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Cablegate: Teny Comments On Ncp-Splm Executive Committee, Aec, And

VZCZCXRO5845
PP RUEHROV
DE RUEHKH #0216/01 0431236
ZNR UUUUU ZZH
P 121236Z FEB 08
FM AMEMBASSY KHARTOUM
TO RUEHC/SECSTATE WASHDC PRIORITY 9947
INFO RUCNIAD/IGAD COLLECTIVE

UNCLAS SECTION 01 OF 02 KHARTOUM 000216

SIPDIS

DEPT FOR AF/SPG, AF/SE WILLIAMSON
DEPT PLS PASS USAID FOR AFR, AND ALSO PASS USAID

SIPDIS
SENSITIVE

E.O. 12958: N/A
TAGS: PREL PGOV EFIN ECON EAID SU
SUBJECT: TENY COMMENTS ON NCP-SPLM EXECUTIVE COMMITTEE, AEC, AND
OIL

REF: KHARTOUM 193

1. (SBU) SUMMARY: In a February 11 meeting with econoffs,
Angelina Teny, State Minister at the Ministry of Energy and Mining
and wife of GoSS Vice President Riek Machar, outlined the SPLM's
priorities for the next round of discussions at the joint NCP-SPLM
political executive committee, naming the census, elections, Darfur,
and the overall SPLM-NCP relationship as top issues. Teny also
discussed the work of the Assessment and Evaluation Committee and
the oil industry. With respect to the latter, Teny called for a
more organized system for transferring oil revenues to the south,
for more southern representation within the oil industry, and for a
fully functional National Petroleum Commission. END SUMMARY.

POLITICAL EXECUTIVE COMMITTEE
-----------------------------
2. (SBU) Teny opened the meeting stating that there are four
pressing issues facing the SPLM in the joint political executive
committee, the SPLM-NCP negotiating committee formed upon the return
of the SPLM to the Government of National Unity. (Note: Teny is one
representative of the SPLM in this committee. She stated that she
removed herself from the last round of talks as she was "exhausted"
by previous meetings. End Note.) Teny said that SPLM
representatives would discuss the census in the February 11 meeting,
as they want information on ethnicity, residence, and religion
included on the forms. She stated that the SPLM never formally
agreed to the current forms that have already been printed.

3. (SBU) Teny also said that the SPLM will discuss elections in the
political executive committee, adding that the SPLM has not decided
whether to form an alliance with the NCP. Teny stated that without
an improvement in Darfur, completion of the census and elections may
be impossible and that the SPLM realizes that stabilizing Darfur is
in its own interests. Although not offering details, Teny said that
the SPLM also hopes to address its overall relationship with the
NCP. Teny said that she has also encouraged the committee to
discuss Abyei, as the parties need to be consulted on this issue and
"no one will accept a decision made only by the presidency." Teny
stated that she views the political executive committee as
"complementary" to the AEC, as the AEC is there to observe and "not
make political decisions."

ASSESSMENT AND EVALUATION COMMITTEE
-----------------------------------
4. (SBU) Teny stated that she was surprised by the positive report
presented by the chairman at the AEC's February 5 plenary session.
She stated that former Chairman Tom Vraalsen usually presented
critical reports that raised real issues. She also stated that the
SPLM has "more or less" accepted the candidate for the AEC chair,
former UK Ambassador to Egypt Derek Plumley. She also stated that
due to a busy schedule, competing meetings, and new SPLM
representatives to the AEC, the next scheduled wealth sharing
working group meeting may have to be postponed.

OIL: ARREARS, TRANSPARENCY, & NPC
----------------------------------
5. (SBU) Teny said that she realizes that the Government of
National Unity owes approximately $200 million USD in oil revenue to
the Government of South Sudan. Although concerned about this money,
Teny said that "it is not just a matter of getting back this money,
it is about the overall way that revenues are transferred." She
said that the current method is unpredictable, disorganized, and
expensive. She said that it is impossible to calculate when money
will be received and that this greatly complicates the work
associated with oil revenues.

6. (SBU) Teny stated that other senior SPLM leaders are aware of
problems within the oil industry, but that they have not acted to
improve it. She stated that she finds herself torn between
competing loyalties as both an employee of the Ministry of Energy
and Mining and an SPLM representative. She said that senior GoSS
leaders should unilaterally decide to appoint a number of
contractors and/or consultants to key positions in the central
processing facilities, export terminals, and the oil marketing
department. Teny believes that these observers would add a new
level of transparency to the oil industry and increase the capacity
of southern employees in important positions in this sector. "I
have been talking until I am blue in the face about this, but
nothing has happened," stated Teny.

7. (SBU) Teny stated that the National Petroleum Commission is not
yet fully functional and that "guys in the Ministry of Energy and
Mining control it." She said that the GoSS has appointed
representatives to the National Petroleum Commission, but that many
of them have little experience in the industry and are distracted by
their other appointments.

8. (U) Teny said that she hopes that there will be a significant

KHARTOUM 00000216 002 OF 002


discovery of oil in the north "as it would take pressure off of the
south," since the North relies heavily on the oil revenue from
fields in the South. According to Teny, blocks 8, 11, and 14, all
of which are in the North, show promising signs. She stated that
she expects natural gas production to start in the Red Sea in early
2009.

9. (SBU) COMMENT: Although Teny is the most senior-ranking SPLM
member in the Ministry of Energy and Mining, on February 11 she
appeared frustrated and content to leave the job of reforming her
ministry to others in her party. Teny is one of the overworked
SPLM elite, juggling multiple committee memberships, jobs, and
loyalties. Teny's situation seems to be representative of much of
the SPLM senior leadership. Having just returned to the GNU, SPLM
leaders are exhausted by the endless negotiations with the NCP and
appear tentative in advancing their agenda on important issues such
as the census, elections, and transparency in the oil industry.

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