(C) COMMISSION CONSIDERS TURKEY/CYPRUS "PACKAGE"

C O N F I D E N T I A L BRUSSELS 005029

SIPDIS

E.O. 12958: DECL: 11/26/2014
TAGS: PREL TU CY EUN USEU BRUSSELS
SUBJECT: (C) COMMISSION CONSIDERS TURKEY/CYPRUS "PACKAGE"
FOR DECEMBER 17

Classified By: useu/pol: o'hara, reasons 1.4 b/d.

1.(C) Summary: Under their new Commissioner, Commission
officials working on Turkish accession and the Commission's
now-stalled trade and assistance package for North Cyprus are
determined not to be sidelined as the Dutch Presidency
prepares for the December 17 European Council decision on
Turkey. Specifically, the Commission is informally talking up
a package of things that the Dutch Presidency could offer to
Turkey and Cyprus as part of a last-minute end-game. So far,
the Commission sees the Dutch Presidency as being tough on
the Turks, with the Turks not giving up anything in return.
On Cyprus, the Commission very much wants the Dutch and other
member states to entice the Cypriots to join the EU "culture
of compromise." End Summary.

Package
--------------


2. (C) Commission DG-Enlargement experts tell us that they
are stitching together a package of things that Turkey,
Cyprus and the EU could do to ensure a clean and clear
December 17 European Council outcome on Turkey. What they
are informally proposing is that the Dutch Presidency offer
Turkey a trade and aid package for north Cyprus in exchange
for Ankara signing the protocol to the current EU/Turkey
association agreement (also known as the Ankara Agreement)
recognizing its validity for all ten new EU member states --
including Cyprus. The Commission wants the Cypriots and the
Turks to get the message that both sides need to do something
in order to get something. There is some concern in the
Commission that Cyprus, if it feels cornered or feels that it
has nothing to gain from a December 17 decision to provide
Turkey with an accession date, could veto what otherwise
would be a positive decision. The Commission is being
careful not to broadcast such a proposed deal. They believe
the current moment is too far from December 17. Instead,
they say they are trying to help the Dutch Presidency manage
this issue over the next few weeks.


3. (C) In addition, the Commission is interested in seeing
how the December 17 decision and a start of accession talks
might be used to get the peace process in Cyprus back on
track. The Commission wants to repackage and re-craft the
Annan plan to get the leaders of both parts of Cyprus talking
to each other again.

EU/Turkey Ministerial
--------------


4. (C) Commission contacts noted as "personal views" their
sense that the Dutch had been "very tough" with Turkey at
their November 24 troika ministerial meeting in the Hague
(septel). They said that the Dutch had pushed not only for
the protocol but also recognition of Cyprus. The Commission
commented that the Turks had been just as tough -- giving no
ground on either the protocol or recognition.

New Commissioner Rehn steps in...
--------------


5. (C) Commission contacts admitted that Turkey had felt
disappointed with Commissioner Verheugen's move from
Enlargement, but stressed that replacement Enlargement
Commissioner Rehn is fully seized with the importance that
Turkish accession has for the EU. Rehn plans to be fully
active in the internal EU deliberations between now and
December 17 -- even if most of the work is now in the hands
of the Dutch Presidency. Rehn told his staff that he felt
that he had had good meetings at the November 24 EU/Turkey
ministerial -- not only with the Turks, but also with the
Dutch Presidency. Rehn's marching orders to his DG are to
keep fully engaged, including providing various options for
the Dutch Presidency to exploit to ensure a favorable
outcome.


6. (SBU) Commissioner Rehn is going to London November 29-30
and, among other things, will be interested in brainstorming
with UK officials on Turkey accession and Cyprus (trade and
aid for the North, possibly peace process).

SCHNABEL