VZCZCXRO3150
PP RUEHBI RUEHCI RUEHLH RUEHPW
DE RUEHAH #0552/01 1221446
ZNY CCCCC ZZH
P 011446Z MAY 08
FM AMEMBASSY ASHGABAT
TO RUEHC/SECSTATE WASHDC PRIORITY 0720
INFO RUCNCLS/ALL SOUTH AND CENTRAL ASIA COLLECTIVE
RUEAIIA/CIA WASHDC
RHEFDIA/DIA WASHDC
RUEKJCS/JOINT STAFF WASHDC
RHEHNSC/NSC WASHDC
RUEKJCS/SECDEF WASHDC
RUEAHQA/HQ USAF WASHINGTON DC

C O N F I D E N T I A L SECTION 01 OF 03 ASHGABAT 000552 
 
SIPDIS 
 
SIPDIS 
 
STATE FOR SCA/CEN 
OSD FOR JKLUG 
 
E.O. 12958: DECL: 05/01/2018 
TAGS: PREL EAIR MARR MCAP MOPS US TX
SUBJECT: PAYMENT OF AIR NAVIGATION AND OTHER FEES BY U.S. 
MILITARY AIRCRAFT - TURKMENISTAN PROPOSES A WAY FORWARD 
 
REF: STATE 46001 
 
Classified By: CHARGE SYLVIA REED CURRAN FOR 1.4 (B) AND (D). 
 
¶1.  (U) This is an action request.  See para. 6. 
 
(C) SUMMARY:  The Turkmenistan government informed us that it 
will stop charging air navigation fees to USG aircraft, as 
long as the Turkmenistan National Civil Aviation Service 
(Turkmenhowayollary - THY) continues to receive the same 
amount of income annually from the U.S. Government's use of 
Ashgabat Airport.  The details of how this would occur were 
not important to the Turkmenistan government.    END SUMMARY. 
 
THE PROPOSAL 
 
¶2.  (C)  On May 1, MFA Americas Department Director Serdar 
Bashimov requested that Charge meet with him to discuss the 
issue of payment of air navigation and other fees by U.S. 
military aircraft in Turkmenistan.  DATT had met with 
National Civil Aviation Service officials on April 24 to 
explain U.S. policy with respect to the non-payment of air 
navigation fees.  Bashimov said the Turkmenistan government 
is willing to cease charging air navigation fees to U.S. 
military aircraft.  However, in order to do that, 
Turkmenistan would want an official guarantee from the U.S. 
Government (could be conveyed by diplomatic note) that it 
would continue to receive the same amount of payment annually 
as previously for U.S. military aircraft usage of Ashgabat 
Airport.  As soon as that guarantee is received, the order 
would be given to end charging air navigation fees. 
Regarding the charging of any other fee, Bashimov said that 
Turkmenistan would not charge any fees to humanitarian 
aircraft.  Therefore, any aircraft that the United States 
declared as "humanitarian" would not be assessed a fee of any 
kind.  Bashimov said that the only issue for the Turkmen side 
is continued payment at the same amount as before.  He said 
Turkmenistan is willing to find an accommodation that is 
acceptable to both sides. 
 
OUR ASSESSMENT 
 
¶3.  (C)  The Turkmenistan government wants to be practical 
and accommodating.  It is willing and able to waive air 
navigation (and landing and parking fees, if needed). 
However, it does not want a loss in income, and therefore, 
wants to be reimbursed at an equivalent rate for an 
equivalent amount of airport usage.  As a self-financing 
entity, THY needs the money to operate.  DAO Ashgabat 
estimates USG aircraft total air navigation fees in 2008 will 
be $250,000 (based on roughly 225 USG aircraft landings at 
Ashgabat Airport annually in 2006 and 2007.)  Total landing 
and parking fees for 2008 are projected to be $430,000 (based 
on payments from January - March 2008.) 
 
¶4. (C) In addition, the following points should be taken into 
consideration: 
 
      -- Post believes this is the best offer the 
Turkmenistan government is willing to make.  It is flexible 
and practical.  They only care that we "show them the money." 
 And they no doubt feel they should be compensated for usage 
of their airport. 
 
      -- Post believes not taking advantage of the 
flexibility of the Turkmen proposal to reach a mutually 
beneficial agreement could have a negative impact on our 
bilateral relationship and jeopardize Turkmenistan's support 
for overflights and the Gas-and-Go operation. 
 
      -- Former President Niyazov's Decree is still in force, 
but is not being applied by THY because they are unable to 
verify the contents of any USG aircraft that overfly or 
refuel in Ashgabat.  Politically, both the USG and 
Turkmenistan government do not want to discuss this issue 
because greater scrutiny will likely open up the possibility 
of an even more restricted overflight agreement if the focus 
became the contents of U.S. aircraft.  The current liberal 
interpretation of "humanitarian" is in the USG's interest to 
maintain.  And the Turkmen willingness to have an even 
broader interpretation of "humanitarian" is even more so. 
Reopening this issue with the new government would be a 
 
ASHGABAT 00000552  002 OF 003 
 
 
further distraction from achieving the USG goals of not 
paying air navigation or other fees and having access to 
Turkmen airspace and ground facilities. 
 
      -- The restricted blanket overflight and Gas-and-Go 
team agreements are in effect upon the basis of an exchange 
of diplomatic notes between our two governments.  President 
Berdimuhamedov could change or end these agreements with 
little warning, much like we experienced in late 2007 when 
the Turkmenistan government initially refused to renew the 
overflight agreement in its existing form for 2008.  As 
experienced with the loss of the use of Karshi-Khanabad, 
autocratic Central Asian leaders are sometimes willing to end 
a mutually beneficial arrangement with the United States if 
they do not feel they are being dealt with fairly and their 
economic interests are not taken into consideration. 
 
      -- At no charge, for years the USAF Gas-and-Go team has 
occupied a single story structure on the Ashgabat Airport 
grounds adjacent to the fuel facility and tarmac where USAF 
aircraft stop for services.  USAF personnel store USG 
communications equipment and other critical supplies in the 
structure.  No Turkmen are allowed in the structure unless 
escorted by USG personnel. 
 
      -- The USAF team has constructed a permanent shade 
structure on the concrete tarmac adjacent to taxiway where 
USAF aircraft approach for services.  The structure is used 
solely by USG personnel to protect approximately 1.8 million 
dollars in aircraft ground handling equipment from the harsh 
environment. 
 
      -- The Turkmenistan government provides 24/7 security 
of our Gas-and Go team facility, equipment, and refueling 
operation by means of static guards at a gated checkpoint 
supplemented by roving patrols. 
 
      -- THY and the Ashgabat Airport permit two USAF support 
vehicles to operate within the airport perimeter.  These are 
the only foreign vehicles permanently positioned and operated 
on the airport property.  Turkish Air recently was forced to 
remove its vehicle. 
 
      -- The USAF team is allowed to operate its refueling 
operation in a restricted area of Ashgabat Airport.  The only 
other aircraft allowed in that area is Turkmenistan's 
presidential aircraft. 
 
DETERMINATION OF AIRPORT STATUS 
 
¶5.  (C) Post provides the following responses to aid in the 
determination of Ashgabat Airport as a commercial or 
government operated airport for purposes of paying landing 
and parking fees: 
 
a.  Is Ashgabat Airport operated by the Government of 
Turkmenistan or an agency of the Government of Turkmenistan? 
 Yes and No, the Turkmenistan National Civil Aviation Service 
(Turkmenhowayollary) is a national government-regulated 
commercial agency that operates on a for-profit basis as a 
unique, self-financing entity - unlike probably any other 
connected to the Turkmen government. THY determines its own 
fees and rates based on the principles of making money, 
solvency, and self-financing.  As a government-related 
entity, these fees and rates are coordinated with the 
Ministry of Economy and Finance and approved by the Cabinet 
of Ministers.  No Turkmenistan military aircraft operate out 
of Ashgabat International Airport.  There are no private or 
local government-run (such as provincial or city) airports in 
Turkmenistan. 
 
b.  Does the Government of Turkmenistan fund day-to-day 
operations at Ashgabat Airport?  As a unique entity, it is 
self-funding and does not receive additional funding from the 
national government for day-to-day operations. 
 
c.  What portion of Ashgabat Airport's revenue (if any) is 
given to the Government of Turkmenistan?  THY pays zero 
percent of its revenues (not including taxes) to the central 
government.  It does pay an unspecified amount of taxes to 
the central government like all businesses in Turkmenistan. 
 
 
ASHGABAT 00000552  003 OF 003 
 
 
d.  Is Ashgabat Airport subject to day-to-day operational 
guidance from the Government of Turkmenistan?  No, except for 
following government rules and regulations.  Much like all 
airports, it must obey local, regional, and central 
government rules, laws, and regulations. 
 
 
¶6.  (C) ACTION REQUEST:  Please provide us with a response to 
the Turkmenistan proposal. 
CURRAN