Washington: The United States has decided not to renew the sanctions exemption that allowed Iraq to import electricity from Iran, a move confirmed by a spokesperson for the US embassy in Baghdad.

According to National News Agency – Lebanon, the exemption had been in place since 2018, providing Iraq with the ability to purchase electricity from its neighboring country despite ongoing sanctions against Iran. The spokesperson clarified that, as of March 8, the US State Department had chosen not to extend this waiver. This decision is intended to ensure that Iran does not receive any form of economic or financial relief from these transactions.

The US embassy spokesperson further emphasized the need for Iraq to reduce its reliance on Iranian energy sources. The call for diversification of energy inputs comes amid broader geopolitical tensions and the ongoing sanctions regime imposed on Iran.