MFA ON TAHDIYA EFFORTS; AHLC MEETING

S E C R E T CAIRO 000861 SIPDIS SIPDIS NSC FOR PASCUAL E.O. 12958: DECL: 08/24/2018 TAGS: EAID EU KPAL PGOV PREL IS WBG SUBJECT: MFA ON TAHDIYA EFFORTS; AHLC MEETING REF: A. LOGERFO/DANIN EMAIL OF APRIL 22 ¶B. SECSTATE 040343 ¶C. JERUSALEM 714 Classified By: MINISTER-COUNSELOR WILLIAM R. STEWART REASONS: 1.4 (B) and (D) ¶1. (S/NF) MFA Director for Palestinian Affairs Badr Abelatty updated us April 24 on Egyptian tahdiya ("calming") efforts. Abdelatty said that talks were presently underway between a visiting Hamas delegation led by deposed FM Zahar and EGIS officials. He said the GOE is seeking an "unconditional" answer to their proposal for a "calming" from Hamas. The sole focus now is on cessation of rockets into Israel, to be matched by a GOI promise to stop targeted assassinations and incursions into Gaza. This plan would be rolled out in Gaza first, and later the West Bank, on an timeline the Egyptians have yet to finalize. Other elements, e.g. prisoner exchanges, have been shelved for now, according to Abdelatty. ¶2. (C) Ad Hoc Liaison Committee meeting (AHLC): Abdelatty said that FM Aboul Gheit will lead the Egyptian delegation to the AHLC scheduled for May 2 in London, England. Abdelatty said that this information is not yet public. He said the GOE shares USG concerns in reftel a. He noted that the Egyptians have provided USD 48 million to the Palestinians since 2000, notwithstanding the fact that Egypt, too, is a recipient of external assistance (e.g. from the U.S. and Europe). In addition, Egypt has provided over USD 50 million in humanitarian assistance during this timeframe, and continues to provide 17 megawatts of electricity into Gaza. ¶3. (C) Abdelatty said the Egyptians have three agenda items for the AHLC. First, donors who pledged assistance to the PA at the December 17, 2007 donors meeting need to follow through on their commitments. He noted that virtually none of the pledged USD 7.4 billion had been disbursed to the PA. Second, Abdelatty said that tangible improvements on movement and access are critical; donor assistance is "meaningless" if conditions do not improve. He opined that the 50 roadblocks the Israelis agreed to remove during Secretary Rice's March visit were located in remote areas and did not have a major impact on Palestinian freedom of movement. More needs to be done, he said, citing UNRWA and OXFAM reports of Palestinian suffering. Third, Gaza is an integral part of the future Palestinian state. It cannot be ignored, Abdelatty contended, despite the difficulty Hamas presents. He cited former British PM Blair's plan for a sewage plant in Beit Lahiya (in northern Gaza) as a good example of including Gazans in economic development. The bottom line, Abdelatty argued, is that the international community needs to secure the movement of essential goods and services to Gaza. ¶4. (C) We responded to Abdelatty that the USG shares Egypt's concern about the humanitarian situation. We asked about recent reports that fuel delivered into Gaza from Israel was not being delivered within Gaza (reftel b). Abdelatty said that he understood that Gaza fuel companies and distributors had decided not to deliver this fuel, because it is a paltry amount in comparison to the total demand in Gaza. He said that the Egyptian position is that the fuel -- whatever amount -- must be distributed, and the GOE has conveyed this message to Gazans responsible for distribution. SCOBEY