The Council of Ministers Holds the 19th Regular Session Chaired by Prime Minister Mohammed S. Al-Sudani

Baghdad-INA

Prime Minister Mohammed S. Al-Sudani chaired the 19th Regular Session of the Council of Ministers on Tuesday. During the session, the general situation in the country was discussed, along with various service, economic, and social files. Additionally, topics listed on the agenda were deliberated, and necessary decisions were made regarding them.

The Prime Minister’s Media Office said in a statement received by the Iraqi News Agency (INA): “Prime Minister Muhammad Shiaa Al-Sudani chaired, today, the nineteenth regular session of the Council of Ministers,” noting that “the session witnessed a discussion of the general situation in the country, and a discussion of important files in various fields, deliberating on the topics on the agenda and making decisions and recommendations regarding them.”.

In the field of regulating oil wealth investment and the operations of investing companies in this sector, the Council of Ministers approved the recommendations of the Diwani Order Committee (3 for 2024) regarding the Kirkuk Refinery Investment and the recommendation of the Legal Department in the General Secretariat of the Council of Ministers as follows:

1. The investor must adhere to the provisions of the Refinery Investment Law No. (64) of 2007 and its amendments, which must be specified in the contract to be concluded between the investor and the Ministry of Oil.
2. The investor is contractually obliged to ensure that the production of light oil derivatives (white products) is not less than (80%) of the oil processed at the said refinery.
3. The investor must ensure that the refinery operations and its products comply with international standards (EURO5).
4. The Ministry of Oil is to negotiate with the investor to purchase the aforementioned oil derivatives according to the law, in a manner that ensures economic returns for the ministry, with prices and standards approved by the Oil Marketing Company (SOMO) and the Oil Products Distribution Company. It is emphasized that the proposed model (B.O.O) does not require consideration of investment costs as a primary factor since the project will remain owned by the investor and will be compared with international or prevailing prices, except in case the investment form changes from (B.O.O) to (B.O.T), where recovery periods are considered alongside the investment's lifespan.
5. The Ministry of Oil is responsible for monitoring the project's implementation according to the law and the terms of the signed contract.
6. The Ministry of Oil is tasked with assisting the investor in obtaining the necessary support from the ministry, the National Investment Commission, and other relevant ministries to expedite the establishment of the project due to its importance in supplying the northern provinces and the Kurdistan Region with oil derivatives and economically developing the province of Kirkuk.
7. The Ministry of Oil will study the feasibility of the project having a capacity of 150,000 barrels per day, based on the designs available to it and after accounting for the oil budget available in Kirkuk.

In the energy sector, the Social Services Ministerial Council's recommendation (24006) was approved, detailing the implementation by the Ministry of Oil/SOMO as stipulated in the Council of Ministers' resolution (23559 of 2023). This involves direct contracting with the Iraqi Oil Tankers Company, under the Ministry of Oil, and the General Company for Maritime Transport, under the Ministry of Transportation, to handle 70% and 30% of the transportation and storage of exported oil products, respectively, across all stages of work.

Regarding the stalled projects and the resolution of their files to facilitate their completion, the Council of Ministers approved the following:
1. Increase in the reserve funding amount for Al-Kardhiyah Bridge contract in Wasit Province.
2. Increase in the cost of the project to construct the second Al-Kut Bridge and its approaches, the Al-Kardhiyah Bridge, and the 30 km ring road.
3. Increase in both the reserve amount and total cost for the project to develop Bab Al-Khan and Baghdad Gate over 7 km, within the project of paving and developing streets in central Karbala, constructing the southern connector road, and lining Al-Karrah River and its branches in the first phase of the center of the province.
4. Increase in the total cost of the project to supply a 31.5 MVA power transformer in the center of Suq Al-Shuyukh District, Thi Qar Province.
5. Increase in the total cost and reserve funding for the supplementary works contract for the project to construct a multi-story building with a bank at the Ministry of Interior's headquarters.
6. Establishment of a new component for consultancy services for the Development Road project, within the project for preparing designs and auditing supplementary works for railway lines, and an increase in the total cost of the aforementioned project.

The Council approved amendments to its resolution (24207 for 2024) regarding the adoption of recommendations from the Economic Ministerial Council related to the Diwani Order Committee’s recommendations (23942) concerning foreign debts, now revised as follows:
1. Removal of the second paragraph which included stalled loan projects recommended for cancellation, specifically for the Al-Khalidiya Sewerage Project funded by the French Development Agency (AFD), with financial allocations of $10 million set for 2024, pending a review of the project and completion of negotiations with the French side.
2. Amendment of the amounts stipulated in section (2/ Deficit/ 1 / b – 11) of the Federal Budget Law to allocate funding for the Al-Hamza City Sewerage Project by $1 million, for the benefit of the Ministry of Construction, Housing, Municipalities, and Public Works, and to allocate $10 million for the Al-Khalidiya Sewerage Project, also for the benefit of the Ministry of Construction, Housing, Municipalities, and Public Works.
3. In the event that an agreement is not reached with the French side, the projects in question will be included within the investment budget of the Ministry of Construction, Housing, Municipalities, and Public Works.

In the context of monitoring the conditions in the Sinjar area and rebuilding liberated areas, the Council of Ministers approved the amendment of paragraph (6) of the Cabinet Resolution (24043 for 2024) as follows:

1. Cancel the allocation of the two plots of land mentioned in paragraph (6) of Cabinet Resolution (24043 for 2024) from the Ministry of Construction, Housing, Municipalities, and Public Works, and restore their ownership to the Municipality Directorate of Sinjar in Ninewa Province.
2. Provide the Ministry of Migration and Displaced, the Governorate of Ninewa, the Sinjar and Ninewa Plains Reconstruction Fund with accurate statistics on the number of displaced families from Sinjar district residing exclusively in camps; to use in the planning of residential complexes and determining the required number of suitable housing units for them.
3. Execute the provisions of Cabinet Resolution (24043 for 2024), which includes the construction of residential complexes on the plots in question using the financial allocations available under the Federal Budget Law (13 for 2023), as carried out by the Governorate of Ninewa, the Sinjar and Ninewa Plains Reconstruction Funds, and the Fund for Reconstruction of Areas Liberated from Terrorism.

To provide full support to the armed forces, the Council approved the allocation of 56.375 billion Iraqi dinars from the Ministry of Finance to the Ministry of Defense for essential rehabilitation work to support army units, within the Defense Ministry's budget and in coordination with the Ministry of Planning.

Regarding the regulation of foreign labor, the Council endorsed the recommendations of the Diwani Order Committee (23602) regarding the study of the legal status of non-compliant foreign workers, presented by the Ministry of Interior on February 24, 2024. The decision takes into consideration the opinion of the General Secretariat of the Council of Ministers on this matter.

In the investment sector, the Council of Ministers approved the authorization of the acting President of the National Investment Commission to negotiate and sign an amendment defining the region mentioned in the Investment Promotion and Protection Agreement between the Government of the Republic of Iraq and the Government of the Kingdom of Saudi Arabia. This amendment will be an integral part of the aforementioned agreement. Upon signing, the draft agreement will be submitted to the Council of Representatives to complete the legal procedures for ratification, in accordance with the Treaty Signing Act (No. 35 of 2015).

In recognition of the achievements made by our national Olympic football team in qualifying for the Paris 2024 Olympics, the Council of Ministers has approved the awarding of free residential land plots of 200 square meters and a monthly grant of 400,000 Iraqi dinars to each player, according to the Law for Awarding Champion and Pioneer Athletes (6 of 2013). This comes after they secured third place in the U-23 Asian Cup and their qualification for the Olympic Games Paris 2024. Additionally, the coaching staff of the Iraqi Olympic football team will each be awarded residential land plots of 200 square meters. Similarly, Iraqi weightlifter Ali Ammar Yasser will receive a 200 square meter land plot for his qualification to the Olympic Games Paris 2024.