Energy Secretary Rick Perry spent the last two days trying to convince the Iraqi government that it’s in its best interest to cut energy ties with Iran, but with limited success.
“In bilateral meetings with Iraqi President @BarhamSalih, Prime Minister Abdul-Mahdi, and Speaker Mohammed Al-Halbousi I reaffirmed that the U.S. stands ready to assist the Iraqi people in transitioning from Iranian energy dependence to using their full domestic energy potential,” Perry tweeted Wednesday afternoon.
In bilateral meetings with Iraqi President @BarhamSalih, Prime Minister Abdul-Mahdi, and Speaker Mohammed Al-Halbousi I reaffirmed that the U.S. stands ready to assist the Iraqi people in transitioning from Iranian energy dependence to using their full domestic energy potential. pic.twitter.com/64LdoyZwgu
— Rick Perry (@SecretaryPerry) December 12, 2018
Iran is Iraq’s neighbor and an important supplier of the natural gas that fuels the nation’s electric grid, which is crucial to Iraq’s economy and oil industry.
In fact, Prime Minister Adel Abdul Mahdi told reporters on Tuesday that he will be sending a delegation to Washington to ask for waivers to allow it to continue receiving gas from Iran under U.S. sanctions for six months. Some suggest it could take up to a decade to wean Iraq off Iranian energy supplies.
The Trump administration granted Iraq a 45-day exemption from sanctions on Nov. 5. But Iraq is not satisfied with the short-term measure, which is about to run out, and is demanding a long-term waiver. The prime minister suggested that the lights could go out if natural gas imports are curtailed too soon.
“The American side is cooperating with Iraq to find solutions that would remove pressure on Iraq because the [Iranian] gas is linked to a very sensitive issue which is electricity,” he told a news conference.
Perry said earlier on Wednesday that he spent the last 48 hours delivering a “message of energy independence and transparent markets” to the Iraqi leadership, trying to convince them that U.S. industry is ready to invest in the country’s energy infrastructure to wean them off Iran’s imports.
Perry met with Iraqi Minister of Oil Thamir Ghadhban and Minister of Electricity Luay al-Khatteeb and discussed the importance of a “transparent, predictable, and accountable business environment to attract investment in Iraq’s energy sector,” he tweeted.
Perry also addressed a conference on Tuesday with the prime minister and the U.S. Chamber of Commerce. Perry called it one of the largest Chamber events to be held in Baghdad.
“The energy environment in Iraq is ripe for investment,” he tweeted.
