US embassy cable - 04FRANKFURT7332

UNCLAS SECTION 01 OF 02 FRANKFURT 007332 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV, ECON, PINR, GM 
SUBJECT: Hesse Social Democrats Weakened by Infighting as 
Internal Opposition to Agenda 2010 Grows 
 
 
Sensitive but unclassified  not for internet distribution 
 
REFTEL: A) BERLIN 2737 B) FRANKFURT 4560 
 
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SUMMARY 
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1.  (SBU) Torn by increasing internal opposition to Agenda 
2010 reforms and plagued by declining membership, Hesse 
Social Democrats have been unable to serve as an effective 
foil to the Christian Democrat (CDU) government of Minister- 
President Roland Koch.  Smaller parties like the Free 
Democrats (FDP) and Greens have assumed de facto the 
opposition role.  A failed attempt last month to corral 
left-wing elements of the party threatens to push the SPD 
further left and damage its viability as an alternative to 
Koch and the CDU.  END SUMMARY. 
 
 
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Rebellious Hesse Social Democrats Draw Attention From Berlin 
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2.  (SBU) Hesse Social Democrats face continued debate over 
the ideological direction the party will take to oppose 
Minister-President Koch in 2008 elections.  Support within 
the party is split between left-leaning Hesse SPD leader 
Andrea Ypsilanti (a 2004 ConGen Frankfurt IV) and centrist 
Landtag caucus leader Juergen Walter.  The battleground for 
this struggle has been the traditionally left-wing district 
of South Hesse (the Hesse SPD is organized in two districts 
with a weak state office).  A July convention exposed the 
rift within the party as Hesse SPD Bundestag member Nina 
Hauer came from Berlin to support Walter's proposal to 
eliminate the SPD's two district authorities and consolidate 
power within the state office.  After a heated debate, 
delegates defeated the initiative.  Many in attendance 
rejected Walter's call for reform and instead interpreted 
the move (and centrist Hauer's attendance) as a power play 
against the leftist elements of the party.  One delegate 
commented on the failure of the maneuver by noting "if 
Berlin has decided to send a proconsul to quiet down a 
rebellious SPD district, this is a powerful response." 
 
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Hesse SPD Critics of Agenda 2010 Oppose Party Reform 
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3.  (SBU) In their conversations with consulate 
representatives, Social Democrat insiders echoed the 
observation that Walter's call for reform stems from a 
desire to solidify his power base within the party, noting 
that party reform itself is not the real issue.  Even 
supporters of the present structure admit that it hinders 
the SPD's ability to campaign effectively.  However, they 
claim it is inappropriate to start discussing organizational 
reform while the party is out of the ruling coalition. 
Furthermore, many party followers identify increasingly with 
the south Hesse wing's condemnation of Agenda 2010 and feel 
that the Hesse SPD platform should reflect this stance  an 
unlikely proposition under the mooted reorganization. 
 
4.  (SBU) The party's internal strife has weakened the 
entire Hesse opposition.  While Greens and FDP provide 
frequent and public criticism of the CDU administration, the 
infrequent SPD responses are often late.  Hesse papers 
instead often point to Greens caucus chief Tarek Al Wazir as 
the "real" opposition leader.  Although Walter is a strong 
speaker who can hold his own in parliamentary debate with 
Koch, divisions within the party prevent him from being 
truly effective.  Financial constraints triggered by 
decreasing membership (the South Hesse district has lost 
more than twenty-five percent of its members since Koch took 
power in 1999) also limit the party's reach. 
 
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COMMENT 
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5.  (SBU) Contacts tell Pol/Econ representatives that Walter 
and Hauer's political futures could be in danger as a result 
of their failed initiative.  Party stalwarts have become 
increasingly uncomfortable with the centrist wing of the SPD 
in the wake of public fallout from Schroeder's Agenda 2010 
reforms, particularly Hartz IV (reftels).  Hesse SPD caucus 
Social Affairs spokesman Stefan Schaefer-Guembel tells us 
the SPD will need to more openly address the "impoverishment 
of wide population groups" after Hartz IV goes into effect. 
Guembel's opinion reflects the genuine crisis of conscience 
many in the party are having about the centrist direction of 
the national SPD and Schroeder's program of reform. 
Ultimately, the party's prospects will depend on state chair 
Ypsilanti's ability to unify a rank-and-file increasingly 
unhappy with the Agenda 2010 process.  END COMMENT. 
 
PASI