Review 21.16
01 December - 31 December, 1996

1996 - A Year in Reflection

Last month President Clinton brought two foreign policy messages for Australia. Australia heard one and slept through the second. Constructive engagement with Asia, improvement of relations with China was the first. Containing rogue states who engage in State sponsored terrorism the second.

It is a theme that has predominated during the Clinton presidency. The necessity to combat countries like Iraq, Libya and particularly Iran which continue to support international terrorism, chemical, biological and nuclear weapons proliferation. President Clinton powerfully drew the point home whilst addressing the joint sitting of Federal parliament. "It is very difficult to do business by day with people who kill innocent civilians by night," he said. Clinton reiterated the words he had used in August when signing into law the Iran/Libya Foreign Oil Sanctions Act. That piece of legislation, unanimously supported by Congress, drew overwhelming condemnation from Australia and the region. It sought to place trade sanctions on foreign companies tha t persist in investing in Iran and Libya's energy sector.

Peter Tarnoff, the US Undersecretary of State, spelled out clearly the need for such legislation and the fear that democratic nations have of Iran's mass energy sector investments. "A straight line links Iran's oil income and its ability to sponsor terrorism, build weapons of mass destruction and acquire sophisticated armaments. Any government or private company that helps Iran to expand its oil sector must accept that it is indirectly contributing to this menace," said Tarnoff.

Highlighting the issue of Iran, its programs to build weapons of mass destruction and propagate international terrorism, both against Israeli and Western targets, has been a central theme of the Review this year.

The Rabin and Peres governments identified Iran as the greatest current and future threat to Israel's strategic security. Iran not only possesses the means to deliver weapons of mass destruction against Israel, it also has attempted to destroy the peace process through funding and directing Islamic fundamentalist terrorism.

In February this year, Australia's BHP had been close to consummating a huge pipeline project with Teheran to export gas from Iran to Pakistan. The project was valued at an initial $1.2 billion, providing Iran with valuable foreign currency, much of which would be diverted to its nuclear weapons program. The Review revealed BHP's plans to build the pipeline and how close they were to signing the contracts. The reports raised alarm within the US administration. US Senator Alfonse D'Amato wrote to BHP threatening the company with US sanctions on their American interests unless they desisted from the Iranian investment. The US State Department issued a protest to the Australian Embassy in Washington. BHP was forced to pull out of the deal.

There is little benefit for countries like Australia or its corporate sector to invest in Iran's energy industry, supply Iran with lines of credit, cooperation, ministerial visits or other trade and related assistance.

Under the previous Labor Government, then Foreign Minister Senator Evans refused to condemn Iran's involvement with international terrorism, despite the overwhelming public evidence to this effect. The new Government of John Howard has shown greater strategic and security understanding in displaying a principled commitment to challenging international terrorism. In June this year John Howard and Alexander Downer both unequivocally stated that "Iran's support for terrorism is unacceptable". But as President Clinton also persuasively pointed out, "Australia and the United States have a special responsibility to move against the new threats of the 21st Century ... to reduce even more the danger of weapons of mass destruction. We can take the fight to the terrorists ... together we must show zero tolerance for them. That means putting pressure on rogue states."

It also means as President Clinton implied, and the Howard Government appears to appreciate, that countries like Australia should withdraw credit to rogue regimes like Iran. It means in short, that the so far unactivated $1.14 billion line of credit Australia extends to Iran should be withdrawn.

1996 has in many ways been a remarkable year, for Australia and Israel. It has been a year of political transformation, a year exhibiting the ugly and gruesome spectacle of violence and a year where the spectre of racism has re-emerged.

The Middle East Peace process hit a number of snags in 1996. A series of bombings of Israeli civilian targets, especially commuter buses, in late February and early March was followed by the partial closure of the Palestinian access points to Israel. Syrian backed Hezbollah attacks provoked Israel's response in Lebanon and the ensuing Kana tragedy - adding a level of bitterness which continues to complicate the peace process. In September and October the outbreak of an Israeli-Palestinian mini-war, left more than 70 people dead, and saw Palestinian police attack Israeli soldiers. The fact that the violence was sparked on a false pretext - claims that an additional door to an existing archaeological tunnel in Jerusalem somehow threatened Muslim holy places - makes the incident no less grave. With Palestinian leaders still making additional threats to initiate further violence, it would appear that the peace process remains gravely endangered.

Israeli-Palestinian negotiations have made limited progress over the past year. Suicide bombings, Israeli elections and Palestinian Authority violence have put a damper on much progress.

Disorganisation and inexperience by the new Netanyahu administration has contributed to limited progress, but so also has disproportionate Arab attempts to demonise Netanyahu, and ongoing Palestinian violations of the peace accords, including the disturbing arming of police, the refusal to extradite known terrorists, and violent rhetoric by Palestinians.

Australia remains far from the Middle East; but the Review has sought to provide reliable information about Middle East realities; to go beyond the daily media concentration on specific episodes of violence in exploring the important background to the process. The vision of an ethnically tolerant and multicultural Australian society, has also faced challenges this year. Increasingly brazen efforts to target visible minorities, particularly Asians and Aborigines, as scapegoats for economic and social difficulties did not begin with Pauline Hanson.

Graeme Campbell MP has reflected much of this antagonistic philosophy for some time. This year, Campbell unsuccessfully sought to unite the forces of the extreme right, including the Australian League of Rights, Australians Against Further Immigration, and various gun lobby groups.

The year also saw the back of Ken Aldred, federal Liberal Party MP, conspiracy theorist and intimate of the Australian LaRouche movement. AIP's expose of the LaRouche Citizens' Electoral Council was disturbing. It reflected the extent to which extremist organisations left unchecked or unchallenged in Australian society are able to influence and distort the national agenda.

Similarly, when Holocaust denier David Irving took advantage of the race debate to again seek support for his views the Review sought to expose his broader agenda and background.

And then there is Pauline Hanson. In portraying herself as a non-politician, she has successfully tapped into a dangerous vein in Australian life. Perhaps in a nation preoccupied with issues of fiscal responsibility her simple rhetoric resonated with the disenfranchised. Populists thrive on ignorance. To challenge Ms Hanson one must unmask both her true agenda, motivations and associates. Over the year the Review has sought to take a lead in this endeavour.

In this regard, President Clinton discharged another invaluable service to his hosts. In eloquent and timely fashion, he reminded us of the ravages that ethnic, religious and racial hatred have wrought and still inflict on humanity. By contrast, he argued that positively embracing ethnic, racial and religious diversity in a spirit of mutual respect and tolerance can make us "stronger and freer than ever." Seeking to lift the pall of bitterness, self-doubt and resentment so gratuitously inflicted on Austra lia's good name and record by the mismanaged Hanson debate, the President extolled the virtues of multicultural Australia, as a shining beacon to the world of a cohesive, tolerant and free society.

The Review has been heartened by the overwhelmingly positive response from our broadening circle of readers. Both the improved format and the substance of our domestic and international coverage this year has drawn wide support and recognition, a record we look forward to continuing in the New Year.