'Key UN role' in Iraq, says Straw

The Iraqis will benefit from the oil, says Straw

Foreign Secretary Jack Straw has insisted the US plan for Iraq's reconstruction gives a "key role" to the United Nations.

The UN Security Council is discussing ending 12 years of sanctions against Iraq, and the use of the country's oil revenues to fund reconstruction.

Under US proposals, a new body comprising the US and key ally Britain would decide how the money is spent.

The UN, which currently controls Iraq's oil revenue, would be confined to an advisory role, although France and Russia want it to have a bigger part.

But Mr Straw told Channel 4 News: "We do provide for a very key role for the United Nations in humanitarian operations, in reconstruction work."

DRAFT RESOLUTION: MAIN POINTS

Lift economic embargo

Phase out oil-for-food programme

New body to administer oil revenues

US and UK to administer Iraq for at least 12 months

Full text

UN debates sanctions

He also stressed that all the oil revenues would benefit the Iraqi people.

"If people look at the resolution they will see that the idea that this oil money is going to be used for the benefit of the coalition is total nonsense" he said.

"Someone has to actually physically control what happens with the oil and that has to be the `occupying power' under international law. That's the reality."

The BBC's UN correspondent, Greg Barrow, says negotiations could be difficult because off opposition from France and Russia.

They opposed military action in the first place and want to see a stronger role for the UN.

This stance is supported by Labour MP John Denham, who told BBC's Newsnight: "I would like to see a greater supervisory role for the UN."

Rebuilding requires huge investment

Britain's UN ambassador Sir Jeremy Greenstock said the plan included the international community, although he conceded that coalition countries would head the process.

He told Newsnight: "We're in the lead, because we have the responsibility. That's the whole point.

"But I don't think there's anything unusual or hidden behind all of this. We just want to do it in the way that is most efficient."

He said the spending would be "transparent" and audited by the UN.

The US draft resolution, backed by Britain and Spain, also calls for immediately lifting all restrictions imposed on Iraq after its invasion of Kuwait in 1990, apart from an arms embargo.

This could also be opposed by France and Russia, who want the UN arms inspectors to declare Iraq free of weapons of mass destruction before sanctions are removed.