Iraq Set to Finalize Major Solar Power Deal with UAE’s Masdar

Iraq Set to Finalize

1-Gigawatt Solar Plant Planned to Boost Iraq’s Renewable Energy Ambitions

Baghdad – In a strategic push to modernize its power sector and meet the country’s growing electricity demands, Iraq is preparing to sign a landmark agreement with the United Arab Emirates’ state-owned renewable energy firm, Masdar, to develop a 1-gigawatt solar power plant.

An Iraqi government source revealed to Attaqa News that the deal is expected to be concluded in the coming days. The initiative represents a crucial step in Iraq’s broader plan to reduce its reliance on fossil fuels and address chronic power shortages that have plagued the nation for years.

Deal Delayed by Regional Turmoil, Now Back on Track

The agreement with Masdar was initially scheduled for finalization before the outbreak of the Iran-Israel conflict in June 2025. However, escalating regional tensions led to a temporary delay. Despite the setback, negotiations have resumed, and both parties are now on the verge of sealing the deal.

Masdar, known for spearheading renewable energy projects across the Middle East and beyond, is set to construct a solar facility in Iraq with an estimated generation capacity of 1,000 megawatts (MW)—equivalent to powering hundreds of thousands of homes.

Focus on Key Iraqi Provinces for Solar Development

The planned solar infrastructure will be implemented in phases, with the first covering three provinces: Maysan, Dhi Qar, and Anbar. These areas have been identified as strategic locations for solar deployment due to their geographic suitability and pressing electricity needs.

In early May, Iraqi Minister of Electricity Ziyad Ali Fadel held high-level talks with Masdar representatives to outline the ministry’s renewable energy roadmap and fast-track the project’s execution. According to officials, the ministry intends to move swiftly to initiate construction once the agreement is signed.

A Renewable Vision for Iraq’s Future

This partnership with Masdar aligns with Iraq’s national vision to diversify its energy mix and move toward a sustainable future. The government has prioritized clean energy projects as a means to reduce its carbon footprint, combat climate change, and alleviate the ongoing strain on its electricity grid.

The deal is also part of a broader effort by Iraq’s Ministry of Electricity to transition from a fossil fuel-dependent model to one where solar and other renewables play a significant role in energy production.

Tackling Iraq’s Persistent Electricity Shortage

Iraq’s power sector has long struggled with insufficient supply, infrastructure degradation, and heavy dependence on imported energy. Frequent blackouts and overburdened systems have sparked public frustration, particularly during scorching summer months when demand spikes.

Officials believe that investments in solar energy will not only stabilize electricity availability but also reduce the country’s vulnerability to external energy shocks and fluctuating fuel prices. The new project with Masdar is expected to be a cornerstone in this transformation.

Masdar’s Expanding Role in Regional Energy Development

For Masdar, the agreement is yet another milestone in its mission to expand clean energy access across the Middle East and North Africa. The company has already played a significant role in advancing solar and wind projects in the UAE, Saudi Arabia, Egypt, and beyond.

By partnering with Iraq, Masdar continues to cement its reputation as a regional leader in renewable infrastructure development—while helping countries like Iraq achieve their energy and environmental targets.

Conclusion:

As Iraq moves forward with its agreement with Masdar, the upcoming 1-gigawatt solar plant signals a new era in Iraq’s energy landscape. It not only supports the country’s transition to green energy but also addresses the pressing need for stable, affordable electricity. The deal represents hope for long-term energy security in Iraq and showcases how regional cooperation can drive sustainable progress.

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