Iraq lacks appropriate measures in its energy sector that prevents it from managing its export revenues effectively, officials told the U.N. Security Council.
Jun Yamazaki, the assistant secretary-general at the United Nations’ office of planning and budgets, told the Security Council that Iraq needs to implement an oil-metering system to funnel export revenue toward development needs.
“I strongly urge full and timely implementation of the comprehensive oil-metering system that was initially envisaged by the government of Iraq,” he said.
The system is expected to be in force by the end of 2011.
Yamazaki was updating the Security Council on the Development Fund for Iraq.
The Security Council in December agreed to renew the fund for another year at the request of the Iraqi government. The program replaced the oil-for-food program when U.S. forces invaded Iraq in 2003.
The oil-for-food program ran from 1996 through 2003 and let Iraq sell limited oil quantities in exchange for humanitarian supplies. U.N. employees, however, were accused of corruption and mismanagement in a scandal involving more than 2,000 companies.