Iraq accelerates electricity projects post-US Iran waiver end

Iraqi Prime Minister Mohammed S. Al-Sudani convened a meeting to address electricity supply strategies and oil sector projects in light of the U.S. ending its waiver allowing Iraq to import electricity from Iran. This decision has prompted Iraq to accelerate the development of a liquefied natural gas (LNG) terminal and a new gas pipeline to reduce reliance on Iranian gas, with a portable offshore terminal planned to supplement imports from an undisclosed Gulf country. The Iraqi government aims to enhance electricity production through the completion of a gas transmission line and a 40km pipeline to support the Bismayah power plant's full capacity. U.S. officials have emphasized the need for Iraq to transition to energy independence, leveraging natural gas resources from the Kurdistan Region. The impact of the U.S. sanctions on Iran has intensified Iraq's energy crisis, which has been exacerbated by declining Iranian gas supplies. Al-Sudani's government is under pressure to implement swift actions to mitigate these challenges ahead of summer demand.