AGP Executive Report

Iraq-US Energy Push: Iraqi PM Ali al-Zaidi heads to Washington aiming to lock in big U.S. investment for oil, gas, and power, with talks focused on energy and trade deals and an energy/development fund to reduce Iraq’s exposure to Strait of Hormuz disruptions. Migration & Smuggling: Iraqi Kurdistan and the UK-backed anti-smuggling project targets irregular routes to Europe, pairing public awareness and youth support with tougher action against traffickers. Water & Climate Resilience: Iraq’s water reserves reportedly rebound to 34b cubic meters after historic lows, a reminder of how fast conditions can swing. Strait of Hormuz Pressure: New strikes and mine threats keep shipping and fuel flows under stress, raising costs and uncertainty for the region’s economies. Landmines & Safety: Afghanistan’s mine toll remains severe, with Iraq listed among heavily affected countries—another stark warning for land safety and recovery planning. Tech & Privacy: A moisture-activated self-disabling battery concept is pitched as a “kill switch” for surveillance-style IoT devices, feeding the privacy debate.

Water Security in Iraq: Iraq’s strategic water reserves rebounded sharply to 34 billion cubic meters after hitting historic lows of about 5 billion in early 2026, with officials linking the surge to seasonal rainfall while warning that sustainable management and cross-provincial coordination are still crucial for the next agricultural cycle. Kurdistan Skills for a Greener Economy: In Erbil, the Rwanga Foundation and the University of Kurdistan launched a TVET program for 300+ students, training young people in auto maintenance, computer science, digital marketing, and solar energy technologies. Iraq-US Talks with Energy on the Agenda: Iraqi Prime Minister Ali al-Zaidi is set to visit Washington and meet President Trump, with discussions expected to cover investment, banking reforms, and energy and infrastructure cooperation aimed at reducing the Strait of Hormuz’s impact. Regional Energy Risk from Gulf Tensions: Renewed US-Iran hostilities and Hormuz disruption continue to rattle oil flows and raise the stakes for regional stability and global energy prices. Local Governance & Security: Iraqi armed factions linked to Iran-aligned groups are resisting Baghdad’s push to bring weapons under exclusive state control unless security guarantees and US withdrawal assurances are met.

Iraq Weapons Policy: Iraq’s push to bring all weapons under exclusive state control is hitting a wall. Iran-aligned PMF factions say they won’t disarm without guarantees on their safety, political status, and an end to US forces—raising uncertainty ahead of Prime Minister Ali al-Zaidi’s Washington visit. Energy & Climate Resilience: In Erbil, the Rwanga Foundation and University of Kurdistan launched a TVET program for 300+ students, training in auto maintenance, computer science, digital marketing, and solar energy—aimed at building local technical capacity. Gulf Risk to Iraq’s Environment: Renewed US-Iran hostilities are again stressing the region’s shipping and aviation links tied to the Strait of Hormuz, with knock-on effects for energy prices and food pressures that can worsen pollution and climate vulnerability across the Middle East.

Solar for Iraq’s power gap: Iraq may need about 20–25 million solar panels to add roughly 12 GW and close a widening electricity deficit as demand surges past 50,000 MW while generation stays below 25,000 MW, with experts urging rapid solar buildout plus grid upgrades. Climate displacement: A new look at Iraq’s displacement shows war-driven migration easing, while water scarcity and environmental stress are increasingly shaping long-term mobility. Extreme heat risk: Oxford research ranks Al Basrah as Iraq’s top heat-vulnerable city (and among the world’s worst), underscoring the need for climate-resilient urban planning and cooling. Gulf shipping under strain: US-Iran missile and drone exchanges are again disrupting Strait of Hormuz security, with knock-on effects for energy flows and regional stability. Water & food security: WFP and ICBA are partnering to strengthen water governance and climate-smart agriculture to protect food security. Energy tech privacy: Researchers report a moisture-activated stretchable battery that can permanently disable IoT sensors—an unusual but relevant privacy and security angle as connected devices spread.

Solar Power Push: Iraq’s power crunch could be eased by adding roughly 20–25 million solar panels (about 12 GW), with experts warning the summer demand gap is widening fast and that aging grid networks also need upgrades. Climate & Mobility: A new look at Iraq’s displacement shows war-driven migration is easing, but climate stress—especially water scarcity—is increasingly shaping where people move next. Heat Risk in Iraq: An Oxford study ranking 205 cities by heat risk puts Basra at the very top, highlighting that exposure alone isn’t the whole story—social vulnerability and weak cooling capacity matter too. Dust Storms: The UN’s weather agency says sand and dust storms are worsening health and environmental impacts, blaming drought and land degradation alongside natural dust sources. Energy Security Shockwaves: With Strait of Hormuz tensions still disrupting oil flows, India is weighing whether to resume Iranian crude purchases if a US sanctions waiver is extended—showing how regional energy swings can ripple into global markets.

Strait of Hormuz Disruption: Shipping traffic through the Strait of Hormuz has “effectively grind to a halt” amid renewed US-Iran fighting, with far fewer tracked transits and fears of longer start-stop disruptions that could ripple into energy supplies and costs. Extreme Heat Risk: A new global ranking flags Iraq’s Al Basrah as the world’s most at-risk city for extreme heat, with the study pointing to high vulnerability and limited coping capacity as temperatures keep rising. Food Security Pressure: A farmer-led warning says food shortages could worsen as fuel and fertiliser pressures mount, with Strait of Hormuz uncertainty adding to the squeeze on inputs. Energy Transition Tech: VEICHI says it has rolled out commercial-and-industrial solar plus energy storage and microgrid solutions aimed at cutting power fluctuation risks for businesses. Local Climate Resilience Debate: An Oxford professor sparked controversy by arguing homes in hotter regions may need air conditioning—while also backing passive cooling upgrades to reduce heat stress. Mine Action Knowledge Sharing: Japan and Cambodia are expanding demining expertise sharing, including training for Ukraine, as landmines remain a major threat worldwide.

Extreme Heat Risk: A new global ranking flags Iraq’s Al Basrah as the world’s most at-risk city for extreme heat, with the study warning that heat danger spikes where vulnerability and low coping capacity meet. Air Pollution & Dust Storms: The UN’s weather agency says last year’s severe sand and dust storms in places like China and the U.S. harmed air quality and ecosystems, blaming drought and poor land and water management. Energy & Shipping Pressure: Strait of Hormuz traffic remains far below pre-war levels even after a mid-June truce, as tankers leave loaded but owners hesitate to send empty ships back—raising new uncertainty for Gulf exports that include Iraq. Iraq Energy Transition: Iraq is pushing to end gas flaring by 2030 while expanding renewable energy projects, aiming to cut pollution and improve efficiency. Renewables in Iraq: Reports also note Iraq’s growing solar push, including solar power use in schools and government buildings. Regional Security Impact on Environment: Germany is accelerating troop withdrawals from an Erbil base, after repeated attacks tied to the Iran conflict—another reminder how instability disrupts infrastructure and safety across the region.

Climate Resilience in Iraq: The UN World Food Programme (WFP) and ICBA launched the MURUNA project to boost Iraq’s climate resilience, targeting drought, desertification, rising temperatures, and shrinking Tigris-Euphrates flows through water governance, community water management, and climate-smart farming (with a strong focus on women). Anti-Corruption Oversight: Iraq’s parliament dismissed Haider Makkiya, head of the National Investment Commission, and referred related files to the Integrity Commission as part of an anti-corruption push. Water & Food Security: The same WFP/ICBA effort links water planning with farm support, aiming to protect rural livelihoods and food security as heat and water scarcity worsen. Regional Diplomacy: Iraq is stepping up Gulf engagement; Kuwait agreed to release detained Iraqi fishermen, signaling a push to repair ties ahead of a planned Iraqi PM visit to the U.S. Oil Sector Scrutiny: An Iraqi MP says the anti-graft drive could include reviewing oil contracts and licensing rounds to improve efficiency and protect public funds.

Climate Resilience in Iraq: The UN World Food Programme (WFP) and ICBA launched the MURUNA project to help Iraq cope with drought, desertification, rising temperatures, and shrinking Tigris-Euphrates flows, using inclusive water governance, community water management, and climate-smart agriculture with support from Canada. Water Security & Agriculture: The program will work with Iraq’s Ministry of Water Resources and water user associations to improve planning, infrastructure, and fair water allocation, with a strong focus on women and vulnerable farmers. Local Governance Oversight: Iraq’s parliament dismissed the head of the National Investment Commission and sent related files to the Integrity Commission, signaling continued pressure on public institutions. Energy & Environment Pressure: Reports on renewed Strait of Hormuz disruption highlight how Gulf shipping risks can ripple into regional stability and resource access—an indirect but real pressure on water and food systems.

Iraq–Iran Financial Pressure: Baghdad agreed to urgent U.S. demands to tighten oversight and halt dollar flows to Iranian-backed militias, aiming to stop Iraq’s banking system being used to evade sanctions. Regional Airspace Safety: The EU Aviation Safety Agency extended its advisory urging airlines to avoid flying through Iran, Iraq, and Lebanon airspace until July 31, citing ongoing security risks for civilian flights. Extreme Heat & Water Stress: Iraq’s extreme heat is driving major daily economic losses, while reports also warn that pollution in the Tigris and Euphrates threatens health, including cancer and kidney failure risks. Solar & Energy Access: Iraq is expanding solar power use across schools and government buildings, and also pushes renewable energy and LPG vehicle growth as part of broader energy planning. Local Culture, Environment Angle: Baghdad’s old movie theaters remain shuttered, but Iraq’s film revival is slowly gaining momentum—an indirect reminder that rebuilding public life matters alongside rebuilding the environment.

Aviation Safety: The EU Aviation Safety Agency (EASA) extended its advisory urging airlines to avoid Iran, Iraq, and Lebanon airspace until July 31, 2026, warning of ongoing security risks that could mean longer routes and higher costs. Climate & Heat Risk: Extreme weather is disrupting the 2026 World Cup, with heat and storms triggering delays and cooling breaks across North America—another reminder that climate stress is becoming a real operations issue, not just a forecast. Water & Health in Iraq: AP reports funeral processions for Iran’s late Supreme Leader Ali Khamenei are underway in Najaf, while regional strikes raise concerns that fragile agreements could unravel—an indirect but serious risk for public health and local services. Industry & Food Security: KEPPT says it has lined up J.P. Morgan financing for a US$1.6bn urea plant in Basra, aiming to cut Iraq’s urea imports and support agriculture, with construction planned from 2027. Local Nature Tourism: Byara in Kurdistan is pushing to become a UN Best Tourist Village, highlighting mountain water, air, and its historic khanaqah and madrasa.

Solar Power Push in Iraq: Iraq’s renewable push is moving fast: 209 schools and 150 government buildings have been equipped with solar power, with seven healthcare centers also brought online, easing pressure on the grid and cutting emissions. Extreme Heat Warning: A new Oxford study flags Al Basrah as Iraq’s city most at risk from extreme heat, with climate stress already driving daily losses and threatening public health. Tigris-Euphrates Pollution Alert: Ongoing pollution in Iraq’s rivers is raising fears of cancer and kidney-failure outbreaks, adding to the country’s water and health strain. Energy Security Shock from Hormuz: Attacks near the Strait of Hormuz are sending oil prices up and down, while the U.S. revokes an Iran oil waiver—an unstable fuel mix that can ripple into Iraq’s energy costs and air quality. Solar for Public Services: Iraq also aims to end gas flaring by 2030 and expand renewables, including more clean power for essential buildings.

Solar for public services: Iraq’s National Team for Renewable Energy Projects says 209 schools and seven comprehensive healthcare centers are now running on solar power, as the country pushes decentralized clean electricity to cut grid strain and emissions. Extreme heat risk: A new Oxford study ranks Al Basrah as the city most at risk from extreme heat, warning that heat plus vulnerability and limited coping capacity is a deadly mix. Water pollution crackdown: Iraq’s top Shia cleric Ayatollah Ali al-Sistani issues a religious ruling banning dumping untreated sewage, solid waste, and biomedical/chemical waste into rivers, citing harm to public health and calling for proper waste management. Energy and industry push: KEPPT has hired J.P. Morgan to arrange financing for a $1.6bn urea plant in Basra, aiming to boost local production and support agriculture while claiming reduced environmental impact. Heat and health link: The wider coverage also flags pollution of the Tigris and Euphrates as a driver of cancer and kidney-failure outbreaks, keeping water quality high on the agenda.

Extreme Heat Watch: Iraq is seeing a sharp rise in days above 50°C, with the Iraq Green Observatory warning that each extreme-heat day can cost about $150 million and that 2025 losses topped $9 billion; heatstroke cases and tree losses are also climbing, as dust storms intensify. Water Pollution & Health: Ayatollah Al-Sistani’s office says dumping untreated sewage, solid waste, and hazardous waste into rivers like the Tigris and Euphrates is forbidden and harmful, urging proper waste management as pollution worsens in cities including Najaf. Oil & Gas Environment: Basra Oil Company signed a five-year integrated management contract with Halliburton for the Bin Omar and Sindbad fields, including plans to raise crude output and associated gas supply for power generation. Gas Flaring Impact: A World Bank tracker says Iraq remains among the world’s biggest gas flaring contributors, with flaring driving major greenhouse emissions. Energy Security Pressure: With Hormuz tensions, Iraq is preparing alternative oil export routes via Syria to reduce disruption, highlighting how regional shocks can ripple into Iraq’s energy and environmental risks.

Extreme Heat in Iraq: Iraq’s Green Observatory says days above 50°C have surged to 25–40 annually in Baghdad, Basra and Maysan, driving about $150 million in losses per hot day and over $9 billion in 2025 heat impacts, alongside heatstroke cases and major tree losses. Water Pollution Crisis: Iraq’s parliament is set to debate pollution in the Tigris and Euphrates after warnings linking sewage and toxic dumping to soaring kidney failure and cancer rates. Corruption Watchdogs: A human rights group says protecting corruption informants is key to Iraq’s Dawn Crackdown, urging safe reporting channels and witness protection to prevent retaliation. Oil Route Shift for Exports: Iraq plans to reopen a Syrian land route for oil exports to reduce dependence on the Strait of Hormuz, including tanker-truck shipments via Syria’s Banyas port while longer-term pipeline work is discussed. Global Gas Flaring: A World Bank tracker finds Iraq among the top flaring countries, with global flaring rising again in 2025 and major emitters driving most of the increase. Renewables Momentum: Oman is pushing major solar and wind buildouts, a reminder of how the region is accelerating clean power despite energy shocks.

Climate & Energy (Iraq): Iraq’s Cabinet approved preliminary agreements to study strategic oil export pipeline routes, including Basra–Haditha–Kirkuk–Ceyhan and Basra–Haditha–Baniyas, with a US-Qatari consortium (Chevron named) and KBR consultancy—aimed at boosting export capacity and energy security. Pollution & Methane: A World Bank tracker says gas flaring rose again in 2025, with Iraq listed among the biggest flaring countries; the report links flaring to major CO2 and methane emissions. Water & Environment: Reports note water salinity drops in Iraq’s Basra, while other coverage highlights Iraq’s heat extremes and ongoing water stress. Governance & Environment Policy: Iraq is also moving on environmental accountability with legal reforms, and there are calls to end gas flaring by 2030 alongside renewable energy expansion. Online Rights (Cybercrime): Iraqi lawmakers are set to debate a draft cybercrime law that Eco Iraq warns could be used to imprison people via vague wording—an indirect but important factor for how environmental and public-interest information can be shared online.