October 18, 2007 (LPAC)--The Iraqi electricity ministry has awarded contracts to Iran and China for the construction of power plants, alarming U.S. officials, today's New York Times reports. One Iran power project will be built in Sadr City in Baghdad. Iran will also provide cheap electricity from its power grid to southern Iraq, and will build another plant between the Shiite holy cities of Karbala and Najaf. The Chinese plant will be built in Wasit, by the Shanghai Heavy Industry firm.

The U.S. has already spent $5 billion on electricity projects in Iraq, with almost nothing to show for it. White House Press Secretary Dana Perino said today that the Administration doesn't have details on the projects, and said that "if it's legitimate and it's a good, productive way to contribute to helping the Iraqis rebuild, great."

But, she went on, "if they are doing something that is a clandestine way to bring in foreign fighters into the country or to cause additional mischief, in addition to what they've already been doing, then we would be concerned."