Deal Signed on Red-Dead Feasibility Study Terms

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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