Trump Administration Ends Waiver for Iraqi Purchases of Iranian Electricity
The Trump administration has ceased a waiver permitting Iraq to buy Iranian electricity, reinforcing its “maximum pressure” strategy on Iran. National Security Advisor Mike Waltz supports Iraq’s energy independence and urges collaboration with U.S. firms while addressing internal disputes with the Kurdistan region. Ending the waiver may greatly affect Iraq’s electricity supply and enhances U.S. leverage amid ongoing regional dynamics concerning Iran’s nuclear ambitions and oil exports.
The Trump administration has ended a waiver that previously permitted the Iraqi government to purchase Iranian electricity, reaffirming its commitment to the “maximum pressure” campaign against Iran. National Security Advisor Mike Waltz voiced support for Iraqi Prime Minister Mohammed Shia al-Sudani’s pursuit of energy independence and urged the inclusion of more Western energy firms in Iraq’s oil and gas sectors.
Waltz also encouraged Iraq to address longstanding disputes with the Kurdistan Regional Government, which has hindered oil flow to Turkey and maintained Iraq’s dependence on Iranian oil. This shift is part of a broader international effort aimed at increasing oil supply while depriving both Iran and Russia of revenue.
He emphasized the need for the Iraqi government to resolve contract disputes, particularly those involving U.S. energy companies, and suggested hiring an investment coordinator to facilitate foreign investments. The sanctions waiver, initially established by Trump, was intended to address Iraq’s reliance on Iranian electricity, which has significantly decreased to roughly 4%.
If the waiver were to be expanded to include Iranian gas essential for power generation, Iraq’s electricity supply could potentially diminish by over 30%. Former President Joe Biden had continued the waiver until its recent expiration. The U.S. maintains substantial leverage over Iraq, holding $100 billion of its reserves, along with a military presence to support ongoing operations against ISIS.
In a related context, Trump communicated with Iranian Supreme Leader Ayatollah Ali Khamenei, advocating for negotiations to prevent military action, stating, “There are two ways Iran can be handled – militarily, or you make a deal. I would prefer to make a deal.” Meanwhile, concerns regarding Iran’s uranium enrichment activities persist, with reports indicating its enrichment levels nearing weapons-grade supplies.
Under Trump’s directive, the U.S. aims to slash Iran’s oil exports, which currently average 1.5 million barrels per day. Additionally, plans to nullify a waiver for Iran’s Chabahar port, which India invests in, are underway while potential actions against China, a major buyer of Iranian oil, loom on the horizon.
In conclusion, the Trump administration’s termination of the waiver allowing Iraq to purchase Iranian electricity underscores a decisive strategy aimed at weakening Iran’s economic foothold. This shift serves not only to pressure Iran but also to assist Iraq in achieving energy independence. As geopolitical tensions surrounding Iran continue, U.S. efforts to enforce sanctions and engage in diplomatic negotiations remain pivotal in shaping the regional landscape.
Original Source: www.foxnews.com
