Iran Lowers Gas Exports to Iraq, Cutting Power Supplies

A worker walks at Nahr Bin Umar oil field, north of Basra, Iraq December 21, 2015. REUTERS/Essam Al-Sudani/File Photo
A worker walks at Nahr Bin Umar oil field, north of Basra, Iraq December 21, 2015. REUTERS/Essam Al-Sudani/File Photo
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Iran Lowers Gas Exports to Iraq, Cutting Power Supplies

A worker walks at Nahr Bin Umar oil field, north of Basra, Iraq December 21, 2015. REUTERS/Essam Al-Sudani/File Photo
A worker walks at Nahr Bin Umar oil field, north of Basra, Iraq December 21, 2015. REUTERS/Essam Al-Sudani/File Photo

Iraqis living in Baghdad and Central Euphrates governorates are braving this year’s winter weather without the ability to turn on much needed electric heaters due to low supplies of electricity, which is sometimes made available for a mere five hours a day.

The Levantine country’s Electricity Ministry has attributed the extended power cuts to Iran halting its gas exports to Iraq, which are vital for running some of Iraq’s power stations. It said that the freeze in exports comes as a result of Baghdad falling short on debt payments to Tehran.

It is worth noting that the energy committee at parliament called for replacing senior officials in the Electricity Ministry to avoid a possible system collapse.

“The sharp decline in power production is the result of Tehran stopping its supply of gas to Iraq,” Electricity Ministry Spokesman Ahmed al-Abadi told Asharq Al-Awsat, adding that Iraq was late on paying its dues to Iran.

“Iran used to supply Iraq with about 50 million cubic meters per day, but today only about 5 million cubic meters are being delivered. This caused a significant drop in electricity generation,”al-Abadi explained.

“We have previously warned that the electricity issue could bring down any government if it is not handled properly. The government today has the option of negotiating with the Iranian side over the outstanding debts, and there is also the option to instruct the Ministry of Oil to replace gas with liquid fuel,” he added.

The spokesman, however, ruled out the latter option due to Iraq requiring 23,000 cubic meters of liquid fuel per day to run its power stations, which is out of the country’s production capacity.

Iraq’s only remaining option, according to al-Abadi, is for the government to buy more time from Iran.

Iran’s energy minister is expected to visit Baghdad next Tuesday. Iraqi officials will likely seek convincing him to extend the deadline on payments.



Saudi Vision Drives Localization, Reduces Unemployment to 7%

A glimpse of a recent job fair held in Saudi Arabia (Asharq Al-Awsat)
A glimpse of a recent job fair held in Saudi Arabia (Asharq Al-Awsat)
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Saudi Vision Drives Localization, Reduces Unemployment to 7%

A glimpse of a recent job fair held in Saudi Arabia (Asharq Al-Awsat)
A glimpse of a recent job fair held in Saudi Arabia (Asharq Al-Awsat)

Since the launch of Saudi Arabia's Vision 2030 in 2016, the Kingdom has focused on a clear goal: building a diversified and sustainable economy, reducing its dependence on oil, and investing in the potential of its citizens.

Nearly nine years of continuous effort later, the results today reflect a new reality, showcasing the success of Vision 2030 in transforming ambitions into tangible achievements, particularly in the labor market and the empowerment of national talent.

Saudi Arabia's unemployment rate for nationals has dropped to its lowest level, registering 7% in 2024, achieving the Vision 2030 target ahead of schedule. This marks a significant achievement, considering that tackling unemployment was one of the strategic document's top priorities.

The sharp decline is largely attributed to a substantial rise in Saudi women's participation in the labor market, which reached 36%, driven by a series of social and economic reforms. These initiatives have reshaped the role of women in development, opening vast opportunities in education, the workforce, and leadership positions.

Vision 2030 initially aimed to raise women's labor force participation to 30% by 2030. With this target already surpassed a decade early, the goal has now been revised to 40% by 2030, reflecting the effectiveness of national policies in enhancing workforce localization and leveraging Saudi talent.

Historically, Saudi Arabia's labor market has been heavily reliant on the public sector. However, Vision 2030 has driven a shift toward the private sector, with the number of Saudi nationals employed there rising from 1.7 million in 2020 to over 2.4 million in 2024.

In 2024 alone, 437,000 citizens were hired in the private sector, supported by more than 7.5 billion riyals ($1.9 billion) from the Human Resources Development Fund for training, qualification, and career guidance programs. This reflects the government's commitment to preparing a generation capable of adapting to the demands of the evolving job market.

These figures are not only significant in statistical terms, but also serve as a clear indicator of the fundamental transformation driven by Vision 2030 in the national economy. The vision has made empowerment, diversity, and sustainability key pillars in Saudi Arabia's path toward the future.