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Viewing cable 07VIENNA891, AUSTRIAN MEDIA HIGHLIGHTS: April 03, 2007

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Reference ID Created Released Classification Origin
07VIENNA891 2007-04-03 14:14 2011-08-30 01:44 UNCLASSIFIED Embassy Vienna
VZCZCXYZ0004
PP RUEHWEB

DE RUEHVI #0891/01 0931414
ZNR UUUUU ZZH
P 031414Z APR 07
FM AMEMBASSY VIENNA
TO RUEHC/SECSTATE WASHDC PRIORITY 6890
RUEKJCS/OSD WASHDC PRIORITY
RHEHAAA/WHITEHOUSE WASHDC PRIORITY
UNCLAS VIENNA 000891 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR EUR/AGS, INR/EU, AND EUR/PPD FOR YVETTE SAINT-ANDRE 
 
OSD FOR COMMANDER CHAFFEE 
 
WHITEHOUSE FOR NSC/WEUROPE 
 
 
E.O. 12958: N/A 
TAGS: OPRC PAO AU
 
SUBJECT: AUSTRIAN MEDIA HIGHLIGHTS: April 03, 2007 
 
Elsner Begins Rehab Treatment 
 
1. Helmut Elsner, one of the chief suspects in the Bawag banking 
scandal, has begun rehabilitation treatment in a facility in the 
south of Austria after a heart bypass operation. The former CEO of 
Bawag is expected to remain in the clinic for at least four weeks, 
during which time Austrian justice authorities have imposed an 
information blackout on his condition. He and eight other former 
bank executives are charged with fraud and false accounting, and 
their trial is scheduled to begin in summer. 
While former bank Bawag CEO Helmut Elsner begins his rehabilitation 
treatment in Carinthia, the Austrian parliamentary committee looking 
into banking supervision on Monday focused on the Bawag bank, which 
was formerly owned by Austria's unions. Six people have been called 
to testify about billion-Euro losses from failed currency 
speculation. Among them is retired State Prosecutor Erich Mueller, 
who is likely to be asked about charges made as long ago as 1994, 
semi-official daily Wiener Zeitung reports. 
 
 
EU Says Austrian CO2 Cuts Not Enough 
 
2. The EU Commission says Austrian Environment Minister Josef 
Proell's plans to reduce carbon dioxide emissions do not go far 
enough. Environment Commissioner Dimas warned that Austria could not 
guarantee it will reach Kyoto goals, and demands a further cut of 
emission quotas by 2.1 million tons. While Proell agreed he would 
push for quick implementation of the Commission's plan, the Austrian 
Industrialists Association has criticized the ruling as an 
"environmental-political sin." 
According to ORF online news, the EU Commission argues that while 
Austria's climate strategy is a "step in the right direction," it is 
not enough to reach the European Union's climate protection goals, 
which is why Brussels is moving to reduce Austria's emission rights. 
The Environment Ministry has announced it will has invited interest 
group and industry representatives and officials from the ministries 
affected to meet after Easter for a discussion of the new situation 
and to develop effective strategies. ORF radio early morning news 
Morgenjournal notes that Minister Proell - despite emphasizing his 
misgivings about the Commission's demands -- says he will push for 
implementing the new goals. The Austrian Industrialists Association, 
however, said it is considering taking the issue to court and filing 
proceedings with the European Court of Justice. Centrist daily Die 
Presse also publishes a front-page report on the issue, citing the 
EU Commission as complaining that Austria is doing too little to 
curb the waste of energy. According to the daily, a key aspect of 
the Industrialist Association's criticism of Minister Proell is the 
group's complaint he had forwarded too late key data on Austria's 
climate strategy to Brussels. 
 
 
Palestinian Foreign Minister in Vienna 
 
3. New Palestinian Foreign Minister Ziad Abu Ammr will arrive in 
Vienna for a working visit today at the invitation of his Austrian 
counterpart Ursula Plassnik. He will also meet with Parliamentary 
President Barbara Prammer, and with the Palestinian community in 
Vienna. 
Ahead of the new Palestinian Foreign Minister's visit to Austria, 
Ursula Plassnik told semi-official daily Wiener Zeitung the dialogue 
between Israelis and Palestinians needed "new drive." In an 
interview with the daily, the Austrian Foreign Minister described 
Ziad Abu Ammr as "enjoying the confidence of Palestinian President 
Mahmoud Abbas. He is an integration figure, receiving a lot of 
acceptance from all areas of Palestinian society, and he is an 
independent candidate." At their meeting in December, Abu Ammr had 
outlined to Plassnik "the three necessary steps for a re-launch of 
the political process in the Middle East: There has to be a national 
unity government, the Israeli soldier Gilad Shalid, who was 
kidnapped in July 2006, has to be released, and the cease fire needs 
to be made permanent." Regarding Hamas, Plassnik stressed that the 
EU was "just approaching a phase of re-assessment, but that is 
something that cannot happen in one day. The new Palestinian 
government will be measured by its actions, and not by its 
statements or program. This will also make an evaluation by Israeli 
much easier." She also underscored that "there are rules, and Hamas 
will have to change its position accordingly." 
Meanwhile, independent provincial daily Salzburger Nachrichten with 
its headline "movement in the Middle East" reflects the view of all 
major Austrian media on Israeli Premier Ehud Olmert's proposal for a 
regional peace conference with Arab League representatives. 
Commentator for the daily Gil Yaron argues that the "Israeli 
reaction to the peace offer of the Arab League finally gives cause 
for hope. The convergence of local, regional and overall interests 
leads Israelis and Arabs to have a greater interest in rapprochement 
than ever before. (...) Without an alliance with the moderate Arabs, 
Jerusalem will hardly succeed in putting a stop to the threatening 
omnipotence fantasies of Teheran. In addition, there are the overall 
interests. The Arab states, all in deep economic distress, need the 
West for their own survival. (...) However, it was Iran's successful 
power politics that has led to change in the Middle East:  Fear and 
suffering unite Israelis and Arabs." 
However, foreign affairs writer for liberal daily Der Standard 
Markus Bernath suggests that recent developments "show how limited 
the options for a new start of the peace process really are. (...) 
Nonetheless,  the "chances for a 'new movement' in the Middle East 
remains:  If Olmert survives the report of the investigative 
commission for the Lebanon war and there are no new elections which 
bring right-winger Benjamin Netanyahu back to power - and if Hamas 
Prime Minister Haniyeh finds his way back to realpoltik via the 
EU." 
 
 
President Fischer Visits South Korea 
 
4. Austrian President Heinz Fischer held talks with his South Korean 
counterpart Roh Moo-hyun in Seoul during his state visit to the 
country - the first to South Korea by an Austrian president. In 
addition to bilateral relations, discussions focused on South 
Korea's relationship with the European Union. After reaching a free 
trade agreement with the United States to open up South Korea's 
highly protected market, the South Korean president says he now 
hopes to reach the same type of understanding with the EU during the 
first half of this year. 
Semi-official daily Wiener Zeitung quotes Austrian President Fischer 
as saying during his visit to South Korea that Seoul's free trade 
deal with the United States was a positive development and that he 
welcomed the upcoming talks with the EU. The Austrian President also 
stressed he was looking forward to more investment by Austrian 
entrepreneurs in South Korea. On that issue, head of the Chamber of 
Commerce Christoph Leitl remarked that trade with South Korea was 
only seven percent of Austrian foreign trade volume, but that he 
hoped by 2010 it could be doubled from 500 million to one billion 
Euros. According to the South Korean President, Austria had been 
engaged in promoting the unification of the Korean peninsula since 
the end of WWII, and Fischer emphasized with regard to North Korea's 
nuclear ambitions that he considered the six party talks the best 
way to end the problem without violence. The Austrian president on 
Monday visited a number of South Korean firms, especially in the 
electronics field, accompanied by a delegation which includes 
ministers and state secretaries as well as business and cultural 
representatives. 
Foreign affairs writer for centrist daily Die Presse Thomas Seifert 
in an analysis of Fischer's visit suggests that Seoul's free trade 
agreement with the US caused quite a stir, which is why the Austrian 
President's visit had a calming effect. 
 
 
 
 
Iran, UK Signal Diplomatic Opening 
 
5. Iran says it wants to resolve through diplomacy the crisis over 
the 15 British soldiers seized in the Gulf more than a week ago, and 
that there was no need for a trial. The London Foreign Office 
explained it is still studying the remarks from Tehran, but 
emphasized it shares the preference for early bilateral discussions 
and would be contacting Iranian authorities. Austrian media suggest 
these developments are a sign Tehran might be willing to come around 
in the dispute. 
Like all Austrian media reporting on the crisis between London and 
Tehran over the 15 British sailors, mass-circulation daily Kurier 
notes the two countries are now apparently banking on diplomacy to 
resolve the issue. Aside from these developments, however, the 
"threat of a new war in the region is not off the table," the daily 
warns. "According to Israeli military intelligence observers, Iran, 
Syria and the Lebanese Hezbollah are already putting defense 
measures in place for a potential confrontation with the United 
States. It is possible the US could launch an attack in summer in 
which Israel could be involved as well," the Kurier writes. 
Similarly, foreign affairs writer Michael Schmoelzer comments in 
semi-official daily Wiener Zeitung that while "London is pushing for 
de-escalation, George Bush is adding fuel to the flames." The fact 
that the US President "has interfered" in the crisis over the 15 
British sailors "is likely to reduce the chance people will get off 
as lightly as possible." By labeling the Navy personnel "hostages" 
and describing their arrest as "inexcusable," Bush has "poured oil 
on more than one fire." He has made it "even harder for Mahmoud 
Ahmadinejad to come around, as his opponents would say he had caved 
in and shown cowardice in the face of Iran's archenemy." 
 
 
Yushchenko Dissolves Parliament 
 
6. All Austrian media report on a "massive government crisis" in 
Ukraine, after President Victor Yushchenko signed a decree to 
dissolve Parliament and hold an election next month. His move is 
part of a long-running power struggle between Yushchenko, who favors 
greater integration with the West, and his pro-Russian rival Victor 
Yanukovich, the country's Prime Minister. Ukrainian Members of 
Parliament, which is dominated by the Prime Minister's allies, have 
voted to continue to work. 
Liberal daily Der Standard reports that Ukrainian President Victor 
Yushchenko has already set a date for early elections: Ukrainians 
will go to the polls May 27. It is unlikely, however, that the 
recent protests will trigger a second Orange Revolution, the daily 
adds, and quotes sociologist Irina Bekeshkina as explaining that in 
2004, "people pushed for political change, now they primarily want 
an economic upswing." Mass-circulation daily Kurier meanwhile 
analyzes the fact that the Ukrainian government has ignored the 
Parliament's dissolution by President Yushchenko. According to 
Ukrainian journalist Tatyana Kremen, these developments "may not be 
the end for Yushckenko, but they will certainly bring about the end 
of his strong leadership position." 
 
 
Supreme Court Says Us Must Regulate Pollution 
 
7. The United States Supreme Court has ruled that the Bush 
administration was wrong to say it did not have the power to 
regulate exhaust gases from new cars and trucks. According to the 
Court, the Environmental Protection Agency had offered "no reasoned 
explanation" for refusing to regulate carbon dioxide and other 
harmful gas emissions from cars. Environmental campaigners have 
described the ruling as a "watershed moment," says ORF radio early 
morning news Morgenjournal. 
McCaw