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O 261639Z MAR 07
FM AMEMBASSY PARIS
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5967
INFO RUEHSS/OECD POSTS COLLECTIVE
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RUCNDT/USMISSION USUN NEW YORK 1184

UNCLAS PARIS 001190 
 
SIPDIS 
 
FROM USOECD PARIS 
 
SENSITIVE - NOT FOR INTERNET DISTRIBUTION 
SIPDIS 
 
STATE FOR E, EEB, EUR, G, IO/S AND S/P, NSC FOR MCCORMICK 
 
E.O. 12958:N/A 
TAGS: EAID ECON ETRD OECD
SUBJECT: OECD: AMBASSADOR MORELLA BRIEFS COUNCIL ON THE PARTNERSHIP 
FOR DEMOCRATIC GOVERNANCE; SUPPORT FOR THE PROPOSAL APPEARS TO BE 
GROWING 
 
REF:  STATE 28310 
 
¶1.  (SBU) Ambassador Morella briefed the OECD Council March 20 on 
the status of the U.S. initiative for a "Partnership for Democratic 
Governance" (see speaking notes in Para 5 below).  Due to the late 
hour, discussion was limited; however, several key OECD Members 
expressed strong support for the proposal and experts meeting 
scheduled for April 17-18.  These included the European Commission 
(EC), Czech Republic, Germany and Japan, with the EC Ambassador 
noting similarities with the EC's own support to democracy 
initiative and Germany welcoming the idea of placing the proposal in 
the broader context of democratic governance and security offered by 
OECD and UNDP.  France raised a procedural issue related to the need 
for Council to rule on the matter, which the Secretary General (SG) 
turned around to the full satisfaction of the French, demonstrating 
the complete transparency with which the matter was being handled by 
keeping Council informed.  The SG intends to bring the matter back 
to Council on May 10, the first scheduled Council session following 
the experts meeting.  The UK Deputy noted a number of positive 
aspects about the proposal but wanted to see how it fit into the 
OECD's remit.  The Dutch Ambassador said his authorities had many 
questions about the initiative, which they will raise during the 
experts meeting.  The Council formally "noted" this agenda item. 
 
¶2.  (SBU) As a result of the briefing, Mission has been contacted by 
several delegations requesting further information and 
clarification.  Although the Canadians did not speak at the Council 
meeting, the Canadian Mission told the Secretariat and the Mission 
afterwards that Canada fully supports the proposal and will attend 
the experts meeting.  The Italians have identified their expert, 
Professor Andrea De Guttry of the Scuola Superiore di Studi 
Universitari e di Perfezionamento Sant'Anna in Pisa, one of Italy's 
and Europe's most qualified experts on Public International Law and 
International Humanitarian Law.  The Mission will be meeting next 
week with the Spaniards and Turks to discuss the initiative. 
 
 
¶3.  (SBU) We met March 23 with the EC's Deputy PermRep, Philip 
Pierros, who was armed with papers on the PDG he had received from 
Brussels and Washington.  One of these was a letter from EC Director 
General Karel Kavanda to S/P Director Krasner expressing the EC's 
desire to work closely together on the PDG.  Pierros stressed that 
the EC is quite interested in the initiative but wants to ensure 
that there is no duplication of work being done elsewhere.  He 
raised the following concerns/questions: 
 
-- the PDG should be seen as a "neutral source of information," not 
favoring any one donor country or organization as the PDG brings 
together target countries and contractors; 
 
-- important to ensure that target countries not become dependent on 
contractors/assistance; governments should be able to develop own 
structure for providing services, thus very interested in learning 
more about the proposed centers of excellence suggested in earlier 
U.S. non-paper; 
 
-- initially limit number of target countries to those that are most 
vulnerable; give the initiative a chance to get up and running; and 
 
-- concern about earlier suggestion that non-democratic governments 
might become target countries; important to strengthen those 
countries that share common values with the OECD. 
 
¶4.  (SBU) Pierros expressed appreciation for Mission's responses - 
we reassured him with respect to complementarity of the PDG with 
other ongoing efforts; neutrality of recommendations by the PDG 
 
 
Secretariat (and contributing nations); support for training and 
 
SIPDIS 
development of long-term internal capacity to provide needed 
services; careful consideration in limiting the number of projects 
to ensure the PDG is working efficiently and effectively and giving 
it time to get off the ground as well as maintaining the focus on 
democratic states.  Pierros suggested that we keep in close touch 
here in Paris but also advised that consultations take place in 
Brussels and Washington.  It would be very useful if Dr. Krasner 
and/or his staff could meet with EC reps prior to the April 17-18 
experts meeting.  Finally, Pierros assured us that a high-level EC 
expert would attend the meeting. 
 
¶5.  (U) Begin text of Ambassador Morella's speaking notes: 
 
-- Given the interest by the international community in ensuring 
stability and sustainable development in fragile states and emerging 
democracies, the United States has been exploring some ideas with 
the OECD and UNDP and will be providing funding for possible future 
work in this area. 
 
-- The U.S. sees the multilateral Partnership for Democratic 
Governance (PDG) as a way of advancing the OECD's goal of building 
capacity and improving service delivery in emerging democracies.  It 
will also build on and support ongoing work being done at the OECD 
and internationally with respect to fragile states, aid 
effectiveness, and state-building. 
 
-- Stephen Krasner, Director of the Secretary of State's policy 
planning office, has consulted with a wide number of countries, 
international institutions, and regional organizations on the PDG. 
 
-- Consultations have been held, both in Washington and in capitals 
and here in Paris (in some cases several times), with officials 
from: 
 
* almost every OECD country 
 
* India, Chile, Brazil, and South Africa 
 
* the European Commission and the Council of the EU 
 
* the OAS and the AU 
 
* the World Bank and IMF 
 
* the Inter-American Development Bank 
 
* the UN Development Program 
 
-- In general, reactions have been positive.  Most countries and 
organizations have expressed a great deal of interest in 
collaborating in the further development of the PDG. 
 
-- Based on concerns and suggestions that have been, the U.S. has 
made conceptual and structural changes to our initial ideas on the 
PDG to link it more closely with existing international strategies 
and programs in the areas I previously mentioned. 
 
-- In this context, the U.S. Government has provided a voluntary 
contribution of 50,000 Euros to explore the feasibility of what is 
needed and what might be possible in this area. 
 
-- Under the direction of the Secretary General, the Secretariat has 
been preparing a meeting of experts, scheduled for April 17-18, on 
"New Approaches to Capacity Development and Service Delivery in 
Emerging Democracies." 
 
 
 
-- The Secretary General has sent letters informing the Council of 
the meeting and has requested that delegations and capitals identify 
appropriate participants at the expert level.  For our part, Dr. 
Krasner and representatives from the USAID will participate in the 
meeting and are looking forward to sharing views on what might be 
achievable with respect to enhancing the capacity of those nations 
with weak governance structures. 
 
-- Depending on the results of the April meeting and subsequent 
discussion in Council, we could envisage the OECD providing the PDG 
a "home" as a Part II body of the Organization, fully financed by 
voluntary contributions and defraying any expenses to the 
Organization via the recently agreed Part II overhead charges 
mechanism. 
 
-- We look forward to working with potential partners to further 
refine the concept to ensure that the PDG becomes one more effective 
tool to strengthening institutions and delivering essential services 
in emerging democracies. 
 
Morella