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Cablegate: Dcm Tackles Tough Partnership Issues With

VZCZCXRO8702
OO RUEHDT RUEHPB
DE RUEHJA #0056/01 0150737
ZNR UUUUU ZZH
O 150737Z JAN 10
FM AMEMBASSY JAKARTA
TO RUEHC/SECSTATE WASHDC IMMEDIATE 4286
INFO RUCNARF/ASEAN REGIONAL FORUM COLLECTIVE PRIORITY
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEHLMC/MILLENNIUM CHALLENGE CORP 0166
RUEAIIA/CIA WASHDC
RHEHNSC/NSC WASHDC
RHEFDIA/DIA WASHINGTON DC

UNCLAS SECTION 01 OF 02 JAKARTA 000056

SENSITIVE
SIPDIS

DEPT FOR EAP, EAP/MTS, EAP/MLS, EAP/RSP, EEB, OES
NSC FOR D. WALTON
STATE PASS TO USTR EHLERS AND WEISEL
COMMERCE FOR 4430 NADJMI

E.O. 12958: N/A
TAGS: PREL PGOV TSPL TBIO EAID KGHG ECON KDEM KMCA
MCC, ID, H, EINV
SUBJECT: DCM TACKLES TOUGH PARTNERSHIP ISSUES WITH
INDONESIA'S LEGISLATIVE LEADERSHIP

REF: A. JAKARTA 0044
B. JAKARTA 01866
C. JAKARTA 00172

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1. (U) This message is Sensitive but Unclassified. Please
handle accordingly.

2. (SBU) SUMMARY: Indonesia's new parliamentary
commission leaders expressed concerns about our bilateral
health cooperation and asked for more U.S. investment in a
January 13 meeting with the DCM. The DCM asked if the GOI is
committed to seizing the opportunities for further progress
on bilateral issues such as education, science and technology
and the environment. The legislative leaders were receptive
to this message and willing to engage further. Engaging
Indonesia's legislators is essential in moving forward our
partnership. Informed legislators are less likely to push
legislation which could be counterproductive to shared goals.
END SUMMARY.

DCM MEETS PARLIAMENTARY LEADERS

3. (SBU) DCM engaged in substantive discussions on
January 13 with eight newly elected legislative leaders on a
number of topics, most importantly health and trade and
investment. The parliamentarians chaired or served as
deputies on commissions dealing with foreign affairs, health,
agriculture, trade, religion/women's empowerment, and
finance. (Note: The Indonesian parliament has eleven
commissions which are somewhat analogous to the U.S. House
committees and subcommittees.) This was the first time that
most of them had attended a USG-hosted event.

MOVING FORWARD ON HEALTH COOPERATION

4. (SBU) DCM asked for Parliament's support to resolve the
political challenges which are impeding bilateral cooperation
on health issues. Noting that there had been no recent
movement on creating the joint Indonesia-U.S. Center for
Public Health and Biomedical Research Cooperation (IUC), he
questioned whether the new Health Minister had not taken
action because she faced pressure from the parliamentary
health commission.

5. (SBU) In response, deputy chair of the health
commission stated that a new civilian arrangement in which
Indonesia and U.S. researchers transparently worked together
would be welcome. The main sticking point, she thought, was
the request for diplomatic status for the researchers.
Another legislator expressed concern that employing Navy
researchers in the IUC would tip public opinion against it.
DCM assured the legislative leaders that, in an IUC as
envisioned by negotiators as recently as September, 2009,
U.S. Navy researchers would be under civilian authority and
seek official status as administrative and technical staff.

INCREASING TRADE AND INVESTMENT TIES

6. (SBU) The legislative leaders pressed for increased
U.S. investment in Indonesia, especially in industries
outside of mineral exploration and by small and medium U.S.
businesses. The parliamentary leaders also asked for
investment that would help build manufacturing and
agricultural derivatives industries. EconCons suggested that
through formalizing an OPIC agreement and opening discussions
for a bilateral investment treaty, American investors would
become more confident investing in Indonesia. The legislators
expressed an interest in these initiatives. They also
received positively the Mission's determination that a
science and technology agreement be concluded in the near
term with Indonesia.

LOOKING AHEAD

7. (SBU) This substantive meeting with a broad range of
Indonesian parliamentary leaders was a step toward engaging
Parliament as a partner in expanding the comprehensive
partnership. The legislators are particularly important
partners in resolving the toughest bilateral issues because

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executive branch officials often will hesitate to move
forward on issues which face entrenched parliamentary
resistance. Mission's interagency Legislative Working Group
will continue to support Mission's close engagement with
Parliament as we pursue our Comprehensive Partnership goals.
HUME

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