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[size=36]Parliamentary claims to cancel licensing rounds[/size]
Economie| 03:05 - 20/05/2021
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Baghdad - Mawazine News,
a member of the Parliamentary Economic Committee, Mazen Al-Faili, called on Thursday for the government and parliament to respond to the recommendations of the Office of Financial Supervision and cancel the oil licensing rounds.
Al-Faili said in a statement that Mawazine News received a copy of, that "by reviewing some of the following observations of the Office of Supervision regarding unfair oil licensing rounds, the appropriate decision is to cancel the licensing rounds and replace them with a formula that benefits Iraq. We list some of those notes briefly below:
1. The Board of Supervision recommended By re-studying oil licensing contracts by Parliament and amending their wording in light of the requirements of the national interest.
2- The foreign operator was compensated with full profit wages for the quantities of reduction in production due to insufficient export tanks or maintenance in the transmission lines, and this defect is due to the content of the contract, which included compensation to the foreign contractor in such a case by extending the contract! Or pay unrealized revenue during a period of reduced production levels!
3- A foreign auditing company has been assigned to audit the accounts of foreign companies operating in the fields of Halfaya and Maysan without involving an Iraqi body licensed to the profession of auditing and has not been certified by the Board of Auditing and Auditing Profession, contrary to the system of practicing the profession of auditing.
4- Maysan Oil Company did not make the necessary adjustments for the financial impact of the costs not recognized by it and added in favor of foreign companies on the operational costs, the cost of the barrel and the profitability of the company, which were discovered in the post-audit of petroleum costs.
5- The clauses of the contract with foreign companies operating in the Halfaya oil field have been amended with an increase in its period from (20) years to (30) years despite not adding material obligations to the operator, and reducing the share of the Iraqi government partner from (25%) to (10%). ) From the total profit wages and increasing the profitability of foreign companies!
6- The Financial Supervision Bureau was not provided with copies of foreign and local employment contracts for the Halfaya oil field, so the salary amounts were not verified and matched with the contracts signed and the amounts actually received.
7- No original financial member has been involved in the joint management committee for the Maysan and Halfaya oil fields due to the importance of his role in discussing the budgets submitted by foreign companies, determining the costs of petroleum operations, and his participation in the analysis of standard documents for contracts and tenders for petroleum operations.
8- The audits carried out by the Oil Licensing Expenditure Audit Division were limited to documentary auditing only, without conducting the audit process on the accounting system.
9 - The amounts disbursed by the foreign operator on research and studies within the capital were recorded and not as operating expenses during the year 2015, which amounted to (40) million dollars, in contravention of the rules of the Accounting and Supervision Standards Board in Iraq issued in 2013.
10 - The report of the international auditor was accepted despite the fact that foreign companies did not provide some documents that justify the costs of petroleum operations, contrary to Article (4/20 / e, d) of the contract.
11 - Not to exploit the allocations of the Training and Technology Fund, which is a mandatory grant for the foreign operator, and it has reached (41) million dollars accumulated without benefiting from it for this purpose!
12 - The budget submitted by the foreign operator for the year 2015 approved by the Joint Management Committee is 9% higher than the 2014 budget despite the decrease in the global price of oil and the completion of most of the development and surface facilities in the field.
13- The increase in the costs of studies and research for the operator of the Halfaya oil field during the year 2015, reaching (109) million dollars, compared to the year 2014, which amounted to (78) million dollars, which indicates that the foreign workers of the field operators do not have the scientific qualifications that help them in conducting studies Concerning the petroleum operations, as well as the long years since the entry into force of the contract and the stability of the technical and technological operations of the field.
14 - The position of the foreign employer is a salary scale according to specific classifications by him that include the basic salary plus risk and certificate allocations and others ranging from (170% to 245%) of the basic salary.
15-The employment policy did not include a mechanism for determining salaries, allowances, and other benefits for non-Iraqis, in order to be compared with the salaries of Iraqis and others.
16-The increase in the amount of contracting for the provision of medical services compared to the prevailing salary rates in hospitals, for example, the monthly salary of a Chinese doctor (38) thousand dollars and the salary of a Chinese nurse (18) thousand dollars per month !!.
17- The salaries of the (80) employees in the Dubai office were paid and considered as recoverable petroleum costs, in contradiction to Article (1/36) of the contract.
18- High rates of workers ’wages without any justification. For example, the average hourly wage for employees in the Dubai office amounted to (494) dollars, and the total monthly salary of only two employees amounted to (200) thousand dollars.
19-The monthly salary of four employees in the Halfaya field reached (233) thousand dollars.
20-The monthly salary of (34) employees in Dubai and Halfaya reached (1.3) million dollars.
21- The Financial Control Report stated that the total sums spent on domestic flights between the Halfaya oil field and Basra International Airport for the Arab Wing and Iraq Gate company during the month of May 2015 amounted to (969) thousand dollars, and during the month of April (780) thousand dollars. What supports the aircraft to make actual flights, such as a flight registration form from Basra International Airport, and the report indicated that the total amounts expected to be disbursed during the year are equivalent to the price of a plane of the same size, as the total sums disbursed for the company's domestic flights fares above during the year 2015 (8.6) million Dollars.
22-The control report states that the average daily wage for some security personnel contracting with foreign companies amounts to (600) dollars per day, and some of them (886) dollars a day !!.
23- The total expenditure on a paragraph related to the security personnel contracted by foreign companies is (176) thousand dollars, at a rate of (2850) dollars per person per day !!.
24-The amounts due to (Reed) Security Services Company amounted to (204) thousand dollars during the month of August / 2015.
25- The wages owed to the Oman Health Insurance Company (Emirati nationality) amounted to (264) thousand dollars during the month of March / 2015, and it did not support the Board of Supervision to address the Iraqi insurance companies to refer the contract to it.
26- The Board of Supreme Audit monitored the high cost of the monthly rent for cars compared to local prices. Examples include the rent of a small armored bus at an amount of (500) dollars per day, the rent of an armored vehicle in Salvador at an amount of (450) dollars per day, and the rent of a forklift at an amount of (150) dollars per day.
27 - The foreign employer contracted with an Iraqi company to operate the manpower, and a commission was paid to it in the amount of (14%) of the nominal salary of the contractors, which was borne by the public treasury without justification for that. For workers and the mechanism for paying them!
28- An amount of (423) thousand dollars was disbursed for office rent and security expenses in Basra Governorate during the year 2015 to the foreign operator of Maysan fields, considering these expenses as petroleum costs that the state bears to pay!
a member of the Parliamentary Economic Committee, Mazen Al-Faili, called on Thursday for the government and parliament to respond to the recommendations of the Office of Financial Supervision and cancel the oil licensing rounds.
Al-Faili said in a statement that Mawazine News received a copy of, that "by reviewing some of the following observations of the Office of Supervision regarding unfair oil licensing rounds, the appropriate decision is to cancel the licensing rounds and replace them with a formula that benefits Iraq. We list some of those notes briefly below:
1. The Board of Supervision recommended By re-studying oil licensing contracts by Parliament and amending their wording in light of the requirements of the national interest.
2- The foreign operator was compensated with full profit wages for the quantities of reduction in production due to insufficient export tanks or maintenance in the transmission lines, and this defect is due to the content of the contract, which included compensation to the foreign contractor in such a case by extending the contract! Or pay unrealized revenue during a period of reduced production levels!
3- A foreign auditing company has been assigned to audit the accounts of foreign companies operating in the fields of Halfaya and Maysan without involving an Iraqi body licensed to the profession of auditing and has not been certified by the Board of Auditing and Auditing Profession, contrary to the system of practicing the profession of auditing.
4- Maysan Oil Company did not make the necessary adjustments for the financial impact of the costs not recognized by it and added in favor of foreign companies on the operational costs, the cost of the barrel and the profitability of the company, which were discovered in the post-audit of petroleum costs.
5- The clauses of the contract with foreign companies operating in the Halfaya oil field have been amended with an increase in its period from (20) years to (30) years despite not adding material obligations to the operator, and reducing the share of the Iraqi government partner from (25%) to (10%). ) From the total profit wages and increasing the profitability of foreign companies!
6- The Financial Supervision Bureau was not provided with copies of foreign and local employment contracts for the Halfaya oil field, so the salary amounts were not verified and matched with the contracts signed and the amounts actually received.
7- No original financial member has been involved in the joint management committee for the Maysan and Halfaya oil fields due to the importance of his role in discussing the budgets submitted by foreign companies, determining the costs of petroleum operations, and his participation in the analysis of standard documents for contracts and tenders for petroleum operations.
8- The audits carried out by the Oil Licensing Expenditure Audit Division were limited to documentary auditing only, without conducting the audit process on the accounting system.
9 - The amounts disbursed by the foreign operator on research and studies within the capital were recorded and not as operating expenses during the year 2015, which amounted to (40) million dollars, in contravention of the rules of the Accounting and Supervision Standards Board in Iraq issued in 2013.
10 - The report of the international auditor was accepted despite the fact that foreign companies did not provide some documents that justify the costs of petroleum operations, contrary to Article (4/20 / e, d) of the contract.
11 - Not to exploit the allocations of the Training and Technology Fund, which is a mandatory grant for the foreign operator, and it has reached (41) million dollars accumulated without benefiting from it for this purpose!
12 - The budget submitted by the foreign operator for the year 2015 approved by the Joint Management Committee is 9% higher than the 2014 budget despite the decrease in the global price of oil and the completion of most of the development and surface facilities in the field.
13- The increase in the costs of studies and research for the operator of the Halfaya oil field during the year 2015, reaching (109) million dollars, compared to the year 2014, which amounted to (78) million dollars, which indicates that the foreign workers of the field operators do not have the scientific qualifications that help them in conducting studies Concerning the petroleum operations, as well as the long years since the entry into force of the contract and the stability of the technical and technological operations of the field.
14 - The position of the foreign employer is a salary scale according to specific classifications by him that include the basic salary plus risk and certificate allocations and others ranging from (170% to 245%) of the basic salary.
15-The employment policy did not include a mechanism for determining salaries, allowances, and other benefits for non-Iraqis, in order to be compared with the salaries of Iraqis and others.
16-The increase in the amount of contracting for the provision of medical services compared to the prevailing salary rates in hospitals, for example, the monthly salary of a Chinese doctor (38) thousand dollars and the salary of a Chinese nurse (18) thousand dollars per month !!.
17- The salaries of the (80) employees in the Dubai office were paid and considered as recoverable petroleum costs, in contradiction to Article (1/36) of the contract.
18- High rates of workers ’wages without any justification. For example, the average hourly wage for employees in the Dubai office amounted to (494) dollars, and the total monthly salary of only two employees amounted to (200) thousand dollars.
19-The monthly salary of four employees in the Halfaya field reached (233) thousand dollars.
20-The monthly salary of (34) employees in Dubai and Halfaya reached (1.3) million dollars.
21- The Financial Control Report stated that the total sums spent on domestic flights between the Halfaya oil field and Basra International Airport for the Arab Wing and Iraq Gate company during the month of May 2015 amounted to (969) thousand dollars, and during the month of April (780) thousand dollars. What supports the aircraft to make actual flights, such as a flight registration form from Basra International Airport, and the report indicated that the total amounts expected to be disbursed during the year are equivalent to the price of a plane of the same size, as the total sums disbursed for the company's domestic flights fares above during the year 2015 (8.6) million Dollars.
22-The control report states that the average daily wage for some security personnel contracting with foreign companies amounts to (600) dollars per day, and some of them (886) dollars a day !!.
23- The total expenditure on a paragraph related to the security personnel contracted by foreign companies is (176) thousand dollars, at a rate of (2850) dollars per person per day !!.
24-The amounts due to (Reed) Security Services Company amounted to (204) thousand dollars during the month of August / 2015.
25- The wages owed to the Oman Health Insurance Company (Emirati nationality) amounted to (264) thousand dollars during the month of March / 2015, and it did not support the Board of Supervision to address the Iraqi insurance companies to refer the contract to it.
26- The Board of Supreme Audit monitored the high cost of the monthly rent for cars compared to local prices. Examples include the rent of a small armored bus at an amount of (500) dollars per day, the rent of an armored vehicle in Salvador at an amount of (450) dollars per day, and the rent of a forklift at an amount of (150) dollars per day.
27 - The foreign employer contracted with an Iraqi company to operate the manpower, and a commission was paid to it in the amount of (14%) of the nominal salary of the contractors, which was borne by the public treasury without justification for that. For workers and the mechanism for paying them!
28- An amount of (423) thousand dollars was disbursed for office rent and security expenses in Basra Governorate during the year 2015 to the foreign operator of Maysan fields, considering these expenses as petroleum costs that the state bears to pay!
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