VZCZCXRO8273
PP RUEHBC RUEHDA RUEHDE RUEHIHL RUEHKUK
DE RUEHGB #0971/01 0900239
ZNR UUUUU ZZH
P 300239Z MAR 08
FM AMEMBASSY BAGHDAD
TO RUEHC/SECSTATE WASHDC PRIORITY 6542
INFO RUCNRAQ/IRAQ COLLECTIVE

UNCLAS SECTION 01 OF 02 BAGHDAD 000971 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EAID PREL IZ REL UK
SUBJECT: Chalabi's Provision of Services Committee - March 25 
 
¶1. SUMMARY: Dr. Chalabi's March 25 Provision of Services Committee 
meeting focused on a variety of topics covered in previous weeks. 
While he did briefly discuss ongoing events in southern Iraq and 
Basra, the remainder of the meeting was divided between violations 
on potable water lines, Ministry of Industry involvement in Cleaning 
Days, and quality of wheat/flour in public rations.  The meeting 
concluded with a report on corruption issues at a fuel distribution 
point in the Shaab area.  Though attendance was relatively low, 
representatives from the Ministry of Industry & Minerals (MoIM), 
Ministry of Trade (MoT), Baghdad Water Authority (BWA), Baghdad 
Operation Command (BOC), Ministry of Environment (MoEn), and the 
Embassy did participate.  END SUMMARY. 
 
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Pre-Meeting Topic: Situation in Basra 
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¶2. Dr. Chalabi began (and concluded) the meeting with a brief 
discussion on the situation in the South.  In addition to the 
current security problems, he noted that an oil pipeline south of 
Nassiriyah (exact location and/or type was not specified) was 
bombed.  As a result, refineries in the Baghdad area will be 
affected in the coming days. 
 
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Water Issues: Site Visit, Violations, and Filtration 
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¶3. Dr. Chalabi began executing the meeting's official agenda by 
recapping last week's visit to the Karkh Water Treatment Plant. 
While Dr. Chalabi did note that the site is functioning well (due 
mostly to the high quality of construction as well as Iraqi Army 
presence), a myriad of other problems exist.  Much of the equipment 
(i.e. lab and testing devices) is over 20 years old and needs to be 
replaced.  In addition, the emergency power station is not 
functioning and in need of an upgrade.  Finally, personnel issues 
remain, as workers on site have not been adequately or consistently 
paid.  To address these issues, Dr. Chalabi recommended drafting a 
memo to the Baghdad mayor. 
 
¶4.  Discussion transitioned from last week's site visit, to last 
week's discussion on water distribution violations.  Following a 
question from Dr. Chalabi, it was noted that 50,000 to 200,000 cubic 
meters of water are lost per day to violations.  While this range is 
not large in comparison to the overall volume of Baghdad's water 
supply, the quantity itself was cause for some concern.  Subsequent 
discussion followed last week's trend: while water violations are a 
problem, scarcity is the main issue.  Citizens need water, and as 
the BWA representative noted, when the distribution infrastructure 
is inadequate, tapping water lines is seen as the only option. 
 
¶5.  A lengthy discussion occurred concerning irrigation canals and 
the water which feeds them.  Dr. Allen gave a brief presentation on 
the location of three pipelines, which the Ministry of Water 
Resources had been using for irrigation, in an effort to provide 
water to the Swail and Ameriyah neighborhoods.  The lines were 
eventually turned over to the Amanat, which has since refused to use 
them for irrigation purposes, opting instead for use of the canal 
system.  This issue was complicated when a Committee member claimed 
that Coalition Forces are responsible for blocking the canal.  Dr. 
Chalabi asked BG Milano to follow-up on the accuracy of the alleged 
canal blockage. 
 
¶6.  Dr. Chalabi next returned to the issue of water filtration 
units.  He commented that a memo requesting 100 new water filtration 
units had been submitted.  Confusion followed, as the committee was 
unsure on where and to whom the filtration units should go.  Dr. 
Chalabi responded that filtration units must first be allocated for 
Baghdad residents, before moving forward on remaining units. 
 
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Cleaning Day Update 
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¶7.  The MoIM representative entered midway through the meeting, and 
was welcomed by Dr. Chalabi.  Dr. Chalabi commented briefly on the 
lack of MoIM assistance with the Cleaning Days initiative.  The MoIM 
official responded by citing his Ministry's lack of funding as the 
reason for the shortage of vehicles on Cleaning Days.  Dr. Chalabi 
stressed that the level of MoIM involvement was minimal (twice a 
month), and would look for his update on vehicles within 24 hours. 
 
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PDS: The Color and Quantity of Wheat 
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¶8. A minor discussion focused on the status of wheat with regard to 
the Public Distribution System.  Currently 75% of flour rations are 
made with imported wheat.  Due to bulk shipments of food arriving 
primarily from Umm Qasr Port, citizens in the South are receiving 
the majority of imported wheat (Note: This problem will likely be 
exacerbated by current security developments in the South.  End 
Note.).  As the quality of flour changes with the proportion of 
 
BAGHDAD 00000971  002 OF 002 
 
 
imported wheat, residents of Baghdad have been receiving poor 
quality flour.  Specifically, residents in Baghdad have been 
complaining that flour rations are inordinately dark.  It was not 
mentioned whether this was due to the bleaching process involved in 
flour production, or to the quality of wheat itself.  As such, Dr. 
Chalabi ordered that samples of this wheat be taken for testing. 
 
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Wrap Up: Red Cross Report & LPG Distribution 
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¶9.  A recent report by the Red Cross was presented next, which 
claims Iraq is in the midst of a humanitarian crisis, particularly 
in the areas of water, health, and electricity.  The Committee's 
overall reaction to this report was mixed.  Dr. Chalabi initially 
noted that these are the issues for which the Committee was 
intended, and ordered that the report be provided in order to 
improve these sectors.  This reaction follows from his previous 
comments on the status of NGO's in Iraq.  While this appeared 
somewhat supportive, subsequent discussion attacked the transparency 
of the Red Cross organization itself, particularly in their dealings 
with the Government of Iraq.  Moving forward, it was agreed that the 
Red Cross must coordinate with the Red Crescent before meeting with 
any Iraqi officials. 
 
¶10.  Final discussion in the meeting related to corruption at a 
particular fuel distribution point in the Shaab Stadium area. 
Reports indicate that an Iraqi Army unit in charge of the station 
(guilty parties were named specifically) has been preventing the 
distribution of fuel to some, while allowing others to effectively 
steal it, in addition to accepting bribes.  Dr. Chalabi ordered that 
a memo be sent to General Aboud to resolve the issue, and remove 
those responsible. 
 
Crocker