Algeria halts draft law on oil reforms - paper
Date: 08-Apr-03
Country: ALGERIA
"Energy and Mining Minister Chakib Khelil has affirmed yesterday (Saturday) in Algiers that the draft law on hydrocarbons has been frozen at the demand of the President of the Republic (Abdelaziz Bouteflika)," the daily said.
State-run radio and television had carried a similar report.
"The President of the Republic has requested that the draft law on hydrcarbons be frozen to a later date," said El Moudjahid, quoting Khelil.
The draft law would have ended the Algerian state-owned oil and gas firm Sonatrach's monopoly of the domestic market, set up a regulatory entity to follow up on the implementation of technical and environmental regulations and another body to award exploration and production contracts through international tender.
Under the new law, Sonatrach would have ceased to act as both partner and regulator, and would focus on its core commercial activities on the same footing as foreign firms.
The media gave no reasons for Bouteflika's decision to halt the reform.
Trade union, the Union Generale des Travailleurs Algeriens (UGTA), had been the main opponent of the draft law on the grounds that the bill would jeopardise Algeria's sovereignty over oil and gas resources.
Several political parties, incuding the ruling National Liberation Front (FLN), had supported several protests by UGTA in recent months over the planned reforms.
