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[size=38]The Council of Ministers exempts the Gulf Interconnection Authority from guarantee fees: it is a government entity, not investors[/size]
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March 26, 2024[You must be registered and logged in to see this link.]
Baghdad/Al-Masala Al-Hadath: Prime Minister Muhammad Shiaa Al-Sudani chaired the thirteenth regular session of the Council of Ministers, during which the general situation in the country was discussed, the most important service and economic files were reviewed, the topics on the agenda were discussed, and the necessary decisions were taken regarding them.
The Council of Ministers approved the Eid al-Fitr holiday, starting from Tuesday, April 9, 2024, until Saturday, April 13, 2024, provided that official working hours in all government institutions will resume on Sunday, April 14, 2024.
The Council also voted to consider March 31 and April 1, 2024, as an official holiday for members of the Christian community. On the occasion of their celebrations of Resurrection.
As part of the government’s steps to address traffic congestion and regulate the working hours of state departments, the Council of Ministers approved the recommendations of the consultative meeting held on March 16, 2024, concerned with addressing traffic congestion, as follows:
1. Approving the start and end times of official working hours at the headquarters of ministries, the headquarters of their formations, and entities not affiliated with a ministry in the capital, Baghdad, for a period of (three months), as an experiment after the Eid al-Fitr holiday, to be re-evaluated after the end of the aforementioned period by the committee formed according to a letter. The General Secretariat of the Council of Ministers dated January 23, 2023, according to the following details:
a. The official working hours begin for government departments in the Green Zone and the ministries of (Foreign Affairs, Planning, Agriculture, Water Resources, Environment, Migration and Displacement, Communications, Youth and Sports, Culture, Industry and Minerals), (Central Bank of Iraq, Federal Financial Supervision Bureau, Baghdad Municipality, and Aviation Authority). Civil), at seven in the morning and ends at two in the afternoon.
B. The official working hours for the three presidencies and the ministries (Interior, Defence, Health, Finance, Electricity, Justice, Labor and Social Affairs), the Ministry of Education and all associated schools and institutes, begin at eight in the morning, or according to the duties assigned to them by service and security departments and institutions, and end at three in the afternoon. noon.
C. The official working hours for the ministries of (Higher Education and Scientific Research, Transport, Trade, Construction, Housing, Municipalities, Public Works, and Oil) and (the Shiite and Sunni Endowment Offices, the Martyrs and Political Prisoners Institutions, the Aliyaj Authority for Hajj and Umrah, and the State Council, with the rest of the other bodies not mentioned) begin at Nine in the morning, and ends at four in the afternoon.
Dr.. The official working hours for all public and private universities and colleges begin at ten in the morning, taking into account the adjustment of the weekly holidays for colleges and departments to achieve variation in working hours during the days of the week.
2. Obligating the ministries and agencies not affiliated with a ministry to activate the mass transportation system with no less than (30%) of their employees via buses located in the ministries and agencies not affiliated with a ministry, or through direct coordination with the Ministry of Transport/the General Company for Transporting Passengers and Delegations, and stimulating Employees are encouraged to participate in mass transportation by giving them a grace period to extend the morning footprint half an hour after the start of official work and the evening fingerprint half an hour before the end of official work.
3. Establishing pedestrian bridges for citizens to cross near colleges and hospitals, and ensuring that a fence is placed to prevent crossing except through the bridges.
4. Removal and removal of trespassers and street vendors on the sidewalks and streets, especially in the areas of Shorja, New Baghdad, and some crowded markets.
5. Studying the increase in vehicle registration fees in accordance with Council of Ministers Resolution (68 of 2016), amended by Council of Ministers Resolution (237 of 2016), and studying increasing customs duties for importing cars, on the condition that the Kurdistan Region of Iraq adheres to this increase.
6. Opening closed roads in some areas of Baghdad, including: -
a. Al-Kargouliya (Al-Saddah) Road towards Al-Amin area.
B. Return the transfer gate near Al-Shaab Stadium.
7. Increase the price of improved gasoline to (850) dinars per liter, and premium gasoline to (1,250 dinars) per liter, as of May 1, 2024.
In the field of developing electrical interconnection with neighboring countries, and based on the Federal General Budget Law (No. 13 of 2023), and the instructions for implementing the Budget Law for the fiscal years (2023, 2024, 2025), the Council of Ministers approved the recommendations of the Sovereign Guarantees Committee held on March 9, 2024, and its recommendations The Ministerial Council for Energy (24022) of 2024 regarding the electrical interconnection between the Government of the Republic of Iraq and the Electrical Interconnection Authority for the Gulf Cooperation Council countries, according to the following:
1. Issuing a payment guarantee in the amount of ($311,744,668), including the calculated interest.
2. The period is seven years, starting in 2025, for the benefit of the Gulf Interconnection Authority, according to what was stated in Cabinet Resolution (145 of 2022).
3. The expected cost of purchasing energy from the Iraqi-Gulf line will be on the basis of (Take and Pay).
4. Exempting the Gulf Interconnection Authority from the fees for issuing the guarantee stipulated in the Federal Financial Administration Law, according to their request, as they are a government entity and not investors, and because they do not realize profits from the project.
In the electricity sector and following up on the establishment of electrical stations, the Council of Ministers agreed to authorize the Minister of Electricity to sign a letter of intent between the Ministry of Electricity and the international company (GE Vernova) to implement the projects included within the Ministry’s plan.
The Council approved the recommendation of the Ministerial Council for Energy (24023) for the year 2024 regarding the implementation of technical and legal requirements as follows:
1. Commitment of the departments owning the lands allocated and specified for the establishment of secondary stations, which are (Baghdad Municipality, the Ministry of Finance/State Real Estate Department, the Ministry of Construction, Housing, Municipalities and Public Works, the Baghdad Governorate, Al-Nahrain University, the Ministry of Agriculture/Agricultural Lands Department, and the Directorate of Municipalities of the Three Governorates for the Central Region ( Wasit, Diyala, and Anbar) implementing the decisions of the Council of Ministers (393 of 2019 and 169 of 2022) and the directives of the Prime Minister regarding the subject under discussion, and accelerating the facilitation of allocation procedures and approvals and handing over to the Ministry of Electricity those lands according to the allocation position schedule for the aforementioned stations, which number (64) locations. Regarding accelerating the facilitation of allocation procedures and approvals and handing over those lands to the Ministry of Electricity within (3 three months) working from the date of the response to the content of the aforementioned letter from the Ministry of Electricity, so that the Ministry of Electricity can begin referral procedures to international companies specialized in the field of energy and inclusion in international loans and initiate implementation.
2. Forming a committee from the relevant departments (Baghdad Municipality - Designs Department, Baghdad Antiquities and Heritage Inspectorate, Central Region Governorates - Wasit, Diyala and Anbar, Roads and Bridges Directorate, Highway Traffic Directorate, Ministry of Oil - Oil Pipeline Company, Urban Planning Directorate in Baghdad and the concerned governorates And the Directorates of Agriculture in Baghdad and the governorates of the Central Region and the Directorate of Water Resources, and the approval of the municipal departments regarding conflicts in the routes of the aforementioned lines and cables and their location in relation to the borders of the municipality in question, and the Ministry of Defense, and the Directorate of Communications for Baghdad and the aforementioned governorates), headed by whomever the Council deems appropriate to secure the necessary approvals to implement the routes of the lines and cables. Concerning the transmission of electrical energy (132 and 400) kV, to complete the projects within the specified times, and obligating the Ministry of Electricity to install the routes electronically.
Also in the energy sector, and to follow up on investment projects in it, the Council of Ministers approved the recommendation of the Ministerial Council for Energy (24020 i) for the year 2024 according to the following:
Approval of amending Cabinet Resolution (312 of 2021) regarding the approval of the Ministerial Council for Energy’s Recommendation (100 of 2021) regarding the renewable energy report to become:
1. Reviewing the investment opportunity granted within Cabinet Resolution (312 of 2021), and it was not initiated and not implemented for any reasons (contractual or other).
2. Review the energy transferred to other companies.
3. Authorizing the Ministry of Electricity to evaluate and reconsider the investment opportunities previously granted, pursuant to Council of Ministers Resolution (312 of 2021) and those not referred, described in paragraph (1) mentioned above.
4. Opening the field of investment in solar energy to Iraqi and other international companies, taking into account the rapid development and changing global prices in the field of renewable energies; To take advantage of time, reduce the complexity of contracting procedures with investment companies, and speed up the introduction of energy into the national system. To fill the deficit, especially in the summer months.
The Council decided to exclude the companies winning the contracts for the Al-Khader and Al-Daraji water project from the period requirement (15) days, stated in the circular of the General Secretariat of the Council of Ministers, dated October 2023, provided that the foreign company is obligated to open a branch in Iraq within 3 months from the date of signing the contract. The contract includes procedures in the event of failure to register for a reason attributed to the company, and that the procedures and effect must be agreed upon with the German Development Bank.
In this regard, the Council also approved issuing a directive to the Ministry of Commerce to direct Iraqi attachés abroad to inform companies wishing to work in Iraq to open branches, and to direct the Companies Registrar Department to facilitate the procedures.
In the field of optimal investment of oil wealth and associated gas, the Council of Ministers agreed to authorize the Ministry of Oil to sign a memorandum of strategic cooperation with the American company (Honeywell), to invest in gas and reduce flaring to a minimum, and to benefit from engineering expertise in the field of developing refineries and exploiting gas and petrochemicals in an optimal manner. In the field of training and development of engineering and technical cadres, taking into consideration that the implementation of the memorandum does not entail any financial or legal obligations for the Ministry of Oil.
He continued: The Council of Service Projects, as the Council of Ministers approved the recommendation of the Ministerial Council for the Economy (24098 Q), which included approval to extend the duration of signing the contract for the project (Al-Wahda District sewers) for a month.
It also approved the recommendation of the Ministerial Council for the Economy (24116 Q) as follows:
Approval to grant the Mega Projects Consultant Company (KBR) an operating advance (requesting the first task order for preparations (logistical - technical - consultants)) and to hire a core team for the work, and to pay an initial completion rate to begin work. By (10%), amounting to ($2,223,626), as an exception to the instructions to facilitate the implementation of the Federal General Budget Law for the Fiscal Years (2023 – 2024 – 2025) No. 13 of 2023, according to what was stated in the letter of the Ministry of Planning, dated March 14. 2024, provided that the Mega Projects Consultant Company (KBR) provides a letter of guarantee for the amount, in addition to a letter of performance guarantee in the amount of (5%) of the contract that will be provided by the aforementioned company.
The Council of Ministers approved:
1. Increasing the total cost of the project (constructing a swimming pool for the College of Physical Education) to become (8,757,987,250 dinars).
2. The Ministry of Higher Education and Scientific Research and the University of Basra bear responsibility for the delay in resolving lagging projects, and for the validity and accuracy of all data and prices that were provided. The Ministry of Planning, and be careful and scrutinize requests and priorities before submitting them to the Ministry of Planning and avoid many amendments.
As part of following up on oil projects, the Council of Ministers approved the Ministry of Oil’s request to increase the total cost of the project (delivering fuel to industrial and electrical projects to the pipeline company) to become (1,484,685,731,853 dinars).
The Council of Ministers followed up on the implementation of the infrastructure for water projects in Diyala Governorate, and decided the following:
1. Imposing the violation on the General Directorate of Water; Because it implemented previous replacement orders (2, 3, 4, 6) before approaching the Ministry of Planning and obtaining the proper approvals to change the method of implementing the contract, from a turnkey contract to a contractor contract.
2. Changing the contract implementation method from a turnkey contract to a contract (schedules and quantities) according to the following:
a. Increasing the total cost of the (Salam Water, Al-Sarajiq and Al-Mansuriyah/Diyala Water) project to become (108,013,603,945 dinars).
C. The Ministry of Construction, Housing, Municipalities and Public Works bears full responsibility for the truth and accuracy of the information submitted to the Ministry of Planning. The committees for preparing spare orders and moderating prices also bear the quantities, paragraphs, prices and specifications contained therein.
3. The Ministry of Construction, Housing, Municipalities and Public Works will carry out in-depth administrative procedures and investigations into all observations of the Federal Financial Supervision Bureau and refer the negligent party to justice.
The Council considered a number of topics on the agenda and took the following decisions:
First: Approval of what was stated in the letter of the Ministry of Planning on March 24, 2024 regarding contracts for the general census of population and housing, provided that the Ministry bears responsibility for the integrity of the procedures.
Second: Approval of appointing individuals on the list provided and linked to the position of Director General, based on the provisions of the Civil Service Law (24 of 1960).
Third: Approval of what was stated in the letter of the Ministry of Health on March 25, 2024, regarding the establishment of hospitals with a capacity of 100 beds in Baghdad and the governorates, which included sending direct invitations to (3) specialized consulting offices, as an exception to the instructions for implementing government contracts. The Council also approved the approval of what The Ministry of Health issued a letter dated March 24, 2024 regarding the hospital management and operation program, excluding the Ministry from the periods specified for the companies contracting with it to provide final insurance, for a period of one month.
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