Trump administration ends Iraq’s waiver to buy Iranian electricity

The Trump administration rescinded a waiver on Saturday that had allowed Iraq to pay Iran for electricity, as part of President Donald Trump’s “maximum pressure” campaign against Tehran, a State Department spokesperson said.

The decision to let Iraq’s waiver lapse upon its expiration “ensures we do not allow Iran any degree of economic or financial relief,” the spokesperson said, adding that Trump’s campaign on Iran aims “to end its nuclear threat, curtail its ballistic missile programme and stop it from supporting terrorist groups.”

Trump restored “maximum pressure” on Iran in one of his first acts after returning to office in January. In his first term, he pulled the US out of the Iran nuclear deal, a multinational agreement to prevent Iran from developing nuclear weapons.

The US government has said it wants to isolate Iran from the global economy and eliminate its oil export revenues to slow Tehran’s development of a nuclear weapon.

Iran denies pursuing nuclear weapons and says its programme is peaceful.

For Iraq, the end of the waiver “presents temporary operational challenges,” said Farhad Alaaeldin, foreign affairs adviser to Prime Minister Mohammed Shia al-Sudani.

“The government is actively working on alternatives to sustain electricity supply and mitigate any potential disruptions,” Alaaeldin said. “Strengthening energy security remains a national priority, and efforts to enhance domestic production, improve grid efficiency and invest in new technologies will continue at full pace.”