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headquarters on 12 February. (A third internal EU document, on ’s Arab minority, was prepared by the European embassies in Israel during the quarter, but not leaked in full. For a description, see Barak Ravid, “Secret EU paper aims to tackle Israel’s treatment of Arab minority” in the “Selections from the Press” section.) The document consists of a cover note (in effect a Preamble followed by brief recommendations) and two annexes: the report itself and a restatement of EU policy on East . Only one of the !ve rubrics in Annex 2 concerned as the future Palestin- ian capital, and is excerpted below. The footnotes have been omitted for space. The complete document can be obtained at http://www.ipk-bonn.de/politik/ news/2012021100.html.

Cover Note Considering the EU’s commitment to the two-state solution with an indepen- dent, democratic, contiguous, and viable Palestinian state, comprising the West Bank, including East Jerusalem, and Gaza, living side by side in peace and security with the State of Israel; Considering that the developments in East Jerusalem, in particular the sys- tematic increase in settlement activity as demonstrated by the Jerusalem report, increasingly undermine the two-state solution; Considering the urgent need to ad- dress the situation in conformity with the EU position, in accordance with in- ternational law, that the acquisition of territory by force or the threat of the use of force is inadmissible; Considering the EU Council Conclu- sions of 2 December 2009;

The Heads of Mission in Jerusalem and Ramallah herewith submit to the Political and Security Committee (PSC) the Jerusalem Report 2011 A3. EU HEADS OF MISSION, REPORT ON (Annex 1) and for discussion a series EAST JERUSALEM, JERUSALEM, 10 FEBRUARY of recommendations to reinforce EU 2012 (EXCERPTS) policy on East Jerusalem (Annex 2): Like the European Union (EU) report on Area C (Doc A2 above), this report The Heads of Mission in Jerusalem was prepared for internal EU use and and Ramallah recommend: leaked, in this case to the British newspa- per The Guardian. Prepared by the heads • A more active and visible imple- of mission of the EU member states in mentation of EU policy on East Jerusalem, it was approved by Brussels Jerusalem.

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• Using meetings with Israeli authori- 4. Over the past few years, Israel’s ties to call for urgent policy change actions in East Jerusalem have run on East Jerusalem. counter to its stated commitment to a • Appropriate follow-up to the sustainable peace with the Palestin- submissions. ians through the two-state solution. At- • In view of the deteriorating situ- tempts to emphasize the Jewish identity ation on the ground, mandating of the city, at the expense of its Muslim HoMs [Heads of Mission] in and Christian residents, threaten its reli- Jerusalem and Ramallah to continue gious diversity and provide fuel to those the work to reinforce the EU policy who want to further radicalize the con- on East Jerusalem. "ict, with potential regional and global repercussions. Annex 1: EU HEADS OF MISSION REPORT ON EAST JERUSALEM EU POLICY 5. EU policy regarding East Jerusa- JERUSALEM AND THE PEACE lem is based on the principles set out PROCESS in UN Security Council (UNSC) Resolu- 1. Without Jerusalem as the future tion 242, notably the inadmissibility of capital of two states, a sustainable acquisition of territory by force. In ac- peace agreement between Israel and the cordance with international law, the EU will not be possible. If cur- regards East Jerusalem as occupied ter- rent trends continue, the prospect of ritory and has never recognized the Is- Jerusalem as the future capital of two raeli 198U Basic Law (Jerusalem, capital states becomes increasingly unlikely of Israel), which annexed Jerusalem as and unworkable, undermining the two- Israel’s “complete and united” capital state solution. and modi!ed the city’s municipal bor- 2. Jerusalem is a strongly emotive ders. This is in line with UNSC Resolu- subject for both Palestinians and Israelis tion 478 in which the Security Council and incorporates both national and re- decided “not to recognize this basic law ligious interests. It will be amongst the and such other actions by Israel that, most complex !nal status issues to re- as a result of this law, seek to alter the solve in the peace process. Since the oc- character and .” The cupation and illegal annexation of East EU considers Jerusalem as a !nal status Jerusalem by Israel, the Palestinian part issue in the Israeli-Palestinian con"ict of the city has become ever more de- and therefore opposes any measures tached, both in terms of physical links that prejudge the outcome of peace as well as political and cultural ties, negotiations. from the rest of the West Bank. 6. In conferences held in 1999 and 3. Israel is actively perpetuating its 2001, the High Contracting Parties to annexation by systematically under- the Fourth Geneva Convention reaf- mining the Palestinian presence in the !rmed the applicability of the Con- city through the continued expansion vention to the occupied Palestinian of settlements, restrictive zoning and territory (oPt), including East Jerusalem, planning, ongoing demolitions and evic- and reiterated the need for full respect tions, an inequitable education policy, of the provisions of the Convention in dif!cult access to health care, the inad- that territory. equate provision of resources and in- 7. In 2004, the EU acknowledged vestment, and the precarious residency the Advisory Opinion of the Interna- issue. The interlinked Israeli policies tional Court of Justice on the “Legal and measures continue to negatively Consequences of the Construction of a affect East Jerusalem’s crucial role in Wall in the Occupied Palestinian Terri- Palestinian political, economic, so- tory.” While the EU recognizes Israel’s cial, and cultural life. In 2011 a surge security concerns and its right to act in in settlement planning has taken place self-defense, it considers the construc- especially at the southern "ank of Jeru- tion of the separation barrier illegal un- salem. This is increasingly undermining der international law where it is built the feasibility of Jerusalem as the future on occupied territory, including East capital of two states. Jerusalem.

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8. The Council conclusions of 8 De- agreement that would include a nego- cember 2009 (reiterated in December tiated solution on the status of Jerusa- 2010) reaf!rm the long-standing EU lem and to freeze all settlement activity, policy. According to the conclusions, including “natural growth.” The GoI the EU will not recognize any changes reaf!rmed its Roadmap commitment to the pre-1967 borders, including with to a settlement freeze at the Annapo- regard to Jerusalem, other than those lis conference in 2007. In November agreed by the parties. The EU has never 2009, the GoI announced a ten-month recognized the annexation of East Jeru- settlement moratorium. Although the salem and states that “if there is to be GoI did not interpret the commitment a genuine peace, a way must be found to stop settlement activity as pertain- through negotiations to resolve the sta- ing to East Jerusalem (based on claims tus of Jerusalem as the future capital mat the Jerusalem municipality consti- of two states.” The EU has repeatedly tutes Israeli territory), a de facto settle- urged the Government of Israel (GoI) to ment freeze occurred in East Jerusalem immediately end all settlement activities after the visit of U.S. Vice President in East Jerusalem which the EU consid- in March 2010 until the end ers illegal under international law and of the moratorium in September 2010. calls on the GoI to cease all discrimina- Since then, however, systematic settle- tory treatment of Palestinians in East ment activity has resumed. In 2011 a Jerusalem. surge in settlement planning has taken 9. Under the terms of the Oslo Ac- place especially at the southern "ank of cords, the Palestinian Authority is not Jerusalem. permitted to operate in East Jerusalem 12. There are two kinds of settle- and so the Palestinian leadership can ments in Jerusalem: only work there under the political um- brella of the PLO. In an effort to sup- a. Settlement enclaves within port the of!cial Palestinian presence in Palestinian neighborhoods estab- East-Jerusalem, the EU funded the “Stra- lished by ideologically motivated tegic Multisector Development Plan for settlers predominantly in the Old East Jerusalem 2011–13.” City and the Historic Basin. These settlers aim at creating facts on the SETTLEMENTS ground that prevent the division of 10. The demographic factor is a cen- the city by establishing settlements tral element in Israeli policy. In 1967, Is- within Palestinian neighborhoods, rael annexed East Jerusalem. Moreover, transforming the and by adding some 70 km2 it rede!ned the its environs into an area domi- municipal boundaries of Jerusalem. To- nated by their historical narrative. day, some 790,000 people live within Although formally being private these municipal boundaries, of which initiatives, these settlements could around 37 percent are Palestinian. It has not take place without government been a stated aim in of!cial planning support. documents to prevent the Palestinian b. GoI-initiated Jewish “neighbor- population from becoming more than hoods” built on land occupied by 30 percent of the municipality/s total Israel in 1967. These settlements population. Successive Israeli govern- can be divided into an outer ments have pursued a policy of transfer- and an inner ring, isolating East ring Jewish population into the oPt in Jerusalem. violation of the Fourth Geneva Conven- tion and international humanitarian law. Settlements in the Old City— In East Jerusalem 35 percent of the land Historic Basin has been expropriated, thus facilitating 13. The Old City and its immediate settlement construction. Out of a total environs to the south and east are com- of 507,000 Israeli settlers living in the monly referred to collectively as the oPt, 196,000 now live in settlements in- Historic Basin. This area includes the side East Jerusalem. Palestinian neighborhoods of Silwan, 11. In 2003, Israel committed un- Ras al-Amud, At-Tur, Wadi al-]oz, and der the Roadmap to reach a permanent Sheikh Jarrah and contains the majority

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of the historical and holy sites of Jeru- occupy property in all quarters of the salem. With the exception of the Jew- Old City. Often these properties are ish Quarter of the Old City, these are wedged tightly in between existing Pal- Palestinian residential areas, but since estinian dwellings (sometimes settlers the occupation of East Jerusalem in will occupy individual apartments in 1967, parts of the land have progres- buildings also inhabited by Palestinian sively been transferred to the control of families). The close proximity between various pro-settlement Jewish organiza- settlers and Palestinians in the Old City tions. Today, there are around 4,700 set- only adds to the considerable tension tlers living in the area. The focus of the that already exists in the area. Settlers settler organizations has included exca- have increased the focus on the periph- vation of archaeological sites, services ery of the Old City and its surround- for tourists, and recreational facilities. ings, leading to increased pressure on In spite of the fact that these activities the nearby Palestinian neighborhoods are often being implemented by private such as Sheikh Jarrah, Mount of Olives, organizations, such as Ataret Cohanim and Silwan. In Sheikh Jarrah, the con- and El’ad (see archaeology section), they struction of a new settlement is ongoing still form part of an overall pro-settle- at the Shepherd’s Hotel site. The demo- ment strategy, the realization of which lition of the building in January 2011 is facilitated by the GoI as well as the led to strong protest by Palestinians and Jerusalem municipality. the international community. The ini- 14. The strategic settlement push is tial plan to build 20 housing units at made evident through the continued ex- the site will be expanded with an ad- pansion of settlement activities around ditional plan comprising 90 housing and within the Historic Basin. This cre- units, a synagogue, a kindergarten, and ates a settlement continuum, comprised dormitories. by a swath of smaller settlements, pub- 17. Following the municipality’s ap- lic parks, archaeological sites, and tour- proval of construction permits in 2010, ist complexes along the eastern and settlers have started the construction southern wall of the Old City. These of 24 new apartments in four build- activities effectively encircle and contain ings in the private settlement of Beit the Historic Basin, cut off the territo- Orot on the Mount of Olives. In the rial contiguity between the Palestinian neighborhood of Ras al-Amud, renova- neighborhoods of East Jerusalem and tion and construction work for 14 new the Old City, and separate the Muslim apartments in the old police station is and Christian holy places from the rest nearing completion. Now called Ma’ale of East Jerusalem. David, the station itself was vacated by 15. Various methods are used to stra- the police after settlers funded the con- tegically gain control of Palestinian struction of the new police headquar- properties: through the Absentee Prop- ters located in the E-1 area (see below). erty Law, on the basis of claimed Jewish It was subsequently turned over to the ownership (pre-1948), or through the settlers as part of a plan to expand the purchase from the owners. As a conse- nearby settlement of Ma’ale Zeitim from quence, land and property have gradu- 60 housing units to more than 200 by ally fallen under the control of various incorporating this new site. The plan private settler organizations, almost in- aims at connecting Ma’ale Zeitim and variably with state support. This raises Ma’ale David with a pedestrian bridge, concerns over the extent of in"uence thereby creating a settlement of more settlement organizations enjoy inside than 1,000 settlers at the entrance to the relevant authorities. At the same Ras al-Almud. time, under Israeli law, Palestinians are 18. Concerns remain about the Open precluded from reclaiming pre-1948 Spaces project, which foresees, inter property in Israel or in . alia, the establishment of a sequence 16. Moreover, private Israeli settler of national parks around the Old City, organizations have continued to take which are often related to archeologi- over property within the Old City where cal excavations. By cutting through today the number of Jewish settlers is Palestinian neighborhoods and link- around 3,500. These settlers presently ing up settlements in East Jerusalem,

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the establishment of these national tenders for 312 units in Har Homa and parks risks to further isolate Palestin- Pisgat Zeev were publicized by the Is- ian neighborhoods and limit Palestinian rael Lands Authority. construction and living space in East Je- rusalem. In November 2011 a plan for a The Outer Settlement Ring new national park at the 21. The outer ring consists of settle- slopes has been deposited for public ments outside Jerusalem’s municipal review. The park, which would extend boundary but largely on the west side to a large part on private Palestinian of the barrier. These settlements further land, is located between the Palestinian isolate Jerusalem from the rest of the neighborhoods of Isawiyya and A-Tur. If West Bank. They include the three main implemented it would prevent the urban “settlement blocks”: Giv’at Ze’ev, Ma’ale development of these neighborhoods. Adumim, and the Gush Etzion bloc, home to approximately 100,000 settlers. The Inner Settlement Ring Also in these large settlements tenders 19. The inner ring comprises large were announced in November 2011 as government-initiated settlements within a retaliatory response to the Palestinian the Israeli-de!ned municipal boundary membership of UNESCO. of Jerusalem. They are home to approxi- 22. Concerns remain about areas that mately 194,000 Israeli settlers. Wedged have been designed for further settle- in between East Jerusalem and the rest ment expansion, such as the E1 area of the West Bank, these settlements in (situated between Jerusalem and the combination with the barrier effectively Ma’ale Adumim settlement). In this area, cut East Jerusalem off from the rest of there is a long-standing plan to build the West Bank. a new settlement with 3,500 units for 20. Settlement activity in East Jerusa- around 14,500 settlers. The plan also lem has accelerated in 2011. Four new includes an industrial park, large-scale town plan schemes have been approved infrastructure, commercial develop- for public review, altogether comprising ment, and recreational facilities. The at least 5,840 new housing units in the police headquarters of “Judea and Sa- settlements of (South and West), maria” has already been moved to E1 Ramat Shlomo, and Givat Hamatos. The (see above). Construction of infrastruc- expansion of Gilo attracted signi!cant ture in E1 began in 2004 and was sub- international concern and condemna- sequently halted as a result of strong tion as the decision was taken only U.S. objections. It has not resumed since a few days after the Quartet issued a then, nor has it appeared likely to re- statement on 23 September calling on sume until recently. However, recent Israelis and Palestinians to refrain from announcements by the Israeli Finance provocative actions. While the Givat Minister that the time to build E1 has Hamatos plan does provide for some come and the approaching implementa- construction for Palestinians from Beit tion of plans to displace the Bedouins Safafa, it constitutes the creation of living in the E1 area (see “Planning, De- the !rst major new molitions, Evictions, and Displacement” in Jerusalem since Har Homa and sig- section) all indicate that the prospect of ni!cantly contributes to severing East the GoI implementing the E1 plan in the Jerusalem from Bethlehem. Further- near future is greater than it has been more, as a response to the Palestinian since 2004. The implementation of the membership of UNESCO in late 2011, E1 project would effectively divide the the Israeli authorities have advanced West Bank into separate northern and East Jerusalem settlement construction southern parts. Moreover, by establish- by announcing the issuance of tenders ing contiguity between the settlements for the construction of approximately and Jerusalem, it would be the !nal step 2,000 housing units in the settlements to geographically cutting off East Jeru- of Har Homa, Ramot, and Pisgat Ze’ev. salem from the rest of the West Bank. In effect, just before the Jordanian- sponsored direct talks between the Is- ARCHAEOLOGY raeli and the Palestinian negotiators on 23. GoI involvement in settlement ac- 3 January 2012, the !rst for 16 months, tivities in the Historic Basin includes the

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outsourcing of archaeological under- presentation of archaeological evidence takings to private Israeli pro-settlement in the area seems to be a concerted ef- organizations. The use of archaeology fort to utilize archaeology to enhance as a political and ideological tool in the a claimed historic Jewish continuity in Wadi Hilweh area just south of the Tem- Jerusalem, thereby creating the sense of ple Mount/Haram Al-Sharif is a source a historic justi!cation for the establish- of increasing concern. According to his- ment of Jerusalem as the eternal and toric accounts, biblical Jerusalem origi- undivided capital of Israel. nated in this area some 3,000 years ago and so the place has been the subject PLANNING, DEMOLITIONS, of numerous archaeological excavations EVICTIONS, and DISPLACEMENT throughout the last century. 26. The planning regime of the Je- 24. The management of the various rusalem municipality remains a source archaeological sites in Wadi Hilweh, the of concern as it places severe restric- northern part of Silwan, has now largely tions on the building of Palestinian been placed in the hands of El’ad, a housing in East Jerusalem. While Israeli Jewish settler organization. The orga- planning legislation does not explic- nization has entered into a partnership itly discriminate against the Palestin- with the Israel Antiquities Authority, ian population, in its implementation which is paid directly by El’ad to carry it leads to de facto discrimination on out the excavations without Palestinian the ground, as the following examples involvement or international oversight. show: Furthermore, with the support of the Jerusalem Municipality, El’ad has been • A very small proportion (less than successful in securing a contract from 9 percent) of Palestinian privately the Israel Nature and Parks authority to owned land in East Jerusalem can manage the “City of David” archaeologi- be used for building. This is due to cal visitors’ park in Wadi Hilweh, a con- the fact that around 57 percent of tract which is currently being contested Palestinian privately owned land in the Supreme Court. Consequently, remains unplanned and therefore not only the excavation but also the pre- not eligible for building permits. In sentation of important parts of the Jeru- addition, around 35 percent of the salem archaeology has been outsourced total land in the Palestinian suburbs to El’ad. On 28 December, Jerusalem has been de!ned by Israel as “open Local Planning and Building Committee space,” which further restricts the approved an El’ad-sponsored plan for possibility of building. building a vast Israeli tourist complex • Where allowed, the building den- in the highly sensitive area of Silwan. sity permitted in certain areas of This plan includes a bridge over the East Jerusalem is signi!cantly lower road that will create a direct connec- than in West Jerusalem. Besides, the tion between the “City of David” tourist relatively higher density allowed site and the Dung Gate entrance to the in Palestinian neighborhoods close plaza. It is El’ad’s stated to Palestinian built-up areas on the aim to transform Wadi Hilweh/Silwan “West Bank” side of the separa- into an extension of the Old City’s Jew- tion barrier pushes the Palestinian ish quarter. If implemented, this plan population toward speci!c areas of will constitute another unilateral fact East Jerusalem. on the ground, affecting the character • In order to be able to get a build- of the public space in this highly sensi- ing permit, it is necessary to prove tive area. ownership of the land, which is 25. The result has been a biased of- problematic as most land in East !cial historical narrative of Jerusalem, Jerusalem, due to historic reasons, placing emphasis on biblical and is not of!cially registered with the Jewish-Israeli connotations of the area Israeli authorities. while neglecting Arab Muslim claims • For Palestinians, the cost of get- of historic-archaeological ties to the ting the licenses still remains high same place. The overarching purpose of and the process is complicated such a preprogrammed approach to the and lengthy. Because of the lower

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building density in Palestinian homes in several neighborhoods in East areas, the costs, which are based on Jerusalem, typically based on claims of the buildings footprint, are shared Jewish land ownership prior to 1948 or amongst fewer people. based on the historical, religious, or ar- chaeological importance of the area, as 27. As a consequence of the restric- in the case of the “City of David”/Silwan tive planning regime, there is an acute (see Archaeology section). Similarly to housing shortage in East Jerusalem. demolitions, evictions require police Over the past years Palestinians have presence. received fewer than 200 building per- 31. In the E1 area, around 2,300 Bed- mits per year. Based on the population ouin are threatened with forced transfer. growth, permits for 1,500 housing units Plans include the relocation of some of annually would be necessary to cover these communities to the site of the Abu the housing needs in East Jerusalem. Dis waste dump. Reports indicate that Consequently, Palestinian houses are the implementation of the !rst stage of overcrowded and in a bad condition. this relocation plan may begin in early 28. The planning regime poses a dif- 2012. (For concerns on E1, see para. 22 !cult dilemma for Palestinian families: of the Settlements section.) they have the choice between migrat- ing outside the municipal area of Jeru- RESIDENCY STATUS salem (and losing their residency status) 32. Residency rights in East Jerusa- and building without the necessary lem are linked to Israeli demographic building permit. Thirty-two percent of policy. Restrictive measures continue Palestinian structures in East Jerusa- to apply in relation to the ID and resi- lem lack such a permit, and as a result dency status of Palestinians from East 85,000 Palestinians are at risk of demo- Jerusalem. Since 1967, Palestinian resi- litions and forced displacement in East dents of the city were given the status Jerusalem. of “permanent residents” of Israel, giv- 29. Buildings that are constructed ing them the right to live in Jerusalem without a permit are considered illegal and work in Israel without the need for by the Israeli authorities. Up to 1,500 a special permit. To retain this status, “illegally” built residential buildings in residents are forced to regularly prove, East Jerusalem currently have demoli- according to a strict criteria, that Jerusa- tion orders against them; in 2011, Israel lem is the center of their life. If they fail has demolished 28 structures. Moreover, to convince the Israeli authorities, they 10 demolitions have been executed by lose their right to reside in the city. Per- the owners themselves after receiving manent residency is also revoked if they a demolition order, under the threat of obtain citizenship or residency of an- heavy !nes. As a result, 91 people (of other country. Latest data acquired from which 48 are children) have been dis- the Israeli Ministry of Interior shows placed. This compares favorably to 84 that since 1967, around 14,500 Pales- structures demolished by Israel in 2009 tinian residents of Jerusalem have had and 82 in 2010. While the municipality, their status revoked. within the Israeli system, is responsible 33. Unlike Israeli citizenship, per- for demolitions, the GoI can stop these manent residency is not automatically from taking place by refusing to pro- passed on to Palestinian children, who vide police protection. This occurred for only receive permanent residence under several months in 2011, until early De- certain conditions. This leads to dif!cul- cember when the police again began to ties in the registration of children where provide security, thus allowing demoli- one parent is a Jerusalem resident and tions to take place. the other is from the rest of the West 30. Alongside the threat of demoli- Bank or the Gaza Strip. There are as tions, a number of Palestinians face the many as 10,000 unregistered children in risk of eviction. This is usually associ- East Jerusalem, which impacts on their ated with the takeover of Palestinian ability to access basic education, health, property by settler organizations. Re- and other social services. cent years have seen the forced evic- 34. As permanent residency is not tions of over 200 Palestinians from their automatically transferred through

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marriage, an East Jerusalemite who of settlements beyond the municipal marries a Palestinian from the rest of boundary such as Ma’ale Adumim. the West Bank or the Gaza Strip and 39. The route of the barrier changes wishes to reside in the city with his/ the de facto boundaries of Jerusalem her spouse must apply for family uni!- and, in some cases, runs through the cation, a long, expensive bureaucratic middle of densely populated Palestin- process. In 2003, Israel introduced the ian neighborhoods. As a consequence, “Nationality and Entry into Israel Law a number of Palestinian communities (Temporary Order)” under which not within the Jerusalem municipal bound- only the spouses of permanent residents ary !nd themselves on the “West Bank” of East Jerusalem but also their children side of the barrier. These communities are prohibited from living with them in need to cross checkpoints to access the the city. health, education, and other services to 35. In June 2010, the Israeli authori- which they are entitled (and pay taxes ties invoked a “breach of loyalty to the for) as residents of Jerusalem. The bar- state of Israel” in order to expel from rier also affects at least 16 West Bank Jerusalem three members of the Pales- localities outside of the Jerusalem Mu- tinian Legislative Council as well as a nicipality but now situated on the “Je- former PA minister. Out of these, two rusalem” side of the barrier. The 2,500 have now been forcibly transferred from residents in these communities face un- the city, while two others remain in the certain residency, impeded access to ba- ICRC [International Committee of the sic services, and fear of displacement. Red Cross] compound, where they have 40. In December 2011, the Israeli au- sought refuge. In early 2011, the Israeli thorities completed the construction authorities also invoked emergency of the barrier around Shu’afat refugee regulations from the British mandate camp and opened a new checkpoint. period to expel a Silwan activist from This further consolidates the geographi- Jerusalem for four months. cal and physical separation of East Jeru- 36. At least 45,000 East Jerusalem salem from the rest of the West Bank. residents live on the “West Bank” Moreover, the barrier and the new side of the separation barrier (Kufr checkpoint are further isolating Shu’afat Aqab, Anata, Semiramis) but within refugee camp, already a particularly ne- the Israeli-declared boundaries of the glected area in terms of services pro- Jerusalem municipality. Jerusalem resi- vided, from the rest of East Jerusalem. dents have been attracted by lower 41. The village of Al Walaja, at the costs of living and the ability to live southeastern "ank of Jerusalem, offers with West Bank ID-holding fam- another concrete example of the impact ily members. Following Israeli state- of the barrier. Here, despite ongoing ments, most recently by the Jerusalem legal proceedings, the barrier contin- mayor, there is growing concern that ues to be built along a route that will Israel could redraw the city’s munici- essentially encircle the village and its pal boundaries along the route of the residents and has led to the de facto barrier, excluding these areas from con!scation of privately owned Palestin- Jerusalem. The decision would require ian land. Once the barrier is complete, a majority in the Knesset. much of the remaining land will be on the other side of the barrier and only be ACCESS AND MOVEMENT accessible by the Palestinian residents . . . through a system of gates and permits. 38. The construction of the separa- 42. Palestinians who do not have Is- tion barrier in East Jerusalem, which raeli citizenship or residency rights in started in 2002, continued throughout Jerusalem need a permit to enter the 2011. In the Jerusalem area, the barrier city. The permit is dif!cult to obtain is 168 kilometers long, of which only and is subject to a number of condi- 3 percent runs along the 1967 Green tions (e.g., time limited, a ban on driv- Line. The main reason behind this de- ing a car or staying overnight). For viation was the integration of 12 Israeli those Palestinians who are granted per- settlements (and space for their future mits, access is restricted to four out of expansion) and the future integration 14 barrier checkpoints: Gilo, Qalandiya,

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Shu’afat, and Zaytoun. Permits are sus- of 2010. Keeping in mind the deteriora- pended during security closures and of- tion on the ground and the sensitivity ten during Jewish holidays. of the situation in Jerusalem, they have . . . been drawn up in a spirit that aims to maintain the possibility of a two-state PALESTINIAN INSTITUTIONS solution as set out in numerous state- 61. In 1993 the then Foreign Min- ments by the EU, not least the Council ister of Israel in a letter to his Norwe- Conclusions of 8 December 2009. Their gian counterpart acknowledged the implementation, which aims to preserve importance of Palestinian institutions in a Palestinian social fabric in East Je- East Jerusalem, adding that their activi- rusalem on a political, cultural, and ties would not be hampered. In 2001, economic level, has for these reasons be- however, Israel decided to close most come increasingly urgent. These actions of these institutions. The Roadmap re- can be implemented by the EU or indi- quired Israel to reopen the institutions vidual Member States as appropriate. whilst the EU, in its December 2009 Council conclusions, reiterated in De- A. East Jerusalem as the future cember 2010, also called for the reopen- Palestinian capital ing of Palestinian institutions. 1. In conformity with the objec- 62. Nonetheless, Israeli authorities tives of the Strategic Multi-sector continue to renew the order of clo- Development Plan for East sure of numerous institutions every six Jerusalem, promote a coordi- months, basing its decision on claims nated approach and a coherent that the institutions are af!liated to the Palestinian strategy towards East Palestinian Authority and, therefore, in Jerusalem. violation of the Oslo Accords. 2. Promote the establishment of a 63. The institutional and leadership PLO focal point representative in vacuum in East Jerusalem created by East Jerusalem. the prolonged closure of those institu- 3. National or Europe Day events to tions, in particular that of the Orient be held in East Jerusalem (when House, which functioned as the PLO fo- suitable at Palestinian institutions). cal point in East Jerusalem, remains a 4. EU missions with of!ces or resi- key concern. In August 2011, EU HoMs dences in East Jerusalem to regu- in Jerusalem and Ramallah called for its larly host Palestinian of!cials with reopening on the tenth anniversary of senior EU visitors. its closure. Palestinian politicians active 5. Avoid having Israeli security and/ in Jerusalem are subject to repressive or protocol accompanying high- measures by Israel. This void continues ranking of!cials from Member to seriously affect all spheres of life of States when visiting the Old City/ Palestinians in East Jerusalem (political, East Jerusalem. economic, social, and cultural) and foster 6. Prevent/discourage !nancial trans- a growing fragmentation of society at all actions from EU Member States levels, the isolation of communities, and actors supporting settlement activ- a weakened collective sense of identity. ity in East Jerusalem. Equally of concern is the general sense 7. Invite the Commission to con- of neglect felt by many Palestinian East sider proposing appropriate EU Jerusalemites and the absence of Pales- legislation to prevent/discourage tinian state-sponsored institutions and !nancial transactions in support of secular organizations, as they allow more settlement activity. space for Islamic extremist organizations 8. Compile voluntary guidelines for to extend their in"uence. EU tour operators to prevent sup- . . . port for settlement business in East Jerusalem. Annex 2: Reinforcing the EU policy 9. Ensure that products manu- on East Jerusalem factured in settlements in East The 2011 recommendations made by Jerusalem do not bene!t from Heads of Mission in Jerusalem and Ra- preferential treatment under the mallah are largely congruent with those EU-Israel Association Agreement.

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10. Raise public awareness about settlement products, for instance by providing guidance on origin labeling for settlement products to major EU retailers. 11. Inform EU citizens of !nancial risks involved in purchasing prop- erty in occupied East Jerusalem.

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