Ras Al-Khair’s power plant to generate more jobs

Updated 19 February 2014
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Ras Al-Khair’s power plant to generate more jobs

Ras Al-Khair’s desalination and power plant project is considered as the largest plant for desalination of saline water in the world. Its first power plant with the capacity of generating more than 400 MW has started operating.
The plant was connected to the National Electric Power Company (NEPCO) in coordination with the National Grid Company as the first step of operating the complete system of power plant units.
Saline Water Conversion Corporation (SWCC) Gov. Abdul Rahman bin Muhammad Al-Ibrahim said the gas turbines would be running for the rest of the groups respectively according to the planned program.
The corporation intends to generate more than 800 MW during the second quarter of 2014, which will enhance the national grid to meet the demand for electric power in which the corporation is a key partner in providing it for industrial consumers and others.
Al-Ibrahim pointed out that the percentage of completing the project of Ras Al-Khair plant exceeds 80 percent, and it is expected to start producing water before the end of the first quarter of 2014.
Al-Ibrahim added that the cost of Ras Al-Khair desalination and power plant project and the transmission lines from the plant has reached SR23 billion.
The total length of the transmission lines from Ras Al-Khair plant to Riyadh and Hafr Al-Batin region is 1,290 km (double lines) with production capacity of 1,025 million cubic meters of desalinated water per day and electricity production capacity of 2,400 MW.
In addition, Al-Ibrahim stressed that Ras Al-Khair plant is the first plant established by the SWCC using compound production technology with efficient fuel consumption.
Al-Ibrahim said: "Ras Al-Khair plant project would provide 15,000 job opportunities while constructing the plant and its transmission lines to Riyadh and Hafr Al-Batin."
He said: "It will provide 3,500 job offers after establishing the plant, including 1,500 jobs in desalination department and 2,000 job offers with the contractors. These job offers represent the largest career opportunities in a project of this size."
He added: "The project will provide 14 great investment opportunities for national companies and it would contribute in supporting the national economy and provide more job opportunities for the youth in the Kingdom."


Saudi Arabia’s consumer prices fall in April, fourth month in a row

Updated 5 min 22 sec ago
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Saudi Arabia’s consumer prices fall in April, fourth month in a row

  • Economists still expect deflation in 2019 after prices rose throughout 2018
  • The International Monetary Fund projects GDP growth of 1.9 percent

DUBAI: Saudi Arabian consumer prices fell 1.9 percent year-on-year in April for the fourth month in a row but were unchanged from March, data from the General Authority for Statistics showed.
The annual declines in the consumer price index are partly a consequence of a base effect that raised prices last year after the introduction in January 2018 of a 5% value-added tax (VAT), economists have said.
The annual fall in the CPI index, however, narrowed from March when the index had dropped 2.1 percent. Some economists see the narrowing of deflation as a sign that Saudi Arabia is having some success in boosting its non-oil sector, while global oil prices have remained under pressure in recent years.
“The further easing of deflation in Saudi Arabia in April suggests that stronger activity in the non-oil sector at the start of this year is (finally) feeding through to a pick-up in price pressures,” said Jason Tuvey, senior emerging markets economist at Capital Economics in a note.
Economists still expect deflation in 2019 after prices rose throughout 2018 following the introduction of the VAT, which was imposed to boost non-oil revenue in response to a long-term drop in oil prices.
Capital Economics expect Saudi CPI to fall 1.3 percent in 2019, while Abu Dhabi Commercial Bank’s projects the CPI index to decline 0.9 percent this year.
“The big picture remains that the unwinding impact of tax and administered price hikes implemented in early 2018 has revealed the weakness of underlying inflation in the kingdom,” Tuvey said.
After contracting in 2017, the economy grew 2.2 percent last year, but is forecast to grow more modestly this year.
The International Monetary Fund projects GDP growth of 1.9 percent, buoyed by an expansion of the non-oil economy as the government steps up spending. Y
The central bank chief said in February, when asked if he expected deflation this year, that he expected consumer demand and real estate loans would stave it off.
Credit grew in the first quarter by more than 3 percent, its fastest pace in more than two years, fueled by a jump in mortgages and in loans to small- and medium-sized enterprises.
Tuesday’s data showed the sub-index for housing, water, electricity, gas and fuel prices down 7.8 percent from a year earlier. The sub-index had fallen 8.1 percent in March.
Prices for food and drinks, however, rose 1 percent and prices for education rose 1.3 percent.