Identifier
Created
Classification
Origin
06BUENOSAIRES140
2006-01-19 17:23:00
CONFIDENTIAL
Embassy Buenos Aires
Cable title:  

ARGENTINA, BOLIVIA DISCUSS BILATERAL RELATIONSHIP

Tags:  PGOV PREL ECON ENRG AR BL 
pdf how-to read a cable
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ZNY CCCCC ZZH
R 191723Z JAN 06
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC 3149
INFO RUEHSG/AMEMBASSY SANTIAGO 4887
RUEHLP/AMEMBASSY LA PAZ JAN ASUNCION 5297
RUEHMN/AMEMBASSY MONTEVIDEO 5262
RUEHBR/AMEMBASSY BRASILIA 5066
RHEBAAA/DOE WASHDC
RUCPDOC/USDOC WASHDC
RHMFISS/HQ USSOUTHCOM MIAMI FL
C O N F I D E N T I A L BUENOS AIRES 000140 

SIPDIS



SIPDIS

WHA/EPSC FOR KRIS URS
EB/ESC/IEC FOR MATT MCMANUS
USDOC FOR ALEXANDER PEACHER
USSOUTHCOM FOR POLAD

E.O. 12958: DECL: 01/18/2016
TAGS: PGOV PREL ECON ENRG AR BL
SUBJECT: ARGENTINA, BOLIVIA DISCUSS BILATERAL RELATIONSHIP

REF: A. BUENOS AIRES 97


B. BUENOS AIRES 117

Classified By: Ambassador Lino Gutierrez for reasons 1.4(b) and (d).

-------
Summary
-------

C O N F I D E N T I A L BUENOS AIRES 000140

SIPDIS



SIPDIS

WHA/EPSC FOR KRIS URS
EB/ESC/IEC FOR MATT MCMANUS
USDOC FOR ALEXANDER PEACHER
USSOUTHCOM FOR POLAD

E.O. 12958: DECL: 01/18/2016
TAGS: PGOV PREL ECON ENRG AR BL
SUBJECT: ARGENTINA, BOLIVIA DISCUSS BILATERAL RELATIONSHIP

REF: A. BUENOS AIRES 97


B. BUENOS AIRES 117

Classified By: Ambassador Lino Gutierrez for reasons 1.4(b) and (d).

--------------
Summary
--------------


1. (U) President Kirchner met with Bolivian President-elect
Evo Morales on January 17 in Buenos Aires. The Morales visit
to Argentina followed a series of meetings that he had
conducted with leaders in Venezuela, Brazil, Cuba, France,
Spain, South Africa and China. Morales stated in a brief
press conference after the meeting with Kirchner that he
wants to pursue an "energy alliance" comprised of Bolivia,
Argentina, and Venezuela to resolve "the energy problem" in
the region. The Kirchner-Morales meeting did not produce any
official changes in the price or volume of Bolivian natural
gas exports to Argentina. The meeting appears to have served
primarily to address the public perception of a rift between
the two leaders. End Summary.

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Morales' Last Visit as President-Elect
--------------


2. (U) President Nestor Kirchner dispatched an airplane to
bring Bolivian President-elect Evo Morales to Buenos Aires
for a meeting on January 17. Kirchner had reportedly not
extended Morales an invitation to visit Argentina when he
called to congratulate the Andean president-elect on his
victory in the December 18 election. Press reports, however,
characterized Kirchner's gesture as correcting an oversight
by the Argentine Foreign Ministry in not suggesting to
Kirchner that he invite the president-elect to make a stop in
Argentina following his win in December. Morales visited
Argentina after meeting with leaders in Venezuela, Cuba,
Brazil, Spain, France, South Africa and China. Media
coverage of the meeting with Kirchner has suggested that it
was organized to dispel rumors that Morales distrusts or is
sending a message on gas prices to Kirchner. The discussion

outlined general domestic and bilateral themes the incoming
Morales administration will face. Cabinet Chief Alberto
Fernandez, Economy Minister Felisa Miceli, Foreign Minister
Jorge Taiana, and Planning Minister Julio DeVido also
participated in the meeting.

--------------
Morales Raises Energy, Integration
--------------


3. (U) Foreign Minister Taiana appeared with Morales during
a brief press event at the Casa Rosada that followed the
meeting. A journalist asked Morales whether Kirchner had
given him advice on managing relations with the U.S. Morales
responded that Kirchner told him to defend Bolivian interests
but, at the same time, emphasized the importance of being
cautious. Morales said that one of the themes of the meeting
was the idea of forming an "energy alliance" that would
include Argentina, Bolivia, and Venezuela. He stated that
the energy problem would be "one of the themes of the
millennium, like water, and should be resolved." Bolivia's
first step toward the development of this "alliance" could be
the barter exchange of natural gas for technology from
Argentina to expand the distribution of natural gas within
Bolivia. Morales announced that "Bolivians cannot live on
top of the gas and live without it. This must end."
Business daily "El Cronista Comercial" reports that, during
the meeting with Kirchner, Morales received a copy of
Argentina's agreement with Venezuela on the exchange of
Venezuelan fuel oil for Argentina's agricultural technology
and equipment.


4. (U) Press reports on January 6 quoted Bolivian Vice
President-elect Alvaro Linera as saying that Morales would
visit Argentina to "negotiate a regional market price (for
natural gas) that fundamentally benefits Bolivia." Morales
explained during the press conference that Bolivia is
"interested in strengthening energy agreements, we have a
serious interest in increasing the volume of (natural gas)
exports, and in increasing the price." However, Morales said
that he could not make any official changes in price or
volume before he takes office on January 22.

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GOA Comments on Bolivia
--------------


5. (C) Both Kirchner and Taiana expressed their views to
Assistant Secretary Shannon and the Ambassador on January 12
that Bolivia under Morales was entering uncharted territory
(Reftel A). Neither was ready to offer a concrete GOA plan
of action in support of the Morales government. Kirchner
noted that Argentina has multiple bilateral strategic
interests with Bolivia and said that MERCOSUR was the best
mechanism to address issues of economic and political
stability in Bolivia. Kirchner pledged during those meetings
to work closely with President Lula to ensure the
"consolidation of republican institutions" in Bolivia. The
only demonstration of support appears to be an offer of an
energy-for-industrial-goods bartering arrangement similar to
the current relationship Argentina has with Venezuela (para
3). Planning Minister DeVido made reference to GOA's
willingness to establish a bartering arrangement with Bolivia
during a January 12 meeting with Assistant Secretary Shannon
and the Ambassador (Reftel B).

--------------
Comment
--------------


6. (C) The January 17 Kirchner-Morales meeting appears to
have been a protocol visit more than anything else. There
was no progress in establishing a price for future purchases
of Bolivian natural gas. The GOA did, however, manage to
avoid the appearance of slighting, and of having been
slighted by, Morales. End Comment.


7. (C) To see more Buenos Aires reporting, visit our classified
website at: http://www.state.sgov.gov/p/wha/buenosaires.< /a>
GUTIERREZ