The European Union is currently in discussions to partially suspend a number of sanctions on Syria’s energy industry, including lifting the ban on importing crude oil from the country. This follows a proposal put forth last month, in which the EU suggested removing the export ban on oil and gas technology, along with restrictions on participation in infrastructure projects and financing. This proposal, outlined in a non-paper, serves as a tool for EU member states in closed-door negotiations.
The EU is also considering the delisting of factions such as Hay’at Tahrir al-Sham (HTS) from its list of terrorist organizations. HTS, once a branch of Al-Qaeda in Syria and later linked to ISIS, played a key role in the downfall of the Assad regime. However, any delisting of groups like HTS would require a decision at the UN Security Council level before the EU could act.
In addition to these discussions, the EU is considering lifting restrictions on Syrian airlines, including the Syrian Arab Airlines, to enable the continuation of civilian flight operations between the EU and Syria.
EU Regulation 36/2012 currently enforces several restrictions on Syria’s energy sector, including:
- A ban on transporting crude oil and petroleum products of Syrian origin
- Prohibitions on providing key oil and gas technology to Syria
- Restrictions on providing insurance and reinsurance services to Syrian entities
Similarly, the United States has implemented sanctions, which include:
- Bans on the export, re-export, sale, or supply of any services to Syria
- A prohibition on importing or dealing with Syrian-origin petroleum
- Restrictions on new investments in Syria
Syria has been facing a severe energy crisis following Iraq’s decision in December to halt crude oil deliveries. The Iraqi Parliament confirmed that Syria would no longer receive the ~120,000 barrels of crude oil it had been importing daily from Iraq. The cessation of oil shipments from Iran, triggered by changes in Syria’s political landscape, has compounded the situation. As a result, fuel prices in Syria have surged due to acute shortages during this transitional period.