Iraq Bolsters Power Capacity with Siemens Deal

Iraq has signed a significant agreement with Siemens Energy to augment its national power grid by adding 14,000 megawatts of electricity generation capacity. This agreement is part of the third stage of Iraq’s strategic energy alliance with Siemens and entails the construction of gas-fired power plants across Iraq that will use locally sourced natural gas, mainly obtained from the flaring of gas during oil production. This addition will make use of combined-cycle gas turbine technology, enabling electricity production without additional fuel consumption, thereby enhancing sustainability and efficiency. According to the Electricity Minister Ziyad Ali Fadel, this initiative will increase Iraq’s projected total generation capacity to 38,000 MW from the current 28,000 MW. However, peak summer electricity demand can reach 55,000 MW, causing frequent power outages and dependence on private generators. The agreement also encompasses long-term maintenance for current facilities. Similar agreements have been made with GE Vernova and France's TotalEnergies to further increase capacity and decrease emissions through gas-flaring recovery.