SWEDISH RESPONSE: IAEA NUCLEAR FUEL BANK

UNCLAS STOCKHOLM 000525 SENSITIVE SIPDIS E.O. 12958: N/A TAGS: KNNP ENRG IAEA EU SW SUBJECT: SWEDISH RESPONSE: IAEA NUCLEAR FUEL BANK CONSULTATIONS WITH DONORS REF: STATE 83455 ¶1. (SBU) Deputy Economic Counselor shared reftel points regarding IAEA nuclear fuel bank with Asa Gustafsson, Deputy Director, Department for Disarmament and Non-Proliferation at the Swedish Ministry for Foreign Affairs on August 20. Gustafsson commented that Sweden had mentioned the fuel bank project to the IAEA, but had not discussed it in detail. She stated that Sweden does not expect much discussion about the fuel bank project at the September Board of Governors meeting as members are waiting for the UK to submit a related proposal at the September meeting. ¶2. (SBU) Gustafsson said that Sweden hopes to hold bilateral and EU-troika meetings with non-aligned members to lessen resistance to the project, adding that some members believe that there will be no movement on this issue until the full Non-Proliferation Treaty conference in 2010. Gustafsson told post that Sweden is consulting with the IAEA on a written response that focuses on the 16-17 points presented by the non-aligned members, but is not sure whether they will circulate or publish this paper. She noted that the IAEA has stated that it is not certain that it has the mandate to publish a paper, but that Sweden has "made it clear" to the IAEA that it must take a position on this issue. BARZUN