Iraq Seeks Gas Alternatives Amid Sanctions Impact on Iranian Imports

Iraq is exploring gas alternatives to reduce dependence on Iranian imports. The U.S. has ended sanctions waivers for electricity purchases but not gas. Iraq’s energy needs are currently met by Iran for a third of its supply. Officials are negotiating with Qatar and Turkmenistan, developing LNG terminals, and seeking self-sufficiency by 2028.

Iraq is actively pursuing alternatives to its gas imports from Iran, particularly seeking options from Gulf nations in an effort to lessen its dependency on its sanctions-affected neighbor. A government official highlighted that Iraqi authorities are exploring diverse sources of gas to fulfill energy needs, which currently rely significantly on Iranian supplies. The U.S. has ended a sanctions waiver which previously allowed Iraq to procure electricity from Iran but has yet to ban gas imports, adding to the urgency of finding alternatives.

Currently, Iran supplies about one-third of Iraq’s energy requirements through gas and electricity. Saad Jassem, an official from Iraq’s electricity ministry, stated, “Previously, we only had imports from Iran, but there are government directives and a political will to rely on multiple sources of imports.” Iraq has not ceased Iranian gas imports yet, as the country grapples with deteriorating infrastructure and frequent power outages due to longstanding conflicts and challenges.

The U.S. has reportedly urged the Iraqi government to quickly eliminate its purchases of natural gas from Iran. In response, Iraq is considering various options, including negotiating for gas from Qatar, acknowledged as the leading natural gas producer in the region, along with discussions regarding potential purchases from Turkmenistan transported via Iranian pipelines.

Additionally, Iraq is developing two floating liquefied natural gas terminals in Khor al-Zubair, anticipated to be operational by June. These facilities will have the capacity to process up to 19 million cubic meters of gas per day, easing the reliance on Iranian imports. Jassem emphasized that energy access is critical for citizens, stating, “cutting off gas would mean a significant reduction in electricity supply.”

Prime Minister Mohammed Shia al-Sudani’s administration aims for Iraq to become self-reliant by 2028 by utilizing flared gas for power generation. Ongoing challenges include maintaining balanced relations with Iran and the United States as the Iraqi government seeks viable energy solutions amid increasing consumption and declining imports from Iran.

In conclusion, Iraq’s pursuit of alternative gas sources reflects its need to reduce reliance on Iranian imports amidst increasing political and economic pressures. Efforts to negotiate with Gulf nations, establish LNG terminals, and develop local resources signify Iraq’s commitment to securing a stable energy future. However, the ongoing challenges from sanctions and infrastructure issues necessitate swift action and international cooperation to address the energy needs of the Iraqi population.

Original Source: www.newstopicnews.com