Saudi Arabia and Iraq sign agreement to connect electricity grids
Saudi Arabia and Iraq have signed a memorandum of understanding (MoU) to connect their national electricity grids
Saudi Arabia and Iraq have signed a memorandum of understanding (MoU) to connect their national electricity grids.
The interconnection MoU was signed by the Saudi Energy Minister Prince Abdulaziz bin Saudi al-Saud and Adel Karim, acting minister of electricity in Iraq, via video conference on 25 January.
"The memorandum came as a result of a comprehensive and detailed study of all leading investment opportunities to support the grids of electricity between the two countries," Prince Abdulaziz said following the signing of the agreement.
Karim said that the interconnection project would take 1.5-2 years to implement. The project will enable the emergency supply of electricity between the two countries in response to power shortages.
The project is part of Iraq’s efforts to reduce the supply shortfall for electricity across the country. Iraq is facing a major challenge to meet growing demand for power across the country, with installed capacity, 15GW, significantly lower than the 23.5GW peak demand recorded in 2018.
In October 2021, Saudi Arabia and Egypt awarded major contracts for a planned 3,000MW electrical interconnection project between the two countries, which will have a total cost of about $1.6bn.
The contracts were signed simultaneously in Riyadh and Cairo on 5 October.
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