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KRG increases fuel supplies to gas stations amid worsening petrol crisis

Aug. 13, 2026 • 2 min read
Image of KRG increases fuel supplies to gas stations amid worsening petrol crisis File photo: The New Region

In a bid to address electricty shortages, Erbil has also ordered that the Khor Mor gas field - the Kurdistan Region's vital energy source - increase the supplies of natural gas to power plants in order to facilitate a greater supply of electricity.

ERBIL, Kurdistan Region of Iraq - The Kurdistan Regional Government's (KRG) Ministry of Natural Resources has decided to increase petroleum supplies to gas stations, with initial convoys having arrived in Erbil and Duhok provinces, following weeks of a continued fuel crisis.

 

The ministry held a meeting on Thursday to address the worsening fuel crisis in the Region, deciding on final mechanisms to resolve the matter and agreeing to resume the delivery of commercial gas to stations across the Region, with the first convoy having already arrived in Erbil, Duhok, Zakho, and Soran, The New Region has learned.

 

The ministerial decree, a copy of which was seen by The New Region, dictates that efforts should be directed at maintaining the price of normal petrol at 750 dinars per liter, as well as ensuring that energy suppliers meet the guidlines specificed for quality control.

 

The ministry also decided that the delivery of gas designated for household use will begin tonight, with deliveries reaching areas across the Region on Friday. The first phase will involve 22 gas tankers carrying 420 tons.

 

Commercial gas prices are thus expected to see a reduction, with each cylinder currently costing between 13,000 and 14,000 dinars expected to drop to between 10,000 and 11,000 dinars.

 

Similarly, in a bid to address electricty shortages, Erbil has ordered that the Khor Mor gas field - the Kurdistan Region's vital energy source - increase the supplies of natural gas to power plants in order to facilitate a greater supply of electricity.

 

Benzine prices in the Kurdistan Region have spiked to unprecedented levels in recent weeks, despite the KRG introducing pricing caps in July.

 

Shortages were caused by the renewed regional conflict and higher costs of materials needed to produce higher qualities of fuel have resulted in reduced supply at gas stations and higher prices across the Kurdistan Region provinces.

 

In a meeting with representatives from the natural resources ministry and other relevant authorities in late July, Kurdistan Region Prime Minister Masrour Barzani called for resolving the issue “as soon as possible, in a way that takes into account the interests of the citizens of the Kurdistan Region.”

 

The Kurdish premier also directed exerting efforts to “prevent monopolies in the fuel sector, especially gasoline.”

 

On Tuesday, scores of lawmakers signed a petition calling on the Iraqi government to increase Kurdistan Region’s share of crude oil or compensate the Region with benzine to address the worsening crisis.

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