"Al-Eqtisad News" publishes the full decisions of the Cabinet session
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Economy News - Baghdad
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Added 07/23/2024 - 8:59 PM
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Economy News - Baghdad
Al-Eqtisad News publishes the full decisions of the 30th Cabinet session, which was held on Tuesday, headed by Prime Minister Mohammed Shia Al-Sudani.
The Prime Minister's Media Office said in a statement, "Al-Eqtisad News" reviewed it, "The Council of Ministers held its thirtieth regular session today, Tuesday, headed by Prime Minister Mohammed Shia Al-Sudani. During the session, the general conditions in the country were discussed, and the implementation of the priorities of the government program was followed up. The session reviewed the most important files related to development and economic aspects, as well as considering the topics included on the agenda and making decisions regarding them."
The statement added, "Al-Sadwani spoke at the beginning of the session about the opening of a number of factories during his visit a few days ago to the Military Industries Company, some of which were the result of cooperation with the private sector, which was able to import and operate important production lines, including the capsule factory, which is almost the only one in the region. His Excellency stressed the need to meet these capabilities with support for and encouragement of the national industry."
Al-Sudani stressed, according to the statement, “the necessity for ministries and security agencies to rely on what is available at the Military Industrialization Authority, especially since the equipment and products it produces are in accordance with standards and at an appropriate cost, which is a basic factor in achieving sovereignty,” noting that these “industries can be a base for developing various civilian industries, because part of the factories serve civilian ministries, including the electrical transformer rehabilitation factory.”
He explained that "Al-Sudani also touched on the meeting he had with the owners of the private mills that produce the material (yellow flour), as the country depended on importing this material by 90%, and by up to 750 million dollars annually," stressing the need for government agencies to depend on the national product and encourage it, as this local product can be used in the food basket that is distributed in thousands of tons."
He added, "Our economic reality requires activating other non-oil economic sectors, which requires a decision and continuous work, indicating that the private sector possesses the elements of progress, from keeping pace with industrial technological development," stressing the necessity of supporting the private sector and providing it with the opportunity, in order to create job opportunities."
The statement indicated that, "On the occasion of the approaching date of the visit to commemorate the Arbaeen of the martyrdom of Imam Hussein (peace be upon him) and his pure companions, the Prime Minister directed to intensify efforts to prepare all the reasons for the smooth flow and success of the visit and the delegation of visitors, and that the relevant ministries exert all their efforts to support the governorates, and launch comprehensive campaigns to rehabilitate the roads taken by visitors leading to the holy Karbala, and to focus on all requirements to complete the visitation rituals in the most complete manner."
He added, "The Council continued to consider the decisions on the agenda and took the necessary decisions regarding them. In the field of following up on stalled projects and infrastructure projects and completing them, the Council of Ministers approved the following:
1- Increase the total cost of the project (expropriation of plot of land numbered (5686/1) M 43, East Yarmoja/ Mosul, Nineveh Governorate)/ Ministry of Justice.
2- Approval of the amount of the increase due on unspent dues, within Cabinet Resolution No. 301 of 2021, in (Contract 1 Direct Invitation/2012), the project to build (251) school buildings, using the prefabricated concrete construction method, in the governorates except Baghdad.
In the contract project (4/assignment/2012), which includes building (73) schools using the prefabricated concrete construction method in the governorates of Baghdad and Babylon, with (60) schools in Baghdad and (13) in Babylon. In the contract project (1/assignment/2012), building (65) schools of various capacities instead of those in danger of collapse, using the prefabricated concrete construction method, with (20) in Babylon, (41) in Muthanna, and (4) in Diwaniyah.
3- Approval of the amount of the increase in total costs and the reserve percentage for the projects stated in the letter of the Ministry of Planning, dated July 8, 2024, which includes the previously implemented replacement orders, which are required to be implemented (the second batch), and the replacement orders resulting from the amount of uncompleted work according to Cabinet Resolution (301 of 2021).
4- Increasing the reserve amount for the contracting company (construction of the North Tikrit Bridge) and its approaches (first phase) within the project (construction of the concrete Tikrit Bridge (North Tikrit Bridge) and its approaches).
5- Increase the total cost of the main project (development works of the General Ports Hospital / Basra Governorate).
6- Increasing the reserve amount for the contract (implementation and equipment of the Hindiya sewage station/Karbala Governorate, with a design capacity of 25 thousand m3 per day, and increasing the total cost of the Hindiya sewage project).
7- Increase the reserve amount and the total cost of the project (National Network for Human Rights Office in Anbar Governorate).
8- Increasing the reserve amount and the total cost of the main project (paving streets in the center of Basra Governorate with sidewalks, 7 in number).
In the course of the treatments related to the electric power sector, the Council of Ministers approved the recommendation of the Central Committee for Review and Approval of Referral in the Ministry of Electricity, regarding signing an annex to a contract with BFT Company within the investment plan, which includes the design, preparation and implementation of electric power transmission lines by the concerned company, as follows:
1- Adopting the prevailing standard costs that serve the interests of the Ministry of Electricity.
2- Determining the lines that will be implemented within the contract, after obtaining the necessary approvals, provided that they do not exceed the financial contract ceiling specified in the contract appendix, and it is sufficient to mention the total lengths of the lines.
3- BFT Company shall bear the previous banking commissions, while the General Company for Electricity Transmission/Central Region shall bear the integrity and accuracy of the contractual procedures, in accordance with the laws, regulations and instructions.
The statement added, "The Council of Ministers agreed to exempt the Ministry of Electricity from the period stipulated in Cabinet Resolution (24008 of 2024), regarding the continuation of the release of shipments from all border crossings, and the postponement of the collection of fees; to avoid the accumulation of containers, and to complete maintenance programs and address emergency cases during the summer and the increase in demand for energy. This decision shall be implemented from the date of its issuance until October 15, 2024."
He added that "within the framework of developing and supporting the national industry, the Council approved the recommendations of the minutes of the meeting of the Dry Gas Committee for Investment Projects, regarding (Khor Al-Zubair Fertilizer Factory/ Southern Fertilizers General Company, Abu Al-Khaseeb Fertilizer Project/ Under Referral Procedures, and New Projects), taking into consideration the comments of the Minister of Industry and Minerals on the minutes, which include:
1- Determining the price of dry gas supplied to the Southern Fertilizers Plant: 50 dinars/mqm, for the public company line, and the partnership line with the private sector, and the price of gas for the attached projects will be 75 dinars/mqm, and the new projects that are announced will be according to a price equation agreed upon between the Ministries of Oil and Industry, and with the approval of the Ministerial Council for the Economy.
2- The Ministry of Oil is committed to allocating and equipping new industrial projects planned to be established in partnership with the private sector, by public companies in the Ministry of Industry and Minerals, with quantities of dry gas, according to the need of those projects for quantities, and according to a timetable for equipping, and at prices that achieve the economic feasibility of establishing those projects, and the quantities and prices are regulated through an agreement between the Ministries of Oil and Industry, and with the approval of the Ministerial Council for the Economy.
3- The Ministry of Industry and Minerals must restore the economic balance of the partnership contracts that have been concluded, or that are under contract to establish new industrial projects, by renegotiating with the participating companies, to reach an economically feasible formula that ensures the continuation and continuation of implementation, without harming the interests of both parties.
The statement pointed out that "the Council of Ministers approved the recommendations of the competent authority in the Ministry of Industry and Minerals (Industrial Development and Organization Department), based on the Iraqi Products Protection Law (11 of 2010) as amended, as follows:
1- Extending the imposition of an additional customs duty of 65% of the unit of measurement of the product (plastic ampoules), imported into Iraq from all countries of origin, for a period of 4 years without reduction.
2- Imposing an additional customs duty of 30% of the product unit of measurement (aluminum cans for soft drinks, juices and energy drinks).
3- The Ministry of Finance/General Authority of Customs shall apply the customs duty on the aforementioned products and notify the Ministry of Industry and Minerals/Department of Industrial Development and Organization, with a periodic notification, about the imported quantities, the value of the additional duties on the imported foreign product, the exporting countries, and the importing entities.
4- The Ministry of Industry and Minerals shall take into account the amount of increases in imports compared to the previous three years; to determine the extent of the unjustified increase, and to indicate the ability of the complaining company to meet the market’s needs in a way that ensures that prices do not inflate, and to determine the importance of the required protection for the national economy. This decision shall be implemented after 120 days from the date of its issuance.
He added, "In the oil sector file, the Council of Ministers approved the recommendation of the Ministerial Council for Energy (24062 T) for the year 2024 regarding the authority to purchase and implement, which includes raising the authority to purchase and implement the Oil Projects Company for the project (the pipeline network linking the unit/FCC, in the Basra refinery), from 100 million dinars to 500 million dinars, based on the instructions to facilitate the implementation of the Federal General Budget Law of the Republic of Iraq 1 for the year 2023."
The Council approved the recommendation of the Ministerial Council for the Economy (24225 Q), regarding the ratification of the report of the committee formed pursuant to the Diwani Order (24573 of 2024), issued by the Prime Minister’s Office, regarding the study of the economics of the oil and gas sector in Iraq, leading to the adoption and display of the real costs along the value chain, and according to economic foundations, according to a statement from Al-Sudani’s office.
He added, "In the process of developing the infrastructure of border crossings to receive visitors and arrivals, the Council of Ministers approved the Ministry of Finance allocating an amount of (5) billion dinars to Wasit Governorate from the emergency reserve, based on the provisions of the Federal General Budget Law (13 of 2023), in order to rehabilitate and establish the "visitors' transportation yard at the Zurbatiyah border crossing with its annexes", in a systematic engineering manner befitting the status of Iraq and the reception of visitors."
The Council approved the allocation of the Ministry of Finance of an amount of (7) billion dinars to Maysan Governorate from the emergency reserve, in accordance with the provisions of the General Budget Law, for the purpose of urgent rehabilitation of the Al-Shaib border crossing, including the establishment of 3 squares, in preparation for the influx of visitors to the holy shrines on the Arbaeen anniversary of Imam Hussein (peace be upon him), and that Maysan Governorate follow the method of direct invitation, as an exception to the instructions for implementing government contracts (2 of 2014) for the purpose of implementation, and assigning Maysan Governorate to implement the project (establishing the new Al-Shaib border crossing) in the form of turnkey delivery, as an exception to the controls attached to the instructions for implementing government contracts.
He pointed out that "the Council approved the Ministry of Finance allocating an amount of (3.5) billion dinars to Diyala Governorate from the emergency reserve, based on the Federal General Budget Law, for the purpose of rehabilitating the Al-Mundhiriyah border crossing, in preparation for receiving visitors, and authorizing Diyala Governorate to have the authority to directly implement the project, and (the project to establish the new Al-Mundhiriyah border crossing) is included within the Diyala Governorate's allocations from the Reconstruction Fund for Liberated Governorates."
He stated that, “In this regard, and in order to benefit from the experience of the Supreme Hajj and Umrah Commission in the operations of grouping and reverse grouping, the Council approved the following:
1. Authorizing the Authority to contract with private transportation companies for the purpose of renting (2000) buses, as an exception to the instructions for implementing government contracts No. (2) of 2014, and the controls attached thereto, for the purpose of transporting visitors to Imam Hussein (peace be upon him) during the Arbaeen pilgrimage, and the Ministry of Finance shall allocate the required amount from the budget of the Prime Minister’s Office.
2. Reducing the tax rate withheld from contracted transportation companies on concluded contracts from (3%) to (1%), according to the authority granted to the Ministry of Finance.
3. Approval of the guarantees submitted to the Supreme Hajj and Umrah Commission by the companies to be contracted with, in accordance with the mechanisms and procedures followed by the Commission for contracting purposes.
4. Approving subscription receipts of companies to be contracted with in the Department of Labor and Social Security.
5. The Supreme Hajj and Umrah Commission is responsible for the validity and safety of contractual procedures, and the Prime Minister’s Office forms committees to follow up and monitor the work mechanism.
The statement added, "In order to develop the work of the Iraqi air system and raise its level of efficiency, the Council approved the exemption of the General Company for Airports and Air Navigation Management from contracting methods and instructions for implementing government contracts (2 of 2014) in implementing projects related to developing the infrastructure for devices and equipment for managing air traffic from navigation systems, radars, air guidance systems, automatic landing, air navigation communications and cyber security systems, as well as what is related to restructuring Iraqi air routes, linking them to the global network of neighboring countries, transforming the navigation system in Iraq, and reducing the longitudinal separation between aircraft, which contributes to increasing the density of aircraft movement in Iraqi airspace and maximizing the company's resources."
The statement added: "Approval was given to authorize the Ministry of Education to contract, through direct referral, with the Iraqi Media Network and the Cultural Affairs Department at the Ministry of Culture, to complete the printing of school curricula."
He explained that "the Council authorized the Ministry of Construction, Housing, Municipalities and Public Works to choose the appropriate agreement method, as an exception to the instructions for implementing government contracts No. (2 of 2014) for the purpose of repairing the minaret of the Al-Khulafa Mosque."
The statement concluded, "It was agreed to exempt the Central Agency for Standardization and Quality Control from the provisions of Article Seven of Instructions No. (1 of 2023), the provisions for facilitating the implementation of the Federal General Budget Law, with regard to purchasing and equipping laboratories with the devices, equipment and laboratory supplies necessary for the agency's work, based on the aforementioned instructions."
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Added 07/23/2024 - 8:59 PM
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