Identifier
Created
Classification
Origin
09SANTIAGO579
2009-06-19 22:40:00
CONFIDENTIAL
Embassy Santiago
Cable title:  

CHILE'S PRESIDENTIAL RACE: AMBASSADOR'S

Tags:  ECON ENRG PGOV PHUM PREL SOCI CI 
pdf how-to read a cable
VZCZCXYZ0000
OO RUEHWEB

DE RUEHSG #0579/01 1702240
ZNY CCCCC ZZH
O 192240Z JUN 09
FM AMEMBASSY SANTIAGO
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5089
INFO RUCNMER/MERCOSUR COLLECTIVE IMMEDIATE
RUEHQT/AMEMBASSY QUITO IMMEDIATE 2451
RUEKJCS/SECDEF WASHDC IMMEDIATE
RHEHNSC/NSC WASHDC IMMEDIATE
RUEAIIA/CIA WASHDC IMMEDIATE
RUEATRS/DEPT OF TREASURY WASHDC IMMEDIATE
C O N F I D E N T I A L SANTIAGO 000579 

SIPDIS

E.O. 12958: DECL: 06/17/2019
TAGS: ECON ENRG PGOV PHUM PREL SOCI CI
SUBJECT: CHILE'S PRESIDENTIAL RACE: AMBASSADOR'S
CONVERSATION WITH SENATOR EDUARDO FREI

Classified By: Ambassador Paul E. Simons. Reason 1.4(b) and (d)

C O N F I D E N T I A L SANTIAGO 000579

SIPDIS

E.O. 12958: DECL: 06/17/2019
TAGS: ECON ENRG PGOV PHUM PREL SOCI CI
SUBJECT: CHILE'S PRESIDENTIAL RACE: AMBASSADOR'S
CONVERSATION WITH SENATOR EDUARDO FREI

Classified By: Ambassador Paul E. Simons. Reason 1.4(b) and (d)


1. (C) SUMMARY: Senator Eduardo Frei, Concertacion
presidential candidate, received the Ambassador at his home
June 17, hours before re-launching his campaign at a massive
rally. The Senator predicted that he would win against
Alianza candidate Sebastian Pinera in a second-round run-off.
He criticized Pinera's campaign as "right-wing" and
dismissed alternative candidate Marco Enriquez-Ominami. Frei
said that as president he would modestly expand the role of
the state in social protections, promoting labor rights,
changing the Chilean Constitution, and reforming education.
At the same time, he hailed his strong historic ties with
Chile's business community. Frei avowed that Chile must
become autonomous in energy terms, through hydro and possibly
nuclear power. He assured the Ambassador that Chile would
continue its close collaboration with the U.S. Skeptical of
regional integration, Frei suggested that the U.S. continue
working closely with Brazil, Chile, and Mexico to achieve its
objectives in the hemisphere. Frei ended the conversation by
sending his personal regards to the Secretary. End Summary.


The Campaign: Frei Will Stay the Course and Win
-------------- ---


2. (C) On June 17, Senator Frei received the Ambassador at
his home. The Ambassador told him of U.S. interest in
Chile's presidential campaign and asked for the Senator's
analysis. Frei said that his campaign has been very active
but that he maintains a "certain tranquility" about the
election's outcome. (Note: Frei demonstrated his activity
hours later speaking for 30 minutes at a late-night,
5,000-person rally to "re-launch" his campaign, surrounded by
current GOC ministers, and ex-presidents Aylwin and Lagos.
End note.)


3. (C) The Senator did not discuss recent press speculation
about the strength of his campaign (due to the continuing
lead of Alianza candidate Sebastian Pinera, and the sudden

emergence of an alternative center-left candidate in Marco
Enriquez-Ominami). The Senator did emphasize that Chile's
pre-election season is a long one and that he will continue
pursuing his platform. Frei believes that he will ultimately
win the election after a second round run-off with Pinera.
The Senator is convinced that Chileans will end up voting for
continuity, not a break with the successes of previous
Concertacion governments.


4. (C) Frei remarked that upstart candidate Marco
Enriquez-Ominami was largely a press phenomenon. Ominami
lacked substance and many of his political positions were
contradictory. Frei had recently met with mayors and city
council members in the south of the country. He had not seen
any evidence of a surge in support for Ominami, and noted
that all the traditional Concertacion political figures were
squarely backing the Frei candidacy. The Senator stressed
his campaign is the only one having a "profound" conversation
with people outside of Santiago. (Note: A highly respected
poll published June 18 reported that among registered voters,
Pinera led with 34% of the vote, Frei had 30%, and Ominami
had 14%. End note.)


5. (C) Discussing Pinera's campaign, Frei turned especially
dour. He said a Pinera presidency would take Chile in a
completely different direction. The Alianza candidate lacked
a social base, was "very elitist," and embraced risky
positions such as privatizing key state-owned enterprises.
These were all weaknesses Frei and his campaign planned to
exploit. The Senator thought the Alianza was already having
problems with its electoral base as a result of
disenchantment with Pinera inside his own coalition (mostly
from the hard-right wing). Frei cited recent polls in which
Pinera's popularity was showing a decline (Note: This was
before the poll cited in para 4. End note).

Expanding the Social Safety Net
--------------


6. (C) The Ambassador asked Frei how he would change or
expand on the policies of the Bachelet Administration if
elected. The Senator vowed that his administration would
need to reinforce and expand state protections for Chile's
citizens (especially the lower middle class). Workers must
be allowed to freely organize and bargain collectively to
stop the many abuses that happened in Chilean companies.

Frei noted that Walmart's Chilean subsidiary was an example
of a company that should allow unions. Frei was quick,
however, to cite his "very good relations" with the business
community. He noted that his campaign was receiving open
support from many businesses and that his administration
would work well with the private sector, as he did in his
first term.


7. (C) The Senator explained that Chile needed to start and
institutionalize a new social dialogue (previous dialogues
had only occurred during times of crisis). He saw a new
Constitution as essential, including the elimination of the
current binomial electoral system, which Frei said was
"destroying" Chile's democracy. Education reforms were also
critical to improving social and economic conditions in
Chile.

Energy Autonomy is the Key
--------------


8. (C) In response to the Ambassador's query about a Frei
Administration's policies on energy, the Senator said Chile
had to be "more aggressive" in pursuing an "energy autonomy."
The Senator thought the construction of the new LNG plants
was a positive development because it eliminated Chile's need
for gas from unreliable sources, such as Argentina. However,
they would not be enough for the country's future energy
needs. Frei believed hydro power was an important resource
for Chile, but the biggest issue would be how to tackle
transmission lines and their capacity. He noted nuclear
power was a possible alternative, but even if Chile decided
to start the process of acquiring nuclear energy today, it
would not be finished before 2020. Frei described
Argentina's nuclear plants as a "risk" to Chile that would
make renouncing the use of nuclear energy foolish.

Foreign Relations: Keep Working with Friends
--------------


9. (C) Frei emphasized that Chile's collaboration with the
U.S. would continue under his presidency. He thought
President Obama needed to keep relying on three key countries
to pursue its objectives in Latin America -- Brazil, Chile,
and Mexico. Frei said Venezuela was a "total disaster" and
Chavez an "absolute dictator." He believed the country
risked entering a period of civil chaos. Ecuador might soon
follow Venezuela's path and Colombia had its own problems.
Bolivia and Argentina were in critical situations and Peru
was an unknown quantity, dependent on the next presidential
elections.


10. (C) The Senator lamented that the political reality of
the hemisphere today was basically the same as the one with
which his father had dealt. He said Latin American nations
had a way of turning on one another, in part because of weak
institutions. Frei was convinced "it does not have to be
this way." Chile would work to strengthen democracy in the
region in concert with the U.S. A Frei Administration would
balance pursuit of deeper relations in Asia with hemispheric
diplomacy. In particular, Frei wanted to see increased
cooperation between Chile and Brazil.

Frei Investigation: "I Just Want the Information"
-------------- --------------


11. (C) Turning to the continuing investigation into the
cause of his father's death, Frei reiterated several times to
the Ambassador that he just wanted information from the U.S.
on the results of lab work done on his father's remains. The
Senator cited two meetings at the State Department with
(then) Ambassador Fernandez, (then) Interior Undersecretary
Harboe, and PDAS Kelly. He claimed the USG had promised to
help him get the results of the tests, but had yet to fulfill
that commitment. (Comment: It is unclear whether Frei is
unaware that the Embassy sent a diplomatic note to the MFA in
January 2009 with the results of the tests. He may have the
information, but feels that it is merely a cover for the U.S.
to sit on other valuable information. End comment.) The
Ambassador undertook to find out more about the status of the
case in Washington.


12. (C) COMMENT: Senator Frei appeared serious about the
consequences of Chile's upcoming presidential election but
relaxed about the course of his campaign and his eventual
victory (as he sees it). The cliche of being "cool, calm,
and collected," seems a perfect thumbnail sketch of Frei in

this period of Chile's electoral process. The Senator's
previous experience as president has clearly shaped his
platform and strategy. In foreign policy, a Frei
Administration would likely benefit U.S. goals in the region.
Many of Frei's positions closely mirror U.S. thinking and he
was open in his espousal of the need for continuing
collaboration. Frei ended the conversation by asking the
Ambassador to send his personal regards to the Secretary,
noting he looked forward to seeing her again. END COMMENT.
SIMONS