Voters reject Berlusconi reforms
Baku, June 14 (AZERTAC). Two weeks after inflicting heavy losses on Silvio Berlusconi`s coalition in local elections, Italians have delivered another serious blow to his credibility by rejecting legislation on nuclear energy, privatization of water utilities and protection of ministers from the courts.
Results showed some 57 percent of the electorate voted in referendums on Sunday and Monday, of which about 95 percent rejected key government platforms.
Confronted by evidence of growing discontent from among his own center-right supporters, the 74-year-old prime minister admitted defeat, having failed to persuade Italians to stay at home to deny the referendum`s required quorum of more than 50 percent of the electorate.
"Italy . . . will have to say goodbye to nuclear power stations and so we must commit ourselves strongly to the renewable energy sector," Mr Berlusconi said before polls closed.
It was the first time since 1995 that a referendum had reached the necessary quorum. Such a forceful demonstration of the government`s declining popularity is likely to widen rifts within the ruling coalition and propel a divisive search for someone to succeed Berlusconi after 17 years as center-right leader.
Pier Luigi Bersani, leader of the main opposition Democratic party, said the vote had been a "referendum on the divorce of the government from the country".
Italy`s Enel and France`s EDF will have to shelve joint plans to build Italy`s first nuclear power plants since a 1987 referendum mothballed existing reactors. The government had already suspended plans to relaunch the industry following Japan`s Fukushima disaster, but the referendum will kill the program for the foreseeable future.
The results mean a weakened prime minister is even more hostage to the allied Northern League and its leader, Umberto Bossi, who could bring the government down unless it meets his demands which are now focused on tax cuts.
Giulio Tremonti, finance minister, says Italy cannot afford to reduce tax, given that public debt is at 120 percent of GDP, and he is trying to slash government spending and balance the budget by 2014. Debt markets are worried Berlusconi will try to spend his way out of possible defeat at general elections due by early 2013.
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