IRGC calls on Iraqi government, IKR to fulfill commitments on border security
Iran’s Islamic Revolutionary Guard Corps (IRGC) urged Iraq’s central government and the Iraqi Kurdistan parties to meet their commitments towards Tehran, adding that necessary measures must be taken to secure its shared border with Iraq. The IRGC made the call after it launched missile and drone strikes earlier in the morning against several targets in Erbil province in the Iraqi Kurdistan Region (IKR). Health officials say at least one person died in the attack, while 10 others were injured. The Kurdistan Democratic Party of Iran (KDPI) confirmed the injuries via Twitter, reporting that “a number of Peshmergas were wounded in this morning’s attack by the terrorist [IRGC] on our party’s headquarters and adjacent refugee camps.” The IRGC conducted similar operations last month against Kurdish militant groups who sought to ignite riots and take advantage of Iran’s recent insecurity during the nationwide protests sparked by the death of Mahsa Amini. Tehran has previously accused foreign players of funding and fueling violent riots to destabilize the nation. Iran has also increased its efforts to destroy military bases used by militant groups in the IKR, forcing them to recede far from the Iran-Iraq border. Many of these protests, particularly in western Iran, turned violent as separatist factions have launched dozens of attacks against security forces. Extremist armed groups, such as ISIS, have also targeted places of worship. Just one week ago, former US national security advisor John Bolton claimed during an interview with BBC Persia that the weapons used by armed separatist groups in Iran are being smuggled into the country from the IKR. Over the past year, Tehran has warned about the presence of foreign spy agencies in the IKR. The semi-autonomous Kurdish region of Iraq is also where the headquarters of the Mujahedeen-e-Khalq (MEK) is based.
Read moreThe Islamic Republic Of Iran Will Collapse Only If Its Ethnic Minorities Are Supported
Draw Media | MEMRI Introduction International media and most analysts observing Iran's protests have so far focused on the anti-theocratic sentiments and economic factors that drive mass grievances, leaving out the ethnic dimension.[1] However, understanding Iran's periphery and the grievances of its ethnic minorities is essential in explaining the recent revolution in Iran and the government's disproportionate use of force against ethnic minorities. Iran's population is estimated at around 87,000,000, roughly half of whom are ethnic Persians that predominantly live in central Iran,[2] the rest being Kurds, Baluchis, Azeris, Arabs, Turkmen, Lurs, and Caspian ethnic groups. Although the successive regimes in Iran have succeeded in tackling ethnic uprisings, they lost the ideological and political war against minority ethno-nationalisms. Since the foundation of modern Iran in 1925, there has been little support for the central government or its ideology and politics in the ethnic regions of the country.[3] The state has therefore viewed ethnic minorities and their political struggle for survival as an existential threat to its integrity. Nevertheless, through their growing opposition to the regime's minority policies and systematic discrimination, ethnic groups across Iran have become a crucial force turning minority politics and ethnic mobilization into an important space of resistance and movement for political change in the country. Balochi Leader Calls For A Referendum On Self-Determination Since the early 2000s there have been signs of rising ethno-nationalism and increased alienation among Iran's ethnic and religious minorities, to the extent that some high Iranian officials have issued warnings. For instance, in late 2004, the minister of intelligence, Ali Younesi, reported that the nature of future crises in Iran will not necessarily be political but rather ethnic and social.[4] The Islamic Majlis Center for Research, an Iranian government think tank, warned in a 2005 report that the country will face more serious internal unrest unless the government would better address the needs of its ethnic minorities.[5] In recent years, Tehran has faced serious security challenges in its border provinces as the ethnic minorities – particularly Kurds, Ahwazi Arabs, and Balochis – have engaged in direct armed clashes with the regime. Last year, Iran's intelligence ministry stated that the regime destroyed 100 "terrorist groups" operating in the border regions in the southern, southeastern, and western parts of the country, which are inhabited predominantly by ethnic minorities.[6] In response to the regime's brutal crackdown on Balochi people, Iran's top Sunni cleric and the de facto leader of the Balochi nation Molavi Abdolhamid recently called on Iranian authorities to hold a referendum on self-determination. On November 4, during a Friday prayers sermon in the city of Zahedan, the provincial capital of Sistan-Baluchestan province, Abdolhamid said: "Hold a referendum with international observers. Officials, listen to the cry of the people. People have been [protesting] in the streets for 50 days now; you cannot push them back by killing and imprisoning them, because they have seen blood and they have had their own killed. Hold a referendum and see what the people of Iran want, and with what kind of change they will be happy."[7] Abdolhamid's call came after Brigadier General Ahmad Shafaei, an Islamic Revolutionary Guards Corps (IRGC) commander based in the Balochistan, said that Iran's enemies had targeted Zahedan as the first city to "fall" but that the elite force had foiled their efforts[8] – referring to the Zahedan protests and the ensuing massacre of at least 82 Baluchi protesters by the IRGC early last month. The map shows that Balochistan, Kurdistan, and Khuzistan in particular have faced brutal repression by Iranian security forces in the past two months, compared to central Persian regions. (Source: En-hrana.org) Map of Iran (Source: Goirantours.com) Geopolitical Importance Of Iran's Ethnic Regions Three factors have made Iran a key regional player: its geostrategic position, its extensive resources, and its human capital. Geography plays a key role in Iran's desire to become a regional power, as it is located at a strategic intersection between the Middle East, Central Asia, the Caucasus and the Indian subcontinent, and borders the Caspian and Arabian Seas, and the Sea of Oman. Through its border provinces, the regime accesses the outside world and its proxies and "colonies" (i.e., Iraq, Lebanon, Syria, and Gaza). Therefore, Iran's domestic and foreign policies strongly impacts the ethnic groups in the border regions. Given that ethnic minorities share strong cultural ties with coethnics in neighboring states, their press for greater self-determination and political autonomy could potentially lead to a unification with their kin. The role of "kin states" in supporting their coethnics morally and materially across the border is therefore of great importance. Baluchistan lies at the mouth of the Strait of Hormuz, which is the world's most important oil chokepoint because of the large volumes of oil that flow through it. The area has enormous potential to emerge as a regional hub, and has become a key part of China's Belt and Road Initiative (BRI). Given Iran's geographic location between the Arabian Peninsula, Central Asia, and South Asia, engaging it within the Belt and Road Initiative framework is essential to the realization of the BRI trade route for China. Particularly the Southern Corridor of the BRI, which will cross Central Asia, Iran, Turkey, and the Balkans. Hence, the ultimate success of the BRI depends to a large extent on Iranian participation and support.[9] Iran's importance in turn depends largely on the border regions' security and the political challenges they pose. Since the mid-2000s, following a series of violent clashes between the regime and the ethnic groups, Iran's military and political elites have identified a "hybrid war" scenario that would threaten the regime's survival in the future, in which widespread national protests may coincide with an external military attack.[10] In order to tackle this, since the early 2010s, Iran has been changing its defensive/deterrent doctrine, adding an offensive dimension by adopting "hybrid warfare." Dubbed "forward defense" doctrine, it implies that Iran should fight its opponents outside its borders to prevent conflict inside Iran.[11] In July 2022, Chief of Staff of the Iranian Armed Forces Major General Mohammad Hossein Baqeri warned against a tough and complicated "hybrid warfare" that the enemies have waged against the Islamic Republic. Therefore, he stressed "the necessity for constant improvement of Iran's deterrent power," in order to encounter external "military threats" and internal "security threats" at the same time.[12] In fact, Iran's military doctrine of "forward defense" – engaging enemies outside of Iran – demonstrates its vulnerability at home for Iran worries about losing its strategic "hybrid warfare," when engaged internally if an anti-regime revolution breaks out across the country. The Iranian society and ethnic conglomerate are very fragile and prone to collapse under a more or less foreign interference combined with internal unrest. Iran's main energy routes (Source: World Energy Atlas) Human Capital Since Iran is an authoritarian regime and pursues a military expansionist policy abroad, Tehran desperately needs the human capital of the ethnic minorities that constitute half of its population. Iran's large population has given it the largest pool of military age manpower of any state in the Persian Gulf, but the ethnic divisions within this population present a number of serious political, security, and economic challenges. The Constitution of the Islamic Republic of Iran requires all men over 18 must to serve in the Armed Forces of Iran. At least half of Iran's regular armed forces are thus composed of troops conscripted from ethnic minorities. However, Persians comprise almost 80% of the senior officers due to the army's distrust of ethnic minorities.[13] Furthermore, soldiers are not allowed to serve in their ethnic regions. This is to ensure that the military will not play a divisive role if ethnic tension in Iran increases. However, a major ethnic conflict can lead to defections among armed forces and negatively impact the effectiveness and morale of the Iranian army. This would be similar to the 1979 protests, when the revolution gained momentum and fighting broke out within some army units between those loyal to the Shah and the supporters of Khomeini. This situation weakened the internal bonds of the military, as many troops refused to follow orders and many conscripts deserted.[14] Iran's current military capabilities are thus heavily influenced by its demographics. Iran is by far the most populous Gulf state, giving it a major potential advantage in building up its military forces. At the same time, this manpower base has deep ethnic divisions, and Iran's ability to manipulate and transform it into military power in its service has so far been successful. Yet, it could also play a sabotaging role in an ethnic conflict. Iran's ethnic minorities form the majority of the working class. It is worth noting that Iran has particularly been successful in utilizing Azeris in its nation building. Many of them are well integrated into Persian society and therefore present in all different socioeconomic and politic strata (e.g., the Supreme Leader Ali Khamenei is of Azeri descent). As Iran is undergoing significant political unrest, manpower shortages caused by the disintegration of the country will have a serious effect on its economy and military strength. The loss of its territory will simultaneously lead to the loss of its ethnic minorities' human capital, including almost half of its military personnel. Natural Capital Iran's national wealth comes from its natural resources mostly concentrated in the border regions, which has turned the Islamic Republic of Iran into an economic giant and a strong military power in the Middle East. Khuzestan province – called Iran's "Achilles' heel" – which is predominantly inhabited by Arabs, is Iran's energy capital as it produces on average over 80% of the Iran's oil production and the bulk of its natural gas production.[15] Despite the amount of revenue generated by the province, Khuzestan suffers from extreme poverty, high unemployment, a lack of water and electricity, and growing health-related issues.[16] Iranian Azerbaijan has the largest concentration of industry and trade outside of Tehran. Natural gas reserves in the Chalous gas field in the Caspian Sea of northern Iran, which is inhabited by Gilakis and Mazanderanis, could potentially meet almost 50 percent of all European demand for gas for 20 years. The deal Iran has made with Russian and Chinese companies to invest in the field with a 20-year profit share would also give Iran a high level of Russian and Chinese political support internationally.[17] Iranian Kurdistan (called East Kurdistan or Rojhelat by the Kurds) possesses a large variety of mineral reserves estimated to be around eight billion tons, oil reserves and massive surface and underground water resources. The region contains almost 70% of Iran's proven gold reserves, estimated at 340 metric tons. Kurdistan has for decades supplied the economic, agricultural, and industrial sectors in Iran, mainly benefiting the development of the central parts of the country and bringing significant income to the state. This has occurred while the Kurdish region remains among the most economically underdeveloped and deprived areas of Iran.[18] Furthermore, some 15% of Iran's gas reserves are located in Kurdistan's Ilam province. Ilam Gas Refinery is the main gas supplier to Iraq, which Iran has utilized as yet another political weapon to bring Iraq under its control economically and politically. [19] Sistan and Baluchistan, called the "mineral rainbow" of Iran, is where there are some of the most economic mines with reserves of antimony, titanium, copper, and gold. Fanuj city is estimated to sit on 3.6 billion tons of titanium reserves, the strategic metal of the century. The copper reserves in the province are expected to reach 400 million tons.[20] Areas falling within the provinces of Khuzestan, the Caspian regions, and Kurdistan possess most of the Iran's surface and underground water resources. As the country faces intensified climate change challenges, including severe droughts, the Iranian government has aimed at overcoming water-related crises in the country's central regions by building dams and water-diversion projects in the peripheral regions of Khuzistan and Kurdistan. Therefore, despite such as an abundance of water, the two regions due to the transformation of their water to Persian regions are suffering from a massive water shortage.[21] The control of such resources has thus never been in the hands of the ethnic minorities, and has instead been controlled by the central authorities and utilized to develop the central regions of Iran and strengthen Iran's military power to fuel its regional military expansionism. Therefore, despite being home to the bulk of Iran's natural wealth, the rate of deprivation, poverty, and unemployment is very high in the border regions. This uneven distribution of resources has created long-standing grievances and played a significant role in fueling ethnic group's desire for independence in the impoverished and underdeveloped periphery. The chair of the Association of Khuzestani Arabs located in Tehran (Beyt Al-Arab, or Arab House), Hasan Abbasian, emphasized: "Most Arab people of Khuzestan sleep with empty stomachs on a sea of oil. In the summers they have to drink salty and bitter water because, during the shah's oppression, part of Karun's water was channeled to Isfahan and after the Revolution, some parts of Karun's water was channeled to Yazd, and recently to Kerman, and based on a new decision, the little remaining will be channeled to Qom in the future."[22] The Iranian state's economic and developmental approach to natural resources and the mechanisms of extraction and exploitation of these resources in ethnic regions have resulted in extensive environmental destruction, affecting the public health and life expectancy. The ethnic regions have thus become internal "colonies" of the Iranian state, where the minorities and their natural resources are subject to state exploitation and destruction. The Failure Of The Green Movement The transition of the Green Movement from a group of angry voters to a mass movement demanding democratic rights remains a watershed moment in Iran's recent history. Its declining influence in the months following the election highlighted a number of drawbacks from which the movement suffered. Kurdish scholar Ozum Yesiltas noted that although the inhuman crackdown by the government security forces played a major role in suppressing the protests, one significant deficiency of the movement was the lack of widespread support from Iran's ethnic minorities, including the Kurds, Balochis, Arabs, Turkmens, and others.[23] Unlike the 2022 protests, the 2009 protests remained largely limited to the northern areas of Tehran and a few more Persian cities. As the ethnic minorities make up almost half of Iran's population, their reluctance to figure significantly in the protests restricted the Green Movement's struggle for power and potential to become a nationwide movement. The reformist arguments for democratization and constitutional change, however, have largely left out appreciation and respect for ethnic and religious differences in the country. It is worth noting that Iranian politicians, be they reformist or conservative, secularists or theocratic, refuse to recognize the multi-ethnic structure of Iranian society and the legitimate rights of the ethnic groups. As Iranian political scientist Mehrzad Boroujerdi has observed, "many of Iran's (ultra)nationalists worry that discussing the plight of ethnic minorities may open a Pandora's box and lead, even if indirectly, to Iran's eventual breakup."[24] Therefore, a regime change would be unlikely to alter the cultural and political status of ethnic and religious minorities unless the ethnic movements and the pro-democracy opposition collaborate and adopt "democratic confederalism" as their political agenda. Conclusion: Toward A "Periphery Strategy" In Iran In order to bring about regime change at home and contain Iranian expansionism abroad, Iran needs to be weakened from within. The international community therefore must engage Iran more effectively inside its borders through pursuing a "periphery strategy," i.e., supporting the ethnic minorities found in its border regions. This will achieve two goals. First, ethnic minorities would finally enjoy the freedom and human rights they have been deprived of since the early 20th century. Second, this would deprive Iran of human and natural resources it needs to perpetrate its malign expansionism in the Middle East. An array of democratic ethno-nations in the periphery of Iran would create a "great wall" around the country. This "wall" would stretch from the Kurdish areas of Northern Khurasan to the Persian gulf in the west including Azerbaijan, Kurdistan and Khuzistan as well as Balochistan in the southeast and would limit Iran's access to the outside world and consequently end its geostrategic importance regionally and internationally. *Himdad Mustafa is a Kurdish scholar and expert on Kurdish affairs.
Read moreIran's protesters find inspiration in a Kurdish revolutionary slogan
For 41 days, thousands of Iranians have taken to the streets in anger over the death of a young Kurdish woman in police custody, even as authorities continue their violent crackdown against them. The demonstrations — honoring the memory of 22-year-old Mahsa Amini, whose Kurdish first name was Jina — have become the largest women's rights movement in Iran's recent history. One resounding slogan has become the movement's rallying cry: "Jin, jiyan, azadi!" — or "Woman, life, freedom!" First chanted by mourners at Amini's burial in her hometown of Saqez, the slogan quickly spread from the country's Kurdish cities to the capital, Tehran. It took on new life in its Farsi translation — "Zan, zendegi, azadi" — and the message continues to reverberate across solidarity protests from Berlin to New York. Even fashion brands like Balenciaga and Gucci have posted the slogan to their Instagram feeds. The words "jin, jiyan, azadi" and their various translations have unified Iranians across ethnic and social lines. They have come to signify the demand for women's bodily autonomy and a collective resistance against 43 years of repression by the Iranian regime. But Kurdish activists say that some Iranians and the media are overlooking key elements of the Kurdish background of both Amini herself and the slogan pulsing through the mass protests sparked by her death. "It's meant to be a universal slogan for a universal women's struggle. That was what was always intended with it," says Elif Sarican, a London-based anthropologist and activist in the Kurdish women's movement. "But the root needs to be understood, at the very least in respect towards the people who have sacrificed their lives for it, but also to understand what this is saying. ... These aren't just words." The slogan was popularized during women's marches in Turkey in 2006 The slogan originated with the Kurdish Freedom Movement, led by the Kurdistan Workers' Party (PKK), an armed group carrying out an insurgency against Turkish authorities since the 1980s. The State Department has long designated the PKK as a terrorist organization. The slogan was inspired by the writings of Abdullah Ocalan, the PKK's cofounder, who said that "a country can't be free unless the women are free." Ocalan advocated for what he called "jineoloji," a Kurdish feminist school of thought. That ultimately led to the development of an autonomous women's struggle — the Kurdish women's movement — within the broader Kurdish Freedom Movement, Sarican explains. She says the slogan was first popularized during International Women's Day marches across Turkey on March 8, 2006. Turkey, with about 15 million Kurds, is home to the largest population of Kurds in the Middle East. Although they make up an estimated 18% to 20% of the nation's population, they face discrimination and persecution. Since 2006, Sarican says, "Every year, based on 'jin, jiyan, azadi' as the philosophy of freedom, there's been various different campaigns that have been announced and declared to the world by the Kurdish women's movement on each 8th of March — to say that this is our contribution, this is our call and this is our encouragement for a common struggle of women against colonialism and patriarchal capitalism." Five years ago, Kurdish female guerrilla fighters with the YPJ militia chanted the slogan during the Kurdish-led Rojava revolution in northern Syria that began in 2012. Kurds in Iran face discrimination and many live in poverty Ignoring the slogan's political history contributes to the long-standing erasure of Kurdish people's identity and struggle, activists say. That's also been the case in international coverage of Amini's death, they contend, in which Mahsa — Amini's Iranian state-sanctioned first name — is used. In interviews, Amini's parents have used both her Iranian and Kurdish names. Like many Kurds in Iran, Amini was not allowed to legally register her Kurdish name, which means "life." "I felt like she died twice because no one really was mentioning her Kurdish name or her Kurdish background, which is so relevant," says Beri Shalmashi, an Amsterdam-based Iranian Kurdish writer and filmmaker. Besides facing ethnic discrimination, Kurds, who make up an estimated 15% of Iran's population, are marginalized as Sunni Muslims in a Shia-majority country. Their language is restricted and they account for nearly half of political prisoners in Iran. The country's Kurdish regions are also among its most impoverished. The Iranian government has blamed Kurds for the current unrest in Iran, according to news reports, and has attacked predominantly Kurdish cities, like Sanandaj and Oshnavieh. Some Persian nationalists, meanwhile, continue to ignore the lived experiences of Kurds in the country. Shalmashi believes it's vital to highlight Amini's Kurdish identity, and the Kurdish roots of "jin, jiyan, azadi," as a reminder of the need for greater rights for all people in today's Iran — no matter their ethnicity or gender. Without inclusion and unity, she warns, the current protests risk becoming meaningless. "Because if you don't make room for people to be in this together," she says, "then what are you going to do if you even succeed?"
Read moreCurrency Depreciations Risk Intensifying Food, Energy Crisis in Developing Economies
The shrinking value of the currencies of most developing economies is driving up food and fuel prices in ways that could deepen the food and energy crises that many of them already face, according to the World Bank’s latest Commodity Markets Outlook report. In U.S. dollar terms, the prices of most commodities have declined from their recent peaks amid concerns of an impending global recession, the report documents. From the Russian invasion of Ukraine in February 2022 through the end of last month, the price of Brent crude oil in U.S. dollars fell nearly 6 percent. Yet, because of currency depreciations, almost 60 percent of oil-importing emerging-market and developing economies saw an increase in domestic-currency oil prices during this period. Nearly 90 percent of these economies also saw a larger increase in wheat prices in local-currency terms compared to the rise in U.S. dollars. Elevated prices of energy commodities that serve as inputs to agricultural production have been driving up food prices. During the first three quarters of 2022, food-price inflation in South Asia averaged more than 20 percent. Food price inflation in other regions, including Latin America and the Caribbean, the Middle East and North Africa, Sub-Saharan Africa, and Eastern Europe and Central Asia, averaged between 12 and 15 percent. East Asia and the Pacific has been the only region with low food-price inflation, partly because of broadly stable prices of rice, the region’s key staple. “Although many commodity prices have retreated from their peaks, they are still high compared to their average level over the past five years,” said Pablo Saavedra, the World Bank’s Vice President for Equitable Growth, Finance, and Institutions. “A further spike in world food prices could prolong the challenges of food insecurity across developing countries. An array of policies is needed to foster supply, facilitate distribution, and support real incomes.” Since the outbreak of the war in Ukraine, energy prices have been quite volatile but are now expected to decline. After surging by about 60 percent in 2022, energy prices are projected to decline 11 percent in 2023. Despite this moderation, energy prices next year will still be 75 percent above their average over the past five years. The price of Brent crude oil is expected to average $92 a barrel in 2023—well above the five-year average of $60 a barrel. Both natural gas and coal prices are projected to ease in 2023 from record highs in 2022. However, by 2024, Australian coal and U.S. natural-gas prices are still expected to be double their average over the past five years, while European natural gas prices could be nearly four times higher. Coal production is projected to significantly increase as several major exporters boost output, putting climate-change goals at risk. “The combination of elevated commodity prices and persistent currency depreciations translates into higher inflation in many countries,” said Ayhan Kose, Director of the World Bank’s Prospects Group and EFI Chief Economist, which produces the Outlook report. “Policymakers in emerging market and developing economies have limited room to manage the most pronounced global inflation cycle in decades. They need to carefully calibrate monetary and fiscal policies, clearly communicate their plans, and get ready for a period of even higher volatility in global financial and commodity markets.” Agricultural prices are expected to decline 5 percent next year. Wheat prices in the third quarter of 2022 fell nearly 20 percent but remain 24 percent higher than a year ago. The decline in agricultural prices in 2023 reflects a better-than-projected global wheat crop, stable supplies in the rice market, and the resumption of grain exports from Ukraine. Metal prices are projected to decline 15 percent in 2023, largely because of weaker global growth and concerns about a slowdown in China. The outlook for commodity prices is subject to many risks. Energy markets face significant supply concerns as worries about the availability of energy during the upcoming winter will intensify in Europe. Higher-than-expected energy prices could feed through to non-energy prices, especially food, prolonging challenges associated with food insecurity. A sharper slowdown in global growth also presents a key risk, especially for crude oil and metals prices. “The forecast of a decline in agricultural prices is subject to an array of risks,” said John Baffes, Senior Economist in the World Bank’s Prospects Group. “First, export disruptions by Ukraine or Russia could again interrupt global grain supplies. Second, additional increases in energy prices could exert upward pressure on grain and edible oil prices. Third, adverse weather patterns can reduce yields; 2023 is likely to be the third La Niña year in a row, potentially reducing yields of key crops in South America and Southern Africa.” Special Focus: Decline in Copper and Aluminum Prices and the Impact on Developing Economies Concerns about a possible global recession next year have already contributed to a sharp decline in copper and aluminum prices. A Special Focus section of the report examines the drivers of aluminum and copper prices and explores implications for emerging market and developing economies that export these commodities. Prices will likely remain volatile as the energy transition unfolds and demand shifts from fossil fuels to renewables, which will benefit some metal producers. Metal exporters can make the most of the resulting opportunities for growth over the medium term while limiting the impact of price volatility by ensuring they have well-designed fiscal and monetary policy frameworks, the report highlights.
Read moreIraq Pushes Key Gas Developments To Reduce Import Dependence On Iran
With Russia having lost much of its ability to function as a state sponsor of Iraq, Baghdad is looking again to the U.S. for support. Top of Washington’s concerns in this regard for many years has been Iraq’s extremely close political, religious, economic, and military ties with neighbouring Iran, and the focus of this for the White House has been Baghdad’s dependence on gas and electricity supplies from Tehran. Last week saw Iraq’s state-owned Dhi Qar Oil Company (DQOC) sign a contract with the U.S. oilfield services giant, Baker Hughes, to increase the production of associated (with oilfield development) gas at the potentially huge Gharraf and Nassiriya oilfields in Dhi Qar Province. According to a comment from DQOC director, Anwar Hadi Shiaa, the new venture aims to increase gas production from the sites from 20 million standard cubic feet (mmscf) to 200 mmscf in the first phase of development. For seasoned Iraq-watchers, though, we have all been here before many times. Every year since 2018, when the U.S. unilaterally withdrew from the Joint Comprehensive Plan of Action (JCPOA, or, colloquially, the ‘nuclear deal’) with Iran, and before 2015 when the JCPOA was agreed, the same pattern has played itself out between Washington and Baghdad. Specifically, every year Baghdad continues to import the same amount – around 30 percent to 40 percent – of its gas and electricity needs from Iran for months at a time, disregarding pleas from the U.S. to stop doing it. Every year, there is a cash crisis in Iraq caused by a failure to be able to meet the needs of its huge civil payment’s obligations, whereupon whoever is prime minister at the time goes cap in hand to Washington to beg for money. Every year, Washington agrees to bail out Baghdad on the proviso that Iraq cuts the amount of gas and electricity it imports from Iran, and Iraq solemnly agrees to do so. But every year, once the money from Washington has been dispersed, Iraq goes back to importing exactly the same amount of gas and electricity from Iran that it was doing before, which it is permitted to do through waivers granted for that purpose by Washington. And so, it goes on. For a brief moment or two, it was thought by those with little or no knowledge of how Iraq actually works that Baghdad signing up to the United Nations and World Bank ‘Zero Routine Flaring’ initiative - aimed at ending by 2030 the routine flaring of gas produced during the drilling of oil - might be an added incentive to Iraq taking real action on the issue. At the time, Iraq flared the second largest quantity of gas in the world (after Russia) – some 17.37 billion cubic metres (bcm) – but such hopes proved forlorn. So too were hopes that Iraq might realise the folly of simply burning off the huge amount of gas that resulted from its extensive oil drilling operations, which equates to setting fire to billions of dollars every year in lost export revenues, even when world gas prices were low. Equally, it did not matter to some of those at the top of the Iraqi oil and gas sector that even if not exported, the gas saved from being burned off could go towards power production in Iraq itself, not just avoiding frequent blackouts across the country every year but also to fuel growth in other sectors of its economy. The fact that Iraq suffers from any blackouts at all is indictment enough of failure, given that it has the fifth largest crude oil reserves on the world (at least 145 billion barrels) and the twelfth largest gas reserves in the world (nearly 131 trillion cubic feet). Various announcements in 2020 provided some cause for vague optimism that this deleterious situation may change at some point, although to seasoned Iraq watchers the announcements all look very familiar. One notable example was the statement from the Japan Petroleum Exploration Company (Japex) that it, along with Malaysia’s Petronas and Iraqi national oil firm, North Oil, had reached an agreement on the further development of the Gharraf oil field that would see crude oil production increase from then-90,000 barrels per day (bpd) to its targeted plateau production of 230,000 bpd in the next phase. On the same day, two years ago, in 2020, Iraq’s Oil Ministry announced that it had signed a natural gas capture deal with - Baker Hughes - to harness exactly the same amount of associated gas from the Gharraf and Nassiriya fields as it just announced again last week. Moreover, it is exactly the same deal with Baker Hughes that the Oil Ministry announced as well in 2018. Shortly after these identical deals had been announced at around the same time in both of those years, whoever was prime minister of Iraq at the time went to Washington to ask for money. The fact remains that the potential for gas capture in Iraq, including on these two fields – Gharraf and Nassiriya – is huge and there are many companies who want to do the projects for Iraq, including Baker Hughes. The original 2018 and then 2020 deals were exactly the same and this latest deal announced is unlikely to be any different. The first stage of the Nassiriya plan, which would be similar to that for Gharraf, would likely involve an advanced modular gas processing solution being deployed at the Integrated Natural Gas Complex in Nassiriya to dehydrate and compress flare gas to generate over 100 mmscf/d of gas. The second stage would involve the Nassiriya plant being expanded to become a complete natural gas liquid (NGL) facility that will recover 200 mmscf/d of dry gas, liquefied gas and condensate. All this output would go to the domestic power generation sector, with Baker Hughes stating previously in 2018 and 2020 that addressing the flared gas from these two fields would allow for the provision of 400 megawatts of power to the Iraqi grid. The project, if Baker Hughes was allowed to just get on with it, would take around 30 months to be implemented. Similar development plans could then be rolled out for other major gas capture sites, which back in 2018 and 2020 included Halfaya (300 mmscf/d), and Ratawi (400 mmscf/d) in the first instance. Synergies could then be developed with the only major gas project that has made significant progress in Iraq over the years, the Basra Gas Company (BGC) project, orchestrated by British oil and gas giant, Shell, which owns a 44 percent stake in venture. The BGC was designed specifically to enable Iraq to increase its energy independence and to achieve economic diversification by capturing currently flared gas from the fields of Rumaila, West Qurna 1, and Zubair, in the first phase. By 2019/2020, the BGC had reached a peak production rate of 1035 mmscf/d, the highest in Iraq’s history and sufficient gas to generate approximately 3.5 gigawatts of electricity – enough to power three million homes. The BGC is also responsible for currently supplying around 70 percent of Iraq’s liquefied petroleum gas (LPG) and for enhancing Iraq’s export capabilities, which helped the country to become a net exporter of LPG from 2017. Back in June this year, BGC exported its first semi-refrigerated liquefied petroleum gas shipment, from the BGC Umm Qasr jetty. as part of plans to boost the country’s LPG exports. Shell’s efforts in the BGC were intended to be a foundation stone for the build-out of Iraq’s value-added petrochemicals sector, specifically, to begin with, the Nebras petrochemicals plant project that began in earnest on 2013. The original design plans for Nebras – formulated between Shell and the Iraq Oil Ministry and Ministry of Industry and Minerals – were for a project that could produce at least 1.8 million metric tonnes per year (mtpy) of various petrochemicals. This would make it Iraq’s first major petrochemicals project since the early 1990s and one of only four major petchems complexes across the entire country, with the others being Khor al-Zubair in the south, Musayeb near Baghdad and the Baiji refinery complex in the north. Shell’s titanic efforts to get BGC volumes up to over 1 billion scf/d means that the ethane can be extracted on a sustainable and reliable basis, and that allows for sufficient volume for a major petrochemicals plant to be viable. Ethane needs to be the initial feedstock for Iraq’s first few plants in the same way that it was in the development of Saudi Arabia’s master gas system that captured associated gas, which was then fractionated and supplied as primary feedstock to the flagship Jubail Industrial City. By Simon Watkins for Oilprice.com
Read moreIran Is Using Mass Protests To Make Moves On Kurdistan
Iran is seeking to gain a more secure foothold in the Kurdistan Region of Iraq (KRI), and the protests spreading across Iran present a good justification for Tehran to take action, as well as being a key venue for suppressing the protests. Iran’s relationship with the Iraqi Kurds has changed much over the past decades, particularly since 2003 when the U.S. invasion of Iraq led to the creation of the official KRI, complete with its own oil - ostensibly. When the KRI launched a failed referendum for independence from Baghdad in 2017, the Iranians started to become more active. Tehran’s natural ally in Iraqi Kurdistan is the PUK party, which is no longer the dominant party. The dominant party, the KDP, is closer to Turkey, but its position is also weak - and getting weaker, with Iran happy to fill in the cracks. Since the Kurdish referendum failed, militant Iraqi Kurdish groups have deployed to the Iraq-Iran border, causing significant anxiety in Tehran. These groups, who join the PKK (the Kurdistan Workers Party) in this border region now, are using this move for extra funding (smuggling) and as preparation to pounce should the situation between the U.S. and Iran escalate into a military move by Washington. Or, in an unforeseen development, should nationwide protests create massive instability in Iran, giving the Kurds an open window to make their move (like they did in Syria). From this perspective, Iran’s attacks this week on Iraqi Kurdish…Continue read
Read moreAmnesty International calls for urgent global action against the bloody crackdown in Iran
With the death toll in Iran reaching at least 30 people, four of them children, Amnesty International reiterates its call for urgent global action, warning of the risk of further bloodshed amid a deliberately imposed Internet black out. The bravery of protesters facing a spiralling deadly response by the Iranian security forces over the past days after the death of Mahsa Amini reveals the extent of outrage in Iran over abusive compulsory veiling laws, unlawful killings, and widespread repression, Amnesty International said on Friday. According to the organization, evidence gathered by the organization from the past two nights of fresh violence in 20 cities and 10 provinces across Iran points to a harrowing pattern of Iranian security forces deliberately and unlawfully firing live ammunition at protesters. With the death toll reaching at least 30 people, four of them children, the organization reiterated its calls for urgent global action, warning of the risk of further bloodshed amid a deliberately imposed Internet black out. On the night of 21 September alone, shootings by security forces left at least 19 people dead, including at least three children. Amnesty International has reviewed photos and videos showing deceased victims with horrifying wounds in their heads, chests and stomachs. “The rising death toll is an alarming indication of just how ruthless the authorities’ assault on human life has been under the darkness of the internet shutdown. There is no such thing as “an impartial investigation” within Iran. UN member states must go beyond toothless statements, hear the cries for justice from victims and human rights defenders in Iran and urgently set up an independent UN investigative mechanism,” said Heba Morayef, Middle East and North Africa Director at Amnesty International. “The anger expressed on the streets has also shown how Iranians feel about the omnipresent so-called ‘morality police’ and compulsory veiling laws. It is high time for these discriminatory laws and the security forces enforcing them to be completely removed from Iranian society, for once and for all.” Amnesty International has recorded the names of 19 people including three children shot dead by security forces on 21 September. The deaths of a further two people, including a 16-year-old bystander, have also been confirmed on 22 September. Further deaths are being investigated. Echoing growing frustration at the international community’s failure to take meaningful action to address successive waves of protest killings in Iran, the father of Milan Haghigi, a 21-year-old man killed by security forces on 21 September, told Amnesty International: “People expect the UN to defend us and the protesters. I, too, can condemn [the Iranian authorities], the whole world can condemn them, but to what end this condemnation?” According to eyewitness accounts, security forces involved in the deadly shootings include Revolutionary Guards agents, paramilitary Basij forces and plainclothes security officials. These security forces have fired live ammunition at protesters with the intention of dispersing, intimidating and punishing them or preventing them from entering state buildings. This is prohibited under international law which restricts the use of firearms to instances where their use is necessary in response to an imminent threat of death or serious injury, and only when less extreme means are insufficient. In addition to the 19 people killed on 21 September, Amnesty International has recorded the names of two other people killed by security forces in Dehdasht, Kohgilouyeh and Bouyer Ahmad province on 22 September, including a 16-year-old bystander. Since nation-wide protests were triggered by the death in police custody of 22-year-old Mahsa (Zhina) Amini after being violently arrested by Iran’s “morality police” in connection with discriminatory and degrading compulsory veiling laws, Amnesty International has recorded the names of 30 people killed by security forces: 22 men, four women and four children. The organization believes the real death toll is higher and investigating further. Deaths were recorded in Alborz, Esfahan, Ilam, Kohgilouyeh and Bouyer Ahmad; Kermanshah; Kurdistan, Manzandan; Semnan; Tehran, West Azerbaijan provinces.
Read more60% of youth lack digital skills needed for employment
UNICEF and the Education Commission call for urgent investment to address the global learning and skills crisis Nearly three quarters of youth aged 15 to 24 in 92 countries with available data, including Iraq, are off-track to acquire the skills needed for employment, according to a new report published last week by the Education Commission and UNICEF ahead of World Youth Skills Day. The report Recovering learning: Are children and youth on track in skills development? features analyses on skills development in early childhood, and among children of primary school age and youth. The data highlights low levels of skills among children and young people across all age groups, with youth in low-income countries the least likely to have the skills required to thrive, particularly in future employment opportunities, decent work, and entrepreneurship. “An inspired, skilled generation of children and young people is critical for prosperity, progression, and the success of societies and economies. Yet, the majority of children and young people across the world have been failed by their education systems, leaving them uneducated, uninspired, and unskilled -- the perfect storm for unproductivity,” said UNICEF Director of Education Robert Jenkins. “Investment in cost-effective, proven solutions to fasttrack learning and skills development for today’s generation and future generations is urgently needed to address this crisis.” In Iraq, where youth represent the largest segment of the population, the report indicates that 59.2% of the youth aged between 15-24 lack digital skills to perform basic computer-related activities. Youth also lack opportunities to access life-skills based education, employability, and entrepreneurial skills that will enable their smooth transition into the labour market. Moreover, there are limited opportunities to equip youth with necessary skills to increase their civic engagement and enable them to become active and informed citizens and promote their participation in decision-making processes. With high rates of out-of-school young people, low attainment of secondary-level skills, and lack of learning opportunities, countries worldwide are facing a skills crisis, with the majority of youth unprepared to take part in today’s workforce, the report notes. Deep disparities across countries and among those from the poorest communities are increasing inequalities. In at least 1 in 3 low-income countries with available data, more than 85 percent of young people are off-track in the secondary-level, digital, and job-specific skills attainment, the report notes. "To give young people the best chance to succeed and recover learning losses due to the pandemic, we need to support them holistically. But we can't recover what we don't measure. We need to know where children and youth are in building the range of skills they need and monitor their progress. That's why the Education Commission, UNICEF, and partners have been working to address critical data gaps, including the launch of the World Skills Clock to help track progress on and raise awareness around youth skills attainment around the world so we can target urgent action to prepare this generation to thrive in the future," said Education Commission Executive Director Liesbet Steer. Data from 77 countries show that less than three-quarters of children aged between 3 and 5 years old are developmentally on track in at least three out of the four domains of literacynumeracy, physical, social-emotional, and learning. At approximately 10 years old, the majority of children in low- and middle-income countries are unable to read and understand a simple text. These foundational skills are the building blocks for further learning and skills development, the report notes. Basic literacy and numeracy; transferable skills including life skills and socioemotional skills; digital skills, which allow individuals to use and understand technology; job-specific skills, which support the transition into the workforce and promote their social inclusion as agent of change; and entrepreneurial skills are essential for children and youth to thrive. These skills are also critical for the development of societies and economies. “It is critical to build skills of children and youth for them to achieve a deep sense of empowerment. Yet, prolonged school closures due to the COVID-19 pandemic have disrupted their skills development,” says Ms. Sheema SenGupta, UNICEF Representative in Iraq. “UNICEF will continue to work with the Government of Iraq and other partners to ensure more comprehensive and inclusive skills development initiatives are in place to realize the vision where every child and youth develops the full range of skills needed for success in school, work and life.” UNICEF and the Education Commission are urging governments to reach every child and youth with quality education and learning and break down the barriers that put them at risk of dropping out; assess children’s and young people’s learning levels and provide tailored catchup classes and skilling opportunities to bring them up to speed; prioritize foundational skills to build a strong base for lifelong learning; and support psychosocial health and well-being by providing holistic support. The report outlines the need for more extensive data on the skills gap among children and young people across all age groups.
Read moreWhat prompted euro’s loss of value and what’s its impact?
Experts identify two main reasons why the euro has lost value and the potential effects on the European Union. Draw Media, Al Jazeera The euro exchange rate has been falling for months and is now at the same level as the US dollar. A year ago, one euro cost $1.20, and by the beginning of 2022, it had already plunged to $1.13. Since then, the depreciation continued and culminated in a brief parity with the US dollar on Tuesday, before dropping below $1 on Wednesday. Experts identify two main reasons why the euro has lost value, one being the soaring inflation in the euro area (EA), Sushanta Mallick, professor of international finance at Queen Mary University of London, told Al Jazeera. “The inflation in the EA averaged 8.6 percent in June with 14 small euro area economies experiencing above-average inflation up to as high as 22 percent in Estonia. Only five euro area economies are below this EA average,” he said. “This rising trend is on the back of higher energy prices due to the Russia-Ukraine conflict,” he added. Indeed, the US economy has been far less affected by the Ukraine war than Europe, which has thus far remained “somewhat immune to the volatility in oil and gas markets, given their oil reserve and use of alternative sources of energy, explaining why US dollar is appreciating relative to euro”, Mallick said. ‘Safe haven status’ Moreover, in contrast to Europe, US interest rates have been rising for several months, which makes investments in the US dollar area more attractive, according to Lucio Sarno, professor of finance at the University of Cambridge. “The increasing interest rates in the US attract further investment in dollar assets, and this is in addition to the strong demand for dollar driven by its safe haven status at times of war,” he told Al Jazeera. At the end of January, the US Federal Reserve Bank’s (FED) announcement to initiate a series of consistent and significant interest rate hikes alone caused the US dollar to gain strength. The euro, in the meantime, has lost another 10 percent of its value. Although the European Central Bank (ECB) is likely to raise its interest rates by 0.25 percent this month, the FED raised its benchmark interest rate by 0.75 in June, marking the most considerable increase in nearly 30 years. “The US is raising interest rates much more aggressively than the ECB can do now or in the near future,” said Sarno. ECB’s dilemma Moreover, while raising its interest rates might be “the first step” for the euro to recover, he said the ECB faces a financial conundrum. “The ECB is caught in the worse dilemma a central bank can face: on the one hand inflation is soaring and requires an increase in interest rates, on the other hand, the eurozone’s growth is anaemic and would benefit from low interest rates,” Sarno said. “Ultimately, the fall in the euro is making the inflation problem even worse than it already is by importing further inflation because of the weak euro; about half of imported goods in the eurozone are invoiced in dollar, so the pass-through from a weak euro to high inflation is inevitable as more euros are needed to pay for those imported goods,” he said. Consumers can hence expect even higher prices. Above all, the costs of energy and raw materials threaten to rise since for the situation to normalise “growth is needed to prevent the rising cost of living in eroding the purchasing power of individual households. Fiscal policy is the only way out,” said Mallick. The only, potential upside of a weak euro is a possible surge in demand due to the exchange rate could therefore lead to the feared economic slowdown being at least slowed down in some European countries, he added. “A weakened euro can benefit euro area exports, particularly for Germany and France. Germany was already enjoying a high current account surplus; a weaker euro should improve their competitiveness.”
Read moreNadhim Zahawi appointed UK finance minister
🔻Nadhim, considered the richest minister and MP in the British history 🔻He has a hand in Kurdistan oil and has accumulated a lot of wealth Draw Media British Prime Minister Boris Johnson has appointed Nadhim Zahawi as finance minister and Steve Barclay as health minister. Zahawi was the Minister of Education, and after taking over the post of Finance Minister, his place in the Ministry of Education was filled by Michelle Donelan. Al-Zahawi was born in Iraq to a Kurdish family who immigrated to Britain in 1976, served as a Conservative MP for more than 10 years and was Minister for Business and Industry and vaccines Minister, Nadhim is close friends with the Barzanis and he has involved in the Kurdistan Region's oil. Last year, the Mirror, British newspaper reported that Zahawi had earned £1.3 million from an oil company while he was a member of parliament, managing to keep the income from his second job hidden under the guise of parliamentary work. Nadhim, considered the richest minister and MP in the British history, owns more than (100 million) pounds, and has registered a number of properties in the name of his wife (Lana Saib). Dr. Dana Hama Aziz says in an article about the story of Nadhim Zahawi's wealth: “In the spring of 1991, during the Kurdistan Revolution, he and his brother-in-law Brusk Saib and Jeffrey Archer raised £57 million on behalf of the refugees, of which only £250,000 reached the refugees. In the process of raising money, Jeffrey Archer called Nadim "Kurdish lemon" and Brusk "Kurdish bean. Archer obviously got his punishment, but lemons and beans got away with it and became a millionaire.” Hama Aziz also mentions that, Zahawi is a partner of the thieves in the Kurdistan Region and part of the process of plundering Kurdistan. “For example, he owns the largest stake in the Sheikhan oil fields and is one of the participants in the process of looting oil through Turkey, so he supports Erdogan.”
Read moreTurkey planned Syria military operation after Russian troops withdrew over Ukraine
Draw Media, Middle East Eye Turkey decided to announce it would undertake a military operation in northern Syria after Russia moved a significant number of troops out of the country due to the war in Ukraine, Turkish military sources familiar with the situation have told Middle East Eye. The sources said the timing of the decision, announced earlier this week, was also a result of Ankara’s ongoing offensive against Kurdistan Workers’ Party (PKK) fighters in northern Iraq, where it is bidding to end PKK infiltration by sealing the last remaining land corridor between Turkey and Iraq. “The recent PKK activities to transfer fresh forces and ammunition to Iraq from Syria triggered a response," one of the military sources told MEE. "These two operations must continue simultaneously. "This isn’t solely about Russia getting bogged down in Ukraine. There are Ankara’s own concerns and intelligence on PKK activities in Syria.” The operation will be the fourth of its kind mounted by Ankara in northern Syria since 2016, and will be conducted with the declared purpose of combating threats to Turkey from the Islamic State (IS) group and PKK-allied Syrian Kurdish groups, as well as enabling the resettlement of internally displaced Syrians. Earlier operations - namely Euphrates Shield in 2016, Olive Branch in 2018 and Peace Spring in 2019 - saw Turkey and its Syrian allies seize border territory previously controlled by the People's Protection Units (YPG), a group that Ankara says has direct links to the PKK. Turkey and western governments, including the United States and the European Union, designate the PKK as a terrorist organization. Strategic target The US-backed Syrian Democratic Forces (SDF), of which the YPG is the spearhead, still control large swathes of northeast Syria. Turkish President Recep Tayyip Erdogan said earlier this week that the military would target two key areas west of the River Euphrates. "We are taking another step in establishing a 30km security zone along our southern border," said Erdogan on Wednesday. "We will clean up Tal Rifaat and Manbij," he said, referring to two northern Syrian cities held by the SDF. Tal Rifaat is significant due to its strategic position, sandwiched between Turkish and Syrian government forces, and has sometimes become a point of frustration for Ankara due to repeated deadly YPG attacks from the area on Turkish positions. “The YPG has conducted at least 100 attacks on Syrian rebel-held territories and Turkish military bases in the form of rockets, anti-tank missiles, cannon fire and multiple rocket launchers,” the military source said. The source added that capture of the Menagh airbase, which the SDF took over in 2016 with the help of Russian airstrikes, had also been an advantage for the group. Ankara claims that since the YPG captured the area from Syrian rebels in 2016, 250,000 Syrian Arabs have fled Tal Rifaat for the Turkish-controlled Syrian city of Azaz. “Tal Rifaat is hosting 60 percent of the clean water in the region and that alone makes it a strategic target,” the source added. “The return of displaced locals and the management of the water resources is fundamental. It will revive agriculture and encourage returns.” Russian withdrawal Turkish military sources say Russian forces, which had the second-largest presence in Tal Rifaat, have now largely left the area. The source said Ankara does not expect Syrian government forces to try to repel any Turkish offensive. “The [Turkish] military and Syrian National Army have already completed their preparations and may begin the operation at any moment,” the source added. “Russia is finding it hard to resupply its troops in Tal Rifaat and has already abandoned some of its bases near Aleppo to Iranians.” Other Turkish officials told MEE that Iran would be more concerned by any Turkish move into Tal Rifaat than the Russians, since Islamic Revolutionary Guards Corp-allied militias are actively participating in Syrian government efforts to guard northern Aleppo. “The Iranians don’t want Syrian rebel forces to have a presence near Aleppo,” one of the Turkish officials said. Refugee factor The military sources said that Turkey’s bilateral deals with Russia, and specifically with the US on Manbij, had been very clear. Since 2016, Washington has repeatedly said that it would clear YPG elements out of Manbij but has not done so. Russia, on the other hand, is continuing to try to convince Ankara to stage an offensive in Kobane - which would provoke a much larger western outcry and possible sanctions due to its significance for the anti-IS fight. The sources say that Turkey's military continues to evaluate the situation, and has plans laid out to seize Kobane if the political leadership deems it necessary. The sources said that Turkish military preparations for an offensive in Tal Rifaat and Manbij had been completed, and that it could begin at any time. Along with Tal Rifaat, Manbij would be able to host thousands of Syrian refugees currently in Turkey. Erdogan's government has been under fire due to the presence of 3.7 million Syrian refugees in Turkey, which itself is facing increasing economic hardship. Capitalising on increasing animosity towards Syrian refugees, opposition politicians have been promising to send them back if they are elected to government.
Read moreThe Gulf States Can Do More in Syria
Draw: By Kamal Chomani In June 2020, former Secretary-General of the League of Arab States Amr Moussa stated that Turkey “is more dangerous to the Arab world than Iran due to its strategic capabilities.” Perhaps Mr. Mousa was fearful that Turkey would utilize its historical animosity with Iran and its regional [pre-2015] “zero-problem” doctrine toward expansionist ends. Mr. Mousa may be correct. The Arab Spring has proven to be a gift to Turkey. Turkey has used the Syrian uprising in particular to expand its regional influence in multiple ways. It has supported extremists, including the Muslim Brotherhood-linked Syrian National Council (SNC) and affiliated armed groups in Syria’s northwest and al-Qaeda and ISIS remnants like Hayat Tahrir al-Sham in Idlib. It has also directly occupied parts of the country, carrying out a strategy of forced demographic change and committing human rights violations that have been denounced by the United Nations. Gulf countries initially supported the fall of the Assad regime, hoping that this would weaken Iran. Their interests aligned with those of Turkey, which saw a weakened Iran as beneficial for its own interests and Syria’s Islamist rebels as a useful proxy to counter Kurdish aspirations. The first major Syrian opposition umbrella group, the SNC, was a Turkish-Qatari creation that included affiliates and sympathiers of the Muslim Brotherhood. This cemented Turkish-Qatari ambitions for a new Syria more closely aligned with their interests, including energy routes for Qatari gas. More than ten years later, however, this strategy has not paid off for Arab states. Qatar’s cash and Turkey’s military and logistical support for opposition armed groups benefited extremists and enabled the occupation of Syrian territory. The Syrian war has strengthened, not weakened, Iran’s position in the region. It has also given rise to a power with even wider regional ambitions: Turkey. President Recep Tayyip Erdogan has sought a larger political and religious role for his country in the Middle East and North Africa, pursuing expansionist policies in Syria and Iraq that some have described as “neo-Ottoman.” Arab states have already changed their approach to the region to balance this influence. So far, these approaches have involved engagement with Syria’s central government. In 2018, the UAE reopened its embassy in Damascus. More recently, the country’s Foreign Minister called on states to lift sanctions on Syria and for Syria to be readmitted to the Arab League. Yet the same developments also provide an opportunity for new and mutually beneficial relationships between Arab states and another key regional actor: the Autonomous Administration of North and East Syria (AANES). Arabs and Kurds alike share concerns about the possibility of a militaristic and authoritarian Turkey on their borders. The geographic location and political system of the AANES, if institutionalized in a political settlement to the Syrian conflict, can counter both Erdogan’s ‘neo-Ottoman’ ambitions and Iranian influence. By supporting an autonomous North and East Syria, the Gulf Cooperation Council (GCC) and Arab League can protect Syria’s country’s unity and territorial integrity from foreign powers. The AANES’ political project will also help build unity between different religious and ethnic communities, essential for countering extremism across the region. An AANES official stressed recently that “terror, Jabhat al Nusrah, all the Islamist extremists are enemies of the SDF, YPJ, and YPG, as are they to the Arab world and the US. I can see no obstacles ahead in working together.” They also share an interest in the resolution of the Syrian conflict—which Turkey has consistently impeded. Every effort to resolve the issue in which Turkey is involved, including both the Russian-oriented Astana process and the Western-oriented Geneva process, has failed to achieve real results on the ground. By contrast, the GCC countries have already been encouraged by the Biden administration to take on a larger role in rebuilding Syria and helping restore peace and stability to the war-torn country— a task that will require billions in international aid as well as political engagement. At the same time, Kurdish and Arab officials of the AANES have begun to establish political and diplomatic contacts with Arab countries and stressed the importance of a “Kurdish-Arab alliance” for a political solution in Syria and peace in the wider Middle East. Cooperation between the AANES and Arab states can also help ensure that such a political solution does not simply involve a return to the pre-2011 status quo. Removing Assad is not the policy of Arab states, the United States, or Europe. Nor is it the policy of the AANES. However, normalizing relations with the Assad regime without compromise or decentralization of power in Syria will be a drastic mistake. The regime’s hostilities and crimes against its people have made it unable to rebuild trust. As such, any renewed support for the Syrian state from the GCC and Arab League is likely to be conditional. By working with the AANES and the SDF, as well as civil society organizations, these states can help create an alternative to dictatorship in Syria. AANES officials have called on the GCC and the Arab League—especially Saudi Arabia, the UAE, and Egypt—to help them negotiate with other Syrian factions, including the Syrian government. This is an opportunity that can benefit all sides, and should be taken advantage of by all parties. Cooperation along these lines can help with more immediate security concerns in the short term as well. There are still 60,000 ISIS families in the Al-Hawl camp, representing 58 countries. Arab states can help resolve this issue by supporting a unified policy response. With the US relaxing sanctions on North and East Syria, these states can offer much needed investment to drive the economic recovery needed to help the region recover from ISIS and stop the terror group’s ability to recruit. To make this a reality, the AANES should strengthen its relationships with Arab countries. These ties exist, but they are still in their early stages. Meetings between AANES officials and Arab League member states, as well as unofficial meetings with Saudi Arabia and other GCC countries, have not resulted in practical policy changes so far. GCC countries should also abandon their support for jihadist groups— a policy that has always backfired and destabilized the region. The new leadership of the GCC countries may well understand that their oil-rich countries must address the demands of their youth, diversify their economies, and push for more democratic policies. This should go hand in hand with a more open and democratic approach to the other peoples of the Middle East–including Syrian Kurds. The United States has helped both sides build these relationships by supporting the SDF and cementing a multi-ethnic military alliance. It should work to bring the AANES and Arab states together to help consolidate the gains of the campaign against ISIS and bring Syria’s conflicts to an end by encouraging both sides to engage in dialogue. Kurdish-Arab cooperation has secured North and East Syria and ensured the defeat of ISIS. This success story should be promoted and supported before Erdogan and Assad can undermine it—as both have tried to do.
Read moreBig Oil Spends on Investors, Not Output, Prolonging Crude Crunch
By Kevin Crowley and Laura Hurst Big Oil is raking in historic amounts of cash, but the windfall isn’t being invested in new production to help displace Russian oil and gas. Instead, executives are rewarding shareholders -- setting the world up for an even tighter energy market in the years ahead. The West’s five biggest oil companies together earned $36.6 billion over and above their spending in the first quarter, or about $400 million in spare cash a day. It was the second-highest quarterly free cash flow on record and enough to relegate billions of dollars of Russia-related writedowns to mere footnotes in their recent earnings reports. Oil booms typically spark a chase for higher production -- but not this time. All five supermajors have kept their capital expenditure budgets firmly in check and pledged that this discipline will hold in future years -- even as oil prices have closed above $100 a barrel on all but five days since Russia invaded Ukraine in February. With wells naturally declining in production every year and large projects taking half a decade or more to come online, any expansion lag happening now will push the possibility of new production even further into the future. “In prior cycles of high oil prices, the majors would be investing heavily in long-cycle deepwater projects that wouldn’t see production for many years,” said Noah Barrett, lead energy analyst at Janus Henderson, which manages $361 billion. “Those type of projects are just off the table right now.” In short, if consumers are looking for Big Oil to replace Russian production with any urgency, they better look elsewhere. The last time crude was consistently over $100 a barrel in 2013, Big Oil’s combined capital expenditure was $158.7 billion, almost double what the companies are currently spending, according to data compiled by Bloomberg. The group includes Shell Plc, TotalEnergies SE, BP Plc, Exxon Mobil Corp. and Chevron Corp. “Discipline is the order of the day,” BP Chief Executive Officer Bernard Looney told analysts Tuesday. The London-based major isn’t budging on its $14 billion to $15 billion spending plans for the year, with its mid-term guidance creeping up to a maximum of $16 billion despite 10% cost inflation in some parts of its business. Shell, which posted record profits that exceeded even the highest analyst estimate, was equally clear. In her first set of results as chief financial officer, Sinead Gorman repeated time and time again that Shell would keep within its $23 billion to $27 billion range. “Nothing has changed in terms of our capital allocation framework,” she said. Instead of spending on new projects, companies are opting to reward shareholders after years of poor returns. Exxon, BP and TotalEnergies increased share buybacks while Chevron is already repurchasing record amounts of stock. There are clear reasons why Big Oil is choosing not to spend more. Chief among them are climate concerns and uncertainty over the future direction of oil demand. Years of pressure from investors, politicians and climate activists came to a head in the past two years, when all the oil majors pledged some form of net zero target by mid-century. BP and Shell actively positioned themselves to move away from oil and gas over the long-term. All are under added pressure to improve returns that dwindled over the past decade due to cost blowouts and low prices. “Any decision to increase, support or add-in new fossil projects today could see returns risk within a few years,” said Banco Santander SA analyst Jason Kenney. Climate change, technology developments like electric cars and rapidly evolving government policy on emissions are major risks today when deciding whether to invest billions in a new project, he said. Against that backdrop, investment in the upstream oil and gas sector slumped 30% in 2020, while last year’s spend of $341 billion was 23% below pre-pandemic levels, the International Energy Forum wrote in a report. “Two years in a row of large and abrupt underinvestment in oil and gas development is a recipe for higher prices and volatility later this decade,” warned Joseph McMonigle, Secretary General of the IEF. That message has not gone down well with consumers around the globe. From Pakistan to Paris, billions of people are suffering a cost-of-living crisis fueled in large part by high energy costs. In the U.S., President Joe Biden has implored oil companies to reinvest profits from surging oil prices into more production to help ease the shortages caused by Russia’s war against Ukraine. Some U.S. and European politicians have called for a windfall tax on companies’ profits to help ease the burden on consumers. To be fair, that doesn’t mean companies aren’t investing in growth at all. But they will “focus only on low risk, high return assets” such as shale or expanding offshore fields near existing operations, according to Kenney. Exxon and Chevron, for instance, are spending aggressively to grow production in the U.S.’s Permian Basin, the world largest shale oil region, with planned growth rates of 25% and 15%, respectively. BP is boosting investment in U.S. shale, but the company won’t be able to ramp up Permian production until it finishes building two large gathering systems at the end of the year. However, most Permian growth will largely offset declines from elsewhere in the U.S. supermajors’ global portfolio, rather than adding to total barrels. Exxon’s first quarter production of 3.7 million barrels per day was the lowest since its merger with Mobil in the late 1990s. Together Exxon and Chevron plan to spend more on buybacks and dividends this year than they do on production. “For so long the industry has been told by investors and politicians we need less oil and executives remember that,” said Barrett of Janus Henderson. “If the world needs an extra million barrels a day to ease prices, I’m not sure where it will come from.”
Read moreFrance in Front of Two Options
Draw: BBC French voters are heading to the polls to decide whether to give centrist Emmanuel Macron five more years as president or replace him with far-right candidate Marine Le Pen. After a divisive election campaign, Ms Le Pen faces an uphill battle with her 44-year-old opponent polling ahead. In order to win they both need to attract voters who backed other candidates in the first round. But these are two polarizing figures in France and abstention is a key factor. Mr. Macron's detractors call him arrogant and a president of the rich, while the far-right leader has been accused of having ties to Russian President Vladimir Putin. Some 48.7 million people are eligible to take part and by midday (10:00 GMT) turnout was down on five years ago at 26.4%, but not as low as in the first round two weeks ago. First projections of who has won will come at 20:00. Marine Le Pen was first of the two candidates to vote, which she did in her stronghold in Hénin-Beaumont. As she arrived, she sheltered a baby boy from the sun and told him: "I will protect you." Mr Macron voted later in the northern resort of Le Touquet alongside his wife, Brigitte. He rose to power on a whirlwind promise of change, but many complain they are yet to see it. His presidency has been buffeted by protests, the Covid pandemic and now the rising cost of living. Marine Le Pen, meanwhile, has learned from the mistakes she made when she was resoundingly beaten by the same opponent in the second round in 2017. This is her third tilt at the presidency and if she fails it could be her last. The great unknown in this election is how many voters will refuse to back either candidate, whether by casting a blank ballot or not turning out at all. Much of France is on holiday and turnout in parts of Paris appeared to be lower than usual. The campaign has been short but the choice for voters is clear, between a pro-European sitting president and a nationalist candidate who seeks to ban the headscarf and restrict immigration. Whatever the result, Mr Macron will address voters on Sunday evening from a stage at the foot of the Eiffel Tower. 'This place is dead after 7pm' The rising cost of living - described in France as pouvoir d'achat or spending power - has become the number one issue for French voters and Marine Le Pen has promised voters an immediate onslaught on it if she wins. She has fared particularly well in the smaller towns and rural areas that have struggled economically during the Macron era. She came top two weeks ago in La Ferté-sous-Jouarre, a pretty town on the River Marne an hour east of Paris. Sitting outside a bar, Cécile says the pandemic hit the area particularly hard: "Before Covid there was a bar here called Avenue de Champagne, but that shut and now the place is dead after 7pm." She will vote Le Pen as will Fred, who works on the Paris metro network: "People can't afford to pay for gas and electricity. When I'm in Paris some things are too expensive and you have to eat." African immigrants he knows in the capital also say they will vote for her, he adds. There are plenty of shy Le Pen voters here too. France needs to change, they say, and they leave it at that. She has carefully moderated her views, but still plans a referendum on strict immigration controls and her idea for a "Europe of nations" would tear the EU apart. Jean-Claude, 66, may not agree with her hostility to the EU, but he complains too many people take advantage of France's welfare system and take drugs. Le Pen and Putin Across France Emmanuel Macron is particularly popular with younger and older voters, and that is the case in La Ferté too. Apprentice accountant Séréna, 18, is worried about the war in Ukraine: "We don't really know what Le Pen feels about Putin. Changing president would destabilise the situation now." Nicole, 76, runs a library in a nearby village and she has noticed many people turning to the far right. "I'm not so worried about her, more about the people behind her - her lieutenants." Ms Le Pen fares less well in the big cities, like Paris and Lyon, where her opponent led in the second round. But what could decide this election is who secures the support of almost 22% of the electorate who voted for far-left candidate Jean-Luc Mélenchon. He was narrowly beaten by Marine Le Pen but won in cities including Marseille and Nantes. The town of Trappes, to the south-west of Paris, is a Mélenchon stronghold where Le Pen voters are in short supply. Outside the local shops, a woman in a hijab condemns the far-right's policies as racist. "I'm going to vote blank," she says. It's a popular idea that is seen as a protest vote that benefits neither candidate. On reflection she adds she might back Mr Macron, or even not vote at all. Many Mélenchon voters here appear undecided. Outside a nursery school, Murad says he might vote blank too. "Macron is more for the rich than the poor," he says, before adding that he could still vote for him. Unemployment may be down and purchasing power may be higher than in 2017, but many voters on the left are disillusioned with the sitting president for cutting housing aid to millions of low earners and abolishing a wealth tax that targeted millionaires. When Emmanuel Macron swept to power, it was on the promise of change. But a remark you hear everywhere is that nothing has changed at all. If the opinion polls are accurate and he does win, he will not face an easy second term.
Read moreLabour MP’s aide paid £400,000 by oil firms linked to Kurdistan
The Telegraph, By Mason Boycott-Owen An MP’s aide has been paid £400,000 by oil companies linked to a regime accused of human rights abuses, amid concerns over foreign influence in Parliament, The Telegraph can reveal. Gary Kent has been paid by Kurdistani oil and construction companies as he and the MP he works for promoted the region’s interests in Parliament. The aide still works for Mary Glindon, the Labour MP and whip, and is also the secretary of the Kurdistan Region in Iraq All-Party Parliamentary Group (APPG). He has highlighted how the APPG has helped shape select committee reports and MPs’ speeches, as well as how it has secured a government trade mission to the country. Mr Kent has also described how the group has taken more than 50 UK parliamentarians to the region over the last decades, some "several times". Annual salary of £57,000 from Kar Group Transparency documents show that between 2015 and last year, Mr Kent had been paid by a number of different oil and construction companies with close links to the Kurdistan Regional Government. He had been paid an annual salary of £57,000 by Kar Group and other companies in the region, but it is understood he now runs the APPG in a voluntary capacity Kar Group, a Kurdistani oil and construction company, has reportedly close links to the region’s government. Local media has reported that Baz Karim, the company’s president and chief executive, is a trusted adviser of Masrur Barzani, the Kurdistan Regional Government’s prime minister. Last year, Amnesty International said Kurdistani authorities had "ruthlessly cracked down on journalists, activists and protesters exercising their right to freedom of expression, including by arbitrarily arresting and forcibly disappearing them". Alistair Graham, the former chairman of the Committee on Standards in Public Life, questioned whether it had been appropriate for foreign companies to pay salaries to parliamentary staffers. 'Very odd affair' Mr Graham told The Telegraph: "It’s a very odd affair. Who is he accountable to, the MP or the Kurdistan government? "It’s a backdoor way of lobbying. I’m strongly opposed to such arrangements because there is a lack of accountability. "It is an unacceptable way of getting access to Parliament to pressure their own commercial interests." But Ms Glindon defended the work of the APPG, saying it had "done much to build bilateral relations with a vital ally" and that all of the donations were within Parliamentary rules. Sponsorship for APPG delegations since 2008 and funding of the secretariat from 2014 to 2021 were declared, in full, to the parliamentary authorities," she said. "Advisers advise but MPs decide. The APPG is run by MPs and is seen by many as having done much to build bilateral relations with a vital ally. "It has urged economic and political reform in the Kurdistan Region, of which it has been supportive where possible and critical where necessary, as an independent cross-party group, chaired by senior Labour and Conservative MPs." Mr Kent declined to comment. Spotlight on lobbying by overseas governments Lobbying and attempts to shape political decision-making by foreign governments has come under the spotlight in recent months. Barry Gardiner, a Labour MP, faced criticism after employing the son of an alleged Chinese spy in his office. Mr Gardiner rejected any suggestion of impropriety. Sir Lindsay Hoyle, the House of Commons Speaker, has indicated he will crack down on foreign lobbying in Parliament. All-party parliamentary groups are set up by MPs to pursue specific interest areas. Often they receive funding from outside groups, raising questions about their roles in parliamentary discussions. The Telegraph has found that dozens of parliamentary staff have had their salaries funded by outside bodies. Some are charities or philanthropic bodies, but others have been companies. Mr Kent described the work of the APPG in a post on its website and in interviews. "We helped put Kurdistan on the map by persuading Top Gear to film a programme in Kurdistan, which reached millions," Mr Kent said in 2018. Mr Kent is currently listed as director of policy at the University of Kurdistan Hewler in Parliamentary transparency documents. The university last year appointed Bill Rammell, a former Labour foreign office and education minister, as its new president. Since 2014, Ms Glindon has spoken eight times in Parliament, submitted eight questions and proposed nine motions to the Commons specifically regarding Kurdistan, including on topics such as the supply of machine guns and ammunition supplies from the UK. In 2018, Ms Glindon called on the House to welcome a deal between Baghdad and Kurdistan for an oil pipeline to export tens of thousands barrels of oil a day and "restore billions of dollars of lost revenue" to the region. Steve Goodrich, head of research and investigations at Transparency International UK, said: "It’s particularly worrying when foreign governments are closely linked to the day-to-day running of APPGs, as this can give rise to the perception – or reality – that the group has been captured by private interests. "In order to avoid the next big lobbying scandal, there should be much greater openness and accountability over how APPGs are run.
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