Why Siemens? Repeated Returns Raise Questions About Reforming Iraq’s Electricity Sector

25/09/2026   Share :        
44  

Prof. Dr. Haider Ali Al-Dulaimi College of Administrative Sciences – Al-Mustaqbal University The return of the German company Siemens to Iraq’s electricity sector for the fourth time appears to be more than a repetition of a previous partnership. Rather, it raises a broader question concerning the trajectory of electricity sector reform in Iraq: Why does the country continue to rely on the same company, and what tangible outcomes have been achieved through previous experiences? The issue extends beyond electricity generation alone. It involves an integrated system that includes the efficiency of power generation plants, transmission and distribution networks, loss reduction, infrastructure development, maintenance sustainability, and the transfer of knowledge and expertise to Iraqi technical and engineering personnel. From an economic perspective, the success of any partnership should not be measured by the size of contracts or the frequency of renewals. Instead, it should be evaluated by its ability to deliver sustainable outcomes, reduce the costs of electricity generation and transmission, improve the reliability of power supply, and build national capabilities capable of managing the sector effectively over the long term. Therefore, the most important question is not simply: Why Siemens? Rather, it is: What does Iraq seek to achieve through Siemens this time, and how can this partnership be transformed from a series of recurring contracts into a sustainable reform process for the Iraqi electricity sector? Electricity is not merely a public service issue; it is a fundamental pillar of economic growth, investment, industrial development, and job creation. Any delay in reforming the sector directly affects Iraq’s ability to diversify its economy and reduce its dependence on oil revenues.