The original contract for Baiji fell under the UN oil-for-food programme, which from 21 November will be taken over by the Coalition Provisional Authority. BHEL has returned to Iraq in the last two months to complete the work it began three years ago. The German company supplied BHEL with equipment for the project under a subcontract (MEED 19:9:03).
Baiji is one of the few power contracts proceeding under the oil-for-food programme. Instead, nearly all the current work in the sector is being funded by US agencies.