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Ghizaniyeh’s Oil Wells Produce Wealth for Iran, But Poverty for Locals

Three-minute read 

Ghizaniyeh, located in one of the world’s most oil-rich regions, has once again seen its residents take to the streets, protesting extreme poverty, rampant unemployment, and systemic neglect. Despite being home to hundreds of oil wells, the villages in this section of Ahvaz, which generates massive wealth for the Iranian economy, continue to face significant deprivation. The latest protests, held on September 11, mirror the growing frustration felt by local youth who have long been overlooked for employment in the oil sector, with companies hiring non-local workers instead. 

“Our homes are just 150 meters away from 37 oil wells, yet our youth remain jobless while non-locals work in these facilities,” said a resident of Muslemieh village. Many young people from surrounding villages remain unemployed, watching as jobs go to outsiders, even though they possess the skills and qualifications required. 

For years, Ghizaniyeh’s inhabitants have been vocal about their grievances, not just about unemployment, but also the severe lack of basic infrastructure and services. The villages of this oil-rich area face water shortages, with many homes lacking access to running water. In some cases, villagers rely on tankers for drinking water and shallow wells for domestic use. Essential services like schools, healthcare facilities, and even proper roads are scarce, making life unbearable for the locals. Residents have accused the regime of ignoring their plight while reaping the benefits of the oil wealth extracted from their land. 

The underlying frustration stems not only from deprivation but also from the sense that the regime deliberately avoids hiring locals for jobs in the oil industry. Many believe this is an intentional strategy to prevent local unrest and maintain control over the region’s resources. The people of Ghizaniyeh recall how oil worker strikes in the 1970s significantly destabilized the Shah’s regime, and now, they suspect that the government fears history repeating itself if locals are given too much influence in this critical industry. 

The poverty and exclusion in Ghizaniyeh are nothing new. Asriran, a state-run outlet, reported as far back as May 16, 2018, that Ghizaniyeh’s villages lacked basic infrastructure, including access to potable water. The report described scenes of extreme deprivation: mud-filled streets, homes damaged by storms, and villagers relying on shallow wells for undrinkable water. It painted a grim picture of a region isolated and ignored by the central government, despite its contribution to the national economy through oil extraction. “Even though this region generates significant revenue from oil, many villages do not even have access to clean drinking water,” the Asriran report admitted, acknowledging the persistent neglect. 

The situation worsened in recent years, as Tejarat News highlighted in a January 2023 report. The article revealed that Ghizaniyeh’s agricultural sector, once a pillar of the local economy, was decimated by the construction of the Maroun Dam, leaving locals with little to no means of income aside from oil-related jobs—jobs they cannot access. Adding to their woes, oil and petrochemical activities have polluted the air and water, leading to serious health problems, including birth defects among newborns. Toxic dust storms, caused by nearby petrochemical facilities, frequently blanket the area, exacerbating the already difficult living conditions. 

According to Tejarat News, although a few villages received water pipelines, many still rely on sporadic deliveries by tankers. Unemployment continues to rise, with many young people leaving the region altogether in search of work elsewhere. “We’ve been told for years that new infrastructure is coming, but nothing ever changes,” lamented a local activist. 

As protests escalate, the gap between Ghizaniyeh’s immense natural resources and the abject poverty of its people becomes ever more apparent. Despite the wealth beneath their feet, the people of Ghizaniyeh are left with little hope, feeling abandoned by the government.  

The situation in Ghizaniyeh serves as an indication of a deeper national issue. Iran, rich in resources, is governed by a system engineered to benefit a small elite, while the broader population remains marginalized and deprived of basic rights. Security-oriented solutions, designed to suppress unrest rather than address systemic inequalities, continue to leave regions like Ghizaniyeh neglected and impoverished. It is only a matter of time before the masses of the deprived decide they’ve had enough and rise to claim what has long been rightfully theirs.