Iraq intends to sign an agreement for its Gulf Arab neighbours to supply it with electricity after grid interconnection is complete.

A project to build new stations and power cables is nearly 94 percent finished and will be operational shortly, the Iraqi electricity ministry said.

Included are two high-voltage lines connecting Iraq’s power network in the southern oil hub of Basra with Kuwait’s Wafra grid, ministry spokesman Ahmed Mousa told the state-run Al-Sabah newspaper. The Kuwaiti grid is linked to a common network spanning the six-nation Gulf Cooperation Council.

“The project is progressing quickly,” Mousa said.

“Technical and engineering preparations are nearing completion… we will then review the operating contracts that are to be signed before the official launch.”

Iraq, Opec’s second-largest oil exporter, will receive 500 megawatts of electricity from the GCC grid, in addition to 500MW from nearby Jordan through a similar link.

Iraq suffered from a 22-gigawatt power gap at the end of 2025 as a result of a decline in gas and electricity supplies over the past two years, according to data released by the Eco Iraq Observatory.

In late 2025, Iraq’s caretaker prime minister Mohammed Al-Sudani unveiled a 20-year plan to boost power generation to 57GW with the help of international companies.

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