Iraq Calls on Iran to Restore Gas Supply before Summer

A spokesman of the Iraqi Ministry of Electricity said on Tuesday that Baghdad is looking for a restoration of nearly 28 million cubic meters (mcm) per day of lost gas supplies from Iran as the ministry prepares for a hot summer when demand for power peaks in the country.

Ahmad al-Abadi told reporters in a briefing that Iran has reduced gas supplies to Iraq to 22 mcm per day from nearly 50 mcm a day in December when the National Iranian Gas Company (NIGC) announced it was halting the flow because of around $6 billion in payment arrears.

Abadi said Iraq and Iran are reaching a solution on arrears so that supplies could return to previous levels before the start of the summer.

He said Iraq would bring on line three power plants within the next months to reach an electricity production capacity of 22 gigawatts (GW). Iraq’s current capacity stands at 19 GW, he said, adding that it is far below the actual demand for power in households and industries in the country.

The remarks, covered by the Iraqi news channel Al Forat, are the latest to come from the Iraqi authorities on the sensitive issue of energy imports from Iran.

Iraq has received rounds of exemptions from US sanctions against Iran to be able to import gas and electricity from its neighbor.

However, the country has only managed to settle a small part of its massive gas bill as it cites banking sanctions imposed by the US as a major issue.