Political consensus pushes oil law to parliament
Political consensus pushes oil law to parliament
2026/09/09
Parliamentary and political pressure is mounting to pass the oil and gas law during the current legislative session, after nearly two decades of obstruction and ongoing disputes. This momentum follows the State Administration Coalition’s insistence on the necessity of submitting the draft law to the House of Representatives, amidst a consensus that the legislation represents the cornerstone for regulating the management of oil wealth and ending conflicts between the federal government, the Kurdistan Region, and the oil-producing provinces.
In a statement to Al-Sabah, Zainab Al-Tamimi, a member of the Parliamentary Oil, Gas and Natural Resources Committee, confirmed that the Parliament’s leadership and its committee attach great importance to the law, noting that there are serious and genuine intentions to complete it in the current session with the support of representatives of the producing governorates, foremost among them Basra.
For his part, committee member Banas al-Douski pointed out that the absence of a federal law since 2007 has led to stagnation in the sector and exacerbated existing problems. He explained that the current stage requires a clear political will to define powers, responsibilities, and export and sales procedures. MP Adel al-Mahalawi added that there is a political agreement among most blocs to present the law to Parliament in coordination with the executive branch to regulate the relationship between Baghdad and the producing provinces.
From an economic standpoint, expert Dr. Nabil Al-Abadi explained that the law is the basic pillar for structuring the economy, which is subject to the dominance of oil revenues by (90%), stressing that its legislation will enhance the confidence of international investors, support the exchange rate of the dinar through the flow of hard currency, and establish fair mechanisms for the distribution of revenues.
In the same context, Hadi Hindas, a member of the Baghdad Economic Forum, pointed out that the law will provide a clear investment environment for developing the fields and investing in associated gas, while Dr. Sadiq Al-Rikabi, Director of Economic Research at the Global Center for Development Studies, explained that a stable legislative framework encourages global energy companies to double production to counter the shocks of declining revenues and absorb previous financial disputes.
alsabaah.iq
