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Sat 16 Jul 2011 11:24 AM

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Saudi Electricity sees Q2 profit jump 25%

Company makes SR1.335bn ($356m) net profit in second quarter, versus SR1.068bn in year-earlier period

Saudi Electricity sees Q2 profit jump 25%
Electricity pylon

Saudi Electricity Co (SEC) reported a 25 percent rise in its second-quarter net profit, the company said in a statement posted on the bourse on Saturday.

The company made a net profit of SR1.335bn ($356m) in the three months to end-June, compared to SR1.068bn in the same period last year.

Saudi Arabia, which sits on the world's biggest oil reserves, is struggling to keep pace with rising power demand amid rapid population growth.

SEC, 81 percent-owned by the government, has projects to add 1,826 megawatts (MW) in 2011 and will add 12,752 MW of power from 2012 to 2016 as it seeks to meet the kingdom's rising demand.

According to a Reuters report, the company plans to invest $80bn to boost capacity to at least 70,000 MW by 2020 from current installed capacity of 50,000 MW.

The kingdom plans to invest $88bn over the next 10 years to boost power capacity as demand for electricity continues to grow 7-8 percent annually, the kingdom's water and electricity minister said in May this year.