1. Wide of Israeli Communications Minister Ariel Atias arriving at cabinet meeting
2. Mid of Israeli Foreign Minister Tzipi Livni entering cabinet
3. SOUNDBITE (English) Isaac Herzog, Israeli Welfare Minister:
"We are looking for ways and means to see how we can develop further the peace process in the region and this (meaning proposal for voluntary evacuation and compensation of West Bank settlers) is one of the ideas that will be checked by the government. It has to be done cautiously only in light of when we know that there is a viable agreement with a viable partner that can adhere to his undertakings it will be implemented but meanwhile to discuss it, it's a positive approach to the peace process."
4. Mid of Israeli Defence Minister Ehud Barak in hallway
5. Israeli Prime Minister Ehud Olmert arriving at meeting
6. SOUNDBITE (Hebrew) Ehud Olmert, Israeli Prime Minister:
"We will hear among other things a first presentation of an important issue that is at the centre of the political issue and that is the question of evacuation-compensation. Long preparation work was made by the Vice Premier Minister Haim Ramon, who consulted with different government officials. We are not voting on this today, but while there is serious political negotiation that will last and it is clear to everyone that might yield - in a certain point when it will be formed - a need to make decisions that will entail evacuating people from their homes, we ought to start thinking about the meanings, aspects and various issues."
7. Pan of meeting, then close of Livni, pan to Olmert
Israel's government is holding its first discussion of legislation that would pay compensation to Jewish settlers who voluntarily leave their West Bank homes even before a peace deal is signed with the Palestinians.
The item was on the agenda for discussion only at the Cabinet's weekly meeting on Sunday.
Israeli Prime Minister Ehud Olmert on Sunday said a peace agreement would require evacuating settlers and the country needs to "start thinking about the meanings, aspects and various issues" involved in this.
He said adequate preparations were not made before Israel forcefully pulled its settlers out of Gaza in 2005.
The proposal is still far from being approved, and Olmert says the government will not vote on it yet.
A settler umbrella group has condemned the discussion, and even members of Olmert's government say the subject should be discussed only after new borders are agreed upon and adhered to by the Palestinians.
Israeli Welfare Minister Issac Herzog said any ideas had to be treated cautiously.
"We are looking for ways and means to see how we can develop further the peace process in the region and this (meaning proposal for voluntary evacuation and compensation of West Bank settlers) is one of the ideas that will be checked by the government," Herzog said.
"It has to be done cautiously and in light of when we know there is a viable agreement with a viable partner that can adhere to his undertaking, it will be implemented but meanwhile to discuss it is a positive approach to the peace process," he added.
Removing settlers from the West Bank is one of the most volatile issues in the Israel-Palestinian conflict.
Israel compensated 8,000 settlers when Israel withdrew from Gaza in 2005, but bitterness remains.
About 260,000 Israeli settlers live in the West Bank. In a peace accord, Israel hopes to keep blocs where most of them live.
Palestinians insist all settlements must be removed.