Baghdad hopes to tap into Kurdistan’s natural gas: minister

26-09-2021
Layal Shakir
Layal Shakir
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ERBIL, Kurdistan Region - Baghdad hopes to soon begin sourcing natural gas from the Kurdistan Region, thereby easing its dependence on imports from neighbouring countries like Iran to power its electricity generation, the minister of electricity told Rudaw. 

“Kurdistan has a great gas wealth that hasn’t been taken advantage of,” Minister Adil Karim told Rudaw’s Hawraz Gulpi in an interview on Thursday. 

In the near future Baghdad hopes to “agree with the KRG [Kurdistan Regional Government] to provide a portion of the gas for Iraq’s system, whether it’s through an agreement or buying it or some other way,” he added.

The Kurdistan Region is currently producing natural gas at its Khor Mor field and is looking to develop additional fields.

Iraq suffers from chronic electricity shortages, caused by multiple factors including poor government delivery of services, rampant corruption, and terror attacks on the power grid. 

Attacks by the Islamic State group (ISIS) contributed to a blackout that left millions without power during a heat wave in June and July. ISIS claimed a 35-day operation against the power lines, destroying more than 15 towers a week. More than 171 towers were attacked in total and repairs were done within 48 hours, Karim said.

Cuts to electricity and gas imports from Iran because of unpaid bills also contributed to power shortages. Iraq heavily relies on Iranian natural gas for its electricity production and receives sanctions waivers from the United States allowing the trade. Iraq has also bought electricity from its neighbour, but has not received any since the beginning of summer, according to Karim. Iran had its own electricity shortages this summer and, the minister said, electricity generation in Iraq has hit a high of 21,141 megawatts. 

In December, Iran substantially reduced its natural gas exports to Iraq because Baghdad owes $5 billion in arrears. Earlier this month, Iran announced its gas exports to Iraq have been slashed and will remain reduced for six months, unrelated to the outstanding debt.

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