13/01/2014

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:00:20. > :00:24.Total's to invest up to $50 million in fracking in the UK as the

:00:25. > :00:34.government offers attractive tax breaks to encourage the search for

:00:35. > :00:38.shale gas. Moving into top gear - it's a year

:00:39. > :00:42.of transition for the big three car makers in the US with sales back on

:00:43. > :00:49.track we assess the next move at the Detroit Motor Show.

:00:50. > :00:52.Welcome to World Business Report. Also in the programme, we'll be

:00:53. > :00:59.hearing from a director who found an unusual way to get his film funded.

:01:00. > :01:02.New Year, new rules, after a fear of another property bubble in Dubai, we

:01:03. > :01:07.will see what is coming up there as well.

:01:08. > :01:09.The French energy company Total has confirmed it's investing in shale

:01:10. > :01:12.gas exploration in the UK. The company is taking a 40% stake in

:01:13. > :01:16.licences for what's known as fracking. Total will invest up to

:01:17. > :01:22.$50 million in a project which is a controversial method of extracting

:01:23. > :01:25.gas from deep underground. It has led to protests because of fears it

:01:26. > :01:27.can cause environmental damage. Meanwhile, British local councils

:01:28. > :01:30.that allow shale gas developments will keep 100% of a levy they

:01:31. > :01:33.collect from the sites as an incentive to persuade communities to

:01:34. > :01:40.accept the process. Joe Lynam reports.

:01:41. > :01:46.Could these are muddy holes in the ground and be the solution to

:01:47. > :01:50.Britain's soaring energy bills? The government thinks so. That is why

:01:51. > :01:54.they are pushing hard for fracking to be allowed by permitting councils

:01:55. > :01:58.to be allowed to keep every penny they get in business rates for those

:01:59. > :02:02.sites. Fracking is a process by which gas is extracted from shale

:02:03. > :02:06.rock by pumping huge quantities of water, sand, and chemicals into rock

:02:07. > :02:11.hundreds of metres below the surface. The geological survey says

:02:12. > :02:15.that there may be 1300 trillion cubic feet of shale gas, enough to

:02:16. > :02:21.meet the entire need for decades. The PM said that it could attract

:02:22. > :02:27.investment worth ?3.7 billion per year and create 74,000 jobs in the

:02:28. > :02:30.oil and gas sector. Fracking is banned in some EU countries and

:02:31. > :02:34.opponents at these protesters in Manchester believe it should be

:02:35. > :02:38.banned here as well. They say that it damages the local community and

:02:39. > :02:43.contaminate local suppliers. This is the thin edge of the wedge. Whatever

:02:44. > :02:47.happens in Manchester, things are going on in Lancashire and there are

:02:48. > :02:50.huge numbers of people who really want to see this stopped before it

:02:51. > :02:54.begins. That seems less likely now that the

:02:55. > :03:00.world's largest energy firms are entering the UK shale gas market.

:03:01. > :03:04.French giant Total confirmed that it will take large stakes with firms

:03:05. > :03:06.with drilling licences in England. It and the government hopes that

:03:07. > :03:12.there is a new northern city of gas and sitting below our feet.

:03:13. > :03:16.And you can get all the latest on fracking and the implications on the

:03:17. > :03:18.BBC News website. Some of the debate surrounding the

:03:19. > :03:27.environment issues as well. With the spectre of government

:03:28. > :03:31.bailouts behind them, 2014 promises to be a year of transition for the

:03:32. > :03:37.big three US car makers. General Motors, Ford, and Chrysler. That

:03:38. > :03:40.lady you just saw there, Mary Barra is taking over from Dan Akerson as

:03:41. > :03:44.the head of GM and Ford boss Alan Mulally is set to depart at the end

:03:45. > :03:46.of the year. In 2013, Chrysler avoided a public stock offering and

:03:47. > :03:49.finally came under complete ownership of Italian car maker Fiat,

:03:50. > :03:56.giving boss Sergio Marchionne the chance to finally integrate the two

:03:57. > :03:59.firms which badly need each other. And this week they will all be

:04:00. > :04:01.showing off their latest models at the Detroit Motor Show. Michelle

:04:02. > :04:19.Fleury is there for us. At a glitzy event, General Motors

:04:20. > :04:22.took the wraps off the newest truck. In this business, everything begins

:04:23. > :04:27.and ends with great product. This woman, the new person behind the

:04:28. > :04:37.wheel who is generating the most excitement. Mary Barra is the

:04:38. > :04:42.incoming chief executive and the first woman to lead a motor company.

:04:43. > :04:50.This is coming out party. I am honoured stand here tonight and lead

:04:51. > :04:53.his team. It is the global motor 's global team. I am proud to be part

:04:54. > :04:59.of this team, a team of men and women doing unbelievably great work.

:05:00. > :05:03.Everyone is clamouring for a glimpse of Detroit's newest star, Mary

:05:04. > :05:06.Barra. As she seeks to define her leadership, another leader of a

:05:07. > :05:15.crosstown rival is more concerned about his legacy. He showed Detroit

:05:16. > :05:18.how to resurrect a car company. And steer it through the worst recession

:05:19. > :05:22.in decades. He lives forward at the end of the year and the spotlight

:05:23. > :05:27.will shift of this man, his likely successor. We may be at the verge of

:05:28. > :05:32.a generational shift. It is interesting. You have not seen this

:05:33. > :05:37.kind of seismic shift in terms of leadership in years. It can happen

:05:38. > :05:42.-- to happen in multiple companies is unusual as well. Chrysler has had

:05:43. > :05:46.a shift in ownership with Italian carmaker Fiat set to take full

:05:47. > :05:53.control under the leadership of Sergio Maki any. The transformation

:05:54. > :05:56.is just about... And also affects the shop floor with workers such as

:05:57. > :06:06.this one from Chrysler's Trenton engine plant. He needs to take care

:06:07. > :06:09.of it contravened and perform a service with everyone else or is he

:06:10. > :06:20.serious about this whole global entity? Through Europe and Asia and

:06:21. > :06:23.coming out here? The dark days of the recession are passed. The

:06:24. > :06:26.Detroit industries on the up but the new faces the top have a challenge

:06:27. > :06:35.to keep it that way. A new tack for miners in Indonesia

:06:36. > :06:42.and a ban on shipments for minerals have caused a stir in the commodity

:06:43. > :06:47.markets today. To make sense on that, I joined from Singapore. What

:06:48. > :06:51.is going on? What has happened is that Indonesia pushed through this

:06:52. > :06:56.hotly contested and on raw minerals exports on Sunday. The decision is

:06:57. > :07:01.aimed at easing disruptions to the country's mining industry. There has

:07:02. > :07:05.been plenty of opposition. Smaller mining firms and other critics have

:07:06. > :07:10.claimed the ban will lead to mass layoffs and worsen the widening

:07:11. > :07:14.trade deficit in the country. These rules were introduced in 2009, meant

:07:15. > :07:19.to enhance the value of the mining industry. It was aimed at keeping a

:07:20. > :07:25.greater share of the mining profit in Indonesia. The government hoped

:07:26. > :07:28.that the move would boost local mineral processing and attract

:07:29. > :07:34.investment for the refining and output of higher value metals

:07:35. > :07:40.products. Economists warned that the rule may actually have a harmful

:07:41. > :07:43.effect on the economy, they affect billions of dollars of export

:07:44. > :07:48.revenue and is likely to anger smaller miners even more after there

:07:49. > :07:54.was a last-minute concession that was made for the country's two

:07:55. > :07:59.biggest miners. These include US mining giant who are temporarily

:08:00. > :08:03.exempt from the band. We know that Indonesia is one of the biggest

:08:04. > :08:08.producers of copper, nickel, and aluminium to whatever happens there

:08:09. > :08:12.has repercussions worldwide. We already saw metals prices rising

:08:13. > :08:19.ahead of the bands. Nickel prices rose 3% ahead of the band. We are

:08:20. > :08:22.seeing Australian mining stocks also being affected.

:08:23. > :08:28.Thank you very much. The IMF warned Dubai that another

:08:29. > :08:33.property bubble made form if it does not curb growing prices. They are

:08:34. > :08:38.introducing new rules to tackle speculation on property after the

:08:39. > :08:42.rent soared more than 30%. They may introduce new regulations for

:08:43. > :08:50.properties sold and resold off plan before they are built. We spoke to

:08:51. > :08:55.the head of the Chamber of Commerce about whether he was worried. Real

:08:56. > :09:01.estate suffered the most during the economic crisis. It will continue to

:09:02. > :09:07.go down even in 2010. It started stabilising in 2011 and started

:09:08. > :09:14.recovering in 2012. Whatever we saw last year was more or less

:09:15. > :09:19.recovering from the bottom line that affected the whole sector. Enough

:09:20. > :09:23.people were coming into the market to flip the properties again and

:09:24. > :09:29.make a quick dollar and get out? We saw a lot of that in 2006 /2007.

:09:30. > :09:36.Going forward, a lot of measures were put in base by the governmental

:09:37. > :09:42.entities to be able to control the speculation in the market. That is

:09:43. > :09:49.the off plan. There is a lot of restriction in off plans. It is not

:09:50. > :09:54.really finance. Will there be circumspect elation? May be. The

:09:55. > :09:59.government will put a lot of controls in, going forward. Another

:10:00. > :10:03.area to be at addressed are the bankruptcy regulations. When you go

:10:04. > :10:07.bankrupt, you should go to prison? We are expecting within the next few

:10:08. > :10:12.months to have a new law to allow ease of doing business is in the

:10:13. > :10:17.whole United Arab Emirates. There is a draft. It is a good draft which we

:10:18. > :10:22.expect to come in in a few months or next year. There will be a good

:10:23. > :10:26.bankruptcy law that will support starting a business and operating a

:10:27. > :10:28.business and, if required, closing a business.

:10:29. > :10:46.I'll see you soon. The most wide-ranging enquiry into

:10:47. > :10:54.institutional abuse ever undertaken in the UK is due to begin in

:10:55. > :10:56.Northern Ireland. . It will examine the care of young people in state,

:10:57. > :10:59.voluntary and church-run organisations over the course of 70

:11:00. > :11:03.years. Our Ireland correspondent, Andy Martin has the details.

:11:04. > :11:05.These were the images care institutions across the UK and

:11:06. > :11:06.Ireland wanted the