ARAB AFFAIRS - Sept 4 - Mousa Warns Over Planned US Peace Conference.

Speaking at the opening of a meeting of Arab League foreign ministers in Cairo, Secretary-General AMousa says that a planned Palestinian-Israeli peace conference that fails will pose a threat to Arab interests and regional stability. Mousa echoed comments made by Egypt a day earlier, warning of the negative repercussions that would follow from a failure of the meeting. "A meeting convened as a political demonstration, devoid of real substance, will not just be useless, but will be profoundly harmful to Arab interests and the regional situation", he said. Since US President George W. Bush announced the conference idea, the US has done little to bridge the gap between the Israelis and Palestinians, diplomats say. Mousa said that Israel appeared to want to make the meeting, slated for November, devoid of substance, and that Arabs had to forcefully resist any attempt to lower the ceiling of expectations to avoid further deterioration in the issue. He said a serious meeting required the attendance of all Arab states directly concerned - an apparent reference to Syria, thus far uninvited - and that the meeting be based upon the peace initiative adopted by Arab countries in 2002 and relevant UN resolutions. The meeting should address issues, such as an Israeli withdrawal from occupied Arab land, the dismantling of Jewish colonies, the establishment of a Palestinian state with East Jerusalem as its capital and culminating in Arab recognition of Israel and normal relations with Israel, he said. Blair's plan to spell out practical steps Middle East envoy Tony Blair is developing a plan that would spell out practical steps that Israeli, Palestinian and business leaders would gradually take to try to boost peace prospects, officials said yesterday. Israel is expected to be asked under the plan to take a series of steps including easing travel restrictions in the occupied West Bank, officials involved in the talks said. Palestinian president Mahmoud Abbas's aides hope the former British PM will use his influence to get Olmert to enter serious negotiations for a Palestinian state ahead of a US-sponsored conference in November.