Germany will invest $2.9 billion in the Iranian province of Hamedan over a 10-year period to construct a solar power plant and other facilities, a report said.

"A 12-member delegation held a meeting with Hamedan (Province)'s governor-general at his office to discuss investment in Iran," an official at the Governor-General's Office was quoted as saying by Iran Daily, which cited Fars News Agency.

Siemens had reached an agreement with Iran earlier this month to build a new power plant in northern Tehran.

"The agreement for cooperation with Siemens will be inked soon," said Deputy Head of Andoukhteh Shahed Institute's Board of Directors Mohammadreza Ayatollahi added, noting that the German company will finance the major power plant in Damavand city.

Funds required for the first phase of Jalal power plant stand at an estimated €330 million ($338 million) to €350 million, Ayatollahi said.