Plan V for Victory and Peace in Iraq by Paul Flum, Founder
THE OIL REVENUE QUESTION
Whatever future government Iraq ultimately settles on, it will be sustained and funded primarily through the development of their vast oil and gas reserves – a true gift from God! At the moment, as Iraq is embroiled in the forces of theocratic division strife and general lawlessness, the future of these reserves is in limbo and up for grabs. As such, they represent a destabilizing asset – a very profitable bone to be fought over. About 80 percent of their current oil exports come from the Southern State. The Kurdistan State holds vast reserves, and recently it was determined that the Sunni/ Anbar State has more untapped reserves than previously thought.
The current Central Government has been para-lyzed on the oil issue, to the frustration of all. Because of this vacuum, and the security night-mare in the country, major foreign oil companies are sitting on the sidelines waiting to see if peace and stability ever comes.
Iraq can prosper and succeed if, and only if, the oil industry is upgraded and protected, and critical legislation is passed that guarantees that oil revenues will be fairly distributed among the Four States. This is especially true regarding the Sunnis, because their territory contains the least of the known oil reserves.
In the beginning, we suggest that an outside and impartial body such as the World Bank assist the Ministry of Oil in this critical undertaking. As the oil industry in Iraq goes, so goes the country!
The question of the oil reserves around Kirkuk is an especially explosive issue that remains unresolved. The Kurds expect the oil and gas fields around Kirkuk to be absorbed within their semiautonomous borders. If the Central Govern-ment does not codify that reality into law soon, they will take matters into their own hands.
If the Kurds cannot resist the impulse to simply annex Kirkuk and the oil fields surrounding the region, it would be the beginning of the end for the country of Iraq as we now know it – and nothing good would come from that. It would most likely lead to the eventual declaration of Kurdistan independence – a complete break from Iraq – and that could be followed by a declaration of war from Turkey against the fledgling new country.
A Federal Republic could lock in the proprietary claim the Kurds have on Kirkuk, and defuse this powder keg of an issue in the process!
Keeping the Kurdish State within a united Iraq is essential to the stability of the surrounding region. The Federal Republic of Iraq would formalize their semiautonomous status within the existing Constitution, and that would be the most promising way to achieve the goal of stability, and to preserve the peace with Turkey.
GOVERNING THE FEDERATION
The Capitol of The Federal Republic of Iraq would be Baghdad, within the Province/State of Baghdad, and it would include all of the ministries and central government functions necessary for it to carry out its responsibilities as enshrined in the Constitution.
The four semiautonomous nonsectarian States would elect representatives to the parliament, based on provincial populations within the states, as well as two Senators per State, like our “two-Senators-per-state” equation.
Like Bosnia, we advocate a rotating presidency, with each semiautonomous nonsectarian State electing the president that would occupy each presidential cycle as that state’s turn came around. That president, in turn, would be required to fill his ministries with officials from all four States, so too much power was not concentrated within the hands of a single regional leader.
As a Federal Republic, the Four States would have their own Capitols, legislative councils, judiciaries and governors – like the Bosnian model. The provinces as well would retain their local governments, much like our states.

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