Al Sudani struggles to maintain Iraq’s political stability
9 May 2024

Iraq’s Prime Minister Mohammed Al Sudani is now more than halfway through his term. While there have been some notable economic developments, such as the massive energy deal with TotalEnergies signed in July 2023, his main accomplishment may well be maintaining a fragile political settlement.
When he took office in late October 2022, it ended a year of tense political infighting following the 2021 election. The next national poll is expected in October 2025, but while the government itself may appear secure, Iraqi politics is as turbulent as ever.
The Council of Representatives has not had a permanent speaker since November, when Mohammed Al Halbousi was dismissed by the Federal Supreme Court and forced to step away from parliament. Mohsen Al Mandalawi was named acting speaker, but fierce debate continues over handing the job to anyone else on a more formal basis.
The latest figure to be proposed is Salem Al Issawi, who is backed by three Sunni blocs but opposed by the largest Sunni group, Al-Halbousi’s Taqaddum (Progress) party.
Under Iraq’s ‘muhasasa’ system of dividing the political spoils along religious and ethnic lines, the speaker’s job goes to a Sunni politician, while the federal presidency goes to a Kurd and the prime minister is Shia.
Al Sudani is now also facing a fresh challenge on the domestic front in the shape of a mooted return to the political scene by rival Shia leader Moqtada Al Sadr, who announced his retirement from frontline politics in August 2022. Earlier that year, he had pulled all his MPs from parliament, effectively handing power to Al Sudani’s Coordination Framework.
Al Sadr now looks set to change course. On 10 April, he renamed his organisation from the Sadrist Movement to the National Shiite Movement and further statements since then point to a possible return to the electoral battlefield. Given his past ability to mobilise large numbers of followers, he could have a significant impact on the next election and events leading up to it.
“Al Sadr maintains strong support from parts of the street, but it may prove difficult for him to reassert himself after ceding control over powerful institutions to the Coordination Framework,” said Winthrop Rodgers, an independent analyst focused on Iraq. “However, his return will certainly complicate dynamics within Shia politics.”
His likely return will also test Iranian influence on Baghdad. Tehran has been able to exert huge influence over Iraqi politics through its allied Shia politicians and militia groups, but Al Sadr has been the most prominent Shia figure to resist such ties in recent years.
Al Sudani has, though, been reaching out to other neighbours, too. In April, he hosted Turkish President Recep Tayyip Erdogan, who was making his first trip to the country since 2011. The visit resulted in more than 20 agreements and memoranda of understanding, including one covering the contentious issue of cross-border water resources, as well as security and trade. However, there was no sign of progress on re-opening an oil export pipeline from Iraqi Kurdistan to Turkey.
Trade route
Under Al Sudani, Baghdad and Ankara have also managed to get Abu Dhabi and Doha on board with the Development Road initiative, a $17bn plan to develop a 1,200km trade route from the Gulf through Iraq to Turkey and, from there, on to Europe. The UAE had previously thrown its weight behind the India-Middle East-Europe Economic Corridor initiative, launched in New Delhi in September – but that plan involves using Israeli ports.
“In light of the Gaza war, a trade route through Israel is unlikely to be something that many Gulf rulers want to be too closely associated with at the moment,” said one regional analyst.
For the Iraqi trade route to build up real momentum, the security situation around the country will need to improve further. While the Islamic State has been largely defeated, other pro-Iran groups continue to be active, including several that have banded together as the Islamic Resistance in Iraq (IRI).
Many of that umbrella group’s recent actions have been directed against Israel, including a cruise missile attack on 2 May, which targeted Tel Aviv. Such actions hold the potential for Iraq to be drawn into any expansion of the Israel-Hamas conflict, perhaps as a proxy battleground between Iran and Israel.
Other apparent IRI attacks have been directed at local targets, such as a drone attack on the Khor Mor gas field in the Kurdistan region in late April, which killed four Yemeni workers and forced UAE-based operator Dana Gas to suspend operations for several days.
Kurdistan election in doubt
Kurdistan, meanwhile, has other all-but-intractable political problems. Most recently, the Kurdistan Democratic Party (KDP) insisted it will not participate in the regional parliamentary election planned for 10 June – two years after it should have been held.
That stance was prompted by a Federal Supreme Court ruling in February that ended the practice of reserving 11 seats for minority groups including Turkmen, Christians and Armenians after ruling that the quota was “unconstitutional”. The MPs holding those seats had generally voted in step with the KDP – something that led its rival, the Patriotic Union of Kurdistan (PUK), and others to file a court case arguing that the communities were no longer properly represented.
The KDP has emerged as the largest party from every election in the region over the past two decades and its pledge to sit out this election creates a thorny issue for Baghdad, which is now in charge of the process – after the Supreme Court also ruled in February that oversight of the elections should be handed over from the Kurdish authorities to the federal Independent High Electoral Commission.
“If the KDP does not participate in the election, the Kurdistan Regional Government will effectively cease to function as a cohesive political entity; if Baghdad gives into the KDP’s gamesmanship, it sets a bad precedent that a single party can prevent an election if it feels it will be disadvantaged,” said Rodgers.
No solution has been found as yet. Kurdistan region president Nechirvan Barzani was in Tehran on 6 May, where he held talks with Iranian President Ebrahim Raisi and Supreme Leader Ali Khamenei, among others. Trade and cross-border security issues were at the top of the agenda, but some reports suggested Barzani had also tried to persuade Tehran to put pressure on the PUK to agree to a delay to the June poll.
On 8 May, a further element of chaos was leant to the proceedings when the High Electoral Commission suspended preparation for the Kurdish election in response to a lawsuit filed by the KDP over the distribution of constituencies.
Together, the prospect of a major rival Shia bloc returning to Baghdad politics ahead of the 2025 Iraqi parliamentary election and the risk of the breakdown of the political process in Kurdistan threaten to disrupt the relative political calm that Al Sudani has worked to cultivate. Handling the shifting political landscape will require astuteness.
Image: مكتب اعلامي لرئيس الوزراء, CC BY-SA 4.0, via Wikimedia Commons
Exclusive from Meed
-
Executive briefing: US-Israel-Iran conflict6 March 2026
-
-
UAE utilities say services stable amid tensions6 March 2026
-
Drawn-out conflict may shift planning priorities6 March 2026
-
All of this is only 1% of what MEED.com has to offer
Subscribe now and unlock all the 153,671 articles on MEED.com
- All the latest news, data, and market intelligence across MENA at your fingerprints
- First-hand updates and inside information on projects, clients and competitors that matter to you
- 20 years' archive of information, data, and news for you to access at your convenience
- Strategize to succeed and minimise risks with timely analysis of current and future market trends
Related Articles
-
Executive briefing: US-Israel-Iran conflict6 March 2026
In this executive briefing, Ed James and Colin Foreman from MEED outline the key developments in the US-Israel-Iran conflict and examine the potential economic, infrastructure and market impacts across the Middle East.
Drawing on regional data and analysis, the briefing explores the drivers behind the escalation, the scale of attacks across GCC states, and the possible short- and long-term implications for energy markets, shipping, aviation and regional investment.
For ongoing updates and verified reporting as events unfold, follow MEED’s mega thread here.
https://image.digitalinsightresearch.in/uploads/NewsArticle/15890483/main.gif -
Kuwait extends bid deadline for Al-Khairan phase one IWPP6 March 2026

Kuwait has extended bidding for the first phase of the Al-Khairan independent water and power producer (IWPP) project.
The project is being procured by the Kuwait Authority for Partnership Projects (Kapp) and the Ministry of Electricity, Water & Renewable Energy (MEWRE).
The facility will have a capacity of 1,800MW and 33 million imperial gallons a day (MIGD) of desalinated water.
It will be located at Al-Khairan, adjacent to the Al-Zour South thermal plant.
The new deadline is 30 April.
The main contract was tendered last September, and the deadline had already been extended once, most recently until 4 March.
Three consortiums and two individual companies were previously prequalified to participate.
These include:
- Abu Dhabi National Energy Company (Taqa) / A H Al-Sagar & Brothers (Saudi Arabia) / Jera (Japan)
- Acwa (Saudi Arabia) / Gulf Investment Corporation (Kuwait)
- China Power / Malakoff International (Malaysia) / Abdul Aziz Al-Ajlan Sons (Saudi Arabia)
- Nebras Power (Qatar)
- Sumitomo Corporation (Japan)
The Al-Khairan IWPP project is part of Kuwait’s long-term plan to expand power and water production capacity through public-private partnerships (PPPs).
The winning bidder will sign a set of PPP agreements covering financing, design, construction, operation and transfer of the project.
The energy conversion and water purchase agreement is expected to cover a 25-year supply period.
Kapp extended another deadline recently for a contract to develop zone two of the third phase of the Al-Dibdibah power and Al-Shagaya renewable energy project.
The PPP authority is procuring the 500MW solar photovoltaic independent power project (IPP) in partnership with the ministry.
The bid submission deadline was moved to the end of April, a source close to the project told MEED.
According to the MEWRE, the total generation capacity currently offered under partnership projects has reached 6,100MW, equivalent to about 30% of Kuwait’s existing power capacity.
The ministry and Kapp are also preparing to tender the main contract for the 3,600MW Nuwaiseeb power and water desalination plant after plans were approved by Kuwait’s Council of Ministers last November.
https://image.digitalinsightresearch.in/uploads/NewsArticle/15889101/main.jpg -
UAE utilities say services stable amid tensions6 March 2026
Register for MEED’s 14-day trial access
Abu Dhabi National Energy Company (Taqa) and Etihad Water & Electricity (EtihadWE) have confirmed that water and electricity services in the UAE are operating normally amid ongoing regional tensions.
In a statement, Taqa said it had activated its risk management frameworks and “power generation, water desalination, transmission, distribution and wastewater services are operating safely and without interruption”.
According to Etihad WE, services are being delivered with “approved response plans” and “precautionary operational procedures” amid the current regional circumstances.
Taqa is one of the UAE’s largest integrated utilities, with assets including the Taweelah B independent power and water (IWPP) plant and the 2,400MW Fujairah F3 combined-cycle power plant.
EtihadWE operates electricity and water distribution networks across the Northern Emirates, supplying more than two million residents.
Iran’s recent missile attacks on energy infrastructure across the GCC in retaliation for US-Israel attacks have drawn renewed attention to the importance of the region’s utilities sector.
While power and water assets have largely avoided damage, there have been some incidents affecting broader energy infrastructure.
Saudi Aramco had shut down its Ras Tanura refinery following a drone strike, while US cloud provider Amazon Web Services reported service outages after incidents at two data centres in the UAE.
In January, Taqa and Etihad won a contract alongside France’s Saur to develop and operate a major wastewater treatment plant in the UAE’s northern emirate of Ras Al-Khaimah.
The Rakwa wastewater infrastructure project is RAK’s first public-private partnership for a sewage treatment plant.
https://image.digitalinsightresearch.in/uploads/NewsArticle/15888121/main.jpg -
Drawn-out conflict may shift planning priorities6 March 2026
Commentary
Mark Dowdall
Power & water editorAcross the GCC, power and water networks have largely been planned around steadily rising consumption, driven by population growth and cooling demand.
A drawn-out conflict in the region may begin to change how planners think about these systems – particularly how they can keep operating if parts of the network are disrupted.
On Thursday, Iran’s Energy Minister Abbas Aliabadi said that US-Israeli attacks had damaged water and electricity supply facilities in several parts of the country, while urging the public to be careful with water and electricity consumption.
So far, major power and water infrastructure in the GCC has largely avoided damage. In the case of desalination, plants of this scale supply drinking water to millions of people, so striking them would immediately affect civilian populations and represent a significant escalation.
There is also an element of mutual vulnerability. Iran relies on its own electricity and water infrastructure, and Aliabadi’s comments this week suggest those systems are already under pressure. Targeting desalination plants in the GCC could invite similar disruptions at home.
However, if infrastructure disruption becomes a recurring risk in the region, the question may gradually shift from how to produce more water and electricity to how to reduce immediate reliance on continuous supply.
Some elements of that thinking are already visible in the project pipeline. In Saudi Arabia, for example, total reservoir storage capacity has reached about 25.1 million cubic metres, with roughly 44% located in the Mecca region and 31% in Riyadh. This provides a buffer that can sustain supply temporarily if desalination production is disrupted.
Additionally, the kingdom has about $8bn-worth of water storage projects in early study or feed stages. As regional tensions persist, schemes like this may move higher up the priority list.
https://image.digitalinsightresearch.in/uploads/NewsArticle/15887101/main.jpg -
US oil companies to profit while Middle East exports are curtailed6 March 2026
While the oil and gas operations of the Middle East’s biggest producers are being dramatically curtailed by the conflict sparked by the US and Israel’s attack on Iran, US producers are likely to see windfall profits.
So far, the list of oil and gas assets in the Mena region disrupted by the conflict is long and includes facilities in all GCC nations, as well as Iraq and Iran itself.
In addition to oil fields and refineries that have been shut – either due to direct Iranian attacks or concerns over further strikes – about 20 million barrels a day (b/d) of production has been removed from the global market by the effective closure of the Strait of Hormuz.
Oil price
The disruption to global oil and gas supplies caused by the Iran conflict has pushed oil prices up by around 15%, with Brent briefly rising above $85 a barrel on 3 March – its highest level since July 2024.
This has boosted investor optimism about the outlook for US oil companies.
Texas-headquartered ExxonMobil made $56bn in profit in 2022 after Russia’s invasion of Ukraine created a sustained period of higher oil prices. It was a record year for the company, and it could see a similar bump this year if oil prices remain high.
Shale response
US shale producers are ramping up production to capitalise on higher oil prices, according to the Paris-based International Energy Agency (IEA).
Recently drilled shale wells could add around 240,000 b/d of supply in May, and an additional 400,000 b/d could be added in the second half of the year, according to an IEA document cited by the Financial Times.
Gas impact
The impact of the Iran conflict on liquefied natural gas (LNG) prices has been even more pronounced than on oil, with several gas benchmarks hitting multi-year highs.
The Dutch Title Transfer Facility rose by 55%, reaching its highest level since fuel markets spiked after Russia’s 2022 invasion of Ukraine.
One of the key factors driving prices higher was Qatar – the world’s second-biggest LNG producer – halting exports on 2 March after Iranian attacks on several facilities.
Qatar is expected to take at least several weeks to restart exports from its liquefaction terminals.
Not only will time be required to ensure the export route through the Strait of Hormuz is secure, but restarting LNG export terminals is also a gradual process. They require a slow restart to avoid damaging cryogenic equipment, which cools natural gas to around -160°C.
In addition, LNG trains must be brought back online sequentially; Qatar’s Ras Laffan hub has 14 trains.
US advantage
While the world’s second-biggest LNG producer is likely to be offline for some time, the US – the world’s biggest LNG producer – is already operating near full capacity and is benefiting from the higher-price environment.
Cheniere and Venture Global, the two biggest US LNG producers, have both seen their share prices rise amid the conflict.
Cheniere shares are up 18% since the start of February, while Venture Global’s share price has risen 12% over the same period.
The scale of additional revenues earned by US companies – and the revenue losses suffered in the Middle East’s oil and gas sector – will largely depend on how long the disruption linked to the Iran conflict continues.
If the disruption persists and significant long-term damage is done to Middle East oil and gas infrastructure, US-based oil and gas companies could record another year of record profits.
https://image.digitalinsightresearch.in/uploads/NewsArticle/15886759/main.png
