Iraq remains capable of importing gas from Iran despite the US decision to revoke a sanctions waiver, according to an Iranian energy official familiar with the matter.
Hamid Hosseini, spokesman for the Iranian Oil, Gas, and Petrochemical Products Exporters' Union, dismissed reports that Washington's move would halt gas exports to Iraq. "The removal of the waiver does not mean Iraq cannot receive Iranian gas," Hosseini said. "Gas and electricity imports are not subject to sanctions; the waiver was only for facilitating Iraq’s payment to Iran, which has now been revoked."
The decision on whether Iran will continue gas exports to Iraq now depends on the Iranian government, he added. "Under our contract, we are obligated to supply gas to Iraq, but we do not have surplus gas to export 20 billion cubic meters annually," he noted, highlighting that Iran prioritizes domestic consumption.
Iraq is heavily reliant on Iranian gas, and recent shortages have severely impacted its power generation. "They recently lost 8,000 megawatts of electricity due to the Iranian gas supply cut and had to resort to burning high-sulfur diesel and mazut, worsening air pollution," Hosseini stated.
Iraqi Prime Minister Mohammed Shia al-Sudani has indicated that the country will continue importing Iranian gas until at least 2028. "I believe Iraq will negotiate with the US and quietly secure an extension of the waiver," Hosseini concluded.