A/S SILVERBERG AND FM LIVNI DISCUSS IRAN,

C O N F I D E N T I A L SECTION 01 OF 03 TEL AVIV 001945

SIPDIS

E.O. 12958: DECL: 05/15/2016
TAGS: PREL PGOV PARM KPAL KWBG IR LE IS KNNC UN GOI EXTERNAL ISRAELI PALESTINIAN AFFAIRS
SUBJECT: A/S SILVERBERG AND FM LIVNI DISCUSS IRAN,
CONVERGENCE, AND UN/PALESTINIAN ISSUES

Classified By: Ambassador Richard H. Jones; Reasons: 1.4 (B and D).


1. (C) Summary: Israeli Foreign Minister Tzipi Livni told IO
A/S Silverberg and the Ambassador May 14 that time is running
out in the international community's efforts to prevent Iran
from developing a nuclear weapon. She outlined Israel's
justification for the "convergence" plan, denying that the
GOI intends to act unilaterally and explaining the need for
international support. Livni noted Israel's desire for
greater involvement in UN institutions and asked whether the
international community's resolve against Hamas could be
leveraged into a less anti-Israel position within the UN.
Livni cautioned against allowing internal politics in Lebanon
to distract from full implementation of UNSCR 1559. The
Ambassador and Assistant Secretary raised a number of
Agreement on Movement and Access (AMA) and humanitarian
issues, including security for President Mahmud Abbas, the
customs protocol, exports from Gaza, the Security Working
Group, the EU's temporary international mechanism, medical
payments to the Augusta Victoria Hospital, and fuel
supplies. The meeting concluded with a discussion of
anti-trafficking efforts, with the Ambassador and A/S
Silverberg urging additional steps prior to PM Ehud Olmert's
upcoming visit to Washington. FM Livni was accompanied by
Director General Ron Prosor, Deputy Director General for the
UN and International Organizations Aharon "Ronny" Leshno
Yaar, Chief of Staff Yaki Dayan, Director for UN Political
Affairs Roni Adam, and Special Adviser Hillel Newman. End
summary.

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IRAN: TIME IS WORKING AGAINST US
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2. (C) Livni expressed concern that time to prevent Iran
from developing nuclear weapons is running out. In her
assessment, Russia will not support UNSC sanctions. "The
question," she added, "is what will the United States do?"
A/S Silverberg said the EU is preparing a package of
"positive and negative consequences" for Iran. The U.S. and
the EU will endorse incentives if Iran abandons its nuclear
ambitions, and will ask Russia and China to agree to the
negative consequences if Iran persists. The more difficult
debate in the UNSC will be on a second resolution that will
be required to impose sanctions if Iran continues to defy the
international community. She said that the USG does not have
unlimited patience and will move outside the UNSC if
necessary. Livni asked about the possibility of using the
G-8 to pressure Iran. A/S Silverberg replied that the USG is
considering all alternatives.


3. (C) Livni complained that Iran does not pay any price for
President Ahmadinejad's unacceptable anti-Israel statements.
She suggested that the UNSC consider a new resolution
condemning Iran's bellicose position against a fellow UN
member state. A/S Silverberg replied that the USG is open to
such suggestions, but would need to carefully consider timing
so as not to give UNSC members the opportunity to focus on
this resolution in place of other tough actions on Iran. She
noted that the Secretary expresses outrage at Ahmadinejad's
statements whenever she discusses Iran.

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CONVERGENCE PROMOTES A TWO-STATE SOLUTION
--------------


4. (C) Livni outlined the GOI's justification for the
"convergence" plan, which will remove settlers from east of
the separation barrier while consolidating remaining
settlements west of the barrier. She maintained that the
Palestinians are not fulfilling their obligations under the
Roadmap; Palestinian Authority (PA) President Mahmud Abbas is
incapable of taking necessary steps and Hamas has no interest
in doing so. This situation, in her analysis, condemns any
Israeli-Palestinian negotiation at present to failure and
will inevitably lead to stagnation and violence.
Consequently, Israel -- in conjunction with the international
community -- wants to examine other options. She described
the role of the international community, especially the
United States, as "essential" in promoting and implementing a
two-state solution. She said that PM Olmert plans to discuss
the plan in general terms with the President on May 23.


5. (C) Complaining that "Israel is being misunderstood,"
Livni acknowledged that it is "not in Israel's interests to
take unilateral steps." She stressed that the GOI sees
convergence as compatible with the Roadmap because it divides
the historical "Land of Israel" into two and creates the
possibility of a viable and contiguous Palestinian state,
while leaving what she called the "hard core of the conflict"
-- refugees and Jerusalem -- for final status talks. She
expressed optimism that the USG and GOI would not differ
significantly on the route of the "fence" and "borders" that
would allow Palestinians and Israelis to live side-by-side in
relative peace and security. She acknowledged, however, that
the Palestinians will not accept anything less than
negotiated final borders. The Ambassador noted that
statements on unilateral moves and final borders have also
raised the anxiety of some Quartet members. He suggested
that the GOI emphasize elements of its plan that will ease
the lives of both Israelis and Palestinians. Livni said that
ending the occupation is in the interests of both sides.
Israel is willing to "make a real change" and take "risky
steps," but the GOI needs the support of the international
community.

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ISRAELI INVOLVEMENT AT THE UN AND CONCERNS ABOUT HAMAS
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6. (C) Livni told A/S Silverberg that Israel wants to be
involved more broadly in the UN, not just on issues related
to the Israeli-Palestinian conflict. MFA Deputy
Director-General for the UN and International Organizations
Ronny Leshno Yaar noted that he had discussed this issue in
depth with A/S Silverberg on May 11 (septel),especially
Israel's desire for greater interaction in the Western
European and Others Group (WEOG). A/S Silverberg agreed that
the goal is to ensure Israeli participation in WEOG's policy
discussions, not just election issues. She noted that Yaar
had promised to develop a non-paper with priorities. She
suggested that Israel focus on a small number of issues
outside the region, mentioning human rights in Burma as an
example, and noted that it will be easiest to make progress
in technical organizations, citing Israeli involvement at the
World Intellectual Property Organization (WIPO). A/S
Silverberg said that such activities help reinforce the idea
that Israel can be a constructive player on all issues.


7. (C) Livni expressed concern that UN contacts with the PA
could weaken the Quartet's strong principles on Hamas. She
asked whether the international community's united stand
against Hamas could be leveraged to alter UN policy on issues
such as the separation barrier and settlements, or at least
to reduce the number of gratuitous references to Israel in
unrelated resolutions and statements. A/S Silverberg said
she had reiterated the USG's views on contacts with Hamas
during recent meetings with UN officials in both New York and
in Jerusalem. She agreed that gratuitous references to
Israel continue to be a concern.

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LEBANON AND SYRIA: IMPLEMENT 1559 FULLY
--------------


8. (C) Livni expressed understanding for the international
community's desire to strengthen Lebanese PM Siniora, but
said that this policy should not be linked to Lebanon's full
implementation of UNSCR 1559. Livni compared Siniora to PA
President Abbas, complaining that both want "something
without doing anything." She urged the international
community to save any rewards for Siniora until after he has
earned them. A/S Silverberg stressed that the USG continues
to call for full implementation of UNSCR 1559 and described
efforts to negotiate a solution in New York. When asked
about the Sheba farms/Har Dov area, Livni urged the
international community to take Israeli considerations into
account and not leave the border demarcation solely to
Lebanon and Syria.

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AMA and PA Issues
--------------


9. (C) Noting concerns about the personal security of
President Abbas and the important role played by the
Presidential Guard at Rafah, the Ambassador asked the GOI to
provide permission for donors to supply the Presidential
Guard with a limited quantity of ammunition. The Ambassador
also repeated previous requests on Agreement on Movement and
Access (AMA) issues, including Israeli acceptance of a
customs protocol, GOI participation in the Security Working
Group, and increasing opportunities for Palestinian exports
through Karni. Chief of Staff Yaki Dayan interjected that
the problem at Karni is related to scanning containers. The
Ambassador replied that the USG has provided a scanner
capable of addressing this problem and could deploy a second
one to accelerate processing if need be. Livni said she
would check with her Cabinet colleagues on the ammunition and
AMA issues.


10. (C) The Ambassador raised the EU's work on a temporary
international mechanism to ensure direct delivery of
humanitarian assistance to the Palestinian people. He
suggested that the GOI has an opportunity to influence the EU
by explaining its plans to use PA tax revenues for
humanitarian purposes. Beyond payments for electricity,
water, and medicine, he inquired whether the tax revenues
could be utilized for fuel purchases, e.g., some sort of
humanitarian fuel reserve under NGO oversight. Livni noted
that Abbas had so far not used assets from the Palestinian
Investment Fund to finance fuel or salaries and has been
ambiguous when addressing the issue with donors. Saying
"maybe he (Abbas) knows better," Livni suggested that an
alternate funding mechanism might work against the interests
of Abbas. In response to a comment by the Ambassador, MFA
Director General Ron Prosor said the GOI is close to
resolving the issue of funding for Palestinian patients at
the Augusta Victoria Hospital in Jerusalem.

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Anti-trafficking Efforts
--------------


11. (C) In preparation for PM Olmert's upcoming visit to
Washington, the Ambassador mentioned the President's strong
interest in world-wide anti-trafficking efforts. He urged
the GOI to maintain momentum against trafficking in persons,
suggesting that the GOI consider further action on a draft
bill to criminalize labor trafficking. The Assistant
Secretary reinforced these points. Livni said that she had

SIPDIS
discussed anti-trafficking efforts with PM Olmert earlier
that morning. Saying that the United States is "pushing on
an open door," she added that the GOI intends to issue a
statement on the issue prior to Olmert's trip. She also
welcomed the Ambassador's expressed intention to broach the
draft bill with Justice Minister Haim Ramon, who is
responsible for managing the GOI's legislative agenda. Livni
and Prosor both noted that she had discussed anti-trafficking
difficulties along the Egyptian border during her last visit
to Washington.


12. (U) This cable was cleared by A/S Silverberg.

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