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NewsFebruary 28, 2003

JERUSALEM -- Winning parliamentary approval for his new rightist government, Ariel Sharon set tough conditions Thursday for peace talks with the Palestinians, even as President Bush urged him to work quickly toward a viable Palestinian state. After 29 months of violence that has buffeted Israel's economy and international standing and devastated the Palestinian areas, Sharon faces expectations from both Bush and many Israelis to find a way to change course...

The Associated Press

JERUSALEM -- Winning parliamentary approval for his new rightist government, Ariel Sharon set tough conditions Thursday for peace talks with the Palestinians, even as President Bush urged him to work quickly toward a viable Palestinian state.

After 29 months of violence that has buffeted Israel's economy and international standing and devastated the Palestinian areas, Sharon faces expectations from both Bush and many Israelis to find a way to change course.

Although Sharon has said he favors a limited Palestinian state if violence ends, his new government's charter skirts the issue and says even launching negotiations on the terms of statehood will require special Cabinet approval -- a difficult hurdle, since two coalition parties and many members of Sharon's Likud fiercely oppose the idea.

The prime minister ended his speech to parliament on a personal note, saying that at his age -- he turned 75 Wednesday -- his only ambition is to lead his people "to a new path ... a path of reconciliation, a path of peace."

Diverse opposition

But the new government was condemned by Palestinians and faces a diverse opposition that includes ultra-Orthodox Jewish politicians outraged at being kept out of the Cabinet, Israeli Arabs and the dovish Labor Party, trounced in last month's vote.

Labor Party leader Amram Mitzna blasted Sharon for promising peace but sticking to hard-line policies. "Without recognizing the need to separate from the Palestinians ... we will face difficult days," he told lawmakers.

The new coalition, which controls 68 seats in the 120-member parliament, won the legislature's approval by 66 votes to 48.

During his speech Sharon was heckled by legislators from ultra-Orthodox parties kept out of a ruling coalition for the first time in 25 years.

The four-party coalition consists of Sharon's Likud; the National Religious Party, a leading patron of Jewish settlers in the West Bank and Gaza Strip; the National Union, some of whose members advocate forcing Palestinians out of the West Bank; and Shinui, which seeks to curb the influence of religion and believes there is no point in renewing peace talks until Yasser Arafat has been replaced.

Of the 23-member cabinet ----including Sharon ---- Likud has 14 ministers, the National Religious Party two, The National Union two, and Shinui five. Sharon plans to add another Likud minister next week.

Despite the comfortable majority it enjoys, the coalition could crumble over the Palestinian issue -- especially if a dramatic change creates pressure for renewed peace talks, such as the end of violence or Arafat's replacement as Palestinian leader.

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The government's charter says no new Jewish settlements will be built, but it pledges to develop existing ones and refers to the settlement of areas claimed by the Palestinians for a state as "an important social and national project."

In a speech Wednesday, Bush suggested he would focus on the Israeli-Palestinian conflict after Iraq is disarmed.

The Palestinians, he said, must carry out sweeping government reform and fight terror. "For its part, the new government of Israel ... will be expected to support the creation of a viable Palestinian state and to work as quickly as possible toward a final status agreement," Bush said. "As progress is made toward peace, settlement activity in the occupied territories must end."

Sharon did not address Bush's comments and listed conditions for peace talks. He said the Palestinians must choose new leaders and halt "terror and incitement."

In a future peace deal, Jerusalem will remain united under Israeli rule and the Palestinians must forgo the "right of return" of 4 million Palestinian refugees and their descendants to Israel, Sharon said.

The two issues were deal breakers in peace talks that collapsed in 2001, with the Palestinians insisting on establishing their capital in east Jerusalem, which Israel occupied in the 1967 war, and refusing to forgo the right of return.

Sharon was first elected in February 2001, a few months after the outbreak of fighting that has killed 2,145 people on the Palestinian side and 728 on the Israeli side. Under Sharon, Israel's military occupied most West Bank cities in its struggle against Palestinian militants.

The government charter suggests that Sharon -- whose term can extend through the end of October 2007 -- will try, at best, to reach an interim agreement with the Palestinians. In such a case, the government would consider a redeployment of troops from some parts of the West Bank and Gaza, but only if that does not harm Israel's interest, the plan says.

The Palestinians say Sharon has no interest in reaching a peace deal. "Israel is the party that is avoiding and refusing the resumption of peace negotiations, and insisting on achieving its objectives by force," said Palestinian Labor Minister Ghassan Khatib.

Wrangling over Cabinet posts continued right up to Thursday's parliament session, in part because of Sharon's surprise decision not to keep on Benjamin Netanyahu, his archrival in Likud, as foreign minister. After wavering, Netanyahu accepted the less prestigious post of finance minister.

With the exception of Shinui's ministers, the Cabinet has a decidedly hawkish bent.

Shaul Mofaz, who has led military offensives against Palestinian militants and has called for Arafat's expulsion, continues as defense minister. Outgoing Finance Minister Silvan Shalom, who has little diplomatic experience, was appointed foreign minister.

Settlement patron Effie Eitam is in charge of the housing ministry, and Tsachi Hanegbi of Likud is internal security minister.

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