Cablegate: Id Leaders Support Palacio's Reform Efforts

This record is a partial extract of the original cable. The full text of the original cable is not available.

232143Z Sep 05

UNCLAS SECTION 01 OF 02 QUITO 002191

SIPDIS

SENSITIVE

E.O. 12958: N/A
TAGS: PGOV PINR PREL EC
SUBJECT: ID LEADERS SUPPORT PALACIO'S REFORM EFFORTS

1. (SBU) Summary: In initial office calls on President of
Congress Wilfredo Lucero and Quito Mayor Paco Moncayo, the
Ambassador discussed prospects for political reform. Both
Moncayo and Lucero were emphatic that Palacio needed support
for his reform agenda, echoing the sentiments of other
leaders of the Democratic Left ("Izquierda Democratica - ID)
party, which is now openly supporting Palacio's reform
efforts. Lucero said Palacio's recent change of Minister of
Government (with ID member Oswaldo Molestina replacing former
minister Mauricio Gandara) signaled flexibility and
willingness to dialogue on the part of the Palacio
government. References to patriotic duty in a time of
national need belied the fact that party interests are being
served. End Summary.

Supporting Palacio's Reforms
----------------------------

2. (SBU) On September 20, Lucero told the Ambassador that
Molestina's appointment had greatly increased the chances for
congressional approval of proposed political reforms. Lucero
said Molestina, a former ID member of Congress and president
of the international affairs committee (1998-2003), is widely
respected in Congress and had sent a positive signal by
requesting an early meeting with him. Molestina's new
position could also help prospects for congressional
consideration of an FTA. Lucero said that in addition to
sending a congressional delegation to the Cartagena round, he
was organizing a congressional retreat October 4-6 to analyze
the status of FTA negotiations in depth.

3. (SBU) Asked by the Ambassador what reforms are likely to
be included in November/December referendum, Lucero said the
size of Congress might be reduced, as well as the length of
its sessions. More important than the quantity of
legislators was their quality, which had declined over the
years, according to Lucero, who was first elected to Congress
in 1977. He warned that the government must be cautious lest
a referendum on reforms be converted into a plebiscite on the
Palacio government's popular support.

4. (SBU) President Palacio deserved support, Lucero said,
during a time of democratic recovery from the effects of the
Gutierrez "dictatorship." The interest in doing so is not
partisan but national. Beyond reforms, it was urgent to
change the "culture of confrontation." The media was also at
fault, not playing a responsible role. He cited as an
example the media flap over his recent change of hair color.
The change was provoked by his chemotherapy treatments, which
he preferred to keep private. Media had shamelessly alleged
he had used public funds to re-style his "look," forcing him
to sue for slander.

Mayor Promotes Patriotic Duty
-----------------------------

5. (SBU) Mayor Moncayo was equally emphatic that the Palacio
government deserved support for its reform agenda. Without
specifying any particular reform (possible reforms are under
negotiation between the executive and Congress), Moncayo
implied that the ID was performing a patriotic duty by
increasing political stability. Moncayo, a popular
second-term mayor with presidential prospects, was at the
forefront of efforts to oust former president Gutierrez (and
presidents Mahuad and Bucaram before him).

6. (SBU) Moncayo was eager to share his vision of
municipal-level accomplishment with the Ambassador,
discussing USG-supported plans for a new Quito airport and
highlighting plans for other transit system improvements
(light rail, and a possible monorail project for the new
airport. He promised continued cooperation with our plans to
construct a new Embassy in a more secure location of the
city.

Comment
-------

7. (SBU) The accolades from these two prominent ID leaders
for fellow party member Molestina are not surprising, but
their exhortations of "patriotic duty" to support reform ring
a bit hollow. ID public relations "spin" trumpets the
"unprecedented political maturity" of the move. PSC leaders,
in contrast, were quick to distinguish themselves by stating
plainly they have made no such pro-government arrangement.

8. (SBU) What is becoming ever more clear is that ID support
for the Palacio government is apparently not linked to any
particular reform. That raises the question of what else the
ID might be expecting for its support. Upon shifting cabinet
seats, Molestina immediate demanded the resignation of all
sitting governors (appointed by the president here, not
elected), raising the possibilities of patronage. Others
speculate that it involves control of government positions
for electoral advantage. The PSC, which tacitly supports the
Palacio government's stability (SepTel), has shied away from
tying its own public support to a sitting government.
JEWELL

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