- President Bush has had to reverse course and increase
his request for reconstruction aid to Iraq more than eight-fold, from an
original $2.5 billion to a current level of $20.5 billion(1), largely because
he earlier disregarded a well-documented report revealing the poor state
of Iraq's oil industry.
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- Instead of using revenues from Iraqi oil to finance reconstruction,
as the White House predicted before the war, the Administration now is
asking for more than $900 million to import oil, propane, diesel and gasoline
to the beleaguered country.(2/3)
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- In March, as the war began, Deputy Defense Secretary
Paul Wolfowitz claimed revenues of $50-$100 billion from Iraqi oil could
be expected within two to three years, declaring, "We are dealing
with a country that can really finance its own reconstruction, and relatively
soon."(4) At the time, however, the Administration chose to ignore
a UN-commissioned report from 2000 that had reported Iraq's outmoded oil-producing
facilities were clearly in disrepair.(5)
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- Now the administration concedes Iraqi oil revenues will
be zero this year, increasing only to $12.1 billion in 2004.(6)
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- Sources: 1. "$87 Billion War Request Details Spending,"
Washington Post, 9/18/03, p. A04. "U.S. says oil in Iraq to pay for
rebuilding," Houston Chronicle, 3/28/03. 2. "Bush asks for more
funds to repair Iraq oil industry," International Herald Tribune,
9/15/03. 3. "$87 Billion War Request Details Spending," Washington
Post, 9/18/03, p. A04. 4. "Rebuilding Costs to Be Shared; Rumsfeld
tells Congress that taxpayers will get help from oil revenue, international
donations," LA Times, 3/28/03, p. 12. 5. "Analysts: Poor Planning
Boosted Iraq Costs, "John Ydstie, All Things Considered, National
Public Radio, 9/11/03. 6. "The Struggle for Iraq: U.S. Budget; 78%
of Bush's Postwar Spending Plan Is for Military," New York Times,
9/9/03, p. A12.
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- http://www.misleader.org/daily_mislead/Read.asp?fn=df09232003.html
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