Shake-up in Iceland cabinet amid row over EU stance

(REYKJAVIK) - Iceland's centre-left government was reshuffled Saturday, whittling down the number of ministries from 10 to eight, amid charges from one of two booted ministers his anti-EU stance was to blame.

"The demand for my resignation from the government, which now has been fulfilled was ... put forward because of my stance (against) Iceland joining the European Union," outgoing agriculture and fisheries minister Jon Bjarnason said in a statement.

Bjarnason, of the Left Green Party, had presided over the areas where Icelanders are most at odds with the European Union and that are expected to be the biggest hurdles in the country's ongoing membership negotiations.

The North Atlantic country, which began membership talks in June, has butted heads with the EU over its whaling as well as fishing rights, with a so-called "mackerel war" heating up late last year after Iceland unilaterally multiplied its catch quota.

Brussels then blocked Icelandic fishing boats.

Steingrimur Sigfusson, the head of the Left Green Party who will be taking over Barnason's responsibilities, rejected the notion that the outgoing minister's attitude to EU membership was why he was pushed out.

"No, it has nothing to do with that," he told commercial broadcaster Channel 2.

Sigfusson, who until Saturday was finance minister, will head a new ministry moulding together responsibility for agriculture and fisheries with economic affairs and part of the former industry, energy and tourism ministry.

Former economic affairs minister Arni Pall Arnason of the Social Democrats has also been pushed out, while the finance ministry has for the first time been handed to a woman, Social Democratic member of parliament Oddny Hardardottir.

The current minister of industry, energy and tourism, Katrin Juliusdottir, is meanwhile expected to go on maternity leave in a few weeks. She is expecting twins.

Her ministry will be split between Sigfusson's new patch and a broadened environment ministry, which will now cover environment and resources.

"I think that on the whole this will strengthen the government," Prime Minister Johanna Sigurdardottir told public broadcaster RUV.