Iraq is accelerating its renewable energy efforts with a goal of generating 12 gigawatts (GW) of electricity from solar sources by 2030, Oil Minister Hayan Abdul Ghani announced. The move is part of a broader strategy to address the country’s ongoing electricity shortage and reduce dependence on fossil fuels.
To avoid increasing the budget deficit, Iraq is compensating most solar contractors with crude oil rather than cash. Among the firms involved is France’s TotalEnergies, which is currently developing a 1 GW solar power project in Basra. The first phase—producing 250 megawatts (MW)—is expected to be completed by the end of 2025.
Abdul Ghani told Shafaq News Agency that several major oil installations will soon be connected to solar energy as part of Iraq’s clean energy transition. The ministry is relying on a “crude-for-infrastructure” barter model, allowing solar projects to proceed without tapping into the federal budget.
As electricity demand rises—particularly in Iraq’s southern regions—the Oil Ministry is working closely with the Ministry of Electricity to implement a national renewable energy plan. The Minister confirmed that Iraq’s first solar plant is set to begin operations by the end of this year.
Abdul Ghani emphasized that reducing carbon emissions is central to Iraq’s strategy to attract investment, promote technological innovation, and gain access to international carbon markets.
Source: Zawya Projects
