The Ministry of Electricity has introduced a strategic initiative designed to encourage citizens to invest in solar power systems and integrate them with the national electricity grid. This initiative is part of the government’s broader effort to address previous challenges stemming from insufficient Iranian gas supplies and the need to diversify energy sources, ultimately relieving pressure on the national electricity infrastructure.
Last Tuesday, Minister of Electricity Ziad Ali Fadel announced that eight specialized solar energy companies have been rehabilitated as part of the initial stage of this initiative, in collaboration with the Central Bank of Iraq.
Iraq’s electrical system is increasingly strained, impacting its ability to provide a stable electricity supply to its citizens. The country heavily depends on Iranian gas to power its electricity generation facilities, particularly in the southern regions, making it susceptible to fluctuations in gas supply.
Currently, Iran supplies approximately 50 million cubic meters of gas per day to Iraq, meeting about one-third of the country’s energy needs and generating around 6,000 megawatts of electricity. However, this supply falls short during peak demand periods.
Ministry spokesman Ahmed Musa Al-Abadi confirmed that a competitive bidding process was undertaken to select companies for this initiative, leading to the choice of eight qualified firms.
Al-Abadi noted that these selected companies meet approved specifications and will facilitate the acquisition of solar panels and systems for citizens. The ministry plays a supportive role in ensuring that citizens select the appropriate companies from which to purchase these systems, funded through loans provided by the Central Bank’s initiative. Additionally, the ministry has established a platform to evaluate bids from competing companies.
The initiative is primarily financed by the Central Bank, which has been directed to allocate necessary resources to enable banks to offer low-interest loans to citizens for the purchase of solar systems, which can be repaid in installments without interest.
Al-Abadi affirmed that the project is now active, allowing citizens to approach banks to obtain loans for these systems. The ministry aims to streamline citizen engagement in acquiring solar technology to mitigate the burden on the national electrical grid.
Examining Needs and Opportunities
Energy expert Hadi Ali Taha emphasized that Iraq requires approximately 30,000 to 40,000 megawatts of electricity to fulfill its total demand, particularly during peak periods in the summer and winter. He highlighted the potential for developing solar and wind energy plants in Iraq, given the vast land available in southern provinces such as Muthanna and western provinces like Anbar.
Recently, the Ministry of Electricity reported an increase in electricity production by 3,000 megawatts, aiming for a total output of 27,000 megawatts.
Taha mentioned that while establishing new power plants will take time, it is feasible to progressively enhance existing plants before transitioning to the construction of solar facilities to eventually replace fossil-fuel-dependent operations.
He further noted that adopting solar energy as a means to alleviate pressure on the electrical grid is a viable option, especially in light of the global shift toward renewable energy, with its economic and environmental benefits.
To ensure this transition is successful, Taha highlighted the need for governmental support for both public and private sectors, the promotion of investments, and the establishment of regulatory frameworks to protect the rights of consumers and producers.
The longevity of solar systems is noteworthy, with an average lifespan of around 25 years, and they require minimal maintenance. Regular cleaning from dust and dirt accumulation, which is significant in Iraq’s dusty atmosphere, is essential but manageable through the formation of dedicated maintenance teams.
A Shift from Iranian Gas
In response to queries regarding the feasibility of eliminating reliance on Iranian gas and fossil fuels, Taha affirmed that it is indeed possible to transition away from environmentally harmful fuels. The key to this success lies in ensuring fuel availability while gradually shifting focus to solar energy to replace fossil-fuel-powered plants.
He concluded that this strategy aligns with global trends toward sustainable energy solutions.
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