Siemens wins $108m Saudi power deal

Global power giant Siemens has been awarded an EUR81m ($108m) turnkey contract from Saudi Electricity Company (SEC) for a new high-voltage substation that will help Jeddah's power grid to cater for rapidly increasing electricity demand.

Under the terms of the contract, Siemens will be responsible for the design, engineering, construction, testing and commissioning the new substation, including the supply of power transformers, switchgear and protection and telecommunication systems, and the associated civil engineering and construction works.

"This latest contract award from SEC is testament to the confidence placed in Siemens as a turnkey supplier of innovative infrastructure solutions," said Wolfgang Braun, head of Power Transmission, Siemens Middle East.

"Saudi Arabia is experiencing unprecedented growth and Siemens is proud to be a reliable and trusted partner to the Saudi Electricity Company, as it continues the expansion of a safe, dependable and efficient power grid for the kingdom," he added.

Siemens has a long-standing relationship with SEC, and has previously completed a number of power transmission and distribution projects in the kingdom.

Siemens said its technology currently transmits and distributes a third of the power used in Saudi Arabia.

"With projects like this latest substation award we are committed to supporting Saudi Arabia's growing population and industry," said Arja Talakar, CEO, Siemens Saudi Arabia.

"We have a lengthy local history in the kingdom and this translates directly into an ability to provide the right technology at the right time for the advancement of Saudi Arabia's urban and industrial infrastructure.

"Saudi Arabia has a very clear vision for its future and it is through the pillars of education, knowledge transfer and innovation that Siemens will continue to be a driving force in the development of a sustainable future for the kingdom."