VZCZCXRO5187
PP RUEHCHI RUEHDT RUEHHM
DE RUEHJA #2819/01 0611318
ZNY CCCCC ZZH
P 021318Z MAR 06
FM AMEMBASSY JAKARTA
TO RUEHC/SECSTATE WASHDC PRIORITY 0464
INFO RUEHZS/ASSOCIATION OF SOUTHEAST ASIAN NATIONS PRIORITY
RUEHBJ/AMEMBASSY BEIJING PRIORITY 3235
RUEHBY/AMEMBASSY CANBERRA PRIORITY 9070
RUEHUL/AMEMBASSY SEOUL PRIORITY 3550
RUEHKO/AMEMBASSY TOKYO PRIORITY 9593
RUEHWL/AMEMBASSY WELLINGTON PRIORITY 0601
RHHMUNA/CDR USPACOM HONOLULU HI PRIORITY
RUEKJCS/CJCS WASHDC PRIORITY
RHEHNSC/NSC WASHDC PRIORITY
RUEKJCS/SECDEF WASHDC PRIORITY
RHHMUNA/USCINCPAC HONOLULU HI PRIORITY

C O N F I D E N T I A L SECTION 01 OF 04 JAKARTA 002819 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 02/24/2016 
TAGS: PREL MARR MASSPGOV PTER KN BM ID
SUBJECT: ADMIRAL FALLON CALLS ON PRESIDENT YUDHOYONO 
 
Classified By: Ambassador Pascoe, reasons 1.4 (B) and (D). 
 
Summary 
------- 
 
¶1.  (C) PACOM Commander Admiral William J. Fallon called on 
President Yudhoyono (SBY) Feb. 23.  SBY emphasized the 
importance of bilateral cooperation in multiple areas.  He 
spoke of the progress in implementing peace in Aceh, and 
judged that in his view the situation will be fully settled 
within two years.  Indonesian Armed Forces (TNI) respect for 
SBY's order to support peace and redeploy troops for tsunami 
aid in Aceh was a historic assertion of civilian control over 
the TNI.  He is seeking progress in Papua based on Special 
Autonomy.  The GOI's CT strategy includes direct 
confrontation of terrorists, empowering moderate groups and 
greater cooperation with neighbors around the Sulawesi Sea. 
On Iran, SBY said he would tell the Iranian Foreign Minister 
that day to respect all IAEA requirements.  SBY will travel 
to Burma where he will suggest Indonesia's successful 
transition to democracy could serve as a model to regime 
leaders, and carry a letter from UNSYG Kofi Annan.  SBY 
briefed the Admiral on Indonesian efforts to arrange a 
meeting between the two Korean Defense Ministers. 
 
¶2.  (C) Admiral Fallon replied that Indonesia,s emerging 
democratic institutions had established a strong foundation 
for future cooperation.  He praised SBY's willingness to take 
on difficult issues such as Burma and North Korea, and 
encouraged him to influence Iran positively.  He sought SBY's 
vision of future military cooperation.  Speaking broadly, SBY 
cited democratization, fighting corruption and reform as his 
priorities.  On the military side, SBY said the focus should 
be on programs that build mutual confidence and demonstrate 
the positive effects of engagement on reform.  Increasing 
professionalism and understanding of democracy within the 
TNI, and building up air transport and naval capacity were 
also important.  SBY thanked the Admiral for the work of 
NAMRU II on infectious diseases, but noted that a new 
agreement needs to be worked out to allow for its continued 
presence.  End Summary 
 
¶3.  (U) PACOM Commander Admiral William Fallon called on 
President Yudhoyono Feb. 23.  He was accompanied by the 
Ambassador, POLAD Huso and other members of his staff.  SBY 
was accompanied by Defense Minister Juwono Sudarsono and 
Armed Forces (TNI) Commander Djoko Suyanto. 
 
SBY's Goals 
----------- 
 
¶4.  (C) SBY opened by affirming his strong commitment to 
furthering bilateral cooperation, including in the military 
to military area.  Citing his several meetings with President 
Bush, he noted their shared vision of rapidly expanded 
political, military, and trade relations as well reinforced 
cooperation on avian influenza.  Indonesia and the US are 
entering a new era with the lifting of U.S. restrictions on 
military cooperation, he said.  The TNI are now fully under 
civilian control, he asserted, and TNI doctrine has changed 
to reflect its new role in a democratic society.  Continued 
transformation of the TNI will be a challenge, as it will 
require adjusting mindsets and the dominant military culture. 
 SBY added that he intended to equip the TNI with the minimum 
essential force for national defense and hoped that US 
decision to lift all restrictions on military assistance will 
be permanent. 
 
Aceh Going Well 
--------------- 
 
¶5.  (C) SBY described the peace process in Aceh as going 
well, although he estimated that it would take two years for 
the political process to be complete.  In fulfillment of its 
obligations under the Helsinki Accords with the GAM (Free 
Aceh Movement) the TNI had removed all &non-organic8 units 
(those not made up of recruits from the region) and the Aceh 
Monitoring Mission had successfully supervised the turnover 
of weapons by GAM rebels.  The Government has introduced 
special legislation for Aceh so that would allow the GAM to 
participate in legal political party activity.  SBY recalled 
positively the rapid arrival of American Forces in the early 
 
JAKARTA 00002819  002.2 OF 004 
 
 
days of the tsunami.  Similarly in Papua, SBY said he is 
trying to solve the secessionist problem through political 
dialogue on the basis of Special Autonomy for the province. 
He thanked the U.S. for its long-standing public support for 
Indonesia's territorial sovereignty and integrity. 
 
Counterterrorism and Regional Cooperation 
----------------------------------------- 
 
¶6.  (C) On counterterrorism, SBY said Indonesia had won 
several battles but not the war.  The Jemaah Islamiyah (JI) 
terrorist network has been disrupted through arrests and 
prosecutions and the recent killing of senior JI operative, 
Azahari.  JI bomb expert, Noorudin Mat Top, remains at large 
but the police are increasing the pressure on him.  The GOI 
would continue to fight such terrorists, who have global 
connections, directly.  At the same time, SBY said that he 
wants to empower moderate forces within the country, promote 
interfaith dialogue, combat radicalism and prevent the 
existence of an atmosphere that is conducive to terrorist 
growth.  SBY said that he has sought from his counterparts in 
Malaysia and the Philippines to increase cooperation in the 
Sulawesi Sea region.  He praised U.S. support for Indonesian 
security agencies and looks forward to continued CT 
cooperation. 
 
Iran Should Cooperate with the IAEA 
----------------------------------- 
 
¶7.  (C) Turning to the Middle East, SBY noted the 
difficulties that currently existed in the Middle East in 
such places as Iran, Syria, Palestine and Iraq.  He expressed 
the hope that problems could be solved without excessive 
"pressure."  The Foreign Minister of Iran was scheduled to 
see him later that day.  He would make clear that Teheran 
should cooperate with the IAEA.  SBY said that as an NPT 
signatory, Indonesia supports the rights of all signatories 
to the peaceful use of nuclear energy, but would be the first 
to oppose the misuse of the treaty for the purpose of 
acquiring nuclear weapons.  SBY said Indonesia is waiting for 
the March 6 report to be submitted to the IAEA.  Tehran must 
cooperate with the world and their President's speeches were 
not helpful. 
 
Upcoming Burma Trip 
------------------- 
 
¶8.  (C) SBY said that while he regretted that Burma has 
refused the visit of the Malaysian Foreign Minster as 
ASEAN,s representative, he himself will be traveling there 
the week of Feb. 27.  He has agreed to carry a letter from 
UNSYG Kofi Annan asking that the Burmese regime accept the 
ASEAN emissary,s visit and move forward on the roadmap to 
democracy.  SBY said he has met regime head Than Shwe once, 
and Prime Minister Soe Win on three previous occasions.  SBY 
said he would cite Indonesia's progress in his discussions 
with Burmese leaders as an example of how a military 
dominated government can transition to democracy. 
Implementing reform can allow the military to return to its 
core responsibilities.  SBY pointed to the need for 
&someone8 (read: the US) to engage India and China on 
Burma.  The competition between India and China for influence 
and access to Burma,s resources has helped the regime resist 
world pressure.  The Admiral replied that the U.S. is also 
trying to gain India and China,s support to address the 
strife-torn situation in Nepal. 
 
NAMRU II Presence Appreciated 
----------------------------- 
 
¶9.  (C) SBY closed his initial remarks by citing the 
contribution that NAMRU II is making in cooperative efforts 
to combat avian influenza and other communicable diseases. 
While the original 1970 agreement needs to be updated to 
reflect the current political landscape, SBY said that he has 
issued clear instructions that continued cooperation is 
necessary. 
 
Fallon:  Democracy the Basis for Further Engagement 
--------------------------------------------- ------ 
 
¶10.  (C) Admiral Fallon thanked SBY for his strategic review 
 
JAKARTA 00002819  003 OF 004 
 
 
of key regional and bilateral issues.  He agreed that the 
recent lifting of legislatively imposed restrictions on 
military assistance opened an important new era in bilateral 
cooperation, built on a foundation of shared commitment to 
democracy.  He suggested that high goals be set for future 
cooperation and asked for SBY's vision on where he would like 
to take the relationship over the course of the next several 
years.  The Admiral added that SBY's engagement in domestic 
and international problems ) ranging from Aceh to North 
Korea ) is very helpful in supporting the Administration,s 
position that increased engagement with Indonesia is in the 
US interest.  On Iran, the Admiral said with the human and 
energy resources it has, he did not comprehend why Iran is 
pursuing the path it has chosen on the nuclear issue.  We 
would be grateful for SBY's intervention with the Iranians 
since Indonesia has the ability to play an influential role. 
The Admiral acknowledged the importance of Indonesian 
domestic economic challenges, their relationship with 
long-term security and stability.  Indonesia had the ability 
to become the cornerstone of Southeast Asia and an example 
for countries far beyond the region. 
 
SBY's Broad Vision 
------------------ 
 
¶11.  (C) SBY said that his broadest vision is to move 
democratization, good governance and combating corruption 
forward.  While these three areas are challenging, progress 
is being made step by step.  On the military to military 
relationship, SBY recognized that he needed to build 
confidence within the US Congress by communicating clearly 
that he and his government knew what had to be done 
consolidate Indonesia,s democracy and reform the TNI.  The 
Admiral agreed that showing tangible progress on military 
reform is necessary.  SBY said that IMET is a critical 
program that should be tailored to demonstrating to 
Indonesian officers how military organizations function in 
democratic nations.  The training should also emphasize 
professionalism, along with building technical and military 
skills. 
 
Two Streams of Progress Needed for the TNIe 
------------------------------------------ 
 
¶12.  (C) SBY said that a planning cell was looking hard at 
targeting expenditures for the military in ways that maximize 
severely limited budget resources.  The readiness of aircraft 
and ships had to be improved to provide a minimum deterrent 
capability.  More importantly, transport aircraft and ships 
were needed for humanitarian operations.  The GOI also was 
interested in supporting relief operations outside Indonesia 
and had sent C-130's and helicopters to the Philippines to 
assist with the recent mudslide on Leyte. 
 
The Korean Peninsula 
-------------------- 
 
¶13.  (C) SBY noted that he had sent a special envoy to Korea 
at the request of the South Korean Minister of Defense and 
that he was waiting for a positive response on a proposed 
meeting of the two defense ministers, possibly in Bandung. 
Indonesia wants to support the Six Party Talks and would 
consult further if the two ministers agree to meet.  Admiral 
Fallon replied that the South Korean Defense Minister 
expressed his desire to meet with his Northern counterpart 
while visiting PACOM two weeks previously. 
 
TNI Support in Aceh Historic 
---------------------------- 
 
¶14.  (C) The Admiral noted that he would visit Aceh to see 
personally the progress that had been made.  He said the 
agreement achieved there is an excellent example of 
implementation of a program for peace and human rights.  SBY 
responded that credit had to go to recently retired TNI 
commander General Sutarto.  When SBY arrived in Aceh after 
the tsunami, he immediately called on the GAM to work for 
peace and ordered the TNI to cease offensive operations and 
transfer personnel to rescue and relief efforts.  SBY called 
Sutarto's enforcement of that civilian order historic, adding 
that he hoped someday to write a book about those events. 
TNI forces could have ignored the order and tried to take 
 
JAKARTA 00002819  004 OF 004 
 
 
advantage of the destruction to attack the remaining GAM 
fighters.  Instead, thousands of troops moved to the affected 
areas, providing relief and burying victims.  The Helsinki 
talks were very controversial, particularly among nationalist 
politicians.  The fact that the military chose to support the 
government's decision to seek a negotiated settlement was 
critical to the outcome.  In closing, Admiral Fallon remarked 
that SBY,s leadership in resolving the Aceh conflict is 
greatly admired in the US and internationally. 
 
¶15.  (U) Admiral Fallon has cleared this message. 
PASCOE