During the past year, I have continued to stress to Iraqi representatives the importance of Iraq's cooperation in implementing all of its obligations as expressed in the resolutions of the Security Council.
Further significant progress was made by the United Nations Special Commission (UNSCOM), headed by Mr. Rolf Ekeus, and the International Atomic Energy Agency (IAEA) Action Team in the implementation of section C of Security Council resolution 687 (1991), concerning the elimination of Iraq's weapons of mass destruction and long-range missile capabilities. They completed the process of establishing a system to monitor Iraq's dual-purpose industries (i.e., those that have non-proscribed uses but which could be used to acquire banned weapons capabilities), aimed at monitoring Iraq's compliance with its obligations not to reacquire such banned capabilities. This system became operational in April 1995.
Further refining of the system will continue as UNSCOM and IAEA gain experience in operating it, but all the elements of the system are now in place. Some 120 remote-controlled monitoring cameras have been installed at over 28 sites and linked in real time to the Baghdad Monitoring and Verification Centre. Twenty or so automated chemical air samplers have been installed at sites, and a highly sensitive chemical laboratory has been installed in the Centre to analyse these samples. The Centre also has a biological preparation room to prepare and package biological samples for shipment to laboratories in other countries. Communications have been upgraded to perform the new tasks associated with ongoing monitoring and verification.
Resident teams of inspectors in each of the weapons disciplines are now operating full-time out of the Centre. Their activities are supplemented by aerial inspection and surveys conducted using a high-altitude surveillance aircraft provided by the United States. These aerial assets remain key to the ability of UNSCOM and IAEA to fulfil their mandates as they provide the initial survey capability to identify sites which might need to be inspected and ensure the ability to conduct short-notice inspections of sites as necessary.
Efforts continue to elucidate and hence account for all elements of Iraq's past banned weapons capabilities. Much progress has been made in this regard but major issues remain in the biological area.
UNSCOM and IAEA also, in accordance with paragraph 7 of resolution 715 (1991), submitted in May 1994 a proposal for an export/import monitoring mechanism which would require that all exports be notified by both Iraq and the Governments of the exporters to a joint unit to be established in New York by UNSCOM and the IAEA Action Team.
I wish to express my appreciation to those Governments that contributed to UNSCOM operations, and in particular to the Government of Germany, which generously provided the Special Commission with air support in the form of both C-160 transport aircraft and CH-53G helicopters.
In November 1994, the Government of Iraq took an important step forward by affirming its recognition of the sovereignty, territorial integrity and political independence of Kuwait. The United Nations Iraq-Kuwait Observation Mission (UNIKOM) has continued to operate within the demilitarized zone established on both sides of the border between Iraq and Kuwait. In December 1994, Iraq formally recognized the international border demarcated by the United Nations in 1993. The situation has been calm in the Mission's area of responsibility.
The United Nations Coordinator for the return of property from Iraq to Kuwait has continued to facilitate the hand-over of property. In September 1994, Iraq informed me that once a damaged C-130 aircraft had been dismantled and returned, it would have "nothing else whatever to return". Kuwait responded by transmitting to me what it described as "an indicative but far from exhaustive list" of Kuwaiti property that had yet to be returned. It has also stressed the importance it attaches to the return of irreplaceable archives.
In January 1995, Kuwait transmitted a list of military equipment belonging to the Ministry of Defence that it claimed was still in the possession of Iraq. Arrangements were made for the hand-over, which began on 22 April 1995 and continued into July 1995. On many of the hand-over documents signed by the parties, Kuwait complained of the state of disrepair of the items returned while Iraq, for its part, noted that the vehicles had been "brought as is from Kuwait". Kuwait also noted that of 120 armoured personnel carriers handed over, only 33 were found to belong to Kuwait.
Among a number of urgent humanitarian issues to which the situation between Iraq and Kuwait has given rise is the fate of over 600 Kuwaiti and third-country nationals who are still missing in Iraq. I have urged Iraq to cooperate with the International Committee of the Red Cross so that a full accounting may be achieved.
The suffering of the Iraqi civilian population is also of considerable concern to me. On a number of occasions I have urged Iraqi officials to accept the Security Council's "oil for food" formula described in resolutions 706 (1991) and 712 (1991). I believe the Council's latest offer in resolution 986 (1995) addresses the humanitarian needs of the Iraqi people while taking into account a number of concerns Iraq had previously expressed over resolutions 706 (1991) and 712 (1991). I can only regret that Iraq has not yet accepted this temporary humanitarian measure, which would indeed be an important step towards overcoming the crisis which exists between Iraq and the international community.
I have made every effort to comply with Security Council resolution 778 (1992), of 2 October 1992, in which the Council requested me to ascertain the whereabouts and amounts of assets related to Iraqi petroleum and petroleum products which could be deposited to the escrow account, as well as the existence of any Iraqi petroleum and petroleum products that could be sold. I regret to note that no further funds have been deposited into the account as a result of my effort to seek information on such assets directly from Governments with jurisdiction over relevant petroleum companies and their subsidiaries. As at 1 August 1995, $365.5 million, representing voluntary contributions and Iraqi petroleum assets, had been deposited into the escrow account since the adoption of resolution 778 (1992).
The United Nations recognizes Iraq's obligation to pay compensation to the victims of its aggression. The Commission established to administer the United Nations Compensation Fund, provided for in paragraph 18 of Security Council resolution 687 (1991), has held four regular sessions since August 1994. During that period, its Governing Council has approved the reports and recommendations of Panels of Commissioners and issued decisions for three instalments of category "A" (departure) claims; two instalments of category "B" (serious personal injury and death) claims; and one instalment of category "C" (individual losses up to $100,000) claims. In issuing its decisions, the Governing Council awarded over $1.3 billion in compensation to 354,920 successful claimants.
Unfortunately, with the exception of approximately $2.7 million paid to the first 670 successful claimants in category "B" in May 1994, and approximately $8.1 million to be paid to 2,562 category "B" claimants in 1995, depending on the availability of funds, the remaining awards of the Compensation Commission have gone unpaid owing to the lack of sufficient resources in the Compensation Fund.
During 1994, the lack of adequate funding affected all sectors covered by the United Nations Inter-Agency Humanitarian Programme. In terms of food assistance, the bulk of donations was earmarked for the "Autonomous Region" (Governorates of Erbil, Dohuk and Suleimaniyah). According to reports of the World Food Programme, approximately 70 per cent of food requirements had been met in the north and only 40 per cent in the centre and south. As a result of lack of resources, a substantial amount of the food destined for the centre and south was covered by counterpart matching funds from the United Nations escrow account.
Health conditions have continued to deteriorate throughout the country because of shortages of essential drugs and medical supplies. The situation is further aggravated by the inadequate supply of potable water and poor sanitation facilities, as essential equipment and spare parts are lacking to rehabilitate the water, sewage and electricity supply systems.
With respect to security, since early December 1994, armed conflicts between members of the two major political parties have been reported in the northern governorates of Erbil and Suleimaniyah. Moreover, the recent Turkish military operations on the Turkish/Iraq border, and in particular near Zakho (Dohuk Governorate), resulted in restrictions on the movements of humanitarian aid workers and relief commodities.
By the end of April 1995, the strength of the United Nations Guards Contingent in Iraq had been reduced from a high of over 500 in 1991 to 50 guards, the majority deployed in the "Autonomous Region" for the protection of humanitarian personnel. As a result of recent donor contributions received in support of the Guards Contingent, arrangements are under way for the assignment of an additional 100 guards during the summer of 1995. In a tense and volatile environment such as Northern Iraq, the continued presence of the Guards Contingent is required to protect United Nations and non-governmental organization personnel as well as assets and operations linked with the United Nations Inter-Agency Humanitarian Programme.
Under the previous appeal (covering the period from 1 April 1994 to 31 March 1995), the United Nations Inter-Agency Humanitarian Programme continued to provide humanitarian assistance to vulnerable population groups throughout the country. Projects implemented by United Nations agencies and programmes and humanitarian non-governmental organizations covered all the priority sectors included in the appeal, with particular emphasis on food, health, water and sanitation, agriculture, shelter and rural integration, and education. Response to the previous appeal was inadequate, with approximately 51 per cent ($146 million) of overall Programme requirements ($288.5 million) covered by allocations of voluntary contributions, "matching" funds from the United Nations escrow account and carry-over from the previous phase. From this amount, funding for United Nations-directed humanitarian activities amounted to $92.5 million, while contributions made available to humanitarian non-governmental organizations and other direct/bilateral programmes amounted to $53.5 million.
On 21 March 1995 at Geneva, during a donor consultation meeting for Iraq, the United Nations launched a consolidated inter-agency humanitarian appeal for Iraq covering the period from April 1995 to March 1996. The Programme, which calls for a total of $183.3 million, is designed to address only the most essential needs to sustain relief and rehabilitation activities as well as to prevent a further deterioration of the conditions affecting the most vulnerable population groups throughout the country. Since April 1995, approximately $27 million (representing voluntary contributions and "matching" funds from the United Nations escrow account) has been pledged/received in support of United Nations-directed activities in Iraq. In addition, a number of direct contributions have been made in support of humanitarian non-governmental organizations and bilateral programmes in northern Iraq.
Under the current appeal, humanitarian needs continue to increase in practically all sectors covered by the Programme, in particular in the nutrition and health sectors. By all accounts, children are increasingly dying of ailments linked to malnutrition and lack of adequate medical care. The World Health Organization reports a rise in tuberculosis and an acute shortage of essential drugs and medical equipment in hospitals. At least 4 million people are in need of food assistance and hunger threatens the lives of over 1 million among them. As of June 1995, because of rapidly depleted food stocks in the "Autonomous Region", the World Food Programme decided to reduce food distributions from 350,000 to only 300,000 people. In the Centre and south, from a targeted 550,000 case-load, WFP was able to continue feeding only some 60,000 vulnerable people in social institutions. The support of the international community is urgently required to cover outstanding needs for the procurement and warehousing of food, medicines and shelter materials before the onset of winter.
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