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The Effects of Baghdad Politics on Kurdistani Gas Prospects

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The effects of Baghdad politics on Kurdistani gas prospects
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This paper examines the effects of internal Iraqi politics on the potential for exporting Kurdistani natural gas. It examines Baghdad’s policy with regards to both oil and gas, and predicts what effects it will have on Kurdistan’s gas prospects.

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This paper will examine the impact of internal Iraqi politics on Kurdistan’s gas market. It will look first at the legal aspects of gas, particularly in the Constitution, and find that gas in Kurdistan and throughout Iraq is theoretically nationalised and inaccessible to outsiders. This is partially corroborated by the current Kurdistan oil situation (which is given identical treatment to gas in the Constitution), where the Baghdad government is refusing to recognise bilateral deals between the KRG (Kurdistan Regional Government) and investors, and is blocking exports. However, as will be shown, there are divisions within the government, and its policy is by no means set in stone. Moreover, the government is currently pursuing a more lenient national policy for gas than for oil, which should be considered cause for tentative optimism among investors in Kurdistani gas.

 

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The Effects of Baghdad Politics on Kurdistani Gas Prospects

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Climate & Energy
Center for Energy & Climate
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Ifri's Energy and Climate Center carries out activities and research on the geopolitical and geoeconomic issues of energy transitions such as energy security, competitiveness, control of value chains, and acceptability. Specialized in the study of European energy/climate policies as well as energy markets in Europe and around the world, its work also focuses on the energy and climate strategies of major powers such as the United States, China or India. It offers recognized expertise, enriched by international collaborations and events, particularly in Paris and Brussels.

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The Effects of Baghdad Politics on Kurdistani Gas Prospects