JEDDAH: Saudi Arabia is reviewing its plan to break up Saudi Electricity Co. (SEC) into four parts as part of a drive to further privatize the utility, according to sources aware of the matter.
The review, being conducted by consultants and advisers to the government, could result in the original plan being retained or a new restructuring scheme put in place.
The move was instigated before Saturday’s sweeping changes to the Kingdom’s government, including the Water and Electricity Ministry being broken up and power affairs placed within the new Energy, Industry and Mineral Resources Ministry headed by incoming Energy Minister Khalid Al-Falih.
SEC officials did not immediately respond to a request for comment.
Saudi Arabia has been considering reforms to SEC since at least 2009.
The Vision 2030 plan, announced on April 25, unveiled a package of economic and social reforms aimed at ending the Kingdom’s “addiction” to oil and transforming it into a global investment power.
“There’s a lot of changes which are happening in all areas of the economy so the government wants to bring in its advisers to look at the plans,” said one of the sources of the move to review SEC’s break-up.
The review, being conducted by consultants and advisers to the government, could result in the original plan being retained or a new restructuring scheme put in place.
The move was instigated before Saturday’s sweeping changes to the Kingdom’s government, including the Water and Electricity Ministry being broken up and power affairs placed within the new Energy, Industry and Mineral Resources Ministry headed by incoming Energy Minister Khalid Al-Falih.
SEC officials did not immediately respond to a request for comment.
Saudi Arabia has been considering reforms to SEC since at least 2009.
The Vision 2030 plan, announced on April 25, unveiled a package of economic and social reforms aimed at ending the Kingdom’s “addiction” to oil and transforming it into a global investment power.
“There’s a lot of changes which are happening in all areas of the economy so the government wants to bring in its advisers to look at the plans,” said one of the sources of the move to review SEC’s break-up.
