$191m Japanese Financing for Power Plant

The objective of the Project is to rehabilitate Unit No. 1 (rated output: 200 MW) at the Hartha Thermal Power Station for restoring and stabilizing its power generation capability.  The Project will increase the annual power generation of the Unit by 72.5% from 863 GWh to 1,489 GWh, which is equivalent to total electricity consumption which 800 thousand Iraqi people use a year.

The rehabilitation works, to be completed in 2019, will also improve its power generation efficiency by 30% and will reduce the Unit’s operation outage time to less than one-twentieth of the one in 2015.  The electricity generated by the Unit will be supplied to the national power grid and consequently contribute to stability of the power supply not only for the governorates in the South but also for all over the Republic including areas affected by the conflicts.

In 2015, prior to the new loan mentioned above, JICA already provided its ODA loan for the rehabilitation of another unit (Unit No.4) of the Hartha Thermal Power Station as the preceding Phase 1 project.

The Unit No.4 is now in commissioning process towards the re-start of the operation, after necessary rehabilitation works are completed by the contractor (Joint Venture of Mitsubishi-Hitachi Power Systems and GAMA).  The Unit No.4 is planned to start its electricity supply to the grid in several weeks, which is well ahead of the original construction schedule, thanks to outstanding endeavors jointly made by the contractor and the Ministry.

Assistance to the electricity sector is one of the pillars of JICA’s cooperation to Iraq.  Since 2008, JICA has signed seven loan agreements for electricity projects in Iraq, including the one signed today, amounting to 196.648 billion yen (equivalent to approximately USD 1.8 billion) in total.

These loans are used for rehabilitation and development of four power plants, transmission and distribution facilities all over the country.  In addition to the financial cooperation, more than two thousand Iraqi officials have participated in the JICA’s training programs for capacity building of the electricity sector since 2003.

[1]  Converted from JPY to USD with the exchange rate of USD 1 = JPY 112.34

(Source: JICA)

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