(Bloomberg) -- Turkey warned it would have to cut energy supplies for factories after neighboring Iran suspended natural-gas flows for 10 days.
State pipeline operator Botas said it would limit gas sold to industrial sites and power plants with high consumption, without specifying the reduction in volumes. The Ministry of Energy warned that businesses would suffer electricity outages as a result.
The disruption is a further blow to Turkey, which has seen its energy-import costs soar in recent months due to rising wholesale prices and the deprecation of the lira. The government and central bank have had to lend or sell Botas billions of dollars to cover its purchases.
Iran cited technical failures for the halt in supplies from Thursday. Turkey relies on the Islamic Republic for around 10% of its gas imports during winter months.
It also comes as colder-than-normal weather further increases gas consumption at Turkish homes, according to Botas.
Blackouts and limited gas supplies will not affect households, Turkish authorities said. Turkey imports liquefied natural gas to diversify supplies and optimize costs when spot prices are lower than the decades-long contracts Botas has with exporters in Azerbaijan, Russia and Iran.
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