Economic Developments in Baghdad
The Baghdad Provincial Council has urged relevant authorities to enhance the allocation of kerosene supplies to generator operators while simultaneously reducing associated costs. This move aims to address the ongoing challenges related to electricity shortages.
Concurrently, the local government in Al-Muthanna Governorate has begun inviting investments in renewable energy, encouraging participation from both local and international firms.
Safaa Al-Mashhadani, chair of the Oil and Energy Committee in the Baghdad Provincial Council, indicated that, in response to the Ministry of Electricity’s recent projections of reduced operational hours during the upcoming summer, the committee is devising necessary strategies for the operation of approximately 24,000 generators across Baghdad. The objective is to ensure equitable service delivery for citizens and contractors alike.
Al-Mashhadani noted that a meeting was convened with representatives from 41 administrative units to investigate the reasons behind the non-compliance of several contractors with the pricing structure set by the council. The discussions concluded with a recommendation for authorities to increase kerosene shares while decreasing prices, attributing the surge in costs to market-driven pricing conditions that impede compliance with the council’s predetermined rates.
Additionally, Al-Mashhadani commented on the ongoing dialogues with the Ministry of Electricity aimed at establishing collaborative operational protocols for electricity and generator services. The intent is to reach a consensus amongst the various electricity departments and administrative units to ascertain operational hours specific to each region.
He highlighted the significant variability in operational hours by region, which complicates the establishment of a standardized pricing structure for electricity across the board. The committee remains committed to identifying solutions prior to the summer, ensuring that citizens are not unduly burdened by rising costs while also safeguarding generator efficacy by preventing excessive operating hours.
According to Al-Mashhadani, the energy sector in Baghdad, encompassing both national electricity and generator services, places a considerable strain on residents each summer. He underscored the necessity for a comprehensive strategy that addresses this ongoing issue, advocating for higher authorities to establish binding interventions involving a council and ministerial secretariat to facilitate decision-making across relevant departments.
In alignment with this initiative, Muthanna Governor Muhannad Al-Atabi announced the opening of opportunities for investments in renewable energy to develop swift power generation facilities across 12 regions and administrative units.
This initiative is poised to deliver a rapid and impactful solution for increasing electricity availability to citizens ahead of the summer months.
Al-Atabi described this as a strategic advancement to bolster energy production while reducing reliance on conventional power sources, facilitated by collaborations with diverse firms possessing both local and international expertise.
Dr. Naseer Karim from the National Renewable Energy Team at the Prime Minister’s Office emphasized the team’s commitment to swiftly implementing directives aimed at transforming the energy landscape. He stated that Al-Muthanna will serve as the launch site for initial entrepreneurial projects leveraging solar energy generation in urban centers.
In further comments, Eng. Ghaith Najm Obaid, the director of the Southern Region Electricity Distribution Company, asserted that solar energy initiatives are expected to play a crucial role in addressing energy generation and distribution challenges, with a focus on deployment in southern governorates beginning with Muthanna as the pilot region.
