Global technology giant GE has signed a Principles of Cooperation (POC) agreement with the Iraqi Ministry of Electricity to develop the country’s power sector.

The plan is expected to generate up to 14 gigawatts (GW) of electricity besides creating up to 65,000 direct and indirect jobs and supporting the government to realise savings and recoverable losses of up to $3 billion per year, said a statement from GE.

The POC will also pave the way for the establishment of a local technology centre and support water and healthcare access. It will also house a repairs centre, a monitoring and diagnostics facility and a training unit, said Iraq’s Minister of Electricity Qasim Al Fahdawi after signing the deal with Joseph Anis, GE president and CEO (Power Services) for Middle East, Africa and South Asia.

Under this pact, GE will also assist the Iraqi Government to unlock financing for these projects through its extensive relationships with global export credit agencies and financial institutions, he added.

The comprehensive plan builds on GE’s legacy of continuous presence and commitment to bring progress to the people of Iraq over the past 50 years, and comprises the following key tenets:

*Supporting the path to energy security with 14 GW. As an immediate priority, GE will deploy proven fast power technologies and undertake upgrades at existing power plant sites to bring approximately 1.5 GW of additional power online by 2019 – the equivalent electricity needed to supply up to 1.5 million Iraqi homes, as well as undertake maintenance and rehabilitation services to secure the availability of another 7 GW that are currently operating.

*In addition, the agreement includes upgrades and services for existing power plants; the conversion of simple cycle power plants to combined cycle, which can help bring new power online without consuming additional fuel or releasing further emissions; as well as the establishment of new power plants with efficient, reliable power generation technology.

*Furthermore, GE will develop substations and overhead lines across the country, and a centralised energy management system covering generation, transmission and distribution. These initiatives will add up to 14 GW of power and strengthen grid connectivity.

On the savings front, GE said its activities will help the government reaalise savings and recover losses of up to $3 billion per year. Repairs, maintenance, upgrades and other services will also help to reduce the operating costs of existing power plants, it added.

According to Anis, GE will undertake comprehensive decongestion network studies, as well as advisory services to reduce collection recoverable losses and further improve the transmission and distribution of power.

In addition, the company will be offering its unique solution for integrating the capture of flared gas and power generation using GE’s advanced gas to power technologies. In July, Baker Hughes, a GE company signed a contract with the Iraqi Ministry of Oil for a modular natural gas plant solution for flared gas recovery in the Nassiriya and Al Gharraf oilfields, he added.

Mussab Almudaris, the official spokesperson of the Iraqi Ministry of Electricity, said: "Our focus is on rebuilding Iraq to provide stable, sustainable development for our people, and developing the electricity sector is a critical component of these efforts."

"GE’s action plan is an ideal fit for our needs, offering a holistic package that brings industry-leading technologies, financing and social services to meet our most critical immediate and long-term needs," he noted.

GE Power (president and CEO) Russell Stokes said: "Our presence in Iraq is based on a history of trust, partnership and success that spans over 50 years. We are honoured to support the government’s focus on rebuilding Iraq, and we are proud of our legacy of delivering power where needed in the country."

"We understand how important it is to deliver power immediately and our holistic action plan brings together advanced solutions, financing, local investments, trainings and social services that are expected to benefit families, businesses and industries across Iraq," he added.

GE presently employs up to 300 people in Iraq and has three offices in the country – in Baghdad, Basra and Erbil.

Today, GE and its partner CFMI power more than 90 per cent of the aircrafts operated by Iraqi Airways, the company’s technologies contribute up to 55 per cent of the current electricity production in Iraq and nearly 4,000 GE Healthcare products are deployed in hospitals and clinics across the country, he added.-TradeArabia News Service