I looked around through the user accounts and stuff but I didn't see place to turn it off. You could try disabling the device in device manager and hope they don't figure it out. Other then that a third party program may have to be installed.
If you disable it in Device Manager, can't you restrict ordanary users from accessing it? Also, how about hardware profiles, you could have that user's profile with the CD-RW disabled. Finally, Group Policies is probably the easiest way to kill it off.
I checked the policy editor, it seems there is no way to restrict local users, only remote users. I think I'd investigate using hardware profiles with the devices you want to limit access disabled in the user's profiles.
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