Cable, Ambassador Dr. Wieck, FRG Embassy Tehran, to the Foreign Ministry, 'Scientific-Technological Cooperation Iran-Federal Republic of Germany'

Embassy Tehran

3 July 1974

Dr. Gdt/Sch

Wi 490/04

Ktr.-Nr. 996/74

Date Stamp: Federal Ministry for Economic Affairs, 12 July 1974, Nr. 0170

To the

Foreign Ministry

Bonn

Lead: Section 414

RE: Scientific-Technological Cooperation Iran - Federal Republic of Germany

Reference: Telex Nr. 201 from 27 February 1974/ Wi Pol. 321.16 IRN

Attached: 2 doubles

Copies of this report went directly to Federal Ministry for Economic Affairs and Federal Ministry for Research and Technology

Concerning the objectives of Iran for the development of new technological processes, as well as with regard to the financial means available for that purpose, and pertaining to the here existing opportunities for a cooperation with German business and academic science, I am of the opinion that more attention should be devoted to the question of scientific-technological cooperation between Iran and the Federal Republic.

The following aspects are favoring such a cooperation from the perspective of our interests:

1. Cooperation with Iran as an important source of energy and a future industrialized country according to Western standards;

2. Opportunities to utilize the existing Iranian financial means for joint projects and thus achieve cost reduction for German research projects;

3. Improvement in utilization of capacities of German research and development institutions for new industrial products;

4. Utilization of the significant potential of the many Iranians educated at German universities.

As areas of application for a scientific-technological cooperation the following are especially relevant:

1. Nuclear power plants

As it is known, Iran is eager to build up in accelerated fashion an extensive nuclear power industry in order to reserve the scarce, and in foreseeable time exhausted, oil for industrial application (petrochemical sector, et cetera) and no longer use it as a source of energy. The still nascent Iranian planning the initial level is thinking in the long run of building about 20 nuclear power plants with a capacity of about 23,000 MW [Megawatts]. As part of this, it is said that five nuclear power plants with 1,000 MW each (probably mostly light water reactors) were ordered during the recent visit by the Shah^[1] to Paris from French companies with a delivery time by 1985. However, it appears questionable whether the French industry, which moreover is also dependent on American licenses (Westinghouse, General Electric), is actually capable to provide such deliveries, both in terms of technology and pertaining to capacity. At the same time France has offered aid for the recently established Iranian Nuclear Energy Commission, especially for the construction of a nuclear research center. It [France] has also stated its willingness to train Iranian nuclear researchers and technicians. The area of “fast breeder reactors” is also said to have been included in the agreed upon Iranian-French cooperation.

At the occasion of a recent visit by the head of the U.S. Atomic Energy Commission in Tehran, there also had been talks regarding cooperation with the United States on these matters. Detailed negotiations are underway, it is said they are discussing deliveries of a power plant capacity of about 10,000 MW. On 31 July 1974 an agreement on uranium enrichment was signed in Tehran between the Iranian (Etemad)^[2] and the U.S. Atomic Energy Commission (Rubin). Negotiations are also running with Canada and Sweden.

So far the capabilities of the Federal Republic in this field do not yet seem to have entered the awareness of the politically relevant individuals of Iran. The visit by a delegation from the German Kraftwerk Union^[3] [KWU] to Iran is scheduled for July. The German BBC^[4] wants to propose to Iran close cooperation in research and development in the area of developing high-temperature gas-cooled reactors. This research project is conducted in cooperation with Gulf/United States and, as it is known, is financially supported by the Federal Ministry for Research and Technology.

2. Development and delivery of nuclear-powered ships

As the Shah has stated in his meeting with Federal Minister Friderichs^[5] at the occasion of the investors’ conference end of April, Iran is interested to obtain nuclear-powered  trade ships, and in particular tankers, for the transportation of natural gas. In this area as well an Iranian-French cooperation is in the works. In light of the experience with the German “Otto Hahn”^[6], and the knowledge acquired in context of the GKSS in Geesthacht^[7], here as well a German-Iranian cooperation appears to be very promising.

3. Television satellite system

As is it is known, the Iranian government is intending to provide within the next 8 years 300 million Dollars each for education purposes. In this context they are thinking about establishing a television satellite systems for direct reception (costs: about 100 million Dollars) for the purpose of providing information and education to remote parts of he country. The German experiences in this area are also pointing towards a cooperation here. It could cover questions of development, delivery, and also production in Iran.

4. Energy research

As a result of, among else, various statements by the Shah, the Iranian government is very much interested in all issues of energy research independent from questions of nuclear energy. In this context, research in the field of solar energy deserves special mention. Recently in Tehran the establishment of a research center for “Materials and Energy Research” was decided. It will be supported with generous funds and is supposed to be affiliated with the Aryamehr University of Technology^[8] in Tehran.

5. Metallurgy

The existence of rich natural resources (iron, copper, et cetera) and the intention of the Iranian government to use them in the best way, with domestic processing as much as possible, do also making this area look very promising for a cooperation. According to recent statements by the Shah, Iran is intending to expand its steel industry up to a capacity of 30 million tons. In this context, and in light of its rich resources in natural gas, Iran is especially interested in technology of direct reduction.

6. Geology and mineralogy

The rich natural resources of Iran, the scarcity of resources in the Federal Republic, and the fact that Iran has allocated remarkable funds for geological research work are also advocating for a cooperation in this area.

7. Chemistry and Petrochemistry

As it is known, Iran is planning to invest over the period of the next 10 years a sum in the amount of 8 billion Dollars in the development of its petrochemical industry. Thus here as well there do exist very interesting starting points for a cooperation.  

8. Traffic planning

Questions of traffic planning in the most different areas are having high priority for the further development of the Iranian economy. They are recognized by the government and underlined by the provision of according financial means. Here we are dealing with such different kind of subjects like the extension of the ports, the expansion and electrification of the railway system, the building of a local transportation system for Tehran, the review regarding the best possible allocation of transportation requirements on the roads, railway tracks, and in the air, et cetera.

9. Sea water desalination

In light of the very far-reaching Iranian plannings for the construction of sea water desalination facilities the existing agreement for building a prototype at the Persian Gulf (Bushehr) could be expanded. For technical reasons, a coordination between this complex and those of nuclear power plants appears to be warranted.

I want to suggest that the overall framework presented in this report should as soon as possible become a topic for an inter-ministerial meeting of the [West German] Ministries [concerned]. Thus, if at all possible, the next meeting of the joint German-Iranian government commission for economic cooperation, which probably will be convened in Tehran for fall this year, could be dealing with all subjects. The question of an agreement over scientific-technological cooperation should be seriously considered in light of its perspectives for the future.

Signed Dr. Wieck^[9]