Iran hands over reply to nuclear incentives offer

An Iranian delegation inspects construction at the nuclear power plant in Bushehr, Iran, June 27, 2006.

An Iranian delegation inspects construction at the nuclear power plant in Bushehr, Iran, June 27, 2006.

Iran has delivered its reply to an incentives package from world powers aimed at allaying Western fears that Tehran seeks to build atomic bombs.

Iran's chief nuclear negotiator, Ali Larijani, said Tehran was ready to enter "serious negotiations" over its disputed nuclear program but did not say whether it was willing to suspend uranium enrichment - the West's key demand.

Mr Larijani gave the response to foreign envoys representing the six co-sponsors of the package in Tehran. Officials close to the meeting said Iran's response offered a "new formula" to resolve the dispute over Tehran's nuclear activities.

"Iran has provided a comprehensive response to everything said in the Western package. In addition, Iran, in its formal response, has asked some questions to be answered," one official said, without elaborating.

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State-run television said Iran's response meant Tehran was committed to its promises. "Iran's response suggests Iran is committed to dialogue and its promises. . . . It is in contrast with America's policy of unilateralism," the television report said.

The five permanent members of the UN Security Council plus Germany in June offered Iran the package that aims to persuade Iran to roll back its nuclear program.

The United States is represented by Switzerland, which looks after U.S. interests in Tehran because it has not had diplomatic relations with Iran since 1979 when Muslim fundamentalists overran the U.S. Embassy.

Mohammed Saeedi, deputy head of the Atomic Energy Organisation of Iran, said in comments published Tuesday that Tehran's response would provide "an exceptional opportunity" for a return to the negotiating table for a compromise.

"Iran's response to the package is a comprehensive reply that can open the way for resumption of talks for a final agreement," Saeedi said.

European Union officials declined to comment, saying they needed to study the Iranian offer.

The world's fourth-largest oil exporter insists it will not abandon what it calls its right to enrich uranium for use in nuclear power stations.

Refusing to suspend the work would be tantamount to rejecting the package of incentives offered in return, Western diplomats say. Iran says the work is aimed only at generating electricity, but the West sees it as a disguised bid for atom bombs.

A rebuff would not yet trigger immediate action by the UN Security Council, which passed a resolution on July 31st giving Iran a month to halt enrichment or risk sanctions.

Security Council permanent members Britain, France, China, Russia and the United States plus Germany have offered Iran a range of economic, political and security incentives if it suspends atomic work that could be used to make nuclear bombs.

Iran's nuclear programme faces the threat of economic and diplomatic sanctions imposed by the UN Security Council if it does not end uranium enrichment by August 31st.

Iran yesterday turned away International Atomic Energy Agency inspectors from an underground site meant to shelter its uranium enrichment program from attack and its top leader, Ayatollah Ali Khamenei, declared that Tehran will continue to pursue its nuclear activities.

Iran has rejected the resolution passed by the council last month as "illegal," saying a compromise can only emerge from talks.

Agencies