Iraqi lawmakers are drafting legislation to regulate energy agreements as corruption allegations continue to surface

04 сентября 2026 г., 23:09

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Iraqi lawmakers are drafting legislation to regulate energy agreements as corruption allegations continue to surface

An Iraqi lawmaker has blamed a systemic lack of public procurement oversight for widespread corruption in the country’s electricity contracts, revealing that parliament is drafting new legislation to bridge the regulatory gap.

Speaking to OCCRP, Taha Al-Difai, head of the Iraqi Parliament’s Integrity Committee, said the absence of government oversight on public energy contracts allowed violations to proliferate unchecked.

“In the past, there was oversight provided by inspectors’ offices, but currently, such oversight is absent… contracting procedures proceed easily without supervision,” Al-Difai said.

He noted that the Federal Board of Supreme Audit currently reviews contracts only after they have been signed. To resolve the issue, Al-Difai said parliament plans to enact an “internal oversight” law allowing contracts to be audited prior to signing. The draft is scheduled for a first reading next week.

He also called for amendments to Iraq’s financial disclosure rules to broaden scrutiny over the sources of public officials’ wealth and property.

Al-Difai’s remarks follow the recent conviction of senior energy officials by the Central Anti-Corruption Criminal Court. The rulings can still be appealed.

The director general of the state-owned General Company for Electrical Energy Production (Middle Euphrates Region) and his office manager were each sentenced to six years in prison and fined for accepting bribes in exchange for releasing payments owed to a private contractor. Authorities did not disclose the name of the firm that paid the bribes.

In a separate ruling, the director of financial affairs at the state-owned General Company of Electrical Energy Distribution (Middle Region) was sentenced to three years in prison for illicit enrichment. The court ordered him to repay nearly $893,500 plus an additional $203,000, representing the estimated value of his illicit gains according to the Integrity Commission. Judges also ordered the confiscation of two vehicles worth $223,000 and his wife’s shares in two Iraqi properties valued at roughly $840,000.

According to a statement from the Integrity Commission, the official will remain in custody even after serving his three-year sentence until all illicitly obtained funds are returned. The court granted the commission the right to claim the assets once the verdict becomes final.

While the commission did not release the names of the convicted officials, it provided detailed descriptions of their positions and the specific charges against them.

The rulings are part of a broader anti-corruption drive launched under Prime Minister Ali Al-Zaidi.

The campaign has targeted high-ranking figures across key government sectors. Earlier in August, federal authorities arrested the undersecretary of the Ministry of Electricity on charges of corruption and illicit enrichment, according to the official Iraqi News Agency. Authorities seized millions of dollars in cash and gold bars from his properties.

To date, the crackdown has implicated dozens of senior officials and lawmakers. In mid-July, investigations targeting corruption in the oil sector led to the recovery of $47 million in assets, alongside caches of cash and gold linked to former deputy oil minister Adnan al-Jumaili.

OCCRP could not reach the two convicted officials directly. The General Company of Electrical Energy Distribution (Middle Region) and the Ministry of Electricity did not respond to requests for comment.