today is that there has been incredible progress in this is something that i monitor closely in my time in government. whether it is gas capture, electricity production in iraq, what i will ask everyone to consider and make sure it is put on the table at the same time is that it's all about supply. what is happening in iraq is the demand is outstripping that supply. unless we wrestle with those two challenges we are not really attacking the problem fundamentally. despite all the progress we talked about demand outstripping that and it has to be solved. coming back to the problem, gas flaring is a problem in that is what we have heard today. that is a fundamental climate problem for the globe and principally for iraq. that requires international investment in that international investment is on the sidelines watching what happens in iraq's oil sector. and it's electricity sector and how it resolves the disputes with beale and baghdad.

until that is resolved, i think you will watch investors on the sidelines. $10 billion is invested in the region today. that is at risk a block from the international market. the international investors have choices. that choice right now is sitting on the sidelines. the chinese are obviously not making that choice. the last thing that i would conclude with his i think the united states is also grappling with what is the future going to be. we received that today. we may see that tonight, we may see that tomorrow based on strikes. there is been a tenfold increase in iranian oil exports. iran does not exploit that oil loan. uses its partners. uses its neighbors. there is growing awareness not only across the region but also in this town in congress. in the u.s. government that they did not realize in those neighbors. iraq has some difficult choices ahead on which side of the dilemma that it is facing that i described in the beginning in terms of the united states,

united states vision for iraq or iran's vision for iraq. i think that that is why it is on the precipice. >> thank you for that. you mentioned the efforts in september. this is iraq's energy future critically important to the u.s. government. the only country he is engaged directly in. encouraging them to invest because he sees the importance of the region in this project. picking up on what you talked about, what i understand is a real conflict generally, but the itp enclosure specifically is causing a lot of problems, keeping the investment from flowing in as you mentioned. can you look in your geopolitical crystal ball and see how that gets remedied?

it has been 20 months of it is about to get fixed next week next week. what are, we all know why it is so important. do you have any thoughts on how this could be addressed? >> i have a lot of thoughts. i think at the end of the day, again, it comes back to how i framed it at the beginning. iraq is in the middle of a contest of its future and the vision that iran wants in the vision that the united states and its partners want. the iraqi turkey pipeline is the most emblematic example of that contest. and, so, i think that it gets resolved when the pressure on one side is bigger than the other. i think what we have seen so far is that the pressure has been greater on the east and it is the west. there are things that will change. the world does not change. the itp expires in 20 months. right now is a window for

renegotiating. the turks have indicated they do not attend to do that as a bilateral agreement. what does that look like when it is a pipeline that looks like most pipelines around the world. that can be used as a private piece of infrastructure with private entities to include the same structure that the pipeline did actually go through turkey and the rest of the world today. >> what happens when sanctions or views are occurring on how i ran and the gas secretary is operating. what are those consequences? again, it will come down to what is the future for iran. what is a future for the policy. it makes no economic sense of why it has close. they have lost close to 30,000 dollars. that makes no economic sense given how vulnerable its budget is viewed it needs foreign investment. it has to get solved.

the only reason it has gone on this long is because it is a clinical problem, not economically. >> thanks for that. a really great overlay from our expert panel here. i have some questions. i have a great question from the audience. i would like to turn to that and see who may want to feel that the question came in asking what sustainability concerns are unique to iraq's energy sector. how much the energies be tailored to the landscape. the point about listening to what iraq's needs, talking about the different sectors and outlines as well as both on electricity flaring as well as the geopolitical issues that both sarah and matt know. i would like to throw this question to the panel.

maybe the meeting starting off the sustainability the kickoff for you in this response. >> i think we have called it quite extensive. of course this is quite the high he access that is embedded into the community. it is a principal topic and that slip. it distributes this form of electricity. it implies the fact that you of course reduce the method you mentioned. all of those are connected together. i would say that that is more broadly speaking. a little bit earlier the fact that there is a huge potential

in the energy and the electricity. and the project is a good example. the greater access to clean electricity to these people. it is an interconnection and it is very much focused on whether. other system issues related to iraq. here on this, the next steps i would lead them to explain. >> i know that you are doing a lot of work on giving energy to people that are in energy for regions. how does your work and how do you see the status -- sustainability in iraq. >> in terms of environmental sustainability, i say the two keywords is the flaring and the deficit for power generation. all of these and affordability's

is another part that is important. especially for country and region that the population is increasing. they are heavily dependent. not just on their electricity, but water. i always ask these questions in my mind. the capital of carbon or methane overall emissions. if that emission is produced from video games that my kids are playing or from water that people have to drink, should we distinguish that. as much as the sustainability is crucial, affordability is important. it is basic human needs for the people to have access to the water and access to electricity. this is a question in many areas especially regions that are

heavily dependent or their water consumption and also the power generation to electricity. it is very challenging especially for companies where we are now having the representative in our panel. you have to increase your production of electricity or energy, but at the same time it should be environmentally friendly and affordable. this is a political factor. all of the bureaucracy and domestic issues that we have discussed, i would say the question of affordability is very important. we are counting every emission that is emitted it is very important to look at where that emission that has been produced is going. a basic human need on how affordable it should be. the other thing that i would like to mention is the difference between china and the u.s. that was mentioned.

we don't have that integration between u.s. government companies as you mentioned the assistant secretary puts a lot of effort, the government, companies are not going where the u.s. government wants them to go. in china there is that integration. it is much easier to move forward faster than american and western. >> thank you very much for that. turning to the representatives, kind of picking up, you both talked about the issue of sustainability

our aspects of our project we have the walter aspect that is a bit different from just providing electricity or capturing the gas. the fact that we would like to reduce the stress on water so that it can be used for agricultural needs, it can be used for human purposes is very important. today, the oil industry, particularly in iraq has been

quite, i would say bold in its use. it to use whatever means they have to get water access. that is not acceptable for us. we will be doing this water treatment plant that will provide water viewed water that has been treated. it would allow the area and the government to be able to use that freshwater that they have for these purposes instead of it being used for these purposes. if i may just add our project will be using only 10% of that water that we will be treating. the rest will go to the other fields that are not ours and are not operated.

around the 20s and we have a country also that is and to the other fields that are not ours. so the fact that we are very keen on that sustainable access is important. as a byproduct and that's not last but not least, the provision of jobs to the young population, iran -- iraq is a very young population. the median age is around the 20 s. we have a country also that is having a million new job seekers up in here.

we will provide jobs to the local population because we have committed ourselves. a very high percentage of iraq. it will be in iraqi project. it will be -- we will have a lot of iraqi stuff. that creation of 5000 direct jobs and 10,000 indirect jobs is not, last but not least and empowerment and a form of the sustainability. we have industrial, i would say, basic needs and socioeconomic with the job creation and the empowerment. as i mentioned in the beginning, it is part of the sustainability and affordability project.

>> thank you, henry. how do you meet demand for electricity reliably affordably and with the current output possible. touching upon i think that the simplest way is to add as many renewable gigawatts to the grid as you can. that is a challenge. in terms of cost and in terms of space. and then, ultimately, the variability of renewables. want to make sure you add renewables in a way that protects reliability. iraq is and will remain a cut -- hydrocarbon base for some time. shifting to natural gas.

as quickly and widely as possible. to me, longer-term in my opening remarks focusing on d carbon isaac that gas. there is, essentially, two ways to do that. introducing lower carbon fuels such as hydrogen that is currently expensive requires vast infrastructure. it will take a long time to emerge. even the most advanced economies carbon capture is probably more realistic of an option. the median to longer-term. it could be done. so, i think that these are the medium to longer-term challenges even as we are focused immediately on making sure there is enough gigawatts to serve all communities in the summer months which affects stability. we have touched upon this before

currently it is effectively a government subsidy. that subsidy is not unique to iraq. it is all over the world including the united states. improving certain groups of generation. when you are adding this kind of volume of capacity to the grid over time, whether it is renewables or more gas, does the government have the wherewithal to pay for that? if it does not, who starts to pay. what are people willing to pay for. i think that most consumers, residential, are not willing to pay a lot for electricity unless it's unreliable. so, i think you have to concentrate on making sure that the reliability is there may be the will to pay for that comes forward. businesses, you know, commercial and industrial enterprises are willing to pay more over time. how they work here in the united states as well. this is something that i do not

think we will solve. on this piano much less man in the long term. it is something to consider over time. you cannot look at any of this in the vacuum. the capacity solving the affordability needs just each and every. looking at it systemically. >> thank you, matt. looking at your perspective on your efforts there in northern iraq on sustainability and the environmental issues.

we are just hamstrung with the ability to leverage the right capital that is needed to get there. i think it is important to note that at the end of the day the iraqi people need and deserve reliable electricity. it is clean reliable. a critical role for iraq currently providing the federal government electricity and gas. if the above ground problems can be solved then the others are easily solved commercially. in terms of gas capture, iraq is so critical to the climate. >> foreign involvement investment. i would just add to that, just to pull out a little bit more of the china and iran piece, the dependency on foreign involvement building up the local capacity. i think building in the

geopolitical peace that folks have mentioned with ironic china i would just add to the question , you know, how does the local capacity build and how do you manage the foreign involvement? so, maybe, turning to you to start with that. >> we can start off with our example in china.model is very

attractive and it is easy because the chinese make it easy that is not there model that is well known. they come in and import their entire workforce. they are not focused on developing

>> big parts, we have seen different in africa, even in afghanistan when a country signs a bill with the china limited local content both in terms of materials and also labor. but also the story moves on in the country gets in with china. they start finding contrasts to go over minerals which iraq is short of them. and in countries that we have madagascar or even afghanistan and the nearby region. when china starts buying this construction projects, then, for

the repayment they often sign contracts and concessions over time. most of the murals are exported from this country extorted through pipeline. countries do not have any exact idea of the exact minerals that have been extracted. this is very much the case in afghanistan and pakistan and countries in africa that not just the local content but they really cannot exactly be sure of the types of minerals that have been extracted and exported from their countries. i would say the negotiations are the beginning. the responsible contracts that it all comes at the beginning is in the hands of government. the countries have a better system. we see that they are in a much better position. we are negotiating with parties like chinese companies. >> you mentioned this is a very high priority for your company and your long-term involvement there.

let me elaborate this for you. this is a question they wanted to focus on. how have you succeeded in the projects going forward? making sure you are building up this local expertise. >> so, yes. you know, we became operator a year ago. before we signed it, we were very clear about the fact that this will be a majority staffed iraqi endeavor. that is where we have been very, very precise about and it very let's say focused on onboarding as many iraqis as possible quickly and in a good way. training them, giving them opportunity also to move within the company and within the iraq

ecosystem. so, building expertise is cultural to us. it is not just performing that. we are today, we are today over 60% of our staff in iraqi and we will continue to do so until the end of the year to include that. the affiliate that they are putting together. so, this entails what? it entails putting them in jobs where they have increasing responsibility, where they basically learn also the way we function. every company has its own culture. also with the culture and we hope to have as many options of

success as possible very quickly there is the comments they are. the engagement, the current structural engagement. the readiness of the iraq is to on board with us. so, so far, we have done a good job. we have those that have been on board and we are on track to making it another story. i can give you this for sure. >> thank you. maybe i will turn to the next question. for you, george, we have discussed, mentioning tailoring projects to iraqi needs. what needs are you looking towards meeting next. ongoing projects.

mentioning the high increase in demand and the challenge to meet that demand. so, i guess, what are the next projects and how are they seeking to meet that demand? >> i've alluded to them, henry. obviously the need for additional guest capacity so we are in discussions with the iraqi government now on how do we address that need. you referenced earlier our efforts that are ongoing in the rehabilitation field. we just signed an agreement when the prime minister was here last year for a five year program that will preserve and enhance the ability to produce 741 gigawatts. at a time when peak generation iraq is producing 27. that is a fairly significant percentage of the overall fleet. i mentioned earlier

interconnections. you talked about the geopolitics of that. it is happening. we are working with the iraqi ministry of electricity with jordan which is starting to be energized as we speak. so, i think all of these things are currently underway. and they will be for the next five years or more. but if i may, as part of that agreement that we signed, we are also building a remote monitoring and diagnostic center in iraq. it effectively will get real-time, you know, pre-360- degree mural of what is happening with the iraqi fleet at any given moment to the ministry of electricity. that introduces, it is coupled with software so it introduces the capability of having predicted maintenance. in other words you can see not only having the asset operating

it is supposed to can you adjust in real-time or make better use of a planned delegation to address something that you would not have otherwise been able to see. all of that will build capacity in iraq. we employ, as i said earlier 200 people. 95% of that workforce is iraqi. these are all highly specialized very technical positions. it will just keep rolling as these efforts expand. we have done over 1000 trainings we will continue to do trainings it is absolutely essential to the operations and success, frankly of what we are doing. on top of that, we mentioned earlier the central government's ability to pay for all of this. it is not unlimited.