Iraq’s cabinet cut customs duties on imported solar energy systems to zero on Oct. 20, 2026.
Iraq’s Council of Ministers, the country’s cabinet, voted on Oct. 20, 2026, to cut customs duties on imported solar energy systems to zero.
The decision was announced the same evening by the cabinet’s media office, in a statement carried by the Iraqi News Agency (INA), the state news agency1. It covers solar energy systems brought into Iraq from abroad1.
In short, a solar energy system shipped into Iraq should no longer pay customs duty at the border. Buyers in Iraq should pay less for panels and systems, because the import tax no longer adds to their cost.
What did Iraq’s cabinet decide on solar imports?
The cabinet approved "zeroing" the customs duties charged on solar energy systems imported into Iraq1. In plain terms, the duty rate on these goods falls to 0% customs duty. The statement does not say what rate applied before the decision.
Iraq’s solar duty decision at a glance
| Point | What the cabinet decided |
|---|---|
| Authority | Council of Ministers, 24th regular session |
| Goods | Imported solar energy systems |
| Customs duty | Cut to zero |
| Stated aims | Support private sector, encourage solar buying |
| Approved | Oct. 20, 2026 |
The decision was taken at the cabinet’s regular session on Tuesday, Oct. 20, 20262. Prime Minister Ali Falih al-Zaidi chaired the meeting, which the media office described as the 24th regular session of the Council of Ministers2.
The media office released a short statement first, and then a longer list of all the session’s decisions2. Both versions describe the solar decision in the same way1. Neither statement gives a decision number for the solar measure.
Why did Iraq remove duties on solar systems?
The cabinet gave two reasons in its statement. It wants to support the private sector, and it wants to encourage citizens to buy solar energy systems1.
The fuller list of decisions adds a third aim. The cabinet said it wants citizens to adopt clean energy and to turn to renewable energy to supply their electricity2. In other words, the duty cut is meant to make solar power cheaper for homes and businesses.
The Ministry of Electricity explained the decision in its own statement the next day. The ministry said the cut supports the move towards renewable energy and lowers the cost of buying these systems3. It said the step fits its wider plan to encourage the use of solar power3.
Who asked for the duty cut on solar systems?
The idea came from the Ministry of Electricity. The ministry said the decision followed a formal proposal from the Minister of Electricity, Ali Saadi Wahib, to the prime minister3.
The minister asked for lower customs duties on solar energy systems and their components3. His stated goal was to encourage citizens to buy these systems3.
The minister’s request was for a reduction. The cabinet went further and set the duties at zero, according to the cabinet’s statement1. The cabinet’s own wording names "solar energy systems" and does not list parts separately2.
Which solar goods does the zero duty cover?
The cabinet’s statement uses one broad term: imported solar energy systems1. It does not define what a system includes.
The official statements published so far do not give a list of products. They do not give tariff codes, the numbers customs uses to classify goods. They also do not say whether single parts, such as panels, inverters or batteries, count as a "system" when shipped alone.
This matters for importers at the border. Customs officers classify each item by its tariff code. Until a detailed list appears, the clearest case for the zero rate is a complete solar energy system, as the cabinet named it2.
Who gains from duty-free solar systems?
Several groups are touched by the change:
- Importers and traders of solar systems in Iraq pay no customs duty on these goods, which lowers their landed cost.
- Households and businesses buying solar systems should see lower prices if traders pass on the saving.
- Makers abroad that sell solar systems into Iraq face one less cost at the Iraqi border.
- Customs brokers handling solar shipments must apply the new zero rate when they clear goods.
The cabinet framed the decision as help for the private sector1. The electricity ministry framed it as a way to cut the cost of owning a solar system3.
How does the solar decision link to grid connection rules?
The duty cut is part of a wider push on solar power. On Oct. 21, 2026, the Ministry of Electricity said it had finished drafting instructions for connecting solar systems to the national grid3.
Path of the solar grid connection rules
The draft has 40 articles, according to the ministry3. It sets out how citizens can connect their systems and swap electricity with the national grid3. Once approved, it would let citizens connect their solar systems to the grid using smart meters3.
The ministry said this would help lower citizens’ electricity bills, based on the amount of power exchanged3. It also said wider use of solar power would ease the load on the national grid3.
The draft is not yet in force. The ministry has sent it to the State Council, Iraq’s body that reviews the legal wording of government rules3. After that review, the ministry plans to send it to the cabinet for approval3.
What else did the Oct. 20 session decide on imports?
The same session took other decisions on goods crossing Iraq’s borders. These are separate measures, but they show the cabinet’s approach to imports that week.
The cabinet gave the Ministry of Agriculture power to open imports of all farm crops until Dec. 31, 20262. The stated aim was to secure the country’s food supply2.
The cabinet also dealt with Ministry of Health shipments of medicines, medical supplies and vaccines held at border crossings2. It allowed these shipments to be released, with customs duties paid later. The ministry must give a formal pledge to pay the duties when they fall due2.
The health shipments were also excused from storage charges and fines at the border2. That decision applies from the date it was issued. It ends when Iraq passes its next federal budget law2.
In the energy field, the session also approved a power supply contract. The state company that carries electricity in Iraq’s northern region may sign a contract for 600 to 1,000 megawatts of power2.
When does the zero duty on solar systems apply?
The cabinet approved the measure on Oct. 20, 20261. The Ministry of Electricity referred to it on Oct. 21 as a decision the cabinet had already taken3.
Dates around the solar decision
The cabinet’s statements do not give a separate start date for the solar measure. They also do not set an end date. This differs from the farm import decision taken at the same session, which runs only until Dec. 31, 20262.
The next official step for solar power is the grid connection rules. These still need legal review by the State Council and then approval by the cabinet3.
Key points on Iraq’s zero duty for solar systems
The table below sums up the decision as the official statements describe it.
| Question | Answer |
|---|---|
| What changed? | Customs duties on solar systems cut to zero |
| Who decided? | Iraq’s Council of Ministers |
| When was it approved? | Oct. 20, 2026 |
| Which session? | 24th regular cabinet session |
| Which goods? | Imported solar energy systems |
| New duty rate | 0% |
| Who proposed it? | Minister of Electricity Ali Saadi Wahib |
| Stated aims | Support private sector, encourage solar buying |
| Product list or codes | Not yet published |
| End date | None stated |
| Related rule | Draft grid connection instructions, 40 articles |
| Next step | State Council review of grid rules |
For now, solar energy systems entering Iraq pay no customs duty, under the cabinet’s Oct. 20 decision1. The next official step is the State Council’s review of the grid connection rules, before they go to the cabinet3.
Sources
- ↩ مجلس الوزراء يوافق على تصفير الرسوم الكمركية على منظومات الطاقة الشمسية المستوردة » وكالة الانباء العراقية (واع) | اخبار العراق https://ina.iq/ar/political/276799-.html
- ↩ قرارات مجلس الوزراء لجلسة الثلاثاء » وكالة الانباء العراقية (واع) | اخبار العراق https://ina.iq/ar/political/276805-.html
- ↩ الكهرباء تنجز تعليمات تنظيم ربط منظومات الطاقة الشمسية بالشبكة الوطنية » وكالة الانباء العراقية (واع) | اخبار العراق https://ina.iq/ar/local/276843-.html