Iraq denies halting fuel supply to Lebanon amid blackouts

BAGHDAD — Iraq has not ceased its fuel deliveries to Lebanon, a government spokesperson said Monday, attributing recent delays to “technical and logistical issues related to transportation and shipping.”

Basim Al-Awadi, speaking to the official news agency, countered rumors that Iraq had halted its support. “Iraq is committed to the agreement signed between Baghdad and Beirut, and more importantly, to the fraternal, national, and humanitarian obligations of the Iraqi government and the Iraqi people towards our brothers in Lebanon during these challenging times,” he affirmed.

Al-Awadi emphasized that the delay was solely due to logistical challenges and assured that a new shipment would be dispatched in the coming days.

The Lebanese electricity company, Électricité du Liban, announced that the last remaining power generation unit on the national grid had shut down on Aug. 17, leading to a nationwide blackout.

“Under the current conditions, we inform you that as of this afternoon, Saturday, Aug. 17, 2024, the last power generation unit at the Zahrani plant has completely ceased operations,” the company stated. The outage was attributed to the “complete depletion of the plant’s fuel oil reserves,” disrupting essential services across Lebanon, including airports, ports, water pumps, sewage systems, and prisons.

The power supply is expected to gradually resume once new fuel supplies are secured, either through the existing swap agreement with Iraq or other sources.

In response to the crisis, Algeria announced immediate support by supplying Lebanon with fuel for its power plants, according to Algerian state radio.

Under a deal first agreed upon in July 2021, Iraq provides Lebanon with fuel in exchange for services, including healthcare for Iraqi citizens. The Lebanese energy ministry confirmed on July 21, 2023, that the agreement to supply Lebanon with up to two million tons of crude oil annually was renewed for another year. Lebanon swaps the heavy fuel oil for gas oil, used at its power stations.

Lebanon has faced an increase in power outages over the past few years due to severe financial distress, which has impacted its ability to import fuel. While Lebanon’s power production previously ranged between 1,600 and 2,000 megawatts daily, recent fuel shortages have drastically reduced production to unprecedentedly low levels.