Iran, Turkey negotiating to resolve gas row within a month
Baku, Azerbaijan, Oct. 5
By Fatih Karimov - Trend: Iran and Turkey are negotiating to resolve their gas dispute by the next month.
Azizollah Ramezani, director for international affairs at the National Iranian Gas Company, said Iran is ready to boost volume of gas exports to Turkey, Shana news agency reported Oct. 5.
Turkey claims that Iran sells it gas at a high price, he said, adding that Iran will export gas to Turkey at a cheaper price if Turkey increases volume of Iranian gas imports.
In 1996, Iran and Turkey signed a 25-year deal on supply of Turkey with 30 million cubic meters of gas daily. Although the contract is still in place, it remains a sore point in the two countries' gas relationship. The two sides have held new talks on both price and volume of imported gas from Iran.
Turkey wants Iran to bring the price down to international levels as the Turkish believe the price is high, asking for a 25-percent discount. Iran, also, has conditioned a reduced gas price on Turkey importing more gas from Iran .
Iran reportedly charges Turkey $490 for every 1,000 cubic meters of natural gas it exports to its neighbor. Turkey claims that the Republic of Azerbaijan and Russia supply gas to Turkey at $335 and $425 per 1,000 cubic meters, respectively.
Turkey has filed two complaints in the International Court of Arbitration accusing Iran of overcharging for its gas, while also complaining of its low quality and quantity, first of which have been announced in favor of Iran.
Iran is Turkey 's second supplier of gas after Russia, providing for one-fifth of the country's consumption.
Edited by CN