News site: Al-Faw port project hampered by delays, corruption and competition between armed factions

[size=52]News site: Al-Faw port project hampered by delays, corruption and competition between armed factions[/size]

[size=45]Translation / Hamed Ahmed[/size]
[size=45]A multi-billion dollar logistical project destined to rival the Suez Canal has left Iraqis divided in their opinion. Supporters of the project say that the Al-Faw port project, which is estimated to cost about $7 billion, which will link a land route to Turkey via a railway, will make the city of Al-Faw a gateway to Europe.[/size]
[size=45]Critics describe the project as a hugely ambitious plan that is difficult to achieve. Analysts and officials familiar with the project told The National news site that it is faltering due to delays, corruption and competition between armed factions and groups. In addition, its cost constitutes an additional burden on the limited expenses of the Iraqi government at a time when there is a shortage of school buildings, hospitals, poor water treatment services and the provision of electric power, which often leads to unrest and protests.[/size]
[size=45]It is noteworthy that the World Bank estimated the cost of rebuilding cities affected by the war against ISIS for the period from 2014 to 2018 at 88 billion dollars.[/size]
[size=45]In addition to the consequences of the war, oil imports, which are Iraq's main source of income, have deteriorated, leaving the state barely able to secure the salaries of employees and retirees. This has added to the significant delay in the project, but the government, despite these obstacles, signed in December an infrastructure contract for the project with Korea's Daewoo Engineering and Construction, worth $2.3 billion.[/size]
[size=45]The South Korean company built a breakwater for the port, which is 23 km long, at a cost of one billion dollars, and is the longest in the world. Its construction took eight years and required the construction of five million tons of stones. About 12 km of berths are envisaged, where the 30 km long canal cliff is expected to receive massive cargo ships. Dean Mickelson, a sailor and logistics analyst who has worked with oil companies in Iraq, said, “I have questions regarding the feasibility of building a railroad bypass. This opens the door to huge bribes to buy lands, most of which belong to clan parties, and this costs money that the government does not own. The problems facing the project are armed factions and poor infrastructure. The construction of a railway may become another target for terrorists in some areas.”[/size]
[size=45]According to Iraqi government estimates, the dual railway linking Basra with the Turkish border could cost $13 billion to build. The project was accompanied by factional discussions and debates in Parliament about how to finance it and that the first contract of it was signed in 2013. Muhammad al-Ta’i, a former parliament member from Basra Governorate, said, “The main reason behind the delay of the project for many years is financial and administrative corruption in ministries and parties.”[/size]
[size=45]Al-Taie added, "A small amount has been allocated for the project in the 2021 budget, not exceeding $500 million, and this amount is not even enough to complete the first phase of the port project, whose cost is estimated at $6-7 billion if we take into account the rail link that would link Faw port in Turkey and then to Europe. Political parties with their armed arms competed for contracts to award the Faw port project.[/size]
[size=45]Kirk Sowell, an economist and politician familiar with Iraq, said, “Such megaprojects are often competed for profit. The culture of corruption is so pervasive in the country that it dominates everything.”[/size]
[size=45]The project cannot be criticized for lack of ambition. And if it is completed as planned, it will transport goods to Europe via the land route in a record time less than it takes a ship sailing through the Suez Canal. But if the railway construction project falters, there will be a question about the need to build such a large port.[/size]
[size=45]Some stakeholders argue that this project is not necessary. An article published last year in the British Port Strategy website, which is concerned with ports, indicated that Umm Qasr port, which is only 60 km from Al-Faw, “has a wide capacity of capacity and more space for other berths and berths being constructed. It can be developed to receive the largest global transport ships by dredging its channel in part of the coast of the port of Faw.”[/size]
[size=45]Despite the problems that hinder the completion of the project, Iraqi politicians believe that it will bring benefits if it is completed.[/size]
[size=45]The former parliament member from Basra, Muhammad Al-Taie, says, “This project is very important for the people of Basra and the south, as it will provide more than 100,000 job opportunities as a first stage. Then this will increase to more than 250,000 jobs for multiple segments of Iraqi society.”[/size]
[size=45]Al-Taie believes that the quarrels and controversy between the political blocs and parties in Baghdad are delaying the project’s work. He stressed, “The government’s allocations for the project are modest in front of the real cost of its completion, which includes ports, platforms, docks, airports, railways, hotels, residential complexes, hospitals, schools and recreational resorts.” Al-Taie added, “Political corruption is also what prevents this project from making progress. The decision to complete it is in the hands of the government and parliament.” Jaber Al-Jabri, a member of parliament from Anbar province, is optimistic about the project's positive returns, but doubts the government's ability to implement it.[/size]
[size=45]Al-Jabri said, "Certainly, it is one of the most important strategic projects in Iraq and the region, and it will have a great economic return on Iraq if it is completed, but I doubt that the government will be able to complete this huge and important project."[/size]
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