Institute for War & Peace Reporting
July 7 2005

AZERBAIJAN BOOSTS MILITARY

Baku increases defence spending, though some question how effectively
the money will be spent.

By Adalat Bargarar in Baku

Azerbaijani president Ilham Aliev has used National Army Day to
announce a big increase in defence spending that he says will
transform his country’s military capacity.

The president said the rise in spending was in response to Russia’s
recent transfer of military hardware from neighbouring Georgia to
Azerbaijan’s arch-rival Armenia. Moscow moved the tanks and other
equipment as part of an agreement under which it is to close its two
military bases in Georgia by 2008.

`True, this military technology is not being given to Armenia but
remains under the control of the Russian base [located in Gyumri,
Armenia],’ said President Aliev on June 26. `But nevertheless it is
being transferred to Armenian territory, and that requires active
measures on our part, which we have taken by raising budgetary
expenditures on defence.’

Aliev said that while the defence budget was 135 million US dollars
in 2003 and 175 million last year, this year it reach 300 million
dollars.

The increases have been made possible by a massive injection of
revenues to the Azerbaijani budget from the new Baku-Tbilisi-Ceyhan
pipeline, which will start exporting oil later this year.

`In past years, spending has been raised by 70 per cent. We are
continuing that policy,’ said the president.

The defence ministry says Azerbaijan’s army has 76,000 servicemen.

In recent months, there has been more talk in Azerbaijan of using the
military option to resolve the frozen conflict with Armenia over the
disputed enclave of Nagorny Karabakh. The two sides signed a
ceasefire in 1994, but tensions remain high along the front line.

Azerbaijani defence minister Safar Abiev stated recently that
`sufficient force and decisiveness by Azerbaijan will liberate the
occupied territories’.

Most observers believe a resumption in hostilities is unlikely, at
least for the moment.

Hikmet Hajizade, a political analyst close to the Azerbaijani
opposition, says that fighting in Karabakh is `not realistic’ right
now. But he added that `in the future, if negotiations reach a dead
end, then it can’t be ruled out that war will break out’.

`Azerbaijan will by that time have a lot of money, some of which will
be directed to increasing military spending and developing the army,’
Hajizade told IWPR. `And society will grow tired of the lack of
results from the negotiations and demand a solution.’

Ramiz Melikov, the defence ministry’s press secretary, says that in
view of the continuing negotiations with Armenia, it would be
`incorrect’ to comment on the possibility of renewed fighting.

Hajizade believes that at the very least, boosting military spending
will strengthen Baku’s hand in the ongoing negotiations over
Karabakh.

`In principle, such significant growth, and a policy geared towards a
further rise in military spending, can influence the peace
negotiations,’ he said. `This needs to be done, because Azerbaijani
society is tired of waiting [for a resolution].

`The armies of Armenia and Russia are facing off against our armed
forces. This is a way of levelling the playing field. It is necessary
to follow this policy; it is correct.’

Ilgar Verdiev, another defence ministry spokesman, said the extra
funds will be used to deepen cooperation with NATO, with which
Azerbaijan is already working very closely. `[The money will be
spent] on training personnel and improving our military-technical
potential,’ said Verdiev.

Azerbaijan signed an individual partnership plan with NATO in April
2005, which reqiures Baku to bring its army into compliance with the
alliance’s standards before future membership can be considered.

Lieutenant-Colonel Uzeir Jafarov, a reserve officer and military
analyst, expects the defence ministry will spend the money mostly on
improving soldiers’ living conditions, participating in international
military exercises and repairing antiquated equipment from the Soviet
era.

`I approve of the spending increase for military goals – but this is
not enough,’ Jafarov told IWPR. `Increased expenditures does not mean
that tomorrow we will buy C-300 or C-400 rockets.’

`We have to do an awful lot to raise our army to NATO’s standards,’
he continued. `Our military’s biggest problem is that there are no
officers in our defence ministry who have received NATO instruction.’

Jafarov is doubtful that even 300 million dollars will be enough to
allow the military to fulfill its new NATO obligations.

Not all commentators are in favour of a spending boost, and point to
deep weaknesses in the military.

Alekper Mamedov, a reserve army major and director of an organisation
promoting civilian control over the armed forces, fears that
Azerbaijani taxpayers’ money is going straight `into the pockets of
the defence ministry’.

`I think that despite the increase in expenditures, the funds are not
being spent as they are meant to be,’ said Mamedov. `The defence
ministry is one of the most important components in the system of
corruption in the country. As long as this system does not change, it
will be impossible to speak of any significant growth in the armed
forces and honest expenditure of these funds.’

In addition to corruption, Mamedov said the armed forces were plagued
by violence against conscripts, disregard of decisions by civilian
courts and theft of state property.

`The rights of soldiers, cadets and even officers are violated in our
army,’ said Mamedov. `Defence ministry officials fire officers
without any legal basis or sense of responsibility.’

According to Mamedov, within the Baku region alone, defence officials
are refusing to implement some 200 court decisions which were handed
down against the ministry. Furthermore, every year the number of
suicides and criminal acts rises – a sign of the poor living
conditions within the army.

`Instead of rectifying these problems, our ministry creates a false
illusion that they are carrying out reforms and that the army is
following NATO standards,’ he said. `Changing uniforms and the way
soldiers march does not create NATO standards.’

Mamedov recommends a complete overhaul of the system along western
lines, which would include civilian control over the armed forces and
accountability to the courts, parliament and the public. `Only then
might you speak of qualitative growth of the army,’ he said.

One soldier, who wished to remain anonymous because he is currently
serving, agrees with Mamedov’s assessment, `There are such horrifying
incidents at our base.

`For example, young men from the city become thin, weak shadows of
themselves, frequently falling ill. Our base is more or less OK.
There are others that are much worse.’

Ilgar Verdiev of the defence ministry dismissed Mamedov’s criticisms.
`I’m not interested in what that person says,’ he told IWPR.
`Everyone can see the army is growing. We have the strongest armed
forces in the region and nothing anyone can say can gainsay that.’

Adalyat Bargarar is the pseudonym of an Azerbaijani journalist in
Baku.

From: Emil Lazarian | Ararat NewsPress

Institute for War & Peace Reporting
July 7 2005

ARMENIA: DEFORESTATION PLANS DITCHED

Public pressure forces Armenian government to back down on plans to
build a highway through nature reserve.

By Arevhat Grigorian in Shikahogh.

The Armenian government has abandoned plans to build a new highway
through a nature reserve after an unusual public outcry, led by local
environmental groups.

In June, the government approved a road route linking Armenia and
Iran, to the south, via the Shikahogh reserve.

Instead, the road will now circumvent Shikahogh and the Mtnadzor
forests, home to unique trees, plants and even a small number of rare
panthers.

The government was forced to bypass the park by adopting an alternate
route that will add seven kilometres to the original 89-km projected
length. Armenian environmentalists say avoiding Shikahogh will save
14,000 rare trees and hailed the climb down by the government as a
major victory.

But Transport and Communications Minister Andranik Manukian said the
plan to build the road through Shikahogh had been reconsidered not
because of pressure from NGOs, but due to so-called `strategic
problems’. Some observers said the government was merely reluctant
to admit a defeat.

`True, the government does not accept it in any way, but public
opinion was the reason for the change of a decision,’ said Sona
Ayvazian, environmental policy expert with the Centre for Regional
Development/Transparency International Armenia.

Vladik Matirosian of the local non-governmental organisation Khustup
said deforestation would have caused four billion drams (8.8 million
US dollars) in damage to the environment, and endangered many animals
in the area.

`Because of land explosions and the construction machinery, the
forest’s fauna would at best have fled the territory which is an
impregnable, irreplaceable habitat,’ said Martirosian.

Many species in Shikahogh – like the Bezoarian Goat and the Armenian
moufflon (a species of wild sheep) – are indigenous to Armenia. The
reserve is also home to between five and eight Asian Panthers – an
endangered species of which there are only 20 in the greater
Caucasus.

The name Shikahogh (orange earth) comes from the orangey, fiery red
colour of soil in the area. Scientists say the ten thousand hectares
of forest help to moderate hot winds blowing from desert plains in
Iran to the south. The vegetation is also influenced by air from the
Caspian Sea to the east. These climatic conditions have created a mix
of flora and fauna unique to the region, they say.

The oldest parts of the forest in Shikahogh are 1,000 years old. The
growth is so thick in places it block out almost all sunlight,
meaning that deep in the forest even the brightest days can seem dark
here. Experts say the local ecosystem has been kept intact largely
because of the region’s remoteness.

Shikahogh’s director, Ruben Mkrtchian, said the government dispatched
construction machinery towards the reserve this spring. But Mkrtchian
says that following appeals by him, his colleagues and the local
office of the World Wildlife Fund, the government did not press ahead
with delivery of the equipment.

Opponents of the plan then appealed to the president of Armenia, the
chairman of the National Assembly and the prosecutor general,
demanding the project through Shikahogh be scrapped. Some in Armenia
say influential Diaspora figures lobbied extensively and met with
President Robert Kocharian in an effort to overturn the decision to
build the road.

The president of the Armenian Forests NGO, Jeffrey Tufenkian, told
IWPR, `Yes, we believe this is a great precedent. We would like to
see the continuation of this kind of involvement by NGOs,
international organisations, the Diaspora and the general public. If
this kind of public participation continues, Armenia will have a
great future.’

But Tufenkian said it remained to be seen whether the decision to
cancel the road project through the reserve was part of a larger
trend.

`We are certainly glad that the highway will avoid the major part of
the reserve, but we are still concerned that the processes seem to be
happening in an illegal manner,’ said Tufenkian. `For such major
projects the government is required by Armenian law to carry out
proper environmental impact assessments. They are also required to
analyse different possible routes, and they are also required to hold
public hearings. When they took the decision about this new route,
they seemed to be doing none of this.’

Arevhat Grigorian is a correspondent for the newspaper website Hetq
in Yerevan.

From: Emil Lazarian | Ararat NewsPress

Armenian National Committee of America
888 17th St., NW, Suite 904
Washington, DC 20006
Tel: (202) 775-1918
Fax: (202) 775-5648
E-mail: [email protected]
Internet:

PRESS RELEASE

FOR IMMEDIATE RELEASE
July 6, 2005
Contact: Elizabeth S. Chouldjian
Tel: (202) 775-1918

ARMENIAN DELEGATION TO OSCE PARLIAMENTARY ASSEMBLY
THANKS STATES THAT HAVE RECOGNIZED THE ARMENIAN GENOCIDE

— Delegation Head Praises Karabagh’s Elections, Calls for Baku
to Restore Direct Ties to Karabagh’s Government, and Notes
Armenia’s Progress on Constitutional and Electoral Reforms

WASHINGTON, DC – Speaking in Washington, DC at the July 4th plenary
session of the Parliamentary Assembly of the Organization for
Security and Cooperation in Europe (OSCE PA), the head of the
Armenian delegation, Deputy Speaker of the Armenian Parliament
Vahan Vahan Hovhannisian briefed over 300 parliamentarians from 55
OSCE member states about recent developments in Armenia and the
South Caucasus region, reported the Armenian National Committee of
America (ANCA). Joining Vahan Hovhannisian as members of the OSCE
PA delegation were Artashes Geghamyan, MP and Samvel Nikoyan, MP.

At the outset of his remarks, Hovhannisian noted to his colleagues
that 2005 marked the 90th anniversary of the Armenian Genocide,
commenting that “it would not be an exaggeration to say that most
of the current problems in our region stem from those tragic
events.” He went on to thank the OSCE member states that have
recognized the Armenian Genocide, among them Cyprus, Canada,
Russia, Greece, Belgium, Sweden, France, Italy, Switzerland,
Slovakia, Netherlands, Poland, and Germany.

Hovhannisian praised the conduct of the recent Parliamentary
elections in Nagorno Karabagh, the fourth held by the Republic
since independence in 1991. Noting the positive findings of
international election observers, he pointed out that, “Some of
Nagorno Karabakh’s neighbors can learn a great deal from its
example of holding democratic elections.”

In a related matter, the ANCA has supported the efforts of
Congressman Elton Gallegly (R-CA), the Chairman of the
International Relations Subcommittee on Europe, to pass
legislation, H.Res.326, calling for free and fair parliamentary
elections in Azerbaijan. This resolution outlines the expectations
of the U.S. regarding the upcoming November 2005 balloting, with a
special focus on preventing problems, reported in past elections by
international observers, regarding “inequality and irregularities
in campaign and election conditions, including intimidation against
opposition supporters, restrictions on political rallies by
opposition candidates, and voting fraud.”

Speaking directly to the Nagorno Karabagh peace talks, which are
mediated by the OSCE’s Minsk Group, Hovhannisian remarked that
other regional conflicts being addressed by the OSCE, such as
Abkhazia, South Ossetia and Moldova, are all characterized by
direct talks between the conflicting parties. “As such,” he
commented, “we do not see a reason why the Azerbaijani authorities
cannot do the same and try to restore their contacts with elected
authorities of the Nagorno Karabakh.”

In closing, Hovhannisian noted Armenia’s progress in revising its
Electoral Code in accordance with European standards, a move that
was welcomed by the Parliamentary Assembly of the Council of
Europe. He added that the political parties in Armenia have, after
extensive deliberations, reached an agreement about constitutional
changes and amendments in accordance with the recommendations of
the Council of Europe.

#####

Text of Vahan Hovhannisian’s July 4, 2004 Speech at the OSCE PA

Thank you Mr. President.

Dear Colleagues,

I would like, today, to briefly update the Assembly on the key
elements of the current political situation and recent developments
in Armenia and the South Caucasus region.

But first, I would like to note that this April all Armenians
commemorated the 90th anniversary of the Armenian Genocide
perpetrated by the rulers of Ottoman Turkey starting in 1915. I
think it would not be an exaggeration to say that most of the
current problems in our region stem from those tragic events.

So, on this occasion, the Armenian delegation would like to express
our deep gratitude to the people and parliaments of the OSCE member
countries that, having found the courage not to remain silent, have
adopted the resolutions recognizing the Armenian Genocide. These
countries include Cyprus, Canada, Russia, Greece, Belgium, Sweden,
France, Italy, Switzerland, Slovakia, Netherlands, Poland, and
Germany. Their actions represent vital steps toward urging all
governments and parliaments to be alert to the threats of new
genocides and vigilant in taking practical steps to preventing any
possible further attempts of genocide in any part of the world.
This is especially important today in light of our neighbor
Turkey’s efforts to secure EU membership even as it imposes a one-
sided blockade on the Republic of Armenia and refuses to establish
diplomatic relations with Armenia.

Dear colleagues, two weeks ago the people of Nagorno Karabakh
Republic held parliamentary elections for the fourth time since
establishing independence in 1991. As many international observers
stated in their reports, the elections were conducted freely and in
transparent manner. I want to thank the independent observers from
many countries, who have done so much important work in the place
of international organizations such as our distinguished Assembly,
for their excellent efforts in monitoring these elections and their
fair and unbiased attitude. Their reports clearly show that
Nagorno Karabakh cannot be considered a “lawless zone.” Some of
Nagorno Karabakh’s neighbors can learn a great deal from its
example of holding democratic elections.

Dear colleagues, we witnessed the adoption of resolutions on
Abkhazia and Moldova. We see how much heated discussions they
generated. But they have one important thing in common: both
Georgian and Moldavian authorities in their sincere desire to
settle these conflicts have been directly negotiating – and are
prepared to do so in the future – with the authorities of Abkhazia,
South Ossetia and Transdnestria. As such, we do not see a reason
why the Azerbaijani authorities cannot do the same and try to
restore their contacts with elected authorities of the Nagorno
Karabakh, as was proposed by Mr. Lennmarker in his report. I would
like to use this opportunity to join our distinguished President in
commending the outstanding job done by his Special Representative
G. Lennmarker, whose ideas on the Nagorno Karabakh conflict may
provide the basis for future cooperation between the Parliaments of
Armenia and Azerbaijan.

Finally, I would like to note that earlier this year the Armenian
Parliament revised the Electoral Code in accordance with European
standards, a move which was welcomed by the Parliamentary Assembly
of the Council of Europe. The political parties in Armenia have,
at last, reached an agreement about constitutional changes and
amendments in accordance with the recommendations of the Venice
Commission. This accomplishment, I am glad to report, fulfills our
obligations to the Council of Europe.

Thank you very much.

From: Emil Lazarian | Ararat NewsPress

AzerNews, Azerbaijan
July 7 2005

Erdogan demands Armenia pullout

Turkey has called on Armenia to pull out of the occupied Azeri
territories and honor UN resolutions, re-affirming its support to
Azerbaijan’s fair position on the long-standing dispute over Upper
Garabagh.
“Turkey will continue supporting Azerbaijan on the Garabagh conflict
and its position remains unchanged”, Turkish Prime Minister Recep
Tayyip Erdogan

said following talks with President Ilham Aliyev in Baku on Thursday.

Erdogan, who paid his first official visit to Baku last week, said
Turkey has contributed to recognizing Armenia as aggressor in the
Council of Europe resolution. The country supports a settlement
through dialogue between the conflicting sides, he said.
The Turkish Prime Minister told news briefing that the European Union
has not put forth any demands to Turkey concerning recognition of the
so-called ‘genocide of Armenians’ and the issue of opening
Turkish-Armenian border in light of Turkey’s admission to EU.
“Turkey will not open its border with this country until the Garabagh
conflict is resolved fairly.”
Erdogan made an unexpected statement on Russia’s moving arms from its
Georgian bases to Armenia, which astonished the Azerbaijani public.
“The issue is Russia’s internal affair”, he said.
President Aliyev said Turkey has always supported Azerbaijan on the
Garabagh problem.
“Turkey has always stood and will stand beside Azerbaijan. It
supports our fair position and votes in our favor in all
international organizations. We are grateful to the Turkish
government and people for their support.”
The President also said he saw signs of progress in efforts to
resolve the Upper Garabagh dispute after a long period of apparent
stagnation. “Talks between Azerbaijan and Armenia are today going in
a positive direction”, he said.
Touching upon the issue over the Turkish Republic of Northern Cyprus,
Aliyev said Azerbaijan is ready to do its utmost to find a solution.
“The fact that our Turkish brethren continue to live there in such
conditions is certainly unacceptable. The Cyprus Turks should come
out of the isolation.”
Turkey is the only country that recognizes as a state the Turkish
Cypriot-run Mediterranen island populated by ethnic Turks and Greeks.

The President voiced disappointment with the fact that the referendum
held in Northern Cyprus fell short of expectations for solving the
Turkish community’s problems.
Azeri trade and tourism companies plan to open their representations
in the republic and a charter flight will open to Northern Cyprus in
the future. Azerbaijani businessmen will visit Cyprus soon to
establish closer cooperation with their Cypriot colleagues, Aliyev
said.

‘Test for democracy’
The parliamentary elections due in November ‘will be a test for
democracy’ for Azerbaijan, the Turkish Prime Minister said.
Speaking at the parliament on Thursday, Erdogan noted that the
country is currently on the road to democracy.
“Progress in Azerbaijan is very important for us. We want the
country’s people to live in a country honoring democracy and human
rights”, said Erdogan, welcoming reforms being carried out by
President Ilham Aliyev.
“Democracy is a key to long-term stability. The elections will be a
good chance for Azerbaijan to show progress it has achieved in this
area.”
The Turkish Prime Minister also said his country is ready to provide
technical assistance in organizing the upcoming elections. Turkish
observers will be a part of the international mission to monitor the
voting, he said.
Erdogan added that he believes the Azerbaijani authorities and
opposition will ‘pass the test’.
Touching upon Turkey’s bid for EU membership, the Turkish Prime
Minister said the organization should not generate a conflict of
cultures, but, on the contrary, serve their integration.
“We do not see the European Union as an economic or Christian club.
It should be an organization uniting civilizations. For this to be
possible, we should be granted EU membership. But regardless of
whether or not we are accepted, we will stay on the road of
development.”
The European Union is due to start discussions on Turkey’s membership
on October 3.
Erdogan said Ankara will continue its efforts at mastering democratic
values. The current realities show that every nation rejecting
democratic changes and trampling on human rights is not accepted by
the international community, he said.
Erdogan called for closer attention to the global poverty problem.
The huge funds allocated for weaponry around the world should be used
to alleviate poverty instead. $900 billion is earmarked for armament
throughout the world every year, and if just half of the amount is
spent on poverty reduction, this problem can be resolved, the Turkish
Prime Minister said.
“The plight of the poor around the world is turning into a serious
problem for the countries they live in. We must help these people, as
we share a common world with them, otherwise, we will be guilty
before the future generation and history. We all live in this world
just once. The posts we hold are not forever, regardless of whether
you are president, parliament member or prime minister. At the end of
the lifetime, we will not be able to take the possessions we gained
with us. We should therefore leave behind a good memory of our
deeds.”

‘Problems for business remain’

Problems for business remain in Azerbaijan despite growing
investments, Turkish entrepreneurs said in a meeting with the Turkish
Prime Minister in Baku.
Turkey has invested over $2 billion in Azerbaijan so far. 50,000
people are employed at companies opened by Turkish entrepreneurs in
the country, board chairman of the Union of Turkish and Azerbaijani
industrialists and businessmen (TUSIAB) Bagacar Baysal said at the
meeting, attended by representatives of 249 out of 300 Turkish
companies working in the country.
Despite the unresolved status of the Garabagh conflict, Azerbaijan’s
economy is developing very rapidly. The recent launch of the
Baku-Tbilisi-Ceyhan main export pipeline is of great economic and
political importance for Turkey and Azerbaijan, Baysal said. He noted
that Turkish businesspeople are looking forward to the opening of the
Gars-Tbilisi-Baku regional railway line.
Representative of TUSIAB construction section Yusif Ziya Inan said
Turkish businessmen hold 11% share of Azerbaijan’s construction
market but said some problems remain, although they have invested
some $360 million in the sector. “Certain ‘fees’ are requested to win
most of the tenders for construction operations”, he said, requesting
the Prime Minister to assist in solving the problem.
Turkish entrepreneurs also said that customs duties are overly high
in the country.
Businessman Mustafa Gobeklioglu noted that Azerbaijan has signed
agreements with Russia and other neighboring countries on mutual
breaks on customs tariffs, but not with Turkey yet.
“Whereas bringing a ton of cargo from Russia to Azerbaijan costs
$1,200, Turkish businesspeople spend $3,500. Therefore, documents are
needed on lowering customs tariffs between Turkey and Azerbaijan.”
Addressing the meeting, Prime Minister Erdogan said that although
economic and trade ties between the two countries have expanded over
the last three years, they are still below potential.
“The trade turnover should be raised from $550 million to $1 billion.
Turkey is the third country, next to the US and Britain, for the
volume of investments in Azerbaijan. The investments should be
doubled and the commodities turnover raised to $3 billion.”
As for high financial and customs tariffs, Erdogan said ‘there are
problems on both sides’.
“Some decisions should be passed. We should also be fair in laying
out demands. At times we face conflicting demands. But the state has
its interests as well. Let’s work not on instructions from above but
in compliance with the law. We are ready to assist you in the
problems you encounter. Remember that your success is our success.”
The Turkish Prime Minister noted that the idea of setting up the
Turkish-Azerbaijani trade house was discussed and approved at his
meeting with President Aliyev. Erdogan noted that he proposed that
Azeri businessmen invest in production and the services sector in
Turkey, while his country – increase the number of production
enterprises in Azerbaijan. The proposal also envisions establishing
cooperation of the two countries’ entrepreneurs in a third country.
The meeting concluded with electing the Turkish Prime Minister an
honorable member of TUSIAB.

Pravda, Russia
July 7 2005

Strong Russia annoys USA
07/07/2005 10:06
The USA still can not understand that it did not win the Cold War

US Senate Committee for Appropriations has expressed concern about
the strengthening of Russia’s role in the countries of the former
Soviet Union. The Committee called on the State Department to convoke
an international conference on issues relating to the promotion of
democracy in the region. “Opposing a growing threat posed by Russia
to the countries which are in transition to democracy should be a
priority to the US,” says the statement. “The Committee points out
that successful democratic reforms in those countries will be of
crucial importance to support and promotion of democratic development
in other countries including Belarus,” says the cover letter to a
budgetary bill passed by the Committee. The 2006 budget of US
Department of State allows for $85 million to be allocated for
democracy and reform promotion programs in Russia. The committee
signed off on a total sum of $565 millions to be allocated for
support of democracy, economic reforms, supremacy of the law in the
countries of the former Soviet Union. The above sum is expected to
break down as follows: $95 million to be allocated for Ukraine; $75
millions for Armenia; $70.5 million for Georgia; $38 million for
Azerbaijan; $35 million for Kyrgyzstan; and $15 million for Belarus.

Different sizes of funds earmarked for democracy promotion are quite
noteworthy. On the one hand, $85 million will hardly make a
difference for Russia no matter what we are talking about. On the
other hand, $95 million for Ukraine and $75 million for Armenia look
like a big amount of money. The money could give a huge boost to
supporters of “orange” revolution in Ukraine. It could also disrupt
political stability in Armenia. Speaking to the press on the eve of
the Astana summit of the Shanghai Cooperation Organization Uzbek
President Islam Karimov openly accused the American “directors” of
engineering upheavals in Kyrgyzstan and Uzbekistan. Politicians and
common people alike in every Central Asian republic of the former
Soviet Union say explicitly that they have more trust in Russia
despite a wide variety of aid programs offered by the Americans.
Besides, US military presence in Central Asia is a source of concern
to China. During the summit meeting in Astana, members states of the
Shanghai Cooperation Organization voiced their desire to effect
independent control over the situation in the region.

Konstantin Zatulin, the State Duma deputy and director of the
Institute of the CIS studies, says that funds allocated by the US for
the “promotion of democracy” aim to promote a US model of democracy
and spread US influence in the above countries. “United Russia or any
other pro-government party in Russia will not get a penny of those
funds, Ukraine’s opposition will get the money either,” said Mr.
Zatulin. It is obvious that the US has long put to good use a certain
pattern and methods for carrying out foreign policy operations.
Calling a government democratic or undemocratic is just a ritual to
the USA “After that they use the whole range of tools available for
toppling unfriendly regimes, huge funds involved in such operations
are beyond any comparison to those which are allocated officially,”
said Mr. Zatulin. “The Cold War is over, but some old habits die
hard,” added he.

Mr. Zatulin believes Russia should use similar methods. “Taking into
account that Russia has become a country with a multiparty political
system and market-oriented economy, Russia should cast aside its fake
shyness and use the weapons of the West in this field of activity,”
said he. Despite a significant difference in financial resources of
the two countries, Russia is much more interested in developing
democracy in the neighboring countries. Pro-Russian forces could only
step to the fore only when democracy is in place. “Why don’t we set
the ball in motion in the Baltic states?” said Mr. Zatulin.

“As regards Armenia, Russia’s only ally, the country is a principal
candidate for the next “color” revolution, the size of officially
allocated funds reflects a priority, but yet it is the tip of the
iceberg as I told you earlier,” said Mr. Zatulin with regard to a
“cost estimate” of US Senate Committee. Aleksei Zudin, head of
political sciences department of the Center of Political
Technologies, points out that Washington’s idea of democracy for the
countries of the former Soviet Union actually implies the
establishment of regimes which are dependent on the US “A political
instability zone is being built around Russia by stepping up
democratic developments which can not create strong political
institutions, on the contrary, political institutions can only grow
weaker as a result,” said Mr. Zudin.

Those who place an order for revolution and work behind the scenes
are fully aware of consequences. In other words, the instigators of
the “color” revolutions in Kyrgyzstan and Uzbekistan had planned the
overthrowing of the authorities by force.

America has a number of priorities with regard to funds allocated for
the “promotion of democracy.” The size of funds will be commensurate
with those priorities. The White House is planning to make a serious
political effort in countries than border on Russia. Operations in
Russia are aimed at producing “irritating effects” only.

“The USA still can not understand that it did not win the Cold War,”
said Mr. Zudin. He believes that Americans are wrong to liken the
defeat of Nazi Germany to the collapse of communism. The dismantling
of Nazism brought out winners and losers, “democratic teachers” and
“democratic students.” The collapse of communism was caused by
internal factors, not the external ones. Nations who got rid of
communism without US assistance simply reject being lectured by
foreign “experts” on ways and pace of reforms they should follow.
They can not accept compulsory export of democratic institutions
either.

Mr. Zudin believes Russian-US relations are getting increasingly
paradoxical. Partnership and cooperation in some areas are
accompanied by the attempts aiming to put unilateral pressure on the
political process in other areas.

Angus Reid Global Scan, Canada
July 7 2005

Armenians Divided on NATO Membership

(Angus Reid Global Scan) – Adults in Armenia are split on their
country’s eventual participation in an international defence
partnership, according to a poll by the Armenian Center for National
and International Studies. 34.7 per cent of respondents believe
Armenia should join the North Atlantic Treaty Organization (NATO),
while 33.9 per cent disagree.

NATO was originally formed in 1949 as an agreement of collaboration
designed to prevent a possible attack from the Soviet Union on North
America or Western Europe during the Cold War.

In March 2004, NATO added seven more nations, six of which were once
members of the Warsaw Pact – a military alliance of Eastern European
Soviet countries.

Supporters of NATO in Armenia cite the partnership as the most
effective arrangement to ensure security, and believe it should be a
priority for Armenia, Azerbaijan and Georgia to become members of a
common security system.

Conversely, Armenians who do not want to join NATO believe their
country should continue being a member of the Russia-supported
Collective Security Treaty Organization, and believe the relations
between Armenia and Turkey have not yet been resolved.

Polling Data

Do you think Armenia should become a member of NATO?

Yes
34.7%

No
33.9%

Difficult to answer
31.4%

“Yes” Respondents – Why do you think Armenia should join NATO?

NATO is the most effective system for ensuring security
43.3%

It is expedient for Armenia, Azerbaijan, and Georgia
to be members of a common security system
33.9%

Armenia cannot become a member of the European
Union (EU) without becoming a member of NATO
17.8%

“No” Respondents – Why do you think Armenia should not join NATO?

Armenia should continue to be a member of
the Collective Security Treaty Organization
and to link its security with Russia
52.9%

Because the relations between Armenia and
NATO-member Turkey are not yet resolved
24.9%

Armenia is not expected at NATO, so
there is no need to think about it
21.4%

Source: Armenian Center for National and International Studies
(ACNIS)
Methodology: Interviews with 1,500 Armenian adults, conducted in June
2005. No margin of error was provided.

From: Emil Lazarian | Ararat NewsPress

Armenian nuclear power station increases output in six months

Arminfo
6 Jul 05

YEREVAN

The Armenian Nuclear Power Station increased the volume of power
generation by seven per cent in the first six months of 2005 to
1,521,600,000 kWh as compared to 1,421,800,000 kWh in the same period
last year, the general director of the station, Gagik Markosyan, told
Arminfo.

Power supplies to the country’s energy grid increased by eight per
cent to 1,402,000,000 kWh in the reported period as compared to
1,298,000,000 kWh in the same period of last year, he said.

Markosyan said that the nuclear station will be suspended for a
planned preventive repair on 15-20 September 2005.

[Passage omitted: background details on nuclear power station]

AzerNews, Azerbaijan
July 7 2005

Armenia concerned over Azerbaijan’s military spending

Armenia will respond to Azerbaijan’s raising its military spending, a
high-ranking Armenian military official has said.

“Yerevan is concerned over Baku’s steps at increasing its military
power. We will respond adequately”, Armenian armed forces
headquarters chief Mikhael Harutyunian said commenting on President
Ilham Aliyev’s statement that Azerbaijan will raise its military
expenses to $300 million.
The Milli Majlis (parliament) has approved a supplement to the state
budget on increasing military expenses by 23% compared to 2004. The
funds will be mainly used to purchase machinery and aircraft.
Harutyunian said that ‘this is an internal matter of Azerbaijan’ but
said the move will lead to tensions.
“Armenia cannot allow Azerbaijan to sharply increase its military
potential. We are truly concerned over calls for settling the
Garabagh conflict by force sounding in this country.”
The Azerbaijani government has explained the increase in its military
spending by the recent transfer of Russian arms from Georgia to
Armenia.
The Armenian official stated that this weaponry will remain under
Russia’s control.
“We do not have and are not expecting an agreement on handing arms
over to Armenia. We are providing our armed forces with the needed
machinery and arms on our own within the permitted quotas.”
Harutyunian also claimed that Azerbaijan, which possesses more arms
than Armenia, is allegedly violating the Treaty on Conventional Arms
in Europe but accuses Armenia of breaching it.

AzerNews, Azerbaijan
July 7 2005

US sees Russia as threat to democratic changes in CIS

The US House of Representatives committee on financial services has
said that Russia poses a threat to democratic development in the
former Soviet Union republics (Commonwealth of Independent States).
The committee said it is concerned over Russia’s strengthening
position and called on the State Department to hold an international
conference to promote democracy in the

region, Russian Novosti (News) news agency quoted a US Senate source
as saying.
The US State Department draft state budget for 2006, approved by the
committee last weekend, says that authoritarian Russia is a source of
threats for countries currently in transition to democracy and
averting this threat is a priority for the United States.
The committee indicated that the State Department’s programs on
support for democratic development are of particular importance for
‘countries like Ukraine, Georgia and Kyrgyzstan’ due to the success
of democracy in these countries.
The committee also said that considerable resources are required to
give an incentive to democratic development in CIS, calling on the US
government to increase budget spending. It also instructed the US
Agency for International Development (USAID) to explicitly and
substantially ‘support the democratic processes’ in Russia and
Azerbaijan.
The US has allocated $565 million for financial programs, support to
democratic and economic reforms and promoting the rule of law in the
former USSR republics this year. Azerbaijan will receive $38 million,
while Armenia – $75 million, and Georgia $70.5 million. The largest
amount among CIS states, $95 million, is earmarked for Ukraine.

Organization for Security and Co-Operation in Europe (OSCE)

July 7 2005

OSCE Media Representative praises Turkey for changing penal code, but
remains concerned

VIENNA, 7 July 2005 – The OSCE Representative on Freedom of the
Media, Miklos Haraszti, today praised the Turkish authorities for
introducing important changes to the new Penal Code, following a
legal review his Office produced last May listing 23 provisions that
needed to be revoked.

However, “despite some improvements, the amendments do not
sufficiently eliminate threats to freedom of expression and to a free
press,” Mr Haraszti said.

The revised Turkish Penal Code was finally approved by parliament on
Wednesday, 29 June. It now has to be published in the Official
Gazette in order to enter into force.

Out of the 23 changes the OSCE Representative suggested in May, seven
provisions have been brought into line with media freedom principles.

A welcome improvement is the deletion of most of the provisions which
assumed stronger sanctions when the media was involved. Turkish
lawmakers acknowledged that information about crimes could be in the
interest of free discussion of public affairs.

Relating to Article 305 on “offences against fundamental national
interests”, the Representative noted with satisfaction that two
examples in the explanatory “Reasoning Document” – making it a crime
to demand the withdrawal of Turkish troops from Cyprus or to claim
that Armenians were exposed to genocide – have been removed.

On a negative note, however, Mr Haraszti observed three major areas
where media freedom remains endangered:

* the right of journalists to report and discuss on public-interest
issues is not secured;
* restrictions on access and disclosure of information have not been
lifted;
* defamation and insult provisions remain a criminal rather than a
civil offence, thereby leaving the free discussion of public affairs
at risk.

The Representative expressed his hope that modernisation of the
Turkish Penal Code would continue in the spirit of improving the
freedom of public scrutiny, while the provisions promoting
self-censorship would all be removed.

The original legal review can be found at