886.411/8–1053

No. 648
Memorandum by the Deputy Assistant Secretary of State for Near Eastern, South Asian, and African Affairs (Jernegan) to the Secretary of State1

top secret

Subject:

  • Need for Early Diplomatic Initiative by U.S. Government re Arab Refugees and Related Palestine Issues.

Discussion

The attached memorandum (Tab A) sets forth at considerable length outstanding problems in Palestine and a specific course of action in connection with the Arab refugee program. We believe that:

(1)
We should take the initiative at this time in moving toward partial solutions to the Palestine problem and should anticipate Israel’s diplomatic moves on an Israeli “Peace Plan” which would probably not be fruitful. We must discuss with Israel and the Arabs the question of economic use of water in the Jordan Valley. We should take action before the 8th Session of the General Assembly, and should be prepared to discuss at least the refugee aspect of the Palestine question at the Assembly. The UNRWA program and its continuation must in any case be considered at that time.
(2)
The most urgent issue in the Palestine case, and one requiring top level consideration, is the progress of UNRWA. The U.N. and the Arabs have a strong moral case in demanding action looking to rehabilitation of the Arab refugees in Israel if rehabilitation is also to occur in the Arab States. The recent report of the Near East Subcommittee of the Senate, attached as Tab C,2 is especially helpful in this connection. This report chides Jews, Arabs, and the U.N., for lack of progress, and suggests that the specific problem of the waters of the Jordan River should be tackled forthwith.
(3)
We now have an authoritative basis in a study3 financed by UNRWA and conducted by TVA to consider economic division of the waters of the Jordan as between Israel and the Kingdom of Jordan, and an evaluation of the engineering factors which leads to the conclusion that on economic grounds we can save as much as $60 million by making use of Lake Tiberias as a storage reservoir rather than creating an artificial reservoir on the Yarmuk River. This undertaking is considered to be politically impossible, unless we can arrange boundary adjustments which would, in the words [Page 1270] of the Senate report, “provide the basis for joint control of Jordan waters” and would assure “that the countries concerned could depend on their continued flow.” Fully realizing that an approach to joint control is likely to meet considerable resistance by both Israel and the Arab states, NEA nevertheless feels that the attempt should be made, and that there are sufficient inducements at hand to offer some chance of ultimate success.

Tab A deals with the foregoing issues in considerably greater detail.

Recommendation

Discuss this subject with the President, and obtain his agreement to negotiate with Israel and the Arabs to obtain their agreement to an overall plan for equitable division of Jordan waters together with related territorial adjustments and the repatriation to Israel of a limited number of refugees. Tell him that we would propose to work through diplomatic channels and through the U.N. at the 8th Session of the General Assembly, and that a policy statement by him may be required at an appropriate time.

If the President concurs in this approach, we will submit to you specific steps to be taken to arrange an economic division of the Jordan waters in accordance with the TVA suggestions, with such territorial adjustments as necessary to provide a basis for joint control and continued flow of the waters in accordance with findings of the Senate subcommittee (Tab C), so that the Jordan–Yarmuk water resources may be used to best advantage and contribute toward a solution of the Arab refugee problem.

Tab A

Detailed Discussion of Need for Early Diplomatic Initiative by U.S. Government Re Arab Refugees and Related Palestine Issues

1.
There is a growing Arab mood of disillusionment that your visit to the Near East and your address of June 1 have not been followed up by a visible attack on the basic causes of tension in the Palestine area.
2.
An Israel “Peace Plan” (peace with the Arab States) is understood to be in preparation, for use after the 8th U.N. General Assembly, or possibly earlier. Although its features are not known, indications of Israel’s attitude on peace terms make it virtually certain that this “plan” will constitute an appeal for world (especially American) support to place the Arabs at a moral disadvantage and thereby neutralize growing American interest in Arab friendship. The Israel plan, however conciliatory (it is expected to offer no [Page 1271] major concession), will be rejected out of hand by the Arabs because of its origin. Israel will seek to enlist advance U.S. Government blessing for its plan; in any event it is likely to seek the support of Congressional and American public opinion.
3.
Israel is extremely nervous over the prospect of U.S. military aid to the Arab world; has stepped up her own orders for ordinance equipment from U.S. and elsewhere (these are being carefully screened by our secret tripartite committee with the UK and France); and may accelerate her “peace plan” and even provoke border incidents to block military aid to the Arabs.
4.
The Department has received an Israeli note (Tab B)4 calling for a regional application of Lebanon’s Litani, as well as the Jordan and Yarmuk water resources along lines favoring Israel’s plan to divert Jordan water to the coastal plain and the Negev. While diversion of the Litani might assist the further development of the Jordan valley, we cannot afford to delay other action in view of Lebanon’s certain condemnation of such a proposal; further, Lebanon is developing her own plans for use of Litani waters in Lebanon. The Litani lies entirely in Lebanon.
5.
If we are to win a measure of confidence in U.S. good will and impartiality in the Near East as well as broad support for our new policy in the United States, I am convinced we should take some action, however limited, to demonstrate our attitude before Israel seizes the diplomatic initiative and the initiative with American public opinion.
6.
It is desirable that such U.S. action be undertaken unilaterally and before the regular UN 8th General Assembly session.
7.
The most urgent issue—and one wherein time works clearly against area peace and stability—is that of the Palestine Arab Refugees. Linked therewith are problems of the Jordan–Yarmuk water system, boundary rectifications, repatriation, compensation and resettlement in Arab lands. Progress on existing plans for resettlement of refugees in Syria, Jordan and Egypt is painfully slow. All plans are still largely on paper, and there is no prospect for resettlement in Lebanon and Iraq. Whatever the clarity, or obscurity, of issues such as boundaries and Jerusalem, the humanitarian aspects of the refugee problem are very clear. There is an unfulfilled moral and legal obligation of Israel (as well as of the Arab States) to share in the refugee burden. Whatever may be the historic validity of Israel’s present legal position of water rights and boundaries, Israel has little else but a little water and land to contribute to a solution of this problem. Her stated willingness to compensate the refugees has never been spelled out into a firm offer, and it is our [Page 1272] belief that such compensation would have to be made primarily with outside assistance.
8.
Israel, even with its present expanded boundaries (as compared with the 1947 Partition Plan) is a crowded land of 1.6 million, yet her avowed intention is to welcome 2½ million Jews (or any releasable fraction thereof) from behind the Iron Curtain. Her renewal of relations with the USSR, while probably intended primarily to increase Israel’s maneuverability between East and West, has the stated objective of encouraging this emigration to Zion.
9.
Israel is in a weak moral position in welcoming such immigration, or any substantial fraction thereof, while insisting as she does that she will not permit repatriation of any Arab refugees. She therefore points to the security risk of such repatriation. While we recognize the security factor, it is not a decisive argument against re-admission of up to 100,000 peasants, who might work land which has lain fallow since 1948.
10.
The one firm Palestine issue in which we can take a balanced, impartial position now is in regard to the duty of both sides to assist the UN in an accelerated program to give many of the refugees a chance to work and make their living.
11.
We therefore think we should separate the refugee problem for special attack at this time. The report of the Near East Subcommittee of the Foreign Relations Committee (Tab B [C]) is helpful in this connection.
12.
Following is a rough outline of possibilities open to the United Nations Relief and Works Agency for Palestine Refugees:
  • In Jordan—A general agreement has been signed that holds out prospects, if engineering and political problems are solved, of settling (out of approximately 450,000 in Jordan) between . . . 150/200,000
  • In SyriaShishakli has signed an agreement covering the 80,000 refugees now in Syria, but he will not publicize this agreement and is slow in making land available to UNRWA . . . 80/80,000
  • In Egypt—The government has signed an agreement to provide for settlement in Sinai, has made this agreement public, and engineering studies are going ahead. Out of approximately 200,000, this might cover . . . 100/150,000
  • In Israel—No progress toward repatriation is noted, but a case could be made and pressed for as many as . . . 100/100,000
  • In Lebanon—Lebanon has so far refused to settle any of the approximately 100,000 refugeees camped in her territory, fearing to upset her delicate balance between Christians and Muslims.
  • In Iraq—Iraq has refused to cooperate beyond sheltering approximately 5,000 refugees. Her reasons are insistence on repatriation and on her primary duty to settle Bedouins and other indigents.
  • Total prospects in sight therefore are within the range of . . .430/530,000
13.
This leaves about 320/420,000 refugees unprovided for. Our timetable for the lower range of prospective settlement is admittedly a long one.
14.
The most immediate hope for action lies in Jordan, and local hopes are high for development of the Jordan Valley. Economic and time-saving development of the Jordan Valley requires action specifically directed at the problem of the Jordan River.

As a result of a study financed by the United Nations Relief and Works Agency for Palestine Refugees and conducted by the Tennessee Valley Authority, who employed Chas. T. Main, Inc., of Boston, as consulting engineers, we are in a position to determine basic engineering factors regarding the use of waters within the Jordan watershed. From these facts it is necessary to draw conclusions both economic and political in their nature.

Israel’s political boundaries were designed with a view to obtaining access to strategic points on the Jordan River in order to be able to divert a substantial volume of the waters of the river into Israel. These plans are in conflict with those of the Arab States. A realization of Israel’s plans to the full extent would preclude the irrigation of more than one-third of the Jordan Valley; our principal hope for the rehabilitation of a sizeable number of the Arab refugees rests on the irrigation of the entire valley.

Based on the belief that any substantial territorial readjustments would be impossible to achieve, the Jordanian government, with the use of U.S. technicians under the Technical Assistance program, is advocating the development of a storage dam on the Yarmuk River at a site which is within the control of Syria and Jordan. Analysis by the TVA and their consultants indicates that a dam and the necessary appurtenances at the proposed site at Maqarin would cost approximately $66,000,000, and would take five to eight years to construct. Because of the nature of the terrain, the resultant reservoir would not serve as a satisfactory regulator of the flow of the Yarmuk River, as an insufficient quantity of water could be stored to avail to the full of the irregularities in the flow of the river over a period of years. Furthermore, from the best estimates available, in which the TCA engineers in Jordan concur, the regulated flow of the Yarmuk would barely suffice to provide the necessary water to irrigate the eastern side of the Jordan Valley, leaving the western side of the Valley in Jordan territory unserved except to the extent irrigation could be conducted on the western side by control of the wadis flowing into the Jordan from west to east and from underground water. These sources are inadequate to serve more than a fraction of the west side of the Valley.

The economic approach to the irrigation of the Jordan Valley requires the use of Lake Tiberias, a natural reservoir, for storage and [Page 1274] regulation of the flow both of the Jordan and the Yarmuk Rivers. It would involve an eventual division of the waters involving the use by Jordan of 774 million cubic meters annually, and by Israel of 394 millions, resulting in irrigation of 490,000 dunums in Jordan and 416,000 dunums in Israel. Use of Lake Tiberias as a reservoir would require the construction of a diversion canal from the Yarmuk River into Lake Tiberias and a small increase in the height of the present dam at the outlet of the Lake. The costs of these two operations are insignificant in comparison to the cost of a high dam on the Yarmuk, and much less time-consuming. It is estimated that increasing the height of the dam at Lake Tiberias would require the expenditure of about $700,000, and that the construction of a canal from the Yarmuk into Lake Tiberias would cost approximately $2,300,000.

Furthermore, these works could be undertaken and completed within a two-year period. Development of the Jordan Valley along these lines would permit sufficient water to be available from the Jordan and the Yarmuk rivers to irrigate substantially all of the available land of the Valley, both on the east and west sides of the river. A smaller dam than presently contemplated could be built at Maqarin to provide electric power.

This development, on the other hand, presents two great obstacles: first, it will require Israel to renounce her claims to more than 400 million cubic meters of water for diversion into Israel. Israel had counted on 850 million cubic meters for irrigation, on which in turn her hopes for an expanded population are based. Israel has further sought the presently unused waters of the Lebanon’s Litani, for which river Lebanon is developing other plans for part if not all of its waters. The proposed development of the Jordan would also require an adjustment of boundaries at the southern end of Lake Tiberias to enable the Arabs to be reassured as to their continued supply of water from Lake Tiberias. Israel’s boundaries presently extend to the east of the Jordan and of Lake Tiberias, and the Arabs will not agree that their resources of water be under the physical control of the Israelis. This subject was considered by the subcommittee of the Senate which recently considered the Palestine Refugee problem, and the report of the Senate Subcommittee (Tab C) reads in part as follows:

“. . .The United States is prepared to furnish its share of the technical services and funds, but essential to the success of the project is effective action by the United Nations to secure an understanding on the disputed issues of water rights, and adequate measures to assure the appropriate control of these waters so that countries concerned could depend on their continued flow. Territorial [Page 1275] adjustments to provide the basis for joint control should be considered.”

It should be noted that Israel’s ability to divert substantial volumes of water from the Jordan and its tributaries north of Lake Tiberias on an economical basis depends on the cooperation of Syria and Lebanon to permit Israel to carry out construction in the demilitarized zone on the upper Jordan, and to permit storage of certain waters in their own territories. It is significant that negotiations between Syria and Israel looking to boundary settlements on the Jordan have recently been broken off.

Funds which are available for special economic aid to the Near East could provide inducement to Israel to agree to the proposed division of waters, if a portion of these funds were directed to development of Israel’s share of upper Jordan waters. Progress is now stalled because of Syrian and Lebanese opposition, and shortage of funds. Syrian and Lebanese opposition to Israel’s development of the upper Jordan waters in the demilitarized zones might conceivably be overcome if resultant benefits to the Arabs in Jordan were demonstrated.

  1. Sent through the Executive Secretariat.
  2. Palestine Refugee Problem: Report of the Subcommittee on the Near East and Africa, Foreign Relations Committee, on The Problems of Arab Refugeees from Palestine. 83d Cong., 1st sess., Committee Print. Washington, U.S. Government Printing Office, 1953. Not printed here.
  3. See footnote 2, Document 604.
  4. Dated July 9, not printed.