Monitor

Iraq aims for energy ‘self-sufficiency’ says PM Al-Sudani

BAGHDAD — Iraqi Prime Minister Mohammed Shia Al-Sudani opened the Iraq Energy Conference 2025 in Baghdad on Tuesday, emphasizing the government’s efforts to “modernize” the energy sector and “diversify” the economy.

“Iraq is nearing full self-sufficiency in fuels and is transitioning toward exporting diesel, aiming to convert 40% of oil output into transformative industries by 2030,” he said. Al-Sudani also stressed that strategic partnerships with the private sector are pivotal, noting, “each job created through private-sector collaboration generates many additional opportunities.”

Only with Private sector you can diversify the economy

Only with Private sector you can diversify the economy

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Statement from PM Al-Sudani’s media office:

Prime Minister Mohammed S. Al-Sudani inaugurated today the Iraq Energy Conference 2025, organized by the Iraq Development Platform in Baghdad under the theme: “Together for a Promising Energy Future.”

In his speech, Prime Minister Al-Sudani emphasized that the conference serves as an opportunity to review the state’s policies and programs in the energy sector, which holds a pivotal position in all of the government’s development plans. He affirmed the government’s commitment to modernizing and advancing the sector in alignment with its goal of economic diversification, ensuring a positive impact on other sectors.

The Prime Minister outlined tangible progress achieved since the government assumed office, emphasizing key commitments such as halting gas flaring by 70%, leveraging oil wealth, investing in natural gas, and expanding oil derivatives production. He also noted that Iraq is nearing full self-sufficiency in fuels and is transitioning toward exporting diesel, aiming to convert 40% of oil output into transformative industries by 2030.

Prime Minister Al-Sudani highlighted that the government has launched integrated energy projects aimed at maximizing the benefits of oil production at individual sites, with the Artawi Field in Basra Province being a standout example. This initiative includes key components such as seawater desalination, solar power generation, and gas utilization. He emphasized that boosting the non-oil economy is closely aligned with increasing revenues from oil resources through the expansion of refining operations and the development of the petrochemical industry.

Below are the key points from Prime Minister Al-Sudani’s speech during the conference:

🔷 The government has pursued horizontal income diversification of income sources to address unemployment and the challenges of a single-sector economy, aiming to create real job opportunities.

🔷 Partnership with the private sector has been the gateway to development, each job created through private-sector collaboration generates many additional opportunities.

🔷 The government has focused on strategic projects that serve as pillars for all development and economic sectors, most notably the Development Road Project.

🔷 When designing the Development Road route, we incorporated oil and gas pipelines alongside telecommunications infrastructure to create connections between Asia and Europe, while unlocking significant investment opportunities.

🔷 Plans have been established to invest in human capital and develop skills and capabilities to keep pace with modern technology and artificial intelligence applications.

🔷 The electricity sector has become a vital economic and developmental backbone, with the potential to serve as a gateway to Iraq’s broader development.

🔷 Developing the electricity transmission and distribution network and adopting modern and smart technologies will reduce losses, lower harmful emissions, and enhance sustainable development.

🔷 The Ministry of Electricity announced a new economic model for thermal power plants aimed at generating an additional 15,000 megawatts.

🔷 A major and significant package of energy production projects for gas power plants under the new model will soon be announced.

🔷 Partnerships with the private sector are essential to saving time and effort in addressing climate change and mitigating water scarcity in Iraq.

🔷 The government is actively integrating renewable, clean, and alternative energy sources, with solar power projects already underway.

🔷 Renewable and clean energy projects, once completed, will achieve a production capacity of 4,875 megawatts.

🔷 The government supports the adoption of residential solar power systems through the Central Bank’s “One Trillion Dinar Initiative” for loans.

🔷 Iraq is advancing in electrical interconnection projects with Gulf countries and Türkiye, aiming to connect to the European Union electricity grid to achieve energy diversity and integration.

🔷 Iraq’s global position is gaining a brighter image through economic growth, reforms, and stronger collaboration in international energy forums.

🔷 Iraq has become a cornerstone in stabilizing the global oil market and is on its way to transforming into a regional hub for energy industries.

🔷 Iraq contributes to global oil market stability by relying on a robust and solid economy.