Sunday, May 27, 2007
Ministry of Oil to privatise the National Oil Production Distribution Company in 2008
Economy
(Al Mada Newspaper) - 26 MAY - Deputy Oil Minister, Motassim Akram, announced that an oil products law will soon be issued which will allow individuals and companies to import fuel from outside Iraq. He confirmed that licenses will be issued to create competition in the market depending on some basic standards such as; the octane ratio, which should be 92% benzene.
He clarified that eight local companies have presented requests for licenses and the Oil Ministry has granted them. Akram was sorry because only one company from outside of Kurdistan presented a license request. Many owners with capital have left Baghdad and the provinces for outside Iraq or to Kurdistan.
He pointed out that the Ministry has decided to open two fuel stations, one in Karkh and the other in Rasafa. They will sell fuel for 750 ID per liter. Locally produced fuel will remain at 400 ID per liter. He revealed that the Ministry of Oil has a plan to issue a decision to privatize the National Oil Production Distribution Company in 2008.
He further said that the current fuel crisis in Baghdad is a result of the Diyala Bridge being blown up by terrorists. The explosion influenced oil production distribution in Baghdad. Also, Al Jadriya and Double Bridge are closed to trucks because of the security plan which makes hundreds of trucks wait in long lines to pass.
Also, the Nasiriya-Dora pipeline was sabotaged and has made the situation worse. He added that the Ministry of Oil is suffering from the sabotage of the oil pipelines. He pointed out that the 12 inch Kirkuk-Bayji pipeline was sabotaged in the Mamlaha area. In addition, the pipeline between Dora and Rasafa was sabotaged as well. He confirmed that the hot areas are easier to distribute oil products, but Baghdad needs more procedures.
He said that Diyala Bridge should be fixed as well or the fuel crisis will continue. He added that Dora Refinery has a maximum amount of crude oil in storage but the Ministry can not move this oil from the refinery.
He clarified that eight local companies have presented requests for licenses and the Oil Ministry has granted them. Akram was sorry because only one company from outside of Kurdistan presented a license request. Many owners with capital have left Baghdad and the provinces for outside Iraq or to Kurdistan.
He pointed out that the Ministry has decided to open two fuel stations, one in Karkh and the other in Rasafa. They will sell fuel for 750 ID per liter. Locally produced fuel will remain at 400 ID per liter. He revealed that the Ministry of Oil has a plan to issue a decision to privatize the National Oil Production Distribution Company in 2008.
He further said that the current fuel crisis in Baghdad is a result of the Diyala Bridge being blown up by terrorists. The explosion influenced oil production distribution in Baghdad. Also, Al Jadriya and Double Bridge are closed to trucks because of the security plan which makes hundreds of trucks wait in long lines to pass.
Also, the Nasiriya-Dora pipeline was sabotaged and has made the situation worse. He added that the Ministry of Oil is suffering from the sabotage of the oil pipelines. He pointed out that the 12 inch Kirkuk-Bayji pipeline was sabotaged in the Mamlaha area. In addition, the pipeline between Dora and Rasafa was sabotaged as well. He confirmed that the hot areas are easier to distribute oil products, but Baghdad needs more procedures.
He said that Diyala Bridge should be fixed as well or the fuel crisis will continue. He added that Dora Refinery has a maximum amount of crude oil in storage but the Ministry can not move this oil from the refinery.
Labels: fuel station, Karkh, Ministry of Oil, Motassim Akram, National Oil Production Distribution Company, privatisation, Rasafa
