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Is China Playing a Role in Rebuilding Egyptian-Iranian Relations?

Egyptian Foreign Minister Sameh Shoukry during his reception of the Iranian delegation participating in the COP 27 summit in Sharm El-Sheikh last November (Egyptian Ministry of Foreign Affairs)
Egyptian Foreign Minister Sameh Shoukry during his reception of the Iranian delegation participating in the COP 27 summit in Sharm El-Sheikh last November (Egyptian Ministry of Foreign Affairs)
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Is China Playing a Role in Rebuilding Egyptian-Iranian Relations?

Egyptian Foreign Minister Sameh Shoukry during his reception of the Iranian delegation participating in the COP 27 summit in Sharm El-Sheikh last November (Egyptian Ministry of Foreign Affairs)
Egyptian Foreign Minister Sameh Shoukry during his reception of the Iranian delegation participating in the COP 27 summit in Sharm El-Sheikh last November (Egyptian Ministry of Foreign Affairs)

A recent research paper released by the Jeddah-based Gulf Research Center has outlined two scenarios for the future of Egyptian-Iranian relations: the reestablishment and strengthening of diplomatic ties, or the continuation of the current state of estrangement while maintaining a policy of de-escalation.

Youssef Khattab, the author of the research paper, explained that the severed ties between the two nations do not stem from a deep-rooted historical strategic conflict, fundamental clashes of interests, geopolitical rivalry, or other factors that perpetuate perpetual tension and animosity between countries.

According to Khattab, this fact makes it relatively easier for both nations to restore their relations if the will and sincerity exist.

In his report, Khattab points out two potential scenarios for the future relations between Egypt and Iran.

The first scenario involves the reestablishment and consolidation of diplomatic ties. This scenario holds significant potential to serve the interests of both nations and their people, especially considering the economic hardships they currently face.

To alleviate inflation, unemployment, and other pressures, both countries would need to expand their cooperation in trade, finance, and investment.

According to the report, there are factors that support the scenario of diplomatic reconciliation between Egypt and Iran. The global economic crises caused by the coronavirus pandemic have affected all nations, especially developing or third-world countries, which lacked the capabilities to effectively cope with the crisis and swiftly recover from its aftermath.

This has led both countries to seek closer cooperation, shun discord, and mend their relations.

Additionally, the Russian invasion of Ukraine compelled many nations to pursue conflict de-escalation, problem-solving, and prioritizing national interests.

The researcher highlighted the resolution of the tense Iran-Gulf relations, with successful normalization and resumption of ties with Kuwait, the UAE, and Saudi Arabia.

Khattab also mentioned the possibility of China mediating a historic agreement similar to the Saudi-Iranian accord, which could help bridge the gap between Cairo and Tehran.

This possibility arises from China's strategic interest in competing with the US for influence in the region.

Khattab further elaborated that achieving this scenario would require Egypt’s responsiveness to Iran’s acceptance of Omani mediation to restore relations.

Egypt should engage with the supportive statements from Iranian officials regarding reconciliation and overcome hesitation by embracing dialogue and negotiation.

Khattab emphasized that Iran must back its statements and welcoming gestures towards restoring relations with tangible steps that build trust and seriousness in Egypt’s ongoing efforts for reconciliation.

Historically, Iran has been the one to step back from re-establishing relations in previous attempts.

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Iran's Businesses Bear Brunt of Daily Power Blackouts

Repeated power cuts have angered Iranians in recent years, especially during the hot summer months - AFP
Repeated power cuts have angered Iranians in recent years, especially during the hot summer months - AFP
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Iran's Businesses Bear Brunt of Daily Power Blackouts

Repeated power cuts have angered Iranians in recent years, especially during the hot summer months - AFP
Repeated power cuts have angered Iranians in recent years, especially during the hot summer months - AFP

Baristas and servers linger outside a cafe in Tehran, smoking and chatting, as scheduled daytime power cuts due to energy shortages plunge businesses in Iran's capital into the dark.

"When the power is out, we are almost completely out of service," said Ali, a 30-year-old employee, of the nationwide rolling electricity outages imposed daily since November 11.

"We use mostly electrical equipment here in the cafe such as an electric oven and espresso machine," he told AFP, asking that only his first name be used.
Years of Western sanctions and a lack of investment in infrastructure have exacerbated the situation, especially during peak consumption months in summer and winter.

To deal with the shortages, the government has introduced two-hour blackouts, which rotate between various neighbourhoods in cities between 9:00 am and 5:00 pm.

President Masoud Pezeshkian attributed the decision to "low fuel reserves", saying Iran must "adjust the fuel for power plants so that we do not face problems in winter".

- 'Poison' -

Fatemeh Mohajerani, government spokeswoman, said power cuts were necessary to cut down on a relatively cheap low-quality fuel -- known as mazout -- used at some older-generation power plants.

The heavy fuel oil has been used for years to address power shortages despite its emissions causing heavy air pollution.

She said the public would need to deal with blackouts for a limited time, to find an alternative to what she described as "poison".

"It is unfair that part of the society should pay with their lives for the production of electricity," she added.

But for Mona, another employee at the cafe in Tehran -- home to about 10 million people -- it isn't worth the cost.

"The government says it has stopped burning mazut in a number of power plants in other cities, but we need to pay for that in Tehran," the 36-year-old told AFP.

Repeated power cuts have angered citizens of the Islamic republic in recent years, especially during the hot summer months.

In July, the authorities ordered the working hours of civil servants to be halved for several days in an attempt to save energy.

But energy shortages go beyond just electricity in Iran.

On November 12, National Iranian Gas Company announced daily gas consumption in the country had set a new record of 794 million cubic metres.

Economic expert Hassan Forouzanfard cited poor infrastructure, mismanagement and in particular Western sanctions as responsible for Iran's energy problems.

"Sanctions and the cutting of the ties with international energy companies have deprived us of both the necessary technology and investment to develop our oil and gas sectors," he told AFP.

- 'Warm clothes' -

"If we have a cold winter this year, we will have to collectively deal with both gas and electricity problems in the country," Forouzanfard said.
Iran, despite holding some of the world's largest natural gas and oil reserves, has grappled with massive energy shortages in recent months

"I do not think that the government would be able to either control the negative effects of the pollution or to resolve the energy imbalances in a reasonable and serious way in the short term," he added.

But Tehran says consumers must do their part to conserve energy.

"We have no choice but to consume energy economically, especially gas, in the current conditions and the cold weather," said Pezeshkian.

"I myself use warm clothes at home, others can do the same," the president added.

During one of the scheduled power cuts, a queue formed outside a supermarket in Tehran.

"Since it is dark inside and our CCTVs are offline, we allow just one customer at a time so we can better handle them," said Sina, a 24-year-old employee, who did not want to give his full name.

"We are afraid that in the dark and without the help of surveillance cameras, we can't figure out if an item goes missing," he said, arguing that the power cuts are hurting the small business.