Thursday, December 5, 2013

Eye on Iran: Iran's Ability to Enrich Uranium Troubles U.S. Lawmakers







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Reuters:
"U.S. lawmakers in the House of Representatives said on Wednesday they are concerned about Iran's ability to continue enriching uranium under the interim agreement on Tehran's disputed nuclear program, an issue they are likely to press as global powers attempt to reach a final agreement. The concerns showed that House lawmakers could be willing to push for a new sanctions package next year that would define what Congress would be willing to accept in a final deal with Iran... 'It would have been better if Iran during the course of the negotiations would stop enriching. I don't think that would have been too much to ask Iran,' said Representative Eliot Engel, a Democrat and ranking member of the House Foreign Affairs Committee. 'It makes me question the sincerity of the Iranians,' Engel told reporters after a classified House briefing with Wendy Sherman, the State Department's lead negotiator on Iran's nuclear program... Representative Tom Price, a Republican from Georgia, said on Tuesday that the Obama administration had given Iran too much in the interim agreement. 'I think we have to be much more aggressive in pushing back on the administration on what they've done so far,' he said before lawmakers met with Sherman." http://t.uani.com/1jphLSX

WashPost: "When it comes to U.S. sanctions on Iran, no detail is too small to overlook these days. Since February, publicly traded companies have filed nearly 500 disclosure forms about their business ties to Iran. The disclosures included hotel bills, Costco memberships and a few dollars collected for ATM transaction fees. The recent six-month deal with Iran over its nuclear program holds out the promise of a modest relaxation of international sanctions, but there is no letup in the new requirement that companies whose stock trades on U.S. exchanges keep track of even the tiniest interactions with the Islamic republic. And as Congress threatens to undercut the nuclear deal with even tougher sanctions, companies are scrambling to document virtually every Iranian encounter. Corporations can quickly rack up millions of dollars in fines if they violate trade sanctions, and the dollar amount can climb higher if the activity is not properly disclosed. Perhaps more alarming to firms are the reputational and legal risks they face if they fail to report the business ties, including potential lawsuits from disgruntled investors. 'It's statutes like these that strike fear in the hearts of companies,' said Jacob S. Frenkel, a former Securities and Exchange Commission enforcement lawyer who is now at Shulman Rogers. 'The concern is about the consequence of not disclosing or disclosing too little.' So most companies aren't taking any chances... Not all of the disclosures are trivial. On Nov. 27, for example, Siemens reported that a French affiliate had fixed a smoke alarm on an Iranian passenger plane - butalso disclosed that it sold 23 diesel electric locomotives worth $56 million to an Iranian firm that resold them to the state-owned railway. On Nov. 8, banking giant UBS said it had arranged trade financing for Swiss exporters involving four Iranian banks allegedly taking part in deals related to weapons of mass destruction." http://t.uani.com/1iCjAhB

CNBC: "Iran's oil tanker fleet started enabled vessel tracking systems in a signal to customers that it's ready to return to world markets barely 48 hours after Tehran agreed on an interim deal on November 24 to restrict its nuclear program in return for sanctions relief, Thomson Reuters data revealed. Before the deal's announcement in Geneva, more than 50-75 percent of National Iranian Tanker Co (NITC) tankers were seen to have their transponders turned off, according to information provided by Thomson Reuters Oil Analytics. But just days after the deal was struck, only eight out of 39 NITC tankers - or 21 percent of the fleet - had their tracking systems disabled as of 0330 GMT on Nov. 26, implying 'that NITC is gearing up to bring its oil export operations back to pre-sanction levels,' Thomson Reuters Oil Analytics' Yaw Yan Chong and Luke Pachymuthu said in a commentary on Nov. 26. Thomson Reuters Oil Analytics believe Iran is most likely signaling a willingness to export more fuel oil - a feedstock used mainly by China's small, independent 'teapot' refiners which make up more than a quarter of the country's refining capacity... Thomson Reuters Oil Analytics say Iran has raised offers of its fuel oil cargoes by more than five times after the interim nuclear pact was struck with Western powers, and state-run National Iranian Oil Company (NIOC) has reverted to 'direct negotiations with buyers for the first time in more than two years.'" http://t.uani.com/1bjhZrl
 
Nuclear Negotiations

Reuters: "A top U.S. diplomat suggested on Wednesday the United States may press Iran to agree to dismantle part of its Arak nuclear reactor in a comprehensive agreement to rein in Tehran's atomic program. Under an interim deal agreed between Iran and six world powers last month, Iran is to shelve fuel production for six months at Arak, an unfinished heavy-water research reactor which Western countries say Tehran could use to produce plutonium for atomic bombs. Iran says the reactor is for medical isotopes. A comprehensive agreement 'includes a lot of dismantling of their infrastructure,' Wendy Sherman, undersecretary of state for political affairs, said on PBS Newshour, speaking about a final deal with Iran. 'Because, quite frankly, we're not quite sure what you need a 40-megawatt heavy water reactor - which is what Arak is - for any civilian peaceful purpose.'" http://t.uani.com/1hzRSAx

Sanctions

Bloomberg: "U.S. Secretary of State John Kerry said in Jerusalem today that sanctions against Iran will be maintained and their enforcement tightened, in a bid to ease Israeli Prime Minister Benjamin Netanyahu's concerns about an initial nuclear deal with Iran... 'With respect to the sanctions, we will obviously be vigilant,' Kerry said, after meeting with Netanyahu. 'The fundamental sanctions regime of oil and banking remains absolutely in place. It is not changed and we will be stepping up our efforts of enforcement through the Treasury Department and through the appropriate agencies of the United States.'" http://t.uani.com/ItRl4p

WT: "Economic sanctions against Iran 'have failed utterly,' the Islamic republic's foreign minister said of Western efforts to curtail Tehran's disputed nuclear program, just days after securing a deal with world powers to temporarily ease some of those same sanctions. 'When sanctions started, Iran had less than 200 centrifuges. Today Iran has 19,000 centrifuges, so the net product of the sanctions has been about 18,800 centrifuges that have been added to Iran's stock of centrifuges,' Foreign Minister Mohammad Javad Zarif said in an interview with Al-Jazeera that aired Tuesday night. 'So sanctions have utterly failed in that regard.' In addition, Mr. Zarif said the sanctions, which constrict Iran's oil industry and central bank, have invited consternation for the West among Iranians, whose ability to buy food and medicine has been crippled. 'Iranians are almost allergic to pressure and intimidation. They respond negatively,' he said." http://t.uani.com/19j3WOx

WSJ: "The head of Italian oil company Eni SpA (E) had a 'fairly long and very warm' meeting with Iran's oil minister in Vienna Thursday to discuss a possible increase in the company's activities in the country if western sanctions are lifted. 'We plan to continue to be in Iran and possibly increase our activity, as long as the sanctions regime is lifted,' Eni Chief Executive Paolo Scaroni said. However, he added the country would have to modify the terms of its contracts to become more attractive to international oil companies." http://t.uani.com/18EQ5rw

Human Rights

IHR: "Four Ahwazi Arab political prisoners have been executed, according to reports received by Iran Human Rights (IHR). The executions are also reported by BBC Persian and several other sources. Ghazi Abbasi, Abdul-Reza Amir-Khanafereh , Abdul-Amir Mojaddami and Jasim Moghaddam Payam were sentenced to death by Branch 1 of the Ahwaz revolutionary court on August 15, 2012. They were convicted of 'enmity with God', which is a common charge made against critics of the government. The death sentences were upheld by the Supreme Court in February, although it is believed that the lawyer representing Abdul-Reza Amir-Khanafereh was still in the process of appealing against the conviction before the executions." http://t.uani.com/1cnzGq5

AP: "Iran's powerful Revolutionary Guard has arrested 16 activists accused of providing material to anti-government websites, the state media said Wednesday. The official IRNA news agency quoted Ahmad Ghorbani, a local prosecutor in Kerman in southeast Iran, as saying the 16 are facing charges of cooperating with Western and anti-Iran news networks. Ghorbani didn't say when the 16 were detained but said confessions obtained during interrogations prove the charges against the defendants. The 16 were not identified but were accused of providing materials to websites seeking to topple Iran's Islamic ruling system... Meanwhile, Iran's morality police have arrested Amir Tataloo, a popular underground singer whose songs authorities deem inappropriate, the daily Etemad reported Wednesday." http://t.uani.com/1cnyaUP

RWB: "Reporters Without Borders condemns a new crackdown on online freedom of information in Iran in which Revolutionary Guards have arrested at least 24 news and information providers in Rafsanjan, Kerman and Tehran in the past two weeks. On 23 November, Rafsanjan's public prosecutor announced the arrest of seven men and a woman for 'insulting society's sacred beliefs and Islamic values online" without naming them or saying exactly what charges had been brought against them. He limited himself to adding: "The intelligence services are monitoring the Internet with great care and are cracking on all possible violations.'" http://t.uani.com/1ccF2Ro

Verge: "Grand Ayatollah Ali Khamenei is the Supreme Leader of Iran. He's devout, conservative, and fiercely anti-Western. He's also an avid Twitter user. Over the past few months, both Khamenei and Iranian President Hassan Rouhani have warmed up to social media, regularly using Facebook and Twitter to release statements, push agendas, and, in some cases, engage in diplomatic tussles. It's not that different from how politicians across the globe use social platforms, but the Iranian case is unique considering the leadership's long-standing public aversion to all things Western - and to social media, in particular. Sites like Facebook, Twitter, and YouTube are blocked within Iran, underscoring a fundamental tension that has only recently begun to crystallize: as Iranian officials continue to spread their messages across social platforms, the country's citizens remain quarantined behind web filters and firewalls, unable to legally access the services that have suddenly become an important part of their political landscape. 'Certainly there is a glaring hypocrisy in how openly and frequently Iran's officials engage in social media,' Afshon Ostovar, a Middle East analyst at CNA Strategic Studies, wrote in an email to The Verge." http://t.uani.com/IEBvDG

Domestic Politics

Al-Monitor: "The website for Ansar-e Hezbollah has published an op-ed attacking President Hassan Rouhani for allowing a large number of mixed-sex pop music concerts to take place and for his lax approach to Iran's film industry, which according to the article has threatened Iran's religious and cultural values. The article, which referred to Rouhani as "Doctor" in the headline because of his PhD from Glasgow University, sardonically asks, 'Are you a cleric?' It's one of the harsher articles against the president since he took office nearly three months ago and uses the occasion of Rouhani's 100-day report to question and criticize the administration's actions in the cultural field." http://t.uani.com/18EQVED
Opinion & Analysis

Jeffrey Goldberg in Bloomberg: "The interim nuclear agreement between the Great Powers (such as they are) and Iran is creating a lot of anxiety for people who support the deal, because not much proof has been offered to suggest that it will actually work. And by 'not much proof,' I mean, 'no proof.' Why support it, then? Because, so far, the remote possibility that this agreement will lead to the denuclearization of Iran beats the alternative: military action by the U.S. or, worse, by Israel. All options should be on the table, but, really, the military option could be disastrous. Here are six reasons to be worried about the strength of this interim deal. These worries have to do with the particulars of the agreement, but also with the reality of the Iranian nuclear program, which is already quite well developed.
1.     The deal isn't done. Remember the photos from Geneva of smiling foreign ministers slapping backs and hugging in celebration of their epic achievement? Well, nothing was actually signed. The deal is not, as of this moment, even operational. U.S. State Department spokeswoman Jen Psaki was asked a question last week about when the deal might actually take effect. 'The next step here is a continuation of technical discussions at a working level so that we can essentially tee up the implementation of the agreement. So that would involve the P5+1 -- a commission of the P5+1 experts working with the Iranians and the IAEA,' she said, referring to the permanent members of the United Nations Security Council plus Germany and the International Atomic Energy Agency. 'Obviously, once that's -- those technical discussions are worked through, I guess the clock would start.' Focus on those last words for a second: 'I guess the clock would start.' Do words like those make you worried, or is it just me? ...
2.     Momentum for sanctions is waning. It's true that the economic relief the Iranians will receive in this deal is modest, but it is also true that many nations, many companies and the Iranians themselves are seeing this agreement as the beginning of the end of the sanctions regime...
3.     The (still unenforced) document agreed upon in Geneva promises Iran an eventual exit from nuclear monitoring. The final (theoretical) deal, the document states, will 'have a specified long-term duration to be agreed upon,' after which the Iranian nuclear program 'will be treated in the same manner as that of any non-nuclear weapon state' that is part of the Non-Proliferation Treaty. From what I'm told, the U.S. hopes this eventual agreement, should it come to pass, would last 15 years; the Iranians hope to escape this burden in five. After the agreement loses its legal force, Iran could run however many centrifuges it chooses to run. This is not a comforting idea.
4.     The biggest concession to the Iranians might have already been made. Although it is the West's position that it has not granted Iran the so-called right to enrich, the text of the interim agreement states that the permanent deal will 'involve a mutually defined enrichment program with mutually agreed parameters.' Essentially, Barack Obama's administration has already conceded, before the main round of negotiations, that Iran is going to end up with the right to enrich. Realists would argue that Iran will end up with that 'right' no matter what, but it seems premature to cede the point now.
5.     The Geneva agreement only makes the most elliptical references to two indispensable components of any nuclear-weapons program. The entire agreement is focused on the fuel cycle, but there is no promise by Iran in this interim deal to abstain from pursuing work on ballistic missiles or on weaponization. A nuclear weapons program has three main components: the fuel, the warhead and the delivery system. Iran is free, in the coming six-month period of the interim deal, to do whatever it pleases on missiles and warhead development.
6.     The Iranians are so close to reaching the nuclear threshold anyway -- defined here as the ability to make a dash to a bomb within one or two months from the moment the supreme leader decides he wants one -- that freezing in place much of the nuclear program seems increasingly futile." http://t.uani.com/1g9NUhM

Eye on Iran is a periodic news summary from United Against Nuclear Iran (UANI) a program of the American Coalition Against Nuclear Iran, Inc., a tax-exempt organization under Section 501(c)(3) of the Internal Revenue Code. Eye on Iran is not intended as a comprehensive media clips summary but rather a selection of media elements with discreet analysis in a PDA friendly format. For more information please email Press@UnitedAgainstNuclearIran.com

United Against Nuclear Iran (UANI) is a non-partisan, broad-based coalition that is united in a commitment to prevent Iran from fulfilling its ambition to become a regional super-power possessing nuclear weapons.  UANI is an issue-based coalition in which each coalition member will have its own interests as well as the collective goal of advancing an Iran free of nuclear weapons.

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