Baghdad Rejects Kurdistan Region's Request for Subsidized Gasoline

Iraq and Kurdistan Region Service - In response to the Kurdistan Regional Government's official request, the Iraqi Ministry of Oil rejected the provision of 15,000 barrels of gasoline per day at a subsidized rate to the region, citing geopolitical developments, disruptions in the supply chain, and a decrease in strategic fuel reserves.

According to KurdPress, Sipan Shirvani, a representative of the Kurdistan Democratic Party in the Iraqi House of Representatives, announced on Thursday, August 27, 2026, that the Iraqi Ministry of Oil has responded to the Kurdistan Regional Government's official request for gasoline.

According to the ministry's official letter, which was signed by the Iraqi Minister of Oil, the Kurdistan Regional Government had requested that 15,000 barrels of gasoline per day be provided to the region's citizens at the same subsidized rate used in other Iraqi provinces.In its response, the Iraqi Ministry of Oil cited geopolitical developments and disruptions in the fuel supply chain as the reason for rejecting the request.

The letter also stated that due to rising temperatures and a significant increase in domestic fuel consumption in Iraq, the country's strategic reserves have reached their lowest level.

Baghdad has announced that, given the current conditions, it is currently unable to send any additional gasoline to the Kurdistan Region.

Citizens of the Kurdistan Region have faced problems due to the increase in gasoline prices and the decrease in its supply and are waiting for the federal government to take action to resolve this crisis.

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