In the negotiations with six major powers, the Iranians say they
are no longer demanding a total end to economic sanctions in return
for curbing their nuclear program and would accept initially lifting
just the latest, most damaging, sanctions.
Western officials dismiss the proposal as nothing new and say the
Iranians have always known that the sanctions could only end
gradually - with each measure being suspended and later terminated
only after Iranian compliance had been proven.
The officials say that in talks in Vienna they too have offered what
they call compromises over demands that Iran limit its nuclear
program, but they have been rejected by Tehran.
"The bottom line is that they do not appear willing to limit their
enrichment program to a level we would find acceptable," a European
diplomat said. "We may have no choice but to extend the talks past
November ... It's either that or let the talks collapse."
Under their most recent offer, Iranian officials have told Reuters
that Iran's leadership would be satisfied with removing crippling
U.S. and European Union energy and banking sanctions imposed in
2012.
They described this as a major stepdown from Iran's consistent calls
for the removal of all sanctions imposed on the Islamic Republic
because of its refusal to heed U.N. Security Council demands that it
halt uranium enrichment work.
Tehran calls the sanctions unfair and illegal.
COMPROMISE OR NO COMPROMISE?
The proposal by Iranian negotiators in talks with the United States,
Britain, France, Germany, Russia and China has the backing of the
Iran's supreme leader, Ayatollah Ali Khamenei, Iranian officials
say.
"For the other party involved, it might be only a political issue,
but for Iran what is in danger is the existence of the establishment
if the economic hardship continues," a senior Iranian official said.
Building on a U.N. Security Council sanctions resolution passed in
2010, the United States and EU in 2012 imposed major sanctions
against Iranian oil and gas companies and strengthened restrictions
on the country's central bank.
Under the U.S. National Defense Authorization Act Section 1245,
Washington also forced Iran's major oil customers to greatly reduce
their purchases of Iranian oil or face having their banks cut off
from the U.S. financial system.
The result has been a sharp drop in Iranian oil revenues, soaring
inflation and unemployment and a weak Iranian currency.
"Iran wants to return to the situation before these sanctions were
imposed," the Iranian official said. "If agreed, it will help in
reaching a compromise by the Nov. 24 deadline."
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U.S. officials have made clear they would make swift moves to
suspend sanctions if a proper deal with Iran is secured and Tehran
complies with it.
"If we get a comprehensive agreement and if Iran complies ... Iran
will begin to end its isolation from the world community, because
the sanctions in the first instance will be suspended and ultimately
lifted," a senior U.S. official said last month. "It will take some
time, but they will be lifted."
REDUCING THE CENTRIFUGES
A series of meetings in Vienna last week between U.S. Secretary of
State John Kerry, Iran's Foreign Minister Mohammad Javad Zarif and
EU foreign policy chief Catherine Ashton failed to break the
impasse. Tehran and Washington said they made some progress but much
work remained. It is unclear when the next round of talks will
start.
One sticking point is the number of centrifuges Iran would be
allowed to keep under a deal.
Iranian officials say they would be willing to live with fewer
centrifuges provided they were more advanced machines that enrich
more uranium at a faster pace. Their goal is to ensure that the
volume of uranium they enrich is not reduced as a result of any
long-term accord with the six powers.
Western officials say this is not a real compromise.
The United States, France, Britain and Germany would like the number
of centrifuges Iran maintains to be in the low thousands, while
Tehran wants to keep tens of thousands in operation. It now has
about 19,000 installed, of which about 10,000 are spinning to refine
uranium.
(Additional reporting by Arshad Mohammed in Washington; Editing by
David Storey and Ross Colvin)
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