Saakashvili Outlines Position on Russia’s WTO Accession, Conflicts, Energy Security

In his televised address to the nation late on July 16 President Saakashvili described ongoing summit of G8 leaders in St. Petersburg as historic for Georgia and outlined Tbilisi’s position over secessionist conflicts, Russia’s WTO accession and energy security.

“Discussion of issues related with Georgia is a very important part of agenda of a summit of G8 leaders in St. Petersburg. This is a historic event. This is a result of our very intensive diplomatic efforts undertaken in recent weeks and in recent months. This also is a result of those developments which are underway in Georgia in respect of reforms and strengthening of the country. A lot remains to be done; but what is done so far, already triggers an unprecedented international support,” Saakashvili said.

South Ossetia/Abkhazia


Russian President Vladimir Putin said on July 15 that issues related with conflicts on post-Soviet space will be discussed at the G8 summit. Putin also said that Georgia was discussed during his bilateral talks with the U.S. President on July 15.


In his televised address President Saakashvili reiterated Tbilisi’s peaceful approach to secessionist conflicts, but noted that Georgia will not tolerate status quo.


“In Georgia there are no ethnic conflicts; these are imposed political conflicts, which are related with the efforts of post-Soviet forces, of remnants of Soviet mentality to privatize and to take over neighboring territories. In the past they managed this very well. But today Georgia is a new country, it has absolutely different government and it has a course towards solving these conflicts for once and for ever,” Saakashvili said.


“We will no longer tolerate a status quo and dragging out of time in respect of these conflicts; we will not tolerate any kind of attempt to provoke confrontation in Georgia, because we want development and we want investments here and we will not let anyone to stir chaos here. But we will not tolerate even a slight innuendo on possibility to separate these territories from Georgia through use of some kind of international mechanisms. We have a full support from our major partners in this respect and I hope that Russia will, soon or later, stop making steps in this direction [to separation of South Ossetia and Abkhazia from Georgia].”


The Georgian leader also noted those who were behind recent provocations in South Ossetia – involving two bomb explosions, which resulted into death of South Ossetian security official and two civilians – will fail to achieve their goal, which is to stir chaos in Georgia.


“We have very precise Peace Plan on South Ossetia… We have full support towards this plan from EU and OSCE, including a support of Russia, as well as a firm support of the United States. We want to implement this plan completely,” Saakashvili said.


In respect of Abkhazia, Saakashvili stressed that return of IDPs and protection of human rights is Tbilisi’s major goal.


“All kind of talks about holding of some kind of referendum, which will legalize Abkhazia secession from Georgia, are provocative, immoral and are perceived by the international community as unserious. The most important, which should be implemented in respect of Abkhazia, is our peaceful views. These are: return of all internally displaced persons, protection of human rights and eradication of those violations of human rights which take place there; full protection of interests of all ethnic groups; and then solution of all the remaining issues. I am sure that all members of the G8 will share these views,” Saakashvili said.


Russia’s WTO Accession


Saakashvili said that it is vital interest of Georgia to have relations with Russia based on partnership and cooperation, but warned that Georgia will not support Russia’s accession into the World Trade Organization (WTO), if Moscow continues to pursue current policy of blocking import of Georgian products, mainly wine and mineral waters.


“Several days ago the Georgian side has announced that it still has some issues to clarify in respect of Russia’s WTO membership. WTO membership is very important for Russia and you know that today Georgia’s position will decide much in this regard,” Saakashvili said.


The Georgian Foreign Ministry said on July 14 that it wants to reopen bilateral market-access negotiations with Moscow, as the latter is violating the May, 2004 protocol through which Tbilisi gave its formal approval to the Russia’s WTO membership. Apart of complains related with ban of import of Georgian products to the Russian market, Tbilisi also protests against operation of two border crossing points – one in South Ossetia and another in Abkhazia – which are out of the Georgian side’s control.


President Saakashvili said that Georgia will have “very firm position” over Russia’s WTO membership.


“We are a small country, but we have enough pride to demand implementation of previously reached agreements [with Russia]. We really want Russia to become WTO member soon, but we are not going to turn a blind eye on attempts to harm our economy. It will not happen. We will overcome those problems which were artificially created. We want these issues to be clarified in partnership with Russia. Georgia will not change its position, unless these issues remain unclear,” Saakashvili said.


Energy Security


The Georgian leader said in the address that apart of the G8 summit, “another historic” event has also occurred recently, when the Baku-Tbilisi-Ceyhan oil pipeline was inaugurated on July 13 in Turkey.


“Construction of this pipeline was launched before we have come into power [during the ex-President Shevardnadze’s administration], but after we came into the government the first think we have pushed for was to revise the contract, as a result additional of USD 150-160 million investments were made in Georgia. Initial provisions [of the contract] were unsatisfactory for us and as a result of intensive negotiations with the [BTC] consortium we managed to develop new favorable provisions,” Saakashvili said.


He also noted that Baku-Tbilisi-Erzrum gas pipeline is even more important project for Georgia. Baku-Tbilisi-Erzrum, or the South Caucasus Gas Pipeline (SCP), as it is also known, is expected to be launched by the end of this year.


“Our predecessors [meaning ex-President Shevardnadze’s administration] signed a contract according to which Georgia will receive almost no gas [from the South Caucasus Gas Pipeline] – only a minor amount of gas, because the most corrupt persons of the previous government were in charge of the gas issues – these people are now in exile and creating problems from abroad [Gia Chanturia, ex-chief of the Georgian International Oil Corporation was in charge of talks. Currently he is on Interpol’s international wanted list for fraud charges]. But now, we managed to reopen this issue with out partners and Georgia will differently purchase an important amount of gas [from SCP] and for the first time we will have a serious alternative gas supply,” Saakashvili said.


Initially it was agreed that after construction of the SCP Georgia will receive 5% of the natural gas transported from Azerbaijan to Turkey as a transit country. Georgia will also purchase an additional half billion cubic meters of gas per year at a reduced price – USD 55 per 1000 cubic meters (with annual 1,5% price escalation) for the next 20 years. But Georgia now wants to receive at least 1,5 billion cubic meters of gas at reduced price starting from 2007.


Calls for Patience


In his address Saakashvili called on the citizens to show patience and unity in order to solve persisting problems.


“I want you – my compatriots – to know that we need patience both inside the country and on the international arena. One thing is clear: Georgia is on a right path; Georgia has support; bright prospects have emerged for Georgia and through our unity and our patience and through our courage we will solve all our tasks very soon. I am absolutely sure we will solve these tasks much sooner that those who are creating problems and obstacles can imagine,” Saakashvili added.