TADAZ CLAIMS POLLUTION HAS DECREASED

UNCLAS SECTION 01 OF 02 DUSHANBE 000275 SIPDIS SENSITIVE SIPDIS STATE FOR SCA/CEN, G EMBASSY TASHKENT FOR EVELYNN PUTNAM E.O. 12958: N/A TAGS: PGOV PREL ECON EIND ETRD SENV RS TI SUBJECT: TADAZ CLAIMS POLLUTION HAS DECREASED DUSHANBE 00000275 001.2 OF 002 ¶1. (U) SUMMARY: Central Asia's Regional Environment, Science, Technology and Health Officer (REO) and PolOff visited the Tajikistan Aluminum (TadAZ) plant in Tursun-Zoda near the Uzbekistan border February 9. Uzbekistan blames the Tajik government for allowing TadAZ to pollute the environment, which affects Uzbek towns just across the border. TadAZ officials claimed air and water pollution from the plant has decreased tremendously and painted a rosy picture of an ideal company town. END SUMMARY. ¶2. (U) Rustam Latifov, current deputy chairman of the State Committee for Environmental Protection (SCEP),explained one reason for the friction between the Uzbek and Tajik governments on pollution issues is each country has different methodology, standards and statistics for measuring pollution. Latifov added that the Uzbeks pollute more than the Tajiks. According to Tajik standards, the TadAZ pollution levels are acceptable. ¶3. (U) TadAZ has its own Department for Environmental Protection, headed by Nurali Kadirov. TadAZ lab tests of the water and air quality show pollution declining since the nineties. A possible reason for the decline is that in 1992 and 1997 TadAZ installed $16 million worth of pollution prevention technology from Norway. According to TadAZ environmental officials, a TadAZ scientist patented a process he developed to recycle aluminum waste into other products. Last year TadAZ produced 380,000 tons of aluminum and also 15,000 tons of aluminum waste. TadAZ officials would not give PolOffs copies of their assessment, explaining that the document had sensitive commercial information as well. Their assessment was derived from the work of three laboratories in Tajikistan. The SCEP has a laboratory in Dushanbe and TadAZ has two laboratories equipped with Soviet-era equipment-one at their plant facilities and one in a suburb of Tursun-Zoda. ¶4. (U) Most of TadAZ's newer equipment and technology comes from Russia, although the original equipment is early 1970s French. TadAZ officials mentioned that RusAl is considering modernizing the plant. When asked about RusAl's relationship with the plant, TadAZ officials would not comment. They said their role as environmental monitors prevented them from knowing whom their clients or suppliers are and said TadAZ processes raw materials brought from an intermediary who also sells their products. (Note: Although they did not come out and directly say it, the intermediary is a Russian company.) ¶5. (U) TadAZ is the largest employer in the city and like other large Soviet company towns, continues to provide services to its workers. In 2000, TadAZ built a hospital where employees and their families can seek free medical treatment. City residents can also go to the hospital for a negotiated, but nominal fee. In addition, TadAZ has also set up a "green zone" where they planted trees. TadAZ officials noted that not only does the park benefit the community; the plant life is also used as an indicator of pollution. "If the trees are alive and well, then there is no pollution problem." ¶6. (U) Factory workers, according to Kadirov, can earn up to $300/month depending on how much they produce. EmbOffs were permitted to walk right up to the machines and aluminum production sites. Few safety measures were seen. All employees wore helmets, but none had on masks to prevent inhaling the metallic dust and chemical fumes swirling around the plant. ¶7. (U) The meeting with TadAZ was originally scheduled just between EmbOffs and TadAZ officials. The day before, Latifov requested to participate, and during the meetings answered most of EmbOffs' questions. Latifov often sided with the TadAZ DUSHANBE 00000275 002.2 OF 002 Department on Environmental Protection's responses on environmental issues. Their common stance was an inherent conflict of interest exists between businesses and the environment, and businesses naturally act in their own interest. In a private comment, Latifov sounded surprised by the notion gaining currency in U.S. environmental circles that the cost of a product should include its environmental effects. ¶8. (SBU) COMMENT: The state-owned TadAZ provides Tajikistan, along with cotton, significant export earnings and plays a critical role in the weak economy. Officials are unlikely to be overly concerned with environmental impact, particularly if it occurs on the other side of the border. SCEP is in no position to act as a watchdog, particularly given the fact that much of TadAZ's aluminum is likely controlled by the giant RusAl. The question of TadAZ pollution is also geopolitical. RusAl's Deripaska, seeking investment in Uzbekistan, seems to have bought, at least in part, the Uzbek complaints about TadAZ pollution, much to Tajik officials' annoyance. Given the quality of the lab and equipment that EmbOffs saw, as well the fact that TadAZ's labs are company-owned, TadAZ's results are questionable and its evaluation of its environmental impact cannot be taken at face value. ¶9. (SBU) BIO NOTE: Latifov, a former deputy chairman at the State Committee for Environmental Protection, was recently dismissed and most likely will be promoted to a post in a new regional water commission. His brother, Oumed Latifov, is AES Director for Energy Development in Central and South Asia. END COMMENT. HOAGLAND