The Iraqi government, under Prime Minister Mohammed Shia Sudani, has officially approved an extensive package of economic and service initiatives aimed at enhancing key sectors such as energy, oil, infrastructure, and reforms. This decision was made during the eleventh regular session of the Council of Ministers, where various public developments were assessed alongside the implementation of the government’s program.
In the electricity sector, several significant measures have been taken:
- The Ministry of Electricity has been authorized to implement projects using the operational and investment budget for 2025 across production, transport, and distribution sectors. This exemption from the standard implementation guidelines allows for expedited engagement in critical energy projects.
- The Cabinet has reinstated Resolution No. 215 from 2016, which permits the Ministry of Electricity to transfer available materials within their inventory for use in investment projects and maintenance, thus ensuring smooth operations.
In regard to clean energy initiatives, the Council has voted on the following:
- Approval for the national team focused on renewable energy projects and energy efficiency to bypass certain government contract provisions to facilitate the government-building energy-saving project.
- Empowering the General Manager of the General Company for the Distribution of Baghdad Electricity to engage in contracts for key projects under the previously mentioned exceptions.
Moving to the oil sector, the Council has granted the Ministry of Oil, through the North Oil and North Gas Company, the authority to contract with British Petroleum (BP) for the development and production of the Kirkuk oil fields. This pivotal agreement will initiate operations in the Kirkuk field and its subsidiaries.
- A tender for the completion of the third marine pipeline project has been awarded to a coalition of Italian and Turkish firms, with a timeline of 757 days, including initial phases.
- A recommendation was also approved for the Joint Management Committee of the Artawi oil field to allocate a tender aimed at establishing raw gas pipelines.
In efforts to bolster non-oil revenues, the Council has enacted several notable measures:
- Amendment of all state real estate rental fees to align with current market rates.
- Approval to export 2 million tons of recovered wheat that are at risk of spoilage due to inadequate storage facilities.
- Directives for the implementation of electronic collection practices within Baghdad Municipality and related municipal offices.
- Ensuring all civil colleges fulfill tax obligations based on actual student counts.
In the realm of administrative and financial reform, the Cabinet has endorsed amendments relating to the customs valuation mechanism:
The Government will determine the classification of imported goods based on the higher value listed in commercial documents or the records maintained by the General Authority of Customs until a unified electronic customs system is established. This new directive will also apply to customs centers in the Kurdistan region.
The Cabinet highlighted targets for addressing poverty, based on the Ministry of Planning’s economic and social survey for 2023-2024, prioritizing action in the provinces with the highest poverty levels as designated by the Poverty Conservative Fund System.
Additionally, to ensure the completion of stalled housing projects, the budget for the residential complex in Anbar Governorate has been increased to facilitate progression.
The Council approved exemptions for the infrastructure project in Diwaniyah from standard tender requirements, along with the transition of traffic registration sites to the Police Martyrs Fund.
In terms of agricultural development, the Council has authorized the Ministry of Agriculture to collaborate with a UK-based company for tissue culture propagation of date palms. This initiative is part of a broader national program aimed at rehabilitating and enhancing palm tree cultivation in Iraq for the coming year.
Among other initiatives, the recommendations of the Diwani Order Committee concerning the dental profession in Iraq were greenlit. Key actions include reinstating health insurance for non-governmental medical entities, and ensuring the distribution of land to dental professionals by relevant municipalities.
Finally, the Cabinet ratified a partnership and cooperation agreement between the Iraqi government and the United Kingdom. This agreement, signed in London, reflects Iraq’s commitment to strengthening international relations.
In the sports sector, an exception has been granted to the Ministry of Oil regarding its participation in supporting the Northern Oil Club for the upcoming season.
The recent approvals by the Iraqi Cabinet represent a strategic step toward transforming the economic landscape and addressing vital sectors crucial for the nation’s development.
