Why Is Covic Seeking to Overturn the OHR Decision on State Property: Investments or Personal Interests?

Is the solution a new policy, a temporary measure, an exemption, or a withdrawal of the OHR decision? What is the current resolution regarding state property? Dragan Čović’s announcement about putting pressure on the Office of the High Representative (OHR) to overturn the decision prohibiting the management of state property sparked strong reactions. Is this really about investments, or personal interests?

Across the country, the situation is stark: logs are rolling, forests are being cleared, rivers redirected, and agricultural lands sold. Most of these lands are sold to foreigners, often for a symbolic price, despite the prohibitions. Herzegovina is no exception: the Neum coast, solar panels, and oil terminals are all affected. The POSKOK police operation is underway, citizens warn.

“The level of criminal entanglement in Herzegovina is extreme. For example, if you look at the area from Stolac to Mostar, Stolac does not have a local community council, these are all areas under Čović’s influence,” said Mario Ćosić, representative of the NGG initiative “Let’s Halt Unlawful Changes to the Spatial Plan in Mostar.”

On the ground, the situation is clear, but in Parliament, rather than reaching agreements and passing legislation, the voices of the Croatian Democratic Union of Bosnia and Herzegovina (HDZ BiH) dominated.

“With that in mind, I propose putting pressure on the person who imposed the temporary measures so that they would be withdrawn, ensuring that our economy can operate normally and develop,” Čović stated.

“The one who imposed the Prohibition Law on State Property Management should provide its authentic interpretation,” said Davor Bunoza, Minister of Justice of Bosnia and Herzegovina (HDZ BiH).

What remains unclear is the need for additional interpretation. According to the last decision by the OHR and subsequent rulings of the Constitutional Court of Bosnia and Herzegovina, agricultural and forest lands are part of state property. As a result, investments are suffering, and penalties must be paid.

“Go to Jajce and ask why they cannot build a hospital despite having the necessary funding. These are serious issues. I am not even mentioning the Southern Interconnection here; I am talking about investors and what mayors told me,” Bunoza added.

Could the Southern Interconnection be a turning point? It is extremely important for the country and the United States, yet it remains conditional on the state property issue. It is worth noting that the OHR report from the end of last year emphasized the importance of easing prohibition measures. But this is easier said than done.

“Such an initiative would have to be accepted by the Peace Implementation Council (PIC) as a type of employer of the High Representative,” said Muharem Cero, an expert on state property issues.

Judicial consequences could quickly follow. An investigation is ongoing against the head of the municipal government in Grude. The sale of real estate connected to Dretelj oil derivatives is prohibited, and a dispute continues regarding the Vitezit property. Is there an attempt to retroactively legalize illegal actions?

“Tension is palpable because his personnel, specifically mayors and municipal chiefs, are under immense pressure. Hundreds of concessions were issued in Herzegovina, many illegally. He is attempting, through the U.S., to impose measures by force and retroactively legalize them,” Ćosić added.

At this time, a political agreement is difficult to anticipate primarily due to the unified stance in Republika Srpska that property belongs to the entities. In the Federation, partners are suspicious of one another, while the opposition warns that better solutions exist than simply appealing to the OHR.

“The Attorney General of Bosnia and Herzegovina has begun initiating criminal proceedings and filing lawsuits for illegal conduct. Naturally, pressure is now being applied to repeal that law and to have the OHR withdraw it,” said Kemal Ademović, Chair of the House of Peoples of Bosnia and Herzegovina (NiP).

“To activate the state commission for state property, established under that law and operating across Bosnia and Herzegovina, which would grant exemptions in accordance with the Law on Prohibition of State Property Management,” said Šefik Džaferović, Chair of the Bosniak Club in the House of Peoples of BiH (SDA).

This solution is legally possible, and the final decision on exemptions would rest with Parliament. However, political will is also required. Another challenge is that longstanding issues, long considered public secrets, may come to light. Who benefits from keeping them hidden?

In response to our inquiry, the OHR stated that its focus remains on the Parliamentary Assembly of Bosnia and Herzegovina and its authority. In practice, they reminded all politically responsible parliamentary representatives from all parties that they hold the key to passing urgently needed legislation at the state level, rather than waiting for the High Representative to resolve the state property issue.

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