Iraq Heads For Oil And Gas Law With UN
Just for the record, so far in August 2012, Iraq’s southern oil exports reached to about 2.25 Million barrels per day. This oil production made its course to have a post-war record. Last August 20, 2012, London Reuters stated that, “Iraq’s oil exports from its southern ports have risen by 30,000 barrels per day (bpd) so far in August versus last month, according to shipping data tracked.” Truly, this made Iraq goes aggressive to pass its oil and gas law these days.
According to oil expert Hamza Jeweler last August 21, 2012, “Delay enactment of the oil and gas to severe intransigence between the federal government and the Kurdistan Regional Government, confirming the existence of any obstacles in the articles of the law.”
It was even noted that the Federal Government had already submitted their draft on the oil and gas law. However, when the Kurdistan Regional Government submitted their own draft, it turned out that both drafts are 80% identical with each other thus; there was a prompt postponement of the law. Fortunately, according to oil expert Jawahrifa, it was not surprising to see similarities for both the drafts submitted because both parties got the same logic and objective – for the benefit of Iraq in general.
Jeweler also stated that even if there were similarities between the two, both parties promise to resolve the crisis. Besides, the Federal Court and UN shall hold the final decision. It seems that UN heard and felt Iraq’s plea that according to special envoy, Martin Kobler when he told the AFP last August 13, 2012, “UN has put together an internal taskforce to tackle the issue.” Kobler added, “We want to start with a discussion on the revenue-sharing, and then the oil and gas law. The oil and gas law is a good entry point to tackle some major issues – the Arab-Kurd issue, the issue of federalism. I would say it is the key. It gives you a foundation.” There it goes the United Nation’s full support to Iraq.
Truly, Iraq has the right to go aggressive over their oil since it’s their property in the first place. They only need to have proper management of the oil wealth that belongs to the people. If they can maintain coordination between the regions and the center with responsibilities being clearly identified, Iraq will have its way to rapid economic growth and strong currency. They also need to end different interpretations that have no definite root with regards to the country’s oil wealth.
Kobler also stated that Diplomats and some oil analyst are persistently pointing to a wide row of disputed territory issue between Iraq’s autonomous Kurdish region and its central government. Kobler listed his two other priorities for Iraq. First, is the selection of a new electoral commission for the proper organization of provincial elections for 2013. Second, is the creation of upper chamber of parliament.
This gives us the conclusion that in as much as Iraq wants to pass the oil and gas law so is UN and the Federal Court. UN even set a new electoral commission for Iraq just to pave the way for proper political administration in the country. When the oil and gas law is approved, new oil terminals and rising production boost shipments shall be expected because the country can go all out in their production without having to worry of sanctions and laws. Foreign investors will have strong tie between the country’s oil industries. Getting the highest oil production since before 2003, Iraq should go all out even with the presence of negative speculations and skeptical people.
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