Iran does not make any efforts to pay off the debt for the gas supplied, Turkmenistan states

Almaty. January 4. Silkroadnews – Absence of positive reaction from national gas company of Iran to constructive initiatives of Turkmenistan and its passiveness in search of mutually acceptable options led to necessary limitation of supply of Turkmen natural gas to Iran from January 1, 2017, Trend writes.

The statement of the foreign ministry of Turkmenistan says, “since 2013 national gas company of Iran doesn’t put necessary efforts for repayment of its debts for earlier supplied Turkmen natural gas”.  

In fact, since December 1997, Turkmenistan supplies gas to Iran in accordance with the contract of gas sale strictly respecting all the bilateral agreement conditions.

“However, unfortunately, since 2013 national gas company of Iran doesn’t put necessary efforts for repayment of its debts for earlier supplied Turkmen natural gas”, the statement by the Ministry of Foreign Affairs of Turkmenistan says.

Such a situation led to a considerable debt of the Iranian side, which, in turn, creates financial difficulties to support the normal regime of operation of Turkmenistan’s gas transportation infrastructure focused on gas supplies to Iran on a long-term contract.

“During 2016 Iranian side was numerous times officially notified on current unfavorable situation in sphere of gas supplies and on possible restriction of supplies of Turkmen gas”, the publication says.

With this it was noted that a delay in payments due to the state concern “Turkmengaz” operating on principles of self-sufficiency and self-financing may lead to a technical stoppage of work on gas wells, compressor stations, treatment plants and other elements of Turkmenistan’s gas system ensuring natural gas supplies to Iran.

The Turkmen side has also made a series of proposals aimed at the prompt resolution of the situation formed.

Foreign Ministry of Turkmenistan also notes that “all efforts to politicize this issue, whomever it comes from, will be considered as unfriendly action towards Turkmenistan and will be immediately rejected by Turkmen side”.