The Iraqi Cabinet has approved a $480 million Engineering, Procurement, and Construction (EPC) contract for the rehabilitation of the Al Dora Thermal Power Plant, authorizing the Ministry of Electricity to move forward with the project. The approval, which excludes supervision and monitoring services, is part of a larger initiative to revive the long-delayed project, as stated by the Prime Minister’s office.
In exchange for the contract, the contractor has agreed to withdraw its claim for a sovereign payment guarantee of $808.345 million previously issued by the Ministry of Finance. The contract is exempt from standard government procurement regulations under the Federal Budget Execution Law and Government Contract Execution Instructions (No. 2 of 2014).
The project focuses on the rehabilitation and modernization of the Dora Thermal Power Plant in Baghdad, which has a reported capacity of 886 megawatts (MW), according to Global Energy Monitor.
In December 2024, Iraq Business News reported that Iraq’s Minister of Electricity, Ziyad Ali Fadel, met with a delegation from Ethios Energy, a company headquartered in the US and UK, to discuss accelerating the rehabilitation efforts.
(Source: Reuters)
