News

The Islamic Revolutionary Guard Corps is reported to have failed to manage Iran's energy sector amid United Nations and Western sanctions.

Treasury Undersecretary Stuart Levey said IRGC was forced to withdraw from South Pars because of lack of capability.

"Using the IRGC to fill its investment gap will thus only make matters worse for Iran," Levey told the House Foreign Affairs
Committee.

In testimony on Dec. 1, the Treasury official said IRGC's Khatam Al Anbiya was contracted to develop phases of South Pars gas field after the withdrawal of foreign contractors. Levey said that neither Khatam nor other Iranian entities proved capable of developing energy resources without foreign partners.

"We believe that the speed, scope, and impact of sanctions have caught the regime by surprise," Levey said. "There are clear signs that the Iranian leadership is worried about the impact of these measures and is taking sanctions seriously."