Parliamentary energy is discussing with the ministry the resolution of the oil and gas laws

[Butifldrm]

• economic

The Federal Court is considering a lawsuit to challenge the export of oil extracted from the Kurdistan

12:06 - 09/04/2018

0

Post it on Facebook

 

Twitter on Twitter

  

Information / Baghdad ..

The Federal Supreme Court announced on Monday that a lawsuit to challenge the export of the Kurdistan Region oil exported from the region and export directly, and the court decided to introduce the Prime Minister Haider Abadi, the Federal Minister of Finance and Prime Minister in the Kurdistan region Najirvan Barzani in addition to their jobs third persons in the lawsuit to stand for them what is necessary to resolve Because the case has a constitutional, political and financial side.

"The Federal Supreme Court held its session today under the chairmanship of Judge Medhat al-Mahmoud and the presence of all members, and considered a lawsuit filed by the Federal Minister of Oil, in addition to his job, against the Minister of Natural Resources in the Kurdistan Region / In addition to his job. "

He added that "the parties to the lawsuit attended the hearing, which saw the prosecutor's request to issue a ruling that includes stopping the export of oil directly from the Kurdistan region to outside Iraq, and return the amounts sold in the past, because oil belongs to the entire Iraqi people."

The Samok, that "for the purpose of providing legal time for all parties to do what they have postponed the appeal to 6/5/2018." Ending / 25

http://www.almaalomah.com/2018/04/09/298904/

[Goggles]

Federal court should consider filing a lawsuit against parliament for sitting on important laws that continue to keep the country in disarray.    Especially the Oil and Gas law!! 

[ChuckFinley]

5 minutes ago, Goggles said:

Federal court should consider filing a lawsuit against parliament for sitting on important laws that continue to keep the country in disarray.    Especially the Oil and Gas law!! 

Got my vote.  

[yota691]

10% of oil imports to the people .. a step forward

April 13, 2018

0 views

 

  

Adel Abdul Mahdi

Some criticized the Enoch law altogether, criticized others in it, and many supported it in general, or proposed amendments and waited for final formulations and instructions. There is no doubt that the debate will continue, and we hope that the debate will turn into electoral campaigns. Let supporters and opponents stand up to tell the people the truth. Let us divide and disagree about good and truth, not about evil and wrong.

These discussions will mature the entire project, which was included as part of the ministerial curriculum. It was presented at the Ministry of Oil and commissioned by the Legal Department to prepare a draft .. Joint meetings were held between specialists of the Council of Ministers and the Ministry's staff since 2015. Seminars were held at the oil center and economic research centers .. After the Council of Representatives received the project in spring / summer 2017, and the parliamentary energy committee to hold meetings, with specialists and experienced. And introduced the basic amendments approved by the Parliament after two fundamental readings .. And was ratified by the President of the Republic. The discussions will certainly continue, to reach the best and the best by fundamentalist measures as well. For our part, we discussed some reservations and some comments. We will have discussions in turn, when we see how the competent authorities will draw up the contexts, rules and instructions to implement the law.

An overwhelming majority - as it seems - is keen on reinstating Enoch, in the right way ... Discussions with officials, officials and citizens have shown some criticism, and messages have come from others. They say in different ways that the company dreams of dreams and sees the importance of moving forward with necessity. Take some notes and clarify some of the articles:

 A) Is the company owner or operator, and whether the resources of the company or the people or the state ..

The company is not engaged in other tasks such as funds, but is devoted to production mainly ..

C) Some of them see the continuation of the association "Sumo" in the ministry, but others see its link with the Council of Ministers ..

D) How will the board of directors be formed?

E) People, generations and reconstruction funds affect the principle of equality among citizens.

F) The deprivation of the province, which does not hand over its oil resources from the shares distributed in it, is a division and partition of the country.

G) that the company's production and export may raise the protection provided by the cover of the state .. There may be other observations did not see them.

One of the brothers asked me that there are those who say that the 10% distribution will not mean more than a cent or a dollar that affects every citizen. The answer is that if the 10 percent would be worth several cents or several dollars per citizen, the remaining 90 percent would only mean small numbers of oil imports. He wants to know simply how much money will be allocated directly to the people. He turns this logic upside down. He determines the total amount of imports that will be collected annually, and will be 60 billion dollars, 10% will mean 6 billion dollars and 20% 12 billion dollars. Budget 90 or 80% or other. These are important amounts that will save a large number of the poverty line according to the citizen's fund, after the distribution of equal shares to all citizens whose home tax Iraq, whether they are in Iraq or outside .. Then comes the progressive tax to do its act of redistribution according to the priorities of citizens .. Generations and ages in projects belonging to citizens, or in deprived areas need services more than others.

I was hoping to issue the law during Istizari. That is why I applauded Minister Al-Allaibi, Mr. Abadi, the Ministry, the Energy and Parliament Committee and all those who contributed to legislating the law from officials and non-officials. Those who hold me more than my responsibility and my role, this is "a charge not denied, and honor I do not claim." History will record the names of those who contributed or will contribute to this step in letters of gold, if it is supplemented by its terms and conditions. ml

[yota691]

Minister of Oil approves the appointment of graduates of oil institutes for the academic year 2016 - 2017

 

Sunday 15 April

 

 

Alsumaria News / Baghdad 's  Oil Ministry announced on Sunday, Oil Minister Jabbar Ali Allaibi approval of the appointment of graduates of petroleum institutes for the academic year 2016- 2017  , said ministry spokesman Assem Jihad , in a press statement Alsumaria News received a copy of it, "Oil Minister Jabbar Ali al-Allaibi has approved the appointment of graduates of oil training institutes for the academic year 2016-2017, "explaining that" the ratification came after the issuance of the federal budget law for the year 2018. "       Jihad added that "the ministry started the procedures to invite students graduating from the 1453 graduates of oil institutes to complete applications for the purpose of recruitment, and their distribution to national oil companies by specialization and availability of vacancies."  The ministry annually appoints graduates of oil institutes to benefit from their specialties in the work of companies in the oil sector.

[yota691]

A group of oil experts are sending an open letter to the three presidencies on the law of the National Oil Company

16/04/2018

 

 

Mr. President of the Republic of Iraq

Dear Prime Minister

Mr. Speaker of the House of Representatives

Distinguished Deputies

Dear Minister of Oil

Iraqi newspapers

 

M / Open letter about the law of the National Oil Company

No. ( 2018 )

We welcome the issuance of a law for the Iraqi National Oil Company in accordance with the privacy and priorities of its work, and we consider it a step forward. We believe that the executive authority is the authority responsible for the management of oil and gas in accordance with Article 112 of the Constitution and that the aforementioned draft law has been approved by the Council of Representatives and approved by the President of the Republic. It has not been submitted by the Executive, as we the undersigned, to present to you the following observations, hoping to take them into consideration when reviewing the articles of the law.

 

First - Establishment and independence of the company

1. Article 2 (1) of the new law states that "the company shall enjoy financial and administrative independence and shall be linked to the Council of Ministers ...". We believe there is a contradiction between the fact that the company is financially and administratively independent and that it is linked to the Council of Ministers, unless the company's relationship with the Council of Ministers is determined financially and administratively.

2 - According to Article (10 - second) of the law, the Minister of Oil has the right to object to the decisions of the company and submit alternative proposals to the Council of Ministers for approval. This would undermine the independence of the company and allow for interference in its affairs by the ministry, which must be concerned with the matters of policy and planning, in accordance with Article 112 (II) of the Constitution, and leaves the executive and operational matters of the company, in accordance with Article 112 (1) of the Constitution, The company shall abide by the oil policy of the State as regulated by the laws and regulations in force, including the Law for the maintenance of oil wealth and the long-awaited oil and gas law. We must not forget what happened to the company in 1987 when it was merged into the ministry because of administrative differences between the two parties.

 

II. Objectives

1 - Article (3) of the new law, that the work of the company includes exploration and production of oil and gas and development fields. In addition, one of the company's objectives and business is marketing and investment in manufacturing. We hope that the company will return to life again, but its main objective is to remain in the field of exploration, production and development of fields, because other areas, including marketing and liquidation, will weaken its work technically and administratively, Which is not only managing the current production operations, but also managing and developing the fields of oil and gas reserves currently known (proven) and estimated at (140) billion barrels of oil and (110) trillion cubic feet of gas. Note that exploration in the country has not yet been completed. After its completion, oil and gas reserves could rise to more than double their current size. It is worth noting that the level of performance of the current oil companies associated with the Ministry of Oil is not enviable, how then will be the level of performance if the expansion of the company's new tasks to include manufacturing industries and Sumo and others? And how can the company perform its tasks efficiently, if its technical and administrative staff remain at the same level as the current, and the appointments were based on non-professional basis?

 

Third: The company's capital

The determination of the company's capital by four hundred billion dinars, which can be increased with the approval of the Council of Ministers (Article 5) is not consistent with being financially and administratively independent. On the one hand, this amount determines the company's ability to invest because of its size. On the other hand, it is not consistent with being financially independent, because it will depend on state finance unless it is allowed to make profits subject to income tax and added to its working capital. Companies considered. Article (11) of the law allows the company to achieve a percentage of profits after deducting the share of the state, but these profits go to the "reserve capital" fund, according to article (12) of the law. It is not clear whether the fund's balance can be used to enhance the company's working capital, or is used only in case of emergency.

 

IV. Four funds

Articles 11 and 12 of the law also note that the law allows the deduction of at least 10% of the remaining oil imports after deducting all the investment and operational costs of the company. And that what is deducted is distributed to four funds, one for the capital reserve and the second for the citizen and the third for generations and the fourth for reconstruction. Commenting on this, we say:

 

1. The principle of withholding at least 10% of the oil imports is difficult to justify in these circumstances. The internal and external debt of Iraq is high and the reconstruction of the cities it has devastated is a big boost. In addition, oil prices are still unstable and may fall again.

2 - The distribution of profits to citizens, as well as being a drop in the sea, it strengthens the culture of dependency on the state, and as a result it exacerbates the rent situation of the Iraqi economy, not the other way around.

3 - If there is not enough money for the current generation, how can we open a fund "for future generations?However, when sufficient funds are available in the future, a fund can be opened for generations, some of which also cover some of the annual budget deficit.

4 - In addition, the financial and technical management of these mega projects is not within the jurisdiction of the National Oil Company, as it does not have qualified cadres for this work, and it must create new departments with financial, banking and legal powers to manage the citizens and generations funds, , Which is not easy, especially on the company is still in the first way.

 

V. Distribution of profits

Under Article 12 ter of the Law, the profits of the Citizen Fund shall be distributed to Iraqis living in Iraq with equal shares. These profits are hidden from the regions and governorates that refrain from delivering oil and gas revenues to the company.

This article of the law raises many questions, perhaps the most important: Are federal laws binding for all or can be bypassed by the region and the provinces? If it is binding on all, why talk about the delivery of oil revenues or not? Is this not to question the usefulness of federal laws? . From the constitutional point of view, is the House of Representatives entitled to distinguish between Iraqis inside and outside and legislate one without the other? Can this be overcome by turning the Citizen's Fund into a needy fund that is below the poverty line, replacing the existing social welfare fund, burdened with excesses and inefficiency?

 

VI - Relationship with the Kurdistan Region

Although article 2 (2) of the law says that the company carries out its work in all the territory of the Republic of Iraq and abroad on behalf of the Iraqi state, but the oil relationship with the Kurdistan region is not clear, except as stated in Article (6) of the law, Natural in the Region as a member of the Board of Directors of the Company. The questions that come to mind are who will coordinate the production and transport operations in the region, and what is the role of the company? Who will negotiate and sign new contracts in the region? In short, will apply in the province what applies in the producing provinces?

 

VII. Relationship with productive governorates

In accordance with article (112) of the Constitution, the company should manage oil and gas with the governments of the region and the producing provinces. However, if we look at article (6) of the law, we note that the board of directors of the company does not organize representatives of all producing provinces. How then will coordination with the provinces producing, not represented in the board of directors of the company? Will they be involved in discussing things that concern them only or what?

In conclusion, we see the need to wait for the implementation of the law until the necessary amendments, taking into account our observations, and you are very grateful and respect.

 

Signatories

1 - Tarek Ihsan Shafiq, founder and executive director of the Iraqi National Oil Company, 1964 • Oil consultant until now .

2 - Thamer Hamid Alaگala, former director general of several Iraqi belonging to the Ministry of Oil Companies / National Oil Company, another Ha Director General of the Iraqi Drilling Company, 1993. Oil consultant so far .

3 - Kamel Mahmoud Al-Muhaidi, Deputy Director General for Planning and Studies, and a researcher and oil consultant currently .

4 - Dr. Hashim Al - Khorsan, Member of the National Oil Company of Iraq 1977-1987, President of North Oil Company 1979, General Manager of Exploration Oil Company 1982-1990, Technical and Economic Advisor, Mobil Oil Company 1992, Head of Pioneer American Branch in Tunisia until 2010. Currently Consultant .

5 - Qahtan Humaid Al Anbuge, Director of North Refinery Projects and Director General of several companies in the Ministries of Oil and Industry and the National Oil and Gas Manufacturing Department of the Ministry of Oil, until 2004, currently consultant engineer .

6 - Alaa Kazim Al Khatib, worked in reservoir engineering and development of oil and gas fields in Iraq and the United States and five other countries . 7 - Abdul Zahra Jouda Kazem Al-Mohamadawi, Consultant Engineer, has over 30 years of experience in oil exploration .

8 - Hussein Mahmoud al-Muhaidi, an oil expert, has more than 35 years of experience in production geology, oil engineering and drilling .

9 - Adel Alani, Consultant Engineer, Development Drilling Manager, Former Materials Manager, South Oil Company, Director of a number of drilling projects in a number of companies outside Iraq and within it, and the Managing Director of Al Arab for Oil Equipment Maintenance .

10 - Moaz Fayadh, consultant oil engineer, for operations of oil and gas wells

[Goggles]

Wow. Iraq is fortunate to have these experts so kindly bring forth foreseen conflict in this law... and it gives several hints on how to remedy and make it flow smoothly. 

 

It ALSO mentions.......  

 

10 hours ago, yota691 said:

in accordance with Article 112 (1) of the Constitution, The company shall abide by the oil policy of the State as regulated by the laws and regulations in force, including the Law for the maintenance of oil wealth and the long-awaited oil and gas law.

 

So how can the National Oil Company even be a thing without the LONG-AWAITED "OIL AND GAS LAW!"  !!!!!!!!     

[mr.unlikely]

I'm pretty sure Danny DeVito is going to play him in the movie!

[10 YEARS LATER]

3 hours ago, mr.unlikely said:

I'm pretty sure Danny DeVito is going to play him in the movie!

 

A Brother from another Mother ? The resemblance is unusual to say the least - good call Mr. U 

 

[10 YEARS LATER]

3 hours ago, Goggles said:

Wow. Iraq is fortunate to have these experts so kindly bring forth foreseen conflict in this law... and it gives several hints on how to remedy and make it flow smoothly. 

 

It ALSO mentions.......  

 

 

So how can the National Oil Company even be a thing without the LONG-AWAITED "OIL AND GAS LAW!"  !!!!!!!!     

 

Its the “ cart before the horse “ strategy - even though it ain’t happened, because they say it’s so, its so. They’re in for a rude awakening if they try this on in the business world, along with their famous “ You didn’t understand “

[Butifldrm]

The three presidencies are briefed on the articles of the National Oil Company Law

Economie

 Since 2018-04-16 at 18:42 (Baghdad time)

Baghdad - Mawazine News

The oil and energy specialists, on Monday, the three presidencies, in addition to members of parliament and the Minister of Oil and Iraqi newspapers, remarks on the articles of the law of the Iraqi National Oil Company.

"We welcome the issuance of a law for the Iraqi National Oil Company in accordance with the privacy and priorities of its work, and we consider it a step forward, and in view of its importance and our keenness to work efficiently without any physical or administrative obstacles, the specialists said in an open letter on the law of the National Oil Company, We believe that the executive authority is the authority concerned with the management of oil and gas according to Article 112 of the Constitution. Since the aforementioned draft law was approved by the Council of Representatives and then approved by the President of the Republic, although it was not submitted by the Executive, , Hoping to take it into consideration To be considered when reviewing the articles of the law. "

2 - According to Article 10 - Second of the law, the Minister of Oil has the right to object to the decisions of the company and submit alternative proposals to the Council of Ministers for approval, which would detract from the independence of the company and allow the interference in its affairs by the ministry, which must be concerned with policy and planning , In accordance with Article 112 of the Constitution, and leaves the executive and operational matters of the Company, in accordance with Article 112 (1) of the Constitution, that the company shall abide by the oil policy of the State as regulated by the laws and regulations in force, And we must not forget what h The company in 1987 when it was incorporated into the ministry because of administrative differences between the parties. "

In addition, one of the company's objectives and business is marketing and investing in manufacturing. In response to these ambitious goals, we welcome the company's return to life again, but its main objective is to remain in the field of exploration and production and field development, because other areas, And the liquidation will weaken its work technically and administratively, which affects the efficiency of its performance in the field of its basic work, which is not only the management of current production processes but also management and development of fields of oil and gas reserves currently known (proven) and estimated at (140) billion barrels of oil and (110) Trillion cubic feet Gas, noting that the exploration in the country is not yet completed, and after completion may increase oil and gas reserves to more than double the size of the current, and here it is useful to note that the level of performance of current oil companies associated with the Ministry of Oil is not enviable, so how will be the level of performance if The company's new functions have expanded to include manufacturing industries Sumo and others? And how can the company perform its tasks efficiently, if its technical and administrative staff remain at the same level as the current, and the appointments were based on non-professional basis? "

"The company's capital is 400 billion dinars, which can be increased with the approval of the Council of Ministers (Article 5). It is not consistent with being financially and administratively independent. On the one hand, this amount determines the company's ability to invest because of its size, On the other hand, it is not compatible with being financially independent, because it will remain dependent on state finance, unless it is allowed to make profits subject to income tax and added to its working capital, in order to qualify for competition with the companies considered. Article 11 of the law allows the company To achieve a percentage of profits, after deducting the share of the State, but these profits B to fund (capital reserve), according to Article 12 of the law, and it is not clear whether it is possible to use the balance of this fund to strengthen the company's working capital, or whether it is not used only in case of emergency conditions only. "

The specialists added that the law allows the deduction of at least 10% of the remaining oil imports after deducting all the investment and operating costs of the company. The first principle is to reserve the capital and the second to the citizen and the third to the generations and the fourth to the reconstruction. In response to this, we say: 1 - The principle of deducting at least 10% of the oil imports is difficult to justify in these circumstances experienced by the country, The high externalities and the requirements for the reconstruction of the cities that have been devastated by a big call The distribution of profits to citizens, as well as being a drop in the sea, it strengthens the culture of dependence on the state, and as a result it exacerbates the rent situation of the Iraqi economy, and not vice versa, 3 - if there is not enough funds for the generation How can we open a fund " For future generations? However, when sufficient funds are available in the future, a fund can be opened for generations, some of which also cover some of the annual budget deficit. 4. In addition, the financial and technical management of these large projects is not within the jurisdiction of the National Oil Company, To create new departments with financial, banking and legal powers to manage the citizens and generations funds, and create an engineering and economic department to manage the reconstruction fund project, which is not easy, especially on the company is still in the first way.

"(5) The distribution of profits under Article 12 ter of the Law distributes the profits of the Citizen Fund to Iraqis residing in Iraq with equal shares. These profits shall be withheld from the regions and governorates that refrain from delivering oil and gas revenues to the Company. The article of the law raises many questions, perhaps the most important: Are federal laws binding for all or can be bypassed by the region and the provinces? And if binding to all why talk about the delivery of oil revenues or not? , Is the right of the Council of Intent The distinction between Iraqis inside and outside and is prescribed for the one without the other? Is it possible to go beyond that by converting the fund to needy citizens who fund are below the poverty line, thus replacing the current social welfare fund, burdened with abuses and inefficiency? ".

According to the letter, "the relationship with the Kurdistan region", although article 2 (2) of the law said that the company is operating in all the territory of the Republic of Iraq and abroad on behalf of the Iraqi state, but the oil relationship with the Kurdistan region is not clear, Except as provided in Article 6 of the Law, the appointment of the Undersecretary of the Ministry of Natural Resources in the Region as a member of the Board of Directors of the Company, the questions that come to mind are who will coordinate the production and transport operations in the Territory, and what is the role of the company? In short, will the province apply what is applied in the governorates? Produced? ".

"Article VII of the Constitution stipulates that the company shall manage oil and gas with the governments of the region and the producing provinces. However, if we look at article (6) of the law, we note that the board of directors of the company does not Which will not be represented in the board of directors of the company? Will they be involved in the discussion of things that concern them only or what ?, Mirdvin said: "In conclusion, we see the need to wait for the implementation of the law until the necessary adjustments, Taking our observations into account, you are very kind Thanks and respect ".

(Tariq Ihsan Shafiq), founder and executive director of the Iraqi National Oil Company, 1964, oil consultant to date (Thamer Hamid al-Akeili), former Director General of several companies belonging to the Ministry of Oil / Iraqi National Oil Company, , 1993. Oil consultant to date, Kamel Mahmoud Al-Muhaidi, Deputy Director General for Planning and Studies, former oil researcher and consultant, Hashim Al-Khorsan, Member of the National Oil Company, 1977-1987. 1990, Technical and Economic Consultant, Mobil Oil Company 1992, Head of Pioneer American Branch in Tunisia until 2010. He is currently an advisor to Qahtan Hamid Al Anbuge, Director of North Refinery Projects and Director General of several companies in the Ministries of Oil and Industry and the National Oil and Gas Manufacturing Department of the Ministry of Oil until 2004, currently Consultant Engineer (Alaa Kazim Al Khatib). Iraq, the United States and five other countries (Abdel-Zahra Koudem El Mohamadawy), consultant engineer, over 30 years of experience in oil exploration (Hussein Mahmood Al Mehdi), an oil expert with more than 35 years of experience in production geology, (Adel Alani), Consultant Engineer, Director of Drilling Development Leary, director of the material previously in the South Oil Company, the director of a number of drilling projects in a number of companies inside and outside Iraq, and managing director of the Arab Company for the maintenance of oil equipment, (Maaz al-Fayad), an oil engineer consultant, operations of oil wells and Algaz.anthy 29/6 n

http://www.mawazin.net/مختصون-يرفعون-للرئاسات-الثلاث-ملاحظات-حول-مواد-قانون-شركة-النفط-الوطنية/اقتصادية

[Pitcher]

Since the ratification of Iraq’s constitution in 2005, Iraq has struggled to interpret clauses 111 and 112, which stipulate that oil is the property of the Iraqi people and its revenues should be shared equitably. Several draft laws on hydrocarbon management, energy sector regulation, and oil revenue distribution have remained stalled because of differences between the federal government and the Kurdistan region over the interpretation of those clauses. A March law on the creation of an Iraqi national oil company, passed before national elections on May 12, has offered its own interpretation: that the board of the national oil company determine how best to distribute its revenue in Iraq, excluding the Kurdistan region.

The Iraq National Oil Company (INOC) law contains many flaws, both structural and procedural, but the greatest are the provisions on oil profit distribution, which undermine the company’s essential role in regulating oil and gas operations and shielding them from political manipulation. Additionally, passing a law that excludes the Kurdistan region from the company’s reach before enacting a federal hydrocarbon law that defines the relationship between the government and its regions amounts to putting the cart before the horse.

The INOC law was meant to be one of several laws that would have regulated the oil and gas sector in the whole of Iraq, defined the role of the federal oil ministry in overseeing it, and stipulated the equitable distribution of oil revenues, all under the umbrella of a national hydrocarbon law. That collection of laws has been stalled since 2007 because of disagreement between the federal government and the Kurdistan region over the management of various oilfields.

The government has failed to pass any of those laws since, with Baghdad and Erbil running their own separate shows amid disputes over who has the right to sell oil, who cashes the proceeds, and how revenues are distributed in the federal budget. The passage of the new INOC law circumvented those issues by brushing them under the carpet. It amalgamates two laws—one regarding the INOC and the other oil revenue distribution—and, to ensure its passage before the May elections, excludes the Kurdistan region’s oil and the revenues it generates. 

It is difficult to see how direct handouts from oil revenues will create a vibrant economic base.

Coming just two months ahead of the elections, the law stipulates that up to 90 percent of the profits generated by the INOC will go to the state treasury, but that legislators could reduce that share while voting on the annual federal budget. According to the law, the remainder would be distributed between a capital reserve of the company, a citizens’ fund where each Iraqi residing in the country is entitled to one equal share, a future generations fund, and a reconstruction fund for strategic projects in provinces where oil activity takes place. All of this is to be regulated and decided on by the board of the company, putting about a dozen technocrats in charge of deciding how oil revenue will be split. The 11-person board, which will most likely be appointed along the usual sectarian lines that plague all ministries and public institutions, is to be made up of a chairman with rank of minister and two deputies, the deputy oil ministers of Baghdad and Erbil, three chairs of affiliate companies, and three experts. The handouts, according to the law, will be paid directly from the company’s account at the central bank.

In the last 15 years, and since the advent of the new regime, Iraq’s major problem has been an inflated public sector that drains over 75 percent of the national budget each year, leaving little to allocate to investment projects. Of those projects, most are public infrastructure projects that have generated little economic growth or non-oil revenue. In the absence of a vibrant private sector, Iraqis venerate a job in the public sector, where employees enjoy abundant benefits and a secure pension in addition to food rations cards and subsidized utilities.

The legislators who pushed for the adoption of the law, as well as their supporters outside of parliament, argue that giving all Iraqi citizens a share of the profit generated by the company will put an end to the rentier state. However, it is difficult to see how direct handouts from oil revenues will create a vibrant economic base separate from oil.

Iraq’s dilemma is in the inability of its political class to offer a vision for state-building and institutional governance, rather than being driven by short term gains from one election to the next. Even legislating the proper management of the oil sector is seen through the prism of electioneering, as demonstrated by the INOC law. It focuses more on appealingto the voters with the promise of distributing oil money, rather than on the future of the energy sector itself and its place in the national economy. The legislation in its current form cannot be implemented unless several amendments are introduced to correct its many flaws and contradictions. More importantly, it cannot exist on its own without an umbrella hydrocarbon law that defines the legal framework under which it should function.

 

http://www.mei.edu/content/article/oil-legislation-ahead-elections

[yota691]

Khalali: We will activate the distribution of oil imports to the people

Release date: 2018/5/9 11:30 • 97 times scheduled

(Baghdad: Al-Furat News) The MP in the bloc of national wisdom Hassan Khalati work to activate Article (111) of the Constitution and the distribution of oil wealth to the Iraqi people fairly.

"We are proud that we carried the banner of the draft Basra, Iraq's economic capital until it was legislated and became a law enforceable," said Khalati, a candidate for the list of national wisdom. [118] Moving to activate it from law to realistic steps in all its details. " 
He added: "As for the activation of Article 111 in the Constitution, it talks about oil to all the Iraqi people and legislates a law, but the law has not yet been legislated." "We have started an attempt by enacting the Iraqi National Oil Police Law, "He said.
"Our electoral program takes directly to transfer this wealth in a tangible way to the Iraqi people in their daily lives," Khalati said. "The Iraqi National Oil Company Law is an attempt and a first step. We started with 10% The Iraqi people take the important part of it and the other part of the Iraqi people. " 
He concluded by saying, "We have a detailed program, including finding radical solutions to unemployment and rely on a safe investment environment through which create hundreds of job opportunities for the unemployed throughout Iraq."

[idplzr]

And it should be distributed on e-payments which will bring all citizens into banks for accounts. 

[ChuckFinley]

11 hours ago, idplzr said:

And it should be distributed on e-payments which will bring all citizens into banks for accounts. 

    

[yota691]

National oil policy achieves its objectives

12/7/2018 12:00 am  Despite fluctuations in the global markets of  Baghdad / Farah pumice ,  despite fluctuations in oil prices in world markets over the last four years, but the Iraqi government has succeeded in implementing the policy of guaranteed stability to local markets and overcome the financial crisis.  With the recovery of the oil market and the direction of the "OPEC" to address any shortage of processing, the economist Rahim al-Shammari told "Sabah" that "Iraq succeeded in following the policy of" give and take. "  Oil Minister Jabbar al-Allaibi had announced to" morning "days ago , To maintain the current oil production limits for three months, to survey developments at the international level as long as the market is relatively stable and tangible and the existence of improvement in oil prices. Al-Shammari said: "The government has succeeded in a strategy that may be unique in the region, it has adhered to the decisions of OPEC, and at the same time went to the development of production and investment in the best way, but began to move towards manufacturing and production of giant factories to achieve self-sufficiency on oil products, as well as the investment and associated gas export Outside ".  The expert expected that "the oil sector is witnessing a major development, especially with the aim of re-operation of Baiji refinery and the extension of oil and gas transmission lines to neighboring countries and Europe."  The Ministry of Oil announced on Monday, "a significant increase in the rate of exports and revenues from crude oil sales for the first half of this year 2018 compared to the first half of last year 2017." "The total revenues for the first half of this year 2018 amounted to (40) billion and (345) million and (235) thousand dollars, while the revenues achieved for the first half of last year 2017 ( (272) billion and (642) million and (329) thousand dollars, "noting that" the total exports achieved for the first half of the current year 2018 also recorded an increase in the rates were (625) million and (193) thousand and (749) When it was in the year 2017 last (592) million and (439) thousand and (163) barrels. "  It also pointed out that the average selling price for the month of June 2018 has witnessed a rise compared to the month of June of last 2017, which amounted to (69,322) dollars per barrel, while the selling rate for 2017 (42,067) dollars a barrel, indicating that this will contribute to reducing the The proportion of deficit in the federal budget for the year 2018.

[yota691]

A new mechanism to ensure the stability of Iraq's oil revenues

22/7/2018 12:00 am  Currently being researched between SOMO and TBI, Baghdad / Farah Al-Khafaf  The Iraqi Trade Bank (TBI) and the National Oil Marketing Company (SOMO) are holding talks to adopt a new mechanism to protect Iraq's revenues from oil price fluctuations in the global market.  "The oil is a commodity and any commodity that is priced for sale is exposed to fluctuations in prices in the global market, as it depends on the supply and demand of producers and buyers," Faisal Al-Hims, general manager of the bank, told Al-Sabah. Revenues obtained and added Alheims "If supplies are many, the prices below, and on the basis of their budgets approved countries affected by the obtained revenue from this item, thus development projects and the needs of those countries ratios are affected, but if I supply it is increasing prices."  And to create a balance and not to affect the oil producing countries, especially Iraq, based on oil revenues to support its annual budget and to ensure that these countries are not affected by fluctuations in prices, the Director General noted that resort to a mechanism called Hedging, Concluded between the producer and the buyer, through a bank or financial institution licensed, taking into account the risk of price fluctuations and reflect them at a fair price between the parties (producer and buyer). Oil marketing and Iraq will work on this mechanism for the first time in cooperation between the National Oil Marketing Company (SOMO) and the Iraqi Bank for Trade (TBI) under the supervision of the Ministry of Oil, to follow the mechanism of hedging for oil, according to Himes, stressing that it is useful to provide the amounts and revenues that support the annual budget of the country away On the volatility of oil prices in the global market.    For his part, the head of trading in TBI Zaid Farouk said in a statement to "morning" that "the main idea of this mechanism is to protect Iraq's revenues from fluctuations in oil prices in the global market and ensure a steady income."  A stable commodity  Farouk pointed out that "this process is done through contracts concluded between Iraq as a producer and buyers from the world, determine the price of a barrel of oil, and be contracts either monthly or annual may be up to two years, and there is a desire by buyers, especially that Iraqi oil is required In the global market as the buyer wants to get a stable commodity. "  "The price within the contracts is based on market data. The Bank is working on pricing after the adoption of oil price studies in the global market over the past years, as well as future forecasts for product protection against risks, by a team of local expertise in cooperation with foreign expertise "He said. Farouk pointed out that "the hedging mechanism will contribute to not be a fiscal deficit in the budgets of Iraq next, as it supports the stability of income, and helps Iraq to meet its financial obligations locally and internationally, according to several tools included in the contracts between the parties."  The Director General of the bank said that "the Ministry of Oil welcomed this proposal and encouraged to follow this mechanism, especially that Iraq has an oil marketing company, so it is necessary to manage the hedging activity that protects its revenues from oil through the establishment of trading rooms within the company, In this area to manage the hedging process, explaining that his bank has employed local and foreign expertise to manage this process in cooperation with the oil marketing company (Sumo). Sovereign decision "The adoption of this mechanism in Iraq is a sovereign decision, based on the desire of the Government of the Ministry of Oil in this area, to protect the country's financial revenues, as any bank can be a trading oil company to manage the hedge."  He also noted that "the subject is still under discussion and studies between the company Sumo and the Iraqi Bank of Commerce to reach a formula that benefits the country as an oil product, which was considered an initiative by the Iraqi Trade Bank to ensure stability and balance of income of the country.

[Big_J]

Director General noted that resort to a mechanism called Hedging, Concluded between the producer and the buyer, through a bank or financial institution licensed, taking into account the risk of price fluctuations and reflect them at a fair price between the parties (producer and buyer).

 

GD YOTA AND DV. 

[TOMINVEGAS]

This sounds like real progress... unless they’re just running their mouths again.... 

[ChuckFinley]

5 hours ago, TOMINVEGAS said:

This sounds like real progress... unless they’re just running their mouths again.... 

It sure does. I am hoping that all this will cause an RV by the end of the year.  

[yota691]

A new mechanism to ensure the stability of Iraq's oil revenues

 

Headquarters of the oil marketing company "Sumo"

energy Economy News Baghdad The Iraqi Trade Bank ( TBI ) and the National Oil Marketing Company (SOMO) are holding talks to adopt a new mechanism to protect Iraq's revenues from oil price fluctuations in the global market. "The oil is a commodity and any commodity that is priced for sale, is exposed to fluctuations in prices in the global market, as it depends on supply and demand by producers and buyers," Faisal Al-Hims, general manager of the bank, told Al-Sabah newspaper. "He said. "In the case of many supplies, prices are low, and on the basis of which the approved countries will be affected by their budgets on the revenues derived from this commodity, therefore affected development rates and projects and the needs of those countries, but if the supply is reduced, it increases prices." And to create a balance and not to affect the oil-producing countries, especially Iraq, based on oil revenues in support of its annual budget and to ensure that these countries are not affected by fluctuations in prices, the Director-General noted that resort to a mechanism called (hedging), agreeing to provide supplies in certain quantities against a fixed price under contracts concluded Between the producer and the buyer, through a bank or financial institution licensed, taking into account the risk of price fluctuations and reflect them at a fair price between the parties (producer and buyer). Iraq will work on this mechanism for the first time in cooperation between the National Oil Marketing Company (SOMO) and the Iraqi Bank for Trade ( TBI) under the supervision of the Ministry of Oil, to follow the mechanism of hedging for oil, according to Hymes, stressing that "there is useful to provide the amounts and revenues that support the annual budget of the country away from Fluctuations of oil prices in the global market. " Views 50   Date Added 22/07/2018

[DinarThug]

CNN. Broadcasting From The Iraqi Street While Getting Ready To Celebrate ‘Cinco De Septembero’ ! 

 

 

 

Away from the protests .. Iraqis are waiting to activate the law of the National Oil Company in September

 

 

 

2018/7/31 10:02:43 AM 

Parliamentarians and economists and the Iraqi street are expected to sign on September 5, the date of announcing the activation of the law of the National Oil Company, which set 10 percent of the sales of oil to put in special funds for distribution to the Iraqis. To abide by the date stipulated by the law, to restore confidence between the street and the government, especially that the law will give each citizen a share of the oil of his country.

The law of the National Oil Company includes a clause that the Executive Authority must implement six months after its approval by the Chamber of Deputies. The law entered into force on 17 April last after it was published in the official newspaper. On 5 March, Which gave each Iraqi resident within the country a share of oil deducted 10 percent of total sales.

The MP for the province of Basra, Abdul Salam al-Maliki, the government to «respect the date provided by the law, most citizens are convinced that any law benefit from it financially initiated and not work, which will increase internal tension».

Maliki said in a statement that «the law is a national achievement distinctive, and almost the best for the Iraqis since 2003, as will give each Iraqi share of the oil of his country in a fair and clear».

 He stressed that «the provisions of the law can reduce poverty rates and increase the welfare of the citizen and strengthen the national spirit and the sense of equality for all». "This law does not include Iraqis abroad. Therefore, it will be considered an invitation to the return of our children from the expatriates and immigrants. Our country is poor, but the conditions forced citizens to travel, along with the mismanagement and occupation, and resulting in chaos and corruption that led to unsatisfactory results for the people."

As for the conflict of law with other laws, Maliki said: "It will not conflict with any other law such as petrodollars or oil licenses and oil investment agreements with foreign companies, because it is a deduction of 10 percent of the proceeds of selling oil in the United Nations Development Fund for Iraq, The transfer of funds to the Central Bank, which will distribute the amounts in the form of shares on behalf of every citizen ». And the quotas of oil-producing provinces,

Maliki said that «the budget and in agreement with the Prime Minister granted provinces producing under the Petrodollar 20% will be devoted to the fulfillment of debts or allocations that have not been implemented during the past years with the actual quota of 5 percent for each barrel product, will be allocated service projects to productive provinces and develop their reality Al-Omrani, Al-Khademi and others. "

"The National Oil Company has allocated a fund for generations, and the shares in the national company is not bought or sold because it belongs to the citizen, a law that would achieve economic benefit for the Iraqi people," said a member of the former oil and gas committee. The law required the Kurdistan region to hand over the quantities of oil produced in its fields to the national oil marketing company «Sumo», otherwise they will not be given to the residents of the region ».

 

Source: Al Hayat newspaper

link

[jcfrag]

“The law required the Kurdistan region to hand over the quantities of oil produced in its fields to the national oil marketing company «Sumo», otherwise they will not be given to the residents of the region.”👍😉

[nfire]

Could it be some HCL time?

[DinarThug]

30 minutes ago, nfire said:

Could it be some HCL time?

 

If So - It’s Party Time !