VZCZCXRO6225
RR RUEHKN RUEHKR RUEHMJ
DE RUEHKN #0108/01 2060127
ZNR UUUUU ZZH
R 250127Z JUL 09
FM AMEMBASSY KOLONIA
TO RUEHC/SECSTATE WASHDC 2338
INFO RULSJGA/USCG HQ WASHDC
RHHMUNA/HQ USPACOM HONOLULU HI
RHMFIUU/COMNAVMARIANAS GU
RHMFIUU/CCGDFOURTEEN HONOLULU HI
RUWDQAA/COMCOGARD SECTOR GUAM
RUEHSV/AMEMBASSY SUVA 0056
RUEHKR/AMEMBASSY KOROR 0341
RUEHMJ/AMEMBASSY MAJURO 0448
RUEHKN/AMEMBASSY KOLONIA 2706

UNCLAS SECTION 01 OF 03 KOLONIA 000108 
 
SENSITIVE 
SIPDIS 
 
DEPT FOR OES 
EAP/ANP 
SUVA FOR JOE MURPHY 
 
E.O. 12958: N/A 
TAGS: EFIS PGOV PREL FM
SUBJECT: US COAST GUARD COMMANDANT VISITS POHNPEI, STRESSES FISHERIES 
MANAGEMENT 
 
¶1. (SBU) Summary.  U.S. Coast Guard Commandant Thad Allen 
visited the island of Pohnpei, Federated States of Micronesia 
(FSM), from July 19 to July 21.  Admiral Allen met with FSM 
President Emanuel Mori and members of his cabinet, members of 
the FSM Congress, and Australian and Micronesian personnel from 
the FSM Maritime Surveillance Unit.  FSM fisheries dominated the 
discussions.  Revenue derived from fishing licenses may actually 
impede conservation efforts - since the FSM government relies 
upon that revenue for most of its general expenditures it 
allocates very little to maritime surveillance and conservation. 
 It is incumbent upon the country to dedicate a portion of its 
licensing fees to preserve marine resources.  End summary. 
 
MEETING WITH PRESIDENT MORI AND HIS CABINET 
 
¶2. (SBU) President Mori began the meeting by expressing his 
extreme gratitude for the Coast Guard's great work.  He noted 
that a relative of his was the subject of a search and rescue 
attempt by the Guam Coast Guard, albeit an unsuccessful one. 
The President went on to state that he was very happy with the 
Shiprider Agreement that allows FSM law enforcement personnel to 
accompany Coast Guard cutters on patrol.  Finally, President 
Mori expressed his overall satisfaction with the defense and 
security provisions of the Compact of Free Association between 
the U.S. and the FSM. 
 
¶3. (SBU) In reply, Admiral Allen expressed his appreciation for 
the partnership.  The Admiral noted that distant water fishing 
fleets from as far away as Europe and South America are 
descending on the FSM's exclusive economic zone (EEZ), posing a 
real threat to the country's marine resources. 
 
¶4. (SBU)  Foreign Affairs Secretary Lorin Robert brought up the 
Sasakawa Foundation's willingness to fund improvements to the 
FSM's maritime surveillance capabilities, but the government 
still needs to figure out how to use the funding.  Admiral Allen 
suggested that the FSM work with other Pacific Island countries 
to create a unified maritime surveillance model, one that 
ensures resource sustainability while preserving national 
sovereignty.  Secretary Robert responded that, under the Niue 
Treaty, the FSM shares the area's fisheries responsibility with 
the Republic of the Marshall Islands (RMI) and Palau.  A 
"sub-Niue agreement" is likely the best route to properly share 
their surveillance assets. 
 
¶5. (SBU) The meeting ended after Admiral Allen assured his 
Micronesian hosts that in the event of a natural disaster, the 
Coast Guard will respond with resources as they are needed, 
without regard to immediate reimbursement. 
 
¶6. (SBU) President Mori concluded the meeting rather early, 
before a number of issues could be discussed.  He and the 
Admiral then exchanged gifts, posed for pictures, and talked 
informally.  It was during this conversation, the Admiral later 
confided, that the pair discussed the FSM's fishing revenues. 
Admiral Allen urged President Mori to take out a certain 
percentage of fishing licensing fees and dedicate that money to 
a proper surveillance program.  President Mori responded that he 
believes that FSM licensing fees were too low, amounting to only 
about 5 percent of the total catch value.  His government is 
considering raising those fees, but whether the political will 
exists to spend any of that on sustainability programs is a 
different question.  The President admitted that his country 
relies too heavily on fisheries for revenue, and any increase in 
licensing fees may just go toward general government operations. 
 
AT THE FSM NATIONAL CONGRESS 
 
¶7. (SBU) The Commandant and his party then moved over to the FSM 
Congress and met with Pohnpean Senator Dohsis Halbert, Chairman 
of the Ways and Means Committee, Senator Peter Sitan of Chuuk, 
and Legislative Counsel Lam Dang.  After a brief introduction by 
the Admiral, Senator Halbert admitted his country's inability to 
patrol their own EEZ.  The Senator looks to the U.S. to cover 
the area.  He worried that maritime surveillance may falter 
since there are no provisions for such programs in the Amended 
Compact, a change from the original Compact.  The Admiral 
offered assurances of continued U.S. assistance. 
 
¶8. (SBU) The Admiral then asked if there were stable revenues 
 
KOLONIA 00000108  002 OF 003 
 
 
that could support the patrol boats.  Senator Halbert replied 
that while revenues are stable, the increasing cost of fuel 
cripples the program.  His government must find ways to offset 
price increases.  Admiral Allen acknowledged that fuel costs 
affect surveillance programs all over the world, but the best 
way to protect an EEZ is to create a continuous presence, to let 
the world's fishing fleets know that "you are out there."  The 
costs of such a presence should be included in the licensing 
fees.  Senator Sitan pointed out that since the Western and 
Central Pacific Fisheries Commission also charges fees the FSM 
government may end up squeezing the fishermen out of business. 
Admiral Allen stated that he was leaning toward the idea of a 
regional agreement among all relevant actors and imposing a 
single fee structure. 
 
¶9. (SBU) Legislative Counsel Lam Dang noted that the FSM is 
considering the imposition of fishing quotas.  However, even he 
acknowledged the political risks of limiting the current catch, 
noting that "fish don't vote."  He would like to see a separate 
line item for maritime surveillance under the Compact and noted 
that the FSM could use all the help they could get.  When 
Admiral Allen pointed out that the International Maritime 
Organization (IMO) might be a good vehicle to address such 
issues, Dang replied that the FSM, unlike RMI and Palau, is not 
an IMO member.  In no uncertain terms, Admiral Allen urged the 
FSM to join the organization as soon as possible. 
 
THE FSM MARITIME SURVEILLANCE PROGRAM 
 
¶10. (SBU) The Commandant ate lunch with a representative of the 
Australian Embassy, as well as two Australian Maritime 
Surveillance Unit advisors.  Lieutenant Commander Paul Ruhl and 
Chief Petty Officer Christopher O'Keefe of the Royal Australian 
Navy, in a program funded by the U.S. and Australia, work with 
the FSM National Police Maritime Surveillance Unit, offering 
advice on surveillance techniques and the operation of the 
Australian-donated patrol boats. 
 
¶11. (SBU) LCDR Ruhl took the lead in explaining the surveillance 
operations.  He noted that the only means to currently oversee 
the FSM EEZ is through the electronic Vessel Monitoring System 
(VMS) and the observer program.  LCDR Ruhl noted that 
sovereignty issues play a big role in the central Pacific.  Each 
country wants to control access to information in their 
respective EEZs.  Thus, his Unit cannot see the VMS of an RMI 
ship that has slipped over to FSM waters.  Admiral Allen 
acknowledged the problem, noting that every fisherman treats his 
fishing spots as proprietary information and seeks to limit the 
disclosure of those locations. 
 
¶12. (SBU) LCDR Ruhl also speculated that the ultimate goal of 
Australia's assistance, a self-reliant, Micronesian maritime 
surveillance program patrolling sustainable marine resources, 
may not be attainable.  As long as the FSM government depends on 
licensing fees for such a large part of its basic income there 
is little incentive to deter overfishing or divert funds for 
conservation.  Admiral Allen suggested that the FSM should 
threaten to limit licenses unless compliance improves, perhaps 
through the use of sunset provisions for all fishing licenses. 
Even if the FSM government doesn't plan to enforce such 
provisions, the threat alone could improve the fishing vessels' 
behavior. 
 
¶13. (SBU) LCDR Ruhl also complained that the New Zealanders are 
very good at alerting him whenever they pass through the area, 
but U.S. Navy ships are not so considerate.  Admiral Allen 
pointed out that the U.S. Navy is unique, perhaps the only naval 
force on earth that does not also have a law enforcement 
portfolio.  Perhaps the presence of Coast Guard personnel on 
Navy ships passing through the area could give Navy crews a 
better idea on how to spot illegal fishing vessels. 
 
¶14. (SBU) After lunch, the Admiral traveled to the Pohnpei 
docks.  He met the Micronesian members of the Maritime 
Surveillance Unit, along with National Police Chief Pius 
Chotailug and Transnational Crime Unit Advisor Michael Murray of 
the Australian Federal Police.  After a short power point 
presentation on the Unit's work, the Commandant toured one of 
the patrol boats, the FSS Palikir.  Afterwards, the Admiral and 
others accompanied LCDR Ruhl on a tour of the harbor in a small 
 
KOLONIA 00000108  003 OF 003 
 
 
boat, despite a downpour. "Coast Guard weather," noted the 
Admiral.  Later that evening Admiral Allen attended a reception 
hosted by Secretary Robert. 
 
CONCLUSION 
 
¶15. (SBU) At the end of the visit it became clear that the FSM's 
dependence on licensing fees is an impediment to improving their 
stewardship of marine resources.  Government officials hesitate 
to crack down on shady fishing operations, fearful that any such 
moves may crimp revenues, income the government uses to fund a 
wide range of operations.  A portion of licensing fees must be 
set aside to support enforcement efforts.  Unless the FSM and 
other western and central Pacific island nations dedicate 
resources to improve conservation, "the last profitable 
fisheries on Earth" may soon become only a memory. 
 
¶16. (U) Post offers its warmest thanks to the Commandant and his 
staff.  The visit was well-appreciated by Micronesian officials 
and post personnel alike. 
 
¶17. (U) Coast Guard Headquarters - Washington cleared on this 
message. 
DOUGLASSWD