UPCOMING MEETING ON THE IMPLEMENTATION OF

UNCLAS STATE 127071 SIPDIS SENSITIVE BUT UNCLASSIFIED PARIS PASS TO USOECD E.O. 12958: N/A TAGS: AORC EMIN ENRG ETTC EUN IR JA KNNP MNUC PARM TRGY IAEA SUBJECT: UPCOMING MEETING ON THE IMPLEMENTATION OF NATIONAL MEASURES ON IRAN REF: A. STATE 125658 ¶B. STATE 125339 ¶C. STATE 125575 ¶D. STATE 125441 ¶1. (U) This is an action request. Please see paragraph 5. ¶2. (SBU) OBJECTIVE: To inform our outreach partners in Australia, Canada, Japan, and South Korea that they will soon be contacted by the Government of Italy to participate in a meeting in Rome on 12 December 2008 to discuss the implementation of national measures on Iran. ¶3. (SBU) BACKGROUND: Since July 2008, the United States has been engaged with France, Germany, and the United Kingdom in an effort to prompt the implementation of the strongest possible national sanctions measures on Iran in response to its noncompliance with its international obligations. Our goal has been two-fold: 1) to assemble a "menu of options" for national measures that could be pursued by likeminded states; and, 2) to use these options to prompt other states to take similar action to create the greatest possible pressure on Iran. Italy joined the group in October 2008. ¶4. (SBU) BACKGROUND CONT: Our efforts have centered on developing a "menu of options" for such measures, focused on four key areas: Iran's access to the international financial system, insurance/re-insurance services, oil/gas investment (both financial and technological),and sensitive/dual-use items. In the financial sector, we are seeking to limit Iran,s access to the international financial system both through implementation of relevant provisions in UN Security Council Resolutions 1737, 1747, and 1803 and through national measures that are complementary to the UN framework by calling on certain states to issue advisories consistent with the Financial Action Task Force (FATF) warning statements regarding Iran,s risk to the international financial system. Regarding the insurance industry, the national measures strategy seeks to limit Iran,s access to insurance and re-insurance due to the risk that the Iranian regime has used its state-owned firms to support proliferation-related activity. With respect to energy, we are seeking to prevent new investment and oil and gas deals with Iran and investment that contribute to Iran,s ability to develop its energy sector. We are also looking to prevent the transfer of dual-use items to Iran by preventing Iran,s ability to procure sensitive technology and equipment that might aid its nuclear program. ¶5. (SBU) ACTION REQUEST: Using the background in paragraphs 3-4, Posts are requested to inform appropriate host government officials that France, Germany, The United Kingdom, and Italy intend to invite their representatives to attend a meeting in Rome on 12 December to discuss our ongoing effort to develop a "menu of options" for national measures to increase the pressure on Iran. Posts should note that a detailed agenda and invitation will be forthcoming from the Government of Italy. Posts should emphasize that we believe that national measures will be particularly helpful to ensure that UN Security Council sanctions are fully implemented and the pressure on Iran continues, in a coordinated and robust manner. These actions will help support our diplomatic work to persuade Iran to suspend its enrichment related activities and enter into negotiation with the P5 1. Posts should describe, generally, the areas of activity that are being pursued, but stress that the meeting on 12 December is intended to brief meeting participants on the overall effort, as well as discuss next steps and the role they might play in this important effort. ¶6. (U) Post is requested to report any substantive response by 8 December 2008. Richard Nephew (ISN/RA, 202-647-7680, NephewRM@state.sgov.gov) and Anthony Ruggiero (ISN/CPI, 202-647-5181, RuggieroAJ@state.sgov.gov) are the Department's POCs for this activity. RICE