krg electricity minister

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OUR MISSIONOUR MISSION

Our Mission is to provide a cost effective and high quality electricity supply to the people of Kurdistan Region and make contributions to the Federal Grid.

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ContentsContents

• General Background.• Current Situation. • Future needs.• Privatization process• Subsidy Reform• Conclusion.

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General BackgroundGeneral Background

• Kurdistan RegionGovernorates of Erbil, Sulaimaniyah and Duhok with a total population of around 4.5 million.Own Regional Parliament and Government since 1992 and constitutionally recognized in 2005.Rich with Natural Resources and fertile land.With relative calm, stability, security and a legal investment framework, it could provide a good starting point to do business in Iraq.

Erbil

Sulaimaniyah

Duhok

The Governoratesof Kurdistan Region

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Current SituationCurrent Situation

– Two hydropower stations in Dukan and Darbandikhan; Dukan : 5 units @ 80 MW Darbandikhan : 3 units @ 83 MW

– Diesel generators: 204 MW

– Supply from Turkey 155 MW

– Supply from the Federal Grid 50-130 MW

• Generation

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Current SituationCurrent Situation

• Factors attributed to an increase in Demand:– Rising Standard of living– Development and Reconstruction Process– Reconstruction of destroyed villages– Low Tariff Price and network losses– High Price of Kerosene and LPG– Migration from other governorates to the Region due

to security concerns

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Existing Power Plants in KurdistanExisting Power Plants in Kurdistan

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Future need

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Projected Demand and Generation

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Projected Demand and Generation [MW]

0

500

1000

1500

2000

2500

3000

3500

2004 2006 2008 2010 2012 2014

Year

MW

Total PlannedTotal Projected

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Existing and Planned Generation

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S

S

TYPICAL ELECTRICITY POWER SYSTEM IN THE REGION

G

T

To Consumers

Generation Plants

Transmission Lines132 kV

Main Substations132 kV -> 33kV, 11kV

33 kV Lines

11kV Feeders

Distribution Transformers

Low VoltageFeeders (0.4kv)

GenerationT

rans

mis

sion

Dis

trib

utio

n

Substation

Substation

ELECTRICITYSECTORS

ELECTRICITYSECTORS

Substation 33kV ->11 kV

T

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PrivatizationPrivatization

• Two IPP Contracts:– A combined Cycle Plant 750 MW– A simple Cycle Plant 500 MW

• Considering BOT contracts in Transmission.• Coordinating with the Federal ministry and the

WB to: – start the process in Kurdistan as a pilot project for

privatization in Iraq.

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Subsidy ReformSubsidy Reform

• The electricity price in the Region is very low, though:– We use different domestic tariff structure.– Prices are higher than the rest of Iraq.

• The Ministry is currently studying phasing out subsidies and formulate a transition plan.

• The reform will have to consider:– a well- organized public awareness campaign– raising the tariffs gradually– low income households– improving billing and collection practices– Improving supply and services

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ConclusionConclusion

• Limited generation, transmission and distribution capacity

• The experience of the past three years shows the supply from the Federal grid is unreliable

• Generation through BOO and BOT schemes• Huge potential for hydro power generation• The Region has attracted IDA. Outside Financial

assistance and expertise are needed.• Subsidy reform is needed with improved billing,

collection and services• Better coordination with the Federal Ministries of

Planning and Electricity.

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Erbil 500 MW PlantErbil 500 MW Plant

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Erbil 500 MW PlantErbil 500 MW Plant

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Bakurman Dam Site Bakurman Dam Site (66MW)(66MW)

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Balinda Dam Site Balinda Dam Site (120MW)(120MW)

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Deralok RunDeralok Run--offoff-- River River Scheme Scheme

PPelc.elc.==32 MWMW

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Dam Site

DDeralokeralok

DDam am

SSiteite 150MW150MW

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THANK YOU