PALESTINIAN UNITY GOVT WON'T CHANGE U.S. POLICY

U.S.: No Aid Renewal Until Palestinian Government Accepts "Three Principles of Peace" - Barry Schweid
Any Palestinian government must renounce violence and accept Israel's right to exist to qualify for a resumption of full Western aid, the Bush administration said Monday after Palestinian factions announced a power-sharing agreement between Hamas and Fatah. State Department spokesman Gonzalo Gallegos said the Palestinian government must accept the "three principles of peace" - disavowal of terror and violence, recognition of Israel, and acceptance of previous agreements between the two sides. (AP/Washington Post)

See also Palestinian Unity Government May Widen U.S.-EU Rift - Adam Entous
A new Palestinian unity government could widen a rift between the U.S. and the EU and fracture an economic blockade of the Hamas-led administration. Washington does not want to lift international sanctions until the government recognizes Israel, renounces violence, and abides by interim peace deals, but at least some in the EU are signaling a willingness to settle for less. David Makovsky, a senior analyst at the Washington Institute for Near East Policy, said there was a growing sense within the U.S. government that PA Chairman Abbas has been "complicit in assisting Hamas rather than serving as a counterweight." (Reuters)

See also Hamas Gives Abbas Go-Ahead for Talks With Israel (FOXNews)
OFER MILITARY BASE, West Bank — Hamas officials on Tuesday gave Palestinian President Mahmoud Abbas the go-ahead for negotiations with Israel, a major shift in the militant Islamic group's position toward the Jewish state as it worked to end its international isolation.

BUT: "Prime Minister Ismail Haniyeh of Hamas on Tuesday poured cold water on any hopes a new Palestinian unity government might seek peace talks with Israel," Reuters reports.

Israel and the United States have responded skeptically to the planned unity coalition, agreed by Haniyeh and President Mahmoud Abbas on Monday as a way to lift a Western aid boycott imposed on the Hamas-led government in March. The European Union has been more positive, believing it could re-energize the Middle
East peace process.

Asked by Reuters if the new administration would negotiate with the Jewish state, Haniyeh said: "No. Negotiations have to do with the PLO and not with the government."