ADMIRAL FALLON CALLS ON PRESIDENT YUDHOYONO

C O N F I D E N T I A L SECTION 01 OF 04 JAKARTA 002819

SIPDIS

SIPDIS

E.O. 12958: DECL: 02/24/2016
TAGS: PREL MARR MASSPGOV PTER KN BM ID
SUBJECT: ADMIRAL FALLON CALLS ON PRESIDENT YUDHOYONO

Classified By: Ambassador Pascoe, reasons 1.4 (B) and (D).

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


1. (C) PACOM Commander Admiral William J. Fallon called on
President Yudhoyono (SBY) Feb. 23. SBY emphasized the
importance of bilateral cooperation in multiple areas. He
spoke of the progress in implementing peace in Aceh, and
judged that in his view the situation will be fully settled
within two years. Indonesian Armed Forces (TNI) respect for
SBY's order to support peace and redeploy troops for tsunami
aid in Aceh was a historic assertion of civilian control over
the TNI. He is seeking progress in Papua based on Special
Autonomy. The GOI's CT strategy includes direct
confrontation of terrorists, empowering moderate groups and
greater cooperation with neighbors around the Sulawesi Sea.
On Iran, SBY said he would tell the Iranian Foreign Minister
that day to respect all IAEA requirements. SBY will travel
to Burma where he will suggest Indonesia's successful
transition to democracy could serve as a model to regime
leaders, and carry a letter from UNSYG Kofi Annan. SBY
briefed the Admiral on Indonesian efforts to arrange a
meeting between the two Korean Defense Ministers.


2. (C) Admiral Fallon replied that Indonesia,s emerging
democratic institutions had established a strong foundation
for future cooperation. He praised SBY's willingness to take
on difficult issues such as Burma and North Korea, and
encouraged him to influence Iran positively. He sought SBY's
vision of future military cooperation. Speaking broadly, SBY
cited democratization, fighting corruption and reform as his
priorities. On the military side, SBY said the focus should
be on programs that build mutual confidence and demonstrate
the positive effects of engagement on reform. Increasing
professionalism and understanding of democracy within the
TNI, and building up air transport and naval capacity were
also important. SBY thanked the Admiral for the work of
NAMRU II on infectious diseases, but noted that a new
agreement needs to be worked out to allow for its continued
presence. End Summary


3. (U) PACOM Commander Admiral William Fallon called on
President Yudhoyono Feb. 23. He was accompanied by the
Ambassador, POLAD Huso and other members of his staff. SBY
was accompanied by Defense Minister Juwono Sudarsono and
Armed Forces (TNI) Commander Djoko Suyanto.

SBY's Goals
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4. (C) SBY opened by affirming his strong commitment to
furthering bilateral cooperation, including in the military
to military area. Citing his several meetings with President
Bush, he noted their shared vision of rapidly expanded
political, military, and trade relations as well reinforced
cooperation on avian influenza. Indonesia and the US are
entering a new era with the lifting of U.S. restrictions on
military cooperation, he said. The TNI are now fully under
civilian control, he asserted, and TNI doctrine has changed
to reflect its new role in a democratic society. Continued
transformation of the TNI will be a challenge, as it will
require adjusting mindsets and the dominant military culture.
SBY added that he intended to equip the TNI with the minimum
essential force for national defense and hoped that US
decision to lift all restrictions on military assistance will
be permanent.

Aceh Going Well
--------------


5. (C) SBY described the peace process in Aceh as going
well, although he estimated that it would take two years for
the political process to be complete. In fulfillment of its
obligations under the Helsinki Accords with the GAM (Free
Aceh Movement) the TNI had removed all &non-organic8 units
(those not made up of recruits from the region) and the Aceh
Monitoring Mission had successfully supervised the turnover
of weapons by GAM rebels. The Government has introduced
special legislation for Aceh so that would allow the GAM to
participate in legal political party activity. SBY recalled
positively the rapid arrival of American Forces in the early

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days of the tsunami. Similarly in Papua, SBY said he is
trying to solve the secessionist problem through political
dialogue on the basis of Special Autonomy for the province.
He thanked the U.S. for its long-standing public support for
Indonesia's territorial sovereignty and integrity.

Counterterrorism and Regional Cooperation
--------------


6. (C) On counterterrorism, SBY said Indonesia had won
several battles but not the war. The Jemaah Islamiyah (JI)
terrorist network has been disrupted through arrests and
prosecutions and the recent killing of senior JI operative,
Azahari. JI bomb expert, Noorudin Mat Top, remains at large
but the police are increasing the pressure on him. The GOI
would continue to fight such terrorists, who have global
connections, directly. At the same time, SBY said that he
wants to empower moderate forces within the country, promote
interfaith dialogue, combat radicalism and prevent the
existence of an atmosphere that is conducive to terrorist
growth. SBY said that he has sought from his counterparts in
Malaysia and the Philippines to increase cooperation in the
Sulawesi Sea region. He praised U.S. support for Indonesian
security agencies and looks forward to continued CT
cooperation.

Iran Should Cooperate with the IAEA
--------------


7. (C) Turning to the Middle East, SBY noted the
difficulties that currently existed in the Middle East in
such places as Iran, Syria, Palestine and Iraq. He expressed
the hope that problems could be solved without excessive
"pressure." The Foreign Minister of Iran was scheduled to
see him later that day. He would make clear that Teheran
should cooperate with the IAEA. SBY said that as an NPT
signatory, Indonesia supports the rights of all signatories
to the peaceful use of nuclear energy, but would be the first
to oppose the misuse of the treaty for the purpose of
acquiring nuclear weapons. SBY said Indonesia is waiting for
the March 6 report to be submitted to the IAEA. Tehran must
cooperate with the world and their President's speeches were
not helpful.

Upcoming Burma Trip
--------------


8. (C) SBY said that while he regretted that Burma has
refused the visit of the Malaysian Foreign Minster as
ASEAN,s representative, he himself will be traveling there
the week of Feb. 27. He has agreed to carry a letter from
UNSYG Kofi Annan asking that the Burmese regime accept the
ASEAN emissary,s visit and move forward on the roadmap to
democracy. SBY said he has met regime head Than Shwe once,
and Prime Minister Soe Win on three previous occasions. SBY
said he would cite Indonesia's progress in his discussions
with Burmese leaders as an example of how a military
dominated government can transition to democracy.
Implementing reform can allow the military to return to its
core responsibilities. SBY pointed to the need for
&someone8 (read: the US) to engage India and China on
Burma. The competition between India and China for influence
and access to Burma,s resources has helped the regime resist
world pressure. The Admiral replied that the U.S. is also
trying to gain India and China,s support to address the
strife-torn situation in Nepal.

NAMRU II Presence Appreciated
--------------


9. (C) SBY closed his initial remarks by citing the
contribution that NAMRU II is making in cooperative efforts
to combat avian influenza and other communicable diseases.
While the original 1970 agreement needs to be updated to
reflect the current political landscape, SBY said that he has
issued clear instructions that continued cooperation is
necessary.

Fallon: Democracy the Basis for Further Engagement
-------------- --------------


10. (C) Admiral Fallon thanked SBY for his strategic review

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of key regional and bilateral issues. He agreed that the
recent lifting of legislatively imposed restrictions on
military assistance opened an important new era in bilateral
cooperation, built on a foundation of shared commitment to
democracy. He suggested that high goals be set for future
cooperation and asked for SBY's vision on where he would like
to take the relationship over the course of the next several
years. The Admiral added that SBY's engagement in domestic
and international problems ) ranging from Aceh to North
Korea ) is very helpful in supporting the Administration,s
position that increased engagement with Indonesia is in the
US interest. On Iran, the Admiral said with the human and
energy resources it has, he did not comprehend why Iran is
pursuing the path it has chosen on the nuclear issue. We
would be grateful for SBY's intervention with the Iranians
since Indonesia has the ability to play an influential role.
The Admiral acknowledged the importance of Indonesian
domestic economic challenges, their relationship with
long-term security and stability. Indonesia had the ability
to become the cornerstone of Southeast Asia and an example
for countries far beyond the region.

SBY's Broad Vision
--------------


11. (C) SBY said that his broadest vision is to move
democratization, good governance and combating corruption
forward. While these three areas are challenging, progress
is being made step by step. On the military to military
relationship, SBY recognized that he needed to build
confidence within the US Congress by communicating clearly
that he and his government knew what had to be done
consolidate Indonesia,s democracy and reform the TNI. The
Admiral agreed that showing tangible progress on military
reform is necessary. SBY said that IMET is a critical
program that should be tailored to demonstrating to
Indonesian officers how military organizations function in
democratic nations. The training should also emphasize
professionalism, along with building technical and military
skills.

Two Streams of Progress Needed for the TNIe
--------------


12. (C) SBY said that a planning cell was looking hard at
targeting expenditures for the military in ways that maximize
severely limited budget resources. The readiness of aircraft
and ships had to be improved to provide a minimum deterrent
capability. More importantly, transport aircraft and ships
were needed for humanitarian operations. The GOI also was
interested in supporting relief operations outside Indonesia
and had sent C-130's and helicopters to the Philippines to
assist with the recent mudslide on Leyte.

The Korean Peninsula
--------------


13. (C) SBY noted that he had sent a special envoy to Korea
at the request of the South Korean Minister of Defense and
that he was waiting for a positive response on a proposed
meeting of the two defense ministers, possibly in Bandung.
Indonesia wants to support the Six Party Talks and would
consult further if the two ministers agree to meet. Admiral
Fallon replied that the South Korean Defense Minister
expressed his desire to meet with his Northern counterpart
while visiting PACOM two weeks previously.

TNI Support in Aceh Historic
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14. (C) The Admiral noted that he would visit Aceh to see
personally the progress that had been made. He said the
agreement achieved there is an excellent example of
implementation of a program for peace and human rights. SBY
responded that credit had to go to recently retired TNI
commander General Sutarto. When SBY arrived in Aceh after
the tsunami, he immediately called on the GAM to work for
peace and ordered the TNI to cease offensive operations and
transfer personnel to rescue and relief efforts. SBY called
Sutarto's enforcement of that civilian order historic, adding
that he hoped someday to write a book about those events.
TNI forces could have ignored the order and tried to take

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advantage of the destruction to attack the remaining GAM
fighters. Instead, thousands of troops moved to the affected
areas, providing relief and burying victims. The Helsinki
talks were very controversial, particularly among nationalist
politicians. The fact that the military chose to support the
government's decision to seek a negotiated settlement was
critical to the outcome. In closing, Admiral Fallon remarked
that SBY,s leadership in resolving the Aceh conflict is
greatly admired in the US and internationally.


15. (U) Admiral Fallon has cleared this message.
PASCOE