MOE clarifyies General Electric and Siemens projects to raise energy production

Economy
  • 16-02-2023, 21:14
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    Baghdad-INA 

    The Minister of Electricity, Ziyad Ali Fadhel, separated the projects of the memorandum of understanding signed between the Ministry of Electricity and the American General Electric Company, while he explained its similarity with the Siemens company and the most important government projects planned for implementation with the aim of raising and improving energy production. 

    Fadel said, to Al-Iraqiya News, and was followed by the Iraqi News Agency (INA): "In continuation of the plan of the government and the Ministry of Electricity to contract with discreet international companies to develop the electricity sector, a second agreement was signed with General Electric (GE) that included a large number of axes and what distinguishes them from the agreements." The precedent is the establishment of associated gas projects with the provision of sufficient fuel to operate the production units at their full capacity in accordance with international conditions and agreements in order to preserve the environment. 

    He added, "The agreement will include new axes to be added to the ministry's work, the most important of which are the (combined cycles) projects adopted by the current government, which are new additional energies added to the electrical system without any fuel expenditures," pointing out, "The project will add 1 megawatt of energy and reduce costs." Gas consumption and gas purchase costs, and the agreement will include an important part of the combined cycles. 

    Fadel continued, "The other part of the agreement will include the addition of new stations to the electrical network, which will contribute to reducing the gap between the required load and the available generational energy, in addition to addressing the transmission and distribution networks," noting that "the ministry will implement a number of transformation stations in all regions of Iraq." 
    He pointed out, "The ministry will sign long-term contracts for five years with (GE), which in turn will ensure that the company rehabilitates, maintains and supplies the necessary materials for a full five years.".

    He pointed out, "The two agreements signed with (GE) and before it (Siemens) will witness the full implementation of the first phase of them during the year 2023." 

    Fadel said, "Prime Minister Muhammad Shia'a al-Sudani instructed the Ministry of Planning to include the necessary amounts for financing, and during the coming months of this year contracts will be signed and companies will go to the ground so that the citizen can touch the desired change in energy supply," explaining, "The plan developed over five years will be implemented in stages, part of which relates to new energies ranging from (2000-3000) megawatts as a first stage, and another part relates to combined cycles that will add energy without fuel, and the other part will be for stages after 2023.

    And he noted, "Most of the projects in the field of energy production will add new energies and maintain rehabilitation and maintenance contracts for 5 years, and thus will maintain a high percentage of the production of operating stations now," adding, ".

    Regarding the reasons for concluding an agreement with (GE) in light of the signing with (Siemens), he stressed that "Iraq's need for energy may exceed 12,000 megawatts, in light of the large population growth and expansion, and this needs the concerted efforts of all," noting that "there is space Work for all discreet companies to rebuild the electrical sector in Iraq and invest gas and fuel for production stations.” 
    Fadel continued, “Each company with which the agreement was concluded will work on a specific expansion and there is no intersection,” explaining that “the ministry is continuing to sign agreements with other major international companies to develop the sector.” Electricity in Iraq according to the vision adopted by the new government.”.

    He pointed out, “The ministry will sign the bulk of the contracts with the two companies during the current year to expedite their start of work to add new energies to the electrical system.” 
    He pointed out, "The agreements signed by the ministry must have transmission and distribution networks to ensure the transfer of the produced energy and its delivery to the citizen, as the stages of production, transportation and distribution will be worked on at the same time within the agreements that the ministry's plan worked on," explaining, "The agreements that The agreement signed will include 400 stations and 132 stations, as well as the agreement concluded with Siemens at the same stations, as well as the maintenance and expansion of the stations now operating within the agreements.

    Fadel stressed, "The memorandums signed with the companies were included in the 2023 budget and will soon turn into contracts, and the companies will start their work during the current year," stressing the need to "convert all operational generating stations to gas, in addition to the ministry's plans for renewable energies.".

    He pointed out, "The ministry is now suffering from the problem of gas supplied to our production stations, whether it is a result of Iraq's failure to cover gas production for all stations or the shortage of imported gas."