Oguzhan Akyener: Kurdistan Oil Exports Key to Stability, Security, and Economic Growth

ERBIL (Kurdistan24) - The prolonged suspension of oil exports from the Kurdistan Region through the Iraq-Turkey pipeline has broader geopolitical and economic implications, according to Oguzhan Akyener, President of the Turkey Energy Strategies and Politics Research Center (TESPAM). In an exclusive statement to Kurdistan24 English, Akyener highlighted the significance of resuming oil transportation, not just for economic reasons but also for fostering regional stability and counterterrorism efforts.

Economic and Security Implications

Since March 2023, the halt in oil transportation has strained Iraq's economy, leading to decreased revenues and heightened instability. While Turkey is not directly affected economically, the resultant instability in Iraq has indirect consequences for Turkey’s security and counterterrorism initiatives.

"Undoubtedly, rising instability reinforces the strengthening of terrorism in the region," Akyener noted, emphasizing that Turkey has been actively engaged in counterterrorism operations in Syria and Iraq. A return to oil exports would reduce the need for extensive counterterrorism expenditures, allowing Ankara to shift resources toward economic cooperation, trade expansion, and cultural integration.

Diplomatic Efforts and Regional Cooperation

In this context, Berris Ekinci, Turkey’s Deputy Foreign Minister recently visited Iraqi and Kurdistan Regional Government (KRG) authorities, a move Akyener described as a crucial step toward resolving the deadlock. "Collaborative and efficient action must be taken to facilitate the resumption of oil transportation," he stressed, pointing to the need for stronger diplomatic engagement between Baghdad, Erbil, and Ankara.

Akyener also underscored Turkey’s broader strategic role in stabilizing the region, stating, "Although some states do not desire stability in the region, Turkey—just as it has supported changes in Syria—will also contribute to the cleansing of terrorism in Iraq."

Progress in Baghdad-Erbil Relations

Significant strides have been made in resolving disputes between the federal government in Baghdad and the KRG, which had long hindered the resumption of oil exports. According to Akyener, the decreasing influence of Iran in Iraq and improving Turkey-Iraq relations have helped overcome obstacles, including inconsistent arbitration processes that previously stalled agreements.

This progress sets the stage for major economic initiatives, such as the Development Road project, which aims to enhance infrastructure and connectivity between Iraq and Turkey. "Moving forward, projects such as the Development Road will take Turkey-Iraq relations to an entirely new level," Akyener asserted. "The gradual resolution of disputes between Erbil and Baghdad will enhance Iraq’s prosperity and strengthen regional peace."

The Iraq-Turkey Pipeline and Its Strategic Importance

The Iraq-Turkey pipeline has historically been a key conduit for crude oil exports, particularly from the Kurdistan Region. However, a series of disputes between the Iraqi federal government and the KRG, coupled with international arbitration rulings, led to the suspension of exports in 2023. The economic repercussions have been significant, with Iraq losing billions in potential revenues while oil-dependent sectors in both Iraq and Turkey suffered setbacks.

Turkey has played a mediating role in efforts to resolve these disputes, advocating for a balanced approach that ensures economic benefits while maintaining regional security. Additionally, global energy markets have been closely watching the developments, as resumed exports would provide much-needed supply stability amid fluctuating global oil prices.

With diplomatic engagements intensifying and economic cooperation gaining momentum, stakeholders in the region are hopeful that they see the Kurdistan Region oil export resumed soon, marking a turning point in Iraq-Turkey energy relations and broader regional stability.