In an exclusive interview with Persian economic daily “Sobh Eqtesad”, Mr. Gholamhossein Hassantash expressed his view on recent development on energy sector especially regarding sanctions on Iran’s oil exports.

IRAN NEWS ECONOMIC DESK

Hassantash, who is a member of Iranian Association for Energy Economics and a member of scientific board of Institute for International Energy Studies, reacted on the U.S. sanctions on Iran’s oil exports and said he is not in a position to talk about on this issue but one thing is obvious that rounding the sanctions is very difficult. He added that as long as he knows, the major problem of sanctions is the transfer of money and international banking transactions, and the country has even problem for getting its money for selling its oil.

On the major challenge in the oil sector, Mr. Hassantash said that oil industry is a subdivision of energy sector, so any challenge in the oil sector cannot be separated from the energy sector. He reiterated that the major challenge in the energy sector is that this sector needs a unified ruling body for planning, directing and supervising.

He went on to say that energy sector in Iran does not move in a planned path, adding that it is also the same in the oil industry.

He also said that strategy and policy in the gas sector suffers the same problem and without any clear and transparent policy it is difficult to talk about it.

Hassantash who was once a critic of the L.N.G. project in the country said that four projects on the L.N.G. were to be carried out but three have been discarded and one of them has been remained and more than $2.5b has been spent on it in the past 17 years but nothing has happened. He reiterated that currently, there is not at all any project or program for L.N.G.

On the performance of the 11^th and 12^th governments in the oil sector, he said that the government has been successful in boosting oil production and setting record after the JCPOA as well as developing the South Pars fields but in other fields they have been weak.

When he was asked about controversial Crescent contract, he said the contract should be respected and be carried out because when an international agreement is signed, it should be respected even it is a bad one. He reiterated that the country will lose its credibility when it disrespects a contract. Hassantash went on to say that the country could fulfil its undertaking and it could later take action against those who had prepared such a bad contract. He noted that beaching a contract would lead to punishment and the country has to pay fine.