Global Business in Iran Database
In-depth metrics and analysis of Iran's international economic partnerships.
Iran-Turkey Natural Gas Trade
description
The Iran-Turkey pipeline opened in October of 2001 and is operated on the Turkish side by the state-owned energy firm BOTAS. Turkey seeks to become a major gas transit nation, but at present much of its imports are used to satisfy domestic demand. In 2008, Turkey imported 13.9 BcM/year, nearly a third of total gas consumption (35.83 BcM).
BOTAS may bring Iran before the International Court of Arbitration over a pricing mechanism dispute that forces Turkey to pay for gas that it does not consume. In 2010, BOTAS is contractually obligated to import more gas than Turkey consumed in 2008-9.
In 2004, BOTAS brought Iran before the International Court of Arbitration, requesting compensation for the unstable flow and poor quality of the natural gas Iran exported. Turkey won the case.
Status
- Current Status:
- Discussion Date:
- Contract Date:
- Completion Date:
Citation
1. "Turkey, Natural Gas", Energy Information Administration, available at http://www.eia.doe.gov/emeu/cabs/Turkey/NaturalGas.html.
2. "Private Sector Enters Natural Gas Import in Turkey", Turkish Weekly, March 2006, available at http://www.turkishweekly.net/news/41448/private-sector-enters-natural-ga....
3. "Ankara may sue Tehran over natural gas", UPI, 12 February 2010, available at http://www.upi.com/Science_News/Resource-Wars/2010/02/12/Ankara-may-sue-....
