|
|
 |
| |
| August 4, 2004 |
| |
| New Round of Iraq Reconstruction Contracts Coming |
WASHINGTON - August 4. 2004. Reuters notes the United States is set to advertise a new round of contracts soon to rebuild Iraq's infrastructure and these US-funded deals will be open to all nations, US officials said on Tuesday. Administration officials in Baghdad and Washington have been doing a top-to-bottom review of billions of dollars of contracts already handed out to rebuild Iraq and are also determining
what else to put out for tender. Final figures have not yet been agreed
upon but officials said it was likely to be less than $4 billion originally kept in reserve for new prime deals out of the $18.4 billion agreed by Congress for Iraq's reconstruction.
David Nash, head of the US's much-maligned Iraq reconstruction effort, is
to be replaced by William Taylor, the State Department's former aid
coordinator for Afghanistan, The Financial Times reports.
The handover, expected by November, marks an accelerating shift in the US
aid program from military to civilian control. The news comes amid a big
embassy review of funding priorities. Officials suggest USAID, an
independent agency guided by the Secretary of State, is looking for more
direct control, although it remains unclear how responsibilities might
change under the rethink.
As the US and Iraq's interim government struggle to defeat insurgents,
rethinking reconstruction may prove more important than any offensive
strategy, writes the daily. Iraqi interior ministry officials say efforts
to co-opt tribal leaders from rebellious areas often come down to a simple quid pro quo: we will support you if you can provide us with jobs and
services. But despite US efforts to speed the disbursement of $18.4
billion in reconstruction money, Iraqis widely complain that results are
thin on the ground. An official close to the process said there were
difficult discussions on whether funding should be shifted to softer
projects such as capacity building and democratization rather than harder
services.
The Washington Post meanwhile reports Halliburton Co. and other US
contractors are being paid at least $1.9 billion from Iraqi funds under an
arrangement set by the US-led occupation authority, according to a review of documents and interviews with government agencies, companies and
auditors. The CPA has said it has awarded about 2,000 contracts with Iraqi
money. Its inspector general compiled records for the major contracts,
which it defined as those worth $5 million or more each. Analysis of those
and other records shows that 19 of 37 major contracts funded by Iraqi
money went to US companies and at least 85 percent of the total $2.26
billion was obligated to US companies. The contracts that went to US firms
may be worth several hundred million more once the work is completed.
In other news, The International Herald Tribune reports the Iraq Oil
Ministry is undertaking the most comprehensive evaluation ever of the
giant oil fields that are the country's biggest natural resource, an
important first step toward understanding the potential output of the fields and estimating the amount of investment needed. Officials have
invited dozens of foreign energy companies to compete for the work as they seek an outsiders assessment of the two crown jewels in Iraq's oil empire, the Rumaila oil fields in the south and the Kirkuk fields in the north. At least 16 companies, ranging from the oil majors to independent
contractors, are preparing bids for an August 15 deadline, say executives
from two participating companies. A winner is expected to be chosen by
October.
Source: The World Bank |
| |
| |
| |
|
