VZCZCXYZ0000
RR RUEHWEB
DE RUEHBU #0518/01 0752024
ZNR UUUUU ZZH
R 162024Z MAR 07
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC 7559
INFO RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUCPDOC/USDOC WASHINGTON DC
RUEHC/DEPT OF LABOR WASHINGTON DC
RHMFIUU/HQ USSOUTHCOM MIAMI FL
RHMCSUU/FAA NATIONAL HQ WASHINGTON DC//AWH-10//
RHMCSUU/FAA MIAMI SO IFO23 MIAMI FL
RHMCSUU/FAA MIAMI ARTCC MIAMI FL
RUEHAC/AMEMBASSY ASUNCION 6016
RUEHMN/AMEMBASSY MONTEVIDEO 6278
RUEHSG/AMEMBASSY SANTIAGO 0255
RUEHBR/AMEMBASSY BRASILIA 5871
RUEHSG/AMEMBASSY SANTIAGO 0256
RUEHLP/AMEMBASSY LA PAZ MAR MONTREAL 0016
UNCLAS BUENOS AIRES 000518
SIPDIS
SIPDIS
SENSITIVE
WHA FOR WHA/BSC AND WHA/EPSC
E FOR THOMAS PIERCE
PASS NSC FOR JOSE CARDENAS
USDOC FOR 4322/ITA/ALFORD
US SOUTHCOM FOR POLAD
STATE FOR TOM ENGLE, JOEL REIFMAN AND JEFF HORWITZ
TRANSPORTATION FOR BRIAN HEDBERG
FAA FOR CECILIA CAPESTANY, KRISTA BERQUIST
FAA MIAMI FOR MAYTE ASHBY
FOR USMISSION TO ICAO
E.O. 12958: N/A
TAGS: EAIR ECON AR
SUBJECT: GOVERNMENT OF ARGENTINA CREATES NEW CIVIL AVIATION
AUTHORITY; NO IMMEDIATE CHANGES TO ENSUE
1. (SBU) SUMMARY: Last night, President Kirchner, in a dramatic
gesture, announced his signing of a decree creating a new National
Civil Aviation Administration (ANAC), which will eventually take
civil aviation control from the Ministry of Defense to the Ministry
of Planning's Secretary of Transportation. Despite the fanfare, any
transfer of control will take months or years and there will be
no/no immediate change to Argentina's current civil aviation
operations or structure. The GOA recently signed an agreement with
ICAO for ICAO to provide assistance in this transfer, but this
agreement in no way precludes the GOA from seeking FAA guidance in
this transition. In light of current high-profile problems with
malfunctioning Buenos Aires radar systems that have resulted in
major delays and threats of a pilots strike, many observers see the
President's action as largely a political gesture. END SUMMARY.
2. (SBU) On March 15, the President announced the creation of a
National Civil Aviation Administration (ANAC) in a high-profile late
night ceremony attended by senior cabinet officials and extensively
covered by the media. According to Embassy contacts, this
announcement is actually just the start of a transfer process that
will take "months or years." Another agency, the Executive Transfer
Unit, or UET, was also created, whose function is to handle the
regulatory details of this transfer process. Many very complex and
contentious technical, regulatory, and labor-related issues are
still to be completely worked out. Not the least sensitive issue is
what will be the status of some 6000 employees in the current
civilian aviation organization, the Air Regions Command, under the
Air Force, of which about 80% are military. GOA officials have
admitted in private that there is no clear idea of where the
employees of any new civilian organization will come from, whether
they will be hired from the military, or will there be new recruits.
Issues related to salaries, retirement and worker rights are also
completely unknown. In addition, there is currently no implementing
legislation for this new planned organization, nor have any budget
monies been allocated for its start-up.
3. (SBU) On March 15, Secretary Jaime previewed this imminent
announcement of a transfer from military to civilian control to Econ
Counselor and CivAir Officer, and also emphasized how complex and
difficult this process would be. Jamie was at pains to emphasize
that this transition would be done properly and methodically, and
the GOA would take its time. (Note: Jaime also gave full support to
the US-GOA liberalization discussions to be held next week, whose
GOA delegation will be headed by his subordinate, Under Secretary
for Commercial Air Transport, Ricardo Cirielli. End note)
4. (SBU) On March 14, Emboff and visiting FAA regional
representative met with GOA's civil aviation commander, General Jose
Alvarez (please protect), of the Air Regions Command. He frankly
stated that his organization was not being consulted in this planned
transfer from military to civilian control of aviation. (Note: The
announcement one day later of this transition illustrated his
point.) Alvarez privately voiced his concern that the transition
could be difficult, that it should not be politicized, and that only
qualified personnel should work for the new organization. He was
concerned that the GOA might make an "abrupt" and "clumsy"
transition, and possibly hire unqualified and politically-connected
people. He expressed particular concern about how air traffic
controllers, currently prohibited from striking while under military
authority, will be managed in a new organization under civilian
control.
5. (SBU) According to Embassy contacts, the GOA Ministry of Defense
recently signed an agreement with the International Civil Aviation
Organization (ICAO) for the latter to provide general guidance,
technical cooperation and consultation in the GOA's transition from
military to civilian control of aviation. Embassy contacts expect
that, perhaps in a few weeks or months, an ICAO delegation will come
to Buenos Aires to begin their formal consultations. The same
Embassy contact told Emboff explicitly that this GOA-ICAO agreement
would not/not preclude the GOA from also seeking advice from the FAA
on this delicate transition.
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Comment
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6. (SBU) At this time, this announcement of the transfer of aviation
to civilian control appears to be a political gesture. Observers
speculate that its timing was likely related to the ongoing woes at
the two major airports in Buenos Aires (Ezeiza and Aeroparque) due
to problems with malfunctioning radar systems that have resulted in
major delays and threats of a pilots strike. (Note: There are
unconfirmed reports that the GOA will soon purchase two radars to
ameliorate this problem. End note) In this election year
(presidential, provincial and Buenos Aires), this move could be
calculated to demonstrate that the GOA is taking action to address
these issues. Finally, this government always finds it convenient
to take a swipe at the military, and the President's announcement of
this long-anticipated military to civilian control transition is
another such example. END COMMENT.
WAYNE