Iraqi Deputy Speaker Threatens Kurdistan Region Over Oil, Eyes Upcoming Budget

18-03-2026 02:59

Peregraf — Adnan Faihan al-Dulaimi, First Deputy Speaker of Iraq's Council of Representatives, has escalated pressure on the Kurdistan Regional Government (KRG), warning of legal and financial action over what he described as unauthorized oil exports.

During a parliamentary session on crude shipments via the Ceyhan terminal, al-Dulaimi accused the Region of violating federal authority for years by exporting oil without Baghdad's approval, and called on the Federal Ministry of Oil to file lawsuits against the KRG.

He said parliament's Oil and Gas Committee will closely monitor these legal cases and investigate delays, stressing the need to safeguard Iraq's oil wealth. 

Al-Dulaimi further warned that lawmakers will take up the issue during discussions on the upcoming federal budget, aiming to "fully restore Iraqis' rights" and put an end to any violations or attempts to circumvent constitutional obligations.

Despite the tough rhetoric, he emphasized that any measures should not affect the salaries of public employees in the Kurdistan Region.

The remarks reflect deepening tensions between Baghdad and Erbil, with oil exports and revenue-sharing remaining at the center of the dispute.

Parliament Acts on Oil Crisis as Kirkuk Exports Resume

Iraq's Council of Representatives has issued a series of decisions addressing the country's oil export crisis, while directly linking the dispute to salary payments in the Kurdistan Region — just as exports from Kirkuk resume through the Kurdistan pipeline. 

During a late-night session, lawmakers hosted Oil Minister Hayan Abd al-Ghani to discuss disruptions in crude exports and alternative routes. Acting Speaker Haibet al-Halbousi emphasized that "no region or province has the right to control oil exports," underscoring Baghdad's position in the ongoing standoff with the KRG. 

Oil at the Center of the Crisis

Parliament directed the federal government to urgently find alternative outlets for Iraqi crude to prevent economic fallout that could affect citizens' livelihoods and state revenues.

Lawmakers also instructed authorities to reassert federal control over oil production and transportation, and to accelerate rehabilitation of the Kirkuk–Ceyhan pipeline via Mosul, Zummar, and Fishkhabur. The long-delayed Oil and Gas Law was again cited as essential to resolving structural disputes between Baghdad and Erbil.

Kirkuk Oil Flows Resume via KRG Pipeline

In a significant development, the KRG Ministry of Natural Resources announced the start of exporting 250,000 barrels per day of Kirkuk crude through the Kurdistan Region's pipeline.

According to the ministry — whose claims have not been independently verified — operations began at 6:30 a.m. from the Saralu station, with oil transported to Fishkhabur for onward export to Turkey's Mediterranean port of Ceyhan, reportedly in coordination with Baghdad. 

KRG Salaries in Focus

In a key decision, Parliament ordered the federal government to ensure the payment of salaries for Kurdistan Region employees, stressing they must be treated equally with public sector workers across the rest of Iraq. 

The linkage reflects growing concern that disruptions in oil exports — particularly from northern fields — are directly affecting budget flows and delaying salary disbursements in the region.

Broader Economic Measures

The Council also directed the implementation of the ASYCUDA customs system across all Iraqi provinces, including the Kurdistan Region, to improve revenue collection and transparency.

Additional directives included supplying fuel oil to factories to prevent refinery congestion and shortages in petroleum products.

Political and Economic Implications 

The developments underscore how closely Iraq's oil export dynamics are tied to fiscal stability and public sector salaries — especially in the Kurdistan Region.

With exports from Kirkuk now reportedly resuming via the KRG pipeline, pressure is mounting on both Baghdad and Erbil to translate operational coordination on oil flows into a lasting agreement on revenue-sharing and financial obligations.