that strategy into doubt.
Those market jitters were nevertheless confined to the three most troubled countries - Portugal, Ireland and Greece. Elsewhere in Europe, markets were steady - even in Spain, which was considered the next weakest link in the eurozone after Portugal - suggesting investors believe the debt turmoil can be better contained now than in the past.
Still, the outlook for the three shakiest countries is grim.
Fitch Ratings promptly downgraded Portugal's credit rating, not even waiting for a new government or updates plans to cut spending, while few economists believe Greece will ever repay its mounting debts without some restructuring.
In Ireland, the new government is threatening to make senior bondholders take losses if stress tests next week reveal big capital holes in the country's banks. Irish Prime Minister Enda Kenny said he would not try to reach any new deals on his country's painful bailout with other eurozone leaders until he knows the result of the stress tests.
"From the Irish point of view I prefer to deal with substance rather than theory," he told reporters.
The stress tests will give a clearer picture of the state of the banks and the ability of the Irish government to continue shouldering their losses. But they will also show other eurozone governments, whose banks were prolific lenders to their Irish counterparts, how much they are involved in the problem.
If the Irish force losses on private bank bondholders that could cause huge trouble for banks in Germany, the U.K. and France.
The EU and the European Central Bank have so far ruled out letting big banks fail outright, fearing that it would cause panic on financial markets similar to what happened after the collapse of Lehman Brothers in 2008.
The unwillingness of citizens to continue paying for what many see as the excesses of financial institutions and politicians was visible in Brussels, where close to 20,000 workers protested against the economic measures envisaged by leaders in their drive for more competitiveness.
Police used water cannons and pepper spray to keep demonstrators away from the site of Thursday's summit and a dozen of police officers were injured in scuffles. The trade unions called the measures an unprecedented attack on Europe's welfare state, targeting workers with austerity measures while undermining cherished social benefits.

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Japan nuclear crisis drags on but experts hopeful

TOKYO (Reuters) - Workers battled to stanch radiation leaks at a Japanese nuclear plant on Thursday, almost two weeks after it was disabled by an earthquake and tsunami, but some experts saw signs of the crisis being brought under control.

Hundreds of workers have been desperately trying to cool down the six reactors and spent fuel ponds at the Fukushima Daiichi plant, 240 km (150 miles) north of Tokyo, since the March 11 disaster, including pumping in seawater or dropping water from the air.

Two of the reactors are now seen as safe in what is called a cold shutdown, but the other four remain volatile, emitting steam and smoke periodically and raising radiation levels in the vicinity.

But that does not mean the situation is out of control, the experts said.

"The reactors are more stable as time progresses," said Peter Hosemann, a nuclear expert at the University of California, Berkeley.

"By now, the decay heat is greatly reduced and it becomes easier to supply sufficient water for cooling. As far as we know, the containments are holding and the radiation levels have dropped."

But he added: "We might see some more release of radioactive material, mostly due to the water going through the systems."

Officials at Tokyo Electric Power Co, the plant's operator, said the delay in repairs was at least partly due to underestimates of the damage from the disaster.

Upturned roads, broken pipes and debris hindered transport of equipment and replacement parts, and one official said connecting cables to wet equipment in the dark interior of the reactor buildings had been "far more challenging than expected."

After more than a week, workers managed to connect power to the reactors, but since seawater has been used to cool the plant, checks are needed on all systems before electricity can be switched back on.

Once coolers are switched on, reactor temperatures should fall rapidly and the plant could be on its way to being declared safe, the experts said.

"The problem of testing all the systems has caused some delays," said Tony Irwin, a former nuclear plant manager who now lectures at Australia National University.

"Obviously there must have been quite a lot of building damage. It doesn't seem to be too much of a risk because it all seems to be stable. As soon as you can resume cooling, it should be OK."

A Japanese nuclear expert said the main risk was from continued radiation leaks, and the risk of criticality, or a self-sustaining nuclear reaction, was low.

"The possibility is not zero, since nobody can look inside the reactors to see what is happening," said Yoshiaki Oka, a professor at Tokyo's Waseda University.

"The nuclear fuel rods could cause the reactor core to melt, the core could heat up and melt equipment around it. But as long as we make sure heat is exiting from recirculation pumps and the spent nuclear fuel is covered in water, that risk is remote."

Hosemann, of the University of California, Berkeley, said the crisis should die down early next month.

"It's still a bit early to make an exact time prognosis, but my guess is in a couple of weeks the reactors will be cool enough to say the crisis is over," he said.

"It will still be important to supply sufficient cooling to the reactors and the spent fuel pools for a longer period of time. But as long as this is ensured and we don't see any additional large amount of radioactivity released, I am confident the situation is under control."

                                     --------------------------------------------------


Japan says must review nuclear power policy as crisis persists

(Reuters) -Japan will have to review its nuclear power policy, its top government spokesman said on Thursday as radiation from a damaged nuclear complex briefly made Tokyo's tap water unsafe for babies and led to people emptying supermarket shelves of bottled water.
Engineers are trying to stabilize the six-reactor nuclear plant in Fukushima, 250 km (150 miles) north of the capital, nearly two weeks after an earthquake and tsunami battered the plant and devastated northeastern Japan, leaving nearly 26,000 people dead or missing.
"It is certain that public confidence in nuclear power plants has greatly changed," Japanese Chief Cabinet Secretary Yuki Edano told Reuters.
"In light of that, we must first end this situation and then study from a zero base."
Before last week, Japan's 55 nuclear reactors had provided about 30 percent of the nation's electric power. The percentage had been expected to rise to 50 percent by 2030, among the highest in the world.
There were no fresh incidents of smoke or steam at the plant on Thursday, but four of the plant's reactors are still considered volatile, although on the way to stability.
"It's still a bit early to make an exact time prognosis, but my guess is in a couple of weeks the reactors will be cool enough to say the crisis is over," said Peter Hosemann, a nuclear expert at the University of California, Berkeley.
"It will still be important to supply sufficient cooling to the reactors and the spent fuel pools for a longer period of time. But as long as this is ensured and we don't see any additional large amount of radioactivity released, I am confident the situation is under control."
Tokyo's 13 million residents were told not to give tap water to babies under 1 year old after contamination hit twice the safety level this week. But it dropped back to allowable amounts on Thursday.
Despite government appeals against panic, many supermarkets and stores sold out of bottled water.
"Customers ask us for water. But there's nothing we can do," said Masayoshi Kasahara, a store clerk at a supermarket in a residential area of eastern Tokyo. "We are asking for more deliveries but we don't know when the next shipment will come."
Radiation above safety levels has also been found in milk and vegetables from Fukushima and the Kyodo news agency said radioactive cesium 1.8 times higher than the standard level was found in a leafy vegetable grown in a Tokyo research facility.
Singapore said it had found radioactive contaminants in four samples of vegetables from Japan.
Earlier, it and Australia joined the United States and Hong Kong in restricting food and milk imports from the zone, while Canada became the latest of many nations to tighten screening after the world's worst nuclear crisis since Chernobyl.
A shipping industry official, meanwhile, said some merchant vessels may be avoiding Tokyo port due to concern that crew members may be exposed to radiation.






























 

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