US Administration Weighs Support for Lebanon's Ailing Electricity Sector

The US is actively studying how it could help Lebanon address its decades-old electricity crisis, according to two individuals with direct knowledge of the talks who spoke with The National. The issue was initially raised during Lebanese President Joseph Aoun’s visit to the White House last month, when the US agreed to take up Lebanon’s electricity file, assess it, and determine where support could be provided.

“President Aoun had many files with him, and the Trump administration showed interest in the electricity file after the meeting with the American leader,” one of the sources stated. “Energy Secretary Chris Wright personally took on the file to review it.” This development is viewed as a significant step forward given the entrenched interests that have long profited from Lebanon’s dysfunctional electricity sector, including private generator operators and Hezbollah-linked actors.

During his July trip to Washington, Mr Aoun met with President Donald Trump and other senior US officials in what marked the first visit by a Lebanese president to the White House since 2009. Following the discussions, President Trump announced that US airlines would be permitted to resume direct flights to Lebanon, thereby reversing a four-decade-old ban.

While a White House official did not directly confirm whether the administration was reviewing the electricity file, they told The National: “The US is actively talking with numerous sectors across Lebanon seeking to support their vision for Lebanon’s future free from Hezbollah influence and corruption that has plagued their country for years.”

Beyond electricity, the US is also engaging with Lebanon on broader energy-related matters, such as discussions regarding the potential revival of an Iraqi oil transit route through Lebanon to bypass the Strait of Hormuz. This initiative would involve restoring the long-defunct Kirkuk-to-Mediterranean pipeline system, which formerly transported Iraqi crude via Syria to Baniyas and Lebanon’s Tripoli port. Lebanon and Iraq agreed last month to establish a joint technical team to evaluate this proposal, which currently remains in the study phase.

Lebanese official sources verified that the electricity file was indeed brought up during the President’s US visit, alongside discussions regarding the Washington conference intended to support Lebanon’s economy.

In recent times, Washington has adopted a more proactive stance toward Beirut to strengthen the Lebanese state, curb the influence of the Iran-backed Hezbollah, and help secure a lasting ceasefire with Israel. US-brokered talks have brought Lebanon and Israel into direct negotiations, while the US continues to signal further backing for Lebanon’s armed forces and wider state authority. As one of the Lebanese army's primary supporters, the US has provided over $3 billion in aid over the past two decades. President Aoun, a former army commander who took office in early 2025, has pledged to place all weapons under state control and pursue essential reforms.

“For President Aoun, the objective of his meeting with [Mr] Trump was to build trust with him, and he managed to do that,” noted a source close to the President’s circle.

The International Monetary Fund has consistently emphasized that electricity reform is vital to Lebanon's fiscal and economic recovery, calling for enhanced governance, greater transparency, and minimized political interference. Although the exact nature of future US assistance remains uncertain, energy analyst Marc Ayoub noted that the political atmosphere has shifted since past unfulfilled promises, though any aid will likely remain conditional on structural and banking-sector reforms.

Recently, Lebanon launched a new electricity reform plan aimed at restructuring Electricite du Liban (EDL), improving governance, and attracting sustainable investment. While analysts view this as a positive step toward building international trust, successful implementation will heavily depend on securing adequate financing.