Iraq- Siemens has recently clinched a pivotal contract to bolster Iraq’s energy infrastructure by augmenting the Rumaila Gas Power Plant’s capacity by an impressive 700 MW. The Rumaila Power Plant, a 3GW gas-fired combined-cycle facility near Basra, is owned and operated by Shamara Holding Group, unfolding in four crucial phases.
As of June 2020, the first two phases of the Rumaila Power Plant, totaling 1.5GW, have been successfully completed. The remaining two phases, adding another 1.5GW capacity, are on track for commissioning by 2022, with an estimated cost of £1.6bn ($2.5bn). This underscores the substantial investment and commitment from Shamara Holding Group in fortifying Iraq’s energy sector.
Siemens, a global energy technology leader, is poised to play a pivotal role in the plant’s expansion. The contract involves adding 700 MW to the existing 1500 MW power generation capacity of the Rumaila Gas Power Plant. The upgrade aims not only to significantly boost power output but also enhance overall plant efficiency by more than 50%.
Efficiency improvement hinges on Siemens’ cutting-edge SST-5000 steam turbines, designed to deliver the additional 700 MW without requiring extra fuel, contributing to a more sustainable and cost-effective energy solution. The upgrade will see the Rumaila Power Plant transition into combined cycle mode, promising a revolution in operational efficiency.
Scheduled completion of the upgrade works by 2022 addresses the pressing needs of Iraq’s electricity sector. Despite impressive gains in oil production over the past decade, Iraq faces challenges in maintaining and investing in its power infrastructure due to ongoing turmoil. The International Energy Agency’s report emphasizes the urgent need for practical actions and medium-term measures to address challenges and outlines a comprehensive strategy for Iraq’s energy sector.
In the broader context of Iraq’s energy landscape, Siemens stands among major players in the power EPC market. Competition includes entities like North Power Company Ltd, Unitech EPC Solutions, and General Electric Company, highlighting collaborative efforts shaping the future of Iraq’s energy sector.
The International Energy Agency anticipates further growth in Iraq’s oil production, projecting a significant increase in barrels per day by 2030. With this surge, Iraq is poised to become the world’s fourth-largest oil producer, trailing only the United States, Saudi Arabia, and Russia. These developments underscore the importance of robust and reliable power generation facilities like the Rumaila Power Plant to meet the nation’s growing energy demands.
In conclusion, Siemens’ contract to upgrade the Rumaila Gas Power Plant marks a milestone in Iraq’s journey toward a more resilient and efficient energy infrastructure. As the plant progresses through its four-phase development, it is positioned to play a key role in meeting the nation’s escalating energy needs, contributing to economic development and prosperity in the region.