US embassy cable - 05BAGHDAD2952

C O N F I D E N T I A L SECTION 01 OF 02 BAGHDAD 002952 
 
SIPDIS 
 
E.O. 12958: DECL: 07/13/2015 
TAGS: PREL, PGOV, ECON, EPET, KDEM, IZ, Elections 
SUBJECT: FM ZEBARI AND CHARGE DISCUSS ELECTORAL DISTRICTS, 
SHARING RESOURCES, AND KIRKUK 
 
Classified By: Charge D' Affaires David M. Satterfield for reasons 1.4 
(b) and (d) 
 
1. (C) Summary.  Foreign Minister Zebari told Charge 
Satterfield on July 11 that Kurdish leaders favor a single 
national electoral district, but he does not think this 
position is unmovable.  Charge emphasized that the USG favors 
an outcome in which natural resources belong to the national 
government, as outlined in the TAL.  For the USG to spend 
money on Kirkuk, Charge stressed that the Kirkuk Provincial 
Council must be seated first.  Coupled with Article 58 
discussions within the constitutional debate, Charge outlined 
three immediate steps: agreement to a seat for an Arab chosen 
by Arabs, progress on the Iraq Property Claims Commission, 
and movement on the Kirkuk Foundation.  Zebari urged Charge 
to meet with Barzani and Talabani on the Kirkuk issue and 
offered to arrange the meeting.  Charge told Zebari that we 
would continue to work with the Sunnis and encourage the 
insurgency to talk to Iraq and the Coalition about laying 
down their arms.  Following the recent attacks on the 
diplomatic envoys, Zebari informed Charge that he and 
Interior Minister Jabr had offered security assistance to 
foreign missions.  End Summary. 
 
Districts, Resources, and Kirkuk 
-------------------------------- 
 
2. (C) Foreign Minister Zebari told Charge Satterfield on 
July 11 that he belongs to a small group whose aim is to 
encourage progress on the constitution.  Drawn from "the two 
parliamentary groups", this small group includes Vice 
President Mahdi, Deputy Prime Minister Shaways, Planning 
Minister Barham Saleh, Deputy Head of the Constitutional 
Committee Fuad Maasum, and TNA Security and Defense Chairman 
Maliki.  Zebari said that the group's goal is to facilitate 
and accelerate discussions on federalism, the status of 
Kirkuk, the role of religion, the structure of the state, 
allocation of natural resources, and other contentious 
issues.  He admitted that no Sunnis belong to this group. 
 
3. (C) Charge asked whether the group had taken any critical 
positions, pointing out that a "fait accompli" without Sunni 
participation would not be positive.  After attending only 
one group meeting since his return from a long trip abroad, 
Zebari was unsure.  However, he discussed electoral 
districts, resource sharing, and Kirkuk from a Kurdish 
perspective. 
 
- ELECTORAL DISTRICTS. Zebari said that Kurdish leadership 
favors a single national electoral district because Iraq is 
still in a state of transition.  However, he admitted that he 
has not spoken to his leadership concerning electorl issue 
since his return to Baghdad.  Charge suggested that Sistani's 
preference for electoral districts by provinces had merit. 
If consensus on the number of seats for each province is 
reached, Charge explained that proportional representation 
with provincial districts would encourage Sunnis, promote 
local representation, and appeal to confessional groups. 
Zebari opined that the electoral district issue is not an 
"ideological problem" and would not lead to a "veto" from his 
leadership. 
 
- RESOURCE SHARING. Charge emphasized that the USG favors an 
outcome in which natural resources belong to the national 
government, as the TAL stipulates.  If natural resources are 
split among regions, Charge warned, it would be difficult for 
Iraq to conclude economic treaties, and existing IMF 
agreements would be invalidated.  Zebari replied that there 
are many modalities to resource sharing, but the key issue is 
management.  Charge asserted that the key issue for the USG 
is ownership -- ownership of resources by all of one country. 
 As an example, Charge said that making clear Kirkuk oil 
belongs to the nation would help solve the Kirkuk issue. 
 
- KIRKUK. Zebari said that both KDP and PUK will not allow a 
further postponement to the resolution of this issue.  Charge 
inquired as to the accuracy of reports that the Government 
has allocated USD 55 million to Kirkuk.  Zebari was 
uncertain, but opined that the perception that the Government 
is moving on this issue is important.  Charge told Zebari 
that he would travel to Kirkuk and Sulaymania to meet with 
Barzani to promote the need to work on a process to address 
the Kirkuk issue.  We have the money to spend on Kirkuk, 
Charge explained, but the Provincial Council must be seated 
first.  Coupled with Article 58 discussion within the 
constitutional debate, Charge stressed that three steps are 
required to move things forward: seats for Arabs chosen by 
Arabs - similar to the Turkmen arrangement - and progress on 
both the Iraq Property Claims Commission and the Kirkuk 
Foundation.  On the Kirkuk issue, Zebari advised Charge to 
meet with Barzani and Talabani together, offering to arrange 
such a meeting. 
 
Yes To Sunni Engagement 
----------------------- 
 
4. (C) Zebari voiced concern that an all-out outreach to 
Sunnis could come at the cost of existing alliances.  Charge 
assured that this is not the case, but stressed that we want 
the insurgency to end.  He said that the USG will continue to 
work with the Sunnis on constructive engagement.  If the 
insurgency wants to talk to Iraq and the Coalition about 
laying down its arms, Charge said, we will encourage it "with 
you at the table." 
 
Securing Foreign Missions 
------------------------- 
 
5. (C) Zebari informed Charge that he and Interior Minister 
Jabr had met July 11 with chiefs of foreign missions in Iraq 
and assured them that the Iraqi Government wants to offer 
security assistance and asked for their cooperation.  He said 
the meeting was well received.  Unfortunately, Zebari said 
that the recent killing of the Egyptian Charge and kidnapping 
attempts on the Bahraini and Pakistani envoys hurt the 
positive momentum gained during the recent Arab League 
gathering in Yemen, where Saudi Arabia, Jordan, and Yemen 
committed to sending Ambassadors to Iraq.  Zebari agreed with 
Charge that encouraging missions, especially from Arab 
countries, to publicly affirm their commitment to Iraq 
despite recent attacks, would be useful in countering the 
insurgency. 
 
6. (U) REO HILLAH, REO BASRAH, REO MOSUL, and REO 
KIRKUK, minimize considered. 
Satterfield