Legal Regulatory Framework for the Sustainable Development of Iraqi Oil and Gas - Dissertation Example

While there are complexities involving a comprehensive regulatory framework policy that would prove acceptable for the entire country, the regional government of Kurdistan has significant objections to most measures that consolidate power with the federal authority. These issues over legal minutiae are made all the more serious based on estimates that oil revenue accounted for nearly 99% of the government's budget.

1 2 The Council on foreign relations attributed the entirety of Iraq's $41 billion budget to oil revenue in the year 2007. 3 In addition, important items of Iraqi legislation will be addressed in the context of sustainability principles, specifically sustainable use of oil and gas resources, equitable use of resources for the benefit of future generations, as well as principles of good governance. Important items of oil and gas legislation will also be evaluated to the extent that they encourage public participation, and elements of precautionary principles.

This chapter will also endeavor to answer the research questions from chapter 1 in the context of sustainable development pertaining to the Kurdistan region, with examples from other oil-producing countries. For Iraq, a slow process of stabilization and reconstruction is ongoing, the challenges on the road to political and economic stability are a fact of life, with over 20% unemployment among those aged 15-24. 4 5 Despite the potential abundance of oil and gas resources beneath the surface, much of the population still suffers from infrequent access to reliable energy sources that would provide the basic standard of living that the Western world takes for granted.

While the country continues to suffer from job scarcity, restoration of oil and gas output does promise a steady supply of revenue with the potential of improving economic fortunes as the infrastructure develops and modernizes. 6 In the years following the fall of Saddam Hussein, the framework under which oil and gas resources were utilized involved revenue-sharing legislation involving the United States government. 7 The necessary assistance with the development of the oil infrastructure will enhance the principles of sustainable use, in regards to a modernization of oil operations pursuant to greater efficiency and safety.