ZAGREB ACTIVITY REPORT - AUGUST 15

UNCLAS ZAGREB 000601 SENSITIVE SIPDIS C O R R E C T E D COPY CAPTION FOR EUR/SCE, EUR/PPD, EUR/RPM AND EUR/ERA OSD FOR POPOVICH E.O. 12958: N/A TAGS: PREL PGOV ECON ELTN PHUM MARR MASS HR SUBJECT: ZAGREB ACTIVITY REPORT - AUGUST 15 ¶1. (SBU) CROATIA MOVES AHEAD WITH GLOBAL PEACE OPERATIONS INITIATIVE: The Croatian Ministry of Foreign Affairs (MFA) confirmed this week Croatia's willingness to accept the terms and conditions for the Global Peace Operations Initiative (GPOI). This will allow the GOC to move ahead on receiving up to $1,000,000 in articles and services in FY08 to improve peacekeeping capabilities for its peacekeeping missions around the world, including ISAF. (PD'Amico) ¶2. (SBU) UNHCR REPORTS THAT DESTRUCTION OF SERB HOUSES EXAGGERATED IN PRESS: According to the UNHCR, recent press reports have exaggerated accounts of the destruction of recently renovated Croatian-Serb houses in the Zadar region. While some minimal vandalism has occurred, the UNHCR reported that all of the vandalized houses were empty and located in isolated areas; moreover it was unlikely that police could have done any more to protect them. The Prime Minister's office subsequently condemned the vandalism and requested a police investigation. According to the UNHCR, this story might have been generated to prod government officials to visit the areas and discuss issues regarding returning refugees. (CZimmer) ¶3. (U) GOC REFUSES SERBIA'S REQUEST FOR MORE TRANSPORT LICENSES TO PUSH RESOLUTION OF DISPUTE: A spokesperson at the Croatian Ministry of Transport (MoT) confirmed that Croatia has, for the time being, refused a request from Serbia for 12,000 additional transport licenses (beyond its yearly quota of 45,000) in order to push the resolution of a preexisting dispute. The press reports that in response, Serbia will ban Croatian trucks from transporting goods in Serbia, effective August 15, although the MoT has received no official notification word of this action from the GOS. The dispute originated in a disagreement between Bora Kekic, a Serbian transport company, and Koncar, a major Croatian energy and transport company over the transport of Koncar transformers to ElektroMreza Serbia. The Serbian Ministry of Infrastructure is trying to resolve the issue but until the transformers can be transported, the Croatian ministry will not approve the additional licenses. (SLitke) ¶4. (U) CROATIAN MEDIA ANALYSIS OF THE GEORGIA CRISIS: The Croatian MFA issued a statement on August 10 expressing "deep concern over the recent armed conflicts and the deterioration of the situation in Georgia's regions of South Ossetia and Abkhazia" and joined the EU statement on the issue. Some Croatian media have criticized the GOC for being slow to take a stand and explain its position on the conflict. In an August 13 radio interview, President Mesic said he believed Croatia "should show restraint" and added that the facts must first be determined before Croatia takes its final position. Additionally, Croatian web news portals are reporting on the arrival of U.S. humanitarian assistance. (KWetzel) Bradtke