Iraq signs agreement with Siemens to benefit from associated gas
The virtual annual shareholders meeting of Siemens in Munich, Germany. Photo: AFP
Baghdad (IraqiNews.com) – The Iraqi Ministry of Electricity concluded a memorandum of understanding with Siemens to develop an energy system in the country.
The Iraqi Minister of Electricity, Ziyad Ali Fadel, mentioned that the most important aspect in the new agreement is the investment of associated gas, which has not been invested, the Iraqi News Agency (INA) reported.
“We involved Siemens to benefit from the quantities of associated gas to be converted into gas used to operate power plants,” Fadel elaborated, according to INA.
“One of the major problems the Ministry of Electricity suffers from is the lack of fuel, and we should benefit from the associated gas as a solution. It will reduce the operational costs spent on gas imports,” Fadel clarified.
The agreement with Siemens also includes establishing five power transmission stations in all governorates suffering from shortages in power supply, according to Fadel.
Germany contributed about 3.4 billion USD to the development and reconstruction efforts in Iraq, and the German Agency for International Cooperation helped more than 37 thousand Iraqis find jobs.
Siemens provides electricity to about 23 million Iraqis through 13 power stations distributed in the Iraqi governorates. These power stations represent the cornerstone of the reconstruction of Iraq because they are necessary for the economic development of the country.