KRG Hits Out at Baghdad over Oil Policy

The management of the Kirkuk field therefore must be undertaken by the federal authorities, the governorate, and because it is part of the process outlined under Article 140, the KRG.

Because none of this has happened, the federal oil minister cannot act unilaterally, and no wise company would make itself a party to such a dispute.

The federal oil minister makes threatening noises about violence in the disputed territories.

“SMUGGLING”

The minister also makes several insulting references to “smuggling” and “trafficking”. We trust that this is not a slur against the people of Kurdistan.

The KRG respectfully suggests that the federal oil minister consults the dictionary. One of the primary definitions of “smuggle” is: “to convey (goods) clandestinely into (or out of) a country.”

However, the trade in oil and gas across Iraq’s borders occurs as a result of official regional government policy. There is nothing clandestine or underhand about it.

Under the September 13 agreement, co-signed by Minister Luaibi, the KRG is entitled to 17 percent of Iraq’s refined products plus a further 17 percent of the crude oil in Iraq that is sent to burn in the power stations.

The people of Kurdistan and surrounding provinces are benefitting from the supply of products and power generated as a result of the KRG’s results-driven energy policy.

One Response to KRG Hits Out at Baghdad over Oil Policy

  1. Lorenzo 19th January 2013 at 08:22 #

    Very well written! And top of all above, SOMO has collected the moneys for exporting all oil including the one from KRG territory. Unilateraly, SOMO and alikes do not honor the contracts with the OIC's operating in Kurdistan, but retain the money. Can you understand that many IOC's are alarmed and are calling this behavior for theft or even harder words?
    The harsh language used by the Oil ministers in Baghdad may scare small oil companies and now with the consolidation of IOC's in Kurdistan, there is no way that Gazprom, Exxon and alikes will fell down for the rod of Baghdad.
    Have you not learnt that capitalism and IOC's have a very good and large memory? They will never forget nor forgive such behavior.