Verdict on Gas Dispute With Turkey in 2016

Verdict on Gas Dispute With Turkey in 2016Verdict on Gas Dispute With Turkey in 2016

The International Court of Arbitration will announce its verdict over long-awaited Iran-Turkey gas dispute in late January 2016, director for international affairs at the National Iranian Gas Company said on Sunday.

"Turkey’s state-owned oil company Botas appealed to ICA regarding the price and volume of Iranian gas in March 2012," Azizollah Ramezani was quoted as saying by Shana.

According to Ramezani, ICA began proceedings regarding Turkey’s claim long time ago, but the verdict is yet to be reached.

In its first decision on Iran-Turkey gas dispute, the ICA ruled against Turkey’s complaint that Iran delivers "insufficient" amount of gas to the Eurasian country.

Given Ankara's complaint that the price was too high, Hamidreza Araqi, the National Iranian Gas Company's managing director, believes that Turkey compared world energy market prices, Russia's gas price and that of non-gas energy markets, and assumed that Iran sells gas to Turkey at a higher price compared to that of other regional countries.   

According to Araqi, the two sides have provided ICA with their own proofs and everybody is waiting for the final decision.

Turkey receives more than 90% of Iran’s natural gas exports under a long-term contract, which amounts to 30 million cubic meters per day and about 0 billion cubic meters per annum.