VZCZCXRO2162
PP RUEHBC RUEHDA RUEHDE RUEHIHL RUEHKUK
DE RUEHGB #0875/01 0831234
ZNR UUUUU ZZH
P 231234Z MAR 08
FM AMEMBASSY BAGHDAD
TO RUEHC/SECSTATE WASHDC PRIORITY 6387
INFO RUCNRAQ/IRAQ COLLECTIVE

UNCLAS SECTION 01 OF 02 BAGHDAD 000875 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EAID PREL IZ REL UK
SUBJECT: Chalabi's Provision of Services Committee - March 18 
 
 
¶1. SUMMARY: Dr. Chalabi's March 18 Provision of Services Committee 
meeting focused primarily on potable water theft around Baghdad, 
with Dr. Chalabi stressing the importance of prosecuting those 
responsible.  Additional discussion centered on problems with ground 
transportation in the country, and resultant long term trade 
prospects for Iraq.   Participants included representatives from the 
Ministry of Municipalities and Public Works (MMPW), Ministry of 
Trade (MoT), Ministry of Transportation (MoTrans), the Baghdad Water 
Authority (BWA) - a division of the Amanat, Baghdad Provincial 
Council, and US Embassy staff, including ITAO Water. END SUMMARY. 
 
 
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Pre-Meeting Topic: Overtime for Doctors Approved 
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¶2. Prior to execution of the meeting's agenda, Dr. Chalabi noted 
that funding was approved for doctors' overtime. 
 
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Importance of NGO's Gives Way to Trade Discussion 
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¶3. Dr. Chalabi began the meeting by citing a recent online Red 
Crescent report claiming that Iraq is one of the worst in the 
(Islamic) world on health issues, particularly on the issue of 
potable water.  Dr. Chalabi used this repot to underscore not only 
the importance of NGO's within Iraq, but also to highlight the 
existence of outside analyses regarding Iraq's potable water 
problems. 
 
¶4.  While the majority of the meeting pertained to potable water 
issues, a significant amount of time was devoted to ground 
transportation, relating specifically to trade.  After Dr. Chalabi 
noted that Iraq "is the worst in the world when it comes to 
contracting issues," a representative from the MoT began by noting 
that the vast majority (90%) of grain and sugar imports arrive via 
the sea, due to problems with Iraq's ground transportation 
infrastructure (i.e. roads, support, etc.).  Such a heavy reliance 
on sea traffic is problematic due to a number of factors including 
poor onload/offload capacity at Umm Qasr port, corruption issues, as 
well as damage to ships from the existent wreckage in the port area. 
 As a result, the Government of Iraq (GoI) has had to pay numerous 
fines to shipping companies and contractors, which could be 
partially alleviated by an increase in road transportation of 
goods. 
 
¶5.  A representative from MoT summarized the various inadequacies of 
Iraq's ground transportation infrastructure.  According to him, Iraq 
has the necessary trucks to support better transportation of goods; 
however the country's roads are not in adequate condition to support 
heavy traffic.  As a result, international corporations have begun 
raising prices on ground shipments, similar to the situation at the 
ports.  Dr. Chalabi noted that the GoI needs to allocate additional 
money to improve and maintain Iraqi roadways. 
 
¶6.  While the topic of ground transportation was secondary to that 
of potable water, continued emphasis on the delivery of water via 
tankers, fuel trucks, and now trade issues, adequate maintenance of 
Iraqi roadways seems likely to resurface. 
 
¶7.  The MoT representative made additional mention of shipment 
delays for trucks coming from Basra, which he attributed to issues 
with the Ministries of Interior, Defense, and the Police.  A brief 
discussion ensued as to whether the trucks possessed the proper 
documentation, as well as corruption issues with reviewing truck 
contents.  As such, the MoT representative requested that Dr. 
Chalabi draft a memo to have the trucks released.  Dr. Chalabi then 
directed the BOC to designate a staff officer from the Ministry of 
Defense who could ensure passage of the trucks. 
 
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Potable Water: Availability and Violations 
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¶8. Discussion on potable water distribution began with Dr. Chalabi 
outlining the seriousness of water scarcity in Baghdad, particularly 
in the Sha'ab area.  Various solutions were discussed including the 
use of the Karkh Water Treatment Plant for additional water, as well 
as the procurement of trucks (Note: A BWA representative cited a 
survey indicating a need for up to 60 tanker trucks.  End Note). 
Brief discussion focused on leasing trucks for this purpose, which 
gave way to an outline of the greater inefficiencies within the 
water distribution network. 
 
¶9.  The focus on water "violations," which generally involved 
civilian taps on water distribution lines, seemed to dominate the 
remainder of the meeting.  Dr. Chalabi noted that 50% (no citation 
provided) of water is lost due to such "violations."  These 
"violations" involve a person with technical knowledge of water 
distribution placing a pipe on an air valve, thus creating a bypass 
on the line.  In doing so, local sheikhs and farmers are able to 
siphon potable water for their lands and local communities. 
 
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¶10.  Dr. Chalabi stressed the importance of prosecuting those 
responsible for these taps.  He then directed the BWA to attain 
military assistance from the BOC to further assist in this endeavor. 
 Dr. Chalabi emphasized that these individuals must be detained and 
channeled through the judicial system so that future offenders might 
be deterred. 
 
¶11.  Dr. Falahi, among others, noted that while enforcing the rule 
of law in this case is important, inevitably farmers need to 
preserve their livelihoods, hence the reason for the Amanat's 
inaction in prosecuting these individuals to this point.  Further 
discussion on this will ensue at the Committee's upcoming site 
survey of the pipelines. 
 
¶12.  While the table seemed to agree on the need for combating theft 
of potable water, it was unclear as to who would take responsibility 
for enforcement.  Several officials acknowledged a lack of trust in 
the police, preferring instead that that responsibility be entrusted 
to the Iraqi Army: "The Army will protect infrastructure, and not 
fight wars!"  Brief mention was made of using the Army Corps of 
Engineers to patrol distribution lines in search of violators, as 
USACE engineers represent a neutral party in this case (i.e. not 
Iraqi Army or Police). 
 
¶13.  In addition to theft by local citizens, the MMPW representative 
indicated that water facilities which previously served communities 
south of Baghdad have since been taken over by U.S. forces.  Dr. 
Allen and BG Milano will both provide updates on the status of this 
issue, as well as ongoing projects to potentially alleviate scarcity 
issues, next week. 
 
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Formal Signature on Overtime 
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¶14. Prior to the meeting's conclusion, Dr. Chalabi signed the memo 
in support of overtime payment for doctors, after separate approvals 
were issued by the Council of Ministers and the Ministry of Finance. 
 
 
Crocker