Deal Signed on Red-Dead Feasibility Study Terms

UNCLAS AMMAN 003364 SIPDIS STATE FOR NEA/ELA - WILLIAMS AND FOR OES/PCI INTERIOR FOR USGS/INTERNATIONAL AND FOR BUREC/IVES COMMERCE FOR NOAA/NOS E.O. 12958: N/A TAGS: SENV PREL KPAL IS JO SUBJECT: Deal Signed on Red-Dead Feasibility Study Terms Reftel: Amman 2055 ¶1. Summary: Jordan, Israel and the Palestinian Authority reached agreement on April 19 for Terms of Reference (TOR) to a feasibility study of the proposed Red Sea to Dead Sea water project ("Red-Dead"). The next tripartite Red-Dead meeting will be at the May 21-23 World Economic Forum Dead Sea, where solicitations for funding the multibillion dollar project itself will begin. End summary. "No One's Interests Harmed" By Final Language -------------- ¶2. Jordan Red-Dead lead negotiator Zafer Alem, Secretary General of the Jordan Valley Authority, told ESTHOff on April 20 that the long-stalled TOR had been signed late on the 19th after "compromises" were made to break the deadlock. The sticking point had been on referring to the Palestinian Authority as a "party" or a "beneficiary party." Alem said that the final agreement makes an initial reference to all three parties as "beneficiary parties," and uses looser terms such as "stakeholders" at other parts of the agreement. Alem added that "no one's interests are harmed" by the language used in the final version. ¶3. The Israeli concern has been that referring to the Palestinian Authority as a "party" to Red-Dead might be seen as expanding Palestinian Authority rights on other water issues between Israel and the Palestinians. On their part, the Palestinians wanted to participate in Red-Dead only as a full partner. Until the compromise language was agreed to, this sticking point was enough to create a logjam, despite Jordan's strong interest in seeing the Red-Dead project move forward. Next Step is Presentation at WEF -------------- ¶4. With the deal signed and "each page initialed," according to Secretary General Alem, the stage is set for a Red-Dead coming-out party at the May 21-23 World Economic Forum (WEF) Dead Sea, where a Red-Dead briefing is already on the schedule. With the deal set, and the world community in attendance at the WEF, the three Red-Dead parties, but especially Jordan, are sure to use the occasion to make a pitch for financing for the multi-billion dollar project. Cost/Benefit and Environmental Impact Uncertain -------------- -- ¶5. The feasibility study is intended to produce the necessary economic and scientific data on the engineering, environmental impacts and cost of the mammoth project. "Red- Dead" would be a canal and pipeline that would draw in seawater from the Gulf of Aqaba and pump it up to a height of slightly over 300 feet above sea level. From that point, the water would flow downhill by gravity across Wadi Araba/Arava Valley towards the Dead Sea. At roughly 1200 feet below sea level, near the Dead Sea, the water would pass through a hydropower station where electricity would be generated by the downward-flowing water. The water itself would then enter a desalination plant, which would desalinate hundreds of millions of cubic meters of water for domestic, commercial, agricultural and industrial use. The brine produced as a by-product of the desalination process would be piped into the Dead Sea to arrest the Dead Sea's rapid fall. ¶6. Comment: Jordan's enthusiasm for the project is driven less by a concern for the water level of the Dead Sea than for the valuable desalinated water that would be produced. Both the economics of this massive infrastructure project and its environmental impact, particularly on the unique chemistry of the Dead Sea itself, need careful attention. HALE