Identifier
Created
Classification
Origin
09UNVIEVIENNA80
2009-02-25 13:22:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
UNVIE
Cable title:
REQUEST FOR GUIDANCE - PROGRAM SUPPORT COSTS AT
how-toVZCZCXYZ0010 OO RUEHWEB DE RUEHUNV #0080/01 0561322 ZNR UUUUU ZZH O 251322Z FEB 09 FM USMISSION UNVIE VIENNA TO RUEHC/SECSTATE WASHDC IMMEDIATE 9051 INFO RUEHXX/GENEVA IO MISSIONS COLLECTIVE PRIORITY RUEHII/VIENNA IAEA POSTS COLLECTIVE PRIORITY RUEHRO/AMEMBASSY ROME PRIORITY 0423 RHEBAAA/DOE WASHDC PRIORITY RUEHFR/USMISSION UNESCO PARIS PRIORITY RUCNDT/USMISSION USUN NEW YORK PRIORITY 1507
UNCLAS UNVIE VIENNA 000080
SENSITIVE
SIPDIS
FOR ISN/MNSA, IO/T; DOE FOR NA-24, NA-25, NA-21
E.O. 12958: N/A
TAGS: IAEA OTRA KNNP TRGY AORC UN PREL AS CA
SUBJECT: REQUEST FOR GUIDANCE - PROGRAM SUPPORT COSTS AT
UPCOMING BOARD MEETINGS
REF: UNVIE 27
UNCLAS UNVIE VIENNA 000080
SENSITIVE
SIPDIS
FOR ISN/MNSA, IO/T; DOE FOR NA-24, NA-25, NA-21
E.O. 12958: N/A
TAGS: IAEA OTRA KNNP TRGY AORC UN PREL AS CA
SUBJECT: REQUEST FOR GUIDANCE - PROGRAM SUPPORT COSTS AT
UPCOMING BOARD MEETINGS
REF: UNVIE 27
1. (SBU) This is a guidance request. Per reftel, the
simmering issue of Program Support Costs (PSCs) may come to
the fore sooner rather than later. A Canadian contribution
of nearly 4 million USD for the Nuclear Security Fund is on
hold pending release of an official PSC policy, and there is
some risk that Director General ElBaradei will pass the
contribution to the March or June Board of Governors meetings
for decision. Meanwhile, DDG Waller's promised release of a
"Secretariat Directive" on PSCs has not been forthcoming and
is rumored to be languishing in the IAEA's front office.
2. (SBU) At a meeting of the Geneva Group on February 18,
members agreed it was time to define the measures needed for
achieving clarity on the PSC issue and transmit them to the
Secretariat. Members agreed informally on these measures and
formalized them in a non-paper for members to use as a basis
for consultation with capitals (below). While Mission pushed
to include a demand the PSCs be applied to the Technical
Cooperation Fund (TCF),Japan proved hesitant to commit to
another battle with the G-77 over this issue (reftel). In
the interest of building consensus and making progress on the
PSC policy, Mission agreed to relinquish the TCF point for
the moment. The due date of the consultation process is
March 2 (the first day of the March Board of Governors
meeting).
Request for Guidance
--------------
3. (SBU) Mission requests permission to 1) join the likely
Geneva Group consensus on the below non-paper by March 2, 2)
transmit a cover letter to the non-paper as co-chair of the
Geneva Group, and 3) rely on points from these two documents
should the issue come up in the March Board.
BEGIN COVER LETTER
Dear Mr. Waller:
I am writing you in my capacity as Co-Chair of the IAEA
Geneva Group to transmit the attached non-paper, "Measures to
Achieve a Transparent and Fair Program Support Cost Policy
(PSC).
The Geneva Group regrets past difficulties in achieving
consensus among Member States on this issue, and hopes the
attached non-paper serves as a point of departure for further
consultations. We also hope to see the spirit of these
measure enshrined in the forthcoming Secretariat Directive on
PSCs (referred to in your December 24 letter).
Our goal is to achieve a PSC policy that is acceptable to all
Member States, preferably without resorting to the Board of
Governors for a decision on individual contributions. To
that end, the Geneva Group welcomes the Secretariat's
reactions to the contents of this non-paper. We also invite
your attendance at a working-level meeting of the Geneva
Group in March to elaborate on the pending issues (at a date
convenient to you).
Sincerely,
Gregory L. Schulte
BEGIN NON-PAPER
"Measures to Achieve a Transparent and Fair Program Support
Cost Policy (PSC)"
- Publish an official PSC policy that applies to all extra
budgetary contributions.
- Establish 7 percent as the standard rate, with any
variations categorized in a "rates scale."
- Refer to PSCs as a separate line item in all extra
budgetary, transfer of funds documents. (If the rate deviates
from the standard 7 percent, the "rates scale" must be
referenced in the line item.)
- Set a flat rate for cost-free experts and junior
professionals.
SCHULTE
SENSITIVE
SIPDIS
FOR ISN/MNSA, IO/T; DOE FOR NA-24, NA-25, NA-21
E.O. 12958: N/A
TAGS: IAEA OTRA KNNP TRGY AORC UN PREL AS CA
SUBJECT: REQUEST FOR GUIDANCE - PROGRAM SUPPORT COSTS AT
UPCOMING BOARD MEETINGS
REF: UNVIE 27
1. (SBU) This is a guidance request. Per reftel, the
simmering issue of Program Support Costs (PSCs) may come to
the fore sooner rather than later. A Canadian contribution
of nearly 4 million USD for the Nuclear Security Fund is on
hold pending release of an official PSC policy, and there is
some risk that Director General ElBaradei will pass the
contribution to the March or June Board of Governors meetings
for decision. Meanwhile, DDG Waller's promised release of a
"Secretariat Directive" on PSCs has not been forthcoming and
is rumored to be languishing in the IAEA's front office.
2. (SBU) At a meeting of the Geneva Group on February 18,
members agreed it was time to define the measures needed for
achieving clarity on the PSC issue and transmit them to the
Secretariat. Members agreed informally on these measures and
formalized them in a non-paper for members to use as a basis
for consultation with capitals (below). While Mission pushed
to include a demand the PSCs be applied to the Technical
Cooperation Fund (TCF),Japan proved hesitant to commit to
another battle with the G-77 over this issue (reftel). In
the interest of building consensus and making progress on the
PSC policy, Mission agreed to relinquish the TCF point for
the moment. The due date of the consultation process is
March 2 (the first day of the March Board of Governors
meeting).
Request for Guidance
--------------
3. (SBU) Mission requests permission to 1) join the likely
Geneva Group consensus on the below non-paper by March 2, 2)
transmit a cover letter to the non-paper as co-chair of the
Geneva Group, and 3) rely on points from these two documents
should the issue come up in the March Board.
BEGIN COVER LETTER
Dear Mr. Waller:
I am writing you in my capacity as Co-Chair of the IAEA
Geneva Group to transmit the attached non-paper, "Measures to
Achieve a Transparent and Fair Program Support Cost Policy
(PSC).
The Geneva Group regrets past difficulties in achieving
consensus among Member States on this issue, and hopes the
attached non-paper serves as a point of departure for further
consultations. We also hope to see the spirit of these
measure enshrined in the forthcoming Secretariat Directive on
PSCs (referred to in your December 24 letter).
Our goal is to achieve a PSC policy that is acceptable to all
Member States, preferably without resorting to the Board of
Governors for a decision on individual contributions. To
that end, the Geneva Group welcomes the Secretariat's
reactions to the contents of this non-paper. We also invite
your attendance at a working-level meeting of the Geneva
Group in March to elaborate on the pending issues (at a date
convenient to you).
Sincerely,
Gregory L. Schulte
BEGIN NON-PAPER
"Measures to Achieve a Transparent and Fair Program Support
Cost Policy (PSC)"
- Publish an official PSC policy that applies to all extra
budgetary contributions.
- Establish 7 percent as the standard rate, with any
variations categorized in a "rates scale."
- Refer to PSCs as a separate line item in all extra
budgetary, transfer of funds documents. (If the rate deviates
from the standard 7 percent, the "rates scale" must be
referenced in the line item.)
- Set a flat rate for cost-free experts and junior
professionals.
SCHULTE