DSS REELECTS KOSTUNICA PARTY PRESIDENT (AND OTHER

UNCLAS SECTION 01 OF 02 BELGRADE 001450

SIPDIS

SIPDIS

E.O. 12958: N/A
TAGS: PGOV PREL PHUM SR KV
SUBJECT: DSS REELECTS KOSTUNICA PARTY PRESIDENT (AND OTHER
NON-SURPRISES)

Summary
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1. (U) Members of the Democratic Party of Serbia reelected Prime
Minister Vojislav Kostunica as party president and made slight
changes to their platform at the 9th Party Congress, on October
13-14, in Belgrade. In a speech to party members, Kostunica
reiterated the party's opposition to both Kosovo independence and
Serbia's NATO membership. He said that a decision on presidential
and local elections should wait until after December 10, leaving
likely and probable elections well into 2008. Kostunica made clear
that he intends to lead the party he helped to found for four more
years. End Summary.

Kostunica, Jocic, Popovic to Lead Party
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2. (U) The Democratic Party of Serbia held its 9th Party Congress
in Belgrade on October 14, 2007. All 600 Congress delegates
reelected Vojislav Kostunica as president of the party, appointed
six vice-presidents, and elected 170 members to the party's Main
Board. Kostunica has led the party since it was formed in 1992 and
ran unopposed. Kostunica recommended, and the delegates appointed,
six vice-presidents, including incumbents Interior Minister Dragan
Jocic and Energy Minister Aleksandar Popovic, as well as three DSS
members of parliament, vice-president of the culture committee
Svetlana Stojanovic, parliamentary whip Milos Aligrudic, head of the
DSS youth wing Borko Ilic, and Coordinating Center for Kosovo (CCK)
director, Vuko Antonijevic, a Serb from Kosovo.


3. (U) The party adopted only slight changes to its organization.
Party executives will serve four years instead of two and there are
now seven vice-presidents, up from five. Kostunica nominated only
the six VPs listed above, leaving one vacancy. The party did not
renew the mandates of incumbent vice presidents Vladeta Jankovic,
Kostunica's senior advisor, and Sandra Raskovic-Ivic, former CCK
director, who are in line for ambassadorships to the Vatican and
Rome, respectively.

Focus on Economy, Kosovo
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4. (U) Kostunica laid out the party's principal goals in his speech
to the party members. Citing GOS economic accomplishments (e.g.
record GDP growth, increased foreign direct investment, and low
inflation),Kostunica underscored the importance of economicdevelopment in the
DSS program. The PM described articipation in
Serbia's economic development as"true patriotism" and a mechanism
for democratictransformation of society.

"Strategic" Energy Tis with Moscow
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6. (U) A key to Serbia's economic well-being,he said, was the
stability of Serbia's energy setor. Highlighting Serbia's interest
in "strategi cooperation" with Russia and Gazprom, Kostunica
nnounced that the GOS had signed a Memorandum of Uderstanding with
Gazprom and predicted that thiscooperation would make Serbia the
region's energ leader.

EU, Sovereignty, PfP - Yes, NATO - No
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5. (U) Kostunica identified European integration and combatng
organized crime and corruption as key goals o the DSS and the
Government of Serbia. Kostunic said that Serbia would preserve its
sovereignty integrity, and dignity and that Kosovo would never be
independent -- since Serbia would never recognize it. While the DSS
supported Serbia's accession to Partnership for Peace (PfP),he
said, joining NATO was not in Serbia's interests. The DSS position,
Kostunica explained, was that Serbia's pacifism and commitment to
regional stability necessitate preserving "military and political
neutrality." In a meeting with poloff on October 16, DSS Vice
President and party whip, Milos Aligrudic, said that the party
position had not changed; rather, the DSS had made clear that it
"could not advocate joining an organization that [had] illegally
bombed Serbia." Aligrudic said that the DSS would accept the will
of the majority, should Serbians vote, by referendum, to join NATO.


Elections after Kosovo Decision
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7. (U) Kostunica explained that, from the DSS perspective, the
timing of presidential and local elections were contingent on
developments in Kosovo. Alluding to the possibility that Kosovo
might unilaterally declare independence after December 10, Kostunica
said that coalition partners would decide in December whether to
announce elections by yearend, in accordance with the constitutional
law, or to amend the law and postpone elections. Aligrudic expanded
on Kostunica's remarks, October 16, asserting that all the major
parties, including the DS and SRS, had agreed to wait until after

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December 10 to call elections. Aligrudic, assessed that it would be
no problem for parliament to amend the election law to allow for
elections to be called "at the end of January, or February, or
March...." The threat of Kosovo unilaterally declaring independence
and the possibility that countries would recognize it recognition
posed a "challenge" that Serbia would have to address before
scheduling elections. As to Serbia's reaction to countries that
recognized Kosovo independence, Aligrudic said that relations "could
not stay the same," but Serbia would not completely sever ties. He
estimated that the GOS would need about one month react to a
unilateral declaration of independence "by all legal means,"
including annulment by an act of the Serbian parliament.

COMMENT
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8. (U) Little new emerged on the DSS agenda or leadership at the
party congress. Kostunica's discussion of Serbia's economic health,
something other than (or, more realistically, in addition to)
Kosovo, was a step in the right direction. The PM did not, however,
suggest much in the way of next steps. Kostunica and Aligrudic
articulated the party's objectives; keeping Serbia out of NATO,
securing an energy partnership with Moscow and, especially,
coordinating Serbia's response to a Kosovo UDI. End Comment.

MUNTER