Identifier
Created
Classification
Origin
08ASMARA188
2008-04-03 14:48:00
CONFIDENTIAL
Embassy Asmara
Cable title:  

LIGHTS FOR ALL, BREAD FOR THE SELECT

Tags:  ECON EAGR ENRG EAID PGOV ER 
pdf how-to read a cable
VZCZCXRO2467
RR RUEHROV
DE RUEHAE #0188 0941448
ZNY CCCCC ZZH
R 031448Z APR 08
FM AMEMBASSY ASMARA
TO RUEHC/SECSTATE WASHDC 9576
INFO RUCNIAD/IGAD COLLECTIVE
RUEHRO/AMEMBASSY ROME 1761
RUEAIIA/CIA WASHDC
RUEKDIA/DIA WASHDC
RHEHNSC/NSC WASHDC
RUEPADJ/CJTF-HOA J2X CAMP LEMONIER DJ
RUMICEA/JICCENT MACDILL AFB FL
RHMFISS/CDR USCENTCOM MACDILL AFB FL
RUEKJCS/SECDEF WASHDC
C O N F I D E N T I A L ASMARA 000188 

SIPDIS

SIPDIS

NAIROBI FOR USAID - GEORGIANNA PLATT

LONDON AND PARIS FOR AFRICA WATCHERS

ROME FOR FODAG

E.O. 12958: DECL: 04/02/2018
TAGS: ECON EAGR ENRG EAID PGOV ER
SUBJECT: LIGHTS FOR ALL, BREAD FOR THE SELECT

Classified By: Ambassador Ronald K. McMullen for reason 1.4 (d).

C O N F I D E N T I A L ASMARA 000188

SIPDIS

SIPDIS

NAIROBI FOR USAID - GEORGIANNA PLATT

LONDON AND PARIS FOR AFRICA WATCHERS

ROME FOR FODAG

E.O. 12958: DECL: 04/02/2018
TAGS: ECON EAGR ENRG EAID PGOV ER
SUBJECT: LIGHTS FOR ALL, BREAD FOR THE SELECT

Classified By: Ambassador Ronald K. McMullen for reason 1.4 (d).


1. (SBU) SUMMARY: The Government of the State of Eritrea
(GSE) is investing its limited resources heavily in renewable
energy, particularly solar and wind power, for the rural
sector. At the same time, the rural sector is most heavily
hit by shortages of staples such as wheat and flour, creating
a potential paradox of electrified villages with no food.
End Summary.


2. (C) Rising food prices remain a central concern in
Eritrea. Though shortages of staples such as wheat, flour,
and oil have become the norm (with Eritreans queuing up in
bread lines around 5am each day),reports from local citizens
indicate that shortages are becoming even more severe. Rural
farmers are reportedly resorting to selling beasts of burden
in order to buy food. One farmer purportedly sold his ox for
1,400 Nakfa ($93). This money, in turn, was used to buy less
than a month's worth of grain for his family.


3. (C) Although food security remains a critical problem in
Eritrea, the GSE continues to reject collaboration with aid
agencies and bilateral donors. At a regional trade union
conference held in Asmara last week, the GSE's Minister of
National Development reportedly went one step beyond
Eritrea's normal spiel about the virtue of "self-reliance"
for Eritrea to harangue the other African representatives
to adopt similar policies. According to the World Bank
(strictly protect) the GSE claims 80% self-sufficiency in
grains. Nonetheless, most of the grain is commonly believed
to be sent to the Eritrean-Ethiopian border to feed the
massive army of 200,000 soldiers rather than distributed to
the civilian populace. (Even at the border, this food most
often goes reportedly to the generals rather than to the
soldiers.) UNICEF reports that 40% of Eritrean children
under 5 are either moderately or severely malnourished.


4. (SBU) Heavy collaboration with the Europeans exists,
however, in the energy sector, according to the GSE's
Ministry of Energy. PolOff met March 31 with the Director
General of Energy, who emphasized the extensive partnership
between the GSE and the European Commission (EC). The DG
stated that the Ministry has electrified 40 rural villages,
using solar power in the interior and wind power along the
coast. Many of these projects are funded by the EC. The DG
also mentioned a long-term "energy trading" project in the
Horn region focused on selling surplus energy to neighboring
countries, also spearheaded by the EC.


5. (C) Comment: For a government that has actively
minimized the presence of foreign assistance in the name of
"self-reliance," the GSE is surprisingly cooperative with the
EC in regards to energy security. The DG even commented on
the "fair terms" presented by the EC's foreign aid packages,
which require the GSE to purchase its solar panels and other
equipment from EC-designated companies. Given the GSE's
"let-them-eat-cake" attitude on food security, its policies
present an interesting potential paradox in which rural
villages will be fully electrified yet their residents unable
to obtain bread.


6. While GSE friendliness towards foreign aid donors is a
rarity, the government's attitude towards cooperation with
the EC is not overly surprising given the Commission's
conciliatory approach to the 2006 seizure of its donated food
aid and soft-peddling of Eritrea's human rights abuses. The
World Bank representative states that the Bank has not been
asked to join the GSE in tackling rising food prices, and the
UN World Food Program, which has been "frozen" in its work
since the 2006 food seizure, expects to close its doors in
June. End Comment.
MCMULLEN