Two Key KRG Steps Aim to Lower Fuel Prices in Kurdistan

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The Kurdistan Regional Government has announced two key measures to reduce fuel prices and improve fuel supplies across the region.

Kamal Mohammed Salih, acting Minister of Natural Resources, said the government will allow larger quantities of improved and super commercial gasoline to enter the Kurdistan Region this week.

He said the measure should increase supply and push gasoline prices lower. The government also expects the fuel market to return to normal soon.

Salih said the Kurdistan Region has reached an agreement with Iraq’s Oil Ministry to receive 50,000 barrels of crude oil daily for domestic needs.

The KRG will provide another 50,000 barrels at a subsidized price. After refining the crude and separating other products, daily gasoline distribution will reach between 3.5 million and 4 million liters.

The minister said the new decision entered into force. Authorities have maintained the new supply system across cities and towns for two days.

He said the measure has already produced positive results. Officials expect conditions to improve further in the coming days.

The government currently subsidizes only regular gasoline. However, the Natural Resources Ministry will allow significant imports of improved and super commercial gasoline this week.

Officials expect the additional imports to increase competition and reduce prices across all gasoline categories.

The ministry has also introduced stricter monitoring of gasoline transportation. Eight refineries will oversee fuel deliveries to gasoline stations with transportation companies.

According to Salih, tanker trucks will carry GPS tracking systems and surveillance cameras. Officials will monitor the trucks from the moment they leave refineries until they reach fuel stations.

The monitoring system aims to prevent fuel diversion and improve transparency throughout the distribution process.

Salih also highlighted a major gap between the number of vehicles in the Kurdistan Region and Baghdad’s current fuel allocation.

Official statistics show that around 2.8 million vehicles operate across the Kurdistan Region. However, Baghdad’s current allocation covers only about 1.75 million vehicles.

The KRG hopes to reach a new agreement with Baghdad to increase its fuel allocation. Officials may use updated census data, vehicle numbers, or provincial figures to determine the region’s actual fuel needs.

Until the two sides reach an agreement, the KRG will continue subsidizing regular gasoline to support consumers and maintain market stability.

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