US embassy cable - 03ROME5687

UNCLAS  ROME 005687 
 
SIPDIS 
 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: MCAP, MARR, MOPS, PGOV, PREL, IT, NATO 
SUBJECT: ITALIAN CHIEF OF DEFENSE ON MILITARY TRANSFORMATION 
 
REF: IIR 6 850 0077 04 
 
1.  (U) Summary.  CHOD Moscha Moschini told an audience of 
high-level military officials that Italy's armed forces must 
focus on neutralizing the threat from non-state actors and 
contribute to international peace and security.  Procurement 
policy should be calibrated to equip them to meet these 
objectives.  NATO is the touchstone of Italy's military 
transformation.  The NATO Response Force and Transformational 
Command will guide Italy's efforts to enhance its military 
capabilities, according to Mosca Moschini.  At the same time, 
he believes the new European Armaments Agency (EAA) can help 
the EU build up its military capabilities and contribute to 
strengthening NATO's European pillar.  Italy is making good 
progress toward military transformation but defense spending 
contraints will continue to impede more rapid progress 
through 2004.  End Summary. 
 
2.  (U) Chief of the Italian General Staff (CHOD) Rolando 
Mosca Moschini recently outlined his views on defense 
modernization and transformation in remarks delivered at 
Italy's Defense Academy.  Mosca Moschini, who laced his 
comments with repeated references to the unfavorable 
budgetary situation faced by the armed forces, began by 
describing what in his view are the three key elements of a 
modern military force: jointness, the ability to operate in a 
multinational context, and interdisciplinary expertise in 
working with civilian personnel and para-military security 
forces. 
 
Italy's National Military Priorities 
------------------------------------ 
 
3.  (U) Mosca Moschini said Italy's operational capabilities 
should be focused on addressing two interrelated security 
objectives.  On a tactical level, Italy's armed forces must 
be able to neutralize the security threat from adversaries, 
which under current conditions are predominately non-state 
actors.  From a long-term strategic perspective, Italy should 
be in a position to enhance international security, taking 
into account threats from WMD proliferation, transnational 
criminal organizations, and international terrorist groups. 
Mosca Moschini argued that only by implementing a procurement 
policy in keeping with these two interlocking challenges 
could Italy accrue the right mix of capabilities to meet 
current and future threats.  Following this approach will 
help ensure that the procurement system engenders the most 
bang for the buck, he suggested. 
 
4.  (U) Mosca Moschini said his aim is to pursue the maximum 
level of military harmonization with Italy's allies, and 
organize the armed forces around a standardized model that 
will allow Italy to conduct as a lead nation a limited-scale 
crisis response operation. Given Italy's financial 
limitations, military procurement must be focused on 
fulfilling the country's current operational requirements. 
These include: development of strategic reconnaissance 
dual-use satellites, interoperable C4I capabilities, 
air-to-air missiles, and theater missile defense systems. 
Italy is focused on acquiring land- and sea-based air defense 
missiles, the Horizon Frigate for air defense, a new aircraft 
carrier, the Eurofighter, and, potentially, JSF.  It also is 
intent on strengthening air lift and refueling capabilities, 
increasing tactical mobility and combat support, and 
substituting the existing naval escort squadron with a new 
multi-role frigate.   Mosca Moschini claimed that 
notwithstanding Italy's efforts to modernize its armed 
forces, the unfavorable budgetary situation has forced a cut 
back in several noteworthy programs. 
 
NATO is the Touchstone of Transformation 
---------------------------------------- 
 
5.  (U) Italy's CHOD praised the Prague Capabilities 
Commitment initiative, claiming Italy's defense programs were 
in line with the PCC, and lauded the utility of NATO's High 
Readiness Forces (Comment: Mosca Moschini's appreciation for 
the HRF concept is not surprising given that Italy has a Land 
Component Command headquarters at Solbiate Olona near Milano 
and in July 2005 will stand up a Maritime Force Command 
 
headquarters.  End Comment).  He suggested that agreement to 
stand up a NATO Response Force (NRF) was arguably an even 
more important development.  Indeed, the NRF, NATO's 
Transformational Commmand, and a transatlantic defense 
industrial sector able to meet the operational needs of a 
transformed Alliance are the key elements contributing to its 
evolution, Moscha Moschini argued.  Italy's key reference 
point for procurement policy is the NRF.  At the same time, 
Italy's pursuit of long-term structural capacities should 
mesh with reforms championed by the Transformational Command. 
 
 
ESDP a Spur to Improved Capabilities 
------------------------------------ 
 
6.  (U) Turning to EU defense matters, Mosca Moschini 
suggested that, as the Berlin-plus mechanism is refined, the 
Headline Goal will move closer to realization, although the 
EU in his estimation is still far from being able to produce 
an adequate and autonomous capacity for military 
intervention.  He stressed that the EU Rapid Reaction Force 
(RRF) should not differentiate itself from the NRF.  If the 
NRF is the best model, Mosca Moschini reasoned, the RRF 
should try to emulate it.  He thought it would be relatively 
easy to achieve EU-NATO cooperation within the 
Transformational Command. 
 
7.  (U) Harking back to the European Capability Action Plan 
(ECAP) created at Helsinki to help EU member states advance 
their operational capabilities, Mosca Moschini drew a 
parallel between the ECAP and the new European Armaments 
Agency (EAA).  He said that EU leaders had agreed the Agency 
would operate on the basis of political guidance received 
from member state defense ministers.  Its purpose will be to 
accelerate the development of the EU's military capabilities 
by promoting multilateral collaboration on strengthening 
Europe's technological and industrial base, and helping to 
create a European armaments market that is competitive 
globally.  It will also have a role in coordinating and 
promoting applied research to boost the European defense 
sector.  Mosca Moschini surmised that processes set in motion 
by the creation of the EAA could eventually lead to an 
historical advance for Europe. 
 
8.  (U) According to Mosca Moschini, the key to building up a 
European defense identity will not be found in agreeing on 
convergence criteria, which are important but not fundamental 
in his estimation. The problem of developing greater cost 
efficient capacity and setting acquisition priorities has to 
be achieved via the synergistic relationship among the NRF, 
NATO's Transformational Command, and a European industrial 
pole operating in favor of the Alliance.  Therefore, Mosca 
Moschini concluded, three core elements are necessary for 
building up the European pillar of NATO: the right 
convergence criteria, a robust instrument for the definition 
and prioritizing of procurement needs, and the political will 
to spend more on defense.  He hoped that the EU could be a 
driver contributing to the realization of each. 
 
9. (SBU) Comment.  Moscha Moschini's remarks reflect his 
commitment, and that of DefMin Martino (septel), to building 
a multi-role, rapidly deployable, and interoperable military 
force.  Our upcoming burdensharing sharing report (septel) 
will demonstrate that Italy is making good progress toward 
this goal.  Nevertheless, the CHOD's lament about resource 
shortfalls is true--spending on hard defense assets will 
again hover just above one percent next year (septel)--and is 
impacting the pace of military transformation.  When Mosca 
Moschini takes over the EU's Military Committee in April 
2004, his transatlantic orientation should make him a strong 
advocate for the Berlin-Plus method while Italy's persistent 
budgetary constraints will help ensure he remains a critic of 
duplication in the defense arena.  End Comment. 
 
SEMBLER 
 
 
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 2003ROME05687 - Classification: UNCLASSIFIED