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- WEDNESDAY, 09-27-2023, AM 11:38
- KARAR AL-ASSADI
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The Iraqi government took several decisions within its financial reform program, while issuing instructions in the gas and electricity sectors.
The media office of Prime Minister Muhammad Shiaa Al-Sudani stated, in a statement received by Noon News Agency, that the latter chaired the thirty-ninth regular session of the Council of Ministers, during which developments in the situation in the country were discussed, the implementation of files related to various issues at the national level was followed up, and the progress of implementing the priorities of the government program. In addition to discussing the topics on the agenda and issuing decisions and recommendations related to them.
At the beginning of the session, Al-Sudani spoke about his participation at the head of the Iraqi delegation to the meetings of the United Nations General Assembly, which were held in New York, and the meetings that were held on the sidelines of this participation with a number of leaders and heads of state, and international and global organizations, and the understandings and agreements that emerged from these meetings. Joint statements fuel the path of Iraq's international cooperation and enhance economic partnerships with brotherly and friendly countries.
Al-Sudani directed all ministries to work on following up on what was reached in this visit and activating bilateral agreements and joint understandings.
The Prime Minister also renewed the government’s commitment to international resolutions and the principles of good neighbourliness, and affirmed its keenness to overcome the dispute with the sister State of Kuwait, and to make efforts to find a solution to the issue of regulating navigation in Khor Abdullah, in a way that does not conflict with the Iraqi constitution and international law, indicating that such Crises are resolved through understanding and reliance on rationality, away from the language of emotion and convulsive populist statements that only produce more crises and tension.
The Sudanese expressed his full confidence in the disappearance of this dispute, given the strong will of both sides, the Iraqi and the Kuwaiti, to resolve this issue through mechanisms of mutual understanding and dialogue.
In celebration of the National Day of the Republic of Iraq, the Prime Minister directed that official working hours be suspended on Tuesday, October 3, 2023, in all ministries and state institutions, on this occasion.
In the field of continuing financial and administrative reform steps, the Council of Ministers decided the following:
1- Commitment that all state contracts executed inside Iraq will be in Iraqi dinars, except for those opened by an external documentary credit, in which case they will be according to the agreement between the two parties and for the value of the documentary credit only.
2- The Ministry of Planning will inventory all previous state contracts that were contracted in the US dollar currency, with the exception of those for which an external documentary credit was opened, and prepare a table of them, which will be sent to the Ministry of Finance and the Central Bank with the amounts of these contracts due, provided that the Ministry of Planning determines the upper limit. Monthly, the Central Bank must cover it in US dollars, according to the receivables received from the contracting parties. The Central Bank covers these receivables at an exchange rate of (1,320 dinars) per US dollar, deposited in the account of the Ministry of Finance, for the purpose of covering the monthly payments to pay these contracts, and according to the requirements. Work and exchange release orders that meet release controls.
3- Regarding Iraqi borrowers from government banks (including the Iraqi Trade Bank) in US dollars, these banks are committed to repaying their loans at an exchange rate of (1,320 dinars) for every US dollar from the borrower, provided that the Central Bank covers these loans in US dollars, and is repaid to the lending bank. This procedure applies exclusively to loans made before the issuance of this decision.
The Council of Ministers also approved the recommendation of the Ministerial Council for the Economy (230204 Q) as follows:
1. The Ministry of Transport postponed claiming its debts related to flooring fees and fines incurred by the General Iron and Steel Company and rescheduled them; Payment will be made when the above-mentioned company factories are operational.
2. The Ministry of Transport/The General Company for Ports of Iraq took all necessary procedures with the beneficiary parties and established a working mechanism that ensures the speedy removal of goods from the ports. To avoid fines or floor fees due to delays in issuing them.
As part of the Council’s follow-up of the energy sector and progress in implementing paths of reform, development and exploitation of gas wealth, the Council of Ministers approved the recommendation of the Ministerial Council for Energy (23083 of 2023) regarding the gas gathering and compression project in the Nasiriyah oil field, according to the following:
Approval of the recommendation of the Central Committee for Review and Approval of the Referral in the Ministry of Oil at its session held on August 6, 2023 regarding the request of Dhi Qar Oil Company, one of the companies of the Ministry of Oil, to approve the referral of the gas gathering and compression project in the Nasiriyah oil field under the custody of the coalition (Oil Projects Company / Ministry of Oil and Oil Company) Italian PEG), at an amount of only (272,000,000) dollars, two hundred and seventy-two million dollars, which is higher than the estimated cost by (7.3%) according to the Dhi Qar Oil Company’s letter dated July 26, 2023.
With regard to the electricity sector, the Council of Ministers approved what was stated in the letter of the Ministry of Electricity dated September 4, 2023, regarding amending the sales contract by amending and renewing the contract related to the Iraqi-Jordanian electrical interconnection project, which was signed in 2019, to suit the new preparation period. And amending the terms and conditions, while maintaining the price equation contained in the energy sale contract, which includes the sale of electrical energy from the National Electricity Company in the Hashemite Kingdom of Jordan to the General Electric Power Transmission Company - Central Region / Ministry of Electricity, to purchase energy for a period of 36 months after completing the connection between the two stations. Al-Risha transformer in Jordan and Al-Qaim transformer station in Iraq with a voltage of 400 kV.
Within the affairs of the oil sector, completing the export infrastructure, and developing Iraq’s capabilities in this field, the Council of Ministers decided the following:
1. The Ministry of Finance placed a deposit with the Trade Bank of Iraq in the value of the total cost of the two marine pipelines project (4 and 5) and the new marine platform amounting to ($1,265,444,000,000), which is included in the investment plan of the Ministry of Oil/Basra Oil Company for the year 2023.
2. The commitment of the Ministries of Planning and Oil to the total cost of the aforementioned project and the annual allocations within the investment budget of the Ministry of Oil for the years (2023, 2024, 2025, and 2026).
3. The Ministries of Oil and Planning shall notify the Ministry of Finance/Accounting Department of the financing due to the contracting company according to the amount of achievement and the approved contexts, and the Ministry of Finance shall finance the company’s account from the deposit mentioned in Paragraph (1) above.
4. Cancellation of Cabinet Decisions (29 of 2020), (6 of 2021), and (83 of 2022).
In addition to following up on the provision of fortifications, requirements for security work and extending stability, the Council of Ministers decided to approve an exception to the contract for the implementation of the Misk Wadi Al-Tharthar project (purchasing cameras and concrete towers and establishing fortified points). From the direct contracting methods stipulated in the Instructions for Implementing Government Contracts (2 of 2014), and from the armament controls issued by the National Security Advisory regarding arming the security services, due to the tactical and strategic importance of the project.
The Council also decided to approve the issuance of the Air Defense Institute system, based on the provisions of the Defense University Law for Military Studies No. (4) of 2016, and the provisions of the Constitution, taking into account the observations of the Legal Department in the General Secretariat of the Council of Ministers.
The Council continued to follow up on the implementation of agricultural plans, the implementation of methods to combat water scarcity and drought, and the adoption of modern methods of irrigation, as the Council of Ministers approved the recommendations of the minutes of the meeting of the joint permanent committee between the Ministries of Agriculture and Water Resources regarding the winter agricultural plan approved for the season (2023-2024), according to the following: :
1. The Ministry of Water Resources’ commitment to the winter agricultural plan based on the forecasts of international meteorological centers.
2. The winter planting and seed distribution season will start on October 1, 2023, provided that the Ministry of Water Resources begins increasing water releases on November 15, 2023.
3. Re-reviewing the indicators of the winter agricultural plan during the period from November 15, 2023 until November 30, 2023.
4. Determine the areas covered by irrigation in the winter season according to the following:
- The areas covered by irrigation through rivers and streams are one and a half million dunams.
- The areas for which the water share will be secured through underground wells in the amount of four million dunams, on the condition that modern irrigation systems are used, and those who are negligent are held accountable and not included in the next agricultural plan when using irrigation for irrigation.
5. Focusing agriculture on rivers and stream beds and preventing agriculture within the borders of marshes and floodplains in the governorates of Wasit, Maysan, Basra, Diyala, and Dhi Qar.
6. Granting interest-free loans to purchase modern irrigation systems (pivot, fixed, and drip systems) and solar energy systems.
7. Subsidizing the price of fuel for the Ministry of Water Resources and releasing the fuel quota to address water scarcity conditions.
8. Continuing the campaign to remove violations, especially the campaign to remove unauthorized fish lakes.
9. Forming joint committees from the water resources directorates, agricultural directorates, agricultural committees, agricultural associations, police directorates in all governorates, and local governments, to follow up on farmers’ and peasants’ commitment to the irrigation areas approved in the plan above, and to hold transgressors legally responsible for their transgression. The two ministries are not committed and are not responsible for considering or promoting. For any requests regarding compensation in the event that this happens, with bi-monthly meetings whose dates are agreed upon, in coordination between the directorates of the Ministry of Agriculture and the water resources directorates in all governorates.
Within the cultural aspect, the Council of Ministers approved the issuance of the third amendment to the system of musical studies institutes (10 of 1987), which was audited by the State Council, based on the provisions of the Constitution and Clause Three of Article (8) of the Ministry of Culture Law (17 of 2001), taking into consideration Submitting its curricula to the Ministry of Education/General Directorate of Curricula for approval.
The Council approved the issuance of the Second Amendment System to the System of the Baghdad School of Expressive Musical Arts (16 of 1985), which was audited by the State Council, based on the provisions of the Constitution and the provisions of the Ministry of Culture Law (17 of 2001).
Within the framework of cultural relations, the Council of Ministers approved the reopening of the Iraqi Cultural Center in the German capital, Berlin.
The Council also considered a number of files and issues presented on the agenda, and took the necessary decisions regarding them, as follows:
1- Giving the Ministry of Justice the authority to make an exception to the mechanism used in selection, and to contract with law firms, with fees commensurate with the value of the case, and for the committee composed of a letter from the General Secretariat of the Council of Ministers on September 12, 2023, to follow up on the arbitration decision in the Horus Company case, to unify legal, political and technical efforts. .
2- Approval of the Ministry of Foreign Affairs’ recommendation regarding the establishment of non-resident diplomatic representation with the Republic of Moldova, through our embassy in Bucharest, based on the provisions of Articles (25) and (26) of Foreign Service Law No. (45) of 2008, and the Vienna Convention on Consular Relations for the year/ 1963.
3- Approval of the recommendation of the Ministerial Council for Human Development (23028 B of 2023), according to the following:
Approval of the National Strategy for Suicide Prevention in Iraq (2023-2030).
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