US embassy cable - 03THEHAGUE2743

UNCLAS SECTION 01 OF 02 THE HAGUE 002743 
 
SIPDIS 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: PREL, MCAP, MARR, PGOV, NL, NATO 
SUBJECT: DUTCH DEFENSE MINISTER OUTLINES PLANS FOR 
RESTRUCTURING ARMED FORCES 
 
REF:  THE HAGUE 2693 
 
1. (U) Summary:  Defense Minister Henk Kamp outlined drastic 
plans to restructure the Dutch armed forces during the 
annual parliamentary defense budget debate on October 21-23. 
Faced with mandated average spending cuts of 380 million 
Euros a year, Kamp called for cuts in certain major 
operational capabilities and personnel to save money and to 
free up resources for substantial new investments.  Kamp 
successfully defended his program to make the armed forces 
"leaner and meaner," and Parliament has largely approved his 
plans (a formal vote is expected November 4).  The only 
concession parliament forced was a one year delay in the 
elimination of the Navy's P-3 Maritime Patrol Aircraft (MPA) 
fleet, and to provide additional justification for the 
intended procurement of Tomahawk missiles for Dutch navy 
frigates.    End summary. 
 
2. (U) Defense Minister Kamp strongly defended his plans to 
restructure the Dutch armed forces during an intense three 
daythree-day parliamentary debate from October 21-23.  He 
argued that if the Dutch armed forces were to continue to 
play a role on the world stage, parliament must accept his 
choices.  His goals are to make the armed forces "leaner and 
meaner," to create a new balance between the armed forces' 
size and resources and to improve their quality and 
deployability in crisis management operations.  Kamp wants 
to make all Dutch forces deployable - and has stressed that 
he has made a deliberate choice for expeditionary forces. 
Because of the necessity to cut spending, he added the armed 
forces could no longer perform tasks that must be considered 
marginal. 
 
Main points of restructuring plans 
---------------------------------- 
 
3. (U) In addition to seeking to keep the armed forces 
affordable and better deployable in the long term, Kamp 
seeks sufficient funding for new investments (he wants to 
raise the proportion of the defense budget devoted to 
investment from 16 to 20 percent).  To this end, operating 
costs are to be reduced, staff units scaled down and merged, 
and efficiencies improved.  Kamp is seeking to eliminate the 
separate chiefs of staff for the three main branches of the 
military.  Cuts will also be made in operational 
capabilities.  In the period 2004-2008, the number of 
frigates will be reduced from 14 to 10, tanks from 180 to 
110, Apache helicopters from 30 to 24, and F-16s from 137 to 
90.  Personnel will be downsized through elimination of 
about 12,000 positions, while at the same time about 5,000 
new positions are created for mainly young active personnel. 
Overall, the total number of personnel will have been 
reduced from well over 70,000 at present to about 65,000. 
Further, the bases at Valkenburg (2004), Seedorf (2005), 
Soesterberg (2007) and Twenthe (2007) are to be closed, 
while all P-3s MPAs are to be phased out. 
 
4. (U) The spending cuts should yield sufficient funding to 
invest in ready capabilities and sustaining participation in 
military missions over a longer period of time.  Investments 
planned include expanding the armored infantry battalions, 
procurement of a DC-10 transport aircraft, updating of the 
remaining Apache helicopters, as well as procurement of 
Tomahawk missiles for the navy's four new air defense and 
command frigates.  Further, appropriations are made to 
strengthen specific military capabilities to contribute to 
the NATO Response Force (NRF). 
 
Parliament gains delay on P-3s; questions Tomahawks 
--------------------------------------------- ------ 
 
5. (U) While largely supporting Kamp's plans, parliament 
succeeded in getting him to postpone elimination of the P-3s 
until 2005 and the related closure of their home, Valkenburg 
AB.  (Valkenburg serves as The Hague's VIP airport - some in 
parliament argued it should remain open during the Dutch EU 
Presidency in the latter half of 2004.)  Owing to skepticism 
on the part of some Members about the proposed acquisition 
of Tomahawks, Kamp was obliged to agree to provide a study 
on the future of the navy, including an explanation of the 
potential role of these systems. 
 
6. (U) Under pressure from MPs concerned about the local 
effects of closing Valkenburg AB as well as the importance 
on the counter-drug missions performed by Dutch P3s flying 
out of Curacao, Kamp agreed to keep Valkenburg AB open and 
the P-3s in the air for one more year until January 2005. 
In so doing, Kamp laid down a marker that his ultimate 
conclusion could be that there are no viable alternatives to 
phasing out the P-3s and closing Valkenburg AB.  His 
intention remains to sell them to either Germany or 
Portugal.  Kamp also rejected as too expensive and 
impractical the suggestion of permanently stationing five 
P3s at Curacao. 
 
7. (U) Leftist opposition parties expressed opposition the 
minister's plan to buy Tomahawk missiles for the Navy's new 
frigates because, according to Labor party defense spokesman 
Frans Timmermans, Tomahawks are "first strike" missiles that 
are "political tools at a high spectrum of violence" which 
should be left within NATO to only larger powers such as the 
U.S. and the UK.  Timmermans further suggested the 
Netherlands could never decide to use these missiles without 
U.S. consent because the highly classified software to use 
them remains in U.S. hands.  Thus, the Netherlands would 
make itself entirely dependent on the U.S.  Other parties 
such as the center-right Christian Democrats challenged Kamp 
to explain how the Tomahawks would add value beyond those 
capabilities already possessed by Dutch F-16s.  Kamp 
countered that the Tomahawks, with their extended range, are 
far more capable than F-16 launched munitions.  Moreover, 
Tomahawks will add considerable value to the new frigates -- 
"the new frigates cost 500 million Euros a piece and it 
would be waste of taxpayer's money if they are not armed 
with the best available weapons," said Kamp.  Further, Kamp 
stressed that the the frigates need to have a full spectrum 
of capabilities if they are to be an effective part of the 
new NATO Response Force. 
 
Comment 
------- 
 
8. (SBU) Kamp has brought new energy and visibility to the 
defense portfolio, one that has typically taken a back seat 
to more powerful cabinet ministries such as Finance and 
Foreign Affairs.  In presenting this budget he has sought to 
make the best of a bad situation -- significant mandated 
budget cuts -- using them as an opportunity to thoroughly 
reorganize the Dutch military on more deployable lines. 
While displeased at the delay in cutting the P-3 force 
(which Kamp claims will cost MOD 13 million Euro) his 
general philosophy of restructuring and reinvestment was 
accepted by parliament.  For example, his plan to trim the 
number of F-16s to increase available funding for enhancing 
the capability of the remaining aircraft was not challenged. 
Previous proposals to trim the number of Dutch F-16s have 
met with vocal parliamentary opposition.  Kamp is also 
confident that he can convince a majority in parliament of 
the utility of equipping the Dutch navy with Tomahawks. 
 
Sobel