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OO RUEHAG RUEHAST RUEHDA RUEHDBU RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA
RUEHLN RUEHLZ RUEHPOD RUEHROV RUEHSR RUEHVK RUEHYG
DE RUEHRK #0099/01 0941632
ZNR UUUUU ZZH
O 041632Z APR 07
FM AMEMBASSY REYKJAVIK
TO RUEHC/SECSTATE WASHDC IMMEDIATE 3241
INFO RUEKJCS/SECDEF WASHDC IMMEDIATE
RUEHNY/AMEMBASSY OSLO IMMEDIATE 0294
RUEHNO/USMISSION USNATO IMMEDIATE 0246
RHMFISS/HQ USEUCOM VAIHINGEN GE IMMEDIATE 0051
RUEHZL/EUROPEAN POLITICAL COLLECTIVE PRIORITY
UNCLAS SECTION 01 OF 02 REYKJAVIK 000099
SIPDIS
SENSITIVE
SIPDIS
DEPT FOR P (BAME), EUR/NB (MIDDLETON, MAHER)
SECDEF FOR OSD/P (FATA, HURSCH, CLINE), OSD/RA (COSTA)
OSLO FOR DATT
E.O. 12958: N/A
TAGS: MARR PREL NATO IC
SUBJECT: Iceland: Pressing for movement on air defense radar issues
Refs: A) 06 Reykjavik 357
B) J. Hursch email 23 February 2007
C) Hursch-Stevens-Evans emails 21 March 2007
Sensitive but Unclassified -- entire text. Not for internet
distribution.
1. (SBU) Summary: The Icelandic Government is sending ever-clearer
messages that it wants visible progress in U.S.-Iceland discussions
on the NATO-owned Iceland Air Defense System (IADS) radar sites, for
which U.S. funding expires in August 2007. In a March 30 meeting
with the Ambassador, Jon Egil Egilsson, Head of the Ministry for
Foreign Affairs Defense Department, pressed hard for another round
of bilateral U.S.-Iceland talks on the system -- and specifically,
the possibility of U.S.-funded upgrades to the system -- as soon as
possible this month. Egilsson noted that February 23 talks in
Brussels between the two sides were a fruitful start, but argued
that clarity regarding U.S. intentions was necessary before Iceland
could properly approach NATO about the future of the system (i.e.,
ask NATO to foot the rest of the bill). Post is highly appreciative
of Washington efforts on this issue, which will be an extremely
sensitive point for the host government up to and beyond the August
15, 2007 date when current U.S. obligations to fund IADS expires.
End Summary.
2. (SBU) Background: In October 2006, concurrent with the closure
of Naval Air Station Keflavik, Secretary Rice and Icelandic Prime
Minister Haarde signed a "Joint Understanding" to set the future
course for U.S.-Iceland security cooperation (Ref A). Among other
things, the agreement called for the cessation of US funding for the
Iceland Air Defense System (IADS) -- a NATO-owned network of four
radar sites used for air traffic control and airspace monitoring
purposes -- effective 15 August 2007. The Joint Understanding
further expressed the intent to discuss bilaterally and with NATO
the funding and disposition of IADS and how future operations of
IADS might support NATO requirements. The first bilateral
discussion on the future of IADS took place 23 February 2007 in
Brussels between a DOD-led U.S. delegation and an Icelandic
delegation (Ref B). Head of the Ministry for Foreign Affairs
Defense Department Egilsson requested a meeting with the Ambassador
on 30 March to discuss the state of play and push for the next round
of talks as soon as possible.
3. (SBU) According to Egilsson, the critical issue for the GOI is
upgrades to the system. The U.S. initiated various upgrades to IADS
prior to the closure of NAS Keflavik, but terminated these projects
when the base closed on 30 September 2006. Egilsson stated that it
is Iceland's intention to maintain IADS and to integrate it into the
NATO Integrated Air Defense System (NATINADS) with long range
support coming from NATO. He further stated that there are certain
functions that Iceland cannot provide on its own, which are critical
to the continued operation of IADS and its interoperability with
NATO. He considers these upgrades vital to the sustainability of
IADS and requests feedback as to USG intent to complete the
upgrades. Egilsson passed three documents to the Ambassador, which
he noted were already passed to the US delegation in Brussels during
the February discussions (copies provided via email to EUR/NB and
OSD Hursch).
4. (SBU) Pressing the point, Egilsson made it clear that the GOI is
eager to continue discussions on IADS. Its concern is that the 15
August 2007 cutoff date for US funding is fast approaching and that
in the MFA's view, many issues must be resolved bilaterally with the
U.S. before GOI can adequately express its intentions to NATO.
Egilsson allowed, however, that not every issue arising from the
February discussions needs to be resolved in order to make the next
move. For example, he stated that the cryptographic upgrades are
not an issue that would impede GOI discussions with NATO. In
addition, while the GOI expressed its desire for the second round of
discussions to take place in Reykjavik (comment: a sure sign of the
pressure Egilsson is under to show visible progress on IADS ahead of
May's parliamentary elections), it did not object to another
location if required to facilitate the discussion.
5. (SBU) Comment: Egilsson is reflecting the pinch the GOI as a
whole feels to tie up loose ends on IADS, the most prominent
"legacy" issue remaining from the NASKEF closure last year. This is
particularly true given comments by the Prime Minister and Foreign
Minister in NATO fora equating continued IADS operations with the
importance of air policing for the Baltics. Post is deeply
appreciative of Washington and EUCOM efforts to bring technical and
policy expertise to bear in resolving this issue (Ref C), which is a
critical one for the GOI and a recurring theme in every conversation
REYKJAVIK 00000099 002 OF 002
Ambassador has on security affairs here.
van Voorst