ITALY'S NEW MINISTER OF ECONOMIC DEVELOPMENT SEEKS

C O N F I D E N T I A L ROME 000816

SIPDIS

E.O. 12958: DECL: 06/27/2018
TAGS: ECON ENRG IT KIPR KNNP EPRT
SUBJECT: ITALY'S NEW MINISTER OF ECONOMIC DEVELOPMENT SEEKS
USG HELP WITH TURKEY ON TGI, PLEDGES SUPPORT ON IPR

REF: ROME 461

Classified By: Ambassador Ronald Spogli Reasons 1.4 (b) and (d).


1. (C) Summary: Newly appointed Minister of Economic
Development Claudio Scajola, who claims almost super-minister
status with responsibility for Italy's Trade, Energy,
Communications and IPR portfolios, met with Ambassador Spogli
on June 26 to discuss mutual concerns about Italy's energy
security, a possible visit to Washington in October, and IPR
issues. Scajola asked for USG assistance in persuading the
Turks to play a more cooperative role in Turkey-Greece-Italy
(TGI) pipeline negotiations and noted that a draft law
concerning new IPR legislation would be on his desk shortly.
End Summary.


2. (C) Ambassador Spogli congratulated newly appointed
Minister of Economic Development Claudio Scajola for his
public efforts to re-start nuclear energy generation in
Italy. Noting that public opposition to the proposal has
been minimal, Scajola said that public opinion in Europe is
changing and that both Germany and the UK have made public
statements indicating a willingness to explore nuclear energy
use. The Ambassador encouraged Scajola to visit the United
States in October to meet with Energy Secretary Bodman and
possibly tour U.S. nuclear energy facilities.


3. (C) Expressing concern over Italy's energy security,
Scajola pointed to multiple and varied efforts to diversify
Italy's energy production, including use of North African
natural gas pipelines, building liquefied natural gas
re-gasification plants, restarting nuclear energy and
expanding renewable sources, all with an aim to reduce
Italy's dependence on Russia. Scajola said he spends a
majority of his time as Minister dealing with energy issues
and claimed that the high cost of oil is responsible for
Italy's slow GDP growth. Turning to the TGI pipeline,
Scajola reaffirmed Italy's commitment to the pipeline, but
said the GOI is worried about Turkish efforts to act as
middleman in the gas business. Scajola asked the USG to
weigh in with the Government of Turkey to help resolve the
dispute and said the GOI would accept transit fees charged by
the Turkish government, but not the re-selling of gas.


4. (C) The Ambassador raised USG concerns over Italy's status
on the special 301 watch list for Intellectual Property
Rights (IPR). Scajola said a new draft law with tougher
administrative penalties for piracy should be on his desk
shortly and pledged GOI support for IPR issues in general.
It is not clear if the draft law to which Scajola was
referring will deal specifically with counterfeiting, or
other types of IPR (such as copyright) as well.


5. (C) Comment: Scajola appeared more open to our concerns
over Italy's energy security than his predecessor and gives
the impression that he is willing to work with us. An early
October trip to Washington for Scajola would allow us to
highlight our concerns over Italy's lack of energy
independence and strengthen cooperation under the Global
Nuclear Energy Partnership (GNEP) and other initiatives. It
might also be a good opportunity for US firms interested in
participating in Italy's re-nuclearization to get a foot in
the door with the new GOI. End comment.
SPOGLI