Italian Premier Romano Prodi caused dismay in part of his centre-left coalition on Tuesday by saying the government would voice no objections to the planned enlargement of a US base at the northern city of Vicenza.
The project, which would create the biggest American military base outside the US, is firmly opposed by left-wing and pacifist elements in Prodi's disparate, nine-party coalition.
But several other centrist parties are equally convinced it should go ahead, partly to prevent damage to Italian-US relations.
Breaking his silence on the sensitive question, Prodi said during a visit to Bucharest that his government had always intended to follow the line of the local council, which has approved the project.
"We have no reason to oppose it," he said, arguing that after the green light from the previous government the question was no longer an issue for national politics anyway.
Prodi said he would shortly inform the US ambassador of the government's position.
He also denied media reports that relations with Washington were going through a difficult patch. He said no meeting with President George W.Bush was planned at present but there would be one at an "opportune" moment.
The American military base in Vicenza currently houses 2,600 troops. The expansion project involves building barracks at the city's Dal Molin airport to accommodate 2,400 more US soldiers who are currently stationed in Germany.
The centre-right city council approved the expansion of the base in a narrow vote last October but the final word rests with the seven-month-old government, in particular Prodi and Defence Minister Arturo Parisi.
The US had demanded a clear answer by the end of this week.
'DISAPPOINTED'.
"I am very disappointed," said Oliviero Diliberto, head of the Italian Communists Party (PDCI), after Prodi's statement was relayed back to Rome.
He and other leftists renewed calls for a referendum among the local population.
The decision was expected to cause tensions in the Democratic Left (DS), the largest government party, which has highlighted surveys showing that 70% of Vicenza residents are against enlarging the base.
The PRC, the third largest party in government, said on Monday that a green light would imply "incomprehensible support for the disastrous policies of the Bush administration".
But Giuliano Amato, the Socialist interior minister, and the centrist defence minister have both spoken in favour of the base's expansion, arguing that it is in the spirit of friendship between Italy and the US.
Going against the previous government's green light would be a extremely tricky in diplomatic terms, they said.
Vicenza's centre-right council has thrown out proposals to hold a referendum on the base's fate even though local polls have shown that 84% of citizens would like to have a say on the issue.
There have been repeated demonstrations by local residents against the base's expansion.
But there have also been smaller protests by those who argue that Vicenza's economy will suffer if the base is closed and that more than 1,200 locals who currently work at the base will lose their jobs.
