STUDY Powering Iraq: Challenges facing the Electricity Sector in Iraq POWERING IRAQ: CHALLENGES FACING THE ELECTRICITY SECTOR IN IRAQ Robin Mills And Maryam Salman October 2020 The unprecedented decline in oil prices since March has left Iraq unable to pay its US$ 4.2 billion monthly public sector obligations . Iraq’s electricity problem is centred around a chronic inability to match supply with demand. In 2019, peak demand was 26 GW, 58% higher than generation capacity. challenge for Iraq, is less in generation capacity, and more in distributing fuel supplies to power plants, and improving the power transmission system. Al-Bayan Center for Planning and Studies 1