Iraqi Ministry of Electricity has signed agreements valued over US $1.2bn with General Electric (GE) to execute power sector projects that will secure reliable power supply across the country.
Accordingly, GE Gas Power will undertake contracts valued at US $500m for the upgrade and maintenance of key power plants in the country, which are mission-critical to sustain the power supply of over 6,000MW and scale up operational efficiency. Further, GE’s Grid Solutions, having secured a contract valued at US $727m in a landmark agreement, will reinforce Iraq’s transmission network and interconnection with the electricity grid of Jordan.
In addition to delivering the scope of services, GE will also work with multiple export credit agencies to facilitate the discussion of financing over US $1bn for the projects.
Upgrades, maintenance and service
The service agreement is a mission-critical Maintenance & Upgrade Program between the Ministry of Electricity and GE Gas Power to execute the maintenance program across multiple sites in Iraq. GE will deploy its latest technology at the sites to be identified by the Ministry such as parts, repairs and services for power plants in Basra, Mosul, Baghdad and Karbala among others, which will maintain the supply of over 6,000MW of power. This builds on 1.575GW of new capacity that GE added since December 2019, and the sustained delivery of 4.325GW to meet peak summer demand.
The reinforcement of Iraq’s transmission network
The agreement signed by GE’s Grid Solutions with the Ministry of Electricity will reinforce Iraq’s transmission network and interconnection with the electricity grid of Jordan, which will contribute significantly to decongesting the grid and securing reliable power supply.
GE will execute the design, supply, installation testing and commissioning of high voltage substations and specific overhead transmission lines. This is a key initiative that will reinforce the smooth operations and delivery of uninterrupted power of the national grid across Iraq, including the liberated areas, which were adversely impacted during the strife supporting their reconstruction.