A/S WELCH 2/25 MEEETING WITH SA'EB EREKAT

C O N F I D E N T I A L JERUSALEM 000819

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NEA FOR FRONT OFFICE, NSC FOR ABRAMS/DORAN/MUSTAFA

E.O. 12958: DECL: 02/28/2016
TAGS: PREL PGOV KPAL IS
SUBJECT: A/S WELCH 2/25 MEEETING WITH SA'EB EREKAT

Classified By: Consul General Jake Walles, per reasons 1.4 (b) and (d)
.


1. (C) Summary: During a February 25 meeting in Ramallah,
PLO chief negotiator Sa,eb Erekat told visiting NEA A/S
Welch that Fatah would not join a Hamas government unless
Hamas agreed to President Abbas, platform of peaceful
negotiations. The Hamas cabinet would therefore likely
consist of Hamas, the PFLP, and some independents. He said a
unilateral GOI WITHDRAWAL from some portion of the West Bank
would allow Hamas to claim another victory for resistance; a
better course of action would be to negotiate a permanent
status agreement with President Abbas and put it to the
Palestinian people in a referendum. He urged the U.S. to
find ways to continue helping the Palestinian people,
including assistance to PA agencies falling outside of the
cabinet,s control, and to schools. End summary.


2. (C) A/S Welch was accompanied by Consul General, USSC
General Dayton, NEA Special Advisor Helal, and DPO. Erekat
was joined by his NSU staff.


3. (C) On government formation, Erekat dismissed the
possibility that Fatah would join a Hamas-led government:
&The talks are going nowhere.8 The cabinet would consist
of Hamas and the PFLP, and possibly some independents such as
former Culture Minister Ziad Abu Amr and PLC member Hasan
Khreisheh. A/S Welch said the U.S. was making it clear to
independents that they should stay out of any Hamas-led
government (Comment: Welch delivered this message to Mustafa
Barghouti later in the day; Barghouti won a seat in the PLC
as head of his tiny &National Initiative8 party and held
talks with Hamas last week. End comment.) Once Hamas takes
over the cabinet, it will face a dire economic situation and
will likely fail to function, Erekat predicted. A/S Welch,
noting he had just visited Saudi Arabia and the UAE with the
Secretary, said the Gulf states, including Iran, would be

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unlikely to make up the financial shortfall.


4. (C) Erekat said the GOI would make a serious mistake if
it continued its unilateral policy: If it withdrew from
50-60% of the West Bank, Hamas would claim the move as a
victory for resistance, as it did after GAZA disengagement.
In Erekat,s view, the GOI should enter permanent status
talks with PA President (and PLO chief) Abbas; any agreement
could then be put to the Palestinian people in a referendum.
Erekat criticized GOI measures restricting movement of
Palestinians in the Jordan Valley, saying they were impacting
agriculture, health and education.


5. (C) He urged the U.S. to continue development assistance
to the Palestinian people, observing that other donors would
follow the U.S. lead. Cutting off assistance would backfire.
Erekat suggested a case-by-case approach that would allow
assistance to continue flowing PA entitities that are
independent of the cabinet (e.g., the judiciary, the
governorates, the Palestinian Monetary Authority, the Central
Elections Commission). He urged that assistance continue to
schools on a case-by-case basis as well, pointing out that a
USAID-funded school in the village of Jiflik in the Jericho
Governorate is in Area C and is licensed by the GOI to
operate. The Consul General noted that it would be necessary
to ensure that there would be no Hamas influence in such
cases. Erekat agreed, and said the main point is to
demonstrate that the U.S. and western donors have no quarrel
with the Palestinian people.


6. (C) A/S Welch cleared this cable.

WALLES