Iran's president criticizes US sanctions, apologizes for tough winter

On Saturday, Iran's president criticized US efforts to curb the country's energy exports but made no mention of the letter President Donald Trump said a day earlier that he had sent to Supreme Leader Ali Khamenei.

Speaking at an event marking new investments in the South Pars gas field, Masoud Pezeshkian said Iran had endured a difficult winter but managed to keep gas supplies flowing.

“We went through a tough winter,” Pezeshkian said. “Once again, I apologize to the people for power cuts and other issues. Naturally, we must also apologize to industries and producers because we could not fully support them.”

Turning to US sanctions, Pezeshkian dismissed Washington’s efforts to stifle Iranian fuel exports. “They try and say they will bring our fuel exports to zero, that we won’t be able to sell our oil,” he said. “I believe we must engage with a proper logic and not fight amongst ourselves. Their hope is in our internal divisions.”

President Trump announced on Friday that he sent a letter to Khamenei offering talks toward a deal on its nuclear program but warned that the alternative was a military intervention.

"I hope that Iran, and I've written them a letter saying, I hope you're going to negotiate because if we have to go in militarily, it's going to be a terrible thing for them," Trump said in a segment of the interview broadcast on Friday.

"There are two ways Iran can be handled, militarily or you make a deal. I would prefer to make a deal because I'm not looking to hurt Iran," Trump added. "They're great people. I know so many Iranians from this country."

Since returning to office, Trump has imposed fresh sanctions targeting companies and the so-called shadow fleet of older oil tankers transporting Iranian crude.

Despite US sanctions, Iran’s oil exports have generated more than $35 billion annually in recent years, primarily from sales to China. However, this revenue has not been enough to pull the oil-dependent economy out of the severe crisis it has faced since 2019.

Since early September, Iran’s national currency, the rial, has lost half of its value due to military and geopolitical setbacks in the region and Trump’s election, as he has pledged to significantly cut Tehran’s oil exports.

Pezeshkian praised efforts by Iran’s oil and gas sector to maintain household energy supplies but said the country must improve efficiency and expand renewable energy.

Pezeshkian announced a $17.5 billion investment in power infrastructure aimed at increasing sustainability and allowing more oil and gas to be sold abroad.

Iran needs $45 billion in investment to resolve its chronic winter energy deficit and worsening air pollution, the country's Oil Minister Mohsen Paknejad said in January.

“If we can expand electricity use for heating and cooling, relying on wind and solar energy, then we can export our resources at far better prices,” said Pezeshkian.

Successive Iranian governments have struggled to meet soaring consumption, especially during colder months when power plants are forced to burn polluting fuels that compound the problem of air quality in urban areas.

Iran possesses vast reserves of natural gas, but rising domestic demand and lack of investment to maintain and expand the infrastructure means the country is often a net-importer of energy.