Identifier
Created
Classification
Origin
08WINDHOEK331
2008-10-15 16:51:00
CONFIDENTIAL
Embassy Windhoek
Cable title:  

AMIDST ACCUSATIONS, NAMIBIAN GOVERNMENT BACKS MCA

Tags:  KMCA PGOV ECON WA 
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VZCZCXRO6437
PP RUEHDU RUEHMR RUEHRN
DE RUEHWD #0331/01 2891651
ZNY CCCCC ZZH
P 151651Z OCT 08
FM AMEMBASSY WINDHOEK
TO RUEHC/SECSTATE WASHDC PRIORITY 0119
INFO RUCNSAD/SOUTHERN AFRICAN DEVELOPMENT COMMUNITY PRIORITY
RUEHLMC/MILLENNIUM CHALLENGE CORP PRIORITY
C O N F I D E N T I A L SECTION 01 OF 03 WINDHOEK 000331 

SIPDIS

AF/S

E.O. 12958: DECL: 10/15/2018
TAGS: KMCA PGOV ECON WA
SUBJECT: AMIDST ACCUSATIONS, NAMIBIAN GOVERNMENT BACKS MCA

REF: WINDHOEK 302

WINDHOEK 00000331 001.2 OF 003


Classified By: Classified By: Charge d'affaires, a.i.
Matt Harrington; reasons 1.4 (b) and (d)

- - - -
Summary
- - - -

C O N F I D E N T I A L SECTION 01 OF 03 WINDHOEK 000331

SIPDIS

AF/S

E.O. 12958: DECL: 10/15/2018
TAGS: KMCA PGOV ECON WA
SUBJECT: AMIDST ACCUSATIONS, NAMIBIAN GOVERNMENT BACKS MCA

REF: WINDHOEK 302

WINDHOEK 00000331 001.2 OF 003


Classified By: Classified By: Charge d'affaires, a.i.
Matt Harrington; reasons 1.4 (b) and (d)

- - - -
Summary
- - - -


1. (C) Beginning September 18, the SWAPO Party Youth League
(SPYL) began leveling unfounded accusations that certain
senior Namibian government officials were planning to sell
off Etosha National Park to the United States Government
using the recently signed Millennium Challenge Account (MCA)
compact. Soon after, other SWAPO affiliated groups, like the
National Union of Namibian Workers (NUNW),joined SPYL in
making dubious claims against the MCA compact. Despite
considerable press coverage, it took nearly three weeks for
senior government officials to begin refuting the
allegations. The Prime Minister and Minister of Health have
indicated to Charge that the Government remains committed to
ensuring Parliament ratifies the Compact, while both
acknowledged that the SPYL and other political opportunists
have generated considerable confusion over the MCA-Namibia
program. End Summary.

- - - - - -
The Charges
- - - - - -


2. (C) On September 18, SPYL Secretary for Economic Affairs
Viekko Nekundi accused Minister of Works and Transport Helmut
Angula and Minister of Youth and Culture Willem Konjore of
planning to use the MCA compact to sell Etosha National Park
"to the Americans." Nekundi called on both ministers to
resign. (Note: During Namibia's two-year-long MCA compact
negotiations, Angula was the government's lead negotiator as
Director General of the Namibian Planning Commission (NPC),
while Kanjore was Minister of Environment and Tourism.
Within days, the SWAPO-affiliated National Union of Namibian
Workers (NUNW) joined the SPYL in its charges against Angula,
Konjore, and MCC.


3. (C) Early on the accusations against MCC included few
details beyond the unsubstantiated claim that the two
ministers wished to "auction off some of (Namibia's) national
assets." As the charges became more specific, the press
revealed that MCA's critics had received a leaked draft of
the MCA Program Implementation Agreement (PIA) that is

currently under negotiation. The critics distorted language
in the Compact and the draft PIA to support their claim that
the USG would purchase Namibia's "natural treasures." The
critics focused on the Compact's language exempting MCC from
taxation and legal liability, the requirement that private
tour operators and conservancies be granted concessions
around Etosha and other parks, and the supremacy of the MCA
compact over Namibian law (except for the constitution). The
SPYL and NUNW disregarded that the provisions on granting of
concessions were consistent with GRN policies aimed at
helping poor communities and their conservancies share in the
dollars that flow into Namibia's most popular tourist
attractions.

- - - - - - - - - - - -
The Government Reaction
- - - - - - - - - - - -


4. (C) For nearly three weeks, few senior government
officials - other than Minister Angula who was largely
defending himself - openly refuted SPYL's and NUNW's
accusations. Finally, on October 8, the Director General of
the National Planning Commission, Peter Katjavivi, held a
press conference to clear the air. Katjavivi read a long
statement explaining the detailed negotiations that led to
the Compact, and underscoring that the projects included had
been identified and advocated by the Government. The
Director General asserted that there were "no hidden agendas,
no sinister plans" in the MCA program. The journalists in
attendance asked reasonable questions about the substance of
the Compact, while a contingent of SWAPO Youth League members
seemed more interested in casting aspersions on the agreement
than in clarifying their own concerns.


5. (C) While all media outlets have covered the story, the
government's New Era newspaper and National Broadcasting
Corporation have generally given more coverage to the SPYL's
accusations, without seriously questioning the SPYL's motives
or adequately checking their claims. But, on October 14,
Prime Minister Nahas Angula (brother of the accused Minister
Helmut Angula) criticized the state media's approach to the

WINDHOEK 00000331 002.2 OF 003


story. The Prime Minister told a New Era journalist "What
makes the situation worse is that government media is the one
reporting on the agreement and the U.S. government could
think that the public debate is being orchestrated by
government." He added government media was "being
mischievous and I do not know who they are trying to
embarrass."

- - - - - - - - -
The Insider View
- - - - - - - - -


6. (C) During an October 14 meeting on a separate topic with
the Charge and PEPFAR coordinator, Minister of Health ) and
SWAPO Politburo member ) Richard Kamwi raised the SPYL's
criticisms of the MCC Compact. Namibia is a democracy and
its citizens are free to express their opinions, he said, but
the SPYL are not part of government and do not represent the
views of government. He advised us that President Pohamba
would chair a Politburo meeting on October 16 with the SPYL,
and Kamwi said he planned to speak strongly in support of the
MCA compact, noting all the assistance the United States had
provided under the U.S. President's Emergency Plan For AIDS
Relief (PEPFAR). The Minister predicted that the outcome of
that meeting might be a public statement reiterating the
GRN's commitment to the Compact. He surmised that some
Ministers and MPs might oppose the Compact, but the
"majority" would support it.


7. (C) On October 15, the Charge met with Prime Minister
Angula to gauge the state of the government's commitment to
the Compact. He was accompanied by the MCC Country Director
and econoff. Angula echoed his public comments that the
negative stories in the press were "unfortunate" and that he
was "not sure of their origin." He added that the
accusations were meant to "whip up emotion" and "elevate the
profile" of certain individuals. He remarked with a smile
that Namibia is preparing for national elections in 2009.
Angula explained that he had no issue with debating the
merits of the MCC program, calling such talk "a part of
democracy." But, Angula stressed, he was angry that someone
had leaked the draft PIA document.


8. (C) The Prime Minister explained that many people see the
MCC compact as just about Etosha, but stressed that people
must understand that Etosha is just one component of a much
broader program. He argued that the controversy has
generated a lot of confusion about the MCA Compact. He added
that many parliamentarians and members of the public are
misinformed about the MCA program and that the criticisms
must be refuted in "simple and easy to understand language."
Emphasizing his point, he noted that President Pohamba had
called him with questions about how and why the Compact
superseded Namibian law. Charge praised Angula's remarks in
the interview published in that day's New Era and encouraged
him and other senior officials to continue to speak out in
favor of the Compact. Angula noted that he had given
another interview that morning to a New Era journalist and
agreed with Charge's suggestion that the MCC Director speak
with the media on background to clear up any lingering
misconceptions. The Charge shared with the Prime Minister a
copy of a two-page fact sheet providing key details of the
Compact and specifically addressing some of the criticisms
leveled at the document. The Prime Minister noted that he
would be meeting with the SWAPO parliamentary caucus the
following day to discuss the Compact, and that our fact sheet
would be very helpful background for that discussion.


9. (C) Angula noted that Parliament would begin discussion
of the Compact on October 23 and that ratification remained
likely in the coming weeks - as planned. He added, though,
that the recent controversy would mean that the PIA will
undergo much greater scrutiny. Asked whether an approved PIA
was necessary for ratification, Angula replied that
finalization of the PIA would be helpful, but not absolutely
necessary for ratification.

- - - -
Comment
- - - -


10. (C) The accusations against MCC appear related to two
primary factors: an internal struggle within the ruling SWAPO
party as well as more specific concerns by the leaders of the
state-owned Namibian Wildlife Resorts (NWR). The 2007
departure of former SWAPO heavyweight Hidipo Hamutenya to
form his own party exacerbated divisions within SWAPO, with
many hardliners (including the SPYL and NUNW leadership)
accusing Ministers Angula and Konjore of being RDP
sympathizers.

WINDHOEK 00000331 003.2 OF 003




11. (C) Further, NUNW leaders have accused Angula and
Konjore of trying to sabotage government-owned enterprises.
Managing Director of the government-owned Namibian Wildlife
Resorts (NWR) -) and former leader in the SPYL -- Tobie
Aupindi claimed that private concessions were aimed
specifically at hurting his company, since NWR would be
required to begin paying concession fees along with its
non-government competitors. Currently, NWR enjoys a monopoly
on lodges and night time access in Etosha and other national
parks.


12. (C) It is difficult to assess how much resonance the
SPYL's public campaign has had among MPs. Both PM Angula and
Politburo member Richard Kamwi seemed convinced that a
majority of parliamentarians remain supportive of the
Compact, but they and other senior officials clearly have
some work to do in clarifying some misconceptions, both
within SWAPO and among members of the public. End Comment.
HARRINGTON