By Najia Badykova (09/02/2015 issue of the CACI Analyst)
In anticipation of the lifting of sanctions on Iran and the country’s resulting potential to become a major energy player in Eurasia, Tehran, its neighbors, and European countries are evaluating their options. Iran’s eagerness to enter the European and South Asian gas markets will immediately affect the Caspian Sea Basin, already subjected to intense rivalry over pipeline routes, where most prominently Turkmenistan targets the same markets. Iran cannot in the short term supply gas in the quantities needed to diversify European supply, but seeks to secure its participation in the European market by offering its territory for Turkmen gas deliveries to Europe. Iran is much better positioned towards South Asia, where it can export its surplus gas to Pakistan and India leaving Turkmen gas less competitive in those markets.
By Armen Grigoryan (19/08/2015 issue of the CACI Analyst)
The Iranian nuclear deal may create new opportunities for Armenia. However, whereas Armenia’s Ministry of Foreign Affairs and other governmental agencies should consider the opening prospects of energy cooperation with Iran seriously, their traditional pro-Russian attitude reduces the chance for taking advantage of the changing geopolitical situation and, at the same time, increases the risks for Armenia’s own security and regional stability in general.
By Richard Weitz (05/08/2015 issue of the CACI Analyst)
Now that the UN Security Council has blessed the Iranian nuclear deal, Tehran’s chances of becoming a full member of the Shanghai Cooperation Organization (SCO) in coming years have improved, following a decade of rejection. Iranian leaders have long wanted to join the SCO to gain diplomatic, economic, and security advantages. Nonetheless, Iran will need to overcome several major obstacles on its path to full membership, even if nothing goes amiss with the implementation of its nuclear deal.
By Charlie Smith (08/07/2015 issue of the CACI Analyst)
Central Asia is a key region that many believe has fallen into the crosshairs of the terrorist group calling itself the Islamic State (ISIS). Local governments are gravely concerned about returning fighters and possible ISIS infiltration in the region, and foreign powers, especially neighboring Russia and China, have expressed their deep concerns. This grim picture, however, obscures a more complex, and perhaps more accurate, story. Might the specter of ISIS have less to do with its on-the-ground ability to destabilize the region and more to do with the geopolitical concerns of those who are stating these threats?
By Erik Davtyan (06/24/2015 issue of the CACI Analyst)
In June 2015, Armenia and Iran held numerous talks on political and economic cooperation, energy security, and the Nagorno-Karabakh peace process. On June 10, Armenia’s ambassador to Iran, Artashes Tumanyan, met with Alaeddin Boroujerdi, the chairman of the Committee for Foreign Policy and National Security of Iran’s Islamic Consultative Assembly (parliament). Boroujerdi welcomed the fact that Armenia and Iran pursue a high-level political dialogue and successfully cooperate at the level of parliaments, emphasizing the unique role of the Armenian Diaspora in Iran’s development. In turn, Ambassador Tumanyan stressed the importance of deepening political dialogue and economic exchange and expressed his gratitude to Iranian authorities for the warm attitude towards Iranian Armenians and the preservation of Armenian cultural heritage in Iran. Touching upon the current turmoil in the Middle East and security issues, the Armenian ambassador stated that all regional issues should be solved only by political means and that Armenia runs a constructive and balanced policy in this context.
The official political dialogue between the two neighboring states continued in the following days in Yerevan. On June 11, the President of Armenia’s National Assembly Galust Sahakyan received the head of the Friendship Group Armenia-Iran Ali Qaidi and other members of the group. The parties discussed the Nagorno-Karabakh peace process, as well as issues related to Armenia’s accession to the Eurasian Economic Union (EEU), parliamentary cooperation and especially the activity of the Friendship Group. On June 12, Iranian members of the Friendship Group were received by Armenia’s Minister of Foreign Affairs Edward Nalbandian. Nalbandian stressed the importance of political dialogue at both the executive and legislative levels and emphasized that several Armenians are engaged in Iranian parliamentary affairs as deputies in the Islamic Consultative Assembly.
Simultaneously, on June 11-12 Armenian officials held separate consultations with another Iranian delegation. The consultations were headed by the Deputy Ministers of Foreign Affairs Shavarsh Kocharyan and Ibrahim Rahimpour. According to the press release of Armenia’s Ministry of Foreign Affairs, the activation of political dialogue and enhancing cooperation in energy, trade-economic, and humanitarian fields bilaterally as well as in the framework of international organizations were on the agenda of the consultations. The counterparts also discussed the realization of joint economic projects in detail. Along with issues of common concern, the interlocutors reciprocally presented the current developments on top priority issues in Armenia’s and Iran’s foreign policies. Kocharyan presented the efforts of Armenia and the OSCE Minsk Group Co-Chairs towards the settlement of the Nagorno-Karabakh issue. In turn, Rahimpour briefed on the recent developments in the negotiation process on Iran’s nuclear program. On June 14, Ambassador Tumanyan met with Iran’s Minister of Petroleum Bijan Namdar Zangeneh and discussed issues relating to bilateral economic and energy cooperation.
Despite the active and regular interaction between Armenian and Iranian authorities, it is obvious that the vague perspective of constructing a new railway is still the most important problem on the two states’ official mutual agenda. By connecting its railway network to Iran’s, Armenia seeks to circumvent the dual embargo by Turkey and Azerbaijan (imposed more than 20 years ago) and receive the status of a transit state, thereby raising its international importance. For Iran, the new railway will open new opportunities for linking the Persian Gulf through Iran to the Black Sea basin. According to News.am, Tumanyan declared that Iranian authorities will build 60 kilometers of the railway, reaching the Armenian-Iranian state border. Regarding the existing difficulties for this infrastructural program, the Armenian ambassador explained that the construction of an Iran-Armenia railway needs a colossal investment, hence “the railway will be constructed as soon as financial needs are satisfied.”
Tumanyan also said that “Armenia aims at linking Iran and the Eurasian Economic Union” and added that “the members of the EEU are also interested in a broader cooperation with Iran”. In August 2014, the Armenian government approved the railway project at a cost of approximately US$ 3.5billion. Armenia has to build a nearly 300 kilometer-long section of the railway, the construction of which is estimated to be completed in 2022.
The Central Asia-Caucasus Analyst is a biweekly publication of the Central Asia-Caucasus Institute & Silk Road Studies Program, a Joint Transatlantic Research and Policy Center affiliated with the American Foreign Policy Council, Washington DC., and the Institute for Security and Development Policy, Stockholm. For 15 years, the Analyst has brought cutting edge analysis of the region geared toward a practitioner audience.