TUNISIA: GETTING READY FOR NUCLEAR POWER

UNCLAS SECTION 01 OF 05 TUNIS 001193 SENSITIVE SIPDIS STATE FOR NEA/MAG (NARDI AND HAYES) STATE PASS USTR (BURKHEAD) AND USAID (MCCLOUD) USDOC FOR ITA/MAC/ONE (NATHAN MASON),ADVOCACY CTR (REITZE),AND CLDP (TEJTEL AND MCMANUS) USDOC PASS USPTO (ADAMS, BROWN AND MARSHALL) CASABLANCA FOR FCS (ORTIZ) AMMAN FOR ESTH HUB (BHALLA) CAIRO FOR FINANCIAL ATTACHE (SEVERENS) LONDON AND PARIS FOR NEA WATCHER E.O. 12958: N/A TAGS: ECON EFIN ETRD TS SUBJECT: TUNISIA: GETTING READY FOR NUCLEAR POWER REF: PARIS 1447 -------------- Summary -------------- ¶1. (SBU) GOT officials expressed strong interest in U.S. civil nuclear cooperation during the November 19 visit of Ambassador Jackie Wolcott, Special Envoy for Nuclear Nonproliferation, and her interagency delegation. Wolcott discussed opportunities for increased technical exchanges, human capital development, and other areas of cooperation and assistance. GOT representatives provided the Wolcott delegation with a detailed overview of Tunisia's approach to nuclear power development, and its plans for legislation development and the establishment of a regulatory agency. They confirmed the GOT will soon undertake a feasibility study with an eye on constructing a first nuclear power plant by 2020-2023. The GOT officials asked the delegation to organize a seminar early in 2009 on options and opportunities for civil nuclear cooperation with the United States, as has recently been done by Canada, South Africa, and France. End Summary. -------------- Who's On First -------------- ¶2. (U) Special Envoy for Nuclear Nonproliferation, Jackie Wolcott, and a delegation of technical experts from the Department of State, Nuclear Regulatory Commission (NRC) and the Department of Energy's National Nuclear Security Administration (NNSA) exchanged views and identified potential areas for cooperation with GOT counterparts during a November 19 visit to Tunis. Ambassador accompanied the Special Envoy in her meetings with the Minister of Higher Education and the state-owned utility STEG (Tunisian Electricity and Gas Company). In addition to Ambassador Wolcott, the delegation included: -- Alex Burkart, Department of State -- Marc Humphrey, Department of State -- Michael Mayfield, NRC -- Matthew Van Sickle, NNSA -- Moussaddek Bissani, Lawrence Livermore National Laboratory Embassy ESTH officer accompanied the delegation to all meetings. ¶3. (U) Following a high-level orientation meeting chaired by the GOT Minister of Higher Education, Scientific Research and Technology Lazhar Bououni, the delegation followed up with more detailed discussions with representatives of the National Center for Nuclear Science and Technology (CNSTN), the Ministry of Public Health, and STEG. A common thread throughout the meetings was GOT interest in increased bilateral cooperation, particularly in the area of human resource development, to support its goal of deploying a nuclear power plant by 2020 - 2023. -------------- Higher Education Takes the Lead on Nuclear -------------- ¶4. (SBU) As Tunisia's permanent representative to the International Atomic Energy Agency (IAEA),the Minister of Higher Education currently plays a key role in the pursuit of nuclear power in Tunisia. To provide the delegation an overview of Tunisia's current plans, Minister Bououni included the following officials in his meeting with Amb. Wolcott: -- Abderrahman Boukricha, Director General of International Cooperation, Ministry of Higher Education; -- Rabah Jerad, Deputy Managing Director, STEG; -- Mougou Abdelaziz, President, Institute for Agriculture, TUNIS 00001193 002 OF 005 Research and Higher Education; -- Zohra Azzouz Berriche, Deputy Director of Development and Projects, CNSTN; and -- Hichem Abdesselem, Director General of Technical Cooperation, Ministry of Public Health. ¶5. (SBU) Minister Bououni recalled his meeting with Ambassador Wolcott at the 2008 IAEA General Conference in October, and thanked her for fulfilling her promise to bring an expert-level delegation to Tunisia. Noting that nuclear power was a "very important project," Bououni identified three priorities on the road to its deployment. First, Tunisia needs to collect more technical information about available technologies (in particular, that from U.S. firms); second, it must identify opportunities for nuclear-related human resource development (e.g., through workshops, exchanges, or other cooperation, such as that already in place between Tunisia and France); and third, it aims to reassure the international community about its intentions to develop nuclear energy solely for peaceful purposes and with appropriate safeguards. ¶6. (SBU) Minister Bououni asked if the USG could convene a seminar, to exhibit U.S. technologies and to discuss more broadly areas of potential civil nuclear cooperation, in early 2009 in Tunis. Similar seminars had already been organized by Canada and South Africa, he explained, and France would hold its own the following week (November 26-27, 2008). Wolcott replied that she would seek to arrange this, and Ambassador Godec confirmed that the Embassy would be pleased to assist in its organization. Wolcott also outlined for Bououni several opportunities for U.S.-Tunisian cooperation in the area of capacity building, such as through an NNSA-organized human resources workshop planned in March 2009 in Rabat, through an embryonic university exchange program with U.S. Nuclear Engineering departments, through regulatory fellowships with the NRC, and through Fulbright exchanges. Wolcott also promoted the idea of an orientation visit (sponsored by the U.S. Trade and Development Agency, USTDA),which would allow Tunisian experts to consult with representatives of nuclear authorities, industry, utilities, and laboratories in the United States. At the meeting's close, Bououny identified Director General Boukricha as the appropriate point of contact for nuclear-energy-related matters. -------------- Nuclear Science Research Center - Technopole -------------- ¶7. (SBU) In a meeting at CNSTN, Nafaa Reguigui, Deputy Director of Nuclear Applications, explained the Center's broad array of research efforts aimed at modernizing Tunisia's use of nuclear applications. Established in 1993, the Center features research in radiopharmacology, isotope hydrology, microbiology, agriculture (e.g., sterile insect technique),and nuclear instrumentation. In addition, the Center is working to support the GOT's pursuit of nuclear energy, through training and technical support for the development of a national nuclear legal framework, for the preparation of nuclear-related bid documents, and for a feasibility study (conducted by STEG and the Ministry of Industry, see para 16). ¶8. (SBU) Reguigui said that the GOT has already engaged the French, having recently signed a nuclear cooperation MOU during President Sarkozy's visit in April 2008. (Note: this MOU renewed an existing 1995 agreement and would open the door for cooperation with France's new nuclear development agency AFNI, see reftel. End Note.) He confirmed that the French Embassy would hold a two-day conference November 26-27 on nuclear energy, which would feature Tunisia's plans, introduce French nuclear policy and technology, and allow detailed discussions on nuclear safety, safeguards, fuel cycle issues, site selection, and human resources. The seminar would target a non-specialist audience of about TUNIS 00001193 003 OF 005 100-150 people, similar to past seminars held with the Canadians and the South Africans, Reguigui explained. ¶9. (SBU) Reguigui also explained that the GOT is evaluating the possibility of investing in a research reactor to complement their emerging nuclear research efforts and provide a training ground for nuclear experts, and asked the delegation's opinion of its necessity. In response, Burkart explained that while valuable, this step could be preceded by a "virtual" research reactor program (which would allow for internet-based experiments with a research reactor in another country) or by participation in a regional program. Reguigui also expressed interest in expanding educational cooperation, to which the delegation briefly described a number of potential projects with the NRC, NNSA, and State (through the IAEA). To provide more detail on these and other areas of cooperation, the delegation offered a document summarizing U.S. cooperation programs. However, Reguigui noted that all decisions will be made by more senior officials. -------------- Compliance with International Standards -------------- ¶10. (SBU) At CNSTN, the delegation also met with a representative of Tunisia's nascent regulatory authority responsible for international obligations and safeguards, who underscored the GOT's determination to comply with all international nuclear standards and obligations. He confirmed that Tunisia has a comprehensive safeguards agreement with the IAEA and has signed the Additional Protocol. As part of a new "nuclear energy act" being developed, Tunisia intends to ratify the latter by the end of ¶2009. The safeguards official also reported that Tunisia, a party to the Convention on the Physical Protection of Nuclear Material (CPPNM),intends to ratify its 2005 amendment in the coming months. Similarly, Tunisia is preparing to ratify the (signed) Convention on Nuclear Safety. Tunisia is currently studying the Joint Convention on the Safety of Spent Fuel Management and on the Safety of Radioactive Waste Management, as well as the Vienna Convention on Civil Liability (though it is not yet considering the Convention on Supplementary Compensation for Nuclear Damage). Lastly, the safeguards official confirmed that Tunisia is compliant with its obligations under UNSCR 1540 and the IAEA Code of Conduct for Radiological Sources (and had submitted the requisite reporting on the former in October). He indicated the GOT will first focus on developing its own internal legal framework within which to handle nuclear-related issues. In response, Wolcott noted that the United States has recently provided comments on other countries' draft nuclear laws, and stated that we could provide the same service if Tunisia were willing to provide us with a draft. -------------- -------------- Ministry of Public Health ) To Regulate or Not To Regulate? -------------- -------------- ¶11. (SBU) At the Ministry of Public Health, the delegation met with Dr. Mohamed Ben Laiba, Director General of Public Health and Inspector General. After the Wolcott delegation briefly outlined potential areas of civil nuclear cooperation, Laiba highlighted Tunisia's growing medical tourism industry, which most recently provided services to more than 110,000 tourists, more than half of whom were Europeans. Noting that the nuclear domain is "special," he emphasized GOT interest in upgrading its nuclear-related legislation and further building its human capital (e.g., scientists, doctors and engineers). Laiba also reaffirmed GOT interest in cooperation, and when asked what role the Ministry of Public Health would play in nuclear energy policy, he answered that that topic is under discussion at high levels. ¶12. (SBU) The Ministry of Public Health's National Radioprotection Center (CNRP) was created under the Ministry TUNIS 00001193 004 OF 005 of Public Health in 1981 to provide for a secure, safe environment for the use of nuclear technologies used to treat and diagnose patients. CNRP Director Dr. Latifa Ben Omran stated that the Center is involved in many sectors, including agriculture, industry, and research, but nuclear medicine comprised 75% of the its responsibilities. Specifically, the center's responsibilities include (1) controlling the use of radioactive sources; (2) licensing the import, transfer, and transportation of radioactive sources; (3) inspecting radioactive source installations and activities; (4) monitoring employees who handle radioactive materials; (5) irradiating food and agricultural exports and imports; (6) monitoring scrap metal exports; (7) securing standards laboratories; (8) training users of radioactive materials; (9) overseeing radioactive waste handling; (10) measuring household radiation levels; and (11) rehabilitating contaminated sites. Ben Omran added that CNRP currently cooperates with the IAEA, WHO, and NNSA, via a signed MOU with the NNSA's Global Threat Reduction Initiative for a "Search and Secure" project. (Comment: NNSA's "Search and Secure" project is currently on hold pending resolution of Tunisian contracting and banking issues. NNSA expressed its desire for the resolution of these issues so that work could continue. End Comment.) ¶13. (SBU) Dr. Naoufel Somrani, the Deputy Director of Emergency Response, explained the GOT's interest in upgrading its nuclear emergency preparedness capacity as part of its overall nuclear strategy. He highlighted Tunisia's need for technical expertise in developing first responders to nuclear disaster as well as strengthening the health services infrastructure. Finally, an official from the Ministry's Research Department commented on the importance of sensitizing the local population on the benefits of ionizing radiation, such as those of the Sterile Insect Technique program. ¶14. (SBU) Notwithstanding all of these programs centered on the use of radioactive sources, Dr. Hichem Abdesselem, Director General of the Ministry's Technical Cooperation Unit, commented that in the future the Ministry will need to "prepare for the new context" of nuclear power. As evidence by joint programs with the IAEA, WHO, and NNSA, the Ministry is "wide open to cooperation in this field" and "ready to develop new activities." When asked by the delegation if the Ministry's regulatory oversight would be expanded to cover nuclear power or if a new agency would be established for this purpose, Ben Laiba conceded that this is a decision that still remains to be addressed. -------------- The Public Utility - Future Home of Nuclear? -------------- ¶15. (SBU) The delegation also met with the Managing Director, Othman Ben Afra, and Deputy Managing Director, Rabah Jerad, of the Tunisian Electric and Gas Company (STEG). Ben Afra stated that although STEG has been considering nuclear power for nearly 25 years, only recently has the confluence of high oil prices and the perceived need to diversify energy supplies prompted the political commitment to this technology. In November 2006, President Ben Ali made the formal decision to pursue nuclear power with an aim of deploying its first nuclear plant by 2020-23, at which point the national electric grid, with an estimated total capacity of 7000 MW, would be large enough to accommodate a 700-1000 MW unit. STEG and the GOT are now considering how to proceed, and are inviting other governments (namely Canada, South Africa, France, and now the U.S.) to provide information and support for the Tunisian nuclear program. Wolcott touched on the range of programs available from the USG and said she would seek to organize a seminar for more detailed discussions in Tunis in the near future. ¶16. (SBU) Ben Afra noted that Tunisia was preparing a three-phase road map, which would begin with a technical and TUNIS 00001193 005 OF 005 economic feasibility study. Jerad explained that STEG was preparing to launch a tender for this study, to begin next year and conclude by 2011. Phase 2 would call for a tender for plant construction, followed by a third phase of plant realization. At this stage, STEG is planning to be operator of the plant, which would be located at one of two potential sites: one in the south at Skhira and one on the northern coast at Bizerte. When asked how the GOT was evaluating financing options, Ben Afra answered that no specific financing models had been selected, thought the GOT was assuming a cost of $4.5-6 billion for a one-unit plant. First, the GOT wants to solidify the legal framework, prepare the intellectual capacity, and identify the most suitable location. When asked how nuclear power would be regulated in Tunisia, the STEG officials stated that a proposal is now being considered by the GOT which would establish a regulatory body under the Prime Minister, independent of the "strategic" or promotional body. The regulatory body, they added, must be in place prior to final site selection and the launch of the construction tender (i.e., by 2011). Jerad noted that a recently signed MOU with the French would facilitate training for ten Tunisian nuclear scientists, though he conceded this was not enough to meet the stated goal of deployed nuclear power around 2020. Therefore, additional training in the United States "would be welcome." Ben Afra added, "we do not want to limit ourselves to France only, we want to expand our horizons" as recommended by the IAEA. He also recounted that some of the people previously sent to France for training had stayed and recognized that this would be a continuing problem in developing and retaining human resources. At the close of the meeting, Ben Afra noted that the head of STEG's nuclear power project, Mustapha Fekih Ali, was the appropriate point of contact for follow-up discussions. -------------- COMMENT -------------- ¶17. (SBU) Though Tunisia is in the very early days of establishing a nuclear program, it is clearly serious in the wake of its 2006 decision and subsequently looking for a diverse supply of international support and assistance. During Ambassador Wolcott's visit, the Tunisians expressed a clear interest in civil nuclear cooperation with the United States. They also made clear their stated intentions to adhere to international standards on safety and security and to lay the necessary groundwork (such as thorough nuclear legislation, a proper regulatory framework, and sufficient human resources) to responsibly deploy nuclear power. It remains to be seen how quickly these elements can be developed. ¶18. (SBU) The delegation's visit reemphasized that the GOT remains strongly interested in US cooperation on science and technology. As is usual GOT procedure, meetings were only granted at the last minute. In this case, positively, four substantive meetings were arranged, perhaps facilitated in part by the groundwork laid during the meeting between Amb. Wolcott and Minister Bououni in Vienna in October. Throughout the visit, the Tunisians exhibited great interest in exploring options for civil nuclear cooperation with the United States. Overall, the delegation's visit was a success, but Post recommends robust follow-up to ensure that no momentum is lost. ¶19. (U) Ambassador Wolcott and her delegation cleared this cable. Please visit Embassy Tunis' Classified Website at: http://www.state.sgov.gov/p/nea/tunis/index.c fm Godec