The US has revoked Iraq’s sanctions waiver, heightening Iraq’s energy crisis reliant on Iranian gas. Trump’s strategy pressures Iran but increases Iraq’s energy challenges, revealing infrastructure weaknesses. Enhancing self-sufficiency through international collaboration and investment in energy is critical for Iraq’s stability and independence.
The US recently revoked Iraq’s sanctions waiver, affecting its ability to import Iranian natural gas for electricity generation, which previously accounted for 40% of its supply. This move has resulted in a significant energy crisis for Iraq, which relies heavily on imports to sustain about 10 gigawatts of power. The revocation aligns with President Trump’s strategy to apply “maximum pressure” on Iran to stimulate negotiations over its nuclear program while diminishing Tehran’s regional influence.
Since withdrawing from the 2015 Joint Comprehensive Plan of Action, Trump has aimed for a more favorable agreement with Iran. However, this strategy inadvertently increases pressure on Iraq to become self-sufficient in its energy production. Despite being OPEC’s second-largest oil producer, Iraq lacks the necessary infrastructure to harness its natural gas resources effectively. Much of this gas, which is often flared instead of captured, stems from oil production, contributing to the overall energy deficit.
The legacy of past conflicts has left Iraq with significant energy challenges, including a damaged electric grid and dependency on gas-fired power plants supplied by Iranian pipelines. The cessation of Iranian gas imports, already inconsistent due to Iran’s own issues, may lead to continued and prolonged power outages. Experts express skepticism about Iraq’s ability to quickly secure new energy sources or significantly enhance its gas production before summer.
The US aims to motivate Iraq to resolve its differences with the Kurdistan region and enhance oil exports, thereby curbing Iranian oil output. This effort complicates the political dynamics, as previous governments have struggled to reduce Iranian influence amidst Iraq’s complex sectarian landscape. The internal energy challenges persist due to external interference, terrorism, corruption, and a lack of funding and stability.
Projects like the Jordan-Iraq electricity link represent potential solutions that could decrease Iraq’s dependency on Iran. This initiative could save Iraqis approximately $4 billion annually by reducing reliance on private generators. Nevertheless, progress has stalled due to delays, primarily stemming from political disagreements and financing issues.
Iraq’s overall vulnerability is further compounded by widespread corruption, security challenges, and insufficient investment in renewable energy sources. To date, less than 3% of its electricity comes from hydropower, and its solar and wind energy production is critically low compared to the global average.
Critically, the US’s demand for Iraqi energy independence seems hypocritical given its historical role in the country’s destabilization. America should have focused on assisting in rebuilding Iraq’s energy infrastructure over the last two decades instead of undermining its stability. The urgency of renewing the sanctions waiver and actively investing in Iraq’s energy capabilities has never been clearer, as the US must collaborate with international partners to foster Iraq’s energy independence and resilience against Iranian influence.
The cessation of the sanctions waiver has plunged Iraq into a severe energy crisis, necessitating immediate action to enhance its energy independence. Iraq’s reliance on Iranian gas compromises its energy security, reflecting inadequacies in infrastructure and political stability. To address these challenges, collaboration with international partners is essential to develop Iraq’s energy sector, including renewable sources. The US must reassess its stance to support Iraq in achieving self-sufficiency and reducing Iranian influence.
Original Source: www.arabnews.com