In a significant move towards bolstering Iraq’s energy sector, Ziyad Ali Fadhel, the Iraqi Minister of Electricity, has forged a partnership with the German company Siemens to harness associated gas from oil fields for power generation.
The agreement was sealed during Minister Fadhel’s visit to Berlin, Germany, as announced by his office.
The deal underscores Iraq’s commitment to efficiently utilizing previously flared associated gas to meet its energy demands sustainably and securely.
Minister Fadhel emphasized the integral role of this agreement in the Iraqi government’s comprehensive strategy, led by Prime Minister Mohammed Shia Al-Sudani, to combat gas flaring and optimize gas resources for electricity generation.
Aligned with Iraq’s obligations under the Paris Climate Agreement, the initiative aims to mitigate environmental impact while promoting renewable energy sources.
Minister Fadhel outlined the swift implementation of the agreement, involving an initial investment of approximately 120 million standard cubic feet of gas within six months, followed by an additional 120 million standard cubic feet over the subsequent year.
The converted gas will fuel a 2000-megawatt power station, significantly enhancing the nation’s electrical grid capacity and ensuring supply stability. Christian Bruch, CEO of Siemens Energy, commended Iraq’s proactive approach to overcoming energy sector challenges, noting recent infrastructure developments facilitated by strategic partnerships.
Siemens Energy’s longstanding presence in Iraq, spanning over 80 years, underscores its commitment to the nation’s energy development, from historical projects in electrical infrastructure and bridge construction to modern endeavors in power plant installations.
