Iraq’s Oil Ministry said it had signed a long-term “strategic framework agreement” with General Electric to boost national power resources, Fortune reported. However, it did not specify the agreement’s value or timeframe, but said it was the result of two years of negotiations.
The ministry detailed in an statement that one of the projects would generate more than 400 MW for oil installations by summer. Other initiatives aim to maintain existing infrastructure and reduce gas flaring from oil fields in order to boost electricity production, Reuters wrote.
Though Iraq is a major OPEC oil producer, the country faces chronic electricity shortages, with its fragile grid struggling to meet demand after years of war, sanctions, and neglect, according to Al Arabiya. Many areas lack access to electricity or drinking water, prompting demonstrations by thousands of Iraqis last year to press the government to improve delivery of essential services.