By:Zawya

Iraq has signed two landmark memorandums of understanding (MoUs) aimed at strengthening its electricity sector with a combined focus on gas-fired and renewable energy projects totalling 27,000 megawatts (MW).

Prime Minister Mohammed Shia Al-Sudani oversaw the signing of the two MoUs.

The first MoU with GE Vernova encompasses the development of combined-cycle gas turbine (CCGT) power plants with a total capacity of 24,000 megawatts (MW) marking the largest and most advanced electricity generation initiative in Iraq’s history, according to a statement from the Iraqi Prime Minister Media Office.

The MoU also includes provisions for securing external financing through major global banks, the statement posted on social media said.

The second MoU with UGT Renewables includes the development of a 3,000 MW solar power project coupled with a Battery Energy Storage System (BESS) providing 500 megawatt-hours (MWh). The MoU also includes the modernisation of power transmission and distribution lines, the development of up to 1,000 kilometres of new high-voltage direct current (HVDC) transmission infrastructure, and a two-year programme for technology transfer, training, operation, and maintenance.

The project will be backed by the Export-Import Bank of the United States (EXIM) and UK Export Finance with JP Morgan as the lead arranger, the official statement said.