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FM AMEMBASSY THE HAGUE
TO RUEHC/SECSTATE WASHDC 9996
INFO RUEHRK/AMEMBASSY REYKJAVIK 0025
RUEHKV/AMEMBASSY KYIV 0447
RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUEHAT/AMCONSUL AMSTERDAM 3418

UNCLAS SECTION 01 OF 03 THE HAGUE 001492 
 
SIPDIS 
 
DEPARTMENT PLEASE PASS TO CODEL PASTOR 
DEPARTMENT FOR H (MSMITH), EUR/WE 
 
CODEL 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ENRG EWWT ECON PREL PGOV OREP NL
SUBJECT:  SCENESETTER FOR CODEL PASTOR VISIT TO THE NETHERLANDS, 
AUGUST 23-26, 2006 
 
THE HAGUE 00001492  001.2 OF 003 
 
 
¶1.  Embassy The Hague warmly welcomes Congressman Ed Pastor and his 
delegation to the Netherlands August 23-26.  Your visits to the 
Energy Center of the Netherlands, Wind Turbine Laboratory, and a 
wind farm present an ideal opportunity to learn first hand how the 
Dutch are tackling the issue of increasing energy efficiency and 
utilizing alternative energy resources -- both within industry and 
at home.  Your meetings with Dutch Transport and Water Ministry 
officials, tour of the Dutch Delta Works system (storm surge 
barriers), and "Room for Rivers" project (climate adaptation) will 
showcase Dutch expertise in water and flood management as a response 
to global warming and rises in sea levels.  Your program will also 
include exchanges with the Netherlands Water Partnership, an 
independent public-private organization that coordinates and 
promotes the activities of the Dutch water sector overseas, 
including in the U.S.  The following provides background for your 
program as well as information about the current political and 
economic situation in the Netherlands and areas of U.S.-Dutch 
cooperation.  (Post has forwarded a detailed schedule as well as 
briefing materials and biographical information on Dutch meeting 
participants to Military Escort Ed Martin.) 
 
Energy Efficiency and Wind Power 
-------------------------------- 
 
¶2.  In early 2007, the European Union (EU) introduced an integrated 
common energy and climate change proposal that seeks by the year 
2020 to reduce greenhouse gas emissions by 20 percent from 1990 
levels, derive 20 percent of all power from renewable sources, save 
20 percent of total primary energy consumption, and run 10 percent 
of vehicles on bio-fuels.  Additionally, the EU promised to increase 
the EU-wide emissions reduction target to 30 percent, if other 
developed nations matched that goal.  In response to this proposal, 
the Netherlands took the additional step of committing independently 
to a 30 percent reduction over 1990 levels of greenhouse gas 
emissions by 2020. 
 
¶3.  A central feature of the Dutch reduction plan is a 
"sustainability" accord drawn up between the government and the 
leaders of 10 major industries outlining specific measures to reduce 
emissions, increase the supply of renewable energy, and improve 
energy efficiency.  The Dutch government believes the comprehensive 
inclusion of energy market stakeholders will make the ambitious 
target of 30 percent reduction achievable by 2020.  The introduction 
of more renewable energy sources, including a 100 percent increase 
in wind power, is also expected to contribute to the reduction in 
emissions.  Other proposed measures include increasing energy 
efficiency by mandating that all new buildings be carbon neutral by 
2012 and introducing a differentiated tax scheme for the automotive 
industry to provide incentives for purchasing fuel efficient 
vehicles. 
 
¶4.  During your visit you will tour a Wind Turbine Laboratory (WMC) 
that specializes in applied research on materials, components and 
structures of wind turbine structures.  The facility is one of the 
largest of its kind in the world and tests wind turbines of over 60 
meters (200 feet) in length and machines weighing up to 300 tons. 
WMC is the result of a joint venture between the Energy Research 
Center of the Netherlands (ECN) and the University of Delft. 
 
¶5.  You will later visit ECN itself, the largest research laboratory 
in the Netherlands devoted to energy.  It operates along the same 
lines as the National Laboratories in the U.S. (Sandia National 
Laboratory, Lawrence Livermore National Laboratory).  It is partly 
financed by the Dutch government and partly self-financed with 
revenue from joint projects with industry and patents it develops. 
ECN develops technology for renewable energy (wind, solar, biomass, 
fuel cell, and hydrogen) as well as coal, gas and nuclear power. 
ECN is also a major player in shaping energy policy for the 
Netherlands.  The Dutch government used ECN's 2006 "Options 
Document" as the basis for its plan to have renewable energy 
generate 30 percent of the country's energy by 2020.  The document 
created considerable political controversy as it also recommended 
increased investment in nuclear power. 
 
Water Management and Flood Control 
---------------------------------- 
 
¶6.  Throughout Dutch history, flooding and water management have 
been major factors shaping the Netherlands geographically and 
institutionally.  Bridges, dikes, windmills, and pumping stations 
are well-known symbols of the Dutch struggle against the sea and 
rivers.  An estimated 75 percent of Dutch gross domestic product is 
generated at locations below sea level.  These areas largely consist 
of polders, which are flat stretches of land surrounded by dikes 
 
THE HAGUE 00001492  002.2 OF 003 
 
 
where the water table is controlled artificially.  However, 
elevating dikes will no longer offer long-term protection against 
rising sea levels associated with global warming and greater volumes 
of water in rivers. 
 
¶7.  During your visit, you will hear from Ministry of Transport and 
Water State Secretary Tineke Huizinga-Heringa about how the Dutch 
are rethinking their strategies and charting new courses in water 
management, including shifting from "hard" defenses such as dikes to 
more natural defenses.  Your tour of the Dutch Delta Works system 
will highlight the Maeslant storm surge barrier, a movable structure 
built to avoid the raising of dikes around Rotterdam.  Its unique 
design -- a movable barrier that can be closed when water levels 
threaten existing dikes in the area -- does not hinder shipping to 
this important port city.  Another part of your program will include 
a tour of the "Room for Rivers" project, which seeks to manage the 
discharge of large volumes of water in the Rhine, the Waal, and the 
Meuse rivers.  You will also hear what the Netherlands Water 
Partnership, an independent public-private organization, is doing to 
coordinate and promote Dutch water management expertise in places 
such as Louisiana, Florida, California, and New York.  (The Dutch 
provided extensive material support and expertise to the New Orleans 
area and the Army Corps of Engineers following Hurricane Katrina.) 
 
Political Overview 
------------------ 
 
¶8.  The Netherlands is slightly less than twice the size of New 
Jersey and has a population of 16.4 million.  The Netherlands is a 
constitutional monarchy with a parliamentary form of government. 
Queen Beatrix is the titular head of state and has mostly ceremonial 
duties, but does retain some political influence.  Prime Minister 
Jan Peter Balkenende's center-right coalition government collapsed 
in the summer of 2006, at the beginning of its fourth and final year 
in office, when the Social Liberal (D66) party, the smallest of the 
three coalition partners, withdrew its support.  Precipitating 
factors were a move by then Immigration Minister Rita Verdonk to 
strip former Parliamentarian Ayaan Hirsi Ali, a Somali refugee, of 
her Dutch passport because she had lied on her residency 
application. 
 
¶9.  Following elections in November 2006, Prime Minister Balkenende 
formed his fourth coalition government since 2002, this time 
comprised of his center-right Christian Democratic Alliance (CDA), 
center-left Labor (PvdA), and orthodox Protestant Christian Union 
(CU) parties.  Fringe parties on the right (Party of Freedom) and 
left (Socialist Party) did unexpectedly well in these elections, but 
had little impact on the cabinet formation process.  Balkenende's 
coalition holds a narrow majority (80 out of 150 seats) in the Lower 
House of Parliament and must cope with political pressure from both 
right and left. 
 
Economy Overview 
---------------- 
 
¶10.  The Dutch economy depends on trade; Amsterdam's Schiphol 
Airport (Europe's fourth busiest) and the Port of Rotterdam 
(Europe's largest) make the country a gateway to Europe.  The 
Netherlands is the fourth largest source of accumulated foreign 
direct investment in the United States and is the third largest 
destination of foreign direct investment from the United States. 
GDP grew by 2.9 percent in 2006, which put the Dutch ahead of 
eurozone averages for the first time in seven years.  Unemployment 
has fallen to 5.5 percent. 
 
U.S.-Dutch Cooperation 
---------------------- 
 
¶11.  The Dutch generally take similar approaches to the U.S. on 
international security, human rights, free trade, and rule of law 
issues, although differences on specific policies are not uncommon. 
The Dutch are committed internationalists who support strong 
transatlantic ties through NATO and the further development of the 
European Union.  Long active in peacekeeping missions in the 
Balkans, Dutch military forces participated in Operation Enduring 
Freedom, made significant contributions to stabilization efforts as 
part of Operation Iraqi Freedom, and continue to take part in NATO's 
International Security Force in Afghanistan.  The Netherlands is 
also an international legal center and hosts the International Court 
of Justice, the Iran-U.S. Claims Tribunal, and the International 
Criminal Tribunal for the Former Yugoslavia. 
 
U.S. Mission Background 
----------------------- 
 
THE HAGUE 00001492  003.2 OF 003 
 
 
 
¶12.  The U.S. Mission to the Netherlands, including the Embassy in 
The Hague and the Consulate General in Amsterdam, has employees from 
the Departments of State, Commerce, Agriculture, Justice (DEA and 
FBI), Homeland Security (DHS), Defense, and NASA.  DHS's Immigration 
and Customs Enforcement (ICE) and Customs and Border Protection 
(CBP) maintain offices in Rotterdam and at Schiphol Airport.  The 
U.S. Secret Service has a Europol liaison officer stationed in The 
Hague.  The Consulate General in Amsterdam provides all consular 
services in The Netherlands and includes offices for DHS's Customs 
and Border Protection and the Commerce's U.S. Commercial Service. 
It serves a resident American population of 41,000 in addition to 
over one million U.S. visitors annually.