Prioritization of Iran’s Oil and Gas Trade Options Under Economic Sanctions

Document Type : Research Paper

Authors

1 Accounting and Management Faculty, Allameh Tabataba'i University, Tehran, Iran.

2 Scientific Board Member, Islamic Parliament Research Center, Tehran, Iran

3 PhD Candidate,, Faculty of Management,, Allameh Tabataba’i University, Tehran, Iran.

Abstract

Iran ranks second and third in gas and petroleum reserves in the world and energy export revenues constitutes a significant portion of the government’s annual budget. On the other hand, energy trade plays a pivotal role in forming regional and international relations. This study explored the economic and political aspects of petroleum and gas exports in different stages of their value chain and aimed to prioritize export options for Iran assuming economic sanctions will be in place. At first, based on the literature review and experts' opinions, subcriteria of economic and political criteria were determined. Economic subcriteria were added value, ease of income access, and demand security, and political subcriteria were facilitation of strategic cooperation and buyer dependency potential. Finally, priorities of policy alternatives obtained through an AHP-based questionnaire filled by 16 experts from relevant fields. Policy alternatives from most o least favorable were: gas export via pipeline, export of petroleum products and petrochemicals, export of gas-based petrochemicals, export of petroleum products, export of LNG, and export of crude oil.

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