Iraq Blames U.S. For Power Shortages To Defer From Its Own Failings

PM Sudani recently announced a new deal to ensure Iranian natural gas and electricity imports and then Tehran cut supply three weeks later (Reuters)

During the summer Iran once again began cutting back its natural gas exports to Iraq which is dependent upon them to generate electricity. The ruling Coordination Framework blamed the United States for not allowing Baghdad to pay Tehran but in reality it was due to technical problems. Still, the Sudani government responded with a vague deal to trade Iraqi oil for Iranian gas which has plenty of problems with it. This was all theater however as the prime minister and the Framework wanted to defect blame from themselves and Iran for electricity shortages during the scorching summer.

 

On July 9 the Coordination Framework urged Baghdad to push the U.S. to release funds to pay Iran for natural gas. At the start of June it was reported that Iran cut gas exports to Iraqi power plants which cost around 6000 megawatts of electricity. Tehran said this was due to Baghdad not paying its bills but Iraq actually deposited the money it just wasn’t accessible yet due to U.S. sanctions. Iraq then said it would pay an additional $2.76 billion which was approved by Washington. At the start of July it was announced that Iraq had deposited $10 billion more to pay off all its debts to Iran but it could only be paid out in installments due to American restrictions. Then on July 4 the Iraqi Electricity Ministry again said Iran had cut gas supply once more and 5000 megawatts was lost which the Framework blamed on the United States.

 

Iran does this every summer. While Iraq has been delinquent in payments in the past because of its economic problems after the oil market collapsed due to COVID Iran is also to blame. During the summer it diverts gas from Iraq to its own power plants. On July 10 the director of the National Iranian Gas Company said the recent cuts in exports to Iraq were actually due to technical programs with its network. This was ignored in Iraq however. The Coordination Framework is closely tied to Iran and didn’t want to blame its ally for power shortages. Instead it turned to one of its favorite scapegoats the United States instead.

 

The Sudani government responded with a new deal with Tehran. July 11 it said that the issues with the gas supply were over. Iraq offered to trade heavy fuel oil and crude to Iran. It was hoped this would get around Washington’s limits. No specifics were revealed however like which fields would the fuel and oil come from. Not only that but Tehran can’t use the oil in its refineries so it would have to re-export it while it is under international sanctions. Again this was deflection. The prime minister wanted to claim that all the gas and electricity problems were over. That ignores the fact it would not stop any of the issues that happened this summer. The falsity of his claims was proven just three weeks later when Iran again cut its exports.

 

This series of events was all political theater. PM Sudani and the Framework didn’t want to be blamed for power outages during a hot summer fearing protests and the Framework would not point its finger at its ally Iran. Thus the United States was blamed and a new payment method was unveiled that makes no sense. This is typical of Iraq which is horrible at problem solving. It knows it doesn’t have a sound electricity policy and has become dependent upon Iran as a result. It also knows that Tehran will not live up to its obligations during the summer when it is most needed. It therefore comes up with excuses and makes plans that will do nothing to relieve the situation.

 

SOURCES

 

Al Aalem, “Iranian gas and the excuse of sanctions .. Electricity restores the Iraqi arena to the conflict between Washington and Tehran,” 7/11/23

 

Agence France Presse, “Iraqi pro-Iran parties urge Baghdad to settle gas import payments for Tehran,” 7/9/23

 

Al Hurra, “Iraq announces the end of the crisis of supplying gas from Iran,” 7/11/23

 

Al Mada, “Electricity loses 6,000 megawatts due to the reduction of large quantities of Iranian gas,” 6/3/23

- “Electricity: The return of Iranian gas supplies is sufficient to increase processing hours,” 6/7/23

- “The power fuel agreement with Tehran may anger Washington,” 7/12/23

 

Mahmoud, Sinan, “Iraq plagued by power cuts as extreme heatwave adds to daily struggles,” The National, 7/5/23

 

Al Masalah, “Iran denies cutting off gas from Iraq: malfunction caused a decrease in exports,” 7/10/23

 

Porter, Lizzie, “Deal struck to trade Iranian gas for Iraqi oil,” Iraq Oil Report, 7/13/23

 

Al Rafidain, “Minister Of Electricity: The Ministry Has Not Received An Official Directive Regarding The Payment Of Iranian Gas,” 7/20/23

- “An Official In Diyala Electricity: Iranian Power Transmission Lines Have Stopped For Unknown Reason,” 7/30/23

 

Reuters, “Iraq to pay $2.76 billion in gas and electricity debt to Iran,” 6/10/23

 

Salem, Amr, “Iraq pays overdue debts of $10 billion to Iran,” Iraqi News, 7/3/23

 

Xinhua, “Iraq loses 5,000 megawatts of electricity as Iran reduces gas supplies,” 7/9/23