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Amid Iranian gas shortage, Iraq searches for alternatives

Iran's dilapidated gas infrastructure has limited its transfers to Iraq, adding to Iraq's own energy crisis.

Iraqi Aqeel Hassan, part owner of private electric generators, is pictured on July 17, 2021, at his business in Baghdad's Sadr City district.
Iraqi Aqeel Hassan, part owner of private electric generators, is pictured on July 17, 2021, at his business in Baghdad's Sadr City district. Iraq buys gas and power from neighboring Iran to supply about a third of its power sector, but Iran decided last month to cut crucial power supplies to its neighbor, saying the Iraqi Electricity Ministry owes it more than $6 billion in arrears. — SABAH ARAR/AFP via Getty Images

Iraqi parliamentary sources said on July 21 political conflicts are "preventing the investment of natural gas in the Mansouriya field in the Diyala governorate (north of Baghdad). The field's resources are enough to meet all of Iraq’s needs.”

Iran cut off fuel supplies from Iraq on July 2. Later, on July 6, the Iraqi Electricity Ministry said Tehran had expressed its willingness to resume pumping oil to Iraq.

While Iraqi energy specialists argue Tehran has a strong influence on the energy supply sector in Iraq through gas fuel, history indicates supply disruptions are not something new.

In 2018, the disruption in supply deprived the Iraqi electricity network of 2,500 megawatts of power, as the country relies heavily on Iranian fuel to operate its power plants.

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