Iraqi Prime Minister Mohammed Shia’ al-Sudani “oversaw the signing of a Memorandum of Understanding as part of a strategic cooperation framework with GE Vernova. The MoU covers projects to establish combined-cycle gas power plants with a total capacity of approximately 24,000 megawatts, marking the largest and most advanced electricity generation initiative in Iraq’s history,” his office said in a statement.
The deal was signed during a visit by a high-level US delegation of representatives from 60 companies to Baghdad.
It “also includes provisions for securing external financing through major global banks,” the statement added.
Another deal, signed with American energy firm UGT Renewables, was signed “to implement a fully integrated solar power project with a capacity of 3,000 megawatts.”
“The MoU also includes the modernization of power transmission and distribution lines, the development of up to 1,000 kilometers of new high-voltage direct current (HVDC) transmission infrastructure, and a two-year program for technology transfer, training, operation, and maintenance,” according to the statement.
The US Embassy in Baghdad commended agreements “worth billions” signed between the Iraqi government and American energy companies GE Vernova and UGT Renewables, saying that “US excellence in the energy sector drives global progress.”
— Rudaw English (@RudawEnglish) April 9, 2025
📸: US Embassy in Baghdad pic.twitter.com/IvShbH4nD3
Iraq suffers from chronic electricity shortages, especially felt when summer temperatures reach scorching levels of over 50 degrees Celsius. The high temperatures subsequently lead citizens to consume very high amounts of power.
In March, Washington rescinded a waiver that allowed Iraq to purchase electricity from neighboring Iran, which Baghdad had depended on for years.
Following the decision, the US State Department said Iraq’s transition away from Iranian energy provides an opportunity for American companies, which it called “world-leading experts,” to assist Baghdad in developing its energy sector.