Shire Oak International is developing a portfolio of renewable energy projects across Iraq to meet a rapidly growing demand. A stable Iraq will contribute the long term stability of the whole Middle East region. Iraq has the regions only fully functioning democratically elected government and the country is rich in natural, cultural and human resources.
As Iraq emerges from over 40 years of war, sanctions, terrorism and political turbulence the effect of under investment and poor maintenance is apparent across much of the country's infrastructure. In the power sector this is evidenced by a national peak load national energy deficit of at least 13GW. Added to this, much of the infrastructure is operating at or beyond its design capacity.
Iraq is a developing, post-conflict, middle income country with vast oil reserves. Strong economic growth means that demand for energy is increasing fast as industrial capacity increases and domestic consumers acquire white goods and consumer electronics for the home.
In the summer months of May to September the daytime temperature in some areas can reach 55 degrees centigrade and power shortages caused by increased daytime demand mean that the electricity in the national grid is rationed by a system of planned outages. For those that can afford it, small scale private power producers provide electricity during the outages from kerbside generators. Many can not afford this luxury.
Frustration at power outages and with other poor public services lead to large demonstrations every summer that get more protracted and violent year on year. In summer 2018, many government and political buildings were set on fire by the protesters and a number of them were subsequently killed by the security forces.
A new government, appointed in November 2018, has strong mandate to improve public services. If the new government cannot demonstrate progress within 12 months, the subsequent demonstrations could threaten national security, threaten the stability of the region and, given Iraq’s share of the international market, affect the global oil price.
Increasing power generation capacity will meet Iraq’s growing need for energy, to help stabilise the economy, grow local businesses and improve healthcare and education. The provision of renewable energy is a very viable proposition because the country has very high solar irradiance. Despite this there is no grid scale solar power generation in Iraq.
The advantages for grid scale solar in Iraq are:
Shire Oak International is able to offer a full finance, project development, EPC and O&M capability to both private off takers or in partnership with national or local Government in Iraq and across the Middle East.
Please contact us for further details.
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