SPV Archives - Iran News Daily

EU Had Better Launch SPV Before It Is Too Late

reporter 1222 — Sun, 27 Jan 2019 22:13:02 +0000

EU Had Better Launch SPV Before It Is Too Late

IRAN NEWS NATIONAL DESK

TEHRAN – Iran’s nuclear chief urged Europe to take necessary measures to accelerate the implementation of the Special Purpose Vehicle (SPV) before it becomes too late.

Speaking in an with the Islamic Republic News Agency (IRNA), Head of Atomic Energy Organization of Iran Ali Akbar Salehi commented on the current situation of cooperation between Iran, the Europeans, Russia and China about Iran’s nuclear deal known as the Joint Comprehensive Plan of Action (JCPOA) and said ‘it is unfortunate to say that lately the developments have not been very encouraging.’

He said Europe should take this as a message.

He further expressed hope that ‘before it is too late, Europeans, in particular, should fulfill what they have promised beforehand otherwise I am afraid that the future developments will not be conducive neither for us nor for them or even for other participants of the JCPOA.’

SPV, also known as Special Purpose Vehicle, is a financial mechanism that the European Union has proposed to facilitate trade with Iran.

It is regarded as a mechanism for EU members to keep doing business with Iran despite the US sanctions on Tehran.

Elsewhere in the interview, Salehi went on to say that Iran does not want to see the deal disintegrated and breached by any of the present members.

He said though the U.S. has already left the JCPOA, there are still other members who have stayed committed to the deal.

Despite receiving worldwide criticism over Washington’s anti-Iran measures, US President Donald Trump reinstated unilateral sanctions on Tehran on November 5, 2018, only a few months after leaving the JCPOA and imposed – as he described them – the “highest level” of economic bans on the Islamic Republic of Iran.

Salehi went on to reiterate in his interview that ‘Iran has been fulfilling its commitments regarding the deal and the 13 reports by the IAEA confirming the fact is a clear proof of this claim.’

‘The International Atomic Energy Agency (IAEA) has confirmed this in its 13 consecutive reports, based on a robust verification system, proving that Iran is implementing its nuclear commitments. There is no credible peaceful alternative to the JCPOA,’ the official added.

This is while earlier, Foreign Ministry spokesman Bahram Qasemi criticized the European Union for delay in implementation of the SPV following the US exit from Iran nuclear deal, saying that the country deems the EU responsible for not implementing the mechanism.

“The Europeans as the main beneficiary should think about the consequences of the decision, as Iran has so far fulfilled all its commitments under the JCPOA,” he said.

The top nuclear official noted that ‘Iran’s patience is wearing thin and it is time for the EU to take its strategic decision. ‘

‘But on the side of the Europeans, it’s been months that they have promised us to come up with the SPV scheme which unfortunately has not yet been materialized,’ Salehi added.

Iran’s nuclear chief said ‘I have heard in the recent news that hopefully by Monday they will probably announce the formation of the SPV.’

‘I hope that they will take this step because this is an encouragement and will help keep the trust that we worked so hard to build between the two sides; otherwise, we will be losing the trust and once the trust is lost everybody will be a loser in the game.’

‘So I say that this is a battle we should not lose,’ he added.

‘We should win this battle and we can only win it together. Otherwise, it will become a battle already lost and certainly this will not be in the interest of the Europeans specifically if we notice that they look at the JCPOA mainly from the perspective of security.’

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France Says SPV to Be Implemented in ‘Coming Days’

reporter 1222 — Thu, 24 Jan 2019 09:54:28 +0000

The French foreign minister said the special purpose vehicle (SPV), the EU mechanism aimed at facilitating trade with Iran in the US sanctions era, would be established in the “coming days”.

The SPV “should be implemented in the coming days”, Jean-Yves Le Drian told the French parliament’s foreign affairs committee, Reuters reported late on Wednesday.

“It will work as a sort of clearing house that will allow in euros for Iran to benefit from some of its oil resources and at the same time buy essential products from the main three main (European) partners,” he added.

The vehicle will be registered in France, run by a German and likely to include France, Germany and Britain as shareholders.

The European Union has vowed to counter US President Donald Trump’s renewed sanctions on Iran, including by means of a new law to shield European companies from punitive measures.

On May 8, the US president pulled his country out of the Joint Comprehensive Plan of Action (JCPOA), the nuclear deal that was achieved in Vienna in 2015 after years of negotiations among Iran and the Group 5+1 (Russia, China, the US, Britain, France and Germany).

Following the US exit, Iran and the remaining parties launched talks to save the accord.

Trump on August 6 signed an executive order re-imposing many sanctions on Iran, three months after pulling out of the Iran nuclear deal.

He said the US policy is to levy “maximum economic pressure” on the country.

The second batch of US sanctions against the Islamic Republic took effect on November 4.

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Iran urges EU to put SPV in place ‘before it’s too late’

reporter 1222 — Tue, 27 Nov 2018 06:15:30 +0000

Iranian vice president and nuclear chief, Ali Akbar Salehi, has urged the European Union to set up the special mechanism to facilitate trade with Iran “before time runs out.”

“We hope that before time runs out, something tangible is achieved so that the agreement remains intact,” Saleh said on Monday in a joint press conference with Miguel Arias Cañete, the European Commissioner for Climate Action and Energy, at the end of the high-level seminar on peaceful nuclear cooperation.

Ali Akbar Salehi said the European Union was “doing its best” after the United States pulled out of the deal and re-imposed sanctions on Iranian oil exports this month, even as the bloc’s efforts to salvage trade ties have floundered.

He praised EU for its support to keep alive the nuclear agreement and its recognition that JCPOA is important for the security of Europe, while admitting the existence of some difficulties to launch the Special Vehicle Purpose (SPV) — a payment mechanism that would allow European companies to bypass US-imposed sanctions on Iran and that no country has agreed so far, with determination, to host it for fear of facing US penalties.

Following Salehi’s remarks, EU announced on Monday that either France or Germany might” become the host nation for the Special Vehicle Purpose (SPV) — a payment mechanism that would allow European companies to bypass US-imposed sanctions on Iran.

Luxembourg and Austria, under the US pressure, had refused to host the SPV, with Luxembourg officials being warned that hosting the mechanism could damage the country’s place as a major financial center hosting many international investment funds.

Iran’s nuclear chief warned the European Union of “ominous” consequences if it did not follow through with action to keep the economic benefits of the 2015 nuclear agreement alive.

Insisting on the need to stop wasting time, Salehi said “if words are not turned into deeds, then … it is very ominous, the situation would be unpredictable.”

If nuclear deal breaks down, he said, no sides will benefit, and the situation will certainly change and everything will be in turmoil, adding that the EU needed to “keep it alive”.

“Perhaps it was not the best agreement that the negotiators desired, but I think it was the only possible agreement we could have reached,” he said.

“We hope that together with EU and other remaining parties to the accord – China and Russia, we could do our utmost to keep this agreement alive; it is a battle we have to win, we cannot afford to lose this battle, he warned.

Commissioner Cañete, for his part, said the technical efforts to launch the special vehicle to facilitate commercial transactions with Iran “has progressed in recent days and weeks,” led by France, Germany and the United Kingdom, and supported by the Commission and the EU member states’ diplomatic services, however, has insisted that it is “a very comprehensive and unique initiative”.

Cañete has insisted that “no one should have any doubt about the level of political determination” of the bloc to launch the trade mechanism “quickly” but has noted that the goal is “to create something that works and is viable.”

The payment channel is not directed against the United States and “is not designed to bypass any sanctions”, said the Commissioner, who recalled that the EU has already updated its regulations to make it clear that US sanctions are not applicable to European companies and has insisted in that its objective is “to give the necessary sovereign guarantees to market participants involved in legitimate business with Iran”.

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