ERBIL, Kurdistan Region – Iraq is yet to be granted a new waiver exempting it from complying with US energy sanctions against Iran, Iraqi Prime Minister Adil Abdul-Mahdi revealed Tuesday evening.
The existing 90-day waiver, which allows Iraq to continue importing Iranian energy, will soon expire.
“We received nothing [from the US],” Abdul-Mahdi told his weekly press conference.
The US, however, is “practical enough to understand” that Iraq will develop relations with its neighbors, whether Turkey, Iran, [or] the Kingdom of Saudi Arabia,” he added.
Last November, the US granted Iraq and several other countries a 45-day waiver to allow them time to gradually reduce their reliance on Iranian electricity and energy imports.
The US reimposed sanctions on Iran after withdrawing from the 2015 nuclear deal in May.
Iraq was given a second 90-day waiver in December, which is set to expire this month.
“We are trying to have really good relations with all our neighbors. And I think this is in the interest of peace and stability in the region, and in the world,” the prime minister said.
“Iran is a neighboring country, is a friendly country.”
Abdul-Mahdi also said he would potentially have a phone call with US Secretary of State Mike Pompeo late on Tuesday. At the time of writing, neither the PM’s office nor the US State Department have issued a readout of any such call.
The Secretary of State did however hold a phone call on Tuesday with Kurdistan Democratic Party (KDP) chief Masoud Barzani.
On Sunday, Iran’s Minister of Energy Reza Ardkanian told state news agency Tasnim that Iran wants to play a bigger role in rebuilding Iraq’s electricity infrastructure.
On February 8, Iran and Iraq inked a deal for Iraq to buy Iranian electricity for another year. Iran exports 1,200 megawatts of electricity to Iraq.
Iraq suffers chronic power shortages. Years of mismanagement, corruption, and old distribution networks have contributed to a defective electricity grid that fueled protests last summer in major cities.
Iraq is planning to capture gas flares from its oil fields in a bid to bolster domestic energy production.
On Wednesday, Iran’s President Hassan Rouhani made a televised speech condemning the US sanctions, insisting his government will overcome the pressure.
“No country supported the US in imposing further sanctions on Iran,” Rouhani said. “At the Warsaw Summit, they tried to rally the world against Iran.”
“The US wants Iran to go back to 40 years ago … The US should understand Iranians will not succumb,” he added.
Sanctions targeting Iran’s oil and finance sectors have devastated the economy and send the currency tumbling.
Abdul-Mahdi’s government has tried to balance relations with the US and Iran.