AMBASSADOR'S 1/25 MEETING WITH PRESIDENT BASESCU:

C O N F I D E N T I A L BUCHAREST 000106

SIPDIS

SIPDIS

E.O. 12958: DECL: 01/25/2016
TAGS: PGOV PREL MARR ENRG SOCI RO
SUBJECT: AMBASSADOR'S 1/25 MEETING WITH PRESIDENT BASESCU:
NATO, JSF, CONSTANTA LNG PROJECT, OTHER ISSUES

Classified By: Ambassador Nicholas Taubman for reasons 1.4 (b) and (d).


1. (C) Summary: In their January 25 meeting, the Ambassador
discussed with President Basescu Romania's bid for the 2008
NATO Summit, the Joint Strike Fighter program, and moving
forward on the Nabucco gas pipeline project. Basescu agreed
to get personally engaged in Romania's bid to host the NATO
2008 Summit following the Ambassador's encouragement.
Basescu was current on the different proposals to help guide
the transformation of the Romanian Air Forces away from its
current fleet of deteriorating MiG-21s towards a long-term
future deploying the Joint Strike Fighter. Basescu was very
pleased to hear about the successful flight test for
Romania's soon to be delivered refurbished C-130H, which
Romania plans to deploy to Afghanistan for in-theater use.
Finally, the Ambassador shared a copy of a recent Sandia Lab
report on LNG tanker safety, and discussed with Basescu next
steps on the Nabucco pipeline and Constanta LNG terminal
projects. End summary.
.
NATO 2008 Summit Bid
.

2. (C) The Ambassador, accompanied by DCM and Acting Pol
Counselor, met with President Basescu on January 25 to
discuss a range of issues, including coordination with
Romania in support of its bid to host the NATO 2008 Summit.
Basescu was pleased to hear from the Ambassador that the U.S.
commitment to support Romania's bid was as strong as ever,
"from the President on down." On the Ambassador's
suggestion, Basescu said he would be happy to play a hands-on
role in calling his counterparts in select countries
(including key "swing" countries in Central and Eastern
Europe, Norway and Netherlands) in support of Romania's bid.
He noted that the informal "eight count" in Romania's favor
included Canada, Denmark, France, Italy, Lithuania, Poland,
Slovenia and U.S.
.
Joint Strike Fighter (JSF) and C-130H
.

3. (C) The Ambassador briefed Basescu on his recent
discussions in Washington and in Bucharest concerning
Romania's effort to find a bridge between Romania's aging
MiG-21 fleet to Romania's goal of purchasing the JSF as early
as possible. Basescu expressed special interest in
commissioning a JSF Structural Assessment Study (for about
USD 15 million, would have applicability towards F-16
feasibility, and would put Romania in the same queue with two
other key allies for the JSF) and indicated he would raise
the prospect directly with Defense Minister Frunzaverde
before Frunzaverde's upcoming visit to Washington. Basescu
also expressed openness, for the first time, to an F-16 lease
option, one that might be a more affordable bridge to the
JSF. He noted that the short gap between the F-16's
operational effectiveness and the JSF's availability was a
key factor in why he was no longer interested in purchasing
"all 41" new F-16s, as originally conceived. Basescu said
that regardless of the GOR's ultimate purchasing decision, he
said he recognized the importance of training pilots and
maintenance crews as soon as possible on the F-16 to
facilitate the transition away from the MiG-21s and the
eventual deployment of the JSF. Basescu reported that he had
raised the topic about how to choose pilots for F-16 flight
training directly with Colonel Avram (MiG Air Wing Commander,
95th Air Base, Bacau, Romania). On the basis of Avram's
advice, he said, Basescu preferred selecting younger pilots
"uncorrupted" by their MiG training. He also cited Romania's
difficulties on the commercial side in training pilots to fly
Airbus planes after the state airline Tarom decided to
maintain a mixed Boeing/Airbus fleet.


4. (C) Basescu remarked that he had recently received a
document for his signature from the EU in which Romania was
asked to commit to purchase EU-sourced defense equipment, but
he said he would not be signing anything "like that." (nfi)
Any military equipment purchased by Romania needed to be
adequately maintained, he explained, questioning why Romania
would buy equipment incompatible with U.S. standards when
alternatively Romania could share defense infrastructure and
maintenance facilities with the U.S. when they deploy
together. "What would we do with Euro-fighters?" Basescu
asked rhetorically. Basescu thought Romania should meet with
Lockheed-Martin soon to discuss the JSF and F-16 issues "from
the commercial side." When the Ambassador informed him that
Lockheed-Martin had reported Romania's refurbished C-130H had
just made a successful flight test, Basescu remarked that "It
will go straight to Afghanistan" to support Romanian troops
there.

Yushchenko's health and Russian ambitions



5. (C) The Ambassador congratulated Basescu on the
inauguration of the new border bridge with Ukraine across the
Tisha river, at which the Romanian and Ukrainian presidents
met, and asked how Yushchenko was doing. Basescu described
Yushchenko as physically "acceptable," with no apparent
serious health problems. However, he sensed that "Yushchenko
can not do what he wants to do." It has become apparent that
Yushchenko had no real control over Ukrainian foreign policy
in the wake of FM Tarasiuk's departure. Basescu expressed
disappointment that EU leaders do not seem to understand or
appreciate Russia's role in this. He said that EU leaders
seem convinced Russia can be a partner, but it is
increasingly clear that Moscow only advances policies that
keep things under its control, like energy. Basescu said he
raised this topic directly with German Chancellor Merkl,
noting that the EU needs to look for alternatives to
Russia,s energy supplies. Basescu expressed his frustration
that the EU seems to risk "all its eggs in one basket." For
Russia, he warned, all of Europe to the Atlantic is "vital
space" to Russia.

Alternatives to Russian energy supplies


6. (C) The Ambassador observed that the Nabucco pipeline
appears to have a real chance for success. It was important,
he stressed, because the region needs at least two
alternative solutions for its energy supply, one that is
centered on gas, the other on LNG. The Ambassador noted
that, based on discussions of senior USG officials in Ankara,
Turkey might be willing to allow LNG tankers through the
Bosporous. The Qatar Ambassador in Romania had also
indicated his government was ready to make an LNG deal.
Basescu said he was waiting for Qatar to finalize a
feasibility study before taking any further steps. He added
that if a short visit to meet the Emir was necessary, he was
willing to undertake one, or to invite the Emir to Bucharest.
Basescu asked the Ambassador to inquire about the status of
the feasibility study. The Ambassador passed a copy of a
Sandia Labs LNG Tanker Safety Analysis study to Basescu,
noting that the conclusions make it clear LNG was
significantly safer to transport than oil. Basescu agreed.
The Romanian president confirmed that all of the basic
elements for a Nabucco deal were in place. He also mentioned
that he discussed Nabucco with Yushchenko, who was
supportive. Basescu indicated that he would talk to Poland
to try to convince Warsaw to become more involved in Nabucco.
Basescu and the Ambassador agreed on the importance of
strong competition in the energy field, and Basescu stressed
the Russians needed to learn that it was wrong to use energy
as a political weapon. Hopefully, he added, the Europeans
would understand this point in the end.
TAUBMAN