IRAQ EXECUTIVE STEERING COMMITTEE - FEBRUARY 8

C O N F I D E N T I A L SECTION 01 OF 02 BAGHDAD 000429 SIPDIS SIPDIS E.O. 12958: DECL: 02/13/2018 TAGS: ECON IZ PGOV SUBJECT: IRAQ EXECUTIVE STEERING COMMITTEE - FEBRUARY 8 ¶1. SUMMARY: In place of an absent PM Maliki, Deputy Prime Minister Barham Salih chaired the 8 February Iraqi Executive Steering Committee (I-ESC) in support of the Baghdad Security Plan (Fardh Al Qanoon - FaQ). The meeting featured calls to limit political and religious interference menacing college campuses; and announcement of weeklong GoI media activities to celebrates the Feb 14 one-year anniversary of FaQ; the announcement that the Ministry of Electricity will seek to import $400 M of diesel; and a well received presentation from MNF-I highlighting the $5 billion in contracts let to Iraqi firms since 2006. The rumor at the Deputy I-ESC suggested that Minister of Oil Sharistani may be replaced by current Minister of Finance Jabr in coming days. END SUMMARY. -------------- -------------- Religious and Political Extremists in Universities -------------- -------------- ¶2. I-ESC Political Committee Chair and CoR Member Hashim Hassani and Council of Ministers Representative Dr. Mohammad Al-Tahmeme presented a litany of problematic issues concerning religious and political infiltration on the campuses of Baghdad's universities. In addition to stating that more than 1000 professors and students have been killed, arrested or kidnapped, Hassani also stated that pressure and intimidation from religious and political groups seeking to dominate student government was corrupting the integrity of higher education as evidenced by a growing number of false diplomas and a doubling of the average graduates GPA. FaQ Civ Spokesman Dr. Tahseen Sheekly, himself an academic, stated that the situation on campuses reflects sectarian and political issues affecting the country as a whole. Sheekly stated that curing such ills at the national level will similarly help in the universities. ¶3. Hassani and Tahmeme presented a list of preliminary suggestions including increased security for faculty; assurances that university Deans be selected strictly on grounds of competence, not political affiliation, and a call for legislation that prohibits religious or political activity that interferes with education. DPM Salih noted that such legislation and might face constitutional problems. He instructed Hassani and Tahmeme to meet with university directors to develop a list of practical recommendations that can be presented to the Council of Ministers. (Comment: Discussion at the following Deputy I-ESC Meeting indicated that directives limiting political activity on campuses had previously been issued during both the Allawi and Jabari administrations. End Comment). -------------- -------------- Media Campaign for FaQ Anniversary - Caution Urged -------------- -------------- ¶4. The week of February 14 marks the one year anniversary of FaQ. I-ESC Media Committee Chair Yaseen Majeed presented a lengthy list of civilian and military media events to mark the occasion including documentaries, poetry readings, celebrations of martyrs and press conferences. I-ESC co-Secretariat Ali Yaseri announced that a report noting the accomplishments of FaQ was being prepared and that it would be distributed to all Embassies in Iraq and all Iraqi Embassies throughout the world. Yasseri also stated that a major celebration event will be held February 15th at the Rashid Hotel involving all senior members of the GoI and the Coalition. Upon hearing Yasseri mention that a goal of these events is to "increase morale," PC Chairman Mueen urged caution and realism, noting that any exaggerations will play poorly in the media. (Comment. "Over-promising and under delivering" is a common issue with GoI media efforts. Coalition I-ESC interlocutors regularly stress that need for accuracy and honesty to th eir GoI counterparts. End Comment.) -------------- MoO Calls to Increase Kerosene Supplies -------------- ¶5. In discussions about hampered GoI efforts to distribute sufficient kerosene needed to heat homes, PC Chairman Mueen stated that the crux of the issue is not the new mechanism that the Provincial Council is using to distribute allocations, but rather the overall insufficient supply of kerosene in Iraq. Mueen called for the Ministry of Oil (MoO) to increase the supply of refined fuel products. An Inspector General from the MoO in attendance due to his participation in Project Clean Delivery, stated that estimated kerosene demand in Baghdad exceeds 2 million L/day and that the city currently receives only 650,000. The IG stated that increasing supplies would be difficult due to existing refining capacity, security problems in pipeline transport, and a shortage of refined product in Iran. The IG also stated that significant problems remain in the District Councils and Neighborhood Councils with the method in which kerosene is distributed. BAGHDAD 00000429 002 OF 002 -------------- Additional Allocation for Diesel Imports -------------- ¶6. Minister of Electricity Karim Wahid al-Hassan stated that electricity continues to be inhibited by the usual suspects of security, provincial load sharing and overall generator capacity, but that his ministry was working hard to bring five new generator plans on-line in coming months. Minister Karim once again singled out the Force Protection Service for criticism, stating that "I trust the Army much more than the FPS." ¶7. Minister Karim stated that he intended to directly import $400 M worth of diesel and that he currently had only $200 M available. DPM Salih directed that the Ministry of Electricity be provided the balance. (Comment. Notably, Karim his availing the decision made by PM Maliki at last week's IESC that government entities be allowed import fuel products directly, bypassing the State Oil Marketing Company, SOMO. End Comment. -------------- "Iraq First" -------------- ¶8. MNF-I presented two initiatives designed to stimulate economic growth in Iraq. "Iraq First" is a program to maximize provision of materials and maintenance from Iraqi firms. Since March 2006 the program has awarded 20,000 contracts in excess of $5.1 billion. "I-BIZ" is an initiative to create secure business parks co-located with Coalition military basis. Since inception in mid 2006 it has grown into eight operating sites with activities, such as bottled drink production, employing over 700 Iraqis. DPM Salih thanked the Coalition for these activities and asked for follow up meetings to expand their economic impact. (Comment: MNF-I is now regularly using the I-ESC to make presentations about positive contributions to Iraq, typically in response to occasional critiques form I-ESC attendees. End Comment.) -------------- Comments and Observations -------------- ¶9. Comment: Attending and chairing the I-ESC for the first time in many weeks, DPM Salih again demonstrated his proclivity to refer issues discussed in the I-ESC to the Council of Ministers (CoM) for decision making. This stands in contrast to the approach of PM Maliki, who typically issues executive orders for inter-ministerial actions through the Deputy I-ESC meeting chaired by members of the Office of NSA Rubaie, and, with the exception of economic issues, rarely, directs I-ESC follow-up to the CoM. While PM Maliki's approach may move things faster, Salih's approach may strengthen the CoM as a constitutionally specified body and act to track more issues discussed at the I-ESC towards legislation in the CoR. End Comment. ¶10. Comment: At the follow-on Deputy I-ESC meeting I-ESC Secretary Saeed Jabour of the NSA Office told JSPAoff that he SIPDIS was "sure sure" that current Minister of Oil Sharistani would be replace by current Minister of Finance Jabr in an expected government reshuffle within the next ten days. No mention was made of who would become Minister of Finance. End Comment. CROCKER