ECRA: Power generation and transmission projects need SR526bn

ECRA: Power generation and transmission projects need SR526bn
Updated 11 July 2014

ECRA: Power generation and transmission projects need SR526bn

ECRA: Power generation and transmission projects need SR526bn

A whopping sum of SR 526 billion is needed for the implementation of power generation, transmission and distribution projects, local media said quoting a report released by the Electricity and Cogeneration Regulatory Authority (ECRA).
Based on a study on the estimated cost of electricity services during 1430-1441H, power generation will cost SR335 billion, or 63.7 percent of the overall costs, transmission SR121 billion (23 percent) and distribution SR70 billion (13.3 percent), the report said.
According to the estimates, the maximum power load will reach 71.940 GW by the year 1441 whereas the generating reserve will hit 15 percent, the report said.
In the fiscal year 1434-1435, a number of contracts were signed for the implementation of electric projects costing nearly SR 46 billion of which SR14.8 billion was allocated for generation projects, SR22.5 billion for transmission and SR8.5 billion for distribution projects, Al-Eqtisadiah daily said.
The volume of works and investments needed for electricity industry up to 1441 represents attractive opportunities to the private sector, according to the ECRA report.
The private sector companies could avail opportunities to implement independent projects for power generation, water desalination, construction, operation or lease of power transmission lines, management of current facilities, or provision of services to customers, the report added.
The report said ECRA pursues to select the best options in a manner to serve the interests of the Kingdom in coordination with the Ministry of Water and Electricity, the Saudi Electricity Company (SEC), Saline Water Conversion Corporation (SWCC) and other investors relevant to this area.