UPDATE 1-US mulls nuclear cooperation agreement with Russia http://today.reuters.com/business/newsarticle.aspx?type=tnBusinessNews&storyID=nN27132961
Thursday 27 April 2006
(Adds IAEA report expected Friday, paragraph 10)
By Carol Giacomo, Diplomatic Correspondent
WASHINGTON, April 27 (Reuters) - The United States is discussing the possibility of a civilian nuclear energy agreement with Russia that could help wean Moscow away from cooperation with Iran, according to U.S. officials.
The move comes as Western powers are increasingly alarmed about what they say is Iran's determination to produce nuclear weapons.
Diplomatic efforts to persuade Tehran to reverse course so far have been frustrated, in part because of U.S. and allied differences with Russia, the only major power still engaging in lucrative nuclear cooperation with the Islamic republic.
In recent interviews, several U.S. officials said a possible nuclear energy accord with Moscow is under review. They spoke anonymously because the issue is sensitive and no final decision has been made.
Such an agreement would be a significant change in U.S. policy, which now prohibits most nuclear cooperation with Russia because of Moscow's pivotal role in building Iran's $800 million nuclear power plant at Bushehr.
A cooperation agreement is "something that we're actively evaluating" and have discussed with the Russians over the past two months, one official told Reuters.
"It would provide a foundation for greater (U.S.-Russia) cooperation but doesn't commit the sides to any particular project and could be a way of demonstrating to the Russians how much larger our market is than what exists in Iran," he added.
Russia has long defended its nuclear cooperation and conventional arms sales to Iran as a critical revenue source.
RUSSIA COMMITTED TO BUSHEHR
U.S. officials have intensified efforts to get Moscow to end both pursuits to penalize Iran for defying the security council, which has demanded Tehran halt uranium enrichment activities.
Mohamed ElBaradei, chief of the U.N. International Atomic Energy Agency, is widely expected to report to the security council on Friday that Tehran has not met the U.N. demands. Iran insists it only wants to produce energy, not weapons.
While Russia remains committed to Bushehr, U.S. officials say work has slowed and Moscow still has not delivered critical nuclear fuel for the reactor.
Robert Einhorn, a former top U.S. nonproliferation official, said a nuclear agreement with Russia is a sound idea "but whether by itself it will constitute a sufficient carrot for Russia to take a tougher position on Iran remains to be seen."
The United States has as much to gain from an agreement as Russia, and Moscow is unlikely to make major concessions just to get it, "but it does provide an incentive for Russia to want to benefit from cooperation with the U.S.," said Einhorn, of the Center for Strategic and International Studies. A recent bi-partisan study by the Council on Foreign Relations concluded that Russia is "the only power that can effectively threaten Iran with nuclear isolation if it continues to build sensitive nuclear fuel-cycle facilities."
It urged Washington to negotiate a nuclear energy agreement, saying while "it should not be necessary to buy Russia's support, successful cooperation does have to rest on mutual confidence" and this can be strengthened by a stronger legal framework for cooperation on nuclear issues.
The nuclear deal will allow expanded cooperation, including the administration's Global Nuclear Energy Partnership Initiative, and "will reflect Russia's status as a major factor in nuclear commerce, from fuel supply and storage to reactor sales and advanced research," the study said. Since the end of the Cold War, the United States and Russia have worked to reduce nuclear weapons risks, including a highly successful program under which Russia is blending down 500 tons of weapons-grade material so it can be used to generate electricity rather than for weapons.
The United States, backed by Britain and France, favors limited sanctions if Iran refuses to halt enrichment very soon. Russia and China, the Security Council's other two veto-holding permanent members, have so far opposed this.
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