Basra: The Electricity Ministry signed a contract with an American company to build a gas-fired power plant in Basra Governorate.

According to National Iraqi News Agency, the Ministry of Electricity announced that the newly signed contract involves the establishment of a gas power plant by the American company GE. The plant, equipped with a combined cycle system, will have a production capacity of approximately 3,000 megawatts. It will comprise four gas units and two steam units, incorporating advanced seawater desalination technology to meet operational requirements.

The agreement was formalized between the General Company for Electricity Production / Southern Region and Superior Technology Systems Company, the project investor. This contract follows the ‘Take and Pay’ principle, ensuring energy dues are paid only upon receipt.

During the contract signing ceremony, Minister of Electricity Ziyad Ali Fadhil highlighted the government’s efforts to overcome challenges in implementing new power station projects across Iraq. He emphasized the strategic importance of the Faw gas investment station project and expressed gratitude for the support from Prime Minister Mohammed Shia Al-Sudani towards the energy sector.

The Minister explained that Faw was selected for its symbolic and strategic significance, particularly with the nearing completion of the Grand Faw Port and the electrical linkage of Basra with Kuwait through the Wafra-Faw line. This development is set to bolster Basra’s role as a central energy hub in Iraq and the region.

Basra currently hosts 15 operational power stations with a combined production capacity of up to 7,000 megawatts. The governorate’s actual energy requirement is about 5,000 megawatts, allowing the surplus to be redistributed to neighboring areas through the newly established 400 kV ultra-high-voltage transmission lines.

The Minister also disclosed ongoing projects such as the Shams Basra solar energy project, which aims to generate 1,000 megawatts, the refurbishment of units at the Hartha station, and new investment initiatives intended to enhance the national energy infrastructure.