The statement from the judicial council stated that the Region’s management of the oil sector, in accordance with its 2007 oil and gas law, did not violate the Iraqi constitution, and implementing its provisions must be continued.
“The Oil and Gas Law No. 22 (of 2007) issued by the Kurdistan Regional Parliament does not violate the provisions of the constitution, and implementing its provisions must be continued because the oil and gas file did not fall within the exclusive powers of the federal authorities,” the statement from the Kurdish judicial council read.
The council cited Articles 110 and 112 from the Iraqi constitution to support their claims, stating that, according to those articles, the Region has the exclusive authority to operate the oil fields that were found in areas under its administration after the implementation of the constitution in 2005.
Article 112 of the Iraqi constitution states the federal government shall undertake the management of oil and gas extracted from “present” fields, granting the Region the plausibility to interpret that it has the right to control any fields found after 2005.
The Kurdistan Region passed its oil and gas law in 2007, enabling it to administer and develop its own oil and gas resources.
The Iraqi Federal Supreme Court’s decision found the law to be “unconstitutional” in February, therefore striking down the legal basis for the independence of the Kurdistan Region’s oil and gas sector. Kurdish leaders have slammed the decision repeatedly.
Iraq’s constitution tasks the federal government with running the country’s “present” oil fields but that does not prevent it from managing fields that may be found in the future, the Iraq National Oil Company said in their financial examination of the Region’s contracts, published on Thursday.
The report added that “some regions,” most likely referring to the Kurdistan Region, have used this as an excuse to participate in the earnings of previous fields, as well as taking sole control of fields found after the implementation of the constitution.
