Najaf Provincial Council has made a preliminary agreement with a Chinese company for it to build a power station, the head of the energy committee in Najaf told AKnews.
He said the $79 million [95 billion Iraqi dinars] oil-fired station will have a capacity of 100 megawatts.
According to AKnews, the agreement came after the Chinese National Electricity Company presented an offer to the council whereby the council would pay the costs in instalments over five years.
The new plant could ease Najaf's electricity shortfall, as the 100MW plant will provide 25% of the province's power. The company has committed to assume operation and maintenance of the station for three years.
To produce 100MW the station will require 55,000 liters of fuel per day, a quarter of the output of Najaf refinery.
"The station will be built near the refinery for the ease of transporting the fuel," Bilal said. "The company will complete the project in six months and it is expected to operate next summer"