Janez Janša | SLEEPING WITH PENGOVSKY

Administrative Reform Packages, pt. 2: On Fiscal Rule

Continuing the series on the sweeping constitutional changes proposed by SDS, SLS, NSi and DLGV, we turn our attention today to the so-called Golden (or fiscal) rule, where – broadly speaking – the constitution would be amended to limit the percentage of GDP up to which the state could borrow against or something along those lines. The idea is fairly simple. In order to keep public spending in check, a top limit of indebtedness should be set and anything above that would simply become impossible. The whole thing makes sense on a certain level, especially if you subscribe to the Thatcherian vision of having to run the economy the was you run home finances. The problem, however, is that should Article 148 of the Slovenian constitution be changed indeeed, we’re pretty much fucked.

(source)

Namely: the last draft does not specify the percentage of GDP against which the state can borrow money, but rather institutes the demand for a balanced budget. And – truth be said – even though it is the coalition which came up with this piece of Merkozy-induced crap (or is that Merkonti-induced crap), Positive Slovenia and Social Democrats happily went along with it. That much became clear after Monday’s huddle chez Janša, despite some reservations being voiced by the two opposition parties. The gist of it: a balanced budget would be mandatory, with an automatix tax increase the following year should a deficit be run in the current year. Lovely, innit?

First and most important of all, the constitution is no place for setting budgetary and tax policy. A budget is an annual thing, basically an elaborate accounting document which is part guess-work, part wishful thinking and all politics. A budget is a government’s primary policy tool, despite the fact that as much of 60 percent of any given Slovenian budget was, is and probably will go for funding various public, state and welfare services. Constitutionally setting the basic outlines of a budget would therefore unnecessarily restrict incumbent and future governments in their policy-making abilities, especially if a tax-hike loomed every time something didn’t go according to plan.

Second: Getting everyone to agree to a constitutional change requires time and energy that would power a small-sized city. This will become even more apparent as more details of constitutional changes emerge and people’s brains finally get in gear. If changes to Article 148 are rammed through and end up having negative effects (which they will) the enthusiasm for any other, perhaps more necessary constitutional changes will have disappeared faster than capital gains in Iceland.

Third: budgets do not exist to be balanced, they exist to be well spent and invested. Balancing the budget is fairly easy. You just slash everything on the spending side until it rhymes with the income side. The trick is to keep everything going while keeping public finances (that is to say, the budget, public debt and various non-budget funds) in some sort of an order in the long term. A balanced budget will do you no good if it means you can’t pay the teachers, cops or soldiers, can’t build new roads or can’t invest in R&D (to give some examples at random).

Fourth: What if the dictate from Berl… eeeer…. Brussels changes? What if suddenly Merkonti were to realise all of a sudden that what we actually need is not across the board austerity but cutting some spending cuts combined with some pragmatic economic policies and – not compulsory, but welcome nevertheless – finally open that can of whoop-ass on the financial and banking sector (not unlike what Sweden did in the 90s and what Iceland is doing today). Will we be changing the constitution yet again? And will we be doing it over and over, every time some economic zealot gets a hard-on for one approach or another?

And last but certainly not least: if and when the political landscape is once again redrawn and the SDS finds itself in the opposition once again, you can bet your ass they will not be exactly reaching out to whatever government will come up with its own set of constitutional changes.

What the government of Janez Janša set out to do could very well be achieved sans all the constitutional hassle, simply pass a few laws and stick to a few pledges. But since this would include having buckets of shit thrown at them, it is much more convenient to point at the constitution and go “look, it says we have to do it!”. Thus, what we are seeing here is nothing more than political parties (the whole parliamentarian lot of them) shying away from their responsibilities thus letting economic ideology become enshrined in the constitution.

To Viktor Go The Spoils

Prime Minister Janez Janša submitted his list of ministerial appointments for parliament approval Friday last and the first hearings were held Tuesday, with the second batch following today, with the government expected to be sworn in tomorrow. So let’s look at who these men and woman actually are (in order of appearance):

The J Team

Ljudmila Novak (NSi) – Leader of the Christian democratic party Nova Slovenija and the only woman in Janša’s administration is set to become a minister without portfolio, tasked with keeping relations with Slovenian diaspora. The single remaining “ministry-at-large” caused quite a stir. It was created by the previous Janša administration and was tasked primarily to keep tabs on the Slovenian diaspora, both immediately across the border as well as around the world.

Aleš Hojs (NSi) – Minister of defence. Last seen as member of the board of DARS, the Slovene motorway company and a relatively high-profile party member. No-one has any clue as to why exactly he gets to oversee the Slovenian Army, but since qualified defence ministers were few and far between in this country and the armed forces are one of PM Janša’s pet peeves, it can only be assumed he will take suggestions on how to run the ministry from the very top. The key to understanding of his exact role in the office will be whom he picks or is told to pick as his state secretary (the number two person in the ministry).

Senko Pličanič (DLGV) – Minister of justice and public administration. One of the merged ministries, this will be one hell of a portfolio to run. He will be directly responsible for negotiations with public sector unions and those can be a bitch to deal with, as the outgoing government of Borut Pahor can tell you with some authority. Public administration was Gregor Virant‘s portfolio in the first Janša government and it was thought that Virant himself would take the post, quit the position of the president of the parliament and let Karl Erjavec of DeSUS take it. But apparently Virant grew cozy in that chair very quick and made Erjavec take another prestigious position.

Janez Šušteršič (DLGV) – Minister of finance. Arguably the mother of all portfolios and the most difficult right now. Also a sure-fire way for DLGV to sink even lower in public opinion polls (if that is at all possible, since they are already scoring on the low side of single digits). Šušteršič aims to cut up to 800 million euro of budget expenses in the first year alone. Since that comprises about 9% of the entire budget, shit is bound to hit the fan really soon.

Radovan Žerjav (SLS) – Minister of economy. Again, no clue as to why exactly he gets to run this particular portfolio, since he is a chemist by trade and a politician by vocation, while the economy in this country is more or less in deep shit. Even more, he was the principal sponsor of a law which prevents people who held top positions in a company that went out of business to start a new company within ten years. As with every other coalition party leader, this particular nomination seems to be more a matter of prestige than actual competence.

Franci Bogovič (SLS) – Minister of agriculture and environment. Apparently capable and knows his way around both primary fields of work. His problem is that agriculture and environment are usually at odds with each other (which is why they were kept as separate portfolios) and Bogovič might have a problem reconciling both.

Tomaž Gantar (DeSUS) – Minister of health. Former mayor of Izola municipality and former head of Izola hospital should generally be on top of things. Hopefully, he will work to improve the reform of the health system which was drafted by his predecessor Dorijan Marušič and will not go back to square one.

Karl Viktor Erjavec (DeSUS) – Minister of foreign affairs. Ah yes, to Viktor go the spoils. Failing to secure the comfy position of the parliament president, leader of DeSUS went for the next best thing. He will now become the diplomatic face of Slovenia. And just when we thought that Dimitrij Rupel is the worst that can happen to a country’s foreign policy. Karl Erjavec has zero mileage in the field. OK, so he did go to NATO and EU meetings, but seriously… As foreign minister he is expected to be proactive and have a general idea of this country’s positions long before anyone asks us our opinion. The European deck of cards is being reshuffled and it will take a master poker player to bluff a country’s way out of this one. With Viktor as the foreign affairs boss, this looks highly unlikely. But then again, he can crack a joke like no other man can. Surely that must be worth something….

Vinko Gorenak (SDS) – Internal affairs. A commanding officer of a police station way back in socialist times (today that would probably translate into senior member of security forces of a totalitarian regime), he knows his way around police and internal affairs. His problem is the fact that he also gets to exert partial control over state prosecution, which was transferred from justice to internal affairs. With Janez Janša still in court over Patria affair, it’s way too close to comfort to have a senior SDS member be able to, say, launch a special investigation into the prosecutor who is trying to get Janša convicted. If you catch my drift…

Zvonko Černač (SDS) – Minister of infrastructure and spatial planning. Seems to be close to Janša lately and has jumped in as his boss’ chauffeur on occasion. Other than having some mediocre experience in the municipality of Postojna, it is a mystery (wrapped inside a riddle, hidden in an enigma) what exactly makes Černač so special as to be awarded the newly crafted infrastructure ministry which will arguably be crucial in any and all attempts to kick-start the economy (if that is at all possible, mind you). Well, maybe he’ll be just there to make sure the right folks get government contracts. Or maybe he’ll surprise us all and actually do something. He could, for example, go about making plans for upgrading Slovenian railway system.

Žiga Turk (SDS) – Minister for education, science, culture and sport. Well, the Ljubljana city councilman (he will vacate the post tomorrow as he is sworn in as minister) has his hands full. While he was busy going over his slides in a parliamentary hearing, couple of hundred of artists and culture-related people were busy decrying merging of culture portfolio with all the other (these were previously three separate ministries) and even burned a contra-bass as a sign of protest (in case you don’t get it: the message is we rather do it ourselves than let you enjoy it). It is ironic that demotion of cultural portfolio to the level of a state secretary brought together people who would usually rather cross a busy street than meet each other on the pavement. Culture is sacred for many a Slovenian (after all, our cultural identity was formed long before we even thought of calling ourselves a nation) and rather than just being a budget item, a lot of people took this a symbolic gesture of anti-patriotism by a coalition which for all intents and purposes draws heavily on patriotic feelings. It is therefore little wonder that the minister-to-be was awaited by protesters and booed to the point of being called “a stink” by a heckler. Which, for the record, was totally uncalled for, below the belt and utterly undeserved. Protesting and marching is one thing, calling names quite another.

And finally, Andrej Vizjak (SDS) as the new minister for labour, family and social affairs. Minister of economy in the first Janša administration apparently has some background in the field so it is expected that he will not be a complete failure, although it should be ridiculously fun to watch how he tackles unemployment while finance minister Šušteršič is shaving 800 million of the budget most of which goes to Vizjak’s portofolio as it is.

At any rate, these are all the king’s men. Nobody was really impressed by the list and even Janša himself said that this is the best possible team under the circumstances. But the trick is that this “best possible team” will have to produce the “best result ever” regardless of the circumstances, lest it go down in history as “the team that couldn’t”. If Pahor’s government way fighting an up-hill battle especially in economic policy, Janša’s ministers will be forced to climb vertically. Well, all except one. It is clear that – once again – Karl Erjavec already came out on top. Question is, will he stay there or is this just the beginning of a quick and uncontrolled descent…

How Taylor Caldwell Introduced Marcus Tullius Cicero To Janez Janša

Just prior to becoming the Prime Minister, Janez Janša gave a speech which outlined the basic priorities of his government. These are a no-brainer: pension reform, cuts in public sector, job creation, lowering taxes and growth stimulation. Needless to say that you cannot have all of the above, but preachers of austerity were never concerned with the niceties of “growing-by-non-spending”, despite decades of failed experiments. But be that as it may, what stuck out was not the fact that Janša elaborated on Pahor’s reforms (the very same he helped bomb and which, looking backwards, look downright meek) and announced a package which would make Milton Friedman jump with joy. No, what caught many an ear, was a quote Janša used to justify the neoliberal happy-meal he’s about to serve Slovenia.

(source and source)

The prime minister quoted the great Roman orator Marcus Tulius Cicero, saying that “[t]he budget should be balanced, the treasury should be refilled, public debt should be reduced, the arrogance of officialdom should be tempered and controlled, assistance to foreign lands should be curtailed lest Rome become bankrupt.”

The problem is, Cicero said no such thing.

The quote is an invention of one Taylor Caldwell, an American novelist who made it up in her 1965 novel A Pillar of Iron on the life of the now very much late senator. Thing is, the Cicero quote is much used all around the world, a fact which Janša readily acknowledges in his speech. Why is that? Well, it fits nicely with the Reaganomics of the 80s (notwithstanding the fact that US public debt exploded under Ronald Reagan) and the quote was reportedly used by Gipper himself, who also attributed it to Cicero. And who is Janez Janša to doubt the icon of the Republican party? Especially since the International Republican Institute holds the newly-minted Slovenian prime minister in such high regard…

This is not the first time Janša has a problem with sources. Back in 2008 he snatched a portion of Tony Blair’s speech and failed to quote the source. This time around, he did quote the source, but the source is false. Well, sooner or later he’s bound to nail it…

P.S.: hat-tip to the anonymous vigilant birdie who caught the blunder…

P.P.S.: Even thought this post is dated 1 February, it should have been posted on 31 January. Just so you know…

Janša 2.0

While leaders of the new centre right coalition busied themselves with signing the coalition agreement at high noon on Wednesday, President Danilo Türk rained on their parade a bit, calling a press conference at exactly the same time, where he announced that he will not be making another PM nomination and added that he will leave it to the parliamentary groups to settle the matter as they see fit. In other words, he refused to go with the flow and nominate SDS leader Janez Janša for the PM post.

Signing of the coalition agreement. Looks like the Presidium of the Central Committee 🙂 (Photo: BoBo/RTVSLO)

In all honesty, the new PM apparent was quite unfazed by this, as he had already secured a majority of 52 votes (50 coalition plus both minorities MPs) and will be laughing all the way to the voting booth, as the parliament is scheduled to vote on Janša’s PM bid later today, but the president’s remarks and moves are not to be just discarded. Firstly, because he’s the president and secondly, because he went all out against Janša, thus firing his first salvo in a possible (but not yet confirmed) re-election bid. In fact, The Prez pulled precious few punches, saying that he still considers Zoran Janković as an appropriate candidate and since his first choice did not secure a majority, he did not make another nomination. He added that in his view Janša does not have the necessary legitimacy for the nomination due to the fact that he is on trial for the Patria Affair and had therefore left it to the coalition itself to do the magic.

The feud

The feud between Türk and Janša goes way back, all the way to the election Sunday 2007 when Danilo Türk won the presidential elections by a landslide in what was – among other things – a protest vote against the first Janša government, an event which saw Janša go into sulking mode, unleash the war against tycoons (which he helped create) and, as it turned out, set the tone of the political debate which lasts to this very day. There was a lot of bad blood between the two, especially after Janša’s SDS tried to implicate Türk in the Velikovec bombing of 1979 by means of creative photocopying archive documents. It was in the aftermath of the Archivegate that Türk said in an interview that the politics of Janez Janša should be rejected and later on that he will be very careful as to whom he will nominate for the PM position. So, in one sense The Prez remained true to his word (the will-nominate/will-not-nominate flip-flop notwithstanding). However, in making his point and exercising – albeit necessary – forays into daily politics, The Prez again threaded on thin ice.

Saying that Janša does not have the legitimacy for the PM post is tricky at best. Now, to be sure, Janša indeed does have a huge legitimacy problem, but that is not for the president to say. Or, if the president does say it, he should be damn well prepared to do everything constitutionally possible to make sure Janša does not clinch the nomination. Namely, as president, Danilo Türk swore to uphold the constitution and act in the best interest of the country. One of the basic constitutional principles is the presumption of innocence. Thus, until proven guilty, Janša is free to run and be elected to any office.

If you do it, do it with style

Alternatively, if being on trial and/or having been indicted is the new standard, than the president should not only make a token effort to have the parliament elect a PM with a clean record, so to speak, but should use any and all procedural possibilities available to him, including nominating another candidate and – this is vital – speaking before the parliament on the issue. For the president can ask (and is usually granted the request) to address the parliament on whatever issue he (or she) sees fit. Granted, this would in all likelihood change nothing, but neither does just saying that Janša has a legitimacy problem and leave it at that. Both approaches are sure to produce an ominous backlash especially from SDS faithful, but hey – if you gotta go, you do it with style.

Pengovsky would be much more pleased if The Prez did none of the above. A short press release saying that he will not be making a nomination would suffice. Even more, it would perhaps be politically opportune for the president to in fact nominate Janša, just for the sake of doing the unexpected, but that’s water under the bridge now.

History repeating

So, unless things go badly wrong for the SDS leader, Slovenia will sport Janša 2.0 in a couple of hours. History, they say, tends to repeat itself. First as a tragedy and then as a farce. And there are indications that Janša’s second term will be something of farce.

Not only is the PM-apparent on trial in one of the biggest corruption scandals in the (albeit short) history of this country. Two out of four other coalition leaders are, eeer, judicially challenged as well. Karl Erjavec of DeSUS was cleared of charges of abuse of powers and negligence in a case tangential to Patria Affair, but the case in on appeal and the verdict is still not in. Gregor Virant, however, was recently sentenced to a month in prison with a two-year probation period because of libel (pending appeal). One of these two men will be running the parliament for the next few years, the other will probably be named a minister.

Radovan Žerjav is also in court in civil case (the fallen construction tycoon Ivan Zidar sued him for slander) which leaves Ljudmila Novak of NSi the only one with a relatively clean record. Which is not surprising, since she took over the party after it was evicted from the parliament in 2008 elections. And just to complete the circle, the apparent leader of the opposition Zoran Janković is reported to have been indicted over tax evasion and abuse of power as well. Now, it is possible that all of the above will sputter out into nothingness and everyone will in the end be cleared (which is why presumption of innocence is so important) but if you talk credibility and/or legitimacy, there’s precious little to go around as it is.

Balking at 300 million, not blinking at 1 billion

Additionally, the new coalition vowed to cut budget expenses for something between 800 million to 1 billion euro in its first ~~term~~ year. Which is somwhere between 8 to 10% of the annual Slovenian budget. While budgetary discipline is a noble goal and even if we can agree to disagree on approaches (some people say less radical cuts would produce better results), the question at hand is: when the outgoing government proposed a 300 million cut in public sector expenditures, the SDS went apeshit over it and refused to support the emergency law, threatening a referendum, yet now the very same SDS and its coalition want a 800 million cut and expect it to just sail through? Credibility my ass. Not to mention the fact that the whole of Europe already realised that too much austerity will stifle what little growth potential there is.

Saving on watering office plants

And lastly, there’s the eyewash with the “thinning of the government”. Janša’s coalition just passed a new law on government (which, incidentally, Janša 1.0 was the last to amend into its present form) and reduced the number of ministries from eighteen to eleven, merging a few portfolios and reshuffling scope of powers for others. Two changes that stand out are the merger of education, sports and culture portfolios (previously three separate ministries) and moving the Office of the State Prosecutor General from under justice ministry, to ministry of internal affairs (colloquially known as the ministry for police). Both of these are problematic at best.

Until now, culture was a relatively important portfolio, which included media policy oversight, not to mention keeping the country’s cultural infrastructure (museums, theatres, galleries and such) afloat and even building a couple of new ones. Sure, money can always be spent better, but what kind of message does it send, when a government reduces a culture potrfolio to the level of a secretariat, while farming, fisheries and agriculture, something that would be long dead if it weren’t for EU funds, still remains a full-blooded ministry?

As for shifting prosecution from justice to internal affairs, this is creating an unpleasant whiff of political control over the prosecution. You see, on paper, both the Police and the Office of Prosecutor General are relatively autonomous and it shouldn’t really matter what ministry they’re under. But a minister can still execute control over both agencies and of course it is better to have just one minister keep tabs on both the cops and the prosecutors. Especially if the minister in question is an SDS member and not from the DLGV quota as Gregor Virant had hoped when he demanded the move be made in an (again) naive hope that he will prevent up-front any Janša’s attempts to influence the judicial proceedings against him.

But lastly, the whole “thinning of the government” thing is not worth a pair of fetid dingo’s kidneys. A true government reorganisation would encompass a redesign of policies and finances and remodelling of the bureaucratic apparatus which would reflect the new priorities. There was a half-hearted attempt at that somewhere during Pahor’s government and it didn’t really catch on. What the new coalition proposes is nothing but a few office changes which does shit even in terms of cutting down number of various government offices, agencies and directorates, let alone in terms of policy redesign (or horizontal interoperability, to use the more fancy term). In short: the only savings that will come from there will be lower bills for watering flowers in ministers’ offices.

With that in mind, pengovsky is keenly expecting the first address by the new PM-apparent and can’t wait to see whom he picks as ministers.

EDIT: This post was written over the course of the week an scheduled for publishing on Friday afternoon. Point being, I had no way of knowing Primož Cirman of Dnevnik newspaper will be using the exact same title in his lead in today’s Objektiv 🙂

Karl Erjavec Wants To Be No.2

Unless the world comes to a premature end, Janez Janša of SDS will be sworn in as the tenth Slovenian PM come Saturday. In what was an act of political expedience, the coalition agreement was hammered out during the weekend, while leaderships of SDS, DLGV, SLS, NSi and DeSUS are meeting today to vote on whether or not to join the centre-right coalition.

Not exactly up to pengovsky’s standard, but this photoshop is circling the Slovenian internets lately 🙂 (source)

Although not an entirely open-and-shut case, it seems safe to assume that everybody is more or less on-board with this one. Some key members of DeSUS (the pensioners’ party) are not really head-over-heels about going to bed with Janez Janša and a relatively coordinated lobbying action is taking place to convince enough members of the party’s executive committee to vote against. But note that the phrase “relatively coordinated” should be taken with a pinch of salt. To be honest: the general level of party organisation in Slovenia is awful. If companies in this country were ran that way, they’d go bankrupt in a matter of years. Oh, wait…

Karl Erjavec wants to become No. 2

Anyways. As both readers of this blog know, DeSUS is in the kingmaker position and it is generally considered that they drove a hard bargain. Whether or not it was hard enough, remains to be seen. Janez Janša was smart enough to at least try to get the parties agree to a coalition agreement first and leave the issues of specific ministerial nominations for after he is sworn in. However, names have already been leaked and there are a couple personnel problems the new PM-apparent will have to tackle soonest.

First and foremost, it seems that Gregor Virant and Karl Erjavec are locked in a bit of a cock-fight over the presidency of the parliament, nominally the No.2 spot in the country, just after the President of the Republic. As you know, Virant’s ascent to the position was the result of a similar cock-fight between Zoran Janković and Borut Pahor back in the days when Jay-Z was eyeing the PM spot himself. Back then Virant said time and again that he let himself be elected as president of the parliament just to get things going and that he will vacate the position should any coalition agreement demand so.

Well, guess what… Turns out Virant kind of likes it there and (apparently) for the same reason as Erjavec wants to get there. A high-profile, perk-heavy, pizazz-rich position with a security detail, bullet-proof car and a relatively low workload. At least compared to any ministerial position where the occupants are sure to piss blood during the next few years. Alternatively, Erjavec is earmarked for the position of the foreign minister, which should provide some laughs, not just at home, but also around the continent. With the pensioner party FM, the term “old school diplomacy” might take on a whole new meaning.

Character assassination

But be that as it may, the balance of power seems to favour Erjavec. Not only do he and his party hold the key to a Janša-led coalition, Gregor Virant and his DLGV are in no real position to bargain. This was graphically demonstrated today, when the dirty-lanudry-news-sites posted a picture of Jani Soršak of DLGV, former head of national anti-trust office and a man widely expected to take over as justice minister in a not-really-intimate-but-suggestive-enough position with a woman who is not his wife. Not that his really is anyone’s concern (save maybe his and his wife’s), but it was all a part of a quick-and-dirty character assassination, which – in addition to the picture – included a much more damaging accusation that Soršak, while still the head of anti-trust office, in fact facilitated an attempt to take over Večer daily through a straw company which definitely did not have the funds to buyout the newspaper’s owners.

Soršak alleged role was to turn a blind eye to the fact that the ultimate buyer would be a now-bankrupt-and-sold media company Delo Revije, at the time owned by Soršak’s close friend Matej Raščan. Soršak already denied any wrongdoing and stressed that he excluded himself from the procedure for exactly that reason, but he also said publicly that he will not be taking over the justice portfolio. Which means that the character assassination succeeded brilliantly.

While we’re on this: it’s kind of funny, how accident-prone DLGV is. First it was Virant’s faux-pas over MP compensation, now this thing with Soršak and just as if that isn’t enough, Janez Šušteršič is apparently poised to take over as finance minister, possibly the worst job there is in any government. Finance ministers tend to get screwed for every financial fuck-up there is, while receiving little praise when things are good. The late Andrej Bajuk learned this the hard way during Janša’s first stint as PM (2004-2008) and Šušteršič would do well to watch his back.

And in case you’re wondering, where the attacks came from, look to the political right. Virant was eating into Janša’s electorate early on in the campaign and had to be cut down. He then insisted his party take over the justice portfolio regardless of the eventual coalition, since both Janša and Janković are or are about to be subjects of criminal investigation. Sure, Janša is standing trial over Patria Affair, while Janković is rumoured to have been indicted for tax fraud and abuse of office (no official word on that yet, though).

So, the need to discipline the new justice minister early on is also plainly visible. Add to that the fact that Virant himself was recently sentenced to a month in prison with a two-year probation period over defamation and you see that very little is left of his and his party’s claims to be the defenders of truth and justice in the next government. Unless they are prepared to commit a honour-bound political suicide, they will most likely just sit there and be pretty.

WWDTD (What Would Danilo Türk Do)?

Therefore, all eyes are on DeSUS of Karl Erjavec, while his eyes are on the position of the President of the Parliament. If the pensioners’ party gives the nod, the parties of the centre-right coalition will – as per constitution – nominate Janez Janša for the post of the Prime Minister in the second round of the nomination process. However, president Danilo Türk is also scheduled to make an announcement regarding his PM nominee, a week after he fumbled it with Marko Voljč.

The Prez, who is up for re-election later this year and already has a challenger from SDS in the form of MEP and former education minister Milan Zver, has two options. He can go full-throttle-head-to-head with Janša and say that he will not be making a nomination (retracting his previous statement, that he definitely will be making a new nomination) and unload a barrage on Janša, including but not limited to the Patria Affair and Archivegate. On the other hand, he can try to take the wind out of Janša’s sails, hijack the entire thing and nominate Janša himself. Since the president’s nomination takes precedence in any vote, this would technically mean that the parliament would support the president. But the question is whether or not anyone would in fact care for such political niceties.

The Prez Floats Banker As Possible PM Nominee

In what was something of a surprise, president Danilo Türk said in a press conference earlier today that he asked Marko Voljč if he’d take on the nomination for the post of the Prime Minister. Formerly CEO of Nova Ljubljanska Banka (NLB), the largest bank in the country, he was forced to step down in 2003 in the wake of the so called Sigma Affair, when the bank entered a prolonged period of epic fails after implementing a new IT solution called Sigma which wasn’t all that was cracked up to be and wrecked temporary havoc with people’s bank accounts. Voljč moved on to become head of the regional division of the Belgian KBC which bought 34% of NLB in 2002. But today is not Voljč’s first foray into politics.

Marko Voljč in the middle (source: Vijesnik.hr via Delo.si)

Way back in 1992, when it became obvious that the first democratically elected government of Lojze Peterle was more or less in disarray, Marko Voljč (who was until then with the World Bank in Central America) was put forward as a challenger to Peterle in a no-confidence vote but lost by five votes. Eventually Peterle was ousted by Janez Drnovšek and soon thereafter Voljč became CEO of NLB where he stayed until 2003.

Testing waters

The President’s announcement today doesn’t mean that Voljč is nominated. What The Prez did was floated Voljč’s name for the political parties to consider whether the 44-44 stalemate between left- and right-wing parties could be broken. Specifically, this puts the spotlight on DeSUS of Karl Erjavec and DLGV of Gregor Virant. The former is apparently under pressure from party ranks not to join a possible Janša coalition, whereas Virant said more than once that a third person should be put forward, i.e. someone who is neither Janez Janša nor Zoran Janković.

While on the surface the Prez’s suggestion might seem bi-partisan and an attempt to break the political impasse, it could very well backfire. Sure, Virant will have a hard time explaining how or why he wouldn’t support someone from outside the immediate political field, but since his ratings are on the low end of the single-digit territory, his clout is all but gone and he seems to be already in Janša’s pocket. OK, so anything can happen and Virant is more than capable of shooting himself in the knee repeatedly, but reneging first on Janković and then on Janša will only speed up his political demise.

But as things stand, Virant may actually stand a chance of skipping Voljč and living to tell about it. Namely, what President Türk did today was not the most brilliant of political moves. True, the PM need not first be elected to the parliament to take the post, but nominating someone who did not even run, much less got elected while there’s a potential PM nominee on the political right is not exactly kosher. Sure, Janez Janša faces exactly the same problem as Zoran Janković did, in that he can only count on 44 votes and then lure “rats” from the left side of the spectrum across the isle, but if Zoran Janković was extended the privilege of being nominated, the same courtesy should be extended to Janša.

Speak now or forever hold your peace

In round two of the “find the PM” reality show things admittedly get much more serious. This is the final round where an absolute majority is needed and a reasonably stable government can be formed. Should this round give us no PM, however, a third round is possible, where only a relative majority is needed. In pengovsky’s opinion, president Türk should have waited with his “outside of the box” solution until then.

Regardless of the outcome, it would be only fair to let Janša have a crack at forming the coalition. It was also due to his actions that round one failed and leader of the SDS should be allowed to try and pick up the pieces. Namely, if he failed (something that depends heavily on Karl Erjavec and DeSUS), he’d be hard pressed to do anything but forever hold his peace and press the “yes” button during votes. Optimistic, I know, but there you have it. But what the President did was go head to head against Janša, who now only needs keep Virant in check, thus undermining Voljč as a nominee (the banker-man apparently said he’d want bipartisan support) and politically humiliate President Türk, who would thus score his second strike-out.

Zoran Janković said minutes ago that his PS would support Voljč, but that only means 28 votes. Luckily, Türk didn’t officially nominate Voljč, but the damage is done. Shitstorm continues.

How To Lose Voters And Alienate People

As pengovsky noted yesterday, Gregor Virant is more or less a political corpse, he just doesn’t know it yet. How so, one might ask, if the man is the president of the parliament (nominally the second most senior position in the country) and was the potential king-maker in Zoran Janković‘s PM bid. In short, the man is on top of his game. What could possibly go wrong?

I know it’s a good film. I just couldn’t resist…

In fact, everything that could go wrong, already did. Virant made every error in the book and the fact that he finds himself presiding the parliament is more a result of chance than of a carefully executed plan. Leader of the Gregor Virant Citizens’ List (DLGV) came to the forefront seemingly out of nowhere at the beginning of the election campaign and stole quite a bit of limelight from the eventual winner of the elections Zoran Janković. Previously of Janez Janša‘s SDS Virant went solo, apparently due to mounting discord with Janša, who – as proven time and again – does not tolerate independent-minded individuals within his inner circle for long. In short, he had plenty of political capital to fool around with. And then he went and blew it all (almost) at once.

Item 1: Money. ‘Nuff said.

Item 2: Playing both ends against the middle. You don’t negotiate with both main contenders at ~~once~~ the same time, especially not if they’re political and ideological opposites. This is not the Cold War and you’re not Tito, Naser and Nehru combined.

Item 3: Backstabbing. When you negotiate, you do it in good faith. You don’t piss in your potential partner’s pool, even if it means you end up being president of the parliament.

Item 4: Jumping ship. You better have a good excuse. Saying that the other side wasn’t serious about it when you all but closed the deal is a sorry-ass excuse. Also, saying at first that Janković is “dictating terms rather than negotiating, hence no deal” and then saying that “he’ll agree to just about anything, hence no deal” is just pitiful.

Item 5: Janez Janša. Virant got points for splintering from Janša. By rejoining him only a couple of months later, he’ll be making a lot of his supporters unhappy. Also, by following Janša and applying the same scare tactic on his MPs (instructing them not to pick up ballots for the secret PM vote), he is turning out to be just a bleached copy of his former party boss. And no-one likes unoriginal people.

Item 6: No more kingmaker. By allying himself with Janša, Virant lost his political sex-appeal as kingmaker. This role now yet again belongs to Karl Erjavec (oh, the irony!) just as it did in 2004. As a result, Erjavec is in a much better position to dicatate terms to Janša than Virant.

Item 7: Reality check. If by any chance Virant contemplates playing hard-ball against Janša as well, he’ll end up alienating both centre- and right-wing of his base, not to mention losing whatever friends he has left in the parliament.

Item 8: Public opinion. In a recent poll by Delo newspaper, 25% of voters blamed Virant for the political stalemate. 27% blamed Janez Janša. And that was before he jumped ship on Janković and way before the vote yesterday.

A lot of people were surprised how fast Zares of Gregor Golobič and LDS of Katarina Kresal went down the drain in opinion polls in the previous term. Virant’s DLGV is well poised to achieve a new speed record in that department.

And it would be a shame, really.