Shafaq News – Baghdad
Iraq’s Ministry of Electricity signed on Thursday a contract to construct the Al-Faw gas-fired power plant in Basra.
The project—implemented by US firm General Electric (GE) and described by the ministry as the largest private power investment project in southern Iraq’s energy sector —will operate under a “Take and Pay” model, ensuring the government pays only for electricity received.
According to the ministry, the 3,000-megawatt combined-cycle plant will feature four gas turbines and two steam units, using advanced seawater desalination technology for its operations.
The contract was signed between the General Company for Electricity Production in the Southern Region and Advanced Technology Systems Company, which will also supply the gas required for the facility—a shift from earlier deals that left fuel provision to the state.
Electricity Minister Ziyad Ali Fadel said Al-Faw was chosen for its strategic location near the Grand Faw Port and the new interconnection line with Kuwait (Wafra–Faw), positioning Basra as a regional energy hub.
“Basra is undergoing a major transformation in the electricity sector,” Fadel said, noting that the province’s 15 operating power stations now generate about 7,000 megawatts, exceeding local demand of 5,000 megawatts, with the surplus transmitted to neighboring provinces via new 400 kV lines.
He also highlighted ongoing projects, including the “Basra Sun” solar plant (1,000 megawatts), upgrades at Hartha power station, and other private investment initiatives.
Read more: Iraq’s 2025 gas pivot: Can Baghdad turn flares into fuel?