Iraq is accelerating projects to address a looming electricity shortage due to the U.S. withdrawal of a waiver allowing Iranian electricity imports. The Iraqi government seeks to enhance energy independence through gas imports and domestic development initiatives. Key projects and agreements with foreign entities are in motion to bolster the energy sector, amid U.S. pressures to wean off Iranian energy.
Iraq is urgently addressing an anticipated electricity shortage following the United States’ decision to revoke a waiver permitting the purchase of Iranian electricity, a measure that supported circumventing sanctions. The U.S. administration’s withdrawal is part of President Trump’s strategy aimed at undermining Iran’s nuclear capabilities and halting its support for terrorism, as stated by the U.S. embassy in Baghdad. The embassy also encouraged Iraq to eliminate dependency on Iranian energy sources promptly.
Despite its status as OPEC’s second-largest producer, Iraq relies on Iran for approximately one-third of its electricity requirements, importing 50 million cubic meters of gas and 500 megawatts of electricity daily. In response to the U.S. announcement, Iraqi Prime Minister Mohammed Shia Al Sudani chaired an urgent meeting to strategize on electricity supply for the forthcoming summer and assess ongoing development projects aimed at enhancing gas reserves.
The Prime Minister has prioritized various energy projects, including linking power stations to gas sources and establishing floating platforms to import gas. Ahmed Moussa, spokesperson for the Iraqi Electricity Ministry, indicated that these floating platforms are indicative of progress in gas imports from alternative sources. Minister Ziad Ali Fadel has introduced a comprehensive plan to ensure electricity supply, while Minister of Oil Hayan Abdul Ghani detailed the strategy for delivering fuel to power plants.
Iraq is nearing the finalization of an agreement with Turkmenistan to import 20 million cubic meters of gas per day, facilitated by a pipeline traversing Iran. Additionally, Iraq commenced electricity imports from Jordan through a 340-kilometer transmission line in March of the previous year and aims to connect to the Gulf Co-operation Council (GCC) power grid by the end of the current year.
On a recent visit, U.S. Charge d’Affaires Daniel Rubinstein met with Atwan Al Atwani, the Head of the Iraqi Parliament’s Finance Committee, to evaluate the implications of U.S. sanctions on Iraq’s electricity sector. Rubinstein noted that, “until now importing natural gas is not covered by the sanctions.” Meanwhile, Iran’s Foreign Ministry condemned the waiver withdrawal, labeling it an illegal act and a significant violation of human rights.
Baghdad has been under persistent U.S. pressure to reduce its reliance on Iranian energy sources, a challenge that has persisted since sanctions were imposed in 2018. Despite measures taken in recent years to boost domestic natural gas production, Iraq continues to endure electricity shortfalls. Current estimates suggest Iraq possesses about 3,714 billion cubic meters of natural gas reserves, necessitating a commitment to development agreements, such as those with the Ukrainian company Ukrzemresurs to enhance output from the Akkas gasfield.
Moreover, Iraq is progressing on a $27 billion energy deal with TotalEnergies for the development of oil, gas, and renewable energy projects, alongside various initiatives to establish solar power plants with other partners.
In light of the recent withdrawal of the U.S. waiver on Iranian energy imports, Iraq is undertaking urgent measures to counter a potential electricity crisis. The government is implementing projects aimed at securing energy independence, emphasizing developments in gas imports, and leveraging existing resources. Continued cooperation with foreign entities is critical for Iraq’s energy security and overall electricity supply sustainability, as the country aims for greater autonomy from Iranian energy dependency.
Original Source: www.thenationalnews.com
