Saudi Electricity seeks firms to run power plant

  • Share via facebook
  • Tweet this
  • Bookmark and Share

Saudi Electricity (SEC) is looking for companies to build and operate a 1,700-megawatt (MW) independent power plant (IPP) running on fuel oil, the state-controlled utility said on Monday.

Expressions of interest in running the plant at Rabigh on the West coast of the world's largest oil exporting country should be submitted by March 21, SEC said in a statement.

The Rabigh IPP2 plant will use fuel oil and is the fourth of five planned IPPs that will add a total of around 11,000 MW of power generation capacity.

The other three are under construction and include the 1,200 MW Rabigh IPP1.

SEC will buy electricity from the new company under a Power Purchase Agreement (PPA).

In September last year, SEC signed a deal with a consortium led by Saudi Acwa Power Projects and including South Korea's Samsung C&T to build the 4,000-MW gas fired power plant, the third IPP project.

Saudi Electricity has an $80bn investment plan to increase its power generation capacity by 30,000 MW by 2018 to meet power demand that is rising by around 8 percent a year.

Related:
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

All comments are subject to approval before appearing

Further reading

Features & Analysis
Dubai's smart palm tree technology revealed

Dubai's smart palm tree technology revealed

Smart Palms harness the sun's energy to allow people to look...

Decision time looms for Saudi on nuclear power?

Decision time looms for Saudi on nuclear power?

As other countries push ahead with their plans for conventional...

1
With crude at $50, oil firms fear deeper crisis than in 1980s

With crude at $50, oil firms fear deeper crisis than in 1980s

After slashing spending by $180 billion to deal with one of the...

Most Popular
Most Discussed