UNITED NATIONS, Feb 12: UN Secretary-General Kofi Annan said on Thursday agreement was emerging on direct elections for a provisional government in Iraq, but he left open the timing of when any such poll would be held.

UN spokesman Fred Eckhard said Mr Annan "understands there is a consensus emerging" for direct elections during the talks his adviser Lakhdar Brahimi was having with a spectrum of Iraqi leaders in Baghdad.

But he said there was wide agreement any elections "must be carefully prepared and organized under proper security and political conditions", thereby leaving open whether they should be held before or after June 30, the date the United States wants to relinquish power to Iraqis.

Mr Eckhard attempted to expand on earlier statements from Mr Brahimi, who met Shia leader Grand Ayatollah Ali al Sistani in Baghdad. The ayatollah has been calling for direct elections before the occupation ends.

The US plan calls for a series of caucuses to select a legislature and then an interim government before June 30. After that, the goal is to write a constitution and hold elections by the end of next year for a permanent government.

"Everyone expects elections in 2005," Mr Eckhard said. "The question is what can be done before June 30 and if it can't be elections what other way can you find to establish a legitimate government," Mr Eckhard said.

However, the choices are narrowing. Diplomats said UN officials as well as American and British envoys in Baghdad believe the caucus system is too unpopular and will have to be scrapped.

"The caucuses are out the window," said a senior envoy. One proposal, envoys said, would be to postpone the June 30 handover date so some form of elections could be organized, But any delay would carry risks for President George W. Bush, who is being criticized for failure to find weapons of mass destruction.

It would increase the chance that Iraq would loom larger in his campaign for re-election in November and open up his administration to accusations that it is reneging on promises to let go of power.

Other alternatives are to hold a large conference to choose a provisional government but selecting who would attend would be a problem. Mr Brahimi expects to complete a report with his recommendations to Mr Annan, who will make proposals known before the end of the month.

Mr Eckhard also said Mr Brahimi would go to Kuwait on Saturday to attend a meeting of Iraq's neighbours and brief them on his talks. -Reuters