Russia and Japan appear to be creeping toward an interim solution to the Northern Territories imbroglio. There are two possibilities being discussed -- joint administration and control of some or all four islands, and a two-stage agreement in which Russia gives up or shares Shikotan and the Habomai group and promises to return or share Kunashiri and Etorofu later. In either arrangement, both countries would win and no one would lose. Russia's territorial integrity would be partially preserved, Japan's legitimacy and presence in the islands would be restored and the islands' abundant terrestrial and marine resources would be jointly developed to the economic benefit of both.

All the Kuril Islands, including the southernmost four -- Kunashiri, Etorofu, Shikotan and the Habomai group -- were taken by the Soviet Union from Japan at the end of World War II. According to Article 2 of the San Francisco Treaty of Sept. 8, 1951, Japan renounced all rights, title and claim to the Kuril Islands and to that part of Sakhalin and the adjacent islands gained in 1905. But Japan argues that the reference to the Kuril Islands in the San Francisco Treaty was to the islands Japan had acquired in exchange for Sakhalin in 1875, and that all four islands belong to Japan. These islands are each entitled to an exclusive economic zone of 200 nautical miles. The maritime zones attached to these islands comprise some 147,630 nautical square km of waters and seabed.

During Russian President Vladimar Putin's visit to Tokyo in early September, he and Prime Minister Yoshiro Mori signed a joint economic-cooperation program for the islands. The program is a framework under which specific joint projects will be developed. Already suggested are aquaculture of mollusks and sea urchins, and processing of seafood. And there is already an intergovernmental accord on joint fishing in the area and for Japanese technical assistance and projects in fisheries development.