Turkey, a close ally of the United States, agreed to trade electricity, build a dam and a power station with the U.S.'s arch-foe Iran yesterday.
Turkish Energy Minister Hilmi Güler and his Iranian counterpart Parviz Fattah completed talks in Ankara on the agreement, the negotiations of which lasted more than two months. The agreement stipulates that Turkey and Iran will share information and know-how.
"We had no discussions with the U.S. on this issue. This deal is an extension of relations between two neighboring countries," said Güler in response to a question on negative U.S. reaction to the deal.
The accord is expected to be signed soon when the technical details are completed, said Güler. He added that the two neighboring countries would continue their friendship with further projects in the future. No contract was signed when the Turkish Daily News went to print yesterday.
After the meeting, Parviz Fattah told reporters that the capacity of an existing power line between the two countries could increase by 2.5 times and two further links could be constructed.
"Iran has created a very inviting atmosphere for investing there," Güler said, highlighting improved trade and energy ties between the two countries.
"The power station could use either natural gas or oil products, and the electricity to be produced can either be sold to Turkey or some of it can be utilized in Iran," Güler added.
The United States has no diplomatic relations with Iran, which it considers a sponsor of international terrorism. Despite sharp reactions by western countries led by Washington, which accuse Tehran of plotting to build atomic weapons, Turkey tries to keep the nuclear issue separate from bilateral relations.
Fattah asked Güler to visit Iran in the near future and stressed that Iran would prefer to sell electricity rather than natural gas to Turkey. Güler expressed hope for arbitration on the transfer of natural gas transfer as well. Iran is one of the key providers of oil and natural gas to Turkey.
(Turkish Daily News, 01/06/2007)