OSCE/FSC: JULY 1 PLENARY AND WGS--MONDEM LOOKS FOR

UNCLAS SECTION 01 OF 03 USOSCE 000154 SENSITIVE SIPDIS STATE FOR VCI/CCA, VCI/NRRC, EUR/RPM, EUR/PRA, EUR/CARC, SCA/CEN, SCA/RA, PM/WRA, ISN/CPI JCS FOR J-5 OSD FOR ISA (PERENYI) NSC FOR HAYES USUN FOR LEGAL, POL EUCOM FOR J-5 CENTCOM FOR J-5 UNVIE FOR AC GENEVA FOR CD E.O. 12958: N/A TAGS: PARM PREL KCFE OSCE RS XG SUBJECT: OSCE/FSC: JULY 1 PLENARY AND WGS--MONDEM LOOKS FOR FUNDING; SALW MEETING ON TRACK WITH U.S. EDITS REF: STATE 67766 ¶1. (SBU) Summary. In the July 1 FSC Security Dialogue Montenegro Demilitarization Program (MONDEM) Chief Technical Advisor Surprenant recounted the progress on its munitions demilitarization and storage projects in Montenegro. MONDEM's mandate was extended until December 2010, after which, the Government of Montenegro is expected to take over various projects. Despite the upbeat assessment, MONDEM is still short nearly 3.8 million USD in donations for its remaining projects. MONDEM's ultimate success at closure will depend on further donations, while Montenegro's prospects for securing and eliminating its remaining surplus stocks will depend on the government's ability to make good on its pledge to fund programs after 2010. ¶2. (SBU) In WG B, Russia choreographed a less than substantive exchange with Kazakhstan on Russia's naval CSBM. In WG A, pS tentatively accepted U.S. proposed edits to the draft decision on a review of the FSC's document on Small Arms and Light Weapons (SALW). The revision will remain under silence until Monday with the expectation that pS will meet early Wednesday to join consensus in WG A prior to adoption in the plenary. See request for guidance in para 13 regarding Turkey's FFT on use of digital cameras and GPS. End Summary. - - - - - - - - - - - - - - - MONDEM Looking for 3.8 Mil USD to Close out Its Program by 2010 - - - - - - - - - - - - - - - - ¶3. (SBU) The July 1 Security Dialogue featured a presentation by Mr. Pierre Surprenant, Chief Technical Advisor of the Montenegro Demilitarization Program (MONDEM),on the status of MONDEM's destruction and demilitarization projects. Surprenant noted great progress has been in Montenegro, specifically with regard to heavy weapons, where reprocessed metal from destroyed heavy tanks has netted a reinvestment into MONDEM projects of approximately 400K Euro. ¶4. (SBU) Surprenant described two additional on-going projects aimed at bringing ammunition storage facilities up to NATO standards. The first, a 1.2 million USD refurbishment of a storage facility in Tersa is fully funded and expected to be completed in the middle of next year. The second, a larger project in Brezorik, has been more problematic owing to the close proximity of the facility to housing and a hospital. MONDEM is also approximately 1.3 million USD short of the required 1.5 million USD estimated cost for the Brezorik project. ¶5. (SBU) Surprenant described MODEM's demilitarization program, which aims to establish national capacity for sustained elimination of excess ammunition and munitions components. Phase-one of the two-phased project, which is currently on-going, consists of the demilitarization of munitions and components that do not require special equipment (i.e. small arms ammunition, grenades, mines and some rocket components.) Phase-two will involve the identification of excess munitions and purchase of associated special equipment required for their demilitarization. At an estimated cost of 6.5 million USD, MONDEM has received USOSCE 00000154 002 OF 003 donations of approximately 3.7 million USD fro the project. Surprenant stated that it is essential for donors to fund the additional 2.5 million USD in order for MONDEM to issue the tender for Phase-two. ¶6. (SBU) Suprenant noted that the MONDEM's mandate was extended until December 31, 2010, at which time MONDEM would close. The government of Montenegro has committed to funding national projects at 400K Euro/year, but it is questionable whether it will be able to commit to this level of funding under current economic pressures. ¶7. (SBU) In subsequent interventions, Montenegro thanked MONDEM and donors for assisting Montenegro in eliminating its inherited 11,000 tons of excess ammunition and weapons. Denmark, speaking as the Chair of the Informal Group of Friends for Stockpile Management, asked Surprenant if, given the limited funding thus far, it would be practical to break MONDEM's demilitarization program down into more digestible sub-projects. The U.S. (Neighbour) described support the U.S. has provided to Montenegro for similar destruction projects, and asked Surprenant to comment on worrisome reports that local support for certain projects may be waning. ¶8. (SBU) Surprenant said it would be difficult to break planned projects up into sub-elements, but noted that MONDEM might be able to purchase demilitarization equipment as a stand-alone project. The funding requirement would then be reduced by an amount equal to the operational costs. Surprenant said he would submit such a plan once the equipment requirements were identified. ¶9. (SBU) Turning to the U.S. question, Surprenant acknowledged U.S. efforts and noted MONDEM's close, cooperative relationship with the U.S.'s contractors in Montenegro. The main difference between the projects, he noted, is that the U.S. is eliminating very large munitions (up to 300 KG) and is eliminating munitions by demolition, while MONDEM is currently eliminating small munitions. In addition, he said the local population near the U.S. destruction site had been exposed some time ago to an unrelated event at a civilian plant. The resulting explosion damaged houses up to five KM away and, as a result of this traumatic event, the local population is very sensitive. ¶9. (SBU) Luxembourg provided a very brief report on the recent Donor's visit to Tajikistan. The full report, which details a successful OSCE project on stockpile management and security, was distributed under FSC.DEL/132/09. - - - - - - - - - - - - - - - Russia Choreographs Discussion on Its Naval CSBM - - - - - - - - - - - - - - - ¶10. (SBU) In Working Group B, Russia promoted its Naval CSBM, noting that contrary to popular opinion, Russia is open to suggestions from other pS on how to improve it. On cue, Kazakhstan asked Russia for a clarification on Section I point 2 of the exchange on naval information*specifically the amount of water displacement for surface ships and submarines. Russia thanked Kazakhstan for its comments and promised to revise the draft accordingly. No other pS commented. USOSCE 00000154 003 OF 003 - - - - - - - - - - - - - - - Group Accepts U.S. Edits on SALW DD--DEC Expected July 8 - - - - - - - - - - - - - - - ¶11. (SBU) In Working Group A Denmark, France, Belgium, Russia, Luxemburg and Sweden offered support for the draft decision on a meeting to review the OSCE SALW document. Belarus supported the draft decision but also proposed expanding the title of Session II to Brokering "and Export" controls. Schweizer, as Chair of the informal Group of Friends, used Belarus' proposal as an opening to introduce the remaining U.S. edits, which USDel provided in advance to Germany. Schweizer proposed that the draft decision, including the aforementioned edits, be placed under an informal silence procedure until Monday, July 6. Unless silence is broken, pS will meet on Wednesday before the plenary in a special WG A session to join consensus on the draft (FSC.DD/4/09/Rev.1). The Chair, Switzerland and the U.S. (Meyer) welcomed the German proposal. Meyer delivered points per reftel regarding U.S. expectations for the meeting and U.S. intentions to provide an expert from capital. ¶12. (SBU) Germany announced on behalf of the Chair that it had received a number of edits on its proposal regarding verification activity briefings (FSC.DD/5/09). A new revision will be distributed once final comments are received, likely from Russia later this week. Further discussion on this draft is not expected until those pS that provided comments have a chance to meet informally. ¶13. (SBU) The UK announced it expects to issue a revision to its joint proposal with Russia on a Best Practice Guide for implementation of Chapter IV, "Contacts" (FSC.AIAM/8/09). Ukraine noted that issues with Ukrainian legislation prevent it from supporting Turkey's proposal on digital cameras and GPS (FSC.DEL/124/09). In response to a French intervention noting that Ukraine could provide its own GPS for use, Belarus reminded pS that its legislation not only restricts the use of GPS, but also the data produced by GPS. Belarus proposed changing the operative word in the decision from "decides" to "encourages," which would allow pS to implement the decision in accordance with national regulations. Encouraged by the discussion of edits, Turkey requested that the Chair replace Turkey's FFT on the agenda with a draft decision so that pS might begin discussing substantive edits. Mission requests guidance on FSC.DEL/124/09. Scott