US embassy cable - 04THEHAGUE1352

UNCLAS THE HAGUE 001352 
 
SIPDIS 
 
PARIS ALSO FOR USOECD 
 
E.O. 12958 N/A 
TAGS: EPET, ENRG, KNNP, IR, NL, EUN 
SUBJECT: Secretary Abraham's May 23 Bilateral Meeting 
with Dutch Economics Minister Brinkhorst 
 
1.  Summary:  Energy Secretary Abraham held a May 23 
luncheon discussion with Dutch Economics Minister 
Brinkhorst on the margins of the International Energy 
Forum meeting in Amsterdam.  They agreed to explore the 
possibilities for increased U.S.-EU collaboration on 
energy technologies and that the IEA focus the bulk of 
its work on oil and gas, with possibly a new emphasis on 
promoting development of a world market for natural gas. 
The Secretary rebuffed Brinkhorst's suggestion that the 
U.S. reconsider its sanctions against Iran noting serious 
non-proliferation concerns.  The Secretary agreed that 
close cooperation between oil consumers and producers was 
useful but noted that to receive support in the long- 
term, the IEF would have to continue to deliver 
significant results.  Secretary Abraham's party did not 
clear this cable.  End Summary. 
 
Future of the International Energy Forum 
--------------------------------------------- ----- 
2.  Brinkhorst expressed appreciation for U.S. support 
(including financial) for the IEF and noted the political 
importance of having a framework for producer-consumer 
dialogue.  He thought that producer-consumer cooperation 
had helped ensure the conflict in Iraq did not result in 
a severe oil shock.  The Secretary agreed that close 
producer-consumer cooperation had kept prices from 
skyrocketing but thought that U.S. support for 
institutionalized producer-consumer dialogue through the 
IEF depends on whether the IEF can deliver significant 
results. 
 
Iran 
----- 
3.  Brinkhorst claimed that the U.S. and EU share serious 
concerns regarding the nature of the Iranian regime.  He 
thought, however, that isolating Iran would not produce 
more responsible Iranian behavior and was not warranted 
by the size of the potential Iranian threat.  Brinkhorst 
asked that the U.S. reconsider its sanctions against Iran 
claiming that their removal would support Iran's efforts 
in moving closer to the West and becoming a more robust 
partner in assuring the security of world oil supplies. 
The Secretary pointed out serious U.S. non-proliferation 
concerns with regards to Iran and declared that Iran 
cannot be allowed to develop the enrichment capability 
that would allow it to develop nuclear weapons. 
Brinkhorst reassured the Secretary that the U.S. and EU 
disagreed only on tactics. 
 
Dutch EU Presidency 
-------------------------- 
4.   The Secretary noted the upcoming (7/04-12/-4) Dutch 
EU presidency and the excellent existing transatlantic 
cooperation on energy technology, especially hydrogen. 
He said that the U.S. would like to explore whether this 
cooperation could be expanded to include additional clean 
energy technologies.  Brinkhorst enthusiastically 
supported this idea. 
 
International Energy Agency 
---------------------------------- 
5.  Brinkhorst voiced concern over the wide scope of IEA 
activities and stressed the need for more focus.  The 
Secretary stated the IEA should maintain a primary focus 
 
SIPDIS 
on oil and gas and thought the organization could be 
useful in creating an enabling environment for 
development of a world natural gas marketplace. 
Brinkhorst agreed and suggested that development of the 
world gas market might also be a subject for U.S.-EU 
discussion. 
 
SOBEL