IRAQI NSC ON AUGUST 17 REVIEWS MOSUL

S E C R E T SECTION 01 OF 03 BAGHDAD 002729

SIPDIS

E.O. 12958: DECL: 08/25/2018
TAGS: MOPS MARR MASS PREL PTER SY IZ
SUBJECT: IRAQI NSC ON AUGUST 17 REVIEWS MOSUL
RECONSTRUCTION AND MOD READINESS

REF: BAGHDAD 02608

Classified By: Ambassador Ryan C. Crocker for reasons 1.4 (b) and (d)


1. (S/REL MCFI) Summary: Prime Minister Nouri al-Maliki
chaired the August 17 meeting of the National Security
Council (I-NSC) that focused on reconstruction efforts in
Mosul, MOD's logistics modernization, and protection of
infrastructure. The Council also reviewed operations in
Diyala, protection of judicial officers, and budget
execution. There were sharp exchanges regarding
reconstruction efforts in Mosul while the MOD's detailed
briefing on its progress toward self-sufficiency in logistics
elicited an expression of impatience and frustration from the
PM. All applauded the dramatic improvement in the protection
of vital infrastructure. End Summary.

Secure Housing for Judiciary
--------------


2. (S/REL MCFI) The PM opened the Council meeting with a
review of measures to be taken to protect judicial officials.
Following up on last week's discussion of protecting
judicial officials from assassination or intimidation
(reftel),he called for squatters and others living in the
Salhiya apartment complex in Baghdad to be removed to provide
secure housing for judicial officials. After discussion,
which noted the Council of Representatives' concern about
eviction of residents, he directed the Ministries of Finance
and of Interior to pay compensation to those forced out,
adding that even squatters should be given compensation,
albeit much reduced.

Budget Execution Summary Report
--------------


3. (S/REL MCFI) Minister of Finance (MOF) Bayan Jabr
presented a summary of budget figures, clarifying the budget
situation from the previous week's flawed and truncated
presentation (reftel). He noted that budget execution
figures for the allocations to the governorates were not
reliable. Deputy Prime Minister (D/PM) Barham Salih (whose
portfolio includes financial and economic affairs) called for
coordination with the Minister of Planning to ascertain how
much of what had been allocated to the Ministries had
actually been spent on projects. He noted the difference
between capital funds and operating funds, underlining the
success the GOI has had in capital budget execution.

Diyala Operations
--------------


4. (S/REL MCFI) Minister of Defense (MOD) Abdul Qadr reported
that the amnesty period, and the pause in conventional
operations, in Diyala would end on August 18. He listed
numerous successes to date, including tribal support for
Iraqi Security Forces (ISF) leading to the handing over of 50
terrorists and over 400 to 500 turning themselves in to the
ISF. He noted again the support of the sheikhs in the
operations.

34th Peshmerga Brigade
--------------

5.(S/REL MCFI) MOD added that a potential conflict with the
34th Peshmerga Brigade had been resolved. He stated that the
brigade would pull out to the Kurdish Regional Government
area no later than August 25 and later be incorporated into
an as yet unformed Iraqi Army (IA) mountain division. The
current sector of the 34th Peshmerga Brigade in Diyala would
be taken over by the 4th Brigade of the 1st Iraqi Army
Division.

Reconstruction in Mosul/Ninewa
--------------


6. (S/REL MCFI) D/PM Rafi Issawi (whose portfolio includes
services) presented a short video depicting the desperate
state of affairs in Mosul, particularly the northern half of
the city. (Issawi had gone to Mosul a few days earlier to
gain first-hand knowledge of the situation there.) He
followed this video presentation by listing the problems
facing the city and Ninewa Province. Placing the blame on
the shoulders of the Governor, D/PM Issawi praised LTG
Riyadh's successful efforts to improve security and to work
with GOI ministries to enhance the delivery of necessary
services. He added, however, that there were not enough
Iraqi Army and Iraqi Police to secure Mosul,s neighborhoods.
He reported that many Mosul residents had expressed
gratitude for the efforts of the ISF, but had lamented the

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lack of services and delays in reconstruction projects. DPM
Issawi suggested that as priorities the GOI needed to
refurbish the military base at Mosul, resolve challenges with
facilities protection services and river police, and develop
a new security plan once all forces were available.


7. (S/REL MCFI) A rather strained discussion followed, with
the PM and others noting myriad needs (opening the Mosul
airport, housing troops, repairing infrastructure, etc.)
while implying that Mosul/Ninewa Reconstruction Coordinator
Zuhair Chalabi was not responding to the needs. The PM
stressed that extraordinary measures (bypassing bureaucratic
requirements) must be taken to accelerate reconstruction and
provision of services. Bristling, Zuhair Chalabi insisted
that he had overseen numerous successful projects, employed
thousands, re-opened market streets, and spread the
reconstruction funds equitably. All this, he added, in the
face of continued terrorist violence to include the
assassination of Mosul's mayor.


8. (S/REL MCFI) While acknowledging Chalabi's efforts,
National Security Advisor (NSA) Dr. Muwaffaq Rubaie
complained that a significant percentage of reconstruction
funds was reaching Al-Qaeda in Iraq (AQI) or its supporters.
PM added that the Governor is a problem who refuses to work
with those he suspects of terrorist links, confirmed or not.
MOD chimed in that the problems throughout Ninewa are the
result of poor administration, and stressed the absolute need
to deliver services to the people or lose the people's
support. Deputy Commanding General LTG John Cooper (UK)
suggested that the level of destruction in Mosul required
greater funding for reconstruction and that the Ministries of
Finance and of Planning should dispatch staff to Mosul to
facilitate funding and execution of projects.


9. (S/REL MCFI) Commanding General (CG) David Petraeus
reminded the Council that Mosul/Ninewa continued to
experience a high level of violence, undermining significant
reconstruction efforts. He noted that AQI was still
conducting car bomb and suicide attacks and murdering one or
two policemen every day, which must be stopped. He observed
that although the Coalition had deployed an additional
Stryker Battalion to Mosul and the Iraqi Security Forces had
added a brigade for 3rd IA and more Iraqi SOF, additional IA
and Iraqi Police forces were required. He assessed that AQI
finances itself from criminal activities in the Mosul to
Bayji area, and will fight tenaciously to retain control over
this region.


10. (S/REL MCFI) The PM expressed agreement, calling for more
Iraqi forces to be deployed to Mosul/Ninewa as soon as
operations in Diyala are completed in a few weeks. The
National Operations Center and the Crisis Action Cell should
meet in the next few days to plan for expanded, targeted
operation in Mosul, he concluded.

MOD Logistics Briefing
--------------


11. (S/REL MCFI) The MOD introduced senior staff officers to
brief the Council on the administrative system of the Iraqi
military. After a few minutes, the PM interrupted to ask for
a simple evaluation of when the MOD would be self-sufficient,
that is, independent of Coalition Forces' support.
Recognizing that it would vary across the area of daily life
support, provision of ammunition, emergency services, and so
forth, he pressed the MOD to give him estimates of how much
the Iraqi forces had achieved percentage-wise for each
branch. Testing the patience of the PM and most Council
members, the MOD officers continued to present details on
logistics capability, for examples, noting the number of
36,000 liter versus 10,000 liter fuel tanker trucks
available.


12. (S/REL MCFI) The PM interrupted again and asked the MOD
to give a rough estimate of how much had been accomplished in
each area. Wincing, the MOD estimated that Iraqi forces were
80% self-sufficient regarding ammunition, 60% for fuel, 40%
for medical evacuation, and about 25% for food and water.
MOD then added that while the MOF has provided funds for
capital investments, funds were now needed for maintenance
and operations as well as infrastructure improvements. After
further, at times heated, discussion involving the PM, MOD,
NSA, and D/PM Barham Salih, the MOD indicated he would
provide the specifics of his forces' needs.

Protection of Facilities
--------------


13. (S/REL MCFI) The Chief of Military Intelligence briefed

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the Council on the success over the past year in improving
the protection of vital infrastructure, much of which is
highly vulnerable to attack. He reported that planned
terrorist attacks on the dams at Mosul and Haditha had been
thwarted, oil pipelines had not been successfully attacked in
months, and power lines had also been safeguarded.
Concerning oil pipelines, he noted that when we provide the
protection we need, there is little threat to them. Further,
AQI plots to poison the water supply in Baghdad had been
frustrated. Many attacks were planned, of course, to reduce
the people's confidence in the government or to extort
protection money from operators of service providers -
successful operations to protect the facilities had
dramatically reduced the number of attacks and undercut the
criminal and terrorists efforts to subvert state authority
and fill their coffers. He noted that as reconstruction and
development projects increase, ISF units will be needed to
protect those implementing the projects to re-build the
country.


14. (S/REL MCFI) General Petraeus congratulated GOI forces on
their success, noting the reality of the threats. To
illustrate the success, he called the Council's attention to
the fact that, for the first time since 2003, the entire 400
KV network was up and functioning. As well, electricity
production was up almost 15% from last year despite the
drought that adversely affected hydroelectric production.
Also, oil production is up. The pipeline from Kirkuk to
Bayji's refineries is secure, as is the Iraq-Turkey pipeline
and the Bayji-Baghdad pipeline would be working soon. Water
production plants in Baghdad were functioning at markedly
better levels than last year. And in contrast to last year,
when Baghdad nearly ran out of chlorine, there currently is a
supply of over 130 days in Baghdad. In sum, protection of
infrastructure was a real success story of which the Iraqis
could be proud. Some of this success could be tied to the
Sunni insurgents turning on AQI and joining with the GOI to
restore and rebuild Iraq. Now, he concluded, was the time to
provide for the Sons of Iraq. The PM responded that taking
care of them was D/PM Rafi Issawi's responsibility and he
would certainly do so.
BUTENIS