Iraq is exploring alternatives to Iranian gas imports to reduce reliance on Iran amid U.S. sanctions. The country is engaging with Qatar and Oman and setting up LNG terminals to enhance energy security. Current gas supply from Iran is insufficient, prompting the need for immediate action to secure reliable energy sources.
Iraq is actively seeking alternatives to Iranian gas imports, as reported by a government representative, amid an effort to lessen reliance on the sanctions-affected Iran. The U.S. administration recently announced the termination of a waiver that permitted Iraq to purchase electricity from Iran, although gas imports are still allowed. Currently, Iran supplies approximately one-third of Iraq’s energy requirements.
Saad Jassem, an official with Iraq’s electricity ministry, indicated that directives are in place to diversify import sources. While he noted that Iraqi gas imports from Iran have not yet ceased, he expressed urgency in reducing dependency. A U.S. diplomat emphasized the need for rapid action in phasing out all Iranian gas purchases, highlighting the increasing tensions between Washington and Tehran.
Despite Iraq’s significant oil reserves, the country faces severe infrastructure challenges and persistent power outages due to years of conflict. Jassem pointed out, “We must consider the worst-case scenario — if there is an interruption, we have prepared alternatives.” He mentioned that Qatar is willing to assist with gas supplies at preferential rates, alongside Oman as another potential partner.
To enhance its energy capabilities, Iraq is in the process of establishing two floating liquefied natural gas terminals in Khor al-Zubair, aiming for operational readiness by June. These terminals are anticipated to process between 14 to 19 million cubic meters (500 to 700 million cubic feet) daily, with hopes of a third facility increasing capacity further.
Energy security has become vital for Iraqi citizens as gas shortages would lead to substantial electricity supply reductions. The government, led by Prime Minister Mohammed Shia al-Sudani, is also striving for self-sufficiency by curtailing gas flaring in oil fields by 2028. Since President Trump’s return to office, there has been a renewed focus on negotiating a new nuclear deal with Iran whilst maintaining a stringent sanctions approach.
While an agreement to import gas from Iran remains renewed for five years, the actual supply has dwindled significantly, falling short of the contracted quantity. As electricity shortages continue to be a major issue, especially during the summer months, they remain a source of public discontent in Iraq.
In summary, Iraq is making concerted efforts to reduce its dependency on Iranian gas amidst shifting geopolitical dynamics. With initiatives to explore alternative gas supplies, establish new processing facilities, and enhance national energy self-sufficiency, Iraq aims to provide more reliable electricity solutions for its citizens. The country faces critical challenges but remains committed to diversifying its energy sources and improving its infrastructure.
Original Source: www.newstopicnews.com
