http://bakerinstitute.org/Pubs/iraqstudygroup_findings.pdfLong Term
Expanding oil production in Iraq over the long term will require creating corporate structures,
establishing management systems, and installing competent managers to plan and oversee an
ambitious list of major oil-field investment projects.
To improve oil-sector performance, the Study Group puts forward the following
recommendations.
RECOMMENDATION 63:
• The United States should encourage investment in Iraq’s oil sector by the international
community and by international energy companies.
• The United States should assist Iraqi leaders to reorganize the national oil industry as a
commercial enterprise, in order to enhance efficiency, transparency, and accountability.
• To combat corruption, the U.S. government should urge the Iraqi government to post all oil
contracts, volumes, and prices on the Web so that Iraqis and outside observers can track
exports and export revenues.
• The United States should support the World Bank’s efforts to ensure that best practices are
used in contracting. This support involves providing Iraqi officials with contracting templates
and training them in contracting, auditing, and reviewing audits.
• The United States should provide technical assistance to the Ministry of Oil for enhancing
maintenance, improving the payments process, managing cash flows, contracting and
auditing, and updating professional training programs for management and technical
personnel.
6. U.S. Economic and Reconstruction Assistance
Building the capacity of the Iraqi government should be at the heart of U.S. reconstruction
efforts, and capacity building demands additional U.S. resources.
Progress in providing essential government services is necessary to sustain any progress
on the political or security front. The period of large U.S.-funded reconstruction projects is over,
yet the Iraqi government is still in great need of technical assistance and advice to build the
capacity of its institutions. The Iraqi government needs help with all aspects of its operations,
including improved procedures, greater delegation of authority, and better internal controls. The
strong emphasis on building capable central ministries must be accompanied by efforts to
develop functioning, effective provincial government institutions with local citizen participation.
Job creation is also essential. There is no substitute for private-sector job generation, but
the Commander’s Emergency Response Program is a necessary transitional mechanism until
security and the economic climate improve. It provides immediate economic assistance for trash
pickup, water, sewers, and electricity in conjunction with clear, hold, and build operations, and
it should be funded generously. A total of $753 million was appropriated for this program in FY
2006.
uhc note: This is the oil law our pols are bitching about.